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07-18-2018 Community Redevelopment Authority Regular Meeting Packet Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Packet Board Members: Tom Gdowski - Chairman Glen Murray – Vice Chairman Sue Pirnie Glenn Wilson Krae Dutoit 4:00 PM Grand Island City Hall - Community Meeting Room Grand Island Regular Meeting - 7/18/2018 Page 1 / 46 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 - 7/18/2018 Page 2 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item A1 Agenda Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 3 / 46 Grand Island Regular Meeting - 7/18/2018 Page 4 / 46 Grand Island Regular Meeting - 7/18/2018 Page 5 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item B1 Approval of Minutes of June 13, 2018 Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 6 / 46 OFFICIAL PROCEEDINGS MINUTES OF COMMUNITY REDEVELOPMENT AUTHORITY MEETING OF June 13th, 2018 Pursuant to due call and notice thereof, a Meeting of the Community Redevelopment Authority of the City of Grand Island, Nebraska was conducted on June 13th, 2018 at City Hall, 100 E. First Street. Notice of the meeting was given in the June 8th, 2018 Grand Island Independent. 1.CALL TO ORDER. Chairman Tom Gdowski called the meeting to order at 4:00 p.m. The following members were present: Tom Gdowski, Glen Murray, Krae Dutiot, Sue Pirnie and Glenn Wilson. Also present were: Director Chad Nabity, Planning Technician Rashad Moxey, Planning Administrative Assistant Norma Hernandez, Brian Schultz from the Grand Island Finance Department, Interim Finance Director Billy Clingman, and Council President Vaughn Minton. 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 table easily accessible to anyone who would like to read through them. 2.APPROVAL OF MINUTES. A motion for approval of the Minutes for the May 23rd, 2018 meeting was made by Dutoit and seconded by Pirnie. Upon roll call vote, all present voted aye. Motion carried 5-0. 3.APPROVAL OF FINANCIAL REPORTS. Brian Schultz reviewed the financials from April 1st, 2018 to April 30th, 2018. A motion for approval of the financial reports was made by Murray and seconded by Wilson. Upon roll call vote, all present voted aye. Motion carried 5-0. 4.APPROVAL OF BILLS. The bills were reviewed by Gdowski. A motion was made by Pirnie and seconded by Dutiot to approve the bills in the amount of $13,753.26. Upon roll call vote, all present voted aye. Motion carried 5-0. 5.REVIEW OF COMMITTED PROJECTS & CRA PROPERTY. The committed projects and CRA properties were reviewed by Nabity. Nabity explained that the Hedde Building project is expected to move forward and is no Grand Island Regular Meeting - 7/18/2018 Page 7 / 46 longer expected to use the Historic Tax Credit due to the changes of the tax law at the federal level. He went on to state that the developer is expected to add addition residence to the structure because of the removal of Historic Tax Credits. He then stated, the developer for the Mendez project has submitted bills without proof of payment, therefore the CRA cannot pay out until the proper paperwork has been submitted. Nabity went on to explain that he spoke with Cindy Jonson about the S Locust/Fonner Park BID about the South Locust/Fonner Park BID project and she stated that it was completed, but have not received any bills to date. Nabity noted that Urban Island/Kinkaiders is in progress working on façade and life safety. He also explained that both the Hedde building, 201/203 west 3rd street will do life safety projects. Nabity explained that both the Nielson project and the Take flight project are in progress, also that the Peaceful Root project is near completion. He then stated Othy’s Place has previously been waiting on a glass block to be install, and that there was no updates on the project. Nabity went onto to discuss the sale of 408 E 2nd street, 3235 S Locust street property noting that no new offer updates. Nabity also noted that the due diligence time has been extended 60 days on 604/612 W. 3rd street. 6.REDEVELOPMENT CONTRACT COPPER CREEK – PHASE II A.Consideration of Resolution 272- Approve a Redevelopment Contract Copper Creek – Phase II authorizing the use of tax increment financing (TIF) to aid in the development of 80 additional single family homes within the copper creek subdivision. Nabity explained that the City Council has approved the Redevelopment Plan for 80 additional lots for construction. Nabity explained that the contract is set up with an interest rate on the bonds, as houses are completed each year in July the developer will present a list. Once the list is presented tax increment financing can be captured on the completed structures for 15 years. A motion was made by Wilson and seconded by Pirnie to approve Resolution 272 for the approval of the Redevelopment Contract for Phase II of the Copper Creek Development. Upon roll call vote all, voted aye. Motion carried 5-0. 7.REDEVELOPMENT PLAN AMENDMENT FOR CRA AREA # 21 AT 2008 AND 2030 EAST U.S. HIGHWAY 30. A.Consideration of Resolution 273- Forward a Redevelopment Plan Amendment to the Hall County Regional Planning Commission for redevelopment of lots 1 and 2 of Bosselman Brothers Second Subdivision as a Cattle Pot and Truck Wash – Central Nebraska Truck Wash Inc. Grand Island Regular Meeting - 7/18/2018 Page 8 / 46 B.Consideration of Resolution 274- Resolution of Intent to enter into a Site Specific Redevelopment Contract and Approval of related actions 30-day notice to city council for lots 1 and 2 of Bosselman Brothers Second Subdivision – Central Nebraska Truck Wash Inc. Nabity explained that the developers are proposing to build a truck wash with the ability to be a cattle trailer washout. Nabity noted that this development will connect to the City of Grand Island sewer. The developer is seeking Tax Increment Financing (TIF) to help with the purchase of the property for development. The development team expressed that they would like a referral to the Regional Planning Commission and noted that they were there for any questions. The developer went onto explain that the truck wash is completely contained and will not have any open water lagoons. It was also noted that this project is expected to utilized City utilities at a cost of $180,000 per year and create 10-11 new jobs. A motion was made by Murray and seconded by Pirnie to approve Resolution 273 for the approval to Forward a Redevelopment Plan Amendment to the Hall County Regional Planning Commission for redevelopment of lots 1 and 2 of Bosselman Brothers Second Subdivision as a Cattle Pot and Truck Wash and Resolution 274 for Intent to enter into a Site Specific Redevelopment Contract and Approval of related actions 30-day notice to city council for lots 1 and 2 of Bosselman Brothers Second Subdivision Upon roll call vote all, voted aye. Motion carried 5-0. 8.DIRECTOR’S REPORT Nabity noted a TIF application was submitted for the next meeting for a potential hotel development. 9.ADJOURNMENT. Murray adjourned the meeting at 4:30 p.m. The next meeting is scheduled for 4 p.m., Wednesday, July 18th, 2018. Respectfully submitted Rashad Moxey Planning Technician Grand Island Regular Meeting - 7/18/2018 Page 9 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item C1 Review of Financials Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 10 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED CONSOLIDATED Beginning Cash 398,518 1,092,980 REVENUE: Property Taxes - CRA 47,878 350,908 472,191 121,283 74.31% Property Taxes - Lincoln Pool 15,300 111,402 198,050 86,648 56.25% Property Taxes -TIF's 105,344 1,114,006 1,850,874 1,159,394 60.19% Loan Income (Poplar Street Water Line)- - 10,500 10,500 0.00% Interest Income - CRA 11 112 300 188 37.42% Interest Income - TIF'S 1 13 - - #DIV/0! Land Sales - 14,122 100,000 85,878 14.12% Other Revenue - CRA - 15,151 130,000 114,849 11.65% Other Revenue - TIF's - 14,837 - - #DIV/0! TOTAL REVENUE 168,533 1,620,552 2,761,915 1,578,740 58.67% TOTAL RESOURCES 567,051 1,620,552 3,854,895 1,578,740 EXPENSES Auditing & Accounting - - 5,000 5,000 0.00% Legal Services - 645 3,000 2,355 21.50% Consulting Services - - 5,000 5,000 0.00% Contract Services 3,707 34,530 75,000 40,470 46.04% Printing & Binding - - 1,000 1,000 0.00% Other Professional Services - 5,146 16,000 10,854 32.16% General Liability Insurance - - 250 250 0.00% Postage - - 200 200 0.00% Life Safety - 175,000 200,000 25,000 87.50% Legal Notices - 257 500 243 51.34% Travel & Training - - 1,000 1,000 0.00% Other Expenditures - - - - #DIV/0! Office Supplies - - 1,000 1,000 0.00% Supplies - - 300 300 0.00% Land - 39,000 200,000 161,000 19.50% Bond Principal - Lincoln Pool - 175,000 175,000 - 100.00% Bond Interest - 19,769 20,863 1,094 94.76% Façade Improvement - - 350,000 350,000 0.00% Building Improvement - 406,716 554,732 148,016 73.32% Other Projects - - 150,000 150,000 0.00% Bond Principal-TIF's 10,009 1,060,476 1,882,874 1,882,874 56.32% Bond Interest-TIF's 36 11,968 - - #DIV/0! Interest Expense - - - - #DIV/0! TOTAL EXPENSES 13,753 1,929,257 3,641,719 2,785,656 52.98% INCREASE(DECREASE) IN CASH 154,780 (308,705) (879,804) ENDING CASH 553,298 (308,705) 213,176 - CRA CASH 285,515 Lincoln Pool Tax Income Balance 165,666 TIF CASH 102,117 Total Cash 553,298 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 Grand Island Regular Meeting - 7/18/2018 Page 11 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 GENERAL OPERATIONS: Property Taxes - CRA 47,878 350,908 472,191 121,283 74.31% Property Taxes - Lincoln Pool 15,300 111,402 198,050 86,648 56.25% Interest Income 11 112 300 188 37.42% Loan Income (Poplar Street Water Line)- 10,500 10,500 0.00% Land Sales 14,122 100,000 85,878 14.12% Other Revenue & Motor Vehicle Tax 15,151 130,000 114,849 11.65% TOTAL 63,189 491,695 911,041 419,346 53.97% GENTLE DENTAL Property Taxes - - - #DIV/0! Interest Income 1 - - #DIV/0! TOTAL - 1 - - #DIV/0! PROCON TIF Property Taxes 8,364 27,242 - - #DIV/0! Interest Income 1 7 - - #DIV/0! TOTAL 8,365 27,249 - - #DIV/0! WALNUT HOUSING PROJECT Property Taxes 23,749 49,434 - - #DIV/0! Interest Income 0 5 - - #DIV/0! Other Revenue 14,837 - - TOTAL 23,749 64,276 - - #DIV/0! BRUNS PET GROOMING Property Taxes 14,481 - - #DIV/0! TOTAL - 14,481 - - #DIV/0! GIRARD VET CLINIC Property Taxes 5,270 10,771 - - #DIV/0! TOTAL 5,270 10,771 - - #DIV/0! GEDDES ST APTS-PROCON Property Taxes 15,018 - - #DIV/0! TOTAL - 15,018 - - #DIV/0! SOUTHEAST CROSSING Property Taxes 9,358 - - #DIV/0! TOTAL - 9,358 - - #DIV/0! POPLAR STREET WATER Property Taxes 503 13,099 - - #DIV/0! TOTAL 503 13,099 - - #DIV/0! CASEY'S @ FIVE POINTS Property Taxes 7,567 - - #DIV/0! TOTAL - 7,567 - - #DIV/0! SOUTH POINTE HOTEL PROJECT Property Taxes 45,063 - - #DIV/0! TOTAL - 45,063 - - #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 12 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 TODD ENCK PROJECT Property Taxes 3,464 - - #DIV/0! TOTAL - 3,464 - - #DIV/0! JOHN SCHULTE CONSTRUCTION Property Taxes 3,516 7,186 - - #DIV/0! TOTAL 3,516 7,186 - - #DIV/0! PHARMACY PROPERTIES INC Property Taxes 6,367 - - #DIV/0! TOTAL - 6,367 - - #DIV/0! KEN-RAY LLC Property Taxes 47,003 - - #DIV/0! TOTAL - 47,003 - - #DIV/0! TOKEN PROPERTIES RUBY Property Taxes 1,584 - - #DIV/0! TOTAL - 1,584 - - #DIV/0! GORDMAN GRAND ISLAND Property Taxes 26,513 28,667 - - #DIV/0! TOTAL 26,513 28,667 - - #DIV/0! BAKER DEVELOPMENT INC Property Taxes 1,775 1,919 - - #DIV/0! TOTAL 1,775 1,919 - - #DIV/0! STRATFORD PLAZA INC Property Taxes 17,758 - - #DIV/0! TOTAL - 17,758 - - #DIV/0! COPPER CREEK 2013 HOUSES Property Taxes 1,965 44,847 - - #DIV/0! TOTAL 1,965 44,847 - - #DIV/0! FUTURE TIF'S Property Taxes - 1,850,874 1,850,874 0.00% TOTAL - - 1,850,874 1,850,874 - CHIEF INDUSTRIES AURORA COOP Property Taxes 18,027 19,492 - (19,492) #DIV/0! TOTAL 18,027 19,492 - (19,492) #DIV/0! TOKEN PROPERTIES KIMBALL ST Property Taxes 2,654 - (2,654) #DIV/0! TOTAL - 2,654 - (2,654) #DIV/0! GI HABITAT OF HUMANITY Property Taxes 2,215 - (2,215) #DIV/0! TOTAL - 2,215 - (2,215) #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 13 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 AUTO ONE INC Property Taxes 6,248 12,445 - (12,445) #DIV/0! TOTAL 6,248 12,445 - (12,445) #DIV/0! EIG GRAND ISLAND Property Taxes 38,439 - (38,439) #DIV/0! TOTAL - 38,439 - (38,439) #DIV/0! TOKEN PROPERTIES CARY ST Property Taxes 8,482 - (8,482) #DIV/0! TOTAL - 8,482 - (8,482) #DIV/0! WENN HOUSING PROJECT Property Taxes 2,155 2,330 - (2,330) #DIV/0! TOTAL 2,155 2,330 - (2,330) #DIV/0! COPPER CREEK 2014 HOUSES Property Taxes 4,609 152,407 - (152,407) #DIV/0! TOTAL 4,609 152,407 - (152,407) #DIV/0! TC ENCK BUILDERS Property Taxes 2,197 - (2,197) #DIV/0! TOTAL - 2,197 - (2,197) #DIV/0! SUPER MARKET DEVELOPERS Property Taxes 126,267 - (126,267) #DIV/0! TOTAL - 126,267 - (126,267) #DIV/0! MAINSTAY SUITES Property Taxes 33,209 - (33,209) #DIV/0! TOTAL - 33,209 - (33,209) #DIV/0! TOWER 217 Property Taxes 20,676 - (20,676) #DIV/0! TOTAL - 20,676 - (20,676) #DIV/0! COPPER CREEK 2015 HOUSES Property Taxes 2,650 126,954 - (126,954) #DIV/0! TOTAL 2,650 126,954 - (126,954) #DIV/0! NORTHWEST COMMONS Property Taxes 143,713 - (143,713) #DIV/0! TOTAL - 143,713 - (143,713) #DIV/0! HABITAT - 8TH & SUPERIOR Property Taxes 5,062 (5,062) #DIV/0! TOTAL - 5,062 - (5,062) #DIV/0! KAUFMAN BUILDING Property Taxes 6,897 (6,897) #DIV/0! TOTAL - 6,897 - (6,897) #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 14 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 TALON APARTMENTS Property Taxes 58,113 (58,113) #DIV/0! TOTAL - 58,113 - (58,113) #DIV/0! VICTORY PLACE Property Taxes 1,625 (1,625) TOTAL - 1,625 - (1,625) #DIV/0! TOTAL REVENUE 168,533 1,620,552 2,761,915 1,578,740 58.67% Grand Island Regular Meeting - 7/18/2018 Page 15 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 EXPENSES - CRA GENERAL OPERATIONS: Auditing & Accounting - 5,000 5,000 0.00% Legal Services 645 3,000 2,355 21.50% Consulting Services - 5,000 5,000 0.00% Contract Services 3,707 34,530 75,000 40,470 46.04% Printing & Binding - 1,000 1,000 0.00% Other Professional Services 5,146 16,000 10,854 32.16% General Liability Insurance - 250 250 0.00% Postage - 200 200 0.00% Lifesafety Grant 175,000 200,000 25,000 87.50% Legal Notices 257 500 243 51.34% Licenses & Fees 750 - - #DIV/0! Travel & Training - 1,000 1,000 0.00% Office Supplies - 1,000 1,000 0.00% Supplies - 300 300 0.00% Land 39,000 200,000 161,000 19.50% Bond Principal - Lincoln Pool 175,000 175,000 - 100.00% Bond Interest - Lincoln Pool 19,769 20,863 1,094 94.76% PROJECTS Façade Improvement - 350,000 350,000 0.00% Building Improvement 406,716 554,732 148,016 0.00% Other Projects - 150,000 150,000 0.00% TOTAL CRA EXPENSES 3,707 856,813 1,758,845 902,782 48.71% GENTLE DENTAL Bond Principal 1,753 - - #DIV/0! Bond Interest 41 - - #DIV/0! TOTAL GENTLE DENTAL - 1,793 - - #DIV/0! PROCON TIF Bond Principal 10,009 27,595 - - #DIV/0! Bond Interest 36 1,613 - - #DIV/0! TOTAL PROCON TIF 10,046 29,208 - - #DIV/0! WALNUT HOUSING PROJECT Bond Principal 64,158 - - #DIV/0! Bond Interest 10,314 - - #DIV/0! TOTAL - 74,472 - - #DIV/0! BRUNS PET GROOMING Bond Principal 14,481 - - #DIV/0! TOTAL - 14,481 - - #DIV/0! GIRARD VET CLINIC Bond Principal 5,501 - - #DIV/0! TOTAL - 5,501 - - #DIV/0! GEDDES ST APTS - PROCON Bond Principal 15,018 - - #DIV/0! TOTAL - 15,018 - - #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 16 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 SOUTHEAST CROSSINGS Bond Principal 9,358 - - #DIV/0! TOTAL - 9,358 - - #DIV/0! POPLAR STREET WATER Bond Principal 13,026 - - #DIV/0! TOTAL - 13,026 - - #DIV/0! CASEY'S @ FIVE POINTS Bond Principal 7,567 - - #DIV/0! TOTAL - 7,567 - - #DIV/0! SOUTH POINTE HOTEL PROJECT Bond Principal 45,063 - - #DIV/0! TOTAL - 45,063 - - #DIV/0! TODD ENCK PROJECT Bond Principal 3,464 - - #DIV/0! TOTAL - 3,464 - - #DIV/0! JOHN SCHULTE CONSTRUCTION Bond Principal 3,670 - - #DIV/0! TOTAL - 3,670 - - #DIV/0! PHARMACY PROPERTIES INC Bond Principal 6,367 - - #DIV/0! TOTAL - 6,367 - - #DIV/0! KEN-RAY LLC Bond Principal 47,003 - - #DIV/0! TOTAL - 47,003 - - #DIV/0! TOKEN PROPERTIES RUBY Bond Principal 1,584 - - #DIV/0! TOTAL - 1,584 - - #DIV/0! GORDMAN GRAND ISLAND Bond Principal 2,155 - - #DIV/0! TOTAL - 2,155 - - #DIV/0! BAKER DEVELOPMENT INC Bond Principal 144 - - #DIV/0! TOTAL - 144 - - #DIV/0! STRATFORD PLAZA LLC Bond Principal 17,758 - - #DIV/0! TOTAL - 17,758 - - #DIV/0! COPPER CREEK 2013 HOUSES Bond Principal 41,214 - - #DIV/0! TOTAL - 41,214 - - #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 17 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 CHIEF INDUSTRIES AURORA COOP Bond Principal 1,465 - - #DIV/0! TOTAL - 1,465 - - #DIV/0! TOKEN PROPERTIES KIMBALL STREET Bond Principal 2,654 - - #DIV/0! TOTAL - 2,654 - - #DIV/0! GI HABITAT FOR HUMANITY Bond Principal 2,215 - - #DIV/0! TOTAL - 2,215 - - #DIV/0! AUTO ONE INC Bond Principal 6,196 - - #DIV/0! TOTAL - 6,196 - - #DIV/0! EIG GRAND ISLAND Bond Principal 38,439 - - #DIV/0! TOTAL - 38,439 - - #DIV/0! TOKEN PROPERTIES CARY STREET Bond Principal 8,482 - - #DIV/0! TOTAL - 8,482 - - #DIV/0! WENN HOUSING PROJECT Bond Principal 175 - - #DIV/0! TOTAL - 175 - - #DIV/0! COPPER CREEK 2014 HOUSES Bond Principal 151,690 - - #DIV/0! TOTAL - 151,690 - - #DIV/0! TC ENCK BUILDERS Bond Principal 2,412 - - #DIV/0! TOTAL - 2,412 - - #DIV/0! SUPER MARKET DEVELOPERS Bond Principal 126,267 - - #DIV/0! TOTAL - 126,267 - - #DIV/0! MAINSTAY SUITES Bond Principal 33,209 - - #DIV/0! TOTAL - 33,209 - - #DIV/0! TOWER 217 Bond Principal 20,676 - - #DIV/0! TOTAL - 20,676 - - #DIV/0! COPPER CREEK 2015 HOUSES Bond Principal 124,307 - - #DIV/0! TOTAL - 124,307 - #DIV/0! Grand Island Regular Meeting - 7/18/2018 Page 18 / 46 MONTH ENDED 2017-2018 2018 REMAINING % OF BUDGET June-18 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF JUNE 2018 NORTHWEST COMMONS Bond Principal 143,713 - - #DIV/0! TOTAL - 143,713 - #DIV/0! HABITAT - 8TH & SUPERIOR Bond Principal 5,062 - - #DIV/0! TOTAL - 5,062 - #DIV/0! KAUFMAN BUILDING Bond Principal 6,897 - - #DIV/0! TOTAL - 6,897 - #DIV/0! TALON APARTMENTS Bond Principal 58,113 - - #DIV/0! TOTAL - 58,113 - #DIV/0! VICTORY PLACE Bond Principal 1,625 - - #DIV/0! TOTAL - 1,625 - #DIV/0! FUTURE TIF'S Bond Principal - - 1,882,874 1,882,874 0.00% TOTAL - - 1,882,874 1,882,874 0.00% TOTAL EXPENSES 13,753 1,929,257 3,641,719 2,785,656 52.98% Grand Island Regular Meeting - 7/18/2018 Page 19 / 46 07/12/2018 08:35 |CITY OF GRAND ISLAND |P 1 briansc |BALANCE SHEET FOR 2018 9 |glbalsht NET CHANGE ACCOUNT FUND: 900 COMMUNITY REDEVELOPMENT AUTHOR FOR PERIOD BALANCE__________________________________________________________________________________________________________ ASSETS 900 11110 OPERATING CASH 154,779.82 553,298.08 900 11120 COUNTY TREASURER CASH .00 130,439.66 900 11305 PROPERTY TAXES RECEIVABLE .00 146,501.00 900 14100 NOTES RECEIVABLE .00 229,191.06 900 14700 LAND .00 575,369.33_______________________________________ TOTAL ASSETS 154,779.82 1,634,799.13_______________________________________ LIABILITIES 900 22100 LONG TERM DEBT .00 -198,779.00 900 22400 OTHER LONG TERM DEBT .00 -1,105,000.00 900 22900 ACCRUED INTEREST PAYABLE .00 -5,880.73 900 25100 ACCOUNTS PAYABLE .00 -66,767.03 900 25315 DEFERRED REVENUE-PROPERY TAX .00 -140,461.00_______________________________________ TOTAL LIABILITIES .00 -1,516,887.76_______________________________________ FUND BALANCE 900 39107 BUDGETARY FUND BAL - UNRESERVD .00 645,381.00 900 39110 INVESTMENT IN FIXED ASSETS .00 -575,369.33 900 39112 FUND BALANCE-BONDS .00 1,074,587.94 900 39120 UNRESTRICTED FUND BALANCE .00 -925,834.77 900 39130 ESTIMATED REVENUES .00 2,892,117.00 900 39140 ESTIMATED EXPENSES .00 -3,537,498.00 900 39500 REVENUE CONTROL -168,533.08 -1,620,551.86 900 39600 EXPENDITURE CONTROL 13,753.26 1,929,256.65_______________________________________ TOTAL FUND BALANCE -154,779.82 -117,911.37_______________________________________ TOTAL LIABILITIES + FUND BALANCE -154,779.82 -1,634,799.13======================================= ** END OF REPORT - Generated by Brian Schultz ** Grand Island Regular Meeting - 7/18/2018 Page 20 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item D1 Approval of Bills. Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 21 / 46 Grand Island Regular Meeting - 7/18/2018 Page 22 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item E1 Review of Committed Projects and CRA Properties. Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 23 / 46 COMMITTED PROJECTS REMAINING GRANT AMOUNT 2018 FISCAL YR 2019 FISCAL YR 2020 FISCAL YR ESTIMATED COMP Hedde Building 201-205 W. 3rd (10-18- 17) $ 300,000.00 $ 100,000.00 $ 100,000.00 $ 100,000.00 Spring 2020 Mendez - Personal Auto (12-13-17) $ 100,000.00 $ 100,000.00 Summer 2018 Othy's Place - 724 W. 3rd - Lindell (10/12/16) $ 26,961.00 $ 26,961.00 2017 sign, 2018 façade $34,899.18 paid March 15, 2017 South Locust/Fonner Park BID (7/13/16) $ 30,000.00 $ 30,000.00 Spring 2018 Urban Island/Kinkaider 320-322 N. Pine (10-18-17) (façade) $ 168,677.00 $ 100,000.00 $ 68,677.00 Spring 2018 Urban Island/Kinkaider 320-322 N. Pine (10-18-17) other LS $ 15,000.00 $ 15,000.00 Summer 2018 Total Committed $ 640,638.00 $ 371,961.00 $ 168,677.00 $ 100,000.00 FIRE & LIFE SAFETY GRANT TOTAL AMOUNT 2018 FISCAL YR 2019 FISCAL YR 2020 FISCAL YR ESTIMATED COMP 201-203 W. 3rd St. Anson (8/24/16) $ 240,000.00 $ 240,000.00 2018 Neilsen 207 W. 3rd $ 20,000.00 $ 20,000.00 Fall 2018 Peaceful Root - 112 W. 2nd St. (1/11/17) $ 50,000.00 $ 50,000.00 2018 Urban Island/Kinkaider 320-322 N. Pine (10-18-17) $ 90,000.00 $ 90,000.00 Summer 2018 Take Flight 209 W. 3rd (11-8-17) $ 35,000.00 $ 35,000.00 Fall 2018 Total Committed F&L Safety Grant $ 435,000.00 $ 145,000.00 $ 290,000.00 $ - BUDGET COMMITTED LEFT Life Safety Budgeted 2018 $ 200,000.00 $ 125,000.00 $ 75,000.00 Façade Budgeted 2018 $ 350,000.00 $ 350,000.00 $ - Other Projects 2018 Budgeted $ 150,000.00 $ 71,500.00 $ 78,500.00 Land - Budgeted 2018 $ 200,000.00 $ - $ 200,000.00 Land Sales Budgeted 2018 $ (100,000.00) $ - $ (100,000.00) subtotal $ 546,500.00 $ 253,500.00 Less committed ($516,961.00)($458,677.00) Balance remaining $ 29,539.00 $ (205,177.00) CRA PROPERTIES Address Purchase Price Purchase Date Demo Cost Status 408 E 2nd St $4,869 11/11/2005 $7,500 Under Contract 3235 S Locust $450,000 4/2/2010 $39,764 Surplus 604-612 W 3rd $80,000 6/10/2015 Under Contract May 31, 2018 Grand Island Regular Meeting - 7/18/2018 Page 24 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item I1 Redevelopment Plan Amendment for CRA Area # 21 Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 25 / 46 Redevelopment Plan Amendment Grand Island CRA Area 21 June 2018 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area 21 within the city, pursuant to the Nebraska Community Development Law (the “Act”) and provide for the financing of a specific project in Area 18. Executive Summary: Project Description THE REDEVELOPMENT OF PROPERTY LOCATED BETWEEN U.S. HIGHWAY 30 AND THE UNION PACIFIC RAILROAD TRACKS EAST OF STUHR ROAD (LOTS 1 AND 2 OF BOSSELMAN BROTHERS SECOND SUBDIVISION). CENTRAL NEBRASKA TRUCK WASH, INC., INTENDS TO CONSTRUCT A NEW CATTLE POT AND TRUCK WASH FACILITY AT THIS LOCATION, INCLUDING DEMOLITION OF AN EXISTING STRUCTURE ON THE SITE IN PREPARATION FOR REDEVELOPMENT AND NECESSARY INFRASTRUCTURE AND GRADING IMPROVEMENTS. The use of Tax Increment Financing to aid in demolition, site clearance, and necessary infrastructure, grading improvements and private roadways to redevelop 2030 and 2008 E. U.S. Highway 30 (Lots 1 and 2 of Bosselman Brothers Second Subdivision in the City of Grand Island). The use of Tax Increment Financing is an integral part of the development plan and necessary to make this project affordable. The project will result in the construction of a new cattle pot and truck wash at this location. The developer has indicated that this development would not be considered for at this location without the use of TIF. Central Nebraska Truck Wash Inc owns the subject property and will operate in conjunction with Midwest Express, Inc., a Grand Island based trucking company providing transportation services to JBS and other Grand Island and regional manufacturers. 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 Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2019 (should this be 1/1/19?) towards the allowable costs. TAX INCREMENT FINANCING TO PAY FOR THE REHABILITATION OF THE PROPERTY WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) 2030 and 2008 E. U.S. Highway 30 Legal Descriptions: Lots 1 and 2 of Bosselman Brothers Second Subdivision in the City of Grand Island) Grand Island Regular Meeting - 7/18/2018 Page 26 / 46 Existing Land Use and Subject Property Grand Island Regular Meeting - 7/18/2018 Page 27 / 46 This plan amendment provides for the issuance TIF Notes, the proceeds of which will be granted to the Redeveloper. The tax increment will be captured for up to 15 tax years the payments for which become delinquent in years 2020 through 2034 inclusive or as otherwise dictated by the contract. The real property ad valorem taxes on the current valuation will continue to be paid to the normal taxing entities. The increase will come from the construction of a new cattle pot and truck wash facility at this location as permitted in the M2 Heavy Manufacturing Zoning District. Statutory Pledge of Taxes. In accordance with Section 18-2147 of the Act and the terms of the Resolution providing for the issuance of the TIF Note, the Authority hereby provides that any ad valorem tax on the Redevelopment Project Area for the benefit of any public body be divided for a period of fifteen years after the effective date of this provision as set forth in the Redevelopment Contract, consistent with this Redevelopment Plan. Said taxes shall be divided as follows: a. That portion of the ad valorem tax which is produced by levy at the rate fixed each year by or for each public body upon the redevelopment project valuation shall be paid into the funds, of each such public body in the same proportion as all other taxes collected by or for the bodies; and b. That portion of the ad valorem tax on real property in the redevelopment project in excess of such amount, if any, shall be allocated to and, when collected, paid into a special fund of the Authority to pay the principal of; the interest on, and any premiums due in connection with the bonds, loans, notes, or advances on money to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such Authority for financing or refinancing, in whole or in part, a redevelopment project. When such bonds, loans, notes, advances of money, or indebtedness including interest and premium due have been paid, the Authority shall so notify the County Assessor and County Treasurer and all ad valorem taxes upon real property in such redevelopment project shall be paid into the funds of the respective public bodies. Pursuant to Section 18-2150 of the Act, the ad valorem tax so divided is hereby pledged to the repayment of loans or advances of money, or the incurring of any indebtedness, whether funded, refunded, assumed, or otherwise, by the CRA to finance or refinance, in whole or in part, the redevelopment project, including the payment of the principal of, premium, if any, and interest on such bonds, loans, notes, advances, or indebtedness. Redevelopment Plan Amendment Complies with the Act: 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. Grand Island Regular Meeting - 7/18/2018 Page 28 / 46 1. The Redevelopment Project Area has been declared blighted and substandard by action of the Grand Island City Council on February 14, 2017.[§18-2109] Such declaration was made after a public hearing with full compliance with the public notice requirements of §18-2115 of the Act. 2. Conformation to the General Plan for the Municipality as a whole. [§18-2103 (26) (a) and §18-2110] Grand Island adopted a Comprehensive Plan on July 13, 2004. This redevelopment plan amendment and project are consistent with the Comprehensive Plan, in that no changes in the Comprehensive Plan elements are intended. This plan merely provides funding for the developer to rehabilitate the building for permitted uses on this property as defined by the current and effective zoning regulations. The Hall County Regional Planning Commission held a public hearing at their meeting on July 11, 2018 and passed Resolution 2018-10 confirming that this project is consistent with the Comprehensive Plan for the City of Grand Island. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(26) (b)] a. Land Acquisition: This Redevelopment Plan for Area 18 does not anticipate real property acquisition by the developer. This property was acquired by the developer to support their trucking company in 2015 for $568,000. There is no proposed acquisition by the authority. b. Demolition and Removal of Structures: The project to be implemented with this plan provides for the demolition and removal of the existing structures and concrete on the property. c. Future Land Use Plan See the attached map from the 2004 Grand Island Comprehensive Plan. This property is in private ownership and surrounding properties are planned for mixed use manufacturing. The property south of Old Highway 30 is owned by the Union Pacific Rail Road. [§18-2103(26) (b) and §18-2111] A site plan of the area after redevelopment is also attached as Exhibit A. [§18-2111(5)] Grand Island Regular Meeting - 7/18/2018 Page 29 / 46 City of Grand Island Future Land Use Map Grand Island Regular Meeting - 7/18/2018 Page 30 / 46 Proposed Site Plan as developed. Grand Island Regular Meeting - 7/18/2018 Page 31 / 46 Floor Plan of Proposed Building Grand Island Regular Meeting - 7/18/2018 Page 32 / 46 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The area is zoned M2 Heavy Manufacturing 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(26)(b) and §18-2111] e. Site Coverage and Intensity of Use The developer is proposing to build on the site within the constraints allowed by the current zoning district. The M2 zoning district allows for up to 65% of each lot to be covered with buildings. The proposed cattle pot and truck wash will cover approximately 20,000 square feet or 16.4% of the lot. [§18-2103(26)(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. However, the Redeveloper will install new gas, sewer, water and electrical lines to the new buildings. Those improvements will be on site and not impact the city’s main lines. . [§18-2103(26)(b) and §18-2111] 4. The Act requires a Redevelopment Plan provide for relocation of individuals and families displaced as a result of plan implementation. No individuals or families will be relocated due to this development. [§18-2103.02] 5. No member of the Authority, nor any employee thereof holds any interest in any property in this Redevelopment Project Area. [§18-2106] No members of the authority or staff of the CRA has any interest in this property. 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 purchased this property in 2015 for $568,000. This purchase price is a TIF eligible expense due to changes in the state statutes in during the 2018 legislative session. Demolition of the existing buildings is estimated at $58,609 and is a TIF eligible expense. Site preparation including grading, dirt work, and paving of private road ways to serve the cattle pot and truck wash is estimated at $967,769. Architecture, engineering planning, survey, legal expenses and fees for the project are estimated at $86,512. Utility connections and extensions are estimated to cost $166,170 and are a TIF eligible expense. The total of eligible expenses for this project is $ 1,848,060. No property will be transferred to redevelopers by the Authority. The developer will provide and secure all necessary financing. Grand Island Regular Meeting - 7/18/2018 Page 33 / 46 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 $849,240 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, 2020 through December 2034. The developer will use the TIF Note to secure debt financing in the amount of $596,524 with $849,240 to be paid to the note holder during the term of the financing. c. Statement of feasible method of relocating displaced families. No families will be displaced as a result of this plan. 7. Section 18-2113 of the Act requires: Prior to recommending a redevelopment plan to the governing body for approval, an authority shall consider whether the proposed land uses and building requirements in the redevelopment project area are designed with the general purpose of accomplishing, in conformance with the general plan, a coordinated, adjusted, and harmonious development of the city and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity, and the general welfare, as well as efficiency and economy in the process of development, including, among other things, adequate provision for traffic, vehicular parking, the promotion of safety from fire, panic, and other dangers, adequate provision for light and air, the promotion of the healthful and convenient distribution of population, the provision of adequate transportation, water, sewerage, and other public utilities, schools, parks, recreational and community facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of insanitary or unsafe dwelling accommodations or conditions of blight. The Authority has considered these elements in proposing this Plan Amendment. This amendment, in and of itself will promote consistency with the Comprehensive Plan. This will have the intended result of preventing recurring elements of blighted conditions including demolition of obsolete building and reuse/redevelopment of property within the City Limits. 8. Time Frame for Development Development of this project is anticipated to be completed between August of 2018 and December of 2019. Excess valuation should be available for this project for 15 years beginning with the 2020 tax year. Grand Island Regular Meeting - 7/18/2018 Page 34 / 46 9. Justification of Project Demolition, extension of utilities and substantial site grading are necessary to facilitate rebuilding at this site. The redevelopment of this property by Central Nebraska Truck Wash Inc. will result in greater investment by the company in their Grand Island location and will expand their fulltime employee base within the community. The proposed use as a cattle pot (trailer washout) meets a community need to serve the JBS Plant located on the south side of U.S. Highway 30 and the trucking community supported by that facility. 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 Redevelopment Project, including: Project Sources and Uses. Approximately $849,240 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 $4,243,375 in private sector financing and investment; a private investment of $5.00 for every TIF dollar invested. Use of Funds. Description TIF Funds Private Funds Total Acquisition $ 568,000 $568,000 Demolition $58,609 $58,609 Site Preparation and Paving $41,287 $926,482 $967,769 Utilities Sewer, Water, Electric $166,170 $166,170 Telecommunications $5,316 $5,316 Arch/Engineering/Planning/Legals/Fees $86,512 $86,512 Building Costs $3,112,565 $3,112,565 Permits $15,174 $15,174 Construction Interest $112,500 TOTALS $849,240 $4,243,375 $5,092,615 Tax Revenue. The property to be redeveloped is anticipated to have a January 1, 2018 valuation of approximately $491,539. Based on the 2017 levy this would result in a real property tax of approximately $10,640. It is anticipated that the assessed value will increase by $2,615,615 upon full completion, as a result of the site redevelopment. This Grand Island Regular Meeting - 7/18/2018 Page 35 / 46 development will result in an estimated tax increase of over $56,616 annually. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for a period of 15 years, or such shorter time as may be required to amortize the TIF bond, but would be used for eligible private redevelopment costs to enable this project to be realized. Estimated 2018 assessed value:$ 491,539 Estimated value after completion $ 3,107,154 Increment value $ 2,615,615 Annual TIF generated (estimated)$ 56,616 TIF bond issue $ 849,240 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $491,539. The proposed redevelopment will create additional valuation of $2,615,615. 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; This plan provides extension of utilities from the lot to the mains. 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. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; This will have minimal impact on employers or employees within the redevelopment project area. It will create the opportunity for additional employees within the Grand Island area. (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 regions. This will allow a local company to expand in our community. Grand Island Regular Meeting - 7/18/2018 Page 36 / 46 (e) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. One of the direct results of this project will be the cattle pot or trailer washout. Because of the JBS facility just south of U.S. Highway 30 there is a real and immediate need for a place that livestock haulers can clean out their trailer before getting back on the road. This particular location is close to the JBS plant but not in a highly visible location. It is ideally suited for a use that is needed to support one of the largest employers in Grand Island and the region. Time Frame for Development Development of this project is anticipated to be completed between August of 2018 and December of 2019. The base tax year should be calculated on the value of the property as of January 1, 2018. Excess valuation should be available for this project for 15 years beginning in 2019 with taxes due in 2020. 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 $849,520 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 project the developer will spend more than $1,848,000 on TIF eligible activities. Grand Island Regular Meeting - 7/18/2018 Page 37 / 46 Resolution Number 2018-10 HALL COUNTY REGIONAL PLANNING COMMISSION A RESOLUTION RECOMMENDING APPROVAL OF A SITE SPECIFIC REDEVELOPMENT PLAN OF THE CITY OF GRAND ISLAND, NEBRASKA; AND APPROVAL OF RELATED ACTIONS WHEREAS, the Chairman and Board of the Community Redevelopment Authority of the City of Grand Island, Nebraska (the “Authority”), referred the Site Specific Redevelopment Plan for CRA Area 21 requested by Central Nebraska Truck Wash Inc. to the Hall County Regional Planning Commission, (the “Commission”) for review and recommendation as to its conformity with the general plan for the development of the City of Grand Island, Hall County, Nebraska, pursuant to Section 18-2112 of the Community Development Law, Chapter 18, Article 21, Reissue Revised Statutes of Nebraska, as amended (the “Act”); and WHEREAS, the Commission held a public hearing on the proposed plan on July 11, 2018, and WHEREAS, the chair or president of Hall County Board, Grand Island School Board, Central Platte Natural Resources District, Educational Service Unit #10 and Central Community College were notified by certified mail of said hearing, and WHEREAS, the Commission advertised the time, date and location public hearing in the Grand Island Independent on Saturday June 23rd and Saturday June 30th, and WHEREAS, there are no Neighborhood Associations registered with the City of Grand Island, and WHEREAS, the Commission has reviewed said Redevelopment Plan as to its conformity with the general plan for the development of the City of Grand Island, Hall County; NOW, THEREFORE, BE IT RESOLVED BY THE HALL COUNTY REGIONAL PLANNING COMMISSION AS FOLLOWS: Section 1. The Commission hereby recommends approval of the Redevelopment Plan finding that it is in conformance with the comprehensive development plan (general plan for development) for the City of Grand Island. Section 2. All prior resolutions of the Commission in conflict with the terms and provisions of this resolution are hereby expressly repealed to the extent of such conflicts. Section 3. This resolution shall be in full force and effect from and after its passage as provided by law. DATED: July 11, 2018. Grand Island Regular Meeting - 7/18/2018 Page 38 / 46 HALL COUNTY REGIONAL PLANNING COMMISSION ATTEST:By: ___________________________________ Chair By: ___________________________________ Secretary Grand Island Regular Meeting - 7/18/2018 Page 39 / 46 Central Nebraska Truck Wash Inc. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 275 A RESOLUTION RECOMMENDING APPROVAL OF A REDEVELOPMENT PLAN OF THE CITY OF GRAND ISLAND, NEBRASKA; RECOMMENDING APPROVAL OF A REDEVELOPMENT PROJECT OF THE CITY OF GRAND ISLAND, NEBRASKA; APPROVING A COST BENEFIT ANALYSIS FOR SUCH PROJECT; AND APPROVAL OF RELATED ACTIONS WHEREAS, the Mayor and Council of the City of Grand Island, Nebraska (the “City”), upon the recommendation of the Planning Commission of the City of Grand Island, Nebraska (the “Planning Commission”), and in compliance with all public notice requirements imposed by the Community Development Law, Chapter 18, Article 21, Reissue Revised Statutes of Nebraska, as amended (the “Act”), duly declared the redevelopment area legally described on Exhibit A attached hereto (the “Redevelopment Area”) to be blighted and substandard and in need of redevelopment; and WHEREAS, pursuant to and in furtherance of the Act, a Redevelopment Plan (the “Redevelopment Plan”), has been prepared by Community Redevelopment Authority of Grand Island, Nebraska, (the “Authority”) pursuant to an application by Central Nebraska Truck Wash Inc, a Nebraska Corporation (the “Redeveloper”), in the form attached hereto as Exhibit B, for the purpose of redeveloping Redevelopment Area legally described on Exhibit A, referred to herein as the Project Area (the “Project Area”); and WHEREAS, pursuant to the Redevelopment Plan, the Authority would agree to incur indebtedness and make a grant for the purposes specified in the Redevelopment Plan (the “Project”), in accordance with and as permitted by the Act; and WHEREAS, the Authority has conducted a cost benefit analysis of the Project (the “Cost Benefit Analysis”) pursuant to Section 18-2113 of the Act, a which is included in the Redevelopment Plan attached hereto as Exhibit B; and WHEREAS, the Authority has made certain findings and pursuant thereto has determined that it is in the best interests of the Authority and the City to approve the Redevelopment Plan and approve the Redevelopment Project and to approve the transactions contemplated thereby. NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA AS FOLLOWS: Section 1. The Authority has determined that the proposed land uses and building requirements in the Redevelopment Plan for the Project Area are designed with the general purposes of accomplishing, and in conformance with the general plan of the City, a coordinated, adjusted, and harmonious development of the City and its environs which will, in accordance with present and future needs, promote health, safety, morals, order, convenience, prosperity and the general welfare, as well as efficiency in 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 provisions 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, Grand Island Regular Meeting - 7/18/2018 Page 40 / 46 Central Nebraska Truck Wash Inc. recreational and communitive facilities, and other public requirements, the promotion of sound design and arrangement, the wise and efficient expenditure of public funds, and the prevention of the recurrence of unsanitary or unsafe dwelling accommodations, or conditions of blight. Section 2. The Authority has conducted a Cost Benefit Analysis for the Project, included in the the Redevelopment Plan attached hereto as Exhibit B, in accordance with the Act, and has found and hereby finds that the Project would not be economically feasible without the use of tax increment financing, the Project would not occur in the Project Area without the use of tax increment financing and the costs and benefits of the Project, including costs and benefits to other affected political subdivisions, the economy of the community, and the demand for public and private services, have been analyzed and have been found to be in the long term best interests of the community impacted by the Project. Section 3. In compliance with section 18-2114 of the Act, the Authority finds and determines as follows: (a) the Redevelopment Area constituting the Redevelopment Project will not be acquired by the Authority and the Authority shall receive no proceeds from disposal to the Redeveloper; (b) the estimated cost of project acquisition and the estimated cost of preparation for redevelopment including site work, onsite utilities and related costs are described in detail in Exhibit B attached hereto; (c) the method of acquisition of the real estate shall be by private contract by the Redeveloper and not by condemnation; and (d) the method of financing the Redevelopment Project shall be by issuance of tax increment revenue bond issued in the approximate amount of $1,848,000 which shall be granted to the Redeveloper and from additional funds provided by the Redeveloper. No families will be displaced from the Redevelopment Project Area as a result of the project. Section 4. The Authority hereby recommends to the City approval of the Redevelopment Plan and the Redevelopment Project described in the Redevelopment Plan. Section 5. All prior resolutions of the Authority in conflict with the terms and provisions of this resolution are hereby expressly repealed to the extent of such conflicts. Section 6. This resolution shall be in full force and effect from and after its passage and approval. PASSED AND APPROVED this 18th day of July, 2018. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND NEBRASKA ATTEST:By: ___________________________________ Chair By: ___________________________________ Secretary Grand Island Regular Meeting - 7/18/2018 Page 41 / 46 Central Nebraska Truck Wash Inc. EXHIBIT A LEGAL DESCRIPTION OF REDEVELOPMENT PROJECT AREA Lots 1 and 2 of Bosselman Brothers Second Subdivision in the City of Grand Island) Grand Island Regular Meeting - 7/18/2018 Page 42 / 46 Central Nebraska Truck Wash Inc. * * * * * EXHIBIT B FORM OF REDEVELOPMENT PLAN Grand Island Regular Meeting - 7/18/2018 Page 43 / 46 Community Redevelopment Authority (CRA) Wednesday, July 18, 2018 Regular Meeting Item K1 Budget Discussions 2018/2019 Staff Contact: Grand Island Regular Meeting - 7/18/2018 Page 44 / 46 Grand Island Regular Meeting - 7/18/2018 Page 45 / 46 Grand Island Regular Meeting - 7/18/2018 Page 46 / 46