Interoffice Memorandum
DATE: November 25, 2024
TO: Mayor Jerry L. Demings and County Commissioners
THROUGH: Mindy T. Cummings, Manager
FROM: Mindy T. Cummings, Manager
CONTACT: Mindy T. Cummings, Manager
PHONE: 407-836-7090
DIVISION: Real Estate Management Division
ACTION REQUESTED:
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Approval and execution of Termination Agreement by and between Orange County, Florida and Central Florida Young Men’s Christian Association, Inc. YMCA @ Blanchard Park, 10501 Jay Blanchard Trail, Orlando, Florida 32817. Lease File # 5021. District 5. (Real Estate Management Division)
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PROJECT:
YMCA @ Blanchard Park
10501 Jay Blanchard Trail
Orlando, Florida 32817
Lease File # 5021
PURPOSE: To terminate a lease and provide for funding to the County.
ITEM: Termination Agreement
BUDGET: None
REVENUE: Account No.: 1050-062-1800-6990
FUNDS: $352,000
APPROVALS:
Real Estate Management Division
County Attorney’s Office
Risk Management Division
Capital Projects Division
Parks and Recreation Division
Facilities Management Division
REMARKS: On January 1, 1998, Orange County, Florida (County) and Central Florida Young Men’s Christian Association, Inc. (YMCA) entered into that certain Lease and Operating Agreement (Lease) to construct and operate a YMCA Family Center (Facility) for the benefit of the public within Blanchard Park. In addition to entering the Lease, the County and YMCA entered into a Design, Construction and Funding Agreement for joint funding by the County and the YMCA, to construct the Facility. The initial term of the Lease was for 25 years with one 25-year option.
However, on September 28, 2022, Hurricane Ian caused the Facility to sustain significant flood damage. YMCA worked to make repairs to preserve the integrity of the structure, while options were evaluated to rebuild the Facility. The County and YMCA each conducted cost estimates and feasibility studies to repair the Facility, however the estimated costs were over seven million dollars. While the YMCA was insured for loss and received insurance proceeds for the damage sustained by Hurricane Ian, it was not enough to cover the cost to rebuild the Facility. In addition to the insurance proceeds, YMCA, as the lessee, applied for funding to Federal Emergency Management Agency (FEMA) and the Small Business Administration (SBA) for supplemental funding to rebuild the Facility.
The YMCA was not able to secure SBA funding, and funds through FEMA were denied. The YMCA appealed FEMA’s decision, however, was denied on both appeals. Given the extent of the damage to the Facility, and the close proximity to the Michaels Dam and Little Econlockhatchee River, this location was deemed no longer feasible, as the Facility was at risk for future floodings. The County and YMCA mutually determined that it was not in the best interest of the public to rebuild the Facility and continue the Lease, but rather reclaim the area for additional public park amenities. The YMCA, according to the Termination Agreement, will contribute a portion of the insurance proceeds in the amount of $352,000 (Funds), for the estimated cost to demolish the Facility and contribute towards the reclamation of the area for additional park amenities for Blanchard Park.
The Funds will be paid by the YMCA to the County within 30 days of the effective date of the Termination Agreement.