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DDA approves ILA payment amendment for Old School Square; board debates funding gap and proposes permit-fee grant pilot

December 09, 2025 | Delray Beach, Palm Beach County, Florida


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DDA approves ILA payment amendment for Old School Square; board debates funding gap and proposes permit-fee grant pilot
The Downtown Development Authority voted to approve Amendment No. 4 to the interlocal agreement (ILA) governing Old School Square management and operations, which updates the city's payment schedule so the fiscal-year amount will be delivered in a single payment rather than quarterly.

Board discussion focused on fiscal impacts. One director said the DDA's recent operational year ran about $1.0 million and that the approved city budget of $700,000 would leave a gap; other members asked whether the amendment allows the DDA to request additional funds from the commission if needed. Counsel advised there is nothing in the amendment that prevents the DDA from asking the city for supplemental funding, though the likelihood of additional city funds depends on Commission priorities and the city budget.

A motion to approve the amendment "as is" passed by roll call; the item was placed on the City Commission consent agenda for that evening. Several directors said they will continue to press commissioners for additional funding to preserve program levels and cultural offerings.

Separately, a board member proposed a new grant-style program to reimburse or waive city permit application fees for existing downtown businesses (for example, sidewalk café permits or special-event applications). Under the idea presented, the DDA would pay the city the permit fees so the revenue remains with the city while helping businesses with activation costs. Staff said the concept resembles existing grant programs but that details and eligibility would require drafting and a future board discussion.

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