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06-10-2015 Community Redevelopment Authority Regular Meeting Packet Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Packet Board Members: Tom Gdowski Glen Murray Sue Pirnie Barry Sandstrom Glenn Wilson 4:00 PM Grand Island Regular Meeting - 6/10/2015 Page 1 / 91 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 - 6/10/2015 Page 2 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item A1 Agenda Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 3 / 91 AGENDA Wednesday, June 10, 2015 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 May 13, 2015 Meeting. 3.Approval of Financial Reports. 4.Approval of Bills. 5.Review of Committed Projects and CRA Properties. 6.Consideration of a Partial Deed of Reconveyance for property owned by Grand Island Christian School. 7.Façade request for 2603 S Locust Street. 8.Consideration of a Resolution to forward a Redevelopment Plan Amendment to the Hall County Regional Planning Commission for FAmos Construction Inc., 116/118 W 3rd St., Grand Island, NE. 9.Consideration of a Resolution of intent to enter into a Site Specific Redevelopment Contract & Approval of related actions 30 day notice to City Council for FAmos Construction, 116/118 W 3rd St., Grand Island, NE. 10.Approve One Resolution to Purchase/Sell Real Estate. 11.Directors Report. 12.Adjournment Next Meeting July 8, 2015 The CRA may go into closed session for any agenda item as allowed by state law. Grand Island Regular Meeting - 6/10/2015 Page 4 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item B1 Meeting Minutes Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 5 / 91 OFFICIAL PROCEEDINGS MINUTES OF COMMUNITY REDEVELOPMENT AUTHORITY MEETING OF May 13, 2015 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 April 8, 2015 at City Hall 100 E First Street. Notice of the meeting was given in the April 1, 2015 Grand Island Independent. 1.CALL TO ORDER. Vice Chairman Tom Gdowski called the meeting to order at 4:00 p.m. The following members were present: Glen Murray, and Glenn Wilson. Also present were; Director, Chad Nabity; Planning Secretary, Rose Rhoads; City Administrator, Marlan Ferguson; Sr. Accountant, Billy Clingman, Tom Ziller, Christi DePoorter and Tom Pirnie. Gdowski 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 Minutes for the April 8, 2015 meeting was made by Murray and seconded by Wilson. Upon roll call vote all present voted aye. Motion carried unanimously. 3. APPROVAL OF FINANCIAL REPORTS. Clingman reviewed the financial reports for the period of April 1, 2015 through April 30, 2015. Motion was made by Wilson 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. A motion was made by Murrary and seconded by Wilson to approve the bills in the amount of $774,787.64. Upon roll call vote all present voted aye. Motion carried unanimously to approve the payment of bills totaling $774,787.64. 5.REVIEW OF COMMITTED PROJECTS & CRA PROPERTY. Nabity reviewed the Committed Projects. J. Elizabeth LLC is moving forward with their façade. Ryan Waind should be nearing completion this summer. Downtown Kaufman-Cummings Plaza is delayed due to the Utility work on 3rd Street. Tower 217 has just signed a new tenant to their first floor. 6.CONSIDERATION OF RESOLUTION 194. Grand Island Regular Meeting - 6/10/2015 Page 6 / 91 Consideration of a Resolution to forward a Site Specific redevelopment plan to the Hall County Regional Planning Commission for 312 W 3rd St. The CRA received a TIF application and staff has prepared a Site Specific redevelopment plan (the “Plan”), for redevelopment of an area within city limits of the City of Grand Island, Hall County, Nebraska. Nabity explained this was a request to enter into a TIF contract for 312 W 3rd St, with T & S Land Development, LLC that included the redevelopment of the current property; approval of Resolution 194 would forward the Redevelopment Plan to the Hall County Planning Commission. A motion to approve Resolution 194 was made by Wilson and seconded by Murray. Upon roll call all present voted aye. Motion carried. 7.CONSIDERATION OF RESOLUTION 195. Consideration of a Resolution of intent to enter into a Site Specific Redevelopment Contract & Approval of related actions 30 day notice to City Council for 312 W 3rd St. Nabity explained this was a request to enter into a TIF contract for 312 W 3rd with T & S Land Development, LLC that included the redevelopment of the current property; approval of Resolution 195 would forward the TIF contract request to the City Council. A motion to approve Resolution 195 was made by Wilson and seconded by Murray. Upon roll call all members present voted aye. Motion carried. 8. DISSCUSSION CONCERNING PURCHASE/SALE OF REAL ESTATE None 9. APPROVE RESOLUTION OR RESOLUTIONS TO PURCHASE TO PRUCHASE/SELL REAL ESTATE. A motion was made by Murray and seconded by Wilson to enter into executive session at 4:19 pm. Upon roll call all present voted aye. Motion carried. A motion was made by Murray to leave executive session and seconded by Wilson at 4:44 p.m. Upon roll call all present voted aye. 10.DIRECTORS REPORT. 11.ADJOURNMENT. Gdowski adjourned the meeting at 4:55 p.m. The next meeting is scheduled for June 10, 2015. Respectfully submitted Chad Nabity Director Grand Island Regular Meeting - 6/10/2015 Page 7 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item C1 Financial Reports Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 8 / 91 Grand Island Regular Meeting - 6/10/2015 Page 9 / 91 Grand Island Regular Meeting - 6/10/2015 Page 10 / 91 Grand Island Regular Meeting - 6/10/2015 Page 11 / 91 Grand Island Regular Meeting - 6/10/2015 Page 12 / 91 Grand Island Regular Meeting - 6/10/2015 Page 13 / 91 Grand Island Regular Meeting - 6/10/2015 Page 14 / 91 Grand Island Regular Meeting - 6/10/2015 Page 15 / 91 Grand Island Regular Meeting - 6/10/2015 Page 16 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item D1 Bills Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 17 / 91 10-Jun-15 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 Accounting $ 3,336.62 Officenet Inc. Postage $ 24.37 Lawnscape $ 70.00 Mike Bacon Pridon & T.C. Enck TIF $ 7,250.00 Grand Island Independent $ 30.51 Finance Pridon TIF fees $ 1,000.00 TIF Bond Payments TIF Pass Thrus Mayer, Burns, Koenig & Janulewicz Legal Services $ 300.00 Total: $ 12,011.50 Grand Island Regular Meeting - 6/10/2015 Page 18 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item E1 Committed Projects Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 19 / 91 COMMITTED PROJECTS TOTAL AMOUNT 2015 FISCAL YR 2016 FISCAL YR 2017 FISCAL YR ESTIMATED COMP Federation of Labor - Ziller $ 60,000.00 $ 60,000.00 2016 J Elizabeth LLC $ 69,440.00 $ 69,440.00 2015 2222 W 2nd St - Ryan Waind $ 92,608.00 $ 92,608.00 2015 Downtown Kaufman - Cummings Plaza $ 50,000 $ 50,000.00 2015 Tower 217 (Amos Investment & Development) $ 291,581.00 $ 99,482.00 $ 99,482.00 2017 $ - Total Committed $ 623,629.00 $ 311,530.00 $ 159,482.00 $ - FIRE & LIFE SAFETY GRANT TOTAL AMOUNT 2015 FISCAL YR 2016 FISCAL YR 2017 FISCAL YR ESTIMATED COMP Federation of Labor - Tom Ziller $115,000 $ 115,000.00 2016 Total Commited F&L Safety Grant $115,000 $ 115,000.00 Life Safety Budget $ Remaining $ 200,000.00 Façade Budget $ Remaining $ 200,000.00 Other Projects $ 207,371.00 Land - Budget $ Remaining $ 200,000.00 Land Sales ($100,000.00) subtotal $ 707,371.00 Less committed ($311,530.00) Balance remaining $ 395,841.00 CRA PROPERTIES Address Purchase Price Purchase Date Demo Cost Status 408 E 2 nd St $4,869 11/11/2005 $7,500 Surplus 3235 S Locust $450,000 4/2/2010 $39,764 Surplus May 31, 2015 Grand Island Regular Meeting - 6/10/2015 Page 20 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item F1 Facade Request 2603 S Locust Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 21 / 91 Grand Island Regular Meeting - 6/10/2015 Page 22 / 91 Grand Island Regular Meeting - 6/10/2015 Page 23 / 91 Grand Island Regular Meeting - 6/10/2015 Page 24 / 91 Grand Island Regular Meeting - 6/10/2015 Page 25 / 91 Grand Island Regular Meeting - 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6/10/2015 Page 64 / 91 Grand Island Regular Meeting - 6/10/2015 Page 65 / 91 Grand Island Regular Meeting - 6/10/2015 Page 66 / 91 Grand Island Regular Meeting - 6/10/2015 Page 67 / 91 Grand Island Regular Meeting - 6/10/2015 Page 68 / 91 Grand Island Regular Meeting - 6/10/2015 Page 69 / 91 Grand Island Regular Meeting - 6/10/2015 Page 70 / 91 Grand Island Regular Meeting - 6/10/2015 Page 71 / 91 Grand Island Regular Meeting - 6/10/2015 Page 72 / 91 Grand Island Regular Meeting - 6/10/2015 Page 73 / 91 Redevelopment Plan Amendment Grand Island CRA Area #1 May 2015 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area #1 with in the city, pursuant to the Nebraska Community Development Law (the “Act”) and provide for the financing of a specific infrastructure related project in Area #1. Executive Summary: Project Description THE REDEVELOPMENT OF THE 116/118 W 3RD STREET FOR FIRST FLOOR COMMERCIAL AND UPPER STORY RESIDENTIAL USES INCLUDING FIRE/LIFE SAFETY IMPROVEMENTS AND BUILDING REHABILITATION AND REMODELING. The use of Tax Increment Financing to aid in rehabilitation expenses associated with redevelopment of the second side of the Chocolate Bar building and the upper level space above both sides of the building. The use of Tax Increment Finance is an integral part of the development plan and necessary to make this project affordable. The project will result in renovated commercial meeting/restaurant space and an increased number of downtown residential units. This project would not be possible without the use of TIF. FAmos Construction Inc. is the owner of the property. They have owned this property since 2006. The purchase price is not included as an eligible TIF activity. The first floor and basement of the east half of the building is currently occupied by The Chocolate Bar. The west half of the building and upper floors are undeveloped and in need of substantial renovation prior to being available to the public or residents. 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 remodeling. The owners have received a Community Development Block Grant in the form a forgivable loan to cover $159,339 of the costs of renovation of the first floor. The owners will also be seeking $80,000 from the upper story residential grant program from the CRA. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2017 towards the allowable costs and associated financing for the acquisition and site work. TAX INCREMENT FINANCING TO PAY FOR THE REHABILITATION OF THE PROPERTY WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) 116 and 118 W 3rd Street in Grand Island Nebraska Legal Descriptions: The west 44 feet of Lot 6, Block 56, Original Town of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 6/10/2015 Page 74 / 91 Existing Land Use and Subject Property Grand Island Regular Meeting - 6/10/2015 Page 75 / 91 The tax increment will be captured for the tax years the payments for which become delinquent in years 2017 through 2031 inclusive. 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 rehabilitation of this the vacant portions of this historic building for commercial meeting space and upper story residential uses as permitted in the B3 Heavy Business Zoning District. Statutory Pledge of Taxes. Pursuant to Section 18-2147 of the Act, any ad valorem tax levied upon real property in the Redevelopment Project Area shall be divided, for the period not to exceed 15 years after the effective date of the provision, which effective date shall be January 1, 2017. 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: 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 December 19, 2000.[§18-2109] Such declaration was made after a public hearing with full compliance with the public notice requirements of §18-2115 of the Act. Grand Island Regular Meeting - 6/10/2015 Page 76 / 91 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. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(13) (b)] a. Land Acquisition: The Redevelopment Plan for Area #1 provides for real property acquisition and this plan amendment does not prohibit such acquisition. There is no proposed acquisition by the authority. b. Demolition and Removal of Structures: The project to be implemented with this plan does not provide for the demolition and removal any structures on this property. c. Future Land Use Plan See the attached map from the 2004 Grand Island Comprehensive Plan. All of the area around the site in private ownership is planned for Downtown Commercial development; this includes housing and commercial uses within the same structure. This property is in private ownership. [§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 Regular Meeting - 6/10/2015 Page 77 / 91 City of Grand Island Future Land Use Map Grand Island Regular Meeting - 6/10/2015 Page 78 / 91 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The area is zoned B3-Heavy Business zone. No zoning changes are anticipated with this project. 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 rehabilitating the existing building. The developer is not proposing to increase the size of the building and current building meets the applicable regulations regarding site coverage and intensity of use. [§18-2103(b) and §18-2111] f. Additional Public Facilities or Utilities Sewer and water are available to support this development. No new services are anticipated with this development. Electric utilities are sufficient for the proposed use of this building. No other utilities would be impacted by the development. 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 property, owned by the developer no relocation is contemplated or necessary. [§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 member of the Authority holds any interest in this project. 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 owns this property and acquisition is not part of the request for tax increment financing. The estimated cost of rehabilitation of this property is $578,000. Planning related expenses for Architectural and Engineering services of $15,000 and are Grand Island Regular Meeting - 6/10/2015 Page 79 / 91 included as a TIF eligible expense. Legal, Developer and Audit Fees including a reimbursement to the City and the CRA of $6,600 are included as TIF eligible expense. The total of eligible expenses for this project is approximately $600,000. 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 $317,000 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, 2017 through December 2032. 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. This will have the intended result of preventing recurring elements of unsafe buildings and blighting conditions. Grand Island Regular Meeting - 6/10/2015 Page 80 / 91 8. Time Frame for Development Development of this project is anticipated to be completed between September 2015 and December of 2016. Excess valuation should be available for this project for 15 years beginning with the 2017 tax year. 9. Justification of Project This is an historic building in downtown Grand Island that will be preserved with this project. This project will provide needed gathering space and increase the number of residential units in the downtown. This will allow and encourage greater utilization of the downtown and hopefully will result in increased property values throughout the area. 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 Grand Island Mall Redevelopment Project, including: Project Sources and Uses. Approximately $317,000 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 an additional private sector and grant fund investment of $467,208 added to the initial investment of $444,333 for building purchase, equipment purchases and completed renovations; representing an investment of $2.87 for every TIF dollar investment.1 Use of Funds. Description TIF Funds Grant Funds Private Funds Total Site Acquisition $40,000 $40,000 Site preparation $10,564 $10,564 Completed Improvements $200,000 $200,000 Façade Imp.$154,333 $154,333 Legal and Plan $195,126 $195,126 Building Costs Renovation $317,000 $159,339 $11,379 $567,718 Life/Safety $80,000 $80,000 Personal Property $50,000 $50,000 Soft Costs $10,800 $10,800 TOTALS $317,000 $393,672 $517,869 $1,228,541 1 This does not include any investment in personal property at this time. Grand Island Regular Meeting - 6/10/2015 Page 81 / 91 Tax Revenue. The property to be redeveloped is anticipated to have a January 1, 2016, valuation of approximately $118,222. Based on the 2013 levy this would result in a real property tax of approximately $2600. It is anticipated that the assessed value will increase by $960,855 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $21,160 annually. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for a period of 15 years, or such shorter time as may be required to amortize the TIF bond, but would be used for eligible private redevelopment costs to enable this project to be realized. Estimated 2016 assessed value:$ 118,222 Estimated value after completion $ 1,079,077 Increment value $ 960,855 Annual TIF generated (estimated)$ 21,160 TIF bond issue $ 317,000 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $118,222. The proposed redevelopment will create additional valuation of $960,855. 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. (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 negatively impacted by this development. The addition of life safety elements to this building including fire sprinklers and a second exit actually reduce the chances of negative impacts to the fire department. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; The proposed project will have no negative impact on other firms locating or expanding in the area. This project may provide housing for young professionals working at businesses that have relocated to downtown in the last few years including GIx Logistics, Cannon Moss Brygger Architects and Dana F. Cole and Company. Grand Island Regular Meeting - 6/10/2015 Page 82 / 91 (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 will not have a negative impact on other employers in any manner different from any other expanding business within the Grand Island area. The Grand Island labor market is tight but this will create additional full time jobs in the region. This will allow a local company to expand in our community and create additional housing opportunities. (e) 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 increase the available venues for downtown events and provide a size of space that is not currently available within the market. It will also increase the number of downtown residential units consistent with the redevelopment plan adopted by the Grand Island City Council. Time Frame for Development Development of this project is anticipated to be completed during between August of 2015 and December 31 of 2016. The base tax year should be calculated on the value of the property as of January 1, 2016. Excess valuation should be available for this project for 15 years beginning in 2017 with taxes due in 2018. 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 $317,000 the projected amount of increment based upon the anticipated value of the project and current tax rate. Based on the estimates of the expenses of the rehabilitation the developer will spend at least $560,000 on TIF eligible activities. The CRA will reserve the right to issue additional debt for this project upon notification by the developer of sufficient expenses and valuation to support such debt in the form of a second or third bond issuance. Grand Island Regular Meeting - 6/10/2015 Page 83 / 91 116/118 W 3rd St COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 196 RESOLUTION OF THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, SUBMITTING A PROPOSED REDEVELOPMENT PLAN TO THE HALL COUNTY REGIONAL PLANNING COMMISSION FOR ITS RECOMMENDATION WHEREAS, this Community Redevelopment Authority of the City of Grand Island, Nebraska ("Authority"), pursuant to the Nebraska Community Development Law (the "Act"), prepared a proposed redevelopment plan (the "Plan") a copy of which is attached hereto as Exhibit 1, for redevelopment of an area within the city limits of the City of Grand Island, Hall County, Nebraska; and WHEREAS, the Authority is required by Section 18-2112 of the Act to submit said to the planning board having jurisdiction of the area proposed for redevelopment for review and recommendation as to its conformity with the general plan for the development of the City of Grand Island, Hall County, Nebraska; NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: The Authority submits to the Hall County Regional Planning Commission the proposed Plan attached to this Resolution, for review and recommendation as to its conformity with the general plan for the development of the City of Grand Island, Hall County, Nebraska. Passed and approved this ___ day of ___________, 2015. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA. By___________________________ Chairperson ATTEST: __________________________ Secretary Grand Island Regular Meeting - 6/10/2015 Page 84 / 91 116/118 W 3rd St EXHIBIT 1 REDEVELOPMENT PLAN AMENDMENT Grand Island Regular Meeting - 6/10/2015 Page 85 / 91 116/118 W 3rd St COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 197 RESOLUTION OF THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, PROVIDING NOTICE OF INTENT TO ENTER INTO A REDEVELOPMENT AFTER THE PASSAGE OF 30 DAYS AND OTHER MATTERS WHEREAS, this Community Redevelopment Authority of the City of Grand Island, Nebraska ("Authority"), has received an Application for Tax Increment Financing under the Nebraska Community Development Law (the “Act”) on a project within Redevelopment Area 1, from FAmos Construction Inc., (The "Developer") for redevelopment of an area within the city limits of the City of Grand Island as set forth in Exhibit 1 attached hereto area; and WHEREAS, this Community Redevelopment Authority of the City of Grand Island, Nebraska ("Authority"), is proposing to use Tax Increment Financing on a project within Redevelopment Area 1; NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: Section 1. In compliance with section 18-2114 of the Act, the Authority hereby gives the governing body of the City notice that it intends to enter into the Redevelopment Contract, attached as Exhibit 1, with such changes as are deemed appropriate by the Authority, after approval of the redevelopment plan amendment related to the redevelopment project described in the Redevelopment Contract, and after the passage of 30 days from the date hereof. Section 2. The Secretary of the Authority is directed to file a copy of this resolution with the City Clerk of the City of Grand Island, forthwith. Passed and approved this ___ day of __________, 2015. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA. By ___________________________ Chairperson ATTEST: ___________________ Secretary Grand Island Regular Meeting - 6/10/2015 Page 86 / 91 116/118 W 3rd St Exhibit 1 Attach a copy of the Redevelopment Contract Grand Island Regular Meeting - 6/10/2015 Page 87 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item X1 Consideration of A Partial Deed of Reconveyance Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 88 / 91 Return to: PARTIAL DEED OF RECONVEYANCE The Deed of Trust encumbering Lot 1, Block 29, Gilbert’s Third Addition to the City of Grand Island, Hall County, Nebraska, executed by GRAND ISLAND CHRISTIAN SCHOOLS, INC., A Nebraska Non-Profit Corporation, as Trustor, to DUANE A. BURNS, Attorney at Law, Trustee, for the benefit of COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, Beneficiary, dated October 7, 2011, and recorded in the Office of the Register of Deeds of Hall County, Nebraska, on October 7, 2011, as Document #201107499, is not needed as security and the Beneficiary, Community Redevelopment Authority of the City of Grand Island, Nebraska, has requested, in writing, that this Deed of Partial Reconveyance be executed and delivered insofar as it pertains to the property described below: Lot One (1), of Block Twenty-nine (29) of Gilbert’s Third Addition to the City of Grand Island, Hall County, Nebraska. The Deed of Trust referred to herein shall remain in full force and effect on all the remaining property in Document #201107499. In accordance with the request of the Beneficiary, the Trustee conveys to the person or persons entitled thereto all the right, title, interest and claim acquired by the Trustee pursuant to the Deed of Trust in the following real estate: Lot One (1), of Block Twenty-nine (29) of Gilbert’s Third Addition to the City of Grand Island, Hall County, Nebraska. DATED: June ______, 2015. _______________________________ Duane A. Burns, Trustee STATE OF NEBRASKA, COUNTY OF HALL ) ss: The foregoing instrument was acknowledged before me this ______ day of June, 2015, by Duane A. Burns, as Trustee. _______________________________ Notary Public REQUEST FOR RECONVEYANCE The Beneficiary, Community Redevelopment Authority of the City of Grand Island, Nebraska, requests the Trustee to reconvey the property described above to the person or persons entitled thereto. Community Redevelopment Authority of the City of Grand Island, Nebraska By:____________________________________ Barry G. Sandstrom, Chairperson STATE OF NEBRASKA, COUNTY OF HALL ) ss: The foregoing instrument was acknowledged before me this ______ day of June, 2015, by Barry G. Sandstrom, Chairperson, on behalf of the Community Redevelopment Authority of the City of Grand Island, Nebraska. _______________________________ Notary Public Grand Island Regular Meeting - 6/10/2015 Page 89 / 91 Community Redevelopment Authority (CRA) Wednesday, June 10, 2015 Regular Meeting Item X2 Resolution to Purchase Property Staff Contact: Chad Nabity Grand Island Regular Meeting - 6/10/2015 Page 90 / 91 COMMUNITY REDEVELOPMENT AUTHORITY CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 198 A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA, PERTAINING TO THE PURCHASE OF REAL ESTATE AND TO PROVIDE THE TERMS THEREOF. WHEREAS, the CRA has identified a property to be acquired that conforms to its redevelopment plan for Redevelopment Area No. 1; and WHEREAS, negotiations have taken place with the owner and their agent for the purchase of the property for an amount acceptable to the CRA; namely $80,000.00. NOW THEREFORE BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA that: 1. The members of the Authority find and determine that the purchase of the real estate described below falls within the redevelopment area and is suitable for redevelopment. 2. The offer of Alexander Enterprises, LLC to sell the tract of real estate described as follows: Lots Seven (7) and Eight (8), Block Sixty (60), in Original Town, now City of Grand Island, Hall County, Nebraska (604-612 W 3rd Street, Grand Island, Nebraska) to the CRA for the amount of $80,000 subject to the parties agreeing to a customary purchase agreement as negotiated between the CRA and the Seller and approved by CRA legal counsel. 3. The chairperson and director are hereby authorized to proceed with negotiations and execution of all documents necessary for the purchase of the above described real estate, subject to receiving assurance of marketable title. PASSED AND APPROVED this 10th day of June, 2015. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA By ______________________________________ Chair ATTEST: __________________________ Director Grand Island Regular Meeting - 6/10/2015 Page 91 / 91