The City of Stuart owns a number of buildings that are rented out for use. There are strict rules surrounding the process and not all have the same documentation and approval.
The parcel at 400 SW Federal Highway, located on US1 at Shepherd’s Park, has its own limitations on who can use this site.
According to the Martin County Property Appraiser, there are two buildings on site. One is a “restroom building” which is 324 square feet. The other is a 1,077 square foot building described as having zero bedrooms and two interior bathrooms.
The current tenant
On May 27, 2025, the City of Stuart entered into a non-exclusive license agreement with the Hell Gate Sea Dragons, a local nonprofit in Martin County supporting breast cancer survivors. According to their website, they are “the first and only dragon boat team located in Martin County, Florida. … The team is a foundation for women who are breast cancer survivors, but supporters are also welcome to join the team.”
Traditionally, the parcel and its tenants have been marine-related, using the property for commercial purposes, specifically involving the leasing, repair, and maintenance of boat docks and slips.
However, because of a grant to enhance the parking area, boat ramp, sea wall, and trailer parking area, the site can no longer be used for strictly commercial purposes.
The agreement with the City allows Hell Gate Sea Dragons to use the parcel to park their boat trailers and dragon boats and gives them non-exclusive use of the outside deck and use of the main building for their board meetings.
The non-exclusive license agreement allows the facility to be used by other entities as deemed allowable by the City.
Renovations to the Parcel
In addition to the grant funded improvements, there were two other major improvements to the buildings on site.
On December 11, 2023, the was an agenda item for discussion and deliberation about the 1,100 square foot building on the parcel and the need for certain repairs.
There were discussions about the need for new flooring and some other improvements. But there was no vote to approve any improvements nor any approval for a future agenda item.
In April 2024, there was a renovation to remove the carpeting and vinyl flooring and replace new flooring at a cost of $6,200.
Then in December 2024, there was a proposal for a bathroom renovation, which was completed March 2025 at a cost of $15,382.61.
There were no further public agendas or meeting minutes discussing potential improvements to this property other than the initial discussion in December 2023.
The floor installation and bathroom renovations were completed prior to the lease with Hell Gate Sea Dragons.
However, it’s the most recent tenant that is in question.
The City Employee who recently resided at 400 SW Federal Highway
There have long been loud whispers that Louis “Joly” Boglioli, the Financial Services Director for the City of Stuart who also recently served as acting City Manager, was using this property as a residence when he was in Stuart for work.
Mr. Boglioli recently tendered his resignation after an approximately 30-year tenure as a City of Stuart employee. He was rumored to retire last year but is said to have stayed upon the request of Mr. Mortell.
At the end of January, Mr. Boglioli tendered his 90-day notice but then at the end of last week chose to resign immediately. This sequence of events was questioned by Commissioner Campbell Rich at tonight’s City Commission meeting.
Mr. Boglioli resides in Alabama and has for at least the last year. He was given permission to work remotely as long as he was available when needed at the City for meetings and the like.
We have now learned that the former City Manager, Michael Mortell, gave Mr. Boglioli permission to make his residence at 400 SW Federal Highway, as confirmed in a March19, 2025, email from Mr. Mortell to Troy McDonald, Director of Existing Industry and Business Development with the Business Development Board of Martin County. Mr. McDonald is also a former City of Stuart Commissioner who lost his re-election bid in 2024.
“Lastly, I have been converting two of the rooms in the building into living quarters. Once the shower has been added to the bathroom, I am going to put a bed, mini fridge, microwave and dresser in one room with a desk in the small room adjacent. Then I am going to have Joly come to Stuart for 1 week every fifth week. That way he will have a bigger presence and wont (sic) have to pay for a hotel or housing expense while here. It won’t interfere with Marine Industry because I was going to reserve room for the State Representative to have space there if Marine Industry moved in anyway. Now, Toby’s lease is up and I can but (sic) John Snyder at Flagler Park if he is interested.”
In addition to making Mr. McDonald aware, Mr. Mortell advised select staff and Commissioners that Mr. Boglioli was staying on the property so apparently nobody questioned him staying there.
The Issues with this as a residence
Yes, there were some admitted improvements that need to be made.
But the question is was the decision to a complete bathroom renovation to fully make this a living quarter, as stated it would be in this email, done to specifically accommodate Mr. Boglioli?
There are some other concerns, as well.
1. Current zoning is not appropriate for a residence.
The parcel is zoned as Urban Waterfront. Generally speaking, for any City owned parcel or site, permitted uses must comply with the existing zoning districts or be deemed as similar by the Development Department.
This parcel and its buildings would need, at a minimum, a conditional use approval or some kind of “change of occupancy” permit.
2. The Avoidance of a lease negates Commission approval being needed.
Section 2-253 REAL PROPERTY of the City of Stuart municipal code states that:
- All applications for the purchase or lease of real property owned by the city shall be made in writing to the city commission.
- No application for such purchase or lease shall be granted by the city commission without a public hearing thereon at which interested members of the public shall be permitted to address the city commission regarding the propriety of the sale or lease.
However, as there was no lease, there was nothing for the City Commission to approve.
The State of Florida provides some guidance to municipalities as to when an they can allow employees to reside in non-residential municipal-owned buildings. However, it also states that this permission must serve a purpose, like working security, being something like a park ranger, or allowing for an emergency response.
Florida Statute 112.313(6) states that public employees and officials are prohibited from using their official position or public property (including access to buildings and furniture) to secure a “special privilege, benefit, or exemption” for themselves or others.
One could argue that any employee needing to participate in-person for work would be a satisfactory purpose. However, an employee being permitted to work remotely out of state and required to attend meetings is a questionable “emergency” and probably not an acceptable exception.
And even if it were, proper zoning would still be required.
At a minimum, a variance request should have been submitted to the City Commission for consideration or an agenda item to be in compliance.
3. With no lease and no commission approval, this could have created a liability issue as someone was residing there, even if it was on an intermittent basis. It was one person who had exclusive use of the building to use as a residence when in town.
Would the City’s insurance policy have covered any damages or issues for this becoming a de facto residence? Was there some kind of hold-harmless agreement created to alleviate the City from any responsibility for an accident on site while Mr. Boglioli was in residence?
If there were an accident on the premises like an injury and there is no lease to defer at least some responsibility, was the City – and, therefore, taxpayers – fully responsible for the costs?
Any living situation without proper documentation, like a lease or ordinance approving the use of the building, could create liability for the City regarding the employee’s safety should there be an accident on site.
And then there is this receipt...
On June 5, 2025, someone, presumably Mr. Mortell, went to Walmart to purchase, amongst other things, a mattress, a bedframe, a ratchet to presumably assemble the bedframe, nightstands, and table lamps. The receipt was submitted on July 2, 2025.
The total expense was $525.39.
It is unclear if the card used to purchase these items was a City of Stuart credit card or if it was as personal credit card submitted for reimbursement. Based on the email between Mr. Mortell and Mr. McDonald, this purchase appears to have been done using the City credit card.
While this is not a huge expense, the expense is clearly assigned to the taxpayers without awareness, consent, or approval.
Per the email to Mr. McDonald, Mr. Mortell clearly stated he was converting the building into living quarters with the express intent for it to be used by Mr. Boglioli. This receipt is confirmation of that decision.
What's next?
While the property’s uses are limited due to the grants used to improve the property, it does not permit a City staff person like the City Manager to arbitrarily assign a use without Commission approval or awareness, at a minimum.
The former City Manager, Mr. Mortell, seemingly entered into what could be construed as an improper agreement with Mr. Boglioli while using taxpayer money to improve a building beyond what may have been done otherwise (adding a shower) were it not for Mr. Boglioli’s use while in the City of Stuart for work.
Additionally, even if used only once a week or even once a month, providing free lodging and furnishings that are not part of an official compensation package could be viewed as an unauthorized “disproportionate benefit” or a gift of public funds for private use.
Mr. Boglioli was basically residing, even though on part-time basis, in a building that is not zoned for residential use. Moreover, he was apparently not paying rent for the opportunity to stay in this building.
While we as taxpayers foot the bill for water usage and electricity at this and other buildings, consumption inevitably increases with any occupancy.
Like the furnishings costs, the utility costs are probably minimal, but taxpayers are covering the cost of the lodging and utilities.
Some questions the City Commission should be asking of staff:
- Are there any other City-owned parcels or buildings being offered to anyone, including City employees, for similar use?
- Are there other examples of monies being spent on a City credit card for items that are not necessarily “needed” items, even if they are approved by someone in charge?
The City did not respond to any questions regarding this situation though Martin County Press has been informed they are “aware” of the situation.
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