Many 2011 county issues roll over into 2012 [Florida Keys Keynoter, Marathon] - Insurance News | InsuranceNewsNet

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December 28, 2011 Newswires
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Many 2011 county issues roll over into 2012 [Florida Keys Keynoter, Marathon]

Ryan McCarthy, Florida Keys Keynoter, Marathon
By Ryan McCarthy, Florida Keys Keynoter, Marathon
McClatchy-Tribune Information Services

Dec. 28--Onerous mandates by the Federal Emergency Management Agency, the idea for a casino at Florida Keys Marathon Airport, an animal-control scandal and the never-ending battle over electricity on No Name Key continued making countywide news in 2011. But those weren't the only issues.

FEMA and Monroe County continue battling

Just when one controversial issue involving FEMA -- the inspection for possible illegal downstairs enclosures at homes covered by FEMA's National Flood Insurance Program -- apparently was resolved in October, another more-serious one arose this month: FEMA considering put the Keys on probation in the insurance program, and possibly even suspending the island chain from it, because of endangered species habitat.

That's big because the National Flood Insurance Program insures thousands of Keys properties whose owners can't get such insurance elsewhere. And having such insurance usually is a bank requirement to get a mortgage.

First, the resolution.

For years, FEMA has mandated the county inspect homes it covers for illegally built apartments below the flood plain when the homeowner seeks a building permit for anything having to do with that house.

But in 2011, Gov. Rick Scott signed House Bill 407, which bans inspections for anything that doesn't specifically relate to a specific permit -- specifically, no looking for an illegal enclosure when, for example, inspecting for electrical.

The new law meant the county had to come up with a new program to satisfy FEMA, and it did: Now, property owners can request an inspection. If one is done, a record is created in an owner's chain of title stating what is and isn't allowed at that house.

So now, even if someone doesn't request an inspection, if there's something illegal on the property, it'll be found when ownership changes hands.

Now, FEMA's holding the hammer down yet again: The agency has ordered the county to determine, when people apply for permits to build, whether the parcel is in endangered species habitat.

The county says it's the feds' problem, not local government's. And that's important because if the county determines someone can't build because of habitat, the landowner could sue for the market value of the land, claiming a taking.

The overall potential bill could be $65 million or more, the county contends.

The mandate arose out of the settlement of a 1990 lawsuit in which FEMA and the U.S. Fish and Wildlife Service were sued by three environmental groups claiming that allowing flood insurance in endangered species habitat violates the Endangered Species Act.

The problem, the county says: Monroe was never a party to the lawsuit so the mandate is illegal. Now, the county plans to sue FEMA to get the settlement overturned when it gets the notice of probation in the flood insurance program. That notice is expected to arrive in mid-January and call for probation beginning May 10.

A casino for Marathon? Don't bet on it

Monroe County Commissioner George Neugent raised more than a few eyebrows in June when he floated plans for casino gambling at the county-owned airport in Marathon. He hoped it could generate funding for state-mandated sewer projects.

The Marathon City Council was cool to the idea. And many note that the state Constitution would have to be amended to allow it.

Pari-mutuel gambling is the only type that could be allowed in the Keys, and New Rochelle, N.Y., resident John Van Lindt holds the only such permit in the Keys. It's from the former Key West Kennel Club on Stock Island that closed in 1991.

So far, the gambling idea has gone nowhere.

County loses bid for money from former animal-control provider

In September, the county got an unwanted legal result to its long-running dispute with former Middle Keys animal-control provider Linda Gottwald and her nonprofit Stand Up For Animals.

The Third District Court of Appeal in Miami overturned Monroe County Circuit Court Judge David Audlin'sAugust 2010 ruling that froze more than $250,000 of Gottwald's assets that the county claims is taxpayer money.

It was the latest twist in a dispute that started in 2010 when, after Gottwald requested more county money to run the shelter, County Administrator Roman Gastesi ordered audits of all three Keys animal-control providers, who all work under county contract.

The Stand Up audit was by far the most troubling. It showed Gottwald used taxpayer money on everything from a personal sport utility vehicle to personal entertainment.

Ultimately, Stand Up was replaced by the new group Safe Harbor Animal Rescue of the Keys. It runs the Marathon animal shelter and is responsible for animal control from mile marker 16 to mile marker 70 under a $232,556 annual contract that runs until June 30, 2015.

No Name Key power remains electrifying issue

There's still no end in sight to the decades-long legal battle over commercial electricity on No Name Key, a Lower Keys island adjacent to Big Pine Key.

Owners of the island's 43 homes have long been at odds over whether Lower Keys utility Keys Energy Services should run power lines to the off-the-grid island, whose homes are now run by either solar power or generators.

The utility was nearing a deal with the No Name Key Homeowners Association in March to run the lines, but the county sued, seeking a legal ruling on whether it's obligated to issue permits to run lines over conservation land or for homeowners to connect to power poles.

Complicating the issue further was No Name property owner Bob Reynolds' August motion to dismiss the county's suit against Keys Energy and No Name's homeowners and put the decision on commercial power in the hands of the state Public Service Commission.

Circuit Court Judge David Audlin is scheduled to rule on Jan. 26 at 10 a.m. in Key West whether he or the PSC has jurisdiction over the matter.

Hickory House redux

Often referred to by commissioners as an albatross, the ill-advised 2006 purchase of the former Hickory House bar and restaurant property on Stock Island continues to haunt Monroe County.

In September, the commission rejected the only offer it received after issuing a request for proposals to rent or buy it; it was the third time since 2009 the county put out an RFP for it and rejected all responses. West Palm Beach-based Florida Yacht Charters & Sales had proposed a four-year lease for $2,000 per month and an option to buy after that time for $1.01 million.

The county paid $3.13 million for the Hickory House in November 2006 and it's lain dormant since as the county continues trying to unload it.

No solution to the old Seven Mile Bridge

The county-owned Pigeon Key off Marathon might consider the state Department of Transportation its own personal albatross.

The historic island's nonprofit foundation faces numerous issues as it struggles to keep the island open to the public. Not the least of those worries is the state Department of Transportation's threat to shut down the landmark 2.2-mile old Seven Mile Bridge leading to the island.

The state has already closed the bridge to auto traffic and fishing, but closing it to pedestrians, skaters and bicyclists is a real possibility if the dilapidated bridge is not refurbished. The state's estimated cost: $16 million. The state's commitment: Zero.

___

(c)2011 the Florida Keys Keynoter (Marathon, Fla.)

Visit the Florida Keys Keynoter (Marathon, Fla.) at www.keysnet.com

Distributed by MCT Information Services

Wordcount:  1225

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