The town of Fort Myers Beach has signed a contract with the firm Clifton Larson Allen to conduct a forensic audit as the town investigates 4 grants Town Manager Will McKannay is looking into. The contract is for 6 months. What will it cost taxpayers?
The possible irregularities were uncovered during the 2027 budget process and led to Community Development Director Frankie Kropacek and Community Services Director Jeff Hauge being put on paid administrative leave 3 weeks ago.Â
The work includes an analysis of 4 grants totalling $31.7 million: A Bay Oaks Campus Redevelopment Grant ($1 million), a Florida Department of Environmental Protection Grant ($17 million), a Florida Division of Emergency Management Grant ($8 million), and a Federal Emergency Management Administration Reimbursement Grant ($5.7million).Â
Local municipalities are constantly applying for state and federal grant money to help fund projects and ease the burden on their local taxpayers. Some of those grants require a municipality to put up a dollar-for-dollar match. Grants also come with stringent guidelines, specific rules, and solid deadlines that must be followed.
Just because these grants are part of the investigation does not mean all or any of that money has been lost. It could also mean portions of the grant are being looked at, not all of the money awarded.Â
The $17 million DEP amount is a beach renourishment grant which was signed by Environmental Project Manager Chad Chustz who is still fully employed by the beach. Chustz’ name has never been mentioned in the investigation. The massive beach renourishment project, and grant funding, was also aided by consultant Mike Poff who has decades of experience.
The $8 million FDEM amount was a dune vegetation grant also involving beach renourishment. FDEM funded the design, engineering, monitoring, purchase, delivery and placement of beach compatible sand to renourish the beach.
The $5.7 million grant is a Hazard Mitigation Grant which is the funding to elevate these 25 homes on the island. These homeowners have been left in limbo for years waiting for the funds to be distributed. The communication with homeowners about this grant funding has been horrendous. Kropocek was heavily involved in adminstering this program along with the town’s consultant Tidal Basin. While the homeowners have been able to clean up their homes and move back in or sell, without elevating their homes, they continue to get hammered with high insurance rates.
Back in late 2021 Fort Myers Beach was awarded a $1 Million grant to redevelop Bay Oaks. Hurricane Ian came through and upset that apple cart. The redevelopment plans had to be changed and an extension to use the grant requested. All of that was approved. In order for the grant money to be awarded the Town of Fort Myers Beach had to match the $1 Million and follow the guidelines set for by the National Park Service – Land and Water Conservation Fund, the organization that awarded the grant.Â
McKannay said on Beach Talk Radio that he will fight as hard as he can to get some or all of the $1 million Bay Oaks Grant the town was approved for. Losing $1 million is a big deal to a municipality as small as Fort Myers Beach.Â
The contract with Clifton Larson Allen is for 6 months and there is no not-to-exceed amount the town will pay the company. Payment is based on these hourly rates by their staff with invoices submitted every month:
– Principal/Signing Director/Technical Director: $500 per hour
– Director/Manager Rate: $400 per hour
– Senior Rate: $300 per hour
– Director Rate: $200 per hour
– Electronic Document Review Platform Senior Associate $395 a month & $25 one-time fee per GB uploaded
Read the full contract with Clifton Larson Allen HERE
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As one of the 25 still-hopeful homeowners in the Hazard Mitigation Grant, a big THANK YOU to Ed and BTR for publishing this list! The Town and Tidal Basin have repeatedly refused to give up ANY information about the Grant recipients, saying it was a violation of privacy. I couldn’t even get a redacted copy of the Grant award document so I could begin to believe it was really approved. I guess the Town didn’t want the 25 of us ganging up on them.
As one of the homes waiting on the elevation grant, we have cleaned up our property. We can’t repair or move back into the home until it is elevated under the 50/50 guidelines. We do continue to pay our taxes, garbage, water, and lawn care. Still waiting and hoping. Did communicate with the Mayor and Assistant town manager, they seem to be trying to find out what the holdup is.
Clay & Deb Woodard
Mark Hogan — come on, that’s a bit of an exaggeration and overreach don’t you think? Asking where the town manager (2 town managers) were during all of this is a fair question. Blaming it on ‘being on BTR’ is utter nonsense. People already know you don’t care for Ed & BTR but you need to take a breath and be realistic.
Where was the town manager during all this? Oh, on Beach Talk Radio rather than tending to financial matters!
He was on the show for one hour on a Sunday Mark.