
The Newberry City Commission voted to table the second reading of one application for a community development districts (CDD) during its regular meeting on Monday, and approved the first reading of another. Second readings for both CDDs are set to be held during the commission’s Nov. 12 meeting.
One of the CDD applications was in its second reading stage, and the other at the first reading, but both applicants told the commission they did not expect a vote on Monday but rather would like to see the items tabled so commissioners have more time to learn about CDDs.
A CDD is a quasi-governmental unit that can issue bonds to home buyers to finance the development that is building their homes. The CDD then uses that up-front funding to build, run and maintain its infrastructure and services.
The first application, for the Westone CDD, already passed its first reading at the commission’s last meeting. The property owners are requesting to establish a CDD for the 237-acre property and the commission approved the first reading 3-1 in Commissioner Monty Farnsworth’s absence, with the understanding that commissioners would have more time and information before making a final decision.
At Monday’s meeting, Mayor Jordan Marlowe said the commission had expected a full presentation on CDDs. In the absence of both Commissioner Ricky Coleman and such a presentation, he suggested the commission table the decision until a later date.
Between the first and second readings, staff had also consolidated a few of the conditions of approval into a recommended interlocal agreement with the CDD, though the developer’s attorney, Wesley Haber, said such interlocal agreements are not common for CDDs.
Haber said CDDs are generally known to come with nicer amenities than other developments because the developer has the money to create those facilities straight out of the gate. But he said the city would need to approve the CDD with the trust that the developer would live up to those promises in order to be competitive.
“We’d be asking for you to establish the CDD with the understanding that the developer would use that CDD to maximize the financing for the improvements, to benefit the project, to get the best development, the best amenities it possibly can get,” Haber said. “But you would be approving the CDD in advance of seeing the renderings, and that’s, more often than not, the way it works, because a CDD is part and parcel on deciding what those improvements will be.”
Commissioner Mark Clark made a motion to continue the discussion date-certain at the commission’s Nov. 12 meeting, no earlier than 7 p.m. After Commissioner Tim Marden seconded the motion, it passed 4-0.
The Ranch CDD
The CDD application for the NC Ranch development, a 1,293-acre planned development that has achieved the necessary rezoning for its 50-year plan, will go forward for a second reading on Nov. 12.
Newberry’s principal planner, Jean-Paul Perez, said after some reading, Florida CDDs that failed to gain approval could be attributed to either a housing crisis or to the developers overpromising. He said there is some comfort in both the Westone and NC Ranch developers being local, with an established relationship.
Attorney Jennifer Kilinski, representing Norfleet, said the only times she has seen CDDs fail is because there is a problem with the project itself, but she said that does not blow back on the city.
“When you bless the CDD, you’re not blessing the zoning, you’re not blessing permitting,” Kilinski told the commission. “All that has to come back to you here, before this board. Instead, what you’re blessing is the way that you’re going to deliver and maintain long-term infrastructure.”
Kilinski said CDDs are also beneficial because they limit liability for bond assessments to individual units, they outlive the developer and get residents involved earlier, they maintain property values and they have high transparency through Sunshine Laws, public record laws and other disclosures.
The initial five board members for the Ranch CDD, before residents can begin voting their preferred members into office, would be E.D. Norfleet III, Christiana Norfleet, Zeke Norfleet, Dylan Sykes and Allan Tyner.
Though the applicant was amenable to tabling the item, Farnsworth made a motion to approve it on first reading, and Clark provided a second. The motion passed 4-0 with Coleman absent.
City Manager Mike New said staff will set up one-on-one meetings to address commissioners’ questions, starting this week.