St. Pete Beach taps federal grant to buy property south of Egan Park

ST. PETE BEACH — A year ago, city commissioners agreed to buy land on the south side of Egan Park for $875,000. The idea was to acquire the property to square off a municipal complex that currently includes the park and a boat ramp.

But they didn't have a definite plan for how to pay for the land.

Last week, the city received news it won a $200,000 state-administered federal grant that will pay for nearly a quarter of the cost.

The three-quarter-acre waterfront property at 9001 Blind Pass Road is technically owned by the Trust for Public Land, a national nonprofit land conservation organization that helps communities purchase land for public use.

The trust helped the city negotiate the purchase price and, after the city made a $290,000 down payment, TPL effectively loaned the city the $585,000 difference with the understanding that the city would reimburse the amount by paying $195,000 a year over the next three years.

The first of those payments is included in the city's 2010-2011 proposed budget.

City Manager Mike Bonfield said the $200,000 grant could be used to cover that installment payment — or could be used to accelerate the land purchase.

"My suggestion will be to try to pay off the loan early," Bonfield said.

The final decision on how to use the grant will be made by the City Commission during its summer budget deliberations.

The National Park Service grant is administered by the Florida Department of Environmental Protection's Land and Water Conservation Fund.

The state ranked the St. Pete Beach property purchase as the second highest priority project in the state. That recommendation has been sent to the NPS for completion of the awards process.

Bonfield said the grant is one of several the city is pursuing to cover the cost of the property. The city has up to five years after completing the land purchase to apply for grant funding, he said.

The city must pay off the property to the trust before it can be developed as part of Egan Park. The three-quarter acre parcel includes a single-family home built in 1970 and a boat dock. Plans call for the land to become the site of the boat ramp and trailer parking now located on the northern end of Egan Park.

A paved roadway between the ballfields and the Intracoastal Waterway would be removed and the shoreline re-landscaped to create a more attractive park area.

Meanwhile, the original owner of the property continues to live in the house, as agreed in the initial purchase contract. He is responsible for insuring the property, paying the utilities and maintaining the buildings.