02-09-2011 Community Redevelopment Authority Regular Meeting Packet
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting Packet
Board Members:
Michelle Fitzke
Tom Gdowski
Barry Sandstrom
Sue Pirnie
Glen Murray
4:00 PM
Grand Island City Hall
100 E 1st Street
Grand Island Regular Meeting - 2/9/2011 Page 1 / 24
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 - 2/9/2011 Page 2 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item A1
Agenda
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 3 / 24
AGENDA
Wednesday February 9, 2011
4:00 p.m.
Grand Island City Hall
Open Meetings Notifications
1.Call to Order.Barry Sandstrom
This is a public meeting subject to the open meetings laws of the State of
Nebraska. The requirements for an open meeting are posted on the wall in
this room and anyone that wants to find out what those are is welcome to read
through them.
2.Approval of Minutes of January 12, 2011 Meeting.
3.Approval of Financial Reports.
4.Approval of Bills.
5.Consideration of a Resolution to forward a redevelopment plan amendment to the Hall
County Regional Planning Commission for 620 State Street.
6.Consideration of a Resolution of intent to enter into a redevelopment contract
for a project located at 620 State Street.
7.Review of Committed Projects and CRA Properties.
8.ADJOURN TO EXECUTIVE SESSION TO DISCUSS NEGOTIATIONS.
RETURN TO REGULAR SESSION
9.Approve Resolution or Resolutions to Purchase/Sell Property.
10.Directors Report
11.Adjournment
Next Meeting March 16, 2011
The CRA may go into closed session for any agenda item as allowed by state law.
Grand Island Regular Meeting - 2/9/2011 Page 4 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item B1
Meeting Minutes
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 5 / 24
OFFICIAL PROCEEDINGS
MINUTES OF
COMMUNITY REDEVELOPMENT AUTHORITY
MEETING OF
January 12, 2011
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 January 12, 2011 at City Hall 100 E First Street. Notice of the meeting was
given in the January 5, 2011 Grand Island Independent.
1.CALL TO ORDER. Barry Sandstrom called the meeting to order at 4:05
p.m. The following members were present: Tom Gdowski, Glen Murray,
Michelle Fitzke and Sue Pirnie. Also present were; Director, Chad Nabity;
Secretary, Rose Woods; Legal Council, Duane Burns, Finance Director,
Mary Lou Brown, Council Liaison Mitch Nickerson, and Terry Galloway.
Sandstrom 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
December 15, 2010 meeting was made by Pirnie. Motion was seconded
by Murray. Upon roll call vote, all present voted aye. Motion carried
unanimously.
3.APPROVAL OF FINANCIAL REPORTS. The financial reports for the
period of December 1, 2010 through December 31, 2010. Motion to was
made by Gdowksi and seconded by Pirnie to approve the financial reports.
Upon roll call vote, all present voted aye. Motion carried unanimously.
4.APPROVAL OF BILLS. The bills were reviewed by Sandstrom.
Motion made by Murray and seconded by Gdowski to approve the bills in
the amount of $16,626.64. Upon roll call vote all present voted aye.
Motion carried unanimously to approve the payment of bills totaling
$16,626.64.
5. AUDIT REVIEW WITH TERRY GALLOWAY. Terry Galloway reviewed
the audit with the members of the CRA board. A motion was made by
Pirnie and seconded by Fitzke to approve the Audit. Upon roll call vote all
present voted aye. Motion carried unanimously to approve the audit.
Grand Island Regular Meeting - 2/9/2011 Page 6 / 24
6. UPDATE ON THE LINCOLN NEIGHBORHOOD STUDY. Nabity is
working on this draft and stated this is taking form as a Neighborhood
Redevelopment Plan. This is a coming together as a plan amendment to
the Blighted and Substandard Area study. This will be specific to the
Lincoln neighborhood and this will include other recommendations the
neighborhood is looking for, such as a convenience store or gas station
and where those could be located. This is not specific to the Lincoln pool
but to the Lincoln neighborhood.
7. REVIEW OF COMMITTED PROJECTS AND CRA PROPERTIES.
Nabity reviewed the committed projects; Big O Tires is not quite ready to
submit their bills for payment. The Chocolate Bar is moving forward.
Amos Anson just submitted their request to Council for a liquor license.
The BID 6 may come off within the next few months. The city paid for this
with Federal funds. The railroad had provided a letter to Public Works and
they are continuing to move forward with the Wayside horns.
8. ADJOURN TO EXECUTIVE SESSION TO DISCUSS NEGOTIATIONS.
RETURN TO REGULAR SESSION.
9. APPROVE RESOLUTION OR RESOLUTIONS TO PURCHASE/SELL
PROPERTY.
10. DIRECTORS REPORT. Nabity discussed Skagway has turned in their
application for Façade and a TIF application. Nabity asked for two
volunteers for the Façade review committee.
11. ADJOURNMENT.
Sandstrom adjourned the meeting at 4:46 p.m.
The next meeting is scheduled for February 9, 2011 at 4:00 p.m.
Respectfully submitted
Chad Nabity
Director
Grand Island Regular Meeting - 2/9/2011 Page 7 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item C1
Financial Reports
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 8 / 24
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF JANUARY 2011
MONTH ENDED 2010 - 2011 2011 REMAINING
JANUARY 2011 YEAR TO DATE BUDGET BALANCE
CONSOLIDATED
Beginning Cash 899,643 985,902 985,902
REVENUE:
Property Taxes 22,332 201,382 662,843 461,461
Loan Proceeds - - - -
Interest Income 139 938 12,940 12,002
Land Sales - 29,906 50,000 20,094
Other Revenue - 7,661 - (7,661)
TOTAL REVENUE 22,470 239,886 725,783 485,897
TOTAL RESOURCES 922,113 1,225,788 1,711,685 485,897
EXPENSES
Auditing & Accounting - 38,129 7,500 (30,629)
Legal Services 544 1,144 10,000 8,856
Consulting Services - - 10,000 10,000
Contract Services 6,918 15,803 40,000 24,197
Printing & Binding - - 1,000 1,000
Other Professional Services 6,106 6,106 5,000 (1,106)
General Liability Insurance - - 250 250
Postage 450 524 200 (324)
Matching Grant - - - -
Legal Notices (155) 411 800 389
Licenses & Fees - - - -
Travel & Training - - 1,000 1,000
Other Expenditures - - 500 500
Office Supplies 476 721 500 (221)
Supplies - - 300 300
Land 2,002 2,002 100,000 97,998
Façade Improvement - 130,085 539,950 409,865
South Locust - - - -
Alleyway Improvement - - - -
Other Projects - - 800,000 800,000
Bond Principal - 92,018 161,611 69,593
Bond Interest - 33,071 81,172 48,101
Interest Expense - - - -
- - -
TOTAL EXPENSES 16,340 320,015 1,759,783 1,439,768
INCREASE(DECREASE) IN CASH 6,131 (80,128) (48,099)
ENDING CASH 905,773 905,773 937,803
LESS COMMITMENTS 966,470 966,470
AVAILABLE CASH (60,696) (60,696) 937,803 -
CHECKING 554,254
INVESTMENTS 351,520
Total Cash 905,773
Grand Island Regular Meeting - 2/9/2011 Page 9 / 24
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF JANUARY 2011
MONTH ENDED 2010 - 2011 2011 REMAINING
JANUARY 2011 YEAR TO DATE BUDGET BALANCE
CRA
GENERAL OPERATIONS:
Property Taxes 22,332 86,322 425,000 338,678
Interest Income 115 826 8,000 7,175
Land Sales 29,906 50,000 20,094
Other Revenue & Motor Vehicle Tax 147 - (147)
TOTAL 22,447 117,200 483,000 365,800
GILI TRUST
Property Taxes 31,720 65,780 34,061
Interest Income - - -
Other Revenue - - -
TOTAL - 31,720 65,780 34,061
CHERRY PARK LTD II
Property Taxes 30,355 59,180 28,825
Interest Income 23 96 - (96)
Other Revenue - - -
TOTAL 23 30,451 59,180 28,729
GENTLE DENTAL
Property Taxes - 4,202 4,202
Interest Income 0 1 - (1)
Other Revenue - - -
TOTAL 0 1 4,202 4,201
PROCON TIF
Property Taxes 8,701 19,162 10,461
Interest Income 3 - (3)
Other Revenue 878 - (878)
TOTAL - 9,582 19,162 9,580
WALNUT HOUSING PROJECT
Property Taxes 30,593 74,472 43,879
Interest Income 12 - (12)
Other Revenue 6,636 - (6,636)
TOTAL - 37,241 74,472 37,231
BRUNS PET GROOMING
Property Taxes - 4,986 4,986
Interest Income - 4,940 4,940
Other Revenue - - -
TOTAL - - 9,926 9,926
GIRARD VET CLINIC
Property Taxes - - -
Interest Income - - -
Other Revenue - - -
TOTAL - - - -
GEDDES ST APTS-PROCON
Property Taxes 13,691 1,195 (12,496)
Interest Income - - -
Other Revenue - - -
Grand Island Regular Meeting - 2/9/2011 Page 10 / 24
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF JANUARY 2011
MONTH ENDED 2010 - 2011 2011 REMAINING
JANUARY 2011 YEAR TO DATE BUDGET BALANCE
TOTAL - 13,691 1,195 (12,496)
SOUTHEAST CROSSING
Property Taxes - 8,866 8,866
Interest Income - - -
Other Revenue - - -
TOTAL - - 8,866 8,866
TOTAL REVENUE 22,470 239,886 725,783 485,897
Grand Island Regular Meeting - 2/9/2011 Page 11 / 24
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF JANUARY 2011
MONTH ENDED 2010 - 2011 2011 REMAINING
JANUARY 2011 YEAR TO DATE BUDGET BALANCE
EXPENSES
CRA
GENERAL OPERATIONS:
Auditing & Accounting - 7,500 7,500
Legal Services 544 1,144 10,000 8,856
Consulting Services - 10,000 10,000
Contract Services 6,918 15,803 40,000 24,197
Printing & Binding - 1,000 1,000
Other Professional Services 6,106 6,106 5,000 (1,106)
General Liability Insurance - 250 250
Postage 450 524 200 (324)
Matching Grant - - -
Legal Notices (155) 411 800 389
Licenses & Fees - - -
Travel & Training - 1,000 1,000
Other Expenditures - 500 500
Office Supplies 476 721 500 (221)
Supplies - 300 300
Land 2,002 2,002 100,000 97,998
PROJECTS
Façade Improvement 130,085 539,950 409,865
South Locust - - -
Alleyway Improvement - - -
Other Projects - 800,000 800,000
TOTAL CRA EXPENSES 16,340 156,796 1,517,000 1,360,204
GILI TRUST
Bond Principal 29,243 51,001 21,758
Bond Interest 3,647 14,779 11,132
Other Expenditures - - -
TOTAL GILI EXPENSES - 32,890 65,780 32,890
CHERRY PARK LTD II
Bond Principal 22,684 39,729 17,045
Bond Interest 6,906 19,451 12,545
TOTAL CHERRY PARK EXPENSES - 29,590 59,180 29,590
GENTLE DENTAL
Bond Principal 1,259 2,276 1,017
Bond Interest 842 1,926 1,084
TOTAL GENTLE DENTAL - 2,101 4,202 2,101
PROCON TIF
Bond Principal 5,310 9,467 4,157
Bond Interest 4,271 9,695 5,424
TOTAL PROCON TIF - 9,581 19,162 9,581
WALNUT HOUSING PROJECT
Bond Principal 19,831 39,151 19,320
Bond Interest 17,405 35,321 17,916
- - -
TOTAL WALNUT HOUSING - 37,236 74,472 37,236
Grand Island Regular Meeting - 2/9/2011 Page 12 / 24
COMMUNITY REDEVELOPMENT AUTHORITY
FOR THE MONTH OF JANUARY 2011
MONTH ENDED 2010 - 2011 2011 REMAINING
JANUARY 2011 YEAR TO DATE BUDGET BALANCE
BRUNS PET GROOMING
Bond Principal - 4,986 4,986
Bond Interest - - -
TOTAL BRUNS PET GROOMING - - 4,986 4,986
GIRARD VET CLINIC
Bond Principal - 4,940 4,940
Bond Interest - - -
TOTAL GIRARD VET CLINIC - - 4,940 4,940
GEDDES ST APTS - PROCON
Bond Principal 13,691 1,195 (12,496)
Bond Interest - - -
TOTAL GEDDES ST APTS - PROCON - 13,691 1,195 (12,496)
SOUTHEAST CROSSINGS
Bond Principal - 8,866 8,866
Bond Interest - - -
TOTAL SOUTHEAST CROSSINGS - - 8,866 8,866
POPLAR STREET WATER
Bond Principal - - -
Bond Interest - - -
Auditing & Accounting - - -
Contract Services 38,129 - (38,129)
TOTAL SOUTHEAST CROSSINGS - 38,129 - (38,129)
TOTAL EXPENSES 16,340 320,015 1,759,783 1,439,768
Grand Island Regular Meeting - 2/9/2011 Page 13 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item D1
Bills
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 14 / 24
9-Feb-11
TO: Community Redevelopment Authority Board Members
FROM: Chad Nabity, Planning Department Director
RE: Bills Submitted for Payment
The following bills have been submitted to the Community
Redevelopment Authority Treasurer for preparation of payment.
City of Grand Island
Administration Fees Jan Fees
Accounting Jan, Feb and March
Officenet Inc.
Postage $ 18.17
Lawnscape mowing snow removal $ 105.00
Grand Island Independent $ 13.63
Hall County Treasurer (approved last mo.)Real estate tax $ 287.12
need new check
Mayer, Burns, Koenig & Janulewicz Legal Services $ 270.00
Total:
$ 693.92
Grand Island Regular Meeting - 2/9/2011 Page 15 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item E1
Committed Projects
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 16 / 24
COMMITTED PROJECTS AMOUNT ESTIMATED DUE DATE
Big O Tires $65,297.52 Fall 2010
The Chocolate Bar $37,772 Spring 2011
BID 6 (Conduit)$55,000 Spring 2010
2010 Wayside Horns (Oak,
Pine, Elm & Walnut)
$140,000 Fall 2010
2012 Wayside Horns
(Custer/Blaine)
$100,000 Fall 2011
Grand Island Christian
School (Demo)
$129,000 Spring 2011
Grand Island Christian
School (Façade)
$80,000 Fall 2011
123 W 3rd St.$59,400 Spring 2011
The Grand Façade $300,000 Spring 2012
Total Committed $966,469.52
CRA PROPERTIES
Address Purchase Price Purchase Date Demo Cost Status
408 E 2nd St $4,869 11-11-05 $7,500 Surplus
3235 S Locust $450,000 4-2-2010 $39,764 Surplus
January 31, 2010
Grand Island Regular Meeting - 2/9/2011 Page 17 / 24
Community Redevelopment
Authority (CRA)
Wednesday, February 9, 2011
Regular Meeting
Item H1
TIF Request
Staff Contact: Chad Nabity
Grand Island Regular Meeting - 2/9/2011 Page 18 / 24
BACKGROUND INFORMATION RELATIVE TO
TAX INCREMENT FINANCING REQUEST
Project Redeveloper Information
Business Name: Wilmar Realty, LLC
________________________________
Address: P.O. Box 1647; Grand Island, NE 68802
_________________________
Telephone No.: 308-384-8222__________ Fax No.:308-384-4308
____________________________________
Contact: Bill Martin or Tim Bolton
__________________________________________________________________
__________
Brief Description of Applicant’s Business: Manages Real Estate Property at the 5-Points
location, in Grand Island, Nebraska_____________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
______________________________________
Grand Island Regular Meeting - 2/9/2011 Page 19 / 24
Present Ownership Proposed Project Site: Wilmar Realty, LLC ; P.O. Box 1647; Grand
Island , NE 68802_________________________________________
Proposed Project: Building square footage, size of property, description of
buildings – materials, etc. Please attach site plan, if available.
1.)Demolition and site preparation for new parking lot on west side of Skagway.
2.) New façade on west side of Skagway Building
3.) Remodel inside of Skagway Store
__________________________________________________________________
______
If Property is to be Subdivided, Show Division Planned:
VI.Estimated Project Costs:
Acquisition Costs:
A. Land $ 199,086
B. Building $ 534,138
Construction Costs:
A. Renovation or Building Costs:$ 1,175,000 *
New façade and remodel of inside of Skagway
* based on engineer estimates
B. On-Site Improvements:$ 1,503,500
Parking Lot
Grand Island Regular Meeting - 2/9/2011 Page 20 / 24
Soft Costs:
A. Architectural & Engineering Fees:$ 140,000
______________
B. Financing Fees: $
______________
C. Legal/Developer/Audit Fees:$
______________
D. Contingency Reserves:$
______________
E. Other (Please Specify)$
______________
TOTAL $ 3,551,723
______________
Total Estimated Market Value at Completion:$ 4,897,666
Based on Hall County Assessor letter dated Jan 18, 2011
Source of Financing:
A. Developer Equity:$ 733,224
______________
B. Commercial Bank Loan:$ 2,400,000
______________
Tax Credits:
1. N.I.F.A.$
______________
2. Historic Tax Credits $
______________
D. Industrial Revenue Bonds: $
E. Tax Increment Assistance:$ 798,654
F. Other -Façade Improvement Program Grant $ 300,000
Grand Island Regular Meeting - 2/9/2011 Page 21 / 24
Name, Address, Phone & Fax Numbers of Architect, Engineer and General Contractor:
1.) Rockwell & Associates 2.) Miller & Associates
2510 N. Webb Rd 1111 Central Ave.
Grand Island, NE 68803 Kearney, NE 68847
(308) 382-1472 (308) 234-6456
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
____________________________________
Estimated Real Estate Taxes on Project Site Upon Completion of Project:
(Please Show Calculations)
Current Real Estate Taxes on just Skagway site without acquistions $ 34,135
Assuming $ 2,507,556 valuation increase taxes would be $ 53,244
Total Real Estate Taxes on renovated site $ 87,379
Project Construction Schedule:
Construction Start Date:
04/01/2011_________________________________________________
Construction Completion Date:
09/01/2011___________________________________________
If Phased Project:
_______________________ Year _______________________ %
Complete
_______________________ Year _______________________ %
Complete
XII.Please Attach Construction Pro Forma
XIII. Please Attach Annual Income & Expense Pro Forma
(With Appropriate Schedules)
Grand Island Regular Meeting - 2/9/2011 Page 22 / 24
TAX INCREMENT FINANCING REQUEST INFORMATION
Describe Amount and Purpose for Which Tax Increment Financing is Requested:
Assuming a $ 2,507,556 increase in valuation, we are requesting $ 798,654 to
cover a portion of the acquistion, demolition and renovation.
($2,507,556*.02123326*15 years)
_________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
_____________________________________________
Statement Identifying Financial Gap and Necessity for use of Tax Increment Financing
for Proposed Project The current economic constraints and competition make
affordability a high priority for this project. The projected real estate valuation
increase would influence the renovation to be implemented in smaller stages over
a longer time frame if TIF financing is not awarded.
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
Municipal and Corporate References (if applicable). Please identify all other
Municipalities, and other Corporations the Applicant has been involved with, or
Grand Island Regular Meeting - 2/9/2011 Page 23 / 24
has completed developments in, within the last five (5) years, providing contact
person, telephone and fax numbers for each:
None_____________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
_____________________________
IV.Please Attach Applicant’s Corporate/Business Annual Financial Statements for
the Last Three Years.
Willmar Realty, LLC started in January 1, 2008 and will provide the third
year of financials when completed in early February of 2011.
Post Office Box 1968
Grand Island, Nebraska 68802-1968
Phone: 308 385-5240
Fax: 308 385-5423
Email: cnabity@grand-island.com
Grand Island Regular Meeting - 2/9/2011 Page 24 / 24