11-17-2008 Community Redevelopment Authority Regular Meeting Packet
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting Packet
Board Members:
Lee Elliott
Tom Gdowski
Barry Sandstrom
Sue Pirnie
Glen Murray
4:00 PM
Grand Island City Hall
100 E 1st Street
Grand Island Regular Meeting - 11/17/2008 Page 1 / 42
Call to Order
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.
DIRECTOR COMMUNICATION
This is an opportunity for the Director to comment on current events, activities, and issues of interest to
the commission.
Grand Island Regular Meeting - 11/17/2008 Page 2 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item A1
Agenda
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 11/17/2008 Page 3 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item B1
Meeting Minutes
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 11/17/2008 Page 4 / 42
OFFICIAL PROCEEDINGS
MINUTES OF
COMMUNITY REDEVELOPMENT AUTHORITY
MEETING OF
October 14, 2008
Pursuant to due call and notice thereof, a Regular Meeting of the
Community Redevelopment Authority of the City of Grand Island,
Nebraska was conducted on October 14, 2008 at City Hall 100 E First
Street. Notice of the meeting was given in the October 7, 2008 Grand
Island Independent.
1.CALL TO ORDER Vice Chair Lee Elliot called the meeting to order
at 4:00 p.m. The following members were present: Lee Elliot,
Tom Gdowski, Sue Pirnie, and Glen Murray. Also present were;
Director, Chad Nabity; Secretary Rose Woods; CRA Attorney;
Duane Burns, Finance Director, Dave Springer, Council Liaison
Peg Gilbert, Dee Johnson, Marv Webb, Rev. Philipsen, Marv
Wemhoff, Gene McCloud, and Ray O’Conner.
Elliot stated this was a public meeting subject to the open
meeting laws of the State of Nebraska. He noted that the
requirements for an open meeting were posted on the wall
easily accessible to anyone who would like to read through
them.
2.APPROVAL OF MINUTES. A motion for approval of the Minutes for
the September 22, meeting, Pirnie made the motion seconded
by Murray. Upon roll call vote, all present voted aye. Motion
carried unanimously.
3.APPROVAL OF FINANCIAL REPORTS. APPROVAL OF FINANCIAL
REPORTS. Dave Springer reviewed the financial reports for the
period of September 1, 2008 through September 30, 2008. He
noted revenue in the amount of $130,458 and expenses in the
amount of $47,669 for the month. This included payment of the
Goodwill Façade that was approved two months ago. Total cash
was $1,236,622. Motion by Murray, second by Gdowski, to
approve the financial reports. Upon roll call vote, all present
voted aye. Motion carried unanimously.
Grand Island Regular Meeting - 11/17/2008 Page 5 / 42
4.APPROVAL OF BILLS. The bills were reviewed by the Authority.
Motion made by Gdowski, second by Pirnie, to approve the bills
in the amount of $5783.00. Upon roll call vote all present voted
aye. Motion carried unanimously to approve the payment of bills
totaling $5783.00.
5. CONSIDERATION OF FAÇADE IMPROVEMENT ABBEY CARPETS
‘N’ MORE. Dee Johnson submitted a request for assistance with
the remainder of the Façade improvements for the Abbey
Carpets ‘N’ More building. There was a Façade committee
meeting that was held on October 6th, 2008, Elliot and Pirnie
were on the committee and both agreed the request submitted
by Johnson follows along with criteria the CRA has set forth to
help improve the Façade of the building. The Johnson’s have
already spent $29,788.70 on improvements to the building and
are asking the CRA for the $9400.00 to help cover the cost for
the Architect as well as costs for new canopies for the windows
and new signage for the front and the back of the building.
Motion was made by Gdowski and second by Murray to approve
the request of Façade funds to Johnson in the amount of
$9400.00. Upon roll call vote all present voted aye. Motion
carried unanimously to approve the Façade improvement
request for Abbey Carpets ‘N’ More.
6. CONSIDERATION OF GRANT REQUEST FROM BLESSED
SACRAMENT CHURCH. Rev. Todd Philipsen submitted a request
for funds to replace some sidewalk, new signage for the church
as well as parking lot marking. Philipsen explained the church
has completed other projects in the amount of $2,832,403.13;
these projects have been completed and paid for by the people
of the Blessed Sacrament Parish. He noted his church currently
is one of the largest Parishes in Grand Island with over 1400
families active within the church. The funds requested in the
amount of $33, 401.06 would help repair sidewalks out in front
of the church, also to replace the outdated signs with ones with
more appeal to the area. He is currently concerned about the
safety issue and the cosmetic issue. Nabity explained this area
is now in the blighted area and is similar to a Façade project
CRA grants had been previously given out to non profit
organizations such as St. Mary Cathedral for lighting, YWCA and
YMCA had been also given funds for similar requests. Motion
was made by Murray and second by Pirnie to approve the Grant
request in the amount of $33,401.06. Upon roll call vote all
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present voted aye. Motion carried unanimously to approve the
grant request of $33, 401.06.
7.REVIEW OF COMMITTED PROJECTS AND CRA PROPERTIES.
Nabity reported briefly. Total committed projects total $540,450.
Discussion was held on the status of projects. Housing Study is
moving forward should have a draft in December. Hall County
should be sending a bill soon. Romsa Real Estate Center is still
waiting to hear back about permits. BID 6 their final totals were
$55,000 this included $51,500 for conduit and $3,500 for the NE
Arboretum for the 2nd Street Landscape Plan. Paul Warshauer
(Masonic Temple) has turned nothing in at this time however is
still moving forward with the process. New Life Community
Church Façade is coming along nicely; they may come back with
a change to one wall and requesting release of a portion of the
allocated funds. The 2008 Wayside horns are moving forward, as
is the engineering for the 2009 Wayside horns, there is discussion
about the wayside horn for Broadwell; with the possibility of
having an underpass at this location in the near future.
8. DISCUSSION OF POSSIBLE PURCHASE/SALE OF PROPERTIES IN
CRA DESIGNATED AREA. Nabity explained there has been an
interest in the 408 E 2nd Street property at this time however
nothing has been offered. Ray O’Connor has submitted a bid of
$50,000 for the CRA property located at 2707 and 2709 South
Locust. The selling of the CRA property on South Locust will be
contingent upon moving forward with the TIF application process.
The TIF contract must be approved by Regional Planning and
Council and then all will move forward together, also with the
condition of O’Connor installing a Hike and Bike Trail for the area.
Motion was made by Gdowski and second by Pirnie to approve
the submitted bid of $50,000 continent upon the approval of the
TIF application and O’Connor installing a Hike and Bike Trail.
Upon roll call vote all present voted aye. Motion carried
unanimously to approve the submitted bid for the CRA South
Locust property.
9.CONSIDERATION OF A RESOLUTION TO FORWARD
REDEVELOPMENT PLAN AMENDMENT TO THE HALL COUNTY
REGIONAL PLANNING COMMISSION FOR CRA AREA #2 THE
FORMER LOCATION OF WONDERFUL GARDEN RESTRAUNT AND
THE STAR MOTEL ON SOULT LOCUST. Grand Island developer
Ray O’Connor submitted plans for a Best Western Inn and Suites
along South Locust Street. He proposed using the land to build
Grand Island Regular Meeting - 11/17/2008 Page 7 / 42
an 80 to 82 room Best Western Inn and Suites in what's called
the "Stoneridge" prototype costing approximately $5.3 million
dollars. O’Connor told the CRA members he thinks the community
needs new motel rooms to compete with the neighbors to the
west. O'Connor said Kearney has effectively used tax-increment
financing (TIF) to build several new hotel projects there. The
result has been an influx in the conference and convention
business in Kearney; something in which O'Connor feels Grand
Island can recover its former competitiveness. He also requested
up to $1.5 million in tax-increment financing to help with the cost
of the hotel project the bulk of which would go toward relocating
a major sewer line across the proposed hotel property. O'Connor
bought the former Wonderful Garden restaurant property at 2623
S. Locust St., but said that ground is not wide enough to
accommodate a hotel development. The former Star Motel
property at 2707 and 2709 S. Locust was also too narrow due to
a 20-foot hike-and-bike trail easement required by the city. But
by combining the restaurant and Star Motel properties a lot
approximately 247 feet wide by 350 feet deep the desired lot size
is achieved for development, O'Connor said.
The CRA bought the Star Motel in a dilapidated state in December
2005 for $155,740. It then spent $15,339 to demolish the
structure. O'Connor proposed Tuesday to buy it from the CRA for
$50,000, but only if he could also obtain TIF for the hotel project.
CRA member Tom Gdowski said he had hoped to recoup more of
the costs into the Star Motel property, but he felt O'Connor's
proposed use; history of successful projects and high integrity in
the community were favorable. Grand Island City Councilwoman
Peg Gilbert said selling the property for less than the CRA had
into it is an easy sell to taxpayers. The new hotel will be a driver
for sales tax revenues, she said.
Both properties also have a sewer line problem that dates back to
1979. A sewer main was installed across both properties
rendering most of the property unbuildable unless the line is
moved. The tax-increment financing would help pay for that
relocation. The $6,600 a year in existing property taxes would
continue to be paid to political subdivisions. O'Connor said the
new hotel will be owned by South Pointe Development LLC, which
is owned by himself, Bill Francis and Gene McCloud. McCloud
owns the Super 8 motel immediately north of the proposed Best
Western site.
Grand Island Regular Meeting - 11/17/2008 Page 8 / 42
The Midtown Holiday Inn is just north of Super 8, which prompted
CRA members to question how occupancy rates would fare with
three hotels right in a row. "It can be a good thing," McCloud
said. "We feed off of each other." O'Connor said each hotel also
has its own market. The Holiday Inn caters toward conventions,
while the Super 8 focuses on lower rates. The Best Western
would have some extended-stay rooms. "We are not in the food
business, the bar businesses or the meeting room business,"
O'Connor said of Best Western's franchise. Best Western used to
have a hotel in Grand Island and contacted O'Connor, who owns
the Kearney franchise, to reintroduce Best Western to Grand
Island. Best Western officials have been calling weekly, O'Connor
said. "I think the hotel will be a nice addition," Gdowski said.
CRA member Glen Murray called it "an excellent project," while
CRA member Sue Pirnie commented about the attractiveness of
the “Stoneridge” design.
Nabity stated the hotel project advances to the Regional Planning
Commission Nov. 5 to decide if a hotel on the property is
appropriate land use. It will come back to the CRA on Nov. 12 for
a tax-increment financing plan. That plan, the land sale and the
redevelopment proposal will then advance to the Grand Island
City Council for final action on Nov. 18.
Motion was made by Murray and second by Pirnie to approve
Resolution No. 91 to forward the proposed Redevelopment Plan
to the Hall County Regional Planning for its recommendation.
Upon roll call vote all present voted aye. Motion carried
unanimously to approve Resolution 91.
10.CONSIDERATION OF A RESOLUTION OF INTENT TO ENTER INTO
A REDEVELOPMENT CONTRACT. No further discussion. Motion
was made by Gdowski and second by Murray to approve
Resolution No. 92 to provide the Grand Island City Council notice
of intent to enter into a redevelopment contract after a passage
of thirty days from the adoption of this resolution. Upon roll call
vote all present voted aye. Motion carried unanimously to
approve Resolution 92.
11.DIRECTOR’S REPORT.
Nabity commented there has been interest in the Façade
program. Since O’Connor cleaned up the CRA property on South
Locust there have been a few calls with no one moving forward
with offers. Project Armada is also still at a standstill.
Grand Island Regular Meeting - 11/17/2008 Page 9 / 42
12. ADJOURNMENT.
Vice Chairman Elliot adjourned the meeting at 4:55 p.m. The
next meeting is scheduled for November 12, 2008.
Respectfully submitted
Chad Nabity
Director
Grand Island Regular Meeting - 11/17/2008 Page 10 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item C1
Financial Reports
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 11/17/2008 Page 11 / 42
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF OCTOBER 2008
MONTH ENDED 2008 - 2009 2009 REMAINING
OCTOBER 2008 YEAR TO DATE BUDGET BALANCE
CONSOLIDATED
Beginning Cash 1,236,622 1,236,622 1,236,622
REVENUE:
Property Taxes 155,394 155,394 697,796 542,402
Loan Proceeds - - - -
Interest Income 1,625 1,625 10,000 8,375
Land Sales - - 50,000 50,000
Other Revenue - - - -
TOTAL REVENUE 157,018 157,018 757,796 600,778
TOTAL RESOURCES 1,393,640 1,393,640 1,994,418 600,778
EXPENSES
Auditing & Accounting 375 375 8,000 7,625
Legal Services 570 570 10,000 9,430
Consulting Services - - 10,000 10,000
Contract Services 1,952 1,952 40,000 38,048
Printing & Binding - - 1,000 1,000
Other Professional Services - - 6,000 6,000
General Liability Insurance - - 250 250
Postage 14 14 250 236
Matching Grant - - - -
Legal Notices 13 13 800 787
Licenses & Fees - - - -
Travel & Training - - 1,500 1,500
Other Expenditures - - 500 500
Office Supplies - - 500 500
Supplies - - 300 300
Land - - 100,000 100,000
Façade Improvement - - 200,000 200,000
South Locust - - - -
Alleyway Improvement - - - -
Other Projects 2,858 2,858 500,000 497,142
Bond Principal - - 128,002 128,002
Bond Interest - - 94,794 94,794
Interest Expense - - - -
- - -
TOTAL EXPENSES 5,783 5,783 1,101,896 1,096,113
INCREASE(DECREASE) IN CASH 151,235 151,235 (344,100) (495,335)
ENDING CASH 1,387,857 1,387,857 892,522 (495,335)
LESS COMMITMENTS 583,250 -
AVAILABLE CASH 804,607 1,387,857 892,522 (495,335)
CHECKING 891,214
PETTY CASH 50
INVESTMENTS 496,593
Total Cash 1,387,857
Grand Island Regular Meeting - 11/17/2008 Page 12 / 42
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF OCTOBER 2008
MONTH ENDED 2008 - 2009 2009 REMAINING
OCTOBER 2008 YEAR TO DATE BUDGET BALANCE
CRA
GENERAL OPERATIONS:
Property Taxes 85,687 85,687 475,000 389,313
Interest Income 1,524 1,524 10,000 8,476
Land Sales - - 50,000 50,000
Other Revenue & Motor Vehicle Tax - - - -
TOTAL 87,211 87,211 535,000 447,789
GILI TRUST
Property Taxes 31,431 31,431 65,780 34,349
Interest Income - - - -
Other Revenue - - - -
TOTAL 31,431 31,431 65,780 34,349
CHERRY PARK LTD II
Property Taxes 29,696 29,696 59,180 29,484
Interest Income 33 33 - (33)
Other Revenue - - - -
TOTAL 29,729 29,729 59,180 29,451
GENTLE DENTAL
Property Taxes - - 4,202 4,202
Interest Income 0 0 - (0)
Other Revenue - - - -
TOTAL 0 0 4,202 4,202
PROCON TIF
Property Taxes 8,579 8,579 19,162 10,583
Interest Income - - - -
Other Revenue - - - -
TOTAL 8,579 8,579 19,162 10,583
WALNUT HOUSING PROJECT
Property Taxes - - 74,472 74,472
Interest Income 68 68 - (68)
Other Revenue - - - -
TOTAL 68 68 74,472 74,404
BRUNS PET GROOMING
Property Taxes - - - -
Interest Income - - - -
Other Revenue - - - -
TOTAL - - - -
GIRARD VET CLINIC
Property Taxes - - - -
Interest Income - - - -
Other Revenue - - - -
TOTAL - - - -
TOTAL REVENUE 157,018 157,018 757,796 600,778
Grand Island Regular Meeting - 11/17/2008 Page 13 / 42
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF OCTOBER 2008
MONTH ENDED 2008 - 2009 2009 REMAINING
OCTOBER 2008 YEAR TO DATE BUDGET BALANCE
EXPENSES
CRA
GENERAL OPERATIONS:
Auditing & Accounting 375 375 8,000 7,625
Legal Services 570 570 10,000 9,430
Consulting Services - - 10,000 10,000
Contract Services 1,952 1,952 40,000 38,048
Printing & Binding - - 1,000 1,000
Other Professional Services - - 6,000 6,000
General Liability Insurance - - 250 250
Postage 14 14 200 186
Matching Grant - - - -
Legal Notices 13 13 800 787
Licenses & Fees - - - -
Travel & Training - - 1,000 1,000
Other Expenditures - - 500 500
Office Supplies - - 500 500
Supplies - - 300 300
Land - - 100,000 100,000
PROJECTS
Façade Improvement - - 758,750 758,750
South Locust - - - -
Alleyway Improvement - - - -
Other Projects 2,858 2,858 500,000 497,142
TOTAL CRA EXPENSES 5,783 5,783 1,437,300 1,431,517
GILI TRUST
Bond Principal - - 51,001 51,001
Bond Interest - - 14,779 14,779
Other Expenditures - - - -
TOTAL GILI EXPENSES - - 65,780 65,780
CHERRY PARK LTD II
Bond Principal - - 39,729 39,729
Bond Interest - - 19,451 19,451
TOTAL CHERRY PARK EXPENSES - - 59,180 59,180
GENTLE DENTAL
Bond Principal - - 2,276 2,276
Bond Interest - - 1,926 1,926
TOTAL GENTLE DENTAL - - 4,202 4,202
PROCON TIF
Bond Principal - - 9,467 9,467
Bond Interest - - 9,695 9,695
TOTAL PROCON TIF - - 19,162 19,162
WALNUT HOUSING PROJECT
Bond Principal - - 39,151 39,151
Bond Interest - - 35,321 35,321
- - -
TOTAL WALNUT HOUSING - - 74,472 74,472
Grand Island Regular Meeting - 11/17/2008 Page 14 / 42
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF OCTOBER 2008
MONTH ENDED 2008 - 2009 2009 REMAINING
OCTOBER 2008 YEAR TO DATE BUDGET BALANCE
BRUNS PET GROOMING
Bond Principal - - - -
Bond Interest - - - -
TOTAL BRUNS PET GROOMING - - - -
GIRARD VET CLINIC
Bond Principal - - - -
Bond Interest - - - -
TOTAL GIRARD VET CLINIC - - - -
TOTAL EXPENSES 5,783 5,783 1,660,096 1,654,313
Grand Island Regular Meeting - 11/17/2008 Page 15 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item D1
Bills
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 11/17/2008 Page 16 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item E1
Committed Projects
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 11/17/2008 Page 17 / 42
COMMITTED
PROJECTS
AMOUNT ESTIMATED DUE DATE
Housing Study $8,250 Fall 2008
Hall County $37,500 Fall 2008
Romsa Real Estate Center $75,000 Fall 2007
BID 6 $55,000 Spring 2009
Paul Warshauer
(Masonic Temple)
$17,700 Fall 2008
Carpets ‘N’ More $9,400 Spring 2009
New Life Community
Church Façade
$107,000 Fall 2008
Blessed Sacrament $33,400 Spring 2009
2008 Wayside Horns $140,000 Fall 2008
2009 Wayside Horns $100,000 Fall 2009
Total Committed $583,250
CRA PROPERTIES
Address Purchase Price Purchase Date Demo Cost Status
203 E 1st St.$68,627 10-09-02 $23,300 Surplus
217 E 1st St $17,000 03-20-03 $6,500 Surplus
408 E 2nd St $4,869 11-11-05 $7,500 Surplus
2707 and 2709
S. Locust
$155,740 12-30-05 $15,339.23 Surplus
211 E 1st $34,702 11-13-07 $8,000 Surplus
October 31, 2008
Grand Island Regular Meeting - 11/17/2008 Page 18 / 42
Community Redevelopment
Authority (CRA)
Monday, November 17, 2008
Regular Meeting
Item H1
TIF
Staff Contact: Chad Nabity
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