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11-26-2019 City Council Regular Meeting Packet City of Grand Island Tuesday, November 26, 2019 Council Session Agenda City Council: Jason Conley Chuck Haase Julie Hehnke Jeremy Jones Vaughn Minton Mitchell Nickerson Mike Paulick Clay Schutz Justin Scott Mark Stelk Mayor: Roger G. Steele City Administrator: Jerry Janulewicz City Clerk: RaNae Edwards 7:00 PM Council Chambers - City Hall 100 East 1st Street, Grand Island, NE 68801 Grand Island Council Session - 11/26/2019 Page 1 / 159 City of Grand Island Tuesday, November 26, 2019 Call to Order This is an open meeting of the Grand Island City Council. The City of Grand Island abides by the Open Meetings Act in conducting business. A copy of the Open Meetings Act is displayed in the back of this room as required by state law. The City Council may vote to go into Closed Session on any agenda item as allowed by state law. Invocation - Bishop Duane Fuller, Church of Jesus Christ of Latter-day Saints, 212 West 22nd Street Pledge of Allegiance Roll Call A - SUBMITTAL OF REQUESTS FOR FUTURE ITEMS Individuals who have appropriate items for City Council consideration should complete the Request for Future Agenda Items form located at the Information Booth. If the issue can be handled administratively without Council action, notification will be provided. If the item is scheduled for a meeting or study session, notification of the date will be given. B - RESERVE TIME TO SPEAK ON AGENDA ITEMS This is an opportunity for individuals wishing to provide input on any of tonight's agenda items to reserve time to speak. Please come forward, state your name and address, and the Agenda topic on which you will be speaking. Grand Island Council Session - 11/26/2019 Page 2 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item E-1 Public Hearing on Acquisition of Public Right-of-Way in the NE Quarter of Section 23, Township 11 North, Range 10 W & in the NW Quarter of Section 23, Township 11 North, Range 10 W- W of North Road/ South of Old Potash Highway (Parcel No. 400200929 & No. 400475308- Eric M & Kenda D Pollock) Council action will take place under Consent Agenda item G-5. Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 11/26/2019 Page 3 / 159 Council Agenda Memo From:Keith Kurz PE, Assistant Public Works Director Meeting:November 26, 2019 Subject:Public Hearing on Acquisition of Public Right-of-Way in the NE Quarter of Section 23, Township 11 North, Range 10 W & in the NW Quarter of Section 23, Township 11 North, Range 10 W- W of North Road/ South of Old Potash Highway (Parcel No. 400200929 & No. 400475308- Eric M & Kenda D Pollock) Presenter(s):John Collins PE, Public Works Director Background Public Works Engineering staff is working on the design of the Moore’s Creek Drainage Ditch to extend drainage to the southwest and to serve current areas as well as the proposed US Highway 30 realignment project. A potential route is shown on the attached exhibit. Nebraska State Statutes stipulate that the acquisition of property requires a public hearing to be conducted with the acquisition approved by the City Council. Discussion Public right-of-way is needed from Eric M. and Kenda D. Pollock, on the eastern portion of parcel No. 400200929, shown on the attached exhibit. The property owner has signed the necessary document to grant the property, as shown on the attached drawing. Engineering staff of the Public Works Department negotiated with the property owner for such purchase. Property Owner Legal Description Amount Eric M. and Kenda D. Pollock- Parcel No. 400200929 A TRACT OF LAND LOCATED IN THE NORTHEAST QUARTER OF THE NORTHEAST QUARTER OF SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST OF THE SIXTH P.M., HALL COUTNY, NEBRASKA, BEING DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF THE NORTHEAST QUARTER OF SAID SECTION 23; THENCE S01o08’13”E (ASSUMED BEARING) ON THE EAST LINE OF SAID NORTHEAST QUARTER OF THE $220,825.00 Grand Island Council Session - 11/26/2019 Page 4 / 159 NORTHEAST QUARTER, A DISTANCE OF 954.05 FEET; THENCE S89o28’15”W PARALLEL WITH AND 80.00 FEET DISTANT FROM THE NORTH LINE OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 97- 109582, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA, A DISTANCE OF 412.90 FEET; THENCE N01o08’13”W PARALLEL WITH AND 412.90 FEET DISTANT FROM SAID EAST LINE, A DISTANCE OF 954.00 FEET TO THE NORTH LINE OF SAID NORTHEAST QUARTER OF THE NORTHESAT QUARTER; THENCE N89o27’48”E ON SAID NORTH LINE, A DISTANCE OF 412.90 FEET TO THE POINT OF BEGINNING, CONTAINING 9.04 ACRES, MORE OR LESS, WHICH INCLUDES 1.01 ACRES, MORE OR LESS, OF CURRENTLY OCCUPIED PUBLIC ROAD RIGHT-OF-WAY. Eric M. and Kenda D. Pollock- Parcel No. 400475308 A TRACT OF LAND LOCATED IN THE SOUTHWEST QUARTER OF THE NORTHEAST QUARTER AND THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER, ALL IN SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST OF THE SIXTH P.M., HALL COUTNY, NEBRASKA, BEING DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF THE SOUTHWEST QUARTER OF THE NORTHEAST QUARTER OF SAID SECTION 23; THENCE S89o16’47” W (ASSUMED BEARING) ON THE SOUTH LINE OF THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER OF SAID SECTION 23, A DISTANCE OF 34.89 FEET TO THE SOUTHWEST CORNER OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 201508859, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA; THENCE N01o04’39”W ON THE WEST LINE OF SAID TRACT OF LAND, A DISTANCE OF 80.00 FEET; THENCE N89o16’47”E PARALLEL WITH AND 80.00 FEET DISTANT FROM SAID SOUTH LINE, A DISTANCE OF 34.90 FEET TO THE WEST LINE OF SAID SOUTHWEST QUARTER OF THE NORTHEAST QUARTER; THENCE N89o16’26”E PARALLEL WITH AND 80.00 FEET DISTANT FROM THE SOUTH LINE OF SAID SOUTHWEST QUARTER OF THE NORTHEAST QUARTER, A DISTANCE OF 1238.31 FEET TO THE WEST LINE OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 201300044, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA; THENCE S01o05’45”E ON THE WEST LINE OF SAID TRACT OF LAND, PARALLEL WITH AND 80.00 FEET DISTANT FROM THE EAST LINE OF SAID SOUTHWEST QUARTER OF THE NORTHEAST QUARTER, A DISTANCE OF 80.00 FEET TO SAID SOUTH LINE; THENCE S89o16’26”W ON SAID SOUTH LINE, A DISTANCE OF 1238.34 FEET TO THE POINT OF BEGINNING, CONTAINING 2.33 ACRES, MORE OR LESS. $64,075.00 Grand Island Council Session - 11/26/2019 Page 5 / 159 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council conduct a Public Hearing and approve acquisition of the public right-of-way from Eric M. and Kenda D. Pollock, in the amounts shown above. Sample Motion Move to approve. Grand Island Council Session - 11/26/2019 Page 6 / 159 SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST GRAND ISLAND, NEBRASKARIGHT OF WAY ACQUISITIONENGLEMAN ROAD OLD POTASH HIGHWAYGrand IslandCouncil Session - 11/26/2019Page 7 / 159 CITY COUNTIL EXHIBIT GRAND ISLAND, NEBRASKA MOORE'S CREEK ALIGNMENT & US HIGHWAY 30 REALIGNMENT N EXISTING HIGHWAY 30 ALIGNMENT NEW HIGHWAY 30 REALIGNMENT MOORE'S CREEK ALIGNMENT Grand Island Council Session - 11/26/2019 Page 8 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item E-2 Public Hearing on Amendment to the Redevelopment Plan for CRA No. 2 located South of Husker Highway and West of Locust Street (Bosselman Pump and Pantry, Inc.) Council action will take place under Resolutions item I-2. Staff Contact: Chad Nabity Grand Island Council Session - 11/26/2019 Page 9 / 159 Council Agenda Memo From:Chad Nabity, AICP Meeting:November 26, 2019 Subject:Site Specific Redevelopment Plan for CRA Area #2 Presenter(s):Chad Nabity, AICP CRA Director Background In 2000, the Grand Island City Council declared property referred to as CRA Area 2 as blighted and substandard and approved a generalized redevelopment plan for the property. The generalized redevelopment plan authorized the use of Tax Increment Financing (TIF) for the acquisition of property, redevelopment of property, site preparation, and adjacent public streets. TIF can also be used for improvements to and expansion of existing infrastructure including but not limited to: streets, water, sewer, drainage. Bosselman Pump and Pantry Inc. has submitted an application for tax increment financing to aid in the redevelopment of property to prepare for the construction of a latest generation Pump and Pantry store south of U.S. Highway 34 and west of Locust Street. Staff has prepared a redevelopment plan for this property consistent with the TIF application. The CRA reviewed the proposed development plan on October 9, 2019 and forwarded it to the Hall County Regional Planning Commission for recommendation at their meeting on November 6, 2019. The CRA also sent notification to the City Clerk of their intent to enter into a redevelopment contract for this project pending Council approval of the plan amendment. The Hall County Regional Planning Commission held a public hearing on the plan amendment at a meeting on November 6, 2019. The Planning Commission approved Resolution 2020-02 in support of the proposed amendment, declaring the proposed amendment to be consistent with the Comprehensive Development Plan for the City of Grand Island. The CRA approved Resolution 324 forwarding the redevelopment plan along with the recommendation of the planning commission to the City Council for consideration. Grand Island Council Session - 11/26/2019 Page 10 / 159 Discussion Tonight, Council will hold a public hearing to take testimony on the proposed plan (including the cost benefit analysis that was performed regarding this proposed project) and to enter into the record a copy of the plan amendment that would authorize a redevelopment contract under consideration by the CRA. Council is being asked to approve a resolution approving the cost benefit analysis as presented in the redevelopment plan along with the amended redevelopment plan for CRA Area #2 and authorizes the CRA to execute a contract for TIF based on the plan amendment and to find that this project would not be financially feasible at this location without the use of TIF. The redevelopment plan amendment specifies that the TIF will be used to offset allowed costs for redevelopment for improvements and expansion of infrastructure including but not limited to: streets, water, sewer, drainage, along with acquisition and site development costs as allowed by state statute to provide for commercial development of this site for a Pump and Pantry store. The cost benefit analysis included in the plan finds that this project meets the statutory requirements for as eligible TIF project and that it will not negatively impact existing services within the community or shift additional costs onto the current residents of Grand Island and the impacted school districts. The bond for this project will be issued for a period of 15 years. The proposed bond for this project will be issued for the amount of $506,184. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve the resolution 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation The CRA and Hall County Regional Planning Commission recommend that the Council approve the Resolution necessary for the adoption and implementation of this plan. Sample Motion Move to approve the resolution as submitted. Grand Island Council Session - 11/26/2019 Page 11 / 159 Redevelopment Plan Amendment Grand Island CRA Area 2 October 2019 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area 2 within the city, pursuant to the Nebraska Community Development Law (the “Act”) and provide for the financing of a specific housing related project in Area 2. Executive Summary: Project Description THE ACQUISITION OF PROPERTY AT 3436 S LOCUST STREET AND THE SUBSEQUENT SITE WORK, UTILITY IMPROVEMENTS, ENGINEERING, LANDSCAPING AND PARKING IMPROVEMENTS NECESSARY FOR DEVELOPMENT OF THIS PROPERTY FOR A NEW LATEST GENERATION PUMP AND PANTRY CONVENIENCE STORE. The use of Tax Increment Financing (TIF) to aid in the acquisition of property, necessary site work and installation of public utilities and utility connections and private street and drainage improvements necessary to develop this site. The use of TIF makes it feasible to complete the proposed project within the timeline presented. This project would not be considered at this time and location without the use of TIF. Financing for the project is contingent on TIF The acquisition, site work and construction of all improvements will be paid for by the developer. The developer is responsible for and has provided evidence that they can secure adequate debt financing to cover the costs associated with the acquisition, site work and remodeling. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2021 towards the allowable costs and associated financing for the acquisition and site work. TAX INCREMENT FINANCING TO PAY FOR THE ACQUISTION OF THE PROPERTY AND RELATED SITE WORK WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) This property is located between Locust Street on the east and Tri Street on the west and between Lake Street on the south and U.S. Highway 34 (Husker Highway) on the north in southern Grand Island, the attached map identifies the subject property and the surrounding land uses: Legal Description Lot 2 of Kings Crossing Subdivision in the City of Grand Island, Hall County Nebraska Grand Island Council Session - 11/26/2019 Page 12 / 159 Existing Land Use Grand Island Council Session - 11/26/2019 Page 13 / 159 This plan amendment provides for the issuance TIF Notes, the proceeds of which will be granted to the Redeveloper. The tax increment will be captured for up to 15 tax years the payments for which become delinquent in years 2021 through 2035 inclusive or as otherwise dictated by the contract. The real property ad valorem taxes on the current valuation will continue to be paid to the normal taxing entities. The increase will come from the construction of new commercial space on this property. Statutory Pledge of Taxes. In accordance with Section 18-2147 of the Act and the terms of the Resolution, the Authority hereby provides that any ad valorem tax on any Lot or Lots located in the Redevelopment Project Area identified from time to time by the Redeveloper (such Lot or Lots being referred to herein as a "Phase") as identified in a written notice from the Redeveloper to the Authority (each, a "Redevelopment Contract Amendment Notice") for the benefit of any public body be divided for a period of fifteen years after the effective date of this provision as set forth in the Redevelopment Contract Amendment Notice and reflected in a Redevelopment Contract Amendment, consistent with this Redevelopment Plan. Said taxes shall be divided as follows: a. That portion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the redevelopment project valuation shall be paid into the funds, of each such public body in the same proportion as all other taxes collected by or for the bodies; and b. That portion of the ad valorem tax on real property in the redevelopment project in excess of such amount, if any, shall be allocated to and, when collected, paid into a special fund of the Authority to pay the principal of; the interest on, and any premiums due in connection with the bonds, loans, notes, or advances on money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, a redevelopment project. When such bonds, loans, notes, advances of money, or indebtedness including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such redevelopment project shall be paid into the funds of the respective public bodies. Pursuant to Section 18-2150 of the Act, the ad valorem tax so divided is hereby pledged to the repayment of loans or advances of money, or the incurring of any indebtedness, whether funded, refunded, assumed, or otherwise, by the CRA to finance or refinance, in whole or in part, the redevelopment project, including the payment of the principal of, premium, if any, and interest on such bonds, loans, notes, advances, or indebtedness. Grand Island Council Session - 11/26/2019 Page 14 / 159 Redevelopment Plan Amendment Complies with the Act: The Community Development Law requires that a Redevelopment Plan and Project consider and comply with a number of requirements. This Plan Amendment meets the statutory qualifications as set forth below. 1. The Redevelopment Project Area has been declared blighted and substandard by action of the Grand Island City Council on September 13, 1999.[§18-2109] Such declaration was made after a public hearing with full compliance with the public notice requirements of §18-2115 of the Act. 2. Conformation to the General Plan for the Municipality as a whole. [§18-2103 (26) (a) and §18-2110] Grand Island adopted a Comprehensive Plan on July 13, 2004. This redevelopment plan amendment and project are consistent with the Comprehensive Plan, in that no changes in the Comprehensive Plan elements are intended. This plan merely provides funding for the developer to acquire the necessary property and provide the necessary site work, utilities and street improvements needed for the construction of a permitted use on this property. The Hall County Regional Planning Commission held a public hearing at their meeting on November 6, 2019 and passed Resolution 2020-02 confirming that this project is consistent with the Comprehensive Plan for the City of Grand Island. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(26) (b)] a. Land Acquisition: The Redevelopment Plan for Area 2 provides for real property acquisition and this plan amendment does not prohibit such acquisition. There is no proposed acquisition by the authority. The applicant will be acquiring the property from the current owner. It is further anticipated that the owner will sell a portions of this property to other entities for further development.. b. Demolition and Removal of Structures: The project to be implemented with this plan will not require demolition of any existing structures. Structures on this site were demolished more than 10 years ago and the property has been sitting undeveloped since that time. c. Future Land Use Plan See the attached map from the 2004 Grand Island Comprehensive Plan. The site is planned for commercial development. [§18-2103(b) and §18-2111] The attached map also is an accurate site plan of the area after redevelopment. [§18-2111(5)] Grand Island Council Session - 11/26/2019 Page 15 / 159 City of Grand Island Future Land Use Map Grand Island Council Session - 11/26/2019 Page 16 / 159 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The area is zoned B2 General Business zone. No zoning changes are necessary. No changes are anticipated in street layouts or grades. No changes are anticipated in building codes or ordinances. Nor are any other planning changes contemplated. [§18- 2103(b) and §18-2111] e. Site Coverage and Intensity of Use The developer is proposing the newest generation of Pump and Pantry convenience store at this location. The proposed development will be limited to either the 65% coverage allowed in the B2 zoning district. [§18-2103(b) and §18-2111] f. Additional Public Facilities or Utilities Sewer and water are available to support this development. Connections for water and sewer will have to be extended to serve these lots. The developer will be responsible for replacing any sidewalks damaged during construction of the project. No other utilities would be impacted by the development. [§18-2103(b) and §18-2111] 4. The Act requires a Redevelopment Plan provide for relocation of individuals and families displaced as a result of plan implementation. This amendment does not provide for acquisition of any residences and therefore, no relocation is contemplated. [§18-2103.02] 5. No member of the Authority, nor any employee thereof holds any interest in any property in this Redevelopment Project Area. [§18-2106] 6. Section 18-2114 of the Act requires that the Authority consider: a. Method and cost of acquisition and preparation for redevelopment and estimated proceeds from disposal to redevelopers. The developer is proposing to purchase this property for redevelopment for $1,009,285 provided that TIF is available for the project as defined. The cost of property acquisition is being included as a TIF eligible expense. Costs for site preparation including, grading and fill is estimated at $100,000. Utility extensions, storm water, sewer electrical and water are estimated at $49,000, Building plans and engineering are expected to cost $90,000. An additional $11,500 of expenses for legal work, fees and financial tracking of Grand Island Council Session - 11/26/2019 Page 17 / 159 this project are also included as eligible expenses for a total maximum TIF request of $1,259,785. It is estimated based on the proposed increased valuation to $1,770,262 will result in $510,426 of increment generated over a 15 year period. This project should pay off prior to the end of the 15 year bond period.. No property will be transferred to redevelopers by the Authority. The developer will provide and secure all necessary financing. b. Statement of proposed method of financing the redevelopment project. The developer will provide all necessary financing for the project. The Authority will assist the project by granting the sum of not less than $510,426 from the proceeds of the TIF Indebtedness issued by the Authority. This indebtedness will be repaid from the Tax Increment Revenues generated from the project. This indebtedness will be repaid from the Tax Increment Revenues generated from the project. TIF revenues shall be made available to repay the original debt and associated interest according to the approved contract. c. Statement of feasible method of relocating displaced families. No families will be displaced as a result of this plan. 7. Section 18-2113 of the Act requires: Prior to recommending a redevelopment plan to the governing body for approval, an authority shall consider whether the proposed land uses and building requirements in the redevelopment project area are designed with the general purpose of accomplishing, in conformance with the general plan, a coordinated, adjusted, and harmonious development of the city and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity, and the general welfare, as well as efficiency and economy in the process of development, including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of the healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreational and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of insanitary or unsafe dwelling accommodations or conditions of blight. The Authority has considered these elements in proposing this Plan Amendment. This amendment, in and of itself will promote consistency with the Comprehensive Plan, in that it will allow for the utilization of vacant property at this location. This lot is surrounded located at a major intersection is south east Grand Island. The property has been within a blighted area for more than 20 years and has been vacant for more than 10 years without development. This will have the intended result of preventing recurring elements of unsafe buildings and blighting conditions. Grand Island Council Session - 11/26/2019 Page 18 / 159 8. Time Frame for Development Development of this project is anticipated to be completed between Fall of 2020 and Summer of 2021. Excess valuation should be available for this project for 15 years beginning with the 2021 tax year. 9. Justification of Project This is infill development in an area with all city services available. It was anticipated by many that this area of the community would flourish after the Locust Street interchange from I-80 opened and Wal-Mart built at one corner of this intersection in 2004. Since that that time there has been very little change in the area. Proposed projects like this one and the housing project to the north and east area likely to spur the development that was expected 12 years ago. 10. Cost Benefit Analysis Section 18-2113 of the Act, further requires the Authority conduct a cost benefit analysis of the plan amendment in the event that Tax Increment Financing will be used. This analysis must address specific statutory issues. As authorized in the Nebraska Community Development Law, §18-2147, Neb. Rev. Stat. (2012), the City of Grand Island has analyzed the costs and benefits of the proposed project, including: Project Sources and Uses. A minimum of $510,426 in public funds from tax increment financing provided by the Grand Island Community Redevelopment Authority will be required to complete the project. This investment by the Authority will leverage $3,310,657 in private sector financing and investment; a private investment of $6.49 for every TIF dollar investment. It is estimated this will pay off in 15 years. Grand Island Council Session - 11/26/2019 Page 19 / 159 Use of Funds. Source of Funds Description TIF Funds Private Funds Total Site Acquisition $506,184 $503,101 $1,009,285 Utilities $49,000 $49,000 Public Sidewalks $15,000 $15,000 Site preparation/Dirt Work $100,000 $100,000 Financing Fees $20,000 $20,000 Legal and Plan $8,500 $8,500 Architecture/Engineering/Permitting $90,000 $90,000 Building Costs $1,957,056 $1,957,056 Developer Fees $3,000 $3,000 Contingency $165,000 $165,000 Personal Property $400,000 $400,000 TOTALS $506,184 $3,310,657 $3,816,841 Tax Revenue. The property to be redeveloped is has a January 1, 2019, valuation of approximately $259,560. Based on the 2019 levy this would result in a real property tax of approximately $7,059. It is anticipated that the assessed value will increase by $1,510,702 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $33,746 annually resulting in approximately $506,184 of increment over the 15 year period. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for a period of 15 years, or such shorter time as may be required to amortize the TIF bond, but would be used for eligible private redevelopment costs to enable this project to be realized. Estimated 2019 assessed value:$ 259,560 Estimated value after completion $ 1,770,262 Increment value $ 1,510,702 Annual TIF generated (estimated)$ 33,746 TIF bond issue $ 506,184 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $259,560. The proposed extension improvements at this location will result in at least an additional $1,510,702 of taxable valuation based on the Hall County Assessor’s office evaluation of the project. No tax shifts are anticipated from the project. The project creates additional valuation that will support taxing entities long after the project is paid off. The project will not add any tax burdens to taxing entities. Therefore no tax shifts will occur. Grand Island Council Session - 11/26/2019 Page 20 / 159 (b) Public infrastructure and community public service needs impacts and local tax impacts arising from the approval of the redevelopment project; No additional public service needs have been identified. Existing water and waste water facilities will not be impacted by this development. The electric utility has sufficient capacity to support the development. It is not anticipated that this will impact schools. Fire and police protection are available and should not be impacted by this development. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; The proposed uses at this site would compete for entry level and part time positions along with similar travel and entertainment type businesses located in and locating in the City. (d) Impacts on other employers and employees within the city or village and the immediate area that are located outside of the boundaries of the area of the redevelopment project; and This project is unlikely to have an impact on other employers and employees within the city. (e) Impacts on the student population of school districts within the city or village; and This project is unlikely to create any direct increase in cost for schools in the area. (f) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. This project will utilize a piece of property in the Grand Island City Limits that has been vacant for at least more than 10 years. This corner was included in one of the original blight studies for the City of Grand Island because of the development that was located here and because it is a highly visible entrance corner. These facilities will complement Fonner Park, the State Fair Grounds, Heartland Event Center, Island Oasis, and similar civic tourist draws. Time Frame for Development Development of this project is anticipated to be completed during between Fall 2020 and Summer of 2021. The base tax year should be calculated on the value of the property as of January 1, 2020. Partial excess valuation should be available for this project for 15 years beginning with the 2020 tax year with the full valuation available for the 2021 tax year. Excess valuation will be used to pay the TIF Indebtedness issued by the CRA per the contract between the CRA and the developer for a period not to exceed 15 years. Based on the purchase price of the property and estimates of the expenses of utilities, Grand Island Council Session - 11/26/2019 Page 21 / 159 streets and site preparation activities and associated engineering/design fees, the developer will spend upwards of $1,260,000 on TIF eligible activities. The full amount of TIF generated over a 15 year period would be $506,184. Grand Island Council Session - 11/26/2019 Page 22 / 159 Grand Island Council Session - 11/26/2019 Page 23 / 159 Grand Island Council Session - 11/26/2019 Page 24 / 159 Grand Island Council Session - 11/26/2019 Page 25 / 159 Grand Island Council Session - 11/26/2019 Page 26 / 159 Grand Island Council Session - 11/26/2019 Page 27 / 159 Grand Island Council Session - 11/26/2019 Page 28 / 159 Grand Island Council Session - 11/26/2019 Page 29 / 159 Grand Island Council Session - 11/26/2019 Page 30 / 159 Grand Island Council Session - 11/26/2019 Page 31 / 159 Grand Island Council Session - 11/26/2019 Page 32 / 159 Grand Island Council Session - 11/26/2019 Page 33 / 159 Grand Island Council Session - 11/26/2019 Page 34 / 159 Grand Island Council Session - 11/26/2019 Page 35 / 159 With TIF Without TIF Gross Revenue 5,077,956 5,077,956 Gross Margin 977,809 977,809 Wages & Benefits 231,047 231,047 Utilities 50,780 50,780 Insurance 5,586 5,586 Repairs 25,390 25,390 Professional Fees 1,016 1,016 Franchise Fees 2,539 2,539 Computer Expenses 4,570 4,570 Advertising 12,695 12,695 Contracted Services 27,929 27,929 Supplies 15,234 15,234 Fees 82,771 82,771 RE Taxes 7,059 40,805 PP Taxes 7,779 7,779 Misc Exp 3,555 3,555 Administrative Expense 233,586 233,586 Dep Exp - Building (25 Years)95,702 95,702 Dep Exp - RE Improv (15 Years)1,000 1,000 Dep Exp - FF & E (7 Years)57,143 57,143 Interest Expense 100,744 100,744 966,123 999,869 Net Income 11,686 (22,060) Adjustments : Depreciation 153,845 153,845 Principal on Debt (70,221) (70,221) Net Cash Disbursements 95,311 61,565 Bosselman Pump & Pantry King's Crossing Property First 12 Months of Operation Grand Island Council Session - 11/26/2019 Page 36 / 159 Grand Island Council Session - 11/26/2019 Page 37 / 159 Grand Island Council Session - 11/26/2019 Page 38 / 159 Grand Island Council Session - 11/26/2019 Page 39 / 159 Grand Island Council Session - 11/26/2019 Page 40 / 159 Grand Island Council Session - 11/26/2019 Page 41 / 159 Grand Island Council Session - 11/26/2019 Page 42 / 159 Grand Island Council Session - 11/26/2019 Page 43 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item E-3 Public Hearing on Amendment to the Redevelopment Plan for CRA No. 17 located on 3 Lots West of Prairie View Street South of Husker Highway (Prataria Ventures, LLC) Council action will take place under Resolutions item I-3. Staff Contact: Chad Nabity Grand Island Council Session - 11/26/2019 Page 44 / 159 Council Agenda Memo From:Chad Nabity, AICP Meeting:November 26, 2019 Subject:Site Specific Redevelopment Plan for CRA Area #17 Presenter(s):Chad Nabity, AICP CRA Director Background In 2015, the Grand Island City Council declared property referred to as CRA Area 17 as blighted and substandard and approved a generalized redevelopment plan for the property. The generalized redevelopment plan authorized the use of Tax Increment Financing (TIF) for the acquisition of property, redevelopment of property, site preparation, and adjacent public streets. TIF can also be used for improvements to and expansion of existing infrastructure including but not limited to: streets, water, sewer, drainage. Prataria LLC has submitted an application for tax increment financing to aid in the redevelopment of property to prepare for the construction of a three office buildings across from the new hospital south of Husker Highway and west of Prairieview Street. Staff has prepared a redevelopment plan for this property consistent with the TIF application. This application will benefit the developer by providing funds needed to complete the installation of streets, utilities and other public improvements needed to support this development. The eventual owners of the buildings are not benefiting directly from this application and will not be receiving any TIF payments. This is similar to other developments like Copper Creek. Prataria will finance the necessary improvements with the TIF so the property can be developed and sold. The CRA reviewed the proposed development plan on October 9, 2019 and forwarded it to the Hall County Regional Planning Commission for recommendation at their meeting on November 6, 2019. The CRA also sent notification to the City Clerk of their intent to enter into a redevelopment contract for this project pending Council approval of the plan amendment. The Hall County Regional Planning Commission held a public hearing on the plan amendment at a meeting on November 6, 2019. The Planning Commission approved Resolution 2020-03 in support of the proposed amendment, declaring the proposed amendment to be consistent with the Comprehensive Development Plan for the City of Grand Island. The CRA approved Resolution 325 forwarding the redevelopment plan Grand Island Council Session - 11/26/2019 Page 45 / 159 along with the recommendation of the planning commission to the City Council for consideration. Discussion Tonight, Council will hold a public hearing to take testimony on the proposed plan (including the cost benefit analysis that was performed regarding this proposed project) and to enter into the record a copy of the plan amendment that would authorize a redevelopment contract under consideration by the CRA. Council is being asked to approve a resolution approving the cost benefit analysis as presented in the redevelopment plan along with the amended redevelopment plan for CRA Area #17 and authorizes the CRA to execute a contract for TIF based on the plan amendment and to find that this project would not be financially feasible at this location without the use of TIF. The redevelopment plan amendment specifies that the TIF will be used to offset allowed costs for redevelopment for improvements and expansion of infrastructure including but not limited to: streets, water, sewer, drainage, along with site development costs as allowed by state statute to provide for commercial development of these sites for three office buildings. The cost benefit analysis included in the plan finds that this project meets the statutory requirements for as eligible TIF project and that it will not negatively impact existing services within the community or shift additional costs onto the current residents of Grand Island and the impacted school districts. The bond for this project will be issued for a period of 15 years. The proposed bond for this project will be issued for the amount of $1,800,000. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve the resolution 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation The CRA and Hall County Regional Planning Commission recommend that the Council approve the Resolution necessary for the adoption and implementation of this plan. Sample Motion Move to approve the resolution as submitted. Grand Island Council Session - 11/26/2019 Page 46 / 159 Redevelopment Plan Amendment Grand Island CRA Area 17 October 2019 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area 17 within the city, pursuant to the Nebraska Community Development Law (the “Act”) and provide for the financing of a specific project in Area 17. Executive Summary: Project Description PHASE 2 OF THE REDEVELOPMENT OF PROPERTY LOCATED SOUTH OF HUSKER HIGHWAY AND WEST OF U.S. HIGHWAY 281 THE PROJECT SITE CONSISTS OF 3 LOTS WITHING THE PRAIRIE COMMONS 3RD SUBDIVISION IMMEDIATELY WEST OF THE NEW HOSPITAL.. THE PROJECT WILL CONSIST OF SITE WORK AND GRADING TO PROMOTE AND ENHANCE DRAINAGE ACROSS THE SITE, INTALLATION OF PUBLIC AND PRIVATE ROADS, SEWER, WATER AND OTHER UTILITY INFRASTRUCTURE TO SUPPORT DEVELOPMENT OF THE SITE. THIS PHASE OF THIS DEVELOPMENT WILL CONSIST OF THE CONSTRUCTION 3 BUILDINGS FOR MULTIPLE USERS ON 3 LOTS. THE BUILDINGS ARE A COMBINATION OF 1 AND 2 STORY BUIDINGS RANGING IN SIZE FROM 6400 SQUARE FEET TO 20,500 SQUARE FEET FOR OFFICE USES. The use of Tax Increment Financing to aid in necessary infrastructure and grading improvements to redevelop the southwest corner of Husker Highway and U.S. Highway 281 currently platted as Prairie Commons Third Subdivision in the City of Grand Island. The use of Tax Increment Financing is an integral part of the development plan and necessary to make this project economically feasible. The first phase of this development including the Hospital and Medical Office Building to the east of this site is currently underway. It was anticipated when that project was approved that subsequent phases of the remainder of the site would include housing, office space and retail development. This second phase will extend the office development. The developer has indicated that this development would not be considered nor financially feasible for at this location without the use of TIF. Prataria Ventures L.L.C., a wholly owned subsidiary of Chief Industries, Inc., owns the subject property. Chief Industries was founded in 1954 and is headquartered in Grand Island. The developer is responsible for and has provided evidence that they can secure adequate debt financing to cover the costs associated with the site work and redevelopment. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2021 towards the allowable costs. Grand Island Council Session - 11/26/2019 Page 47 / 159 TAX INCREMENT FINANCING TO PAY FOR THE REHABILITATION OF THE PROPERTY WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) Legal Descriptions: Lot 1 of Block 1, and Lots 2 and 3 of Block 2 of Prairie Commons Third Subdivision in the City of Grand Island, Hall County, Nebraska. Grand Island Council Session - 11/26/2019 Page 48 / 159 Existing Land Use and Subject Property Grand Island Council Session - 11/26/2019 Page 49 / 159 This plan amendment provides for the issuance TIF Notes, the proceeds of which will be granted to the Redeveloper. The tax increment will be captured for up to 15 tax years the payments for which become delinquent in years 2021 through 2034 inclusive or as otherwise dictated by the contract. The real property ad valorem taxes on the current valuation will continue to be paid to the normal taxing entities. The incremental value for the first phase will be created by the construction commercial/office buildings ranging in size from 6400 square feet to 20,500 square feet. This area is planned for commercial development with the Grand Island Comprehensive Plan and is currently zoned RO Residential Office, a variety of office and medical uses are permitted in this district.. Statutory Pledge of Taxes. In accordance with Section 18-2147 of the Act and the terms of the Resolution providing for the issuance of the TIF Note, the Authority hereby provides that any ad valorem tax on the Redevelopment Project Area for the benefit of any public body be divided for a period of fifteen years after the effective date of this provision as set forth in the Redevelopment Contract, consistent with this Redevelopment Plan. Said taxes shall be divided as follows: a. That portion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the redevelopment project valuation shall be paid into the funds, of each such public body in the same proportion as all other taxes collected by or for the bodies; and b. That portion of the ad valorem tax on real property in the redevelopment project in excess of such amount, if any, shall be allocated to and, when collected, paid into a special fund of the Authority to pay the principal of; the interest on, and any premiums due in connection with the bonds, loans, notes, or advances on money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, a redevelopment project. When such bonds, loans, notes, advances of money, or indebtedness including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such redevelopment project shall be paid into the funds of the respective public bodies. Pursuant to Section 18-2150 of the Act, the ad valorem tax so divided is hereby pledged to the repayment of loans or advances of money, or the incurring of any indebtedness, whether funded, refunded, assumed, or otherwise, by the CRA to finance or refinance, in whole or in part, the redevelopment project, including the payment of the principal of, premium, if any, and interest on such bonds, loans, notes, advances, or indebtedness. Redevelopment Plan Amendment Complies with the Act: Grand Island Council Session - 11/26/2019 Page 50 / 159 The Community Development Law requires that a Redevelopment Plan and Project consider and comply with a number of requirements. This Plan Amendment meets the statutory qualifications as set forth below. 1. The Redevelopment Project Area has been declared blighted and substandard by action of the Grand Island City Council on June 9, 2015.[§18-2109] Such declaration was made after a public hearing with full compliance with the public notice requirements of §18-2115 of the Act. 2. Conformation to the General Plan for the Municipality as a whole. [§18-2103 (13) (a) and §18-2110] Grand Island adopted a Comprehensive Plan on July 13, 2004. This redevelopment plan amendment and project are consistent with the Comprehensive Plan, in that no changes in the Comprehensive Plan elements are intended. This plan merely provides funding for the developer to rehabilitate the building for permitted uses on this property as defined by the current and effective zoning regulations. The Hall County Regional Planning Commission held a public hearing at their meeting on November 6, 2019 and passed Resolution 2020-03 confirming that this project is consistent with the Comprehensive Plan for the City of Grand Island. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(13) (b)] a. Land Acquisition: This Redevelopment Plan for Area 17 does not anticipate real property acquisition by the developer. There is no proposed acquisition by the authority. b. Demolition and Removal of Structures: The project does not provide for the demolition or removal of any existing structures. c. Future Land Use Plan See the attached map from the 2004 Grand Island Comprehensive Plan. This property is in private ownership and is planned for commercial uses [§18-2103(b) and §18-2111]. A site plan of the area after the proposed redevelopment is also attached. [§18-2111(5)] Grand Island Council Session - 11/26/2019 Page 51 / 159 City of Grand Island Future Land Use Map Grand Island Council Session - 11/26/2019 Page 52 / 159 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The property is currently platted as Prairie Commons Third Subdivision. The property will be developed in substantial compliance with the existing plat. No changes in zoning are anticipated for the expected uses. No other planning changes contemplated. [§18-2103(b) and §18-2111] e. Site Coverage and Intensity of Use The developer is proposing to build on the site within the constraints allowed by the current zoning districts. The RO zoning district would allow up to 75% coverage. [§18- 2103(b) and §18-2111] f. Additional Public Facilities or Utilities Sewer and water are available to support this development. Sufficient capacity exists within these systems to support this development at completion. Sewer, water will be extended throughout the site. The developer will be responsible for engineering and installation of all required utilities. Said utilities are expected to become part of the city infrastructure and will be accepted into the city systems after construction and inspection. Electric infrastructure will be extended throughout the site according to typical commercial installation requirements. Natural gas and communications infrastructure will be installed according to the agreements formed with the private companies that provide those services. The City of Grand Island will secure all necessary easements for utility infrastructure with the platting and development processes. [§18-2103(b) and §18-2111] 4. The Act requires a Redevelopment Plan provide for relocation of individuals and families displaced as a result of plan implementation. No individuals or businesses will be relocated due to this development. [§18-2103.02] 5. No member of the Authority, nor any employee thereof holds any interest in any property in this Redevelopment Project Area. [§18-2106] No members of the authority or staff of the CRA has any ownership interest in this property at this time. Tom Gdowski, President of Equitable Bank and Krae Dutoit, President of the Gary Thompson Insurance Agency are potential purchasers of office properties in this phase of the development and abstained from voting on actions regarding this item. 6. Section 18-2114 of the Act requires that the Authority consider: a. Method and cost of acquisition and preparation for redevelopment and estimated proceeds from disposal to redevelopers. Grand Island Council Session - 11/26/2019 Page 53 / 159 The developer is showing a purchase price of this property of 1,147,000. The cost of property acquisition is not included as a TIF eligible expense but is included in the sources and uses of funds and overall investment calculations. Costs for site preparation including, grading and fill is estimated at $211,500. Utility extensions, storm water, sewer electrical and water are estimated at $536,000, Building plans and engineering are expected to cost $595,000. The cost of public roads is $310,000 and private streets is $222,600. An additional $30,000 of expenses for legal work, fees and financial tracking of this project are also included as eligible expenses for a total maximum TIF request of $1,905,100. It is estimated based on the proposed increased valuation to $8,199,624 will result in $178,697 of increment generated annually. Based on a TIF Bond of $1,800,000 this project should pay off prior to the end of the 15 year period. No property will be transferred to redevelopers by the Authority. The developer will provide and secure all necessary financing. No property will be transferred to redevelopers by the Authority. The developer will provide and secure all necessary financing. b. Statement of proposed method of financing the redevelopment project. The developer will provide all necessary financing for the project. The Authority will assist the project by granting the sum of $1,800,000 from the proceeds of the TIF Indebtedness issued by the Authority. This indebtedness will be repaid from the Tax Increment Revenues generated from the project. TIF revenues shall be made available to repay the original debt and associated interest after January 1, 2021 through December 2034 or such term as identified within the approved contract with no portion to exceed a term of 15 years. The developer will use the TIF Note to secure debt financing in an amount not to exceed $1,800,000 to be paid to the note holder during the term of the financing. c. Statement of feasible method of relocating displaced families. No families will be displaced as a result of this plan. 7. Section 18-2113 of the Act requires: Prior to recommending a redevelopment plan to the governing body for approval, an authority shall consider whether the proposed land uses and building requirements in the redevelopment project area are designed with the general purpose of accomplishing, in conformance with the general plan, a coordinated, adjusted, and harmonious development of the city and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity, and the general welfare, as well as efficiency and economy in the process of development, including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of the healthful and convenient distribution of population, the provision of adequate Grand Island Council Session - 11/26/2019 Page 54 / 159 transportation, water, sewerage, and other public utilities, schools, parks, recreational and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of insanitary or unsafe dwelling accommodations or conditions of blight. The Authority has considered these elements in proposing this Plan Amendment. This amendment, in and of itself will promote consistency with the Comprehensive Plan. This will have the intended result of preventing recurring elements of blighted and substandard conditions within the area. 8. Time Frame for Development Development of this project is anticipated to be completed between December of 2019 and December of 2020. Excess valuation should be available for this project for 15 years beginning with the 2021 tax year. This is the second phase of development of this property and it is anticipated that additional projects will be brought forward for separate consideration on other lots within this and adjacent subdivisions. 9. Justification of Project Extension of utilities, substantial site grading and installation of streets are necessary to facilitate redevelopment of this site. The redevelopment of this property by Prataria Ventures, LLC, will result in increased employment opportunities. This is development is a continuation of efforts to extend development south along U.S. Highway 281 toward U.S. Interstate 80. The Grand Island City Council has made in the past made it clear through previous decisions that they support development toward the I-80/281 interchange. 10. Cost Benefit Analysis Section 18-2113 of the Act, further requires the Authority conduct a cost benefit analysis of the plan amendment in the event that Tax Increment Financing will be used. This analysis must address specific statutory issues. As authorized in the Nebraska Community Development Law, §18-2147, Neb. Rev. Stat. (2012), the City of Grand Island has analyzed the costs and benefits of the proposed project, including: Project Sources and Uses. A maximum of $1,800,000 in public funds from tax increment financing provided by the Grand Island Community Redevelopment Authority will be required to complete the project. This investment by the Authority will leverage $11,632,000 in private sector financing and investment; a private investment of $6.46 for every TIF dollar investment. It is estimated this will pay off in less than 15 years. Grand Island Council Session - 11/26/2019 Page 55 / 159 Use of Funds.Source of Funds Description TIF Funds Private Funds Total Site Acquisition $1,147,000 $1,147,000 Utilities $536,000 $536,000 Public Streets $310,000 $310,000 Private Streets $117,500 $105,100 $222,600 Site preparation/Dirt Work $211,500 $211,500 Façade Enhancement $352,000 $352,000 Financing Fees $645,000 $645,000 Legal and Plan $30,000 $119,000 $149,000 Architecture/Engineering $595,000 $595,000 Building Costs $8,612,000 $8,612,000 Parking Lot $281,900 $281,900 Contingency $270,000 $270,000 Other $100,000 $100,000 TOTALS $1,800,000 $11,632,000 $13,432,000 Tax Revenue. The property to be redeveloped is has a January 1, 2019, valuation of approximately $34,624. Based on the 2019 levy this would result in a real property tax of approximately $773. It is anticipated that the assessed value will increase by $8,165,000 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $182,387 annually resulting in approximately $2,736,000 of increment over the 15 year period. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for a period of 15 years, or such shorter time as may be required to amortize the TIF bond, but would be used for eligible private redevelopment costs to enable this project to be realized. Estimated 2019 assessed value:$ 34,624 Estimated value after completion $ 8,199,624 Increment value $ 8,165,000 Annual TIF generated (estimated)$ 178,697 TIF bond issue $ 1,800,000 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $34,624. The proposed extension improvements at this location will result in at least an additional Grand Island Council Session - 11/26/2019 Page 56 / 159 $8,165,000 of taxable valuation based on the Hall County Assessor’s office evaluation of the project. No tax shifts are anticipated from the project. The project creates additional valuation that will support taxing entities long after the project is paid off. The project will not add any tax burdens to taxing entities. Therefore no tax shifts will occur. (b) Public infrastructure and community public service needs impacts and local tax impacts arising from the approval of the redevelopment project; No additional public service needs have been identified. Existing water and waste water facilities will not be impacted by this development. The electric utility has sufficient capacity to support the development. It is not anticipated that this will impact schools. Fire and police protection are available and should not be impacted by this development. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; The proposed uses at this site would provide for expansion of office jobs within the and compete with similar located in and locating in the City. (d) Impacts on other employers and employees within the city or village and the immediate area that are located outside of the boundaries of the area of the redevelopment project; and This project is unlikely to have an impact on other employers and employees within the city. (e) Impacts on the student population of school districts within the city or village; and This project is unlikely to create any direct increase in cost for schools in the area. (f) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. This project will continue growth along the 281 corridor in the direction of I-80. Time Frame for Development Development of this project is anticipated to be completed between Winter of 2019 and Winter of 2020. The base tax year should be calculated on the value of the property as of January 1, 2020. Excess valuation should be available for this project for 15 years beginning in 2022 with taxes due in 2021. Excess valuation will be used to pay the TIF Indebtedness issued by the CRA per the contract between the CRA and the developer for a period not to exceed 15 years or an amount not to exceed $1,800,000 the projected amount of increment based upon the anticipated value of the project and current tax rate. Grand Island Council Session - 11/26/2019 Page 57 / 159 Form Updated 7-25-2019cn Page | 1 BACKGROUND INFORMATION RELATIVE TO TAX INCREMENT FINANCING REQUEST Project Redeveloper Information Business Name: Prataria Ventures, LLC A wholly owned limited liability company of Chief Industries, Inc. Address: 3942 W Old Highway 30 P.O. Box 2078 Grand Island, NE 68803 Grand Island, NE 68802 Telephone No.: 308-389-7200 Fax No.: 308-389-7352 Email: Chris.Wissing@chiefind.com Contact: Chris Wissing Direct: 308-389-7243 Brief Description of Applicant’s Business: Prataria Ventures is the development business unit of Chief Industries. This entity provides development services for projects. Prataria holds the real estate holding for potential real estate and development investments, and is a premier real estate developer in the Midwest providing innovative and progressive developments through public and private partnerships. Our development portfolio includes projects for public and private institutions as well as for our own use. Our projects range from small properties to expansive developments throughout diverse communities from small towns to metropolitan communities. Chief Industries, Inc. is a diverse company headquartered in Grand Island. Founded in 1954, Chief has been a community leader in Grand Island and Central Nebraska and is a privately owned entity. Grand Island Council Session - 11/26/2019 Page 58 / 159 Form Updated 7-25-2019cn Page | 2 Legal Description/Address of Proposed Project Lot 1, Block 1, Prairie Commons Third Subdivision Lot 2, Block 2, Prairie Commons Third Subdivision Lot 3, Block 2, Prairie Commons Third Subdivision Community Redevelopment Area Number #17 Present Ownership Proposed Project Site: Prataria Ventures, LLC C/O Chief Industries, Inc. P.O. Box 2078 Grand Island, NE 68802 Is purchase of the site contingent on Tax Increment Financing Approval? No Proposed Project: Building square footage, size of property, description of buildings – materials, etc. Please attach site plan, if available. Building square footage: Three (3) buildings total approx. 41,500 SF Size of property: Phase 2, Approx. 5.00 acres Description of buildings: Prataria owns a 96 acre parcel of land that originally included a farm homestead, farmland and pasture land. Prataria proposes to develop this parcel in multiple separate phases. The first phase of the redevelopment has commenced pursuant to that Redevelopment Contract between Prataria and the Community Redevelopment Authority of the City of Grand Island dated September 26, 2017. This application sets forth the proposed phase two of the redevelopment of the Prataria property. The second phase will be on 5 acres that will include multiple office users. The private improvements will be constructed on Lot 1, Block 1, and Lots 2 and 3, Block 2 of Prairie Commons Third Subdivision. The private improvements will be constructed in three Grand Island Council Session - 11/26/2019 Page 59 / 159 Form Updated 7-25-2019cn Page | 3 subphases, and Prataria desires to establish a separate effective date for each lot/subphase, similar to the Phase One Redevelopment Contract. Lot 2, Block 2, Prairie Commons Third Subdivision The first office user will house their corporate headquarters in this location and is comprised of a traditional steel framed building with two stories. The exterior will be a mix of stone, metal panel, and storefront and will be approximately 14,600 square feet and sit on 1.25 acres of land with a dedicated parking lot contained on the site. The selected site enables future growth opportunities for this particular company. Lot 3, Block 2, Prairie Commons Third Subdivision The second and third users will be two business that will be housed in the same building and share a common area. This building will be composed of metal panel, stone, and storefront that is unique from the other building and will be approximately 20,500 square feet over two stories and sit on 1.65 acres of land with a dedicated parking lot contained on the site. The selected site enables future growth opportunities for these particular companies. Lot 1, Block 1, Prairie Commons Third Subdivision The fourth user will be approximately 6,400 square feet facility. The exterior materials will consist of mostly brick and stone with some accent features. This property is about 2.10 acres in size. Additional phases will be forthcoming. The remainder of the Prairie Commons Third Subdivision is intended to be redeveloped as one or more additional phases of the overall redevelopment of the area. If Property is to be Subdivided, Show Division Planned: The property has been subdivided as Prairie Commons Third Subdivision. See conceptual plan submitted and Prairie Commons Third Subdivision final plat (Exhibit A). VI. Estimated Project Costs: The estimated project costs set forth below are for all three subphases described in this TIF application. Grand Island Council Session - 11/26/2019 Page 60 / 159 Form Updated 7-25-2019cn Page | 4 Acquisition Costs: A. Land $ 1,147,000 B. Building $ 0 Construction Costs: A. Renovation or Building Costs: $ 8,964,000 B. On-Site Improvements: Sewer $ 378,000 Water $ 158,000 Electric $ 0 Gas $ 0 Public Streets/Sidewalks $ 310,000 Private Streets $ 504,500 Trails $ 0 Grading/Dirtwork/Fill $ 211,500 Demolition $ 0 Other $ 0 Total $ 11,673,000 Soft Costs: A. Architectural & Engineering Fees: $ 595,000 B. Financing Fees: $ 645,000 C. Legal $ 149,000 D. Developer Fees: $ 0 E. Audit Fees $ 0 F. Contingency Reserves: $ 270,000 G. Other (Please Specify) Real Estate Taxes $ 100,000 During Construction TOTAL $ 13,432,000 Total Estimated Market Value at Completion: $ 8,163,592 Grand Island Council Session - 11/26/2019 Page 61 / 159 Form Updated 7-25-2019cn Page | 5 Source for Estimated Market Value: Estimated Market Value is based on preliminary estimates given by Kristi Wold, Hall County Assessor, using schematic drawings of conceptual designs. The building values were added to the land values to arrive at the estimated market value. Source of Financing: A. Developer Equity: $ 2,908,000 B. Commercial Bank Loan: $ 8,724,000 C. Tax Credits: 1. N.I.F.A. $ 0 2. Historic Tax Credits $ 0 3. New Market Tax Credits $ 0 4. Opportunity Zone $ 0 D. Industrial Revenue Bonds: $ 0 E. Tax Increment Assistance: $ 1,800,000 F. Enhanced Employment Area $ 0 G. Nebraska Housing Trust Fund $ 0 H. Other $ 0 Name, Address, Phone & Fax Numbers of Architect, Engineer and General Contractor: Architect Name: Chief Construction Phone: 308-389-7222 Fax Number: 308-389-7393 Address: 3935 Westgate Road Grand Island, NE 68803 Grand Island Council Session - 11/26/2019 Page 62 / 159 Form Updated 7-25-2019cn Page | 6 Engineer Name: Olsson Associates Phone: 308-384-8750 Fax Number: 308-384-8752 Address: 201 E. 2nd Street Grand Island, NE 68801 General Contractor Name: Chief Construction Phone: 308-389-7222 Fax Number: 308-389-7393 Address: 3935 Westgate Road Grand Island, NE 68803 Estimated Real Estate Taxes on Project Site Upon Completion of Project: (Please Show Calculations) Please See Exhibit B Project Construction Schedule: The Construction shall be completed in phases, similar to phase one of the overall redevelopment. The construction of the private improvements shall be completed in three phases, with each lot identified herein having a separate effective date. PUBLIC IMPROVEMENTS: Construction Start Date: November 2019 Construction Completion Date: Fall 2020 PRIVATE IMPROVEMENTS: This will be a phased project with multiple individual users. The projects are planned and the times and sequencing of each respective project will be dependent on market conditions. Without an approved redevelopment agreement, construction of the project Grand Island Council Session - 11/26/2019 Page 63 / 159 Form Updated 7-25-2019cn Page | 7 (including all the subphases) will not be feasible, and the timing will be determined and redeveloper cannot proceed with finalizing any scheduling at this time. If Phased Project: _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete XII. Please Attach Construction Pro Forma Due to confidential nature of the projects, construction proforma available for discussion. XIII. Please Attach Annual Income & Expense Pro Forma (With Appropriate Schedules) Due to confidential nature of the projects, proforma available for discussion. TAX INCREMENT FINANCING REQUEST INFORMATION Describe Amount and Purpose for Which Tax Increment Financing is Requested: $1,800,000 dollars of tax increment financing is being requested to assist in the site preparation, grading, utilities, paving, landscaping, façade enhancements, architectural, engineering, and legal fees, public parking enhancements, and other necessary site preparation and development expenditures. This is a green field site that will need complete site work done before it is ready for any construction to commence. The TIF funds will enable project completion of phase 2, which will result in an improvement to the economic condition of the land and become a tax generating entity for the city of Grand Island. The opportunity to continue development in south Grand Island down corridor 281 towards the interstate has been a key objective for the city. This site will not only generate additional taxes for the city, but it will provide ample employment opportunities and quality of life features. Grand Island Council Session - 11/26/2019 Page 64 / 159 Form Updated 7-25-2019cn Page | 8 Statement Identifying Financial Gap and Necessity for use of Tax Increment Financing for Proposed Project: The proposed site work and construction costs will result in an overall improvement to the area and allow for additional goods and services and employment opportunities. Tax increment financing is an integral and essential component to the project completion which is contingent upon receipt of the expected tax increment assistance. Feasibility is dependent upon TIF funds that will enable the creation of adequate economics to make the necessary site improvements, utility extensions and new construction costs at a competitive rate in the area. Without TIF, the cost of the public improvements is too high to make development of the project site for any purpose feasible. Additionally, Prataria intends to include substantial façade enhancements for the public benefit. The façade enhancements are not required by and exceed local building codes. Because the façade enhancements are not required by building codes, the costs of these enhancements are not necessary for the Project and would not occur without the use of tax increment financing. The aesthetic benefits serve to decrease the blighted and substandard condition of an area and will benefit all the property in the Redevelopment Area and the City in general. The beautification of a blighted and substandard area is a useful tool to combat blight and substandard conditions and it is further expected to raise the quality and value of other properties in the Redevelopment Area. Municipal and Corporate References (if applicable). Please identify all other Municipalities, and other Corporations the Applicant has been involved with, or has completed developments in, within the last five (5) years, providing contact person, telephone and fax numbers for each: Green Line Redevelopment Current site of the Chief Construction Campus and Christensen Concrete. Contact: David Ostdiek Chief Industries Phone: 308-389-7246 David.Ostdiek@Chiefind.com Grand Island Council Session - 11/26/2019 Page 65 / 159 Form Updated 7-25-2019cn Page | 9 Aurora Co-Op Redevelopment Current site of Goodwill Industries Warehouse and Chief Fabrication. Contact: Contact: David Ostdiek Chad Nabity Chief Industries, Inc. Grand Island Regional Planning Director Phone 308-389-7246 Phone: 308-385-5444 Ext 210 David.Ostdiek@Chiefind.com ChadN@grand-island.com Lincoln West Haymarket Phase 1 & Phase 2 Includes Canopy Lofts, The Railyard, The Hobson Place and the Hyatt hotel. Contact: Contact: David Ostdiek Hallie Salem Chief Industries, Inc. Lincoln NE Urban Development Department Phone 308-389-7246 Phone: 402-441-7864 David.Ostdiek@Chiefind.com hsalem@lincoln.ne.gov Fountain Point Development Includes Norfolk Medical Real Estate Medical Office Building / Surgical Center and Heritage Assisted Living Facility Contact: Contact: Contact: David Ostdiek Andy Colvin Steven Rames Chief Industries, Inc. Norfolk City Administrator Norfolk City Eng. (308) 389-7246 (402) 844-2000 (402) 844-2035 David.Ostdiek@Chiefind.com acolvin@ci.norfolk.ne.us srames@ci.norfolk.ne.us Post Office Box 1968 Grand Island, Nebraska 68802-1968 Phone: 308 385-5240 Fax: 308 385-5423 Email: cnabity@grand-island.com Grand Island Council Session - 11/26/2019 Page 66 / 159 Total Investment:$13,431,650 Property Tax Basis:$34,624 Total Increment Created (Investment-Current Value):$13,397,026 Assess Tax Base 61% Total Value:$8,165,000 Tax Rate 2.197896% Number of Payments (Years)15 Increased Property Tax Revenue $178,697 Current Property Tax Revenue $761 Total Estimated Tax Bill $179,458 Requested TIF Assistance $1,800,000 Private Parking & Paving for Fire Lanes & Truck Access 222,600$ Grading / Dirtwork / Fill 211,500$ Utilities & Storm Drain 536,000$ Façade Enhancement -$ Architecture/Engineering 595,000$ Public Streets 310,000$ Legal 30,000$ Summary Total 1,905,100$ Project TIF Eligible Expenses Exhibit B Prataria Ventures, LLC Tax Increment Financing Request Estimated Real Estate on Project Site Existing Assessed Value and Real Estate on Project Site Grand Island Council Session - 11/26/2019 Page 67 / 159 Grand Island Council Session - 11/26/2019 Page 68 / 159 Grand Island Council Session - 11/26/2019 Page 69 / 159 Grand Island Council Session - 11/26/2019 Page 70 / 159 Grand Island Council Session - 11/26/2019 Page 71 / 159 PRATARIA VENTURES, LLC P.O. Box 2078 Grand Island, NE 68802 Prataria Ventures, LLC submits this letter to demonstrate to the City of Grand Island that the Project that is proposed within the Prairie Commons Subdivison would not occur at the proposed location if the project was not eligible for the use of tax increment financing. The Redevelopment Plan for the project indicates that the incremental tax revenue generated by the construction of the commercial buildings on the project site shall be captured to pay for eligible costs as outlined in the Nebraska Community Development Law. The eligible costs for the project include street and utility improvements; site preparation and grading; and engineering and design fees. In accordance with the requirements of the Nebraska Community Development Law, the project would not be economically feasible, and would not occur at the proposed location, without the assistance of the City of Grand Island and the capture of the incremental tax revenue. Specifically, the costs to install the necessary public street infrastructure and extend public utilities would make the project, as designed, not economically feasible for the developer, but for the assistance of tax increment financing to defray eligible costs. These upfront costs are a barrier to redevelopment, because they would require the redeveloper to charge land cost that would drive away the potential users, and the redeveloper is not willing to undertake this project without the users lined up. It is too costly and too big of an investment to undertake speculatively. Thus, the project as designed will not be constructed without the use of tax increment financing. This project consist of three potential users purchasing the properties and constructing buildings for their own use. Since the buildings will not be used for investment purposed a rate of return analysis is not warranted. Please let us know if you have any further questions. Sincerely, Roger Bullington, P.E. President/General Manager Chief Construction 4844-1112-9256, v. 1 Grand Island Council Session - 11/26/2019 Page 72 / 159 Grand Island Council Session - 11/26/2019 Page 73 / 159 Grand Island Council Session - 11/26/2019 Page 74 / 159 Grand Island Council Session - 11/26/2019 Page 75 / 159 Grand Island Council Session - 11/26/2019 Page 76 / 159 Grand Island Council Session - 11/26/2019 Page 77 / 159 Grand Island Council Session - 11/26/2019 Page 78 / 159 Grand Island Council Session - 11/26/2019 Page 79 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-1 Approving Minutes of November 12, 2019 City Council Regular Meeting Staff Contact: RaNae Edwards Grand Island Council Session - 11/26/2019 Page 80 / 159 CITY OF GRAND ISLAND, NEBRASKA MINUTES OF CITY COUNCIL REGULAR MEETING November 12, 2019 Pursuant to due call and notice thereof, a Regular Meeting of the City Council of the City of Grand Island, Nebraska was conducted in the Council Chambers of City Hall, 100 East First Street, on November 12, 2019. Notice of the meeting was given in The Grand Island Independent on November 6, 2019. Mayor Roger G. Steele called the meeting to order at 7:00 p.m. The following City Council members were present: Mike Paulick, Jeremy Jones, Mark Stelk, Jason Conley, Vaughn Minton, Julie Hehnke, Clay Schutz, Mitch Nickerson, and Chuck Haase. The following City Officials were present: City Administrator Jerry Janulewicz, City Clerk RaNae Edwards, Finance Director Patrick Brown, Interim City Attorney Stacy Nonhof, and Public Works Director John Collins. INVOCATION was given by Pastor Jason Warriner, Abundant Life Christian Center, 3411 West Faidley Avenue followed by the PLEDGE OF ALLEGIANCE. SPECIAL ITEMS: Approving Appointment of Justin Scott to City Council Ward 5. Mayor Steele stated he was submitting the name of Justin Scott as Councilmember for Ward 5 to replace Michelle Fitzke. Comments were made regarding the process of the appointment. Motion by Haase, second by Jones to approve. Upon roll call vote, Councilmembers Haase, Schutz, Hehnke, Minton, Conley, Stelk, and Jones voted aye. Councilmembers Nickerson and Paulick voted no. Motion adopted. Administration of Oath of Office to Newly Appointed Councilmember – Ward 5. City Clerk RaNae Edwards administered the Oath of Office to newly appointed Councilmember Justin Scott – Ward 5. PUBLIC HEARINGS: Public Hearing on Acquisition of Utility Easement - 228 Lake Street - R2S2, LLC. Utilities Director Tim Luchsinger reported that acquisition of a utility easement located at 228 Lake Street was needed in order to have access to install, upgrade, maintain, and repair appurtenances, including lines and transformers. Grand Island Hotel, LLC, had requested a new electrical service for a new Comfort Suites Hotel being built at 228 Lake Street. The proposed easement tracts would allow the Utilities Department to install, access, operate and maintain the electrical infrastructure at this location. Staff recommended approval. No public testimony was heard. CONSENT AGENDA: Consent Agenda item G-26 (Resolution #2019-345) was removed for further discussion. Motion by Paulick, second by Stelk to approve the Consent Agenda. Upon roll call vote, all voted aye. Motion adopted. Grand Island Council Session - 11/26/2019 Page 81 / 159 Page 2, City Council Regular Meeting, November 12, 2019 Approving Minutes of October 22, 2019 City Council Regular Meeting. Approving Re-Appointments of Hector Rubio, Robin Hendricksen, and Tony Randone to the Interjurisdictional Planning Commission. Approving Re-Appointment of Jason Hornady to the Grand Island Facilities Corporation Board. Approving Appointment of Susan Bullington to the Zoning Board of Adjustment. Approving Request from Mark Stock, 35049 475th Avenue, St. Edward, Nebraska for Liquor Manager Designation with Ramada Midtown Conference Center, 2503 South Locust Street. #2019-325 - Approving Acquisition of Utility Easement - 228 Lake Street - R2S2, LLC. #2019-326 - Approving Bid Award for Water Main Project 2020-W-1 - Lincoln & Delta with The Diamond Engineering Company of Grand Island, Nebraska in an Amount of $119,457.59. #2019-327 - Approving Safety Glass Contract for Utilities, Public Works and Parks Departments for 2020 – 2022 with Heartland Optical of Lincoln, Nebraska. #2019-328 - Approving the Union Pacific Rail Contract Agreement for Coal Transportation. #2019-329 - Approving Agreement for Engineering Consulting Services Related to Eddy Street Underpass Rehabilitation; Project No. 2019-U-1 with Olsson, Inc. of Grand Island, Nebraska in an Amount of $67,570.00. #2019-330 - Approving Dedicated Parking Stalls in the Public Parking Lot at 3rd Street and Pine Street- Pinnacle Bank. #2019-331 - Approving Skid Steer Buy-Back for Streets Division with Central Nebraska Bobcat of Grand Island, Nebraska in an Amount of $4,659.00. #2019-332 - Approving Year-End Certification of City Street Superintendent for Determining Incentive Payment for Calendar Year 2019. It was noted that Shannon Rose Callahan, License Number S-1485 has been employed as Grand Island Street Superintendent since August 8, 2011. #2019-333 - Approving Engineering Consulting Agreement for Stormwater Geospatial Data Collection with JEO Consulting Group, Inc. of Wahoo, Nebraska in an Amount of $308,898.00. #2019-334 - Approving Engineering Consulting Agreement for North Moores Creek Wetland Mitigation Bank with Felsburg Holt & Ullevig of Omaha, Nebraska in an Amount of $96,320.00. #2019-335 - Approving the Re-establishment of Connection Fees for Subdivided Lots in Bosselville Fifth Subdivision- Sanitary Sewer District No. 530T. Grand Island Council Session - 11/26/2019 Page 82 / 159 Page 3, City Council Regular Meeting, November 12, 2019 #2019-336 - Approving Amendment No. 1 to Engineering Consulting Agreement for North Road- Old Potash Highway to 13th Street Roadway Improvements; Project No. 2019-P-6 with Alfred Benesch & Company of Lincoln, Nebraska for an Increase of $133,772.00 and a Revised Contract Amount of $230,296.00. #2019-337 - Approving Repairs and Replacement of Flyght Equipment at the Wastewater Treatment Plant with Electric Pump, Inc. of Des Moines, Iowa in an Amount of 34,076.71. #2019-338 - Approving Purchase of One (1) 2020 Model 36,000 Pound Four Wheel Drive Front End Loader for the Solid Waste Division of the Public Works Department from NMC/Nebraska Machinery Company of Doniphan, Nebraska in an Amount of $135,825.00. #2019-339 - Approving Change Order No. 2 for Sycamore Street Underpass Rehabilitation; Project No. 2017-U-1 with The Diamond Engineering Company of Grand Island, Nebraska for an Increase of $74,820.00 and a Revised Contract Amount of $1,869,224.38. #2019-340 - Approving Amendment No. 3 for Engineering Consulting Services Related to Sycamore Street Underpass Rehabilitation with Alfred Benesch & Company of Lincoln, Nebraska for an Amount not to exceed $52,00.00 and a Revised Contract Amount of $551,838.00. #2019-341 - Approving Engineering Consulting Agreement for Custer Avenue- Forrest Street to Old Potash Highway Roadway Improvements; Project No. 2019-P-13 with Olsson, Inc. of Grand Island, Nebraska in an Amount of $100,900.00. #2019-342 - Approving Change Order No. 1 for Downtown Sanitary Sewer Rehabilitation- 2019; Project No. 2019-S-1 with Municipal Pipe Tool Co., Inc. of Hudson, Iowa for an Increase of $19,290.00 and a Revised Contract Amount of $653,699.00. #2019-343 - Approving Purchase of One (1) New Commercial 16 foot Mower for the Parks Division of the Parks & Recreation Department from Turfwerks of Omaha, Nebraska in an Amount of $95,250.00. #2019-344 - Approving Purchase of One (1) New 2020 1/2 Ton 4WD Pickup for the Parks Division of the Parks & Recreation Department from Husker Auto Group of Lincoln, Nebraska in an Amount of $30,799.00. #2019-345 - Approving Request for Proposal for Design Services for New Pickleball Courts at Veteran's Sports Complex Parks & Recreation Department with JEO Consulting Group of Wahoo, Nebraska in an Amount of $26,300.00. Parks and Recreation Director Todd McCoy stated they had advertised for proposals to design eight (8) new pickleball courts at the Veteran’s Sports Complex. The Parks and Recreation Department had teamed up with the Grand Island Pickleball Club in planning and support of this project. The club had raised $70,000 and were continuing fund raising efforts to support this project. Grand Island Council Session - 11/26/2019 Page 83 / 159 Page 4, City Council Regular Meeting, November 12, 2019 Nita Lechner, 215 Lakeside Drive and Brad Mellema, 2424 South Locust Street spoke in support. Finance Director Patrick Brown answered questions regarding the Food & Beverage money that was available for projects like this. Motion by Nickerson, second by Hehnke to approve Resolution #2019-345. Upon roll call vote, all voted aye. Motion adopted. #2019-346 -Approving Request to Place Historical Marker in Ryder Park to Commemorate the 1980 Tornados. RESOLUTIONS: #2019-347 - Consideration of Changing City Council Meeting of December 3, 2019 to December 30, 2019. City Administrator Jerry Janulewicz reported that since December 3rd was one week after the November 26th meeting it had been recommended that the City Council move the meeting date to December 30, 2019 at 5:30 p.m. in order to pay claims. Staff recommended approval. Motion by Schutz, second by Paulick to approve Resolution #2019-347. Upon roll call vote, all voted aye. Motion adopted. #2019-348 - Consideration of Approving Wastewater Cost of Service Based Rates. Public Works Director John Collins reported that the Wastewater Division was an enterprise fund with no property tax dollars used to support the division. A cost of service based rate study was performed by Black & Veatch of Kansas City, Missouri. The final report included average recommended rate increases for fiscal years 2020 through 2023. January 1, 2020- 3.5% October 1, 2020- 3.5% October 1, 2021- 3.0% October 1, 2022- 3.0% October 1, 2023- 2.5% It was recommended that the first year of rate adjustments would go into effect January 1, 2020. Introduced was Anna White from Black & Veatch who gave a PowerPoint presentation of the Wastewater Cost of Service Based Rates Study. Motion by Haase, second by Paulick to postpone this item to the December 10, 2019 Study Session. Upon roll call vote, all voted aye. Motion adopted. PAYMENT OF CLAIMS: Motion by Minton, second by Hehnke to approve the payment of claims for the period of October 23, 2019 through November 12, 2019 for a total amount of $4,993,683.13. Discussion was held regarding a claim on page 33 (check #6515) to Five Points Bank in the amount of Grand Island Council Session - 11/26/2019 Page 84 / 159 Page 5, City Council Regular Meeting, November 12, 2019 $4,500.00 for volunteer gift cards. Councilmembers Paulick, Stelk, Haase, and Jones voted no on that claim. Upon roll call vote on all other claims, all voted aye. Motion adopted. ADJOURNMENT: The meeting was adjourned at 9:23 p.m. RaNae Edwards City Clerk Grand Island Council Session - 11/26/2019 Page 85 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-2 Approving Appointment of Sara White to the Library Board Mayor Steele has submitted the appointment of Sara White to the Library Board to replace Sapna Purawat. The appointment would become effective immediately upon approval by the City Council and would expire on June 30, 2020. Staff Contact: Mayor Roger Steele Grand Island Council Session - 11/26/2019 Page 86 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-3 #2019-349 - Approving Preliminary and Final Plat and Subdivision Agreement for Ellington Pointe Staff Contact: Chad Nabity Grand Island Council Session - 11/26/2019 Page 87 / 159 Council Agenda Memo From:Regional Planning Commission Meeting:November 26, 2019 Subject:Ellington Pointe Subdivision – Preliminary and Final Plat Presenter(s):Chad Nabity, AICP, Regional Planning Director Background This property is located south of 13th Street and west of North Road in Grand Island, Nebraska. (Preliminary Plat 41 lots, 1 outlot, 14.3 acres Final Plat 41 Lots, 1 outlot, 14.3 Acres). This property is zoned R3-Medium Density Residential and R1-Suburban Density Residential. A tract of land consisting of all of Lot 2 Hanover Second Subdivision and all of Lots 2 and 4 Hanover Third Subdivision all in City Grand Island, Hall County, Nebraska. Discussion The preliminary and final plats for Ellington Pointe Subdivision were considered at the Regional Planning Commission at the November 6, 2019 meeting . A motion was made by Rainforth and second by Robb to approve the preliminary and final plat as presented. A roll call vote was taken and the motion passed with 10 members present and voting in favor (O’Neill, Nelson, Ruge, Maurer, Robb, Monter, Rubio, Hendricksen, Randone and Kjar) and no members present voting no. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Grand Island Council Session - 11/26/2019 Page 88 / 159 Recommendation City Administration recommends that Council approve the final plat as presented. Sample Motion Move to approve as recommended. Grand Island Council Session - 11/26/2019 Page 89 / 159 Grand Island Council Session - 11/26/2019 Page 90 / 159 Developer/Owner Perseverence LLC, and Andrew Eiler 4801 West Chapman Rd. Grand Island, NE 68803 To create Size: Preliminary Plat 41 lots, 14.3 acres Final Plat 41 lots, 14.3 Acres Zoning: R3 Medium Density Residential and R1 Suburban Density Residential Road Access: New 37’ City Streets will be constructed with this subdivision. Water Public: City water is available and will be extended to all lots. Sewer Public: City sewer is available and will be extended to all lots. Grand Island Council Session - 11/26/2019 Page 91 / 159 80.00'80.00'80.00'80.00' 102.00 102.00' 102.00' 102.00' 102.00' 73.96' 104.15' 102.00'104.17'96.55' 97.79' 98.55' 99.31' 100.07' 96.59' 97.58' 96.36'100.00'100.00'100.00'100.05' 111.52'113.81' 225.29' 226.05' 118.00' 118.00' 118.00' 86.71'80.00'80.00'80.00'80.03' 100.00' 5.82' 39.12'112.64' 64.00' 64.00'42.61' 64.00'64.00'98.01'99.22'100.41'101.61'51.59'146.50'142.10'142.10'64.00'64.00'136.00'135.52'135.04'142.70'169.09'85.92'84.07'114.80'200.72'125.56'125.97'105.01'105.01'85.00'85.00'85.00'85.00'85.00'91.00'91.00'108.00'92.37'88.00'88.00'60.78'82.00'85.00'85.00'85.00'51.60'44.28'LOT 2LOT 3LOT 4 LOT 7 LOT 6 LOT 5 LOT 4 LOT 3 LOT 2 LOT 1 LOT 4 LOT 7LOT 4 LOT 3 LOT 2 LOT 1 LOT 8 LOT 9 LOT 10 LOT 3 LOT 2 LOT 1 LOT 6 LOT 7 LOT 10 LOT 12 LOT 13LOT 14 139.91' BLOCK 1 BLOCK 3 OUTLOT A LOT 19 BLOCK 2 NOT A PART NORTH ROAD85.00'85.00'82.00'82.00'102.00'85.00'LOT 1 HANOVER 2ND SUBDIVISION 432.33' M N 88°38'03" E 175.69' M S 01°25'13" E150.00' M N 89°32'48" E 722.46' M & R S 89°14'00" W813.02' M N 01°24'35" W197.61' M S 01°24'15" ELOT 1LOT 2LOT 3LOT 4LOT 5LOT 6 WESTWOOD PARK SUBDIVISION 102.00' LOT 3 HANOVER THIRD SUBDIVISION LOT 1 BLOCK 2NEUMANN SECOND SUBDIVISIONLOT 1 HANOVER THIRD SUBDIVISION PRELIMINARY PLAT 1" = 50'6/10/19 Brent C. 111908.00 19-002 1 OF 3 PART OF LOT TWO (2) HANOVER SECOND SUBDIVISION AND LOT TWO (2) AND LOT FOUR (4) HANOVER THIRD SUBDIVISION INITIAL POINT SURVEYING LLC 410 S. Webb Rd.; Suite 4B Grand Island, NE 68803 308-383-6754 Cell 308-675-4141 Office NOT A PART NOT A PARTNOT A PART7' Utility Easement 7' Utility Easement 7' Utility Easement 7' Utility Easement 7' Utility Easement 7' Utility Easement 10' Drainaged & Utility Easement 7' Utility Easement 7' Utility Easement 7' Utility Easement 20' Utility & Drainage Easement 7' Utility Easement 7' Utility Easement 7' Utility Easement 20' Utility & Drainage Easement 20' Utility & Drainage Easement 20' Utility & Drainage Easement LEGAL DESCRIPTION A Replat of land consisting of Lot Two (2) Hanover Second Subdivision and Lot Two (2) and Lot Four (4) Hanover Third Subdivision, In the City of Grand Island, Hall County, Nebraska, more particularly described as follows: Commencing at the Northwest Corner of Lot Four (4) Hanover Third Subdivision, Said point being the Point of Beginning; Thence N 88°38'03” E along the North line Lot Four (4) Hanover Third Subdivision, a distance of Four Hundred Thirty Two and Thirty Three Hundredths (432.33') Feet; Thence N 01°20'19” W, a distance of One Hundred Eighty Seven and Ninety Nine Hundredths (187.99') feet; Thence N 88°39'34” E, a distance of Two Hundred Ninety and Eight Hundredths (290.08') feet; Thence S 01°21'52” E, a distance of Two Hundred Eight and Three Hundredths (208.03') feet; Thence S 88°40'03” W, a distance of One Hundred Fifty and Three Hundredths (150.03') feet; Thence S 01°25'13” E, a distance of One Hundred Seventy Five and Sixty Nine Hundredths (175.69') feet; Thence N 89°32'48” E, a distance of One Hundred Fifty (150.00') feet; Thence S 01°24'15” E, a distance of One Hundred Ninety Seven and Sixty One Hundredths (197.61') feet; Thence S 01°23'23” E, a distance of Four Hundred Twenty Four and Eighty One Hundredths (424.88') feet; Thence S 89°42'00” W, a distance of Seven Hundred Twenty Two and Forty Three Hundredths (722.43') feet; Thence N 01°24'35” W, a distance of Eight Hundred Thirteen and Seven Hundredths (813.07') feet to the Point of Beginning, Said tract contains a area of 618116.252 Square Feet or 14.189 Acres More or Less. SUBDIVISION INFORMATION OWNER: Perseverance LLC & Andrew J. Eiler & City of Grand Island PROPOSED LAND USE: Residential Development TOTAL LOTS: 41 Residential Lots 1 Outlot ENGINEER: Terry Brown E-8731 Alfred Benesch & Company SURVEYOR: Brent Cyboron LS-727 Initial Point Surveying LLC SURVEYORS CERTIFICATE I hereby certify that to the best of my knowledge and belief, the accompanying plat is from an accurate survey of the described property made under my supervision. Brent D. Cyboron Reg Land Surveyor LS - 727 ELLINGTON POINTE SUBDIVISION RYLIE WAYJAKE DRIVEHUFF BO U L E V A R D - Corner Found 1/2" Pipe Unless Otherwise Noted - 1/2 Rebar Placed W/Survey Cap Unless Otherwise Noted - Temporary Point All Distances on Curves are Chord Distance R - Recorded Distance M- Measured Distance Legend LOT 8 BLOCK 4 BLOCK 2 BLOCK 2 LOT 11102.80'118.71'184.8 9' LOT 5 LOT 1 173.27'95.62' 171.90' 173.58'206.32'206.39'208.03'187.99'290.08' 156.79'20.00' 150.03' 150.03' M S 88°40'03" W 208.03 M S 01°21'52" E290.08 M (290.02' R) N 88°39'34" E 187.99' M (187.99' R) N 01°20'19" WLOT 9 22.54' NOT A PARTA REPLAT OF LOT TWO (2) HANOVER SECOND SUBDIVISION AND LOT 2 AND LOT FOUR (4) HANOVER THIRD SUBDIVISION, CITY OF GRAND ISLAND,HALL COUNTY, NEBRASKA 51.60'51.60'LOT 15LOT 16LOT 17LOT 18 51.59'75.93'75.49'70.12'161.35'151.77' 64.00'64.00'118.00' 118.00' 20' Utility & Drainage Easement 20' Utility & Drainage Easement 20' Utility & Drainage Easement GUS STREET 51.60'51.60'10 11 12 13 14 9 3 2 1 8 7 6 5 58.23' 40.00' 40.00'1312.88' M (1313.20' A) S 01°24'16" EP.O.B.51.60'424.88' M (430.81' R) S 01°23'23" E7/3/19 10' Utility Easement 10' Utility Easement 10' Drainaged & Utility Easement 10' Utility Easement CURVE TABLE 15' Utility & Drainage Easement 15' Drainaged & Utility Easement LOT 5LOT 6 4 BLOCK 2 LOT 5 73.32'72.80'72.80' 74.55'72.80' 72.80'150.12'4.45' 10/28/19113.17'82.00'82.00'82.00'85.00'(Utility & Drainage Easement)1312.88' M (1313.20' A) S 01°24'16" EGrand Island Council Session - 11/26/2019 Page 92 / 159 ELLINGTON POINTE SUBDIVISION ELLINGTON POINTE FINAL PLAT 1" = 60'4/30/19 Brent C. 111908.00 19-002 1 OF 2 TWO (2) HANOVER SECOND SUBDIVISION AND LOT 2 & LOT FOUR (4) HANOVER THIRD SUBDIVISION INITIAL POINT SURVEYING LLC 410 S. Webb Rd.; Suite 4B Grand Island, NE 68803 308-383-6754 Cell 308-675-4141 Office 7/3/19 10/30/19 Scale 1" = 60' LOT 14 LOT 1 OUTLOT A LOT 1LOT 2 LOT 3LOT 4 LOT 5LOT 6LOT 1 BLOCK 2NEUMANN SECOND SUBDIVISIONNOT A PART226.05' 73.32' NOT A PART LOT 1 HANOVER 2ND SUBDIVISION 432.33' M N 88°38'03" E 175.69' M S 01°25'13" E150.00' M N 89°32'48" E 722.46' A & R S 89°14'00" W813.02' M N 01°24'35" W197.61' M S 01°24'15 EWESTWOOD PARK SUBDIVISION LOT 3 HANOVER THIRD SUBDIVISION NOT A PART NOT A PART 171.90' 173.58'206.32'206.39'208.03'187.99'290.08' 20.00' 150.03' 150.03' M S 88°40'03" W 208.03 M S 01°21'52" E290.08 M (290.02' R) N 88°39'34" E 187.99' M (187.99' R ) N 01°20'19"W424.88' M (430.81' R) S 01°23'23" E - Corner Found 1/2" Pipe Unless Otherwise Noted - 1/2 Rebar Placed W/Survey Cap Unless Otherwise Noted - Temporary Point All Distances on Curves are Chord Distance R - Recorded Distance M- Measured Distance Legend 97.58' 96.36'100.00'100.00'100.00'100.05' 100.00' 5.82' 58.23' 39.12'112.64' 64.00'64.00'136.00'135.52'135.04'142.70'166.09'200.72'LOT 5 LOT 7 LOT 6 LOT 5 LOT 4 LOT 3 LOT 2 LOT 1 BLOCK 1 7' Utility Easement 7' Utility Easement 20' Utility & Drainage Easement 7' Utility Easement 20' Utility & Drainage Easement 20' Utility & Drainage Easement 20' Utility & Drainage Easement 15' Utility & Drainage Easement 72.80'72.80' 118.00' 118.00' 118.00' 86.71'51.59'142.10'142.10'142.10'60.78'51.60'44.28'LOT 2LOT 3LOT 4 LOT 4 LOT 3 LOT 2 LOT 1 LOT 5 LOT 6 LOT 9 LOT 11 LOT 12 LOT 13 139.91' BLOCK 3 7' Utility Easement 7' Utility Easement 7' Utility Easement 15' Drainaged & Utility Easement 7' Utility EasementRYLIE WAYLOT 7 BLOCK 2 LOT 10118.71'184.8 9'173.27'95.62'51.600'156.79' LOT 8 22.54'51.60'51.60'51.59'51.60'75.93'75.49'70.12'161.35'151.77' 64.00'64.00'118.00' 118.00' 20' Utility & Drainage Easement 20' Utility & Drainage Easement 74.55'72.80'7' Utility Easement HUFF B O U L E V A R D SUBDIVISION INFORMATION OWNER: Perseverance LLC & Andrew J. Eiler & City of Grand Island PROPOSED LAND USE: Residential Development TOTAL LOTS: 41 Residential Lots 1 Outlots ENGINEER: Terry Brown E-8731 Alfred Benesch & Company SURVEYOR: Brent Cyboron LS-727 Initial Point Surveying LLC51.60'177.98'10 11 12 13 14 9 3 2 1 8 7 6 5123.00' M N 00°53'49" W64.00'P.O.B. A REPLAT OF LOT TWO (2) HANOVER SECOND SUBDIVISION AND LOT 2 AND ALL OF LOT FOUR (4) HANOVER THIRD SUBDIVISION, CITY OF GRAND ISLAND, HALL COUNTY, NEBRASKA BLOCK 2 BLOCK 2 GUS STREET 1312.88' M (1313.20' A) S 01°24'16" ENORTH ROAD40.00' 40.00' 10' Utility Easement 10' Utility Easement 10' Utility Easement 8363.793 Sq. Ft. 8363.793 Sq. Ft. 8669.785 Sq. Ft. 8669.785 Sq. Ft. 8669.785 Sq. Ft.8363.793 Sq. Ft. 8976.00 Sq. Ft. 9143.793 Sq. Ft. 8473.115 Sq. Ft. 8405.012 Sq. Ft. 8343.813 Sq. Ft. 10194.111 Sq. Ft. 13099.333 Sq. Ft. 14233.923 Sq. Ft. 35658.168 Sq. Ft. 6087.620 Sq. Ft. 6088.800 Sq. Ft. 6088.800 Sq. Ft. 6088.800 Sq. Ft. 54544.415 Sq. Ft. LOT 6 LOT 7 LOT 8 LOT 9 LOT 1 LOT 2 LOT 3 LOT 4 LOT 5 7890.069 Sq. Ft.7954.550 Sq. Ft.8080.453 Sq. Ft.8176.683 Sq. Ft.LOT 18 LOT 17 LOT 16 LOT 15 BLOCK 4 BLOCK 2 13526.496 Sq. Ft.13757.640 Sq. Ft.15302.458 Sq. Ft. 18415.015 Sq. Ft. 13702.048 Sq. Ft. 8665.503 Sq. Ft. 6452.263 Sq. Ft. 9919.379 Sq. Ft. 8161.400 Sq. Ft. 7438.541 Sq. Ft. 64.00' 64.00'64.00'72.80'150.12'LOT 19 4.45' LOT 10 80.00'80.00'80.00'80.00' 80.00'80.00'80.00'80.03'98.01'99.22'100.41'101.61'102.80'4 20' Utility Easement 7' Utility Easement 10' Utility & Drainage Easement JAKE DRIVE10931.417 Sq. Ft.10641.224 Sq. Ft. 11740.904 Sq. Ft.10618.727 Sq. Ft.10344.629 Sq. Ft.10505.841 Sq. Ft. CURVE TABLE 8810.703 Sq. Ft.1312.88' M (1313.20' A) S 01°24'16" E342.03' M N 89°30'23" E 515.01' M S 00°53'49" E423.42' M S 00°53'49" E202.95' M N 89°30'23" E 59.94' M N 6 9 ° 2 3' 1 6 " E 152.84' M N 88°29'58" E 102.00 102.00' 102.00' 102.00' 102.00' 73.96' 102.00'104.17'96.55' 97.79' 98.55' 99.31' 100.07' 100.88' 111.52'113.81' 225.29' 42.61'85.92'84.07'114.80'125.56'125.97'105.01'105.01'85.00'85.00'85.00'85.00'85.00'91.00'91.00'108.00'92.37'88.00'85.00'85.00'85.00'85.00'82.00'82.00'102.00'85.00'102.00' 7' Utility Easement 7' Utility Easement 113.17'82.00'82.00'82.00'85.00'102.00'82.00'85.00'88.00'(Utility & Drainage Easement) 7' Utility Easement 7' Utility Easement 10' Utility & Drainage Easement Grand Island Council Session - 11/26/2019 Page 93 / 159 SUBDIVISION AGREEMENT ELLINGTON POINTE SUBDIVISION (Block 1, Lots 1-7, Block 2, Lots 1-19, Block 3, Lots 1-10, Block 4, Lots 1-5, Outlot A) In the City of Grand Island, Hall County Nebraska The undersigned, PERSEVERANCE L.L.C., a Nebraska Limited Liability Company and ANDREW JACOB EILER and THE CITY OF GRAND ISLAND, hereinafter called the Subdivider, as owner of a tract of land in the City of Grand Island, Hall County, Nebraska, more particularly described as follows: A Tract of land consisting of Lot Two (2) Hanover Second Subdivision and Lot Two (2) and Lot Four (4) Hanover Third Subdivision, in the City of Grand Island, Hall County, Nebraska, more particularly described as follows: Commencing at the Northwest Corner of Lot Four (4) Hanover Third Subdivision, Said point being the Point of Beginning; Thence N 88°38'03” E along the North line Lot Four (4) Hanover Third Subdivision, a distance of Four Hundred Thirty Two and Thirty Three Hundredths (432.33') Feet; Thence N 01°20'19” W, a distance of One Hundred Eighty Eight and Nine Hundredths (180.09') feet; Thence N 88°39'34” E, a distance of Two Hundred Ninety and Eight Hundredths (290.08') feet; Thence S 01°21'52” E, a distance of Two Hundred Eight and Three Hundredths (208.03') feet; Thence S 88°40'03” W, a distance of One Hundred Fifty and Three Hundredths (150.03') feet; Thence S 01°25'13” E, a distance of One Hundred Seventy Five and Sixty Nine Hundredths (175.69') feet; * This Space Reserved for Register of Deeds * Grand Island Council Session - 11/26/2019 Page 94 / 159 - 2 - Thence N 89°32'48” E, a distance of One Hundred Fifty (150.00') feet; Thence S 01°24'15” E, a distance of One Hundred Ninety Seven and Sixty One Hundredths (197.61') feet; Thence S 01°23'23” E, a distance of Four Hundred Twenty Four and Eighty Eight Hundredths (424.88') feet; Thence S 89°14'00” W, to the South East corner Neumann Second Subdivision, a distance of Seven Hundred Twenty Two and Forty Three Hundredths (722.43') feet; Thence N 01°24'35” W, a distance of Eight Hundred Thirteen and Seven Hundredths (813.07') feet to the Point of Beginning, Said tract contains an area of 644651.454 Square Feet or 14.799 Acres More or Less; desires to have subdivided as a subdivision the foregoing tract of land located within the corporate limits of the City of Grand Island, Nebraska, and hereby submits to the City Council of such City for acceptance as provided by law an accurate map and plat of such proposed subdivision, to be known as ELLINGTON POINTE SUBDIVISION, designating explicitly the land to be laid out and particularly describing the lots, easements, and streets belonging to such subdivision, with the lots designated by number, easements by dimensions, and streets by name, and proposes to cause the plat of such subdivision when finally approved by the Regional Planning Commission and the City Council to be acknowledged by such owner, certified as to accuracy of survey by a registered land surveyor, and to contain a dedication of the easements to the use and benefit of public utilities, and of the street to the use of the public forever. In consideration of the acceptance of the plat of said ELLINGTON POINTE SUBDIVISION, the Subdivider hereby consents and agrees with the City of Grand Island, Nebraska, that it will install or provide at its expense the following improvements: 1.Paving. The Subdivider agrees to pave Gus Street, Riley Way, Jake Drive and Huff Boulevard in accordance with plans and specifications approved by the City's Director of Public Works, and subject to the City's inspection and subject to the City's inspection with a minimum back of curb to back of curb width of 37 feet. If the Subdivider fails to pave Gus Street, Riley Way, Jake Drive and Huff Boulevard, the City may create a paving district to Grand Island Council Session - 11/26/2019 Page 95 / 159 - 3 - perform such work. The Subdivider agrees to waive the right to object to the creation of any paving district for North Road where it abuts the subdivision. 2.Water. Public water is available to the subdivision and the Subdivider agrees to extend, connect and provide water service to all lots in the subdivision in accordance with plans and specifications approved by the Director of Public Works, and subject to the City’s inspection. 3.Sanitary Sewer. Public sanitary sewer is available to the subdivision and the Subdivider agrees to extend, connect and provide sanitary sewer service to all lots in the subdivision in accordance with plans and specifications approved by the Director of Public Works, and subject to the City’s inspection. 4.Storm Drainage. The Subdivider agrees to grade all lots in the subdivision in conjunction with the development proposed thereon so that storm drainage is conveyed to a public right-of-way or to other drainage systems so approved by the Director of Public Works. If the Subdivider fails to grade and maintain such drainage the City may create a drainage district to perform such work. The Subdivider agrees to waive the right to object to the creation of any drainage district benefitting the subdivision. In the event that improvements have not been made to North Road by January 1, 2024 the subdivider shall request a drainage improvement district or cause the Detention Cell located on Outlot A to be connected to the City’s storm water drainage system located on the east side of North Road. 5.Sidewalks. The Subdivider shall install and maintain all public sidewalks required by the City of Grand Island when the lots are built upon, and such sidewalk shall be regulated and required with the building permit for each such lot. Grand Island Council Session - 11/26/2019 Page 96 / 159 - 4 - The Subdivider must select curb or conventional sidewalk for each street unless the requirement has been waived by Council. Street Name Curb sidewalk Conventional Sidewalk Sidewalk Requirement Waived by Council North Road Yes Huff Boulevard NO Gus Street NO Riley Way NO Jake Drive NO Immediate sidewalk construction adjacent to North Road shall be waived. However, the sidewalks shall be constructed when the property owner is directed to do so by the City Council. In the event a Street Improvement District is created to pave North Road, the Subdivider agrees to install public sidewalks within one year of the completion of such street improvement district in accordance with the City of Grand Island Sidewalk Policy. 6.Outlots. Outlot A is designated as a detention cell and maintenance shall be the responisiblity of the Subdivider or Home Owners Association. 7.Easements. Any easements shall be kept free of obstructions and the Subdivider shall indemnify the City for any removal or repair costs caused by any obstructions. In addition, the duty to maintain the surface of any easements to keep them clear of any worthless vegetation or nuisance shall run with the land. 8.Engineering Data. All final engineering plans and specifications for public improvements shall bear the signature and seal of a professional engineer registered in the State of Nebraska and shall be furnished by the Subdivider to the Department of Public Works for approval prior to contracting for construction of any improvements. Inspections of improvements under construction shall be performed under the supervision of a professional engineer registered in the State of Nebraska, and upon completion shall be subject to inspection Grand Island Council Session - 11/26/2019 Page 97 / 159 - 5 - and approval by the Department of Public Works prior to acceptance by the City of Grand Island. An "as built" set of plans and specifications including required test results bearing the seal and signature of a professional engineer registered in the State of Nebraska shall be filed with the Director of Public Works by the Subdivider prior to acceptance of these improvements by the City. 9.Warranty. The undersigned owner, as Subdivider, warrants that it is the owner in fee simple of the land described and proposed to be known as ELLINGTON POINTE SUBDIVISION, and that an abstract of title or title insurance commitment will be submitted for examination, if necessary, upon request of the City of Grand Island. 10.Successors and Assigns. This agreement shall run with the land and shall be binding upon and inure to the benefit of the parties hereto, their successors, assigns, heirs, devisees, and legatees. Where the term "Subdivider" is used in this agreement, the subsequent owners of any lots in the subdivision shall be responsible to perform any of the conditions of this agreement if the Subdivider has not performed such conditions. Dated _____________________, 2019. PERSEVERANCE, L.L.C., A NEBRASKA LIMITED LIABILITY COMPANY, Subdivider By: ____________________________________ Trent Huff, Member Grand Island Council Session - 11/26/2019 Page 98 / 159 - 6 - STATE OF NEBRASKA ) ) ss COUNTY OF HALL ) On _________________________, 2019, before me, the undersigned, a Notary Public in and for said County and State, personally appeared Trent Huff, member of Perseverance L.L.C., a Nebraska Limited Liability Company, known personally to me to be the identical person and such officer who signed the foregoing Subdivision Agreement and acknowledged the execution thereof to be his voluntary act and deed for the purpose therein expressed on behalf of Perseverance, L.L.C. WITNESS my hand and notarial seal the date above written. _____________________________________________ Notary Public My commission expires: __________________________ ANDREW JACOB EILER, Subdivider By: ____________________________________ Andrew Jacob Eiler STATE OF NEBRASKA ) ) ss COUNTY OF HALL ) On _________________________, 2019, before me, the undersigned, a Notary Public in and for said County and State, personally appeared Andrew Jacob Eiler, known personally to me to be the identical person who signed the foregoing Subdivision Agreement and acknowledged the execution thereof to be his voluntary act and deed for the purpose therein expressed. WITNESS my hand and notarial seal the date above written. _____________________________________________ Notary Public My commission expires: __________________________ CITY OF GRAND ISLAND, NEBRASKA A Municipal Corporation By:____________________________________ Roger G. Steele, Mayor Grand Island Council Session - 11/26/2019 Page 99 / 159 - 7 - Attest: ___________________________________ __ RaNae Edwards, City Clerk STATE OF NEBRASKA ) ) ss COUNTY OF HALL ) On _________________________, 2019, before me, the undersigned,, a Notary Public in and for said County and State, personally came Roger G. Steele, Mayor of the City of Grand Island, Nebraska, a municipal corporation, known to me to be such officer and the identical person who signed the foregoing Subdivision Agreement and acknowledged that the foregoing signature was his voluntary act and deed pursuant to Resolution 2019-____, and that the City's corporate seal was thereto affixed by proper authority. WITNESS my hand and notarial seal the date above written. ______________________________________________ Notary Public My commission expires: ____________________ Grand Island Council Session - 11/26/2019 Page 100 / 159 Approved as to Form ¤ ___________ November 26, 2019 ¤ City Attorney R E S O L U T I O N 2019-349 WHEREAS PERSERVERANCE, LLC, and ANDREW EILER being the said owners of the land described hereon, have caused the same to be surveyed, subdivided, platted and designated as “ELLINGTON POINTE SUBDIVISION” A Replat of land consisting of Lot Two (2) Hanover Second Subdivision and Lot Two (2) and Lot Four (4) Hanover Third Subdivision, commencing at the Northwest Corner of Lot (4) Hanover Third Subdivision Quarter of the Northwest Quarter (NW1/4,NW1/4) of Section 8, Township Ten (10) North, Range Nine (9) West of the 6th P.M., Hall County, Nebraska, and has caused a plat thereof to be acknowledged by it; and WHEREAS, a copy of the plat of such subdivision has been presented to the Boards of Education of the various school districts in Grand Island, Hall County, Nebraska, as required by Section 19-923, R.R.S. 1943; and WHEREAS, a form of subdivision agreement has been agreed to between the owner of the property and the City of Grand Island. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the form of subdivision agreement herein before described is hereby approved, and the Mayor is hereby authorized to execute such agreement on behalf of the City of Grand Island. BE IT FURTHER RESOLVED that the final plat of ELLINGTON POINTE SUBDIVISION, as made out, acknowledged, and certified, is hereby approved by the City Council of the City of Grand Island, Nebraska, and the Mayor is hereby authorized to execute the approval and acceptance of such plat by the City of Grand Island, Nebraska. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 101 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-4 #2019-350 - Approving Platte Generating Station Coal Combustion Residual Groundwater Services Assessment of Corrective Measures - Task 12 Staff Contact: Tim Luchsinger, Stacy Nonhof Grand Island Council Session - 11/26/2019 Page 102 / 159 Council Agenda Memo From:Timothy Luchsinger, Utilities Director Stacy Nonhof, Interim City Attorney Meeting:November 26, 2019 Subject:Platte Generating Station Coal Combustion Residual (CCR) Groundwater Services - Assessment of Corrective Measures Presenter(s):Timothy G. Luchsinger, Utilities Director Background On April 17, 2015, the U.S. Environmental Protection Agency (EPA) published the final rule for the regulation and management of Coal Combustion Residual (CCR) under the Resource Conservation and Recovery Act (RCRA). The rule became effective on October 19, 2015. In general, CCR compliance activities include publication of public information on the web, signage, groundwater sampling, and impoundment structural and safety assessment is required for the Platte Generating Station (PGS). Platte Generating Station personnel reviewed the regulations and determined consulting services were needed to meet the CCR Rule compliance schedule. HDR Engineering was hired as the sole source to ensure timeliness, high quality and consistency among other electric utilities and independent power producers in Nebraska. Discussion On September 27, 2016 Council Approved HDR Engineering to complete Tasks 1-4 to include ground water sampling, review of the Ash Landfill Closure Plan, Post-Closure Plan, and Run on/run off Control System Plan for a cost not to exceed $86,290.00. On September 24, 2019, Council approved HDR Engineering to complete Tasks 5-9 to include groundwater sampling, fugitive dust control, alternative source demonstration (ASD) investigation, statistical analysis reporting, and preparation of a conceptual site model of the hydrologic and hydro-geochemical setting of the PGS Ash Landfill including evaluation of the results of the model for a cost not to exceed $189,960.00. On October 8, 2019, Council approved HDR Engineering to complete Task 10 to include preparation for the Title 132 Permit Renewal Application and amend the CCR Run-On Grand Island Council Session - 11/26/2019 Page 103 / 159 and Run-Off Control System Plan for a cost not to exceed $39,970.00. Task 11 was also presented for the CCR 2019 Annual Landfill Inspection and Fugitive Dust Control Reporting for a cost not to exceed $12,990.00. To meet the next phase of the CCR Rule for finalizing the Assessment of Corrective Measures (ACM) and update the CCR Groundwater Certifications including the upgradient well MW-10, Task 12 is being presented for a cost not to exceed $16,600.00. To ensure the same high quality and consistency for these next phases of the CCR Rule 257.95(g) and NDEE Title 132, it is recommended that HDR Engineering continue with this task. HDR is providing professional consultant services regarding CCR to Omaha Public Power District, Hastings Utilities, Fremont Utilities and the Public Power Generation Agency. In accordance with City Procurement Code, plant staff recommends that the Council authorize HDR Engineering continue their services as the Consulting Engineer for the Platte Generating Station CCR requirements. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council authorize HDR, Inc., of Omaha, Nebraska, for providing Engineering services to meet the Coal Combustion Residuals Program Assessment of Corrective Measures (ACM) and Groundwater Certification for Platte Generating Station for a fee not to exceed $16,600.00. Sample Motion Move to authorize HDR, Inc., of Omaha, Nebraska for providing Engineering Services for the Platte Generating Station Assessment of Corrective Measures and Groundwater Certification for a fee not to exceed $16,600.00. Grand Island Council Session - 11/26/2019 Page 104 / 159 Approved as to Form ¤ ___________ November 21, 2019 ¤ City Attorney R E S O L U T I O N 2019-350 WHEREAS, the U.S. Environmental Protection Agency’s Rule for the regulation and management of Coal Combustion Residual (CCR) under the Resource Conservation and Recovery Act (RCRA) became effective on October 19, 2015; and WHEREAS, personal at the Platte Generating Station reviewed the regulations and determined consulting services were needed to meet the CCR Rule Compliance schedule, and HDR Engineering was hired as the sole source to ensure timeliness, high quality and consistency among other electric utilities and independent power producers in Nebraska; and WHEREAS, on September 27, 2016 Council approved HDR Engineering to complete task 1-4 to include ground water sampling, review of the Ash Landfill Closure Plan, Post-closure Plan, and Run-on/run-off Control System Plan for a cost not to exceed $86,290.00 WHEREAS, on September 24, 2019 Council approved HDR Engineering to complete Tasks #5-9 to allow compliance with the CCR Rule in an amount not to exceed $189,960.00; and WHEREAS, on October 8, 2019, Council approved HDR Engineering to complete Task 10 to include preparation for the Title 132 Permit Renewal Application and amend the CCR Run-On and Run-Off Control System Plant at a cost not to exceed $39,970.00; and Task 11 for the CCR 2019 Annual Landfill Inspection and Fugitive Dust Control Reporting for a cost not to exceed $12,990.00; and WHEREAS, to meet the next phase of the CCR Rule for finalizing the Assessment of Corrective Measures (ACM) and update the CCR Groundwater Certifications including the upgradient Well MW-11, Task 12 is being presented for a cost not to exceed $16,660.00. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that HDR Engineering is authorized to continue with Task 12 associated with the CCR Rule and NDEE Title 132 in an amount not to exceed $16,660.00. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 105 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-5 #2019-351 - Approving Acquisition of Public Right-of-Way in the NE Quarter of Section 23, Township 11 North, Range 10 W & in the NW Quarter of Section 23, Township 11 North, Range 10 W- W of North Road/ South of Old Potash Highway (Parcel No. 400200929 & No. 400475308- Eric M & Kenda D Pollock) This item relates to the aforementioned Public Hearing item E-1. Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 11/26/2019 Page 106 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-351 WHEREAS, public right-of-way is required by the City of Grand Island, from Eric M. and Kenda D. Pollock, for construction of Moores Creek Drainage Ditch extension in the City of Grand Island, Hall County, Nebraska and more particularly described as follows: Property Owner Legal Description Amount Eric M. and Kenda D. Pollock- Parcel No. 400200929 A TRACT OF LAND LOCATED IN THE NORTHEAST QUARTER OF THE NORTHEAST QUARTER OF SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST OF THE SIXTH P.M., HALL COUTNY, NEBRASKA, BEING DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF THE NORTHEAST QUARTER OF SAID SECTION 23; THENCE S01o08’13”E (ASSUMED BEARING) ON THE EAST LINE OF SAID NORTHEAST QUARTER OF THE NORTHEAST QUARTER, A DISTANCE OF 954.05 FEET; THENCE S89o28’15”W PARALLEL WITH AND 80.00 FEET DISTANT FROM THE NORTH LINE OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 97-109582, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA, A DISTANCE OF 412.90 FEET; THENCE N01o08’13”W PARALLEL WITH AND 412.90 FEET DISTANT FROM SAID EAST LINE, A DISTANCE OF 954.00 FEET TO THE NORTH LINE OF SAID NORTHEAST QUARTER OF THE NORTHESAT QUARTER; THENCE N89o27’48”E ON SAID NORTH LINE, A DISTANCE OF 412.90 FEET TO THE POINT OF BEGINNING, CONTAINING 9.04 ACRES, MORE OR LESS, WHICH INCLUDES 1.01 ACRES, MORE OR LESS, OF CURRENTLY OCCUPIED PUBLIC ROAD RIGHT-OF-WAY. $220,825.00 Eric M. and Kenda D. Pollock- Parcel No. 400475308 A TRACT OF LAND LOCATED IN THE SOUTHWEST QUARTER OF THE NORTHEAST QUARTER AND THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER, ALL IN SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST OF THE SIXTH P.M., HALL COUTNY, NEBRASKA, BEING DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF THE SOUTHWEST QUARTER OF THE NORTHEAST QUARTER OF SAID SECTION 23; THENCE S89o16’47” W (ASSUMED BEARING) ON THE SOUTH LINE OF THE SOUTHEAST QUARTER OF THE NORTHWEST QUARTER OF SAID SECTION 23, A DISTANCE OF 34.89 FEET TO THE SOUTHWEST CORNER OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 201508859, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA; THENCE N01o04’39”W ON THE WEST LINE OF SAID TRACT OF LAND, A DISTANCE OF 80.00 FEET; THENCE N89o16’47”E PARALLEL WITH AND 80.00 FEET DISTANT FROM SAID SOUTH LINE, A DISTANCE OF 34.90 FEET TO THE WEST LINE OF SAID SOUTHWEST QUARTER OF THE NORTHEAST QUARTER; THENCE N89o16’26”E PARALLEL WITH AND 80.00 FEET DISTANT FROM THE SOUTH LINE OF SAID SOUTHWEST QUARTER OF THE NORTHEAST QUARTER, A DISTANCE OF 1238.31 FEET TO THE WEST LINE OF A TRACT OF LAND AS DESCRIBED AND RECORDED IN INSTRUMENT NO. 201300044, AND RECORDED IN THE OFFICE OF THE REGISTER OF DEEDS FOR HALL COUNTY, NEBRASKA; THENCE S01o05’45”E ON THE WEST LINE OF SAID TRACT OF LAND, PARALLEL WITH AND 80.00 FEET DISTANT FROM THE EAST LINE OF SAID $64,075.00 Grand Island Council Session - 11/26/2019 Page 107 / 159 - 2 - SOUTHWEST QUARTER OF THE NORTHEAST QUARTER, A DISTANCE OF 80.00 FEET TO SAID SOUTH LINE; THENCE S89o16’26”W ON SAID SOUTH LINE, A DISTANCE OF 1238.34 FEET TO THE POINT OF BEGINNING, CONTAINING 2.33 ACRES, MORE OR LESS. WHEREAS, agreements for the public right-of-way have been reviewed and approved by the City Legal Department; and WHEREAS, the cost of such acquisition is $220,825.00 and $64,075.00, for a total amount of $284,900.00. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the City of Grand Island be, and hereby is, authorized to enter into the agreements for the public right-of-way on the above described tracts of land, in the amounts of $220,825.00 and $64,075.00, for a total amount of $284,900.00. BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to execute such agreement on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 108 / 159 SECTION 23, TOWNSHIP 11 NORTH, RANGE 10 WEST GRAND ISLAND, NEBRASKARIGHT OF WAY ACQUISITIONENGLEMAN ROAD OLD POTASH HIGHWAYGrand IslandCouncil Session - 11/26/2019Page 109 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-6 #2019-352 - Approving Removal of Parking Restrictions on Lafayette Avenue, from State Street to Cottage Street Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 11/26/2019 Page 110 / 159 Council Agenda Memo From:Keith Kurz PE, Assistant Public Works Director Meeting:November 26, 2019 Subject:Approving Removal of Parking Restrictions on Lafayette Avenue, from State Street to Cottage Street Presenter(s):John Collins PE, Public Works Director Background Council action is required to designate No Parking on any public street. A request was submitted in the area of Lafayette Avenue near Grand Island Senior High to remove the parking restrictions on Lafayette Avenue from State Street to Cottage Street, of 2 hour parking from 8:00am- 4:00pm, as shown on the attached sketch. Discussion The Public Works Department reviewed the request for this area and concurs with the request to remove the parking restrictions. Letters notifying residents in the area of Lafayette Avenue, from State Street to Cottage Street were mailed on October 23, 2019 requesting input. One resident called the Public Works Administration office stating there was no issue either way with the parking restriction. Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve the removal of parking restriction on Lafayette Avenue, from State Street to Cottage Street of 2 hour parking from 8:00am- 4:00pm. Sample Motion Move to approve the resolution. Grand Island Council Session - 11/26/2019 Page 111 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-352 WHEREAS, the City Council, by authority of §22-77 of the Grand Island City Code, may by resolution, establish parking regulations upon the streets of the City of Grand Island. WHEREAS, a request was submitted in the area of Lafayette Avenue near Grand Island Senior High to remove the parking restrictions on Lafayette Avenue from State Street to Cottage Street, of 2 hour parking from 8:00am- 4:00pm; and WHEREAS, the Public Works Department reviewed the request for this area and concurs with the request to remove the parking restrictions; and WHEREAS, letters notifying residents in the area of Lafayette Avenue, from State Street to Cottage Street were mailed on October 23, 2019 requesting input ;and WHEREAS, one resident called the Public Works Administration office stating there was no issue either way with the parking restriction. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the removal of parking restriction on Lafayette Avenue, from State Street to Cottage Street of 2 hour parking from 8:00am- 4:00pm is hereby approved. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 112 / 159 KRUSE AVE WAUGH STLAFAYETTE AVE GRAND ISLAND AVECOLLEGE STPROSPECT STSTATE STFORREST STCUSTER AVE PARK AVE COTTAGE STCUSTER AVE CITY COUNCIL EXHIBITGRAND ISLAND, NEBRASKALAFAYETTE AVENUE PARKING RESTRICTIONSNNO PARKINGTIME RESTRICTED PARKINGPARKING RESTRICTIONS TO BE REMOVEDLEGENDGrand IslandCouncil Session - 11/26/2019Page 113 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item G-7 #2019-353 - Approving Bid Award for Furnishing Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism; Project No. 2019-WWTP-5 Staff Contact: John Collins, P.E. - Public Works Director Grand Island Council Session - 11/26/2019 Page 114 / 159 Council Agenda Memo From:Keith Kurz PE, Assistant Public Works Director Meeting:November 26, 2019 Subject:Approving Bid Award for Furnishing Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism; Project No. 2019-WWTP-5 Presenter(s):John Collins PE, Public Works Director Background On September 30, 2019 the Engineering Division of the Public Works Department advertised for bids for Furnishing Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism; Project No. 2019-WWTP-5. This project involves the rehabilitation of Final Clarifier No. 2. This work has been divided into Phase I and Phase II. This bid is Phase I - parts procurement. Phase II will follow in the near future for the labor and installation of parts procured, and paining of both existing and new clarifier components. This is the second of three clarifiers to be worked on. The first clarifier to be rehabilitated was Final Clarifier No. 3, which was just recently completed. Final Clarifier No. 1 is scheduled to be rehabilitated next year following the completion of the Final Clarifier No. 2 project. Discussion One (1) bid was received and opened on November 12, 2019. The Engineering Division of the Public Works Department and the Purchasing Division of the City’s Attorney’s Office have reviewed the bid that was received. A summary of the bid is shown below. BID SECTION OVIVO USA, LLC OF SALT LAKE CITY, UT Base Bid $148,854.00 Ovivo’s bid is below the Engineer’s Estimate, and it is recommended the base bid be awarded to Ovivo USA. Grand Island Council Session - 11/26/2019 Page 115 / 159 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve 2.Refer the issue to a Committee 3.Postpone the issue to future date 4.Take no action on the issue Recommendation City Administration recommends that the Council approve the bid award to Ovivo USA, LLC of Salt Lake City, Utah in the amount of $148,854.00. Sample Motion Move to approve the bid award. Grand Island Council Session - 11/26/2019 Page 116 / 159 Purchasing Division of Legal Department INTEROFFICE MEMORANDUM Stacy Nonhof, Purchasing Agent Working Together for a Better Tomorrow, Today BID OPENING BID OPENING DATE:November 12, 2019 at 2:00 p.m. FOR:Furnishing of Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism” Project No. 2019-WWTP-5 DEPARTMENT:Public Works ESTIMATE:$170,000.00 FUND/ACCOUNT:53939954075213 PUBLICATION DATE:September 30, 2019 & October 2, 2019 NO. POTENTIAL BIDDERS:4 SUMMARY Bidder:Ovivo USA, LLC Salt Lake City, UT Bid Security:Liberty Mutual Ins. Co. Exceptions:None Bid Price:$148,854.00 cc:John Collins, Public Works Director Catrina DeLosh, PW Admin. Assist. Jerry Janulewicz, City Administrator Patrick Brown, Finance Director Stacy Nonhof, Purchasing Agent Roger Scott, Wastewater Eng. Tech. P2158 Grand Island Council Session - 11/26/2019 Page 117 / 159 1 | Page City of Grand Island| Contract Agreement Furnish Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019-WWTP-5 AGREEMENT THIS AGREEMENT made and entered into this day of ______ , 2019, by and between OVIVO USA, LLC, hereinafter called the Supplier, and the City of Grand Island, Nebraska, hereinafter called the City. WITNESSETH: THAT, WHEREAS, in accordance with law, the City has caused contract documents to be prepared and an advertisement calling for bids to be published, for Furnishing Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019-WWTP-5; and WHEREAS, the City, in the manner prescribed by law, has publicly opened, examined, and canvassed the proposals submitted, and has determined the aforesaid Supplier to be the lowest responsive bidder, and has duly awarded to the said Supplier a contract therefore, for the sum or sums named in the Supplier’s bid, a copy thereof being attached to and made a part of this contract; NOW, THEREFORE, in consideration of the compensation to be paid to the Supplier and of the mutual agreements herein contained, the parties have agreed and hereby agree, the City for itself and its successors, and the Supplier for itself or themselves, and its or their successors, as follows: ARTICLE I. That the Supplier shall (a) furnish all tools, equipment, superintendence, transportation, and other construction materials, services and facilities; (b) furnish, as agent for the City, all materials, supplies and equipment specified and required to be incorporated in and form a permanent part of the completed work; (c) provide and perform all necessary labor; and (d) in a good substantial and workmanlike manner and in accordance with the requirements, stipulations, provisions, and conditions of the contract documents as listed in the attached General Specifications and Special Provisions, said documents forming the contract and being as fully a part thereof as if repeated verbatim herein, perform, execute, construct and complete all work included in and covered by the City's official award of this contract to the said Supplier, such award being based on the acceptance by the City of the Supplier's bid; ARTICLE II. That the City shall pay to the Supplier for the performance of the work embraced in this contract and the Supplier will accept as full compensation therefore the sum (subject to adjustment as provided by the contract) of ONE HUNDRED FORTY EIGHT THOUSAND EIGHT HUNDRED FIFTY FOUR AND 00/100 DOLLARS ($148,854.00) for all services, materials, and work covered by and included in the contract award and designated in the foregoing Article I; payments thereof to be made in cash or its equivalent in the manner provided in the General Specifications. ARTICLE III. The Supplier hereby agrees to act as agent for the City in purchasing materials and supplies for the City for incorporation into the work of this project. The City shall be obligated to the vendor of the materials and supplies for the purchase price, but the Supplier shall handle all payments hereunder on behalf of the City. The vendor shall make demand or claim for payment of the purchase price from the City by submitting an invoice to the Supplier. Title to all materials and supplies purchased hereunder shall vest in the City directly from the vendor. Regardless of the method of payment, title shall vest immediately in the City. The Supplier shall not acquire title to any materials and supplies incorporated into the project. All invoices shall bear the Supplier's name as agent for the City. This paragraph will apply only to these materials and supplies actually incorporated into and becoming a part of the finished product of Furnish Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019- WWTP-5. ARTICLE IV. Mechanism disassembly / assembly instructions, and preliminary Operations & Maintenance manual shall be submitted by February 20, 2020. New manufactured components shall be delivered by May 30, 2020. Delivery of all components shall constitute Final Completion. Grand Island Council Session - 11/26/2019 Page 118 / 159 2 | Page City of Grand Island| Contract Agreement Furnish Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019-WWTP-5 ARTICLE V. It is understood and agreed that time is of the essence. Should the Supplier fail to perform the work within the period of time stipulated, the Supplier shall pay to the City, as liquidated damages and not as a penalty, $250.00 per calendar day of default unless extension of time granted by the City specifically waives the payment of liquidated damages. ARTICLE VI. The Supplier agrees to comply with all applicable State fair labor standards in the execution of this contract as required by Section 73-102, R.R.S. 1943. The Supplier further agrees to comply with the provisions of Section 48-657, R.R.S. 1943, pertaining to contributions to the Unemployment Compensation Fund of the State of Nebraska. During the performance of this contract, the Supplier and all sub-suppliers agree not to discriminate in hiring or any other employment practice on the basis of race, color, religion, sex, national origin, age or disability. The Supplier agrees to comply with all applicable Local, State and Federal rules and regulations. ARTICLE VII. GRATUITIES AND KICKBACKS: City Code states that it is unethical for any person to offer, give, or agree to give any City employee or former City employee, or for any City employee or former City employee to solicit, demand, accept, or agree to accept from another person, a gratuity or an offer of employment in connection with any decision, approval, disapproval, recommendation, or preparation of any part of a program requirement or a purchase request, influencing the content of any specification or procurement standard, rendering of advice, investigation, auditing, or in any other advisory capacity in any proceeding or application, request for ruling, determination, claim or controversy, or other particular matter, pertaining to any program requirement or a contract or subcontract, or to any solicitation or proposal therefore. It shall be unethical for any payment, gratuity, or offer of employment to be made by or on behalf of a sub-supplier under a contract to the prime Supplier or higher tier sub-supplier or any person associated therewith, as an inducement for the award of a subcontract to order. ARTICLE VIII. The City of Grand Island, Nebraska operates on a fiscal year beginning October 1st and ending on the following September 30th. It is understood and agreed that any portion of this agreement which will be performed in a future fiscal year is contingent upon the City Council adopting budget statements and appropriations sufficient to fund such performance. ARTICLE IX. FAIR EMPLOYMENT PRACTICES: Each proposer agrees that they will not discriminate against any employee or applicant for employment because of age, race, color, religious creed, ancestry, handicap, sex or political affiliation. ARTICLE X. LB 403: Every public supplier and his, her or its sub-suppliers who are awarded an agreement by the City for the physical performance of services within the State of Nebraska shall register with and use a federal immigration verification system to determine the work eligibility status of new employees physically performing services within the State of Nebraska. IN WITNESS WHEREOF, the parties hereto have executed this Contract Agreement as of the date and year first above written. OVIVO USA, LLC By Date Title Grand Island Council Session - 11/26/2019 Page 119 / 159 3 | Page City of Grand Island| Contract Agreement Furnish Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019-WWTP-5 CITY OF GRAND ISLAND, NEBRASKA, By Date Mayor Attest: City Clerk The contract and bond are in due form according to law and are hereby approved. Date Attorney for the City Grand Island Council Session - 11/26/2019 Page 120 / 159 4 | Page City of Grand Island| Contract Agreement Furnish Components for “EIMCO® Type C3D-Full Trough Skimmer Clarifier Mechanism”; Project No. 2019-WWTP-5 APPENDIX A – TITLE VI NON-DISCRIMINATION - During the performance of this contract, the Supplier, for itself, its assignees and successors in interest (hereinafter referred to as the "Supplier") agrees as follows: (1) Compliance with Regulations: The Supplier shall comply with the Regulation relative to nondiscrimination in Federally-assisted programs of the Department of Transportation (hereinafter, "DOT") Title 49, Code of Federal Regulations, Part 21, and the Federal Highway Administration (hereinafter “FHWA”) Title 23, Code of Federal Regulations, Part 200 as they may be amended from time to time, (hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this contract. (2) Nondiscrimination: The Supplier, with regard to the work performed by it during the contract, shall not discriminate on the grounds of race, color, or national origin, sex, age, and disability/handicap in the selection and retention of sub-suppliers, including procurements of materials and leases of equipment. The Supplier shall not participate either directly or indirectly in the discrimination prohibited by 49 CFR, section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix B of the Regulations. (3) Solicitations for Sub-suppliers, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by the Supplier for work to be performed under a subcontract, including procurements of materials or leases of equipment, each potential sub-supplier or supplier shall be notified by the Supplier of the Supplier's obligations under this contract and the Regulations relative to nondiscrimination on the grounds of race, color, or national origin, sex, age, and disability/handicap. (4) Information and Reports: The Supplier shall provide all information and reports required by the Regulations or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the City of Grand Island or the FHWA to be pertinent to ascertain compliance with such Regulations, orders and instructions. Where any information required of a Supplier is in the exclusive possession of another who fails or refuses to furnish this information the Supplier shall so certify to the City of Grand Island, or the FHWA as appropriate, and shall set forth what efforts it has made to obtain the information. (5) Sanctions for Noncompliance: In the event of the Supplier's noncompliance with the nondiscrimination provisions of this contract, the City of Grand Island shall impose such contract sanctions as it or the FHWA may determine to be appropriate, including, but not limited to: (a.) withholding of payments to the Supplier under the contract until the Supplier complies, and/or (b.) cancellation, termination or suspension of the contract, in whole or in part. (6) Incorporation of Provisions: The Supplier shall include the provisions of paragraphs (1) through (6) in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant thereto. The Supplier shall take such action with respect to any subcontract or procurement as the City of Grand Island or the FHWA may direct as a means of enforcing such provisions including sanctions for non-compliance: Provided, however, that, in the event a Supplier becomes involved in, or is threatened with, litigation with a sub-supplier or supplier as a result of such direction, the Supplier may request the City of Grand Island to enter into such litigation to protect the interests of the City of Grand Island, and, in addition, the Supplier may request the United States to enter into such litigation to protect the interests of the United States. Grand Island Council Session - 11/26/2019 Page 121 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-353 WHEREAS, the City of Grand Island invited sealed bids for Furnishing Components for “EIMCO® Type C3D-Full trough Skimmer Clarifier Mechanism; Project No. 2019-WWTP-5, according to plans and specifications on file with the Public Works Department; and WHEREAS, on November 12, 2019 bids were received, opened, and reviewed; and WHEREAS, Ovivo USA, LLC of Salt Lake City, Utah submitted a bid in accordance with the terms of the advertisement of bids and plans and specifications and all other statutory requirements contained therein, such bid being in the amount of $148,854.00; and WHEREAS, such bid is deemed to be in the best interest of the City. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the bid of Ovivo USA, LLC of Salt Lake City, Utah in the amount of $148,854.00 for Furnishing Components for “EIMCO® Type C3D-Full trough Skimmer Clarifier Mechanism; Project No. 2019-WWTP-5 is hereby approved as the lowest responsible bid. BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to execute a contract with such contractor for such project on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 122 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item I-1 #2019-354 - Consideration of Approving Economic Development Incentive Agreement with Premium Plant Services, Inc. Staff Contact: Jerry Janulewicz Grand Island Council Session - 11/26/2019 Page 123 / 159 Council Agenda Memo From:Jerry Janulewicz, City Administrator Meeting:November 26, 2019 Subject:Approving Economic Development Incentive Agreement with Premium Plant Services, Inc. Presenter(s):Jerry Janulewicz, City Administrator Background At the November 6, 2012 General Election, the voters of the City of Grand Island approved LB840 funding to enable the City to extend economic development incentives through the Grand Island Area Economic Development Corporation (GIAEDC). The Economic Development Corporation has received an application from Premium Plant Services, Inc., located at 1012 Claude Road for job creation. On September 19, 2019, the Executive Board of the GIEDC approved submission of the attached Economic Development Agreement to the Citizens Advisory Review Committee (CARC) for consideration and recommendation. The CARC met on September 26, 2019 and approved the request and Agreement for recommendation to the City Council for final action and approval. Discussion Premium Plant Services, Inc. has submitted the required LB-840 application (see attached) for a forgivable loan in the amount of $102,000.00. Proposed is the creation of 12 full-time equivalent (FTE) employees with an average hourly wage of $21.50. Requested is $102,000.00 for job creation to be paid over four years. Premium Plant Services, Inc. currently has 100 employees across the U.S. This company is an industrial cleaning service that helps industrial plants operate at their best. Since 1981, Premium Plant Services, Inc. has provided the highest quality hydroblasting service for plant process operators and managers across the Upper Midwest. Premium Plant Services, Inc. has grown to also offer complete industrial cleaning services, from sandblasting to vacuuming. Grand Island Council Session - 11/26/2019 Page 124 / 159 Alternatives It appears that the Council has the following alternatives concerning the issue at hand. The Council may: 1.Move to approve the Economic Development Agreement with Premium Plant Services, Inc. 2.Do not approve the Economic Development Agreement with Premium Plant Services, Inc. 3.Postpone the issue to future date. 4.Take no action on the issue. Recommendation City Administration recommends that the Council consider the resolution authorizing the City to enter into the Economic Development Agreement with Premium Plant Services, Inc. Sample Motion Move to approve the resolution authorizing the City to enter into the Economic Development Agreement with Premium Plant Services, Inc. Grand Island Council Session - 11/26/2019 Page 125 / 159 Grand Island Council Session - 11/26/2019 Page 126 / 159 Grand Island Council Session - 11/26/2019 Page 127 / 159 Grand Island Council Session - 11/26/2019 Page 128 / 159 Grand Island Council Session - 11/26/2019 Page 129 / 159 Grand Island Council Session - 11/26/2019 Page 130 / 159 Grand Island Council Session - 11/26/2019 Page 131 / 159 Grand Island Council Session - 11/26/2019 Page 132 / 159 LB840 Funds Invested: $5,994,100 Jobs Created: 1065 Annual Wages Created: $33,565,896 2015-2019 Average Wage: $18.81 Grand Island Council Session - 11/26/2019 Page 133 / 159 LB840 Projects Active: Hendrix Genetics 43 new jobs GIX Logistics 12 new jobs Zabuni Specialty Coffee Auction 10 new jobs Amur Equipment Finance 15 new jobs Dramco Tool Company 7 new jobs Grand Island Council Session - 11/26/2019 Page 134 / 159 LB840 Balance as of 2/22/2019 $1,224,508 Hendrix Genetics ($83,334) Amur Equipment Finance ($145,000) Zabuni Specialty Coffee ($91,666) GIX Logistics (293,334) Dramco Tool ($132,000) Ending LB840 Balance $478,316 Grand Island Council Session - 11/26/2019 Page 135 / 159 LB840 Application 2019 Grand Island Council Session - 11/26/2019 Page 136 / 159 Began operations in 1981 100 employees, company-wide PPS Locations: Hibbing, MN Cascade, IA Plover, WI Tracy, MN Grand Island Council Session - 11/26/2019 Page 137 / 159 First operation in Nebraska New jobs created with LB840: 12 Operations Manager: 1 Crew Leads: 2 Technicians: 9 Minimum hourly rate $21.50 Services include: Hydroblasting Industrial vacuum services Automated lancing Dry ice blasting Sandblasting Sponge blasting Water reclamation Confined space rescue Grand Island Council Session - 11/26/2019 Page 138 / 159 Eligible Business Activities: 1.The manufacturer of articles of commerce 2.The conduct of research and development 3.The processing, storage, transport, or sale of goods or commodities which are sold or traded in interstate commerce 4.The sale of services in interstate commerce 5.Headquarter facilities relating to eligible activities as listed in this section 6.Telecommunication activities 7.End destination tourism-related activities Grand Island Council Session - 11/26/2019 Page 139 / 159 Proposed LB840 Incentive Job Creation:$102,000 Job Training: $0 Infrastructure:$0 TOTAL:$102,000 Disbursed incrementally through 2023, final audit in 2024 After completion of workforce audits Grand Island Council Session - 11/26/2019 Page 140 / 159 Proposed LB840 Distribution Schedule Year LB840 Category LB840 Funds Distributed 2019 -$0 2020 Job Creation $25,000 2021 Job Creation $25,000 2022 Job Creation $25,000 2023 Job Creation $27,000 2024 Final Audit $0 TOTAL $102,000 Grand Island Council Session - 11/26/2019 Page 141 / 159 Hall County-RIMS II Additional Employment 1 Job @ Premium Plant Services = 1.13 Additional jobs created Additional Earnings $1 earned @ Premium Plant Services =1.15 Additional wages created Information as reported by the Bureau of Economic Analysis-U.S. Department of Commerce Grand Island Council Session - 11/26/2019 Page 142 / 159 Thank You For your consideration & dedication to Grand Island Grand Island Council Session - 11/26/2019 Page 143 / 159 ECONOMIC DEVELOPMENT AGREEMENT THIS ECONOMIC DEVELOPMENT AGREEMENT (this “Agreement”) is made and entered into effective as of the 5th day of August, 2019 (the “Effective Date”), by and among the City of Grand Island, Nebraska (“City”), the Grand Island Economic Development Corporation (“GIAEDC”) and Premium Plant Services, Inc., a Nebraska corporation, doing business as Premium Plant Services (“Company”) (City, GIAEDC and Company, each a “Party” and collectively, the “Parties”). W I T N E S S E T H: WHEREAS, on August 5, 2019, Company filed an Application for Economic Development Incentives (the “Application”) with City and GIAEDC; WHEREAS, Company is starting operations in Grand Island; WHEREAS, the Company agrees to employ at least twelve (12) full-time equivalent employees in Grand Island by the fourth (4th) anniversary of the Effective Date; WHEREAS, City and GIAEDC find Company derives its principal source of income from the sale of services in interstate commerce and is a qualifying business under City’s Economic Development Program, that Company’s project qualifies for economic development incentives under the Program, that Company’s project will be of substantial economic benefit to the people of Grand Island and the surrounding area, and the economic development incentive plan set forth in this Agreement contributes to the fulfillment of the major objectives of City’s Economic Development Plan; WHEREAS, City and GIAEDC are willing to provide Company with up to $102,000 in job creation incentives at the times and upon the fulfillment of the conditions set forth in this Agreement provided that Company complies with the terms of this Agreement; and WHEREAS, in furtherance of the foregoing recitals, the Parties desire to enter into this Agreement. NOW, THEREFORE, in consideration of the premises and the mutual covenants contained in this Agreement, the Parties agree as follows: 1.Definitions. As used in this Agreement, the following terms shall have the respective meanings ascribed to them in this Section 1: (a)“Employment Certificate” shall mean an agreement for the defined period containing the sworn statement of a duly authorized representative of Company specifically setting forth compliance with the terms of this Agreement. The Employment Certificate shall contain the following information and adhere to the following terms: (i) the total number of hours which FTE’s worked and total gross compensation received by FTE’s for hours worked at Company’s facilities in Grand Island during the twelve (12) successive calendar months immediately preceeding the date of the Employment Certificate; and (ii) the hourly rate for all FTE’s which shall meet or exceed the Minimum Hourly Rate. Company agrees that upon receipt of written notice pursuant to the terms of this Agreement, Company shall allow the City Administrator or his designee to Grand Island Council Session - 11/26/2019 Page 144 / 159 personally inspect Company’s employment records as confirmation of the statements contained in the Employment Certificate. (b)“Full-Time Equivalents” or “FTE’s” shall mean persons currently employed by Company and persons hired by Company as part of the expansion of its operations to Grand Island as detailed in the recitals to this Agreement. The total number of FTE’s shall be determined by dividing the total number of hours Company employees worked at its facilities located in Grand Island by two thousand eighty (2,080). (c)“Minimum Hourly Rate” shall mean a minimum hourly rate of $21.50 per hour for each FTE employed as part of Company’s expansion of its operations in Grand Island. The hourly rate shall be determined by dividing the total wages and salaries paid to FTE’s by two thousand eighty (2,080). 2.Employment Requirements. Company shall meet each of the following employment requirements: (a)Company shall have a minimum of zero (0) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate as of the Effective Date; (b)Company shall have a minimum of five (5) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate as of the first (1st) anniversary of the Effective Date; (c)Company shall have a minimum of ten (10) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate as of the second (2nd) anniversary of the Effective Date; and (d)Company shall have a minimum of twelve (12) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate as of the third (3rd) anniversary of the Effective Date. 3.Disbursement of LB 840 Funds for Job Creation. Company shall be eligible for disbursements of up to Eight Thousand Five Hundred and 00/100 Dollars ($8,500) per FTE for twelve (12) FTE’s for a total disbursement of One Hundred Two Thousand and No/100 Dollars ($102,000.00). Disbursement of the economic incentive funds for job creation shall be paid to Company by City in accordance with the following schedule: (a)A disbursement of Twenty-Five Thousand and 00/100 Dollars ($25,000.00) shall be paid by City to Company within thirty (30) days of the first (1st) anniversary of the Effective Date provided that Company has delivered an Employment Certificate to City and GIAEDC evidencing that Company has at least five (5) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate. (b)A disbursement of Twenty-Five Thousand and 00/100 Dollars ($25,000.00) shall be paid by City to Company within thirty (30) days of the second (2nd) anniversary of the Effective Date provided that Company has delivered an Employment Certificate to City and GIAEDC evidencing that Company has at least ten (10) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate. (c)A disbursement of Twenty-Five Thousand and 00/100 Dollars ($25,000.00) shall be paid by City to Company within thirty (30) days of the Third (3rd) Grand Island Council Session - 11/26/2019 Page 145 / 159 anniversary of the Effective Date provided that Company has delivered an Employment Certificate to City and GIAEDC evidencing that Company has at least twelve (12) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate. (d)A disbursement of Twenty-Seven Thousand and 00/100 Dollars ($27,000.00) shall be paid by City to Company within thirty (30) days of the Fourth (4th) anniversary of the Effective Date provided that Company has delivered an Employment Certificate to City and GIAEDC evidencing that Company has at least twelve (12) FTE’s at its facilities in Grand Island being compensated at the Minimum Hourly Rate. (e)The maximum amount City shall disburse to Company for job creation shall be One Hundred Two Thousand and No/100 Dollars ($102,000.00). 4.Total Disbursements. The maximum total amount City shall disburse to Company pursuant to this Agreement shall be One Hundred Two Thousand and No/100 Dollars ($102,000.00). 5.Company’s Representations and Warranties. Company represents and warrants to City and GIAEDC as follows: (a)Organization, Standing and Power. Company is a corporation duly incorporated, validly existing and in good standing under the laws of the State of Nebraska and has the legal power to carry on its business as it is now being conducted. (b)Authority. The execution, delivery and performance of this Agreement by Company has been duly and validly authorized and approved by all necessary legal action on the part of Company. (c)Binding Agreement. This Agreement, when executed and delivered, will constitute the legal, valid and legally binding agreement of Company, enforceable against Company in accordance with its terms. (d)No Conflict with Other Instruments or Agreements. The execution, delivery and performance of this Agreement by Company will not result in a breach or violation of, or constitute a default under any agreement to which Company is bound, and will not be in violation of any statute, judgment, order, rule or regulation of any court, or any federal, state or other regulatory authority or governmental body having jurisdiction over Company in effect as of the Effective Date. (e)No Brokers. Company has not retained or agreed to compensate any broker or finder in connection with the transactions contemplated by this Agreement. (f)Operations. During the term of this Agreement, Company shall maintain operations in Grand Island, Nebraska. In the event that Company breaches any of the foregoing representations and warranties, all amounts distributed by City to Company pursuant to this Agreement shall immediately become due and owing by Company to City and if unpaid shall accrue interest at the rate of eight percent (8%) per annum until such amounts are repaid in full. 6.Company’s Obligation to Repay Funds. The Parties acknowledge and agree that the funds to be provided by City to Company pursuant to this Agreement are being provided in the form of an economic development loan and are subject to repayment in accordance with the Grand Island Council Session - 11/26/2019 Page 146 / 159 terms and conditions of this Agreement if Company fails to perform its obligations under this Agreement. The Parties further acknowledge and agree that City shall forgive the entire economic development loan disbursed to Company representing a total of One Hundred Two Thousand and No/100 Dollars ($102,000.00) upon Company meeting the following conditions: (a)Company shall have complied with the terms and provisions of Sections 2 through 7 of this Agreement in all respects; and (b)If Company remains in compliance with the terms and provisions of Sections two through seven of this Agreement in all respects, the economic development loan will be forgiven pursuant to the following schedule: (i)On the Third anniversary of the Effective Date, one-fourth (1/4) or Twenty-Five Thousand and No/100 Dollars ($25,500.00) of the economic development loan shall be forgiven; (ii) On the Fourth anniversary of the Effective Date, one-fourth (1/4) or Twenty-Five Thousand and No/100 Dollars ($25,500.00) of the economic development loan shall be forgiven; and (iii)On the Fifth anniversary of the Effective Date, one-half (1/2) or Fifty-One Thousand and No/100 Dollars ($51,000.00) of the economic development loan shall be forgiven. 7.Default. In the event that Company fails to comply with any of the terms of this Agreement, City may declare Company to be in breach. Any such declaration shall be in writing and sent by US Mail or courier to Company at its last known address. In the event that City declares Company to be in breach, City may immediately terminate this Agreement by providing written notice of termination sent by US Mail or courier to Company at its last known address whereupon all amounts distributed by City to Company pursuant to this Agreement shall immediately become due and owing by Company to City and if unpaid shall accrue interest at the rate of eight percent (8%) per annum until such amounts are repaid in full. 8.Actions after Effective Date. From time to time after the Effective Date, without further consideration, each of the Parties will execute and deliver such documents and instruments as any other Party shall reasonably request to give full effect to the transactions contemplated by this Agreement. 9.Term. This Agreement (and all representations, covenants, agreements, obligations and warranties of Company, City and CIAEDC contained in this Agreement), shall remain in full force and effect until the earlier of the date that (a) the entire economic development loan has been forgiven pursuant to Section 8, or (b) Company has repaid all amounts provided to Company pursuant to this Agreement (in the event Company breaches its obligations under this Agreement) (such date, the “Termination Date”). From and after the Termination Date, this Agreement shall be of no further force or effect and no Party shall have any further obligations pursuant to this Agreement. 10.Amendment. No amendment or modification of this Agreement shall be binding on any Party unless the same shall be in writing and signed by all Parties. 11.Communication. Company agrees to inform City and GIAEDC of any changes in Company’s address, telephone number, email address or leadership within three (3) business Grand Island Council Session - 11/26/2019 Page 147 / 159 days of such changes. Company also agrees to fully respond within fifteen (15) calendar days to any request for information from City and/or GIAEDC related to Company’s compliance with the terms of this Agreement. All responses to inquiries shall be in writing and provided to City and GIAEDC at the following addresses: Grand Island City Administrator 100 East First Street P.O. Box 1968 Grand Island, NE 68802-1968 Cityadministrator@grand-island.com Grand Island Area Economic Development Corporation 123 North Locust Street, Suite 201B P.O. Box 1151 Grand Island, NE 68802 mberlie@grandisland.org 12.Indemnification. Company agrees to indemnify, defend and hold City, GIADEC and their employees, officers, directors, agents, attorneys, affiliates and their respective successors and assigns (collectively, the “Indemnified Parties”) harmless from and against any and all loss, liability, obligation, damage, penalty, judgment, claim, deficiency and expense (including interest, penalties, attorneys’ fees and amounts paid in settlement) to which the Indemnified Parties may become subject arising out of or based upon a breach or default by Company of this Agreement. 13.Expenses. The Parties shall all pay their respective expenses incident to the preparation, execution and consummation of this Agreement. 14.Binding Effect. This Agreement shall be binding upon, and shall inure to the benefit of, the Parties and their respective successors and assigns (including, without limitation, any purchaser of, or successor to, Company whether by purchase, merger, consolidation, reorganization, liquidation or any other type of transaction). 15.Severability. Wherever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Agreement shall be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of such provision or the remaining provisions of this Agreement. 16.Non-Waiver. Waiver of or acquiescence by City and/or GIAEDC in any default by Company, or any failure of City and/or GIAEDC to insist upon strict performance by Company of any warranties, agreements or other obligations contained in this Agreement shall not constitute a waiver of any subsequent or other default, failure or waiver of strict performance, whether similar or dissimilar. 17.Relationship of Parties. The Parties have entered into this Agreement solely for the purposes set forth in this Agreement. Nothing contained in this Agreement shall be construed to create or imply any (a) partnership or joint venture by or among of the Parties, or (b) any principal and agency relationship by or among the Parties. 18.Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the state of Nebraska, without giving effect to its conflict of laws principles. Grand Island Council Session - 11/26/2019 Page 148 / 159 19.Entire Agreement. This Agreement and the documents referred to in this Agreement constitute the entire agreement of the Parties respecting the subject matter contained in this Agreement and supersede any prior offers, understandings, agreements or representations by and between the Parties, written or oral, which may have related to the subject matter of this Agreement in any way. 20.Counterparts. This Agreement may be executed simultaneously in counterparts, each of which shall be deemed an original, but which together shall constitute the same instrument. IN WITNESS WHEREOF, the parties have signed this Agreement as of the date first above written. Premium Plant Services, Inc. By:______________________________________ Its:______________________________________ City of Grand Island, Nebraska By:______________________________________ Its:______________________________________ Grand Island Area Economic Development Corporation By:______________________________________ Its:______________________________________ Grand Island Council Session - 11/26/2019 Page 149 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-354 WHEREAS, on November 6, 2012, the City of Grand Island adopted an Economic Development Program and a Citizens Advisory Review Committee to oversee the process of approving applications for economic development incentives; and WHEREAS, Premium Plant Services, Inc. has applied for a forgivable loan for job creation in the amount of $102,000.00 from the Grand Island Area Economic Development Corporation in accordance with the Economic Development Program; and WHEREAS, such application has been approved by the executive committee of the Economic Development Corporation on September 19, 2019 and was approved on September 26, 2019 by the Citizens Advisory Review Committee; and WHEREAS, Premium Plant Services, Inc. will be required to meet or exceed employment numbers and employee salary levels as outlined in the Economic Development Agreement to retain all of the economic incentives granted under the agreement; and WHEREAS, it is in the best interests of the City to provide economic development funding to Premium Plant Services, Inc. as provided by the Grand Island Economic Development Program. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the Economic Development Agreement by and between the City, the Grand Island Area Economic Development Corporation and Premium Plant Services, Inc., to provide $102,000.00 in economic assistance to Premium Plant Services, Inc. to be used for job creation in Grand Island, is hereby approved. BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to execute such agreement on behalf of the City of Grand Island. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 150 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item I-2 #2019-355 - Consideration of Approving Amendment to the Redevelopment Plan for CRA No. 2 located South of Husker Highway and West of Locust Street (Bosselman Pump and Pantry, Inc.) This item relates to the aforementioned Public Hearing item E-2. Staff Contact: Chad Nabity Grand Island Council Session - 11/26/2019 Page 151 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-355 WHEREAS, the City of Grand Island, Nebraska, a municipal corporation and city of the first class, has determined it be desirable to undertake and carry out urban redevelopment projects in areas of the City which are determined to be substandard and blighted and in need of redevelopment; and WHEREAS, the Nebraska Community Development Law, Chapter 18, Article 21, Nebraska Reissue Revised Statutes of 2007, as amended (the "Act"), prescribes the requirements and procedures for the planning and implementation of redevelopment projects; and WHEREAS, the City has previously declared Redevelopment Area No. 2 of the City to be substandard and blighted and in need of redevelopment pursuant to the Act; and WHEREAS, the Community Redevelopment Authority of the City of Grand Island, Nebraska (the "Authority"), has prepared a Redevelopment Plan pursuant to Section 18-2111 of the Act, and recommended the Redevelopment Plan to the Planning Commission of the City; and WHEREAS, the Planning Commission of the City reviewed the Redevelopment Plan pursuant to the Act and submitted its recommendations, to the City, pursuant to Section 18-2114 of the Act; and WHEREAS, following consideration of the recommendations of the Authority to the Planning Commission, the recommendations of the Planning Commission to the City, and following the public hearing with respect to the Redevelopment Plan, the City approved the Plan; and WHEREAS, there has been presented to the City by the Authority for approval a specific Redevelopment Project within the Redevelopment Plan and as authorized in the Redevelopment Plan, such project to be as follows: to construct a new commercial/retail facility all necessary costs for acquisition, site work, and public infrastructure along with eligible planning expenses and fees associated with the redevelopment project. All redevelopment activities will occur in Grand Island, Hall County, Nebraska; and WHEREAS, the City published notices of a public hearing and mailed notices as required pursuant to Section 18-2115 of the Act and has, on the date of the Resolution held a public hearing on the proposal to amend the Redevelopment Plan to include the Redevelopment Project described above. NOW, THEREFORE, be it resolved by the City Council of the City of Grand Island, Nebraska: Grand Island Council Session - 11/26/2019 Page 152 / 159 1.The Redevelopment Plan of the City approved for Redevelopment Area No. 2 in the city of Grand Island, Hall County, Nebraska, including the Redevelopment Project described above, is hereby determined to be feasible and in conformity with the general plan for the development of the City of Grand Island as a whole and the Redevelopment Plan, including the Redevelopment Project identified above, is in conformity with the legislative declarations and determinations set forth in the Act; and it is hereby found and determined that (a) the redevelopment project in the plan would not be economically feasible without the use of tax-increment financing, (b) the redevelopment project would not occur in the community redevelopment area without the use of tax-increment financing, and (c) the costs and benefits of the redevelopment project, including costs and benefits to other affected political subdivisions, the economy of the community, and the demand for public and private services have been analyzed by the City and have been found to be in the long-term best interest of the community impacted by the redevelopment project. The City acknowledges receipt of notice of intent to enter into the Redevelopment Contract in accordance with Section 18-2119 of the Act and of the recommendations of the Authority and the Planning Commission. 2.Approval of the Redevelopment Plan is hereby ratified and reaffirmed, as amended by this Resolution, and the Authority is hereby directed to implement the Redevelopment Plan in accordance with the Act. 3.Pursuant to Section 18-2147 of the Act, ad valorem taxes levied upon real property in the Redevelopment Project included or authorized in the Plan which is described above shall be divided, for a period not to exceed 15 years after the effective date of this provision, which effective date shall set by the Community Redevelopment Authority in the redevelopment contract as follows: a.That proportion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the Redevelopment Project Valuation (as defined in the Act) shall be paid into the funds of each such public body in the same proportion as all other taxes collected by or for the bodies; and b.That proportion of the ad valorem tax on real property in the Redevelopment Project in excess of such amount, if any, shall be allocated to, is pledged to, and, when collected, paid into a special fund of the Authority to pay the principal of, the interest on, and any premiums due in connection with the bonds, loans, notes or advances of money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, such Redevelopment Project. When such bonds, loans, notes, advances of money, or indebtedness, including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such Redevelopment Project shall be paid into the funds of the respective public bodies. c.The Mayor and City Clerk are authorized and directed to execute and file with the Treasurer and Assessor of Hall County, Nebraska, an Allocation Agreement and Notice of Pledge of Taxes with respect to each Redevelopment Project. Grand Island Council Session - 11/26/2019 Page 153 / 159 4.The City hereby finds and determines that the proposed land uses and building requirements in the Redevelopment Area are designed with the general purposes of accomplishing, in accordance with the general plan for development of the City, a coordinated, adjusted and harmonious development of the City and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity; and the general welfare, as well as efficiency and economy in the process of development; including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of a healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreation and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of unsanitary or unsafe dwelling accommodations, or conditions of blight. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 154 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item I-3 #2019-356 - Consideration of Approving Amendment to the Redevelopment Plan for CRA No. 17 located on 3 Lots West of Prairie View Street South of Husker Highway (Prataria Ventures, LLC) This item relates to the aforementioned Public Hearing item E-3. Staff Contact: Chad Nabity Grand Island Council Session - 11/26/2019 Page 155 / 159 Approved as to Form ¤ ___________ November 22, 2019 ¤ City Attorney R E S O L U T I O N 2019-356 WHEREAS, the City of Grand Island, Nebraska, a municipal corporation and city of the first class, has determined it be desirable to undertake and carry out urban redevelopment projects in areas of the City which are determined to be substandard and blighted and in need of redevelopment; and WHEREAS, the Nebraska Community Development Law, Chapter 18, Article 21, Nebraska Reissue Revised Statutes of 2007, as amended (the "Act"), prescribes the requirements and procedures for the planning and implementation of redevelopment projects; and WHEREAS, the City has previously declared Redevelopment Area No. 17 of the City to be substandard and blighted and in need of redevelopment pursuant to the Act; and WHEREAS, the Community Redevelopment Authority of the City of Grand Island, Nebraska (the "Authority"), has prepared a Redevelopment Plan pursuant to Section 18-2111 of the Act, and recommended the Redevelopment Plan to the Planning Commission of the City; and WHEREAS, the Planning Commission of the City reviewed the Redevelopment Plan pursuant to the Act and submitted its recommendations, to the City, pursuant to Section 18-2114 of the Act; and WHEREAS, following consideration of the recommendations of the Authority to the Planning Commission, the recommendations of the Planning Commission to the City, and following the public hearing with respect to the Redevelopment Plan, the City approved the Plan; and WHEREAS, there has been presented to the City by the Authority for approval a specific Redevelopment Project within the Redevelopment Plan and as authorized in the Redevelopment Plan, such project to be as follows: to construct three commercial office buildings and all necessary site work, streets, grading and public infrastructure along with eligible planning expenses and fees associated and other eligible activities associated with the redevelopment project. All redevelopment activities will occur in Grand Island, Hall County, Nebraska; and WHEREAS, the City published notices of a public hearing and mailed notices as required pursuant to Section 18-2115 of the Act and has, on the date of the Resolution held a public hearing on the proposal to amend the Redevelopment Plan to include the Redevelopment Project described above. NOW, THEREFORE, be it resolved by the City Council of the City of Grand Island, Nebraska: Grand Island Council Session - 11/26/2019 Page 156 / 159 1.The Redevelopment Plan of the City approved for Redevelopment Area No. 17 in the city of Grand Island, Hall County, Nebraska, including the Redevelopment Project described above, is hereby determined to be feasible and in conformity with the general plan for the development of the City of Grand Island as a whole and the Redevelopment Plan, including the Redevelopment Project identified above, is in conformity with the legislative declarations and determinations set forth in the Act; and it is hereby found and determined that (a) the redevelopment project in the plan would not be economically feasible without the use of tax-increment financing, (b) the redevelopment project would not occur in the community redevelopment area without the use of tax-increment financing, and (c) the costs and benefits of the redevelopment project, including costs and benefits to other affected political subdivisions, the economy of the community, and the demand for public and private services have been analyzed by the City and have been found to be in the long-term best interest of the community impacted by the redevelopment project. The City acknowledges receipt of notice of intent to enter into the Redevelopment Contract in accordance with Section 18-2119 of the Act and of the recommendations of the Authority and the Planning Commission. 2.Approval of the Redevelopment Plan is hereby ratified and reaffirmed, as amended by this Resolution, and the Authority is hereby directed to implement the Redevelopment Plan in accordance with the Act. 3.Pursuant to Section 18-2147 of the Act, ad valorem taxes levied upon real property in the Redevelopment Project included or authorized in the Plan which is described above shall be divided, for a period not to exceed 15 years after the effective date of this provision, which effective date shall set by the Community Redevelopment Authority in the redevelopment contract as follows: a.That proportion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the Redevelopment Project Valuation (as defined in the Act) shall be paid into the funds of each such public body in the same proportion as all other taxes collected by or for the bodies; and b.That proportion of the ad valorem tax on real property in the Redevelopment Project in excess of such amount, if any, shall be allocated to, is pledged to, and, when collected, paid into a special fund of the Authority to pay the principal of, the interest on, and any premiums due in connection with the bonds, loans, notes or advances of money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, such Redevelopment Project. When such bonds, loans, notes, advances of money, or indebtedness, including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such Redevelopment Project shall be paid into the funds of the respective public bodies. c.The Mayor and City Clerk are authorized and directed to execute and file with the Treasurer and Assessor of Hall County, Nebraska, an Allocation Agreement and Notice of Pledge of Taxes with respect to each Redevelopment Project. Grand Island Council Session - 11/26/2019 Page 157 / 159 4.The City hereby finds and determines that the proposed land uses and building requirements in the Redevelopment Area are designed with the general purposes of accomplishing, in accordance with the general plan for development of the City, a coordinated, adjusted and harmonious development of the City and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity; and the general welfare, as well as efficiency and economy in the process of development; including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of a healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreation and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of unsanitary or unsafe dwelling accommodations, or conditions of blight. - - - Adopted by the City Council of the City of Grand Island, Nebraska, November 26, 2019. _______________________________________ Roger G. Steele, Mayor Attest: _______________________________________ RaNae Edwards, City Clerk Grand Island Council Session - 11/26/2019 Page 158 / 159 City of Grand Island Tuesday, November 26, 2019 Council Session Item J-1 Approving Payment of Claims for the Period of November 13, 2019 through November 26, 2019 The Claims for the period of November 13, 2019 through November 26, 2019 for a total amount of $5,795,654.55. A MOTION is in order. Staff Contact: Patrick Brown Grand Island Council Session - 11/26/2019 Page 159 / 159