Daytona redevelopment board backs request to increase city reimbursement for Riverfront Esplanade capital costs

The Daytona Downtown Redevelopment Board voted to forward a request to the Daytona Beach City Commission asking the commission to consider increasing the city's annual capital reimbursement to the Brown Riverfront Esplanade Foundation.

The board's endorsement followed a presentation by Joe Yarbrough, manager of the Riverfront Esplanade, who described rising operating costs, private capital investment in downtown parcels and visitor use of the park. Yarbrough asked the board for an endorsement to send to the Daytona Beach City Commission; he did not ask the board to set a specific appropriation amount.

Yarbrough told the board the existing agreement channels an annual appropriation of $800,000 through the redevelopment district to a fund that ultimately reimburses capital expenditures for the Esplanade. He said Brown and Brown, the insurance company that led private construction and capital investment in the park, then signs the check back and those funds are used for operations. "Our operational revenue totals about a million 3. We raised around 500,000," Yarbrough said. He also said operations still show a shortfall and private benefactors have been covering the gap.

Why it matters: The Esplanade is a privately developed, publicly accessible park that managers say draws large visitor numbers and supports downtown dining and events; an increase in the city's reimbursement would shift more public redevelopment dollars toward the park's capital and, indirectly, its operations. The board's recommendation will go to the city manager and, ultimately, the Daytona Beach City Commission for any appropriation decision.

Board members and business owners described the Esplanade as a catalyst for downtown activity and private investment. Yarbrough said the park saw more than 813,000 visitors last year with an average one-hour stay. He also described recent and planned private acquisitions in the redevelopment area by Brown and Brown and an affiliated entity called Beach Street New Horizon that, he said, will enable larger renovations on multiple contiguous parcels.

Board members asked staff for budget detail and outstanding grant information to show how an increase would fit with existing redevelopment obligations. Staff said they would provide the board with the current budget, allocations and outstanding grant commitments at a future meeting.

Public commenters and board members raised related issues including how private parcel acquisitions may affect future tax rolls and how events and programming could increase visitor dwell time. A speaker from the public, Elliot Ward, asked about plans for specific downtown properties acquired by Brown and Brown; staff replied that property managers had met with tenants but no long-term redevelopment plans had been shared with the redevelopment board.

The board's motion, read into the record by a member and seconded, asked the Daytona Beach City Commission to support a request from the Brown Riverfront Esplanade Foundation for an increase in the city's reimbursement of capital expenditures. The board voted "aye" and the motion carried. The motion did not set a dollar figure; Yarbrough later said the foundation planned to request at least $400,000 this year and that amount would grow as development progressed.

Background and next steps: Board members noted that capital reimbursements flow through the redevelopment district and into a trust fund used for public improvements and private investment consistent with the redevelopment plan. Any change to the $800,000 annual appropriation must be considered by the city manager and approved by the Daytona Beach City Commission. Staff said it would prepare budget and grant-status information for the board before the commission takes the request up.

Board members and the public cited private security, well-maintained landscaping and new restaurant activity as contributors to downtown's recent rise in visitors and investor interest. The board's formal support now moves the item to staff and the city manager for consideration prior to a City Commission decision.