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03-16-2011 Community Redevelopment Authority Regular Meeting Packet Community Redevelopment Authority (CRA) Wednesday, March 16, 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 - 3/16/2011 Page 1 / 23 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 - 3/16/2011 Page 2 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item A1 Agenda Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 3 / 23 AGENDA Wednesday March 16, 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 February 9, 2011 Meeting. 3.Approval of Financial Reports. 4.Approval of Bills. 5.Consideration of Façade Improvement Grant Request for Skagway, 620 W State Street. 6.Consideration of a Resolution of intent to enter into a redevelopment contract with Wilmar Reality, LLC, for a project located at 620 State Street. 7.Consideration of Grant Request for the Business Improvement District #8 for Downtown Grand Island. 8.Review and Discussion of Lincoln Neighborhood Study. 9.Review of Committed Projects and CRA Properties. 10.ADJOURN TO EXECUTIVE SESSION TO DISCUSS NEGOTIATIONS. RETURN TO REGULAR SESSION 11.Approve Resolution or Resolutions to Purchase/Sell Property. 12.Directors Report 13.Adjournment Next Meeting April 20, 2011 The CRA may go into closed session for any agenda item as allowed by state law. Grand Island Regular Meeting - 3/16/2011 Page 4 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item B1 Meeting Minutes Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 5 / 23 OFFICIAL PROCEEDINGS MINUTES OF COMMUNITY REDEVELOPMENT AUTHORITY MEETING OF February 9, 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 February 9, 2011 at City Hall 100 E First Street. Notice of the meeting was given in the February 2, 2011 Grand Island Independent. 1.CALL TO ORDER. Barry Sandstrom called the meeting to order at 4:00 p.m. The following members were present: Tom Gdowski, Glen Murray, and Michelle Fitzke. Also present were; Director, Chad Nabity; Secretary, Rose Woods; Legal Council, Duane Burns, Finance Director, Mary Lou Brown; Bill Martin and Tim Bolton. Member Sue Pirnie was absent. 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 January 12, 2011 meeting was made by Gdowski. Motion was seconded by Fitzke. Upon roll call vote, all present voted aye. Motion carried unanimously. 3.APPROVAL OF FINANCIAL REPORTS. The financial reports for the period of January 1, 2011 through January 31, 2011. Motion to was made by Gdowski and seconded by Murray 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 $693.92. Upon roll call vote all present voted aye. Motion carried unanimously to approve the payment of bills totaling $693.92. 5. CONSIDERATION OF RESOLUTION 118. The Board reviewed Resolution 118 to forward a redevelopment plan to the Hall County Regional Planning Commission for 620 State Street, Grand Island. The CRA received a proposed redevelopment plan (the “Plan”), for redevelopment of an area within city limits of the City of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 3/16/2011 Page 6 / 23 Bill Martin explained that they are looking at the tax increment financing to help cover the cost of demolishing numerous buildings at the intersection of Five Points intersection of State Street, Broadwell Avenue and Eddy Street, and to also remodel the inside of the Skagway supermarket. Without the help of the TIF financing this project would not be able to move forward in a timely manner. Gdowski, Fitzke and Murray all spoke in favor of the Redevelopment Plan for Skagway Five Points area. Murray commented “It’s a good investment that will help the whole area.” Item #6 the motion to approve Resolution No. 119 was also considered with Item #5. Motion to was made by Gdowski and seconded by Murray to approve Resolution No. 118 to forward the Redevelopment Plan Amendment to Regional Planning and to approve Resolution No. 119 to have Council approve the CRA entering into a Redevelopment Contract. Barry Sandstrom recused himself from the voting as he has a conflict of interest. Upon roll call vote, all others (Gdowski, Fitzke and Murray) voted aye. Motion carried unanimously. 6. CONSIDERATION OF RESOLUTION 119. Consideration to approve a Resolution sending notice of intent to enter into a Redevelopment Contract with Wilmar Realty, LLC, for redevelopment of an area within the city limits of the City of Grand Island, at 620 State Street, Grand Island. 7. REVIEW OF COMMITTED PROJECTS AND CRA PROPERTIES. Nabity reviewed the committed projects; Big O Tires has not submitted their bills for payment. The Chocolate Bar is moving forward. The BID 6 may come off within the next few months. The railroad had provided a letter to Public Works and they are continuing to move forward with the Wayside horns. They are hoping the first phase of the Wayside horns can be done by the end of this year or the beginning of 2012. Grand Island Christian School demo is complete and they will begin the Façade as soon as the weather warms up. Kris Jerke and Oscar Erives are still moving forward on 123 W 3rd St. The façade for the Grand Theatre hasn’t begun yet. Sandstrom asked Nabity to speak with Bruce Eberle about giving a presentation about the downtown progress and about any more downtown façade request. 8. ADJOURN TO EXECUTIVE SESSION TO DISCUSS NEGOTIATIONS. RETURN TO REGULAR SESSION. 9. APPROVE RESOLUTION OR RESOLUTIONS TO PURCHASE/SELL PROPERTY. Grand Island Regular Meeting - 3/16/2011 Page 7 / 23 10. DIRECTORS REPORT. 11. ADJOURNMENT. Sandstrom adjourned the meeting at 4:40 p.m. The next meeting is scheduled for March 16, 2011 at 4:00 p.m. Respectfully submitted Chad Nabity Director Grand Island Regular Meeting - 3/16/2011 Page 8 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item C1 Financial Reports Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 9 / 23 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2011 MONTH ENDED 2010 - 2011 2011 REMAINING FEBRUARY 2011 YEAR TO DATE BUDGET BALANCE CONSOLIDATED Beginning Cash 905,773 985,902 985,902 REVENUE: Property Taxes 22,822 224,204 653,977 429,773 Loan Proceeds - - - - Interest Income 666 1,604 12,940 11,336 Land Sales - 29,906 50,000 20,094 Other Revenue 284 7,944 - (7,944) TOTAL REVENUE 23,772 263,658 716,917 453,259 TOTAL RESOURCES 929,545 1,249,560 1,702,819 453,259 EXPENSES Auditing & Accounting - - 7,500 7,500 Legal Services 270 1,414 10,000 8,586 Consulting Services - - 10,000 10,000 Contract Services 105 54,037 40,000 (14,037) Printing & Binding - - 1,000 1,000 Other Professional Services 287 6,393 5,000 (1,393) General Liability Insurance - - 250 250 Postage 18 543 200 (343) Matching Grant - - - - Legal Notices 14 425 800 375 Licenses & Fees - - - - Travel & Training - - 1,000 1,000 Other Expenditures - - 500 500 Office Supplies - 721 500 (221) Supplies - - 300 300 Land - 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 2,167 94,185 161,611 67,426 Bond Interest - 33,071 81,172 48,101 Interest Expense - - - - - - - TOTAL EXPENSES 2,861 322,876 1,759,783 1,436,907 INCREASE(DECREASE) IN CASH 20,911 (59,217) (56,965) ENDING CASH 926,684 926,684 928,937 LESS COMMITMENTS 966,470 966,470 AVAILABLE CASH (39,785) (39,785) 928,937 - CHECKING 574,614 INVESTMENTS 352,071 Total Cash 926,684 Grand Island Regular Meeting - 3/16/2011 Page 10 / 23 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2011 MONTH ENDED 2010 - 2011 2011 REMAINING FEBRUARY 2011 YEAR TO DATE BUDGET BALANCE CRA GENERAL OPERATIONS: Property Taxes 16,604 102,926 425,000 322,074 Interest Income 654 1,479 8,000 6,521 Land Sales 29,906 50,000 20,094 Other Revenue & Motor Vehicle Tax 284 430 - (430) TOTAL 17,542 134,742 483,000 348,258 GILI TRUST Property Taxes 1,242 32,962 65,780 32,818 Interest Income - - - Other Revenue - - - TOTAL 1,242 32,962 65,780 32,818 CHERRY PARK LTD II Property Taxes 1,189 31,544 59,180 27,636 Interest Income 12 108 - (108) Other Revenue - - - TOTAL 1,201 31,652 59,180 27,528 GENTLE DENTAL Property Taxes 84 84 4,202 4,118 Interest Income 0 1 - (1) Other Revenue - - - TOTAL 84 85 4,202 4,117 PROCON TIF Property Taxes 338 9,039 19,162 10,123 Interest Income 3 - (3) Other Revenue 878 - (878) TOTAL 338 9,920 19,162 9,242 WALNUT HOUSING PROJECT Property Taxes 1,198 31,791 74,472 42,681 Interest Income 12 - (12) Other Revenue 6,636 - (6,636) TOTAL 1,198 38,439 74,472 36,033 BRUNS PET GROOMING Property Taxes 242 242 4,986 4,744 Interest Income - 4,940 4,940 Other Revenue - - - TOTAL 242 242 9,926 9,684 GIRARD VET CLINIC Property Taxes 175 175 - (175) Interest Income - - - Other Revenue - - - TOTAL 175 175 - (175) GEDDES ST APTS-PROCON Property Taxes 558 14,249 1,195 (13,054) Interest Income - - - Other Revenue - - - Grand Island Regular Meeting - 3/16/2011 Page 11 / 23 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2011 MONTH ENDED 2010 - 2011 2011 REMAINING FEBRUARY 2011 YEAR TO DATE BUDGET BALANCE TOTAL 558 14,249 1,195 (13,054) SOUTHEAST CROSSING Property Taxes 228 228 8,866 8,638 Interest Income - - - - Other Revenue - - - - TOTAL 228 228 8,866 8,638 CASEY'S @ FIVE POINTS Property Taxes 159 159 - (159) Interest Income - - - - Other Revenue - - - - TOTAL 159 159 - (159) SOUTH POINTE HOTEL PROJECT Property Taxes 775 775 - (775) Interest Income - - - - Other Revenue - - - - TOTAL 775 775 - (775) TODD ENCK PROJECT Property Taxes 30 30 - (30) Interest Income - - - - Other Revenue - - - - TOTAL 30 30 - (30) TOTAL REVENUE 23,772 263,658 725,783 462,125 Grand Island Regular Meeting - 3/16/2011 Page 12 / 23 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2011 MONTH ENDED 2010 - 2011 2011 REMAINING FEBRUARY 2011 YEAR TO DATE BUDGET BALANCE EXPENSES CRA GENERAL OPERATIONS: Auditing & Accounting - 7,500 7,500 Legal Services 270 1,414 10,000 8,586 Consulting Services - - 10,000 10,000 Contract Services 105 15,908 40,000 24,092 Printing & Binding - - 1,000 1,000 Other Professional Services 287 6,393 5,000 (1,393) General Liability Insurance - - 250 250 Postage 18 543 200 (343) Matching Grant - - - - Legal Notices 14 425 800 375 Licenses & Fees - - - - Travel & Training - - 1,000 1,000 Other Expenditures - - 500 500 Office Supplies - 721 500 (221) Supplies - - 300 300 Land - 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 694 157,490 1,517,000 1,359,510 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 - 3/16/2011 Page 13 / 23 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2011 MONTH ENDED 2010 - 2011 2011 REMAINING FEBRUARY 2011 YEAR TO DATE BUDGET BALANCE BRUNS PET GROOMING Bond Principal 242 242 4,986 4,744 Bond Interest - - - TOTAL BRUNS PET GROOMING 242 242 4,986 4,744 GIRARD VET CLINIC Bond Principal 175 175 4,940 4,765 Bond Interest - - - TOTAL GIRARD VET CLINIC 175 175 4,940 4,765 GEDDES ST APTS - PROCON Bond Principal 558 14,249 1,195 (13,054) Bond Interest - - - TOTAL GEDDES ST APTS - PROCON 558 14,249 1,195 (13,054) SOUTHEAST CROSSINGS Bond Principal 228 228 8,866 8,638 Bond Interest - - - TOTAL SOUTHEAST CROSSINGS 228 228 8,866 8,638 POPLAR STREET WATER Bond Principal - - - - Bond Interest - - - - Auditing & Accounting - - - - Contract Services - 38,129 - (38,129) TOTAL POPLAR STREET WATER - 38,129 - (38,129) CASEY'S @ FIVE POINTS Bond Principal 159 159 - (159) Bond Interest - - - TOTAL CASEY'S @ FIVE POINTS 159 159 - (159) SOUTH POINTE HOTEL PROJECT Bond Principal 775 775 - (775) Bond Interest - - - TOTAL SOUTH POINTE HOTEL PROJECT 775 775 - (775) TODD ENCK PROJECT Bond Principal 30 30 - (30) Bond Interest - - - TOTAL CASEY'S @ FIVE POINTS 30 30 - (30) TOTAL EXPENSES 2,861 322,876 1,759,783 1,436,907 Grand Island Regular Meeting - 3/16/2011 Page 14 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item D1 Bills Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 15 / 23 16-Mar-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/Feb $ 5,107.91 Accounting Officenet Inc. Postage $ 30.54 Lawnscape snow removal Feb $ 20.00 Grand Island Independent $ 13.18 Mayer, Burns, Koenig & Janulewicz Legal Services $ 150.00 Total: $ 5,321.63 Grand Island Regular Meeting - 3/16/2011 Page 16 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item E1 Committed Projects Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 17 / 23 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 Winter 2011 2012 Wayside Horns (Custer/Blaine) $100,000 Winter 2012 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 February 28, 2010 Grand Island Regular Meeting - 3/16/2011 Page 18 / 23 Community Redevelopment Authority (CRA) Wednesday, March 16, 2011 Regular Meeting Item F1 Facade Request Staff Contact: Chad Nabity Grand Island Regular Meeting - 3/16/2011 Page 19 / 23 Facade Improvement Program Application Project Redeveloper Information I.Applicant Name: Willmar Realty , LLC _____________________________________ Address: P.O. Box 1647 ______________________________________________________ Telephone No.: (308) 384-8222 _______________________________________________ Contact: Bill Martin or Tim Bolton _____________________________________________ II.Legal Street Address of Project Site: 620 W State St. _______________________________ III.Zoning of Project Site: Commercial Retail ________________________________________ IV.Current and Contemplated Use of Project: Strip Mall _______________________________ V.Present Ownership of Project Site: Wilmar Realty, LLC_____________________________ VI.Proposed Project: Describe in detail; attach plans and specifications: Complete New façade of West Side of Strip Mall________________________________________________________ VII.Estimated Project Costs Acquisition Costs: A. Land $ 199,086 _______ B. Building $ 534,138 _______ Construction Costs: A.Renovation or Building Costs Attributable to Façade Improvements (attach detail):$ 675,000 _______ B. Other Construction Costs:$ 1,503,500______ (Entire new parking lot and removal of all buildings on the West side of Skagway) C. Remodel of interior of Skagway $ 500,000 _______* * - Engineer Estimate Grand Island Regular Meeting - 3/16/2011 Page 20 / 23 VIII.Source of Financing: A. Developer Equity:$ 733,224 _______ B. Commercial Bank Loan:$ 2,400,000______ C. Historic Tax Credits:$ ______________ D. Tax Increment Assistance: (TIF Financing) $ 615,000 _______ E. Other (Describe: Façade Improvement Program Grant_______)$ 300,000 _______ IX.Name & Address of Architect, Engineer and General Contractor: Miller & Associates 1111 Central Ave. Kearney, NE 68847-6833 X.Project Construction Schedule: A.Construction Start Date: 04/01/2011_________________________________________________ B.Construction Completion Date: 07/01/2011___________________________________________ Financing Request Information I.Describe Amount and Purpose for Which Façade Improvement Program Funds are Requested: $300,000 is being asked for, to upgrade and improve the current façade as shown on attached sketch. The $300,000 would be paid over a series of payments. $100,000 by August 2011, $100,000 by October 2011 and $ 100,000 by October 2012. ____________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ Grand Island Regular Meeting - 3/16/2011 Page 21 / 23 II.Statement Identifying Financial Gap and Necessity for use of Façade Improvement Program Funds or Proposed Project: The affordability of improving the façade and the looks at the 5- Points location is dependent on getting all sources of funds above. Otherwise we will have to postpone the façade improvements and do them in later years as we can afford to do them. ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ ____________________________________________________________________________ III.Application of Grant Funds: _____________________________ Grant to Redeveloper; or _____________________________ Interest Rate Buy-Down 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 - 3/16/2011 Page 22 / 23 Grand Island Regular Meeting - 3/16/2011 Page 23 / 23