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conceptually approved the project with the understanding that it would be privately funded by the St. Christopher Harbor HOA at no cost to the County. Since 2010, the HOA has proceeded to obtain permits from the Florida Department of Environmental Protection (FDEP) and from the U.S. Army Corps of Engineers (USAGE) to conduct the work. In hiring consultants and obtaining the jurisdictional permits, the HOA expended approximately$38,000 in private funds. Not including the cost of obtaining the permits, the HOA estimates the cost for engineering oversight and construction of the project to be approximately $143,000 (see HOA summary of costs, Attachment 5). As permitted, the project consists of: - removing 0.1 acre of fill (the manmade land bridge to Head Island) with proper siltation control and disposal of removed material; - installing navigation and manatee protection signage; - breaching Head Island mosquito control dikes at two locations to improve tidal flushing; and - removing nuisance exotic vegetation along the Head Island mosquito control dike. This past year, St. Christopher Harbor HOA representatives approached county staff to see if the County would consider applying for a 2014-cycle grant from the Florida Inland Navigation District (FIND) to partially fund construction of the channel restoration project. Initially, the HOA indicated it would look to raise funds and provide a cost-share match for the FIND grant. More recently, however, the HOA advised staff it does not have sufficient funds to provide a 50% match that is required by FIND (i.e., +_$71,500), and the HOA is now requesting that the County consider applying for the FIND grant and providing matching funds for the project. To that end, this matter is now being presented to the Board of County Commissioners for the Board to consider the St. Christopher Harbor HOA's request that the County apply for a FIND grant and provide matching funds for construction of the channel restoration project. ANALYSIS Generally, dredging of new channels in the Indian River Lagoon is discouraged by jurisdictional agencies due to negative environmental impacts associated with such dredging. In this case, however, the proposal is to restore a natural channel that existed +60 years ago prior to man-made alterations. In issuing permits for the project, the FDEP and USACE determined that the channel restoration will result in an overall net benefit to area boaters and to lagoon resources by directing boat traffic away from seagrass flats and into established channels associated with the Moorings development north of St. Christopher Harbor. Although the proposed channel restoration would improve navigational passage primarily for residents of St. Christopher Harbor, the project would result in general public benefits relating to boater navigation, seagrass protection and water circulation in the Indian River Lagoon. Moreover, Head Island and the connection to St. Christopher Harbor that is to be removed for channel restoration is part of the County's conservation ownership, such that the project will improve County conservation land resources. For those reasons, it would be appropriate for the County to consider the Head Island channel restoration project as having overall public benefits warranting expenditure of public funds. From the standpoint of the St. Christopher Harbor HOA benefiting from the project more so than the general public, the HOA has expended to date approximately$38,000 in engineering design, environmental assessment and permitting fees for the project. 2 137