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Delray OKs restaurant parking change, sets property tax rate

By David Sedore. Palm Beach Business.com

DELRAY BEACH — Delray Beach city commissioners on Tuesday passed first reading of an ordinance doubling parking requirements for new restaurants opening up along Atlantic Avenue in the heart of the downtown.

Also Tuesday, Delray commissioners preliminarily held the line on taxes, adopting 7.19 percent as the property tax rate for the budget that begins Oct. 1. The rate equates to $7.19 per $1,000 of assessed property value. Final approval of the budget, preliminarily set at $93.03 million, and tax rate is set for Sept. 20.

The parking ordinance essentially ends an incentive for restaurants to locate along Atlantic Avenue that the city adopted in 1993 to breath some life into the downtown. Restaurants in other parts of the downtown must provide 12 parking spaces per thousand square feet of floor space; along Atlantic, they only have to provide six, a break worth tens of thousands of dollars. Other types of businesses along Atlantic must provide 12 spaces per thousand square feet.

Critics say the incentive is killing off other types of businesses along Atlantic, particularly retail shops. They also argue that the proliferation of restaurants is creating parking problems.

Planning and Zoning Director Paul Dorling, who proposed the ordinance, said at six spaces per thousand, restaurants aren’t providing enough parking to meet customer demands let alone the parking employees require. And the ordinance doesn’t even factor in the demands on parking that sidewalk cafes create.

“Clearly 12 spaces is reasonable,” Dorling said. The ordinance won’t block new restaurants, nor prevent restaurants from expanding. However, it will make it less attractive to establish a restaurant along Atlantic and push some restaurant development into other parts of the downtown.

Commissioner Jay Alperin recommended passing the ordinance on first reading to allow for a public hearing on the issue and to give commissioner the opportunity to tinker with the draft ordinance.

“I think there is room for some modification,” Alperin said.

Mayor Woodie McDuffie remained skeptical that the ordinance would do any good but agreed that it should be moved to final reading so it can be fully debated.

“I see everything about restaurants and nothing about retail,” McDuffie said. “CityPlace (in West Palm Beach) is teetering on foreclosure, and their skewed the other way. They’ve got more shops and fewer restaurants.”

Commissioners actually defeated the ordinance last month but later agreed to reconsider the matter.

The budget that commissioners preliminarily adopted Tuesday is $1.87 million less than the present budget, and $9.74 less than the 2007 budget. Tax rates also have fallen in that time even as the tax base has declined.

Some resident who have been in their homes a long time might actually see their tax bill go up. City Manager David Harden cited “distortions in the property tax system” for the anomaly

In other matters, commissioners tabled approval of a bid to renovate the concession stand at Pompey Park. The construction firm of Randolph and Dewdny is the low bidder for the project at $457,000.

Commissioners tabled the project earlier in the summer because of budget concerns and to explore the possibility of doing the work in phases. However the city attorney’s office advised that if the city chooses to do the project in phases, it would have to be rebid.

Commissioners gave their approval for Garlic Fest Feb. 10 – 12 at Old School Square. The approval gives the festival the right to use close city streets that weekend.