Subject:
Title
Ordinance providing for the dissolution of the North Brevard Development District for the purpose of recapturing the District’s tax increment funding for the County general fund, while honoring the existing contractual obligations and commitments of the District.
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Fiscal Impact:
The proposed ordinance would result in the recapture, for the General Fund, of projected annual tax increment contributions of more than $3 million per fiscal year and the eventual return of any surplus funds currently in the North Brevard Economic Development Trust Fund.
Dept/Office:
District 3
Requested Action:
Recommendation
It is requested that the Board of County Commissioners hold a public hearing and consider adopting an ordinance providing for the dissolution of the North Brevard Development District, the recapture for the general fund of the District’s tax increment funding, the continuation and administration of the District’s existing contractual obligations, the termination and winding down of an interlocal agreement with the City of Titusville, and the administration of and use of proceeds from the sale or lease of County-owned property within Spaceport Commerce Park.
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Summary Explanation and Background:
At its meeting on December 17, 2024, the Board of County Commissioners received a presentation from staff addressing the required Board actions and timeline should the Board wish to consider an adjustment to the Fire Service Non-Ad Valorem Assessment (the “Fire Assessment”). During that presentation, it was made clear that any increase to the Fire Assessment could only be used to fund Brevard County Fire Rescue’s (BCFR) provision of fire services. Any increase in the Fire Assessment would require a corresponding increase in general fund revenues to fund BCFR’s provision of countywide emergency medical services. Recognizing the need to enhance funding for BCFR, this ordinance is proposed to increase available recurring general fund revenue for allocation to BCFR.
The North Brevard Development District (the “District”) was created in July 2011 by the Brevard County Board of County Commissioners as a dependent special district. It was conceived with the principal goal of facilitating job growth and economic development in the northern portion of Brevard County in the wake of NASA’s Space Shuttle program end.
The Board of County Commissioners adopted a tax increment ordinance to finance the workings and obligations of the District. For FY 2024-25, the projected tax increment contribution from the general fund to the North Brevard Economic Development District Trust Fund is $3.3 million.
The District has satisfied the purposes for which it was formed. If the tax increment is recaptured for the General Fund, additional annual revenues of more than $3 million will be available to support Brevard County Fire Rescue operations.
The District has available funds in the Trust Fund sufficient to honor and administer its existing contractual commitments and obligations without requiring future tax increment contributions. Within the Trust Fund, there is a City Account comprised of tax increment funds contributed by the City of Titusville. There are sufficient available funds within the City Account to honor and administer existing contractual commitments and obligations involving the expenditure of these City tax increment funds.
The proposed ordinance was prepared by the County Attorney’s Office following the direction and statement of legislative intent adopted by the Board at its meeting on April 22, 2025.
More specifically, the proposed ordinance provides for the following:
1. The dissolution of the North Brevard Development District.
2. The termination of annual tax increment funding to the North Brevard Economic
Development Trust Fund, with such increment funding to remain in the County general fund.
3. The continuation and administration of existing contractual obligations of the North Brevard Development District. When all contractual obligations and commitments have been satisfied, any remaining surplus funds will be transferred to the County general fund to be used for County purposes, except those funds in the City Account.
4. The termination of the interlocal agreement between the County, the City of Titusville, and the North Brevard Development District. Existing obligations funded by City of Titusville tax increment funds in the City Account within the North Brevard Economic Development Trust Fund will continue and be administered by the County, and any surplus funds in the City Account will be refunded to the City.
5. Disposition of assets and liabilities of the North Brevard Development District pursuant to section 189.076, Florida Statutes.
6. The continued administration of the Spaceport Commerce Park, as well as the use of proceeds from the sale or lease of County-owned property within the Spaceport Commerce Park.
7. The repeal of Chapter 98, Article IX, sections 98-240 to 98-272, inclusive, of the Brevard County Code of Ordinances.
Clerk to the Board Instructions:
Upon approval by the Board, execution by the Chair, and attestation by the Clerk, file the ordinance with the Department of State as required by law within the 10-day deadline. Please return a copy of the executed ordinance with the Department of State’s official acknowledgment of filing to the County Attorney’s Office and Brevard County Code Enforcement. Pursuant to section 189.071, Florida Statutes, please forward a copy of this ordinance to the Special District Accountability Program at FloridaCommerce within thirty days of the effective date of this ordinance.