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03-09-2022 Community Redevelopment Authority Regular Meeting Packet Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Packet Board Members: Tom Gdowski - Chairman Glen Murray – Vice Chairman Sue Pirnie Glenn Wilson Krae Dutoit 4:00 PM Grand Island Regular Meeting - 3/9/2022 Page 1 / 103 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 - 3/9/2022 Page 2 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item A1 Agenda March 9, 2022 Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 3 / 103 Grand Island Regular Meeting - 3/9/2022 Page 4 / 103 Grand Island Regular Meeting - 3/9/2022 Page 5 / 103 COMMUNITY REDEVELOPMENT AUTHORITY AGENDA MEMORANDUM 4 p.m. Wednesday, March 9, 2022 2. APPROVAL OF MINUTES. The minutes of the Community Redevelopment Authority meeting February 9, 2022 are submitted for approval. A MOTION is in order. 3. APPROVAL OF FINANCIAL REPORTS. Financial reports for February 1-28 are included in the packet for review and approval. 4. APPROVAL OF BILLS. Payment of bills in the amount of $273,747.14 5. REVIEW OF COMMITTED PROJECTS AND CRA PROPERTIES. 6. REDEVELOPMENT PLAN AMENDMENT CRA AREA 1- 313 W. 2ND STREET- LEFT CLICK PROPERTIES Concerning a redevelopment plan for CRA Area No. 1 for redevelopment of the commercial property at 313 W 2nd Street. The request calls for redevelopment of this property for renovation of commercial office space at this location. The plan requests $71,629 in tax increment financing along with associated interest on the TIF bonds. The CRA may approve the plan and forward the plan to the Grand Island City Council. A MOTION to approve Resolution 385 to approve the plan and recommend that the Grand Island City Council approve the plan is in order. 7. Redevelopment Plan Amendment CRA Area 36- Highland North Subdivision at Independence Avenue and Nebraska Highway 2- Concerning a redevelopment plan for CRA Area No. 34 for development of mixed use neighborhood at this location including 142 units of housing, a small neighborhood commercial node along with trails, parks and other amenities at this location. The plan requests $14,590,251 in tax increment financing along with associated interest on the TIF bonds. The CRA may approve the plan and forward the plan to the Grand Island City Council. A MOTION to approve Resolution 386 to approve the plan and recommend that the Grand Island City Council approve the plan is in order. 8. OTHER PROJECT GRANT REQUEST: SCULPTURE WALK – GRAND ISLAND CONVENTION AND VISITORS BUREAU The Grand Island Convention and Visitors Bureau (CVB) along with the Railside BID have been working with together with to bring a program called Sculpture Walk Across Nebraska (SWAN) to the Railside area. SWAN is a joint effort between Railside and the Norfolk Area Visitors Bureau to bring awareness for the arts and increase tourism in Nebraska. The CVB is requesting a grant from the CRA for $10,000 of the projected $24,000 in startup Grand Island Regular Meeting - 3/9/2022 Page 6 / 103 costs. Railside has been working with the City of Grand Island to find appropriate locations for the art work in the public spaces within the BID. The CRA currently has more than $195,000 reserved in the other projects fund. 9. DIRECTOR’S REPORT. a.Veteran’s Home Property and Veteran’s Legacy South b.Super Saver 5 Points TERC Decision c.Other Projects 10. ADJOURNMENT Chad Nabity Director Grand Island Regular Meeting - 3/9/2022 Page 7 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item B1 Meeting Minutes February 9, 2022 Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 8 / 103 OFFICIAL PROCEEDINGS MINUTES OF COMMUNITY REDEVELOPMENT AUTHORITY MEETING OF February 9, 2022 Pursuant to due call and notice thereof, a Meeting of the Community Redevelopment Authority of the City of Grand Island, Nebraska was conducted on February 9, 2022 at City Hall, 100 E. First Street. Notice of the meeting was given in the February 2, 2022 Grand Island Independent. 1. CALL TO ORDER. Chairman Gdowski called the meeting to order at 4:00 p.m. The following members were present: Tom Gdowski, Jim Truell, Bart Qualsett, Sue Pirnie and Krae Dutoit. Also present were: Council Member Mark Stelk, Director Chad Nabity, Planning Administrative Norma Hernandez, Finance Director Pat Brown and Assistant Finance Director Brian Schultz. 2. APPROVAL OF MINUTES. A motion for approval of the Minutes for the January 12, 2022 meeting was made by Truell and second by Pirnie. Upon roll call vote, all present voted aye. Motion carried 5-0 3. APPROVAL OF FINANCIAL REPORTS. Financial reports were reviewed by Brian Schultz. A motion for approval of financials for January 2022 made by Dutoit and second by Qualsett. Upon roll call vote, all present voted aye. Motion carried 5-0. 4. APPROVAL OF BILLS Nabity mentioned Girard – Animal Medical Clinic – pass through is the final payment. A motion was made by Truell and second by Dutoit to approve the bills for $823,497.50. Upon roll call vote, all present voted aye. Motion carried 5-0. 5. REVIEW OF COMMITED PROJECTS & CRA PROPERTY. The committed projects and CRA projects were reviewed by Nabity. Hedde Building – Amos Anson stated 3 out of the 17 apartments have drywall, 7 apartments are almost framed and will then get started on the other 7. Azure – Working on Rawr Holdings – still on hold. South Locust property – still available Grand Island Regular Meeting - 3/9/2022 Page 9 / 103 6. Approval of Redevelopment Contract for CRA Area #1 – Bartenbach Building – 118 W. 2nd Street – Artisans Alley LLC a. Consideration of Resolution 379 – Bond Resolution for 118 W. Second Street Bartenbach Building in W 1/3 of Lot Six and all of Lot Five of Block Sixty Six Nabity stated plan requests $522,064 in tax increment financing along with associated interest on the TIF bonds. The contract is a standard contract. City Council did did approve the redevelopment plan for CRA Area No. 1 for redevelopment of the Bartenbach Building at 118 W. 2nd Street. A motion was made by Qualsett and second by Krae to approve Resolution 379. Upon roll call vote, all present voted aye. Motion carried 5-0. 7. Redevelopement Plan Amendment CRA Area # 1 – Nikodym Development – Super Bowl Site north of Bismark and east of Cherry – JNIK, LLC. a. Consideration of Resolution 380 – Forward a Redevelopment Plan Amendment to the Grand Island City Council for the former Super Bowl Site 655 S. Cherry Street and 1010 E. Bismark Road Lot 1 of Nikodym Subdivision and Lot 1 of Nikodym Second Subdivision – JNIK LLC. Nabity stated the Regional Planning Commission recommend approval of the project. Nabity went on to explain the planning commission reviews applications to confirm that proposed uses of the property are consistent with the comprehensive plan for the City. The residential to the east and north is consistent with the comprehensive plan and consistent with existing zoning on the property. The commercial uses at the old bowling alley are consistent with the comprehensive plan. The application has been amended since the January CRA meeting. Mr. Nikodym intends to remodel the former Super Bowl building into an event center and a new coffee shop café with drive –thru and dine-in. Improvements will be made to bring it up to current code. Mr. Nikodym stated his antique care museum will be housed in a portion of the building. Gdowski stated he met with Nabity and Qualsett about the project. Gdowski said one of the questions they had was on the build out of the 47 lots which the majority of the TIF is tied to the development of the homes which will support the repayment of the infrastructure expense of streets and sewer. If TIF is approved Nikodym stated Diamond Engineering could get started on streets and sewer in April. Nikodym also stated as of right now Oseka Homes is the primary builder and planning on building one spec home as soon as possible. Oseka Homes will also be the realtor of the lots. The area will also be protected with a restrictive covenants. Nikodym also went on to explain his plans to continue work on the appearance of the former Super Bowl building. A motion was made by Qualsett and second by Truell to approve Resolution 380. Upon roll call vote, all present voted aye. Motion carried 5-0. Grand Island Regular Meeting - 3/9/2022 Page 10 / 103 8. Redevelopment Plan Amendment CRA Area #1 – 313 W 2nd Street – Left Click Properties a. Consideration of Resolution 381 – Forward a Redevelopment Plan Amendment to the Hall County Regional Planning Commission for 313 W 2nd Street W 1/3 of Lot 2 Block 81 Grand Island Original Town – Left Click Properties b. Consideration of Resolution 382 – Resolution of Intent to enter into a Site Specific Redevelopment Contract and Approval of related actions 30-day notice to city council for 313 W. 2nd Street W1/3 of Lot 2 Block 81 Grand Island Original Town – Left Click Properties Nabity stated the plan requests $71,629 in tax increment financing along with associated interest on TIF bonds. The request calls for redevelopment of the property for renovation of commercial office space at this location. A motion was made by Dutoit and second by Pirnie to approve Resolution 381 and Resolution 382. Upon roll call vote, all present voted. 4 aye and 1 abstained (Gdowski). Motion carried 4-1. 9. Redevelopment Plan Amendment CRA Area A#36 – Highland North Subdivision Platted and Proposed, Independence Avenue and Nebraska Highway 2 – A & H Holdings a. Consideration of Resolution 383 – Forward a Redevelopment Plan Amendment to the Hall County Regional Planning Commission Highland North Subdivision Platted and Proposed, Independence Avenue and Nebraska Highway 2 – A&H Holdings b. Consideration of Resolution 384 – Resolution of Intent to enter into a Site Specific Redevelopment Contract and Approval of related actions 30-day notice to city council Highland North Subdivision Platted and Proposed, Independence Avenue and Nebraska Highway 2 – A&H Holdings Nabity stated the area was approved as blighted and substandard since the project was started and is eligible to move forward as a TIF project. The redevelopment plan for the development is mixed use neighborhood including 142 residential units and some commercial space on 25 acres. The plan requests $14,590,251 in tax increment financing along with associated interest on the TIF bonds. The TIF would be used for streets, sewer, water and public infrastructure along with the bike trail. A mixed use development proposed likely to be developed over the next 10-12 years. Nabity also explained the activities that have already been done Grand Island Regular Meeting - 3/9/2022 Page 11 / 103 other than those eligible by state statue do not count towards the TIF expenses. There are no issues with the fact that the project was already started. A motion was made by Truell and second by Pirnie to approve Resolution 383 and Resolution 384. Upon roll call vote, all present voted aye. Motion carried 5-0. 10. Director’s Report Veteran’s Home Property Super Saver at 5 Points TERC Decision Other Projects Veteran’s Home Property – A committee meeting was held and will be moving forward. Wastewater will likely participate in putting in the sewer line. Super Saver-5 Points-TERC Decision – In 2019 Super Saver protested their valuation and in 2020 the valuation was protested by Hyvee of Super Saver. The final decision was made in December 2021and they lowered the valuation because of the TERC decision. The Hall County Treasure sent the CRA funds for the tax increment that was sent over to the bondholder. City/CRA is working to try and get the funds back from the bond holder and add it back to the principle on the bond to pay it back to the Hall County Treasure. Other Projects – Pending façade application from the Chamber. 11. Adjournment Next meeting Wednesday, March 9, 2022 at 4 p.m. Respectfully Submitted, Norma Hernandez Grand Island Regular Meeting - 3/9/2022 Page 12 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item C1 Financials February 2022 Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 13 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED CONSOLIDATED Beginning Cash 1,088,179 548,785 REVENUE: Property Taxes - CRA 43,268 104,574 524,191 419,617 19.95% Property Taxes - Lincoln Pool 254 23,133 196,818 173,685 11.75% Property Taxes -TIF's 267,520 1,078,251 5,400,000 4,832,931 19.97% Loan Income (Poplar Street Water Line) - - 20,000 20,000 0.00% Interest Income - CRA 103 730 10,000 9,270 7.30% Interest Income - TIF'S - - - - Land Sales - - - - #DIV/0! Other Revenue - CRA 2,235 3,068 200,000 196,932 1.53% Other Revenue - TIF's - - - - TOTAL REVENUE 313,380 1,209,756 6,351,009 5,652,435 19.05% TOTAL RESOURCES 1,401,560 1,209,756 6,899,794 5,652,435 EXPENSES Auditing & Accounting - - 3,000 3,000 0.00% Legal Services 60 60 3,000 2,940 2.00% Consulting Services - - 5,000 5,000 0.00% Contract Services 12,690 35,369 75,000 39,631 47.16% Printing & Binding - - 1,000 1,000 0.00% Other Professional Services - 10,392 16,000 5,608 64.95% General Liability Insurance - - 250 250 0.00% Postage - - 250 250 0.00% Legal Notices 18 106 500 394 21.25% Travel & Training - 35 4,000 3,965 0.88% Other Expenditures - - - - Office Supplies - - 1,000 1,000 0.00% Supplies - - 300 300 0.00% Land - - 30,000 30,000 Bond Principal - Lincoln Pool - 190,000 190,000 - 100.00% Bond Interest - 4,478 6,818 2,340 65.68% Fiscal Agent Fees/Bond Costs - 525 - - Husker Harvest Days - 200,000 200,000 - 100.00% Façade Improvement - - 250,000 250,000 0.00% Building Improvement - 135,000 500,000 365,000 27.00% Other Projects - - 200,000 200,000 0.00% Bond Principal-TIF's 810,730 810,730 5,400,000 4,589,270 15.01% Bond Interest-TIF's - - - - Interest Expense - - - - TOTAL EXPENSES 823,498 1,386,695 6,886,118 5,499,948 20.14% INCREASE(DECREASE) IN CASH (510,117) (176,939) (535,109) ENDING CASH 578,062 (176,939) 13,677 - CRA CASH 332,642 Lincoln Pool Tax Income Balance (22,677) TIF CASH 268,097 Total Cash 578,062 COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 Grand Island Regular Meeting - 3/9/2022 Page 14 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 GENERAL OPERATIONS: Property Taxes - CRA 43,268 104,574 524,191 419,617 19.95% Property Taxes - Lincoln Pool 254 23,133 196,818 173,685 11.75% Interest Income 103 730 10,000 9,270 7.30% Loan Income (Poplar Street Water Line) - 20,000 20,000 0.00% Land Sales - - - #DIV/0! Other Revenue & Motor Vehicle Tax 2,235 3,068 200,000 196,932 1.53% TOTAL 45,860 131,505 951,009 819,504 13.83% GIRARD VET CLINIC Property Taxes 11,300 - TOTAL - 11,300 - - GEDDES ST APTS-PROCON Property Taxes 832 32,374 - TOTAL 832 32,374 - - SOUTHEAST CROSSING Property Taxes - - TOTAL - - - - POPLAR STREET WATER Property Taxes 689 1,923 - TOTAL 689 1,923 - - CASEY'S @ FIVE POINTS Property Taxes 401 401 - TOTAL 401 401 - - SOUTH POINTE HOTEL PROJECT Property Taxes 2,244 2,244 - TOTAL 2,244 2,244 - - TOKEN PROPERTIES RUBY Property Taxes 81 81 - TOTAL 81 81 - - GORDMAN GRAND ISLAND Property Taxes 2,133 83,028 - TOTAL 2,133 83,028 - - BAKER DEVELOPMENT INC Property Taxes 102 102 - TOTAL 102 102 - - STRATFORD PLAZA INC Property Taxes 866 866 - TOTAL 866 866 - - COPPER CREEK 2013 HOUSES Property Taxes 2,831 11,276 - TOTAL 2,831 11,276 - - Grand Island Regular Meeting - 3/9/2022 Page 15 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 FUTURE TIF'S Property Taxes - 5,400,000 5,400,000 TOTAL - - 5,400,000 5,400,000 CHIEF INDUSTRIES AURORA COOP Property Taxes 990 990 (990) TOTAL 990 990 - (990) TOKEN PROPERTIES KIMBALL ST Property Taxes 80 80 (80) TOTAL 80 80 - (80) GI HABITAT OF HUMANITY Property Taxes 149 149 (149) TOTAL 149 149 - (149) AUTO ONE INC Property Taxes 14,994 14,994 (14,994) TOTAL 14,994 14,994 - (14,994) EIG GRAND ISLAND Property Taxes 1,680 1,680 (1,680) TOTAL 1,680 1,680 - (1,680) TOKEN PROPERTIES CARY ST Property Taxes 212 212 (212) TOTAL 212 212 - (212) WENN HOUSING PROJECT Property Taxes 140 140 (140) TOTAL 140 140 - (140) COPPER CREEK 2014 HOUSES Property Taxes 17,245 30,998 (30,998) TOTAL 17,245 30,998 - (30,998) TC ENCK BUILDERS Property Taxes 93 93 (93) TOTAL 93 93 - (93) SUPER MARKET DEVELOPERS Property Taxes - - TOTAL - - - - MAINSTAY SUITES Property Taxes 1,736 1,736 (1,736) TOTAL 1,736 1,736 - (1,736) TOWER 217 Property Taxes 25,683 25,683 (25,683) TOTAL 25,683 25,683 - (25,683) COPPER CREEK 2015 HOUSES Property Taxes 7,363 12,328 - (12,328) TOTAL 7,363 12,328 - (12,328) Grand Island Regular Meeting - 3/9/2022 Page 16 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 NORTHWEST COMMONS Property Taxes 8,712 197,550 - (197,550) TOTAL 8,712 197,550 - (197,550) HABITAT - 8TH & SUPERIOR Property Taxes 313 313 (313) TOTAL 313 313 - (313) KAUFMAN BUILDING Property Taxes 315 315 (315) TOTAL 315 315 - (315) TALON APARTMENTS Property Taxes 2,534 94,693 (94,693) TOTAL 2,534 94,693 - (94,693) VICTORY PLACE Property Taxes 246 246 (246) TOTAL 246 246 - (246) THINK SMART Property Taxes 167 6,486 (6,486) TOTAL 167 6,486 - (6,486) BOSSELMAN HQ Property Taxes 75,356 75,356 (75,356) TOTAL 75,356 75,356 - (75,356) TALON APARTMENTS 2017 Property Taxes 2,851 106,526 (106,526) TOTAL 2,851 106,526 - (106,526) WEINRICH DEVELOPMENT Property Taxes 166 166 (166) TOTAL 166 166 - (166) WING WILLIAMSONS Property Taxes 102 102 (102) TOTAL 102 102 - (102) HATCHERY HOLDINGS Property Taxes 4,191 4,191 (4,191) TOTAL 4,191 4,191 - (4,191) FEDERATION LABOR TEMPLE Property Taxes 178 178 (178) TOTAL 178 178 - (178) MIDDLETON PROPERTIES II Property Taxes 384 384 (384) TOTAL 384 384 - (384) COPPER CREEK 2016 HOUSES Property Taxes 4,672 8,618 (8,618) TOTAL 4,672 8,618 - (8,618) Grand Island Regular Meeting - 3/9/2022 Page 17 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 EAST PARK ON STUHR Property Taxes - - TOTAL - - - - MENDEZ ENTERPRISES LLC PHASE 1 Property Taxes 411 411 (411) TOTAL 411 411 - (411) EAST PARK ON STUHR Property Taxes 2,856 2,856 (2,856) TOTAL 2,856 2,856 - (2,856) TAKE FLIGHT INVESTMENTS Property Taxes 143 8,408 (8,408) TOTAL 143 8,408 - (8,408) PRATARIA VENTURES HOSPITAL Property Taxes 38,498 38,498 (38,498) TOTAL 38,498 38,498 - (38,498) AMMUNITION PLANT Property Taxes - - TOTAL - - - - URBAN ISLAND LLC Property Taxes 175 175 (175) TOTAL 175 175 - (175) PEACEFUL ROOT Property Taxes 130 5,048 (5,048) TOTAL 130 5,048 - (5,048) TALON 2019 LOOKBACK Property Taxes 76 2,821 (2,821) TOTAL 76 2,821 - (2,821) COPPER CREEK PH2 2019 LOOKBACK Property Taxes 685 1,546 (1,546) TOTAL 685 1,546 - (1,546) GRAND ISLAND HOTEL Property Taxes 2,816 2,816 (2,816) TOTAL 2,816 2,816 - (2,816) PARAMOUNT OLD SEARS Property Taxes 197 197 (197) TOTAL 197 197 - (197) CENTRAL NE TRUCK WASH Property Taxes 1,038 40,404 (40,404) TOTAL 1,038 40,404 - (40,404) PRATARIA VENTURES MEDICAL OFFICE Grand Island Regular Meeting - 3/9/2022 Page 18 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 Property Taxes 5,471 212,972 (212,972) TOTAL 5,471 212,972 - (212,972) TALON 2020 LOOKBACK PHASE 4 Property Taxes 30,198 30,198 (30,198) TOTAL 30,198 30,198 - (30,198) STAROSTKA 5TH ST LOOKBACK PHASE 1 Property Taxes 336 336 (336) TOTAL 336 336 - (336) COPPER CREEK PHASE 2 2020 LOOKBACK Property Taxes 1,417 1,417 (1,417) TOTAL 1,417 1,417 - (1,417) COPPER CREEK PHASE 3 2020 LOOKBACK Property Taxes 436 436 (436) TOTAL 436 436 - (436) HEDDE BUILDING 201 W 3RD Property Taxes 260 260 (260) TOTAL 260 260 - (260) RAWR HOLDINGS LLC 110 W 2ND Property Taxes 15 15 (15) TOTAL 15 15 - (15) ORCHARD REDEVELOPMENT PROJECT Property Taxes 650 650 (650) TOTAL 650 650 - (650) AMUR REAL ESTATE OLD WELLS FARGO Property Taxes 607 607 (607) TOTAL 607 607 - (607) WALD 12 PROPERTIES LLC Property Taxes 32 32 (32) TOTAL 32 32 - (32) WING PROPERTIES 112 E 3RD ST Property Taxes 4 4 (4) TOTAL 4 4 - (4) WEINRICH DEVELOPMENT 408 E 2ND ST Property Taxes 154 154 (154) TOTAL 154 154 - (154) O'NEILL WOOD RESOURCES Property Taxes 4 4 (4) TOTAL 4 4 - (4) SOUTHEAST COMMONS - FONNERVIEW Property Taxes 81 81 (81) TOTAL 81 81 - (81) Grand Island Regular Meeting - 3/9/2022 Page 19 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 PARAMOUNT 824 E 9TH ST Property Taxes 13 13 (13) TOTAL 13 13 - (13) J&L WESTWARD ENTERPRISES CAAP Property Taxes 80 80 (80) TOTAL 80 80 - (80) MILLER TIRE Property Taxes 8 8 (8) TOTAL 8 8 - (8) TOTAL REVENUE 313,380 1,209,756 6,351,009 5,284,848 19.05% - - - Grand Island Regular Meeting - 3/9/2022 Page 20 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 EXPENSES CRA GENERAL OPERATIONS: Auditing & Accounting - 3,000 3,000 0.00% Legal Services 60 60 3,000 2,940 2.00% Consulting Services - 5,000 5,000 0.00% Contract Services 12,690 35,369 75,000 39,631 47.16% Printing & Binding - 1,000 1,000 0.00% Other Professional Services 10,392 16,000 5,608 64.95% General Liability Insurance - 250 250 0.00% Postage - 250 250 0.00% Legal Notices 18 106 500 394 21.25% Travel & Training 35 4,000 3,965 0.88% Other Expenditures - - Office Supplies - 1,000 1,000 0.00% Supplies - 300 300 0.00% Land - 30,000 30,000 0.00% Bond Principal - Lincoln Pool 190,000 190,000 - 100.00% Bond Interest - Lincoln Pool 4,478 6,818 2,340 65.68% Fiscal Agent Fees/Bond Costs 525 - #DIV/0! PROJECTS Husker Harvest Days 200,000 200,000 - 100.00% Façade Improvement - 250,000 250,000 0.00% Building Improvement 135,000 500,000 365,000 0.00% Other Projects - 200,000 200,000 0.00% TOTAL CRA EXPENSES 12,767 575,965 1,486,118 910,678 38.76% GIRARD VET CLINIC Bond Principal 11,300 11,300 - - TOTAL 11,300 11,300 - - GEDDES ST APTS - PROCON Bond Principal 31,542 31,542 - - TOTAL 31,542 31,542 - - SOUTHEAST CROSSINGS Bond Principal - - - TOTAL - - - - POPLAR STREET WATER Bond Principal 1,235 1,235 - - TOTAL 1,235 1,235 - - CASEY'S @ FIVE POINTS Bond Principal - - - TOTAL - - - - SOUTH POINTE HOTEL PROJECT Bond Principal - - - TOTAL - - - - Grand Island Regular Meeting - 3/9/2022 Page 21 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 TOKEN PROPERTIES RUBY Bond Principal - - - TOTAL - - - - GORDMAN GRAND ISLAND Bond Principal 80,895 80,895 - - TOTAL 80,895 80,895 - - BAKER DEVELOPMENT INC Bond Principal - - - TOTAL - - - - STRATFORD PLAZA LLC Bond Principal - - - TOTAL - - - - COPPER CREEK 2013 HOUSES Bond Principal 8,445 8,445 - - TOTAL 8,445 8,445 - - CHIEF INDUSTRIES AURORA COOP Bond Principal - - - TOTAL - - - - TOKEN PROPERTIES KIMBALL STREET Bond Principal - - - TOTAL - - - - GI HABITAT FOR HUMANITY Bond Principal - - - TOTAL - - - - AUTO ONE INC Bond Principal - - - TOTAL - - - - EIG GRAND ISLAND Bond Principal - - - TOTAL - - - - TOKEN PROPERTIES CARY STREET Bond Principal - - - TOTAL - - - - WENN HOUSING PROJECT Bond Principal - - - TOTAL - - - - COPPER CREEK 2014 HOUSES Bond Principal 13,753 13,753 - - TOTAL 13,753 13,753 - - TC ENCK BUILDERS Bond Principal - - - TOTAL - - - - Grand Island Regular Meeting - 3/9/2022 Page 22 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 SUPER MARKET DEVELOPERS Bond Principal - - - TOTAL - - - - MAINSTAY SUITES Bond Principal - - - TOTAL - - - - TOWER 217 Bond Principal - - - TOTAL - - - - COPPER CREEK 2015 HOUSES Bond Principal 4,965 4,965 - - TOTAL 4,965 4,965 - NORTHWEST COMMONS Bond Principal 188,839 188,839 - - TOTAL 188,839 188,839 - HABITAT - 8TH & SUPERIOR Bond Principal - - - TOTAL - - - KAUFMAN BUILDING Bond Principal - - - TOTAL - - - TALON APARTMENTS Bond Principal 92,159 92,159 - - TOTAL 92,159 92,159 - VICTORY PLACE Bond Principal - - - TOTAL - - - FUTURE TIF'S Bond Principal - 5,400,000 5,400,000 TOTAL - - 5,400,000 5,400,000 THINK SMART Bond Principal 6,319 6,319 - - TOTAL 6,319 6,319 - BOSSELMAN HQ Bond Principal - - - TOTAL - - - TALON APARTMENTS 2017 Bond Principal 106,421 106,421 - - TOTAL 106,421 106,421 - Grand Island Regular Meeting - 3/9/2022 Page 23 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 WEINRICH DEVELOPMENT Bond Principal - - - TOTAL - - - WING WILLIAMSONS Bond Principal - - - TOTAL - - - HATCHERY HOLDINGS Bond Principal - - - TOTAL - - - FEDERATION LABOR TEMPLE Bond Principal - - - TOTAL - - - MIDDLETON PROPERTIES II Bond Principal - - - TOTAL - - - COPPER CREEK 2016 HOUSES Bond Principal 3,946 3,946 - - TOTAL 3,946 3,946 - EAST PARK ON STUHR Bond Principal - - - TOTAL - - - TAKE FLIGHT INVESTMENTS Bond Principal 8,265 8,265 - - TOTAL 8,265 8,265 - PRATARIA VENTURES HOSPITAL Bond Principal 207,501 207,501 - - TOTAL 207,501 207,501 - AMMUNITION PLANT Bond Principal - - - TOTAL - - - URBAN ISLAND LLC Bond Principal - - - TOTAL - - - PEACEFUL ROOT Bond Principal 4,918 4,918 - - TOTAL 4,918 4,918 - TALON 2019 LOOKBACK Bond Principal - - - TOTAL - - - COPPER CREEK PH2 2019 LOOKBACK Bond Principal 860 860 - - TOTAL 860 860 - Grand Island Regular Meeting - 3/9/2022 Page 24 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 GRAND ISLAND HOTEL Bond Principal - - - TOTAL - - - PARAMOUNT OLD SEARS Bond Principal - - - TOTAL - - - CENTRAL NE TRUCK WASH Bond Principal 39,366 39,366 - - TOTAL 39,366 39,366 - PRATARIA VENTURES MEDICAL OFFICE Bond Principal - - - TOTAL - - - TALON 2020 LOOKBACK PHASE 4 Bond Principal - - - TOTAL - - - STAROSTKA 5TH ST LOOKBACK PHASE 1 Bond Principal - - - TOTAL - - - COPPER CREEK PHASE 2 2020 LOOKBACK Bond Principal - - - TOTAL - - - COPPER CREEK PHASE 3 2020 LOOKBACK Bond Principal - - - TOTAL - - - HEDDE BUILDING 201 W 3RD Bond Principal - - - TOTAL - - - RAWR HOLDINGS LLC 110 W 2ND ST Bond Principal - - - TOTAL - - - ORCHARD REDEVELOPMENT PROJECT Bond Principal - - - TOTAL - - - AMUR REAL ESTATE OLD WELLS FARGO Bond Principal - - - TOTAL - - - WALD 12 PROPERTIES LLC OLD GREENB Bond Principal - - - TOTAL - - - WING PROPERTIES 112 2 3RD ST Bond Principal - - - Grand Island Regular Meeting - 3/9/2022 Page 25 / 103 MONTH ENDED 2021-2022 2022 REMAINING % OF BUDGET February-22 YEAR TO DATE BUDGET BALANCE USED COMMUNITY REDEVELOPMENT AUTHORITY FOR THE MONTH OF FEBRUARY 2022 TOTAL - - - WEINRICH DEVELOPMENT 408 E 2ND ST Bond Principal - - - TOTAL - - - O'NEILL WOOD RESOURCES Bond Principal - - - TOTAL - - - SOUTHEAST COMMONS - FONNERVIEW Bond Principal - - - TOTAL - - - PARAMOUNT 824 E 9TH ST Bond Principal - - - TOTAL - - - J&L WESTWARD ENTERPRISES CAAP Bond Principal - - - TOTAL - - - MILLER TIRE Bond Principal - - - TOTAL - - - TOTAL EXPENSES 823,498 1,386,695 6,886,118 6,310,678 20.14% Grand Island Regular Meeting - 3/9/2022 Page 26 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item D1 Bills March 2022 Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 27 / 103 Grand Island Regular Meeting - 3/9/2022 Page 28 / 103 Grand Island Regular Meeting - 3/9/2022 Page 29 / 103 Grand Island Regular Meeting - 3/9/2022 Page 30 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item I1 Redevelopment Plan Amendment CRA Area 1 - 313 W 2nd Street - Left Click Properties Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 31 / 103 313 W 2nd Area 1 Left Click Properties Page 1 COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 385 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 Left Click Properties (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, 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. Grand Island Regular Meeting - 3/9/2022 Page 32 / 103 313 W 2nd Area 1 Left Click Properties Page 2 Section 2. The Authority has conducted a Cost Benefit Analysis for the Project, included in 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 acquisition of property, preparation for redevelopment renovation 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 $71,629 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 9th day of March 2022. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND NEBRASKA ATTEST: By: ___________________________________ Chair By: ___________________________________ Secretary Grand Island Regular Meeting - 3/9/2022 Page 33 / 103 313 W 2nd Area 1 Left Click Properties Page 3 EXHIBIT A LEGAL DESCRIPTION OF REDEVELOPMENT PROJECT AREA The West 1/3 of Lot two (2) in Block Eighty-One (81) in the Original Town, now City of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 3/9/2022 Page 34 / 103 313 W 2nd Area 1 Left Click Properties Page 4 * * * * * EXHIBIT B FORM OF REDEVELOPMENT PLAN Grand Island Regular Meeting - 3/9/2022 Page 35 / 103 Redevelopment Plan Amendment Grand Island CRA Area 1 February 2022 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 BUILDING LOCATED AT 313 W 2ND STREET FOR COMMERCIAL 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 entire building located at 313 W. 2nd Street. The developer is proposing to renovate commercial retail/office space at this location. This project would not be feasible without the use of TIF. LEFT CLICK PROPERTIES, LLC purchased the property for $70,000. The purchase price is included as an eligible TIF activity. The developer is responsible for and has provided evidence that they can secure adequate debt financing to cover the costs associated with the remodeling and rehabilitation of this building. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over the 15 year period beginning January 1, 2023 towards the allowable costs and associated financing for rehabilitation. TAX INCREMENT FINANCING TO PAY FOR THE REHABILITATION OF THE PROPERTY WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) The property is located at 313 W. 2nd Street in Grand Island Nebraska, the attached map identifies the subject property and the surrounding land uses. Legal Descriptions: The West 1/3 of Lot two (2) in Block Eighty-One (81) in the Original Town, now City of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 3/9/2022 Page 36 / 103 Existing Land Use and Subject Property Grand Island Regular Meeting - 3/9/2022 Page 37 / 103 The tax increment will be captured for the tax years the payments for which become delinquent in years 2023 through 2037 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 portion of the building for commercial and residential uses as permitted in the B3 Heavy Business 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 - 3/9/2022 Page 38 / 103 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. 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. The Hall County Regional Planning Commission held a public hearing at their meeting on March 2, 2022 and passed Resolution 2022-08 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(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. The developer has acquired the property and will be including acquisition as an eligible activity. 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. Demotion of internal structures to accommodate the redevelopment is anticipated and permitted. 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 - 3/9/2022 Page 39 / 103 City of Grand Island Future Land Use Map Grand Island Regular Meeting - 3/9/2022 Page 40 / 103 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.  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 is vacant and has not been used for any residential purposes. [§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 have 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 the property for $70,000. The estimated costs of rehabilitation of this property is $280,150. Other construction and soft costs are $36,464. Legal, Developer and Audit Fees of $5,600 for reimbursement to the City and the CRA for costs to prepare the contract and monitor the project over the course of the development are included in the eligible expenses. The total of eligible expenses for this project exceeds $392,214. No property will be transferred to redevelopers by the Authority. The developer will provide and secure all necessary financing. Grand Island Regular Meeting - 3/9/2022 Page 41 / 103 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 $71,629 from the proceeds of the TIF. 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, 2023 through December 2038. 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. This will accomplish the goal of both the Railside Business Improvement District and the Grand Island City Council of refurbishing street level commercial space that has been underutilized for several years. 8. Time Frame for Development Development of this project is anticipated to be completed by August 2022. Excess valuation should be available for this project for 15 years beginning with the 2023 tax year. 9. Justification of Project This building in downtown Grand Island was built in 1920 and will be preserved with this project. The primary use of the street level space is commercial and is consistent with the long term development plans for Downtown. 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. Grand Island Regular Meeting - 3/9/2022 Page 42 / 103 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 $71,629 in public funds from tax increment financing provided by the Grand Island Community Redevelopment Authority will be required to complete the project. This property has requested a Façade grant. This investment by the Authority will leverage $ etivar; a pgnicnator fincse in private 202,255 1.94$nt of emtsinve for every TIF or grant dollar invested. Use of Funds Source of Funds Description TIF Funds Façade Grant Private Funds Total Site Acquisition $70,000 $70,000 Renovation Costs $59,783 $220,367 $280,150 Contingency $14,008 $14,008 Architectural & Engineering $1,629 $95 $1,724 Financing fees/ audit $8,232 $8,232 Legal/ TIF contract $12,500 $12,500 Total $71,629 $59,783 $255,202 $386,614 Tax Revenue. The property to be redeveloped is anticipated to have a January 1, 2023, valuation of approximately $300,621. Based on the 2020 levy this would result in a real property tax of approximately $4,775. It is anticipated that the assessed value will increase by $216,895 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $ 2,653 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 2021 assessed value: $83,726 Estimated value after completion $300,621 Increment value $216,895 Annual TIF generated (estimated) $4,775 TIF bond issue $71,629 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $83,726. The proposed redevelopment will create additional valuation of $216,895. No tax shifts are anticipated from the project outside of the use of TIF to support the redevelopment. It is not anticipate that any additional tax burdens will be assumed by public entities as a result of this project. The project creates additional valuation that will support taxing entities long after the project is paid off. Grand Island Regular Meeting - 3/9/2022 Page 43 / 103 (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 in any significant way. 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; This will provide additional commercial space options in the downtown area consistent with the planned development in Downtown Grand Island. (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. This will provide refurbish Downtown commercial space options for business owners who wish to relocate to the Downtown area. (e) Impacts on student populations of school districts within the City or Village: This development will have a minimal impact on the Grand Island School system as it will likely not result in any increased attendance. All of the units to be developed are intended for commercial uses only. (f) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. This project is consistent the goals of the Council, the Downtown BID, the CRA, and Grow Grand Island to create additional upgraded commercial spaces within downtown Grand Island. Time Frame for Development Development of this project is anticipated to be completed August 2022. The base tax year should be calculated on the value of the property as of January 1, 2022. Excess valuation should be available for this project for 15 years beginning in 2023 with taxes due in 2024. 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 $71,629 the projected amount of increment based upon the anticipated value of the project and current tax rate. Left Click Properties applied for and received a façade improvement grant of $59,783.Based on the estimates of the expenses of the rehabilitation the developer will spend at least $326,813 on TIF eligible activities in excess of other grants given. Grand Island Regular Meeting - 3/9/2022 Page 44 / 103 Form Updated 7-25-2019cn Page | 1 BACKGROUND INFORMATION RELATIVE TO TAX INCREMENT FINANCING REQUEST Project Redeveloper Information Business Name: ______________________________________________________________ Address: _______________________________________________________________ Telephone No.: __________________________ Fax No.: _______________ Email: _________________________________________________________ Contact: _______________________________________________________________ Application Submission Date: Brief Description of Applicant’s Business:__ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________ Legal Description/Address of Proposed Project Community Redevelopment Area Number ________ Grand Island Regular Meeting - 3/9/2022 Page 45 / 103 Form Updated 7-25-2019cn Page | 2 Present Ownership Proposed Project Site: ________________________________________________________________ _____________________________________ Is purchase of the site contingent on Tax Increment Financing Approval? Yes No Proposed Project: Building square footage, size of property, description of buildings – materials, etc. Please attach site plan, if available. ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________ If Property is to be Subdivided, Show Division Planned: VI. Estimated Project Costs: Acquisition Costs: A. Land $ ______________ B. Building $ ______________ Construction Costs: A. Renovation or Building Costs: $ ______________ B. On-Site Improvements: Sewer $ ______________ Water $ ______________ Electric $ ______________ Gas $ ______________ Public Streets/Sidewalks $ ______________ Grand Island Regular Meeting - 3/9/2022 Page 46 / 103 Form Updated 7-25-2019cn Page | 3 Private Streets $ ______________ Trails $ ______________ Grading/Dirtwork/Fill $ ______________ Demolition $ ______________ Other $ ______________ Total $ ______________ Soft Costs: A. Architectural & Engineering Fees: $ ______________ B. Financing Fees: $ ______________ C. Legal $ ______________ D. Developer Fees: $ ______________ E. Audit Fees $ ______________ F. Contingency Reserves: $ ______________ G. Other (Please Specify) $ ______________ TOTAL $ ______________ Total Estimated Market Value at Completion: $ Source for Estimated Market Value________________________________________ Source of Financing: A. Developer Equity: $ ______________ B. Commercial Bank Loan: $ ______________ C. Tax Credits: 1. N.I.F.A. $ ______________ 2. Historic Tax Credits $ ______________ 3. New Market Tax Credits $ ______________ 4. Opportunity Zone $ ______________ D. Industrial Revenue Bonds: $ ______________ E. Tax Increment Assistance: $ ______________ F. Enhanced Employment Area $ ______________ Grand Island Regular Meeting - 3/9/2022 Page 47 / 103 Form Updated 7-25-2019cn Page | 4 G. Nebraska Housing Trust Fund $ ______________ H. Other $ ______________ Name, Address, Phone & Fax Numbers of Architect, Engineer and General Contractor: _______________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ____________________________________________________________ Estimated Real Estate Taxes on Project Site Upon Completion of Project: (Please Show Calculations) ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ____________________________________________________________ Project Construction Schedule: Construction Start Date: _________________________________________________ Construction Completion Date: ___________________________________________ If Phased Project: _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete _______________________ Year ______________________ % Complete Grand Island Regular Meeting - 3/9/2022 Page 48 / 103 Form Updated 7-25-2019cn Page | 5 XII. Please Attach Construction Pro Forma XIII. Please Attach Annual Income & Expense Pro Forma (With Appropriate Schedules) TAX INCREMENT FINANCING REQUEST INFORMATION Describe Amount and Purpose for Which Tax Increment Financing is Requested: ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ______________________________________________________________ Statement Identifying Financial Gap and Necessity for use of Tax Increment Financing for Proposed Project: ______________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________ Grand Island Regular Meeting - 3/9/2022 Page 49 / 103 Form Updated 7-25-2019cn Page | 6 Municipal and Corporate References (if applicable). Please identify all other Municipalities, and other Corporations the Applicant has been involved with, or has completed developments in, within the last five (5) years, providing contact person, telephone and fax numbers for each: ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ____________________________________ 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 - 3/9/2022 Page 50 / 103 Estimated Project Costs: Acquisition Costs: A. Land $0 B. Building $70,000 Construction Costs: A. Renovation or Building Costs:$280,150 B. On-Site Improvements: Sewer $0 Water $0 Electric $0 Gas $0 Public Streets/Sidewalks $0 Private Streets $0 Trails $0 Grading/Dirtwork/Fill $0 Demolition $0 Other: Parks/Public Space $0 Total $280,150 Soft Costs: A. Architectural & Engineering Fees:$1,724 B. Financing Fees: Construction $8,232 C. Legal $12,500 D. Developer Fees:$0 E. Audit Fees $0 F. Contingency Reserves:$14,008 G. Other: TIF fees/Misc fees $0 TOTAL $36,464 Total Estimated Market Value at Completion:$324,552 Source of Financing: A. Developer Equity:64,910$ B. Commercial Bank Loan:$261,920 E. Tax Increment Assistance:-$ H. Other: Façade grant 59,783$ Total 386,614$ Grand Island Regular Meeting - 3/9/2022 Page 51 / 103 Grand Island Regular Meeting - 3/9/2022 Page 52 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item I2 Redevelopment Plan Amendment CRA Area 36 - Highland North Subdivision Platted and Proposed, Independence Avenue and Nebraska Highway 2 - A & H Holdings Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 53 / 103 Area 36 Highland North A & H Holdings Page 1 COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 386 A RESOLUTION RECOMMENDING APPROVAL OF A REDEVELOPMENT PLAN TO THE CITY OF GRAND ISLAND, NEBRASKA; RECOMMENDING APPROVAL OF A REDEVELOPMENT PROJECT TO 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 A & H Holdings. (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, 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. Grand Island Regular Meeting - 3/9/2022 Page 54 / 103 Area 36 Highland North A & H Holdings Page 2 Section 2. The Authority has conducted a Cost Benefit Analysis for the Project, included in 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 acquisition of property, preparation for redevelopment including site work, streets, trails and other recreational amenities, storm water, water, waste water and other 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 $14,600,000 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 9th day of March 2022. COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND NEBRASKA ATTEST: By: ___________________________________ Chair By: ___________________________________ Secretary Grand Island Regular Meeting - 3/9/2022 Page 55 / 103 Area 36 Highland North A & H Holdings Page 3 EXHIBIT A LEGAL DESCRIPTION OF REDEVELOPMENT PROJECT AREA Legal Descriptions: Property platted as Highland North First Subdivision, Highland North Second Subdivision and proposed for platting as further parts of the Highland North Subdivision development (Parcel Number 400149664) in the City of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 3/9/2022 Page 56 / 103 Area 36 Highland North A & H Holdings Page 4 * * * * * EXHIBIT B FORM OF REDEVELOPMENT PLAN Grand Island Regular Meeting - 3/9/2022 Page 57 / 103 Area 36 Highland North A & H Holdings Page 1 COMMUNITY REDEVELOPMENT AUTHORITY OF THE CITY OF GRAND ISLAND, NEBRASKA RESOLUTION NO. 386 A RESOLUTION RECOMMENDING APPROVAL OF A REDEVELOPMENT PLAN TO THE CITY OF GRAND ISLAND, NEBRASKA; RECOMMENDING APPROVAL OF A REDEVELOPMENT PROJECT TO 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 ), upon the recommendation of the Planning Commission of the City of Grand Island, Nebraska (the g ), 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 ), duly declared the redevelopment area legally described on Exhibit A attached hereto (the  ) to be blighted and substandard and in need of redevelopment; and WHEREAS, pursuant to and in furtherance of the Act, a Redevelopment Plan (the ), has been prepared by Community Redevelopment Authority of Grand Island, Authority application by A & H Holdings. (the ), 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 ); 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 ), in accordance with and as permitted by the Act; and WHEREASCost Benefit Analysis-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, 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. Grand Island Regular Meeting - 3/9/2022 Page 58 / 103 Redevelopment Plan Amendment Grand Island CRA Area 36 February 2022 The Community Redevelopment Authority (CRA) of the City of Grand Island intends to amend the Redevelopment Plan for Area 36 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 36. Executive Summary: Project Description THE REDEVELOPMENT APPROXIMATELY 25 ACRES OF PROPERTY LOCATED BETWEEN SOUTH OF NEBRASKA HIGHWAY 2 AND WEST OF INDEPENDENCE AVENUE IN NORTHWEST GRAND ISLAND FOR A MIXED USE DEVELOPMENT INCLUDING COMMERICIAL OFFICE AND RETAIL PROPRTIES AND 142 UNITS OF HOUSING INCLUDING: SINGLE FAMILY DETACHED AND ATTACHED, ROW HOUSES, CONDOMINIUM UNITS. The use of Tax Increment Financing to aid in redevelopment expenses associated with platting and installing the necessary infrastructure (streets, sanitary sewer, water, and storm sewer) and public amenities (trails with associated lighting, benches and similar amenities and dog park and private park space) for the development of 142 units of housing along with some commercial/office property. The use of Tax Increment Financing is an integral part of the development plan and necessary to make this project affordable. The 2020 Housing Study for the City of Grand Island identified a need of 1361 new rental and owner occupied housing units by 2024. A & H Holdings has purchased this property and began development in early 2021. Changes in the cost of construction, availability of materials and the approval of several other housing projects using Tax Increment Financing have led to this application for assistance with the project. The developer is responsible for and has provided evidence that they can secure adequate debt financing to cover the costs associated with the construction of units. The Grand Island Community Redevelopment Authority (CRA) intends to pledge the ad valorem taxes generated over multiple 15 year periods beginning January 1, 2023 towards the allowable costs and associated financing for the development of this property. TAX INCREMENT FINANCING TO PAY FOR THE DEVELOPMENT OF THE PROPERTY WILL COME FROM THE FOLLOWING REAL PROPERTY: Property Description (the “Redevelopment Project Area”) Legal Descriptions: Property platted as Highland North First Subdivision, Highland North Second Subdivision and proposed for platting as further parts of the Highland North Subdivision development (Parcel Number 400149664) in the City of Grand Island, Hall County, Nebraska. Grand Island Regular Meeting - 3/9/2022 Page 59 / 103 Existing Land Use and Subject Property Grand Island Regular Meeting - 3/9/2022 Page 60 / 103 The tax increment will be captured for the tax years the payments for which become delinquent in years 2023 through 2047 inclusive. The TIF contract will be structured so it can be amended each year for up to ten years to add the housing units to be completed during that year. No single property will be eligible for TIF for a period of more than 15 years. 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 development of the property for residential and commercial uses as previously described. 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 or any amendment to the redevelopment contract, consistent with this Redevelopment Plan. The plan anticipates that each phase of the development will constitute new effective date for the purposes of determining the period of fifteen years. 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: Grand Island Regular Meeting - 3/9/2022 Page 61 / 103 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 January 25, 2022.[§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 (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. The Hall County Regional Planning Commission held a public hearing at their meeting on March 2, 2022 and passed Resolution 2022-09 confirming that this project is consistent with the Comprehensive Plan for the City of Grand Island. The Grand Island Public School District has submitted a formal request to the Grand Island CRA to notify the District any time a TIF project involving a housing subdivision and/or apartment complex is proposed within the District. The school district was notified of this plan amendment prior to it being submitted to the CRA for initial consideration. 3. The Redevelopment Plan must be sufficiently complete to address the following items: [§18-2103(13) (b)] a. Land Acquisition: This Redevelopment Plan for Area 36 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 low to medium density residential development. 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 - 3/9/2022 Page 62 / 103 City of Grand Island Future Land Use Map Grand Island Regular Meeting - 3/9/2022 Page 63 / 103 d. Changes to zoning, street layouts and grades or building codes or ordinances or other Planning changes. The area is zoned R3 Medium Density Residential along the southern portion, B2 General Business in the northeast corner at the intersection of Nebraska Highway 2 and Independence Avenue and R3-SL Medium Density Small Lot and RO Residential office on the remainder of the property. The future land use map calls for mixed use commercial development across this entire site. New public streets and utilities are anticipated and needed to support this project and it is anticipated that TIF revenues will offset the costs of those improvements. No changes are anticipated in building codes or other ordinances. No other planning changes contemplated. [§18-2103(b) and §18-2111] Current Zoning on the Site e. Site Coverage and Intensity of Use The R3 zoning district allows for one dwelling unit per 3000 square feet of lot space with a 6000 square foot minimum lot size. The R3-SL zoning district allows for one dwelling unit per 3000 square feet of lot space with a 3000 square foot minimum lot size for single family detached units and a 2100 square foot minimum lot size for row houses. The RO zoning district does not limit the density of housing units but does require minimum 6000 square foot lot. The B2 zone allow for a variety of commercial development on a minimum lot size of 3000 square feet with. Residential uses are allowed in the B2 zone at a density one unit per 1000 square feet of lot space. The development as proposed will have a residential density of 5.66 units per acre. Appendix A of this plan includes the developer’s vision for the development along with the approved preliminary plat for development. [§18-2103(b) and §18-2111] Grand Island Regular Meeting - 3/9/2022 Page 64 / 103 f. Additional Public Facilities or Utilities Sanitary sewer and water are available to support this development. Both sanitary sewer and water will need to be extended throughout the site. TIF revenues will be used to offset the cost of these public utility improvements. Electric utilities are sufficient for the proposed use of this property. Electric lines, transformers, and conduit will need to be extended throughout the property. No other publicly owned 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 is vacant and has been vacant for more than 1 year; 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 members of the authority or staff of the CRA have 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 purchase price of the property is $422,110 as an eligible expense. The estimated costs of utilities including sewer, water and electric is $1,891,059. The cost of grading, site prep and dirt work is $4,183,685. Streets/trail/sidewalks and drainage are estimated at $2,026,937. Planning activities including engineering, architecture, legal fees and government fees are estimated at $1,720,000. The total of the eligible expenses for this project is estimated by the developer at over $14,631,000. 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 $14,590,251 from the proceeds of the TIF. 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, 2023 through December 2047. Grand Island Regular Meeting - 3/9/2022 Page 65 / 103 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. 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. This will accomplish the goal of increasing the number of residential units within the City of Grand Island and encouraging infill development. 8. Time Frame for Development Development of this project is anticipated to begin in the 2022 year. The build out of the subdivision is planned in five phases between 2022 and 2030. It is anticipated that the units in this development will be fully built out by 2032 with the tax increment on those homes extending to 2047. Excess valuation should be available for the first homes built with this project for 15 years beginning with the 2023 tax year. 9. Justification of Project The 2020 housing study for the City of Grand Island projected that by 2024 we would need an additional 1361 new housing units. There should be 902 non-age restricted units with 518 owner occupied and with 384 rental units. There should be 459 age restricted unit 459 with 222 as 55+ owner occupied and with 237 as 55+ rental units. Between January 1 of 2020 and December of 2021 the city issued permits for 430 new housing units including both restricted and unrestricted units leaving a need for 931 additional units by 2024. The current housing market, a combination of the cost of producing housing and the prevailing wages, has not created a situation that gives the markets sufficient incentive to build the number housing units required to meet community needs. Grand Island Regular Meeting - 3/9/2022 Page 66 / 103 This lack of housing options impacts a variety of other areas within the community including work force development, overcrowding, and maintenance of residential units. This project will create new housing options for all citizens and potential citizens of Grand Island and will likely result in the sale of existing homes around the city. 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. (2019), the City of Grand Island has analyzed the costs and benefits of the proposed Redevelopment Project, including: Project Sources and Uses. Approximately $14,590,251 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 $54,781,866 in private sector financing; a private investment of $3.75 for every TIF dollar invested.                                                      Tax Revenue. The property to be redeveloped is anticipated to have a January 1, 2022 valuation of approximately $322,019. Based on the 2021 levy this would result in a real property tax of approximately $6,983. It is anticipated that the assessed value will increase by $48,181,113 upon full completion, as a result of the site redevelopment. This development will result in an estimated tax increase of over $1,044,750 annually. The tax increment gained from this Redevelopment Project Area would not be available for use as city general tax revenues, for the period of the bonds, but would be used for eligible private redevelopment costs to enable this project to be realized. Grand Island Regular Meeting - 3/9/2022 Page 67 / 103 Estimated 2022 assessed value: $ 322,019 Estimated value after completion $ 48,503,152 Increment value $ 48,181,133 Annual TIF generated (estimated) $ 1,044,750 TIF bond issue $ 14,590,251 (a) Tax shifts resulting from the approval of the use of Tax Increment Financing; The redevelopment project area currently has an estimated valuation of $322,019. The proposed redevelopment will create additional valuation of $48,503,152 over the course of the next ten years. The project creates additional valuation that will support taxing entities long after the project is paid off along with providing 142 additional housing units, a neighborhood commercial node, and trails to enhance the walkability of the City of Grand Island and northwest Grand Island in particular and area largely developed in the 60’s through 80’s with rural section roads and no sidewalks. The tax shift from this project will be equal to the total of the bond principal of $14,590,251 if fully funded and any associated interest on the bond to be assigned with contract approval. (b) Public infrastructure and community public service needs impacts and local tax impacts arising from the approval of the redevelopment project; Existing water and waste water facilities will not be negatively impacted by this development. The electric utility has sufficient capacity to support the development. This is infill development with services connecting to existing line with capacity. This development will result in a larger number of students in the Engleman Elementary School service area. Fire and police protection are available and should not be negatively impacted by this development though there will be some increased need for officers and fire fighters as the City continues to grow whether from this project or others. (c) Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the redevelopment project; This will provide additional housing options for the residents of Grand Island. The National Homebuilders Association estimated in a 2014 study1 that each unit of single family housing resulted in 2.97 full time equivalent jobs so this development at 18 units per year would represent an additional 53 FTE’s within the city for the next eight years. (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 different from any other expanding business within the Grand Island area. Grand Island does have tight 1 https://www.nahb.org/news-and-economics/housing-economics/housings-economic-impact/impact-of- home-building-and-remodeling-on-the-us-economy Grand Island Regular Meeting - 3/9/2022 Page 68 / 103 labor market and part of that is due to the availability and cost of housing. This development may help alleviate some of those pressures. (e) Impacts on student populations of school districts within the City or Village: This development will have an impact on the Grand Island School system and will likely result in additional students at the elementary and secondary school levels. The average number of persons per household in Grand Island for 2015 to 2019 according the American Community Survey is 2.61. 142 additional households would house 371 people. According to the 2010 census 19.2% of the population of Grand Island was over 4 years old and under 18 years old. 2020 census number for this population cohort are not yet available but 27.6% of the 2021 population is less than 18 years of age this is the same percentage as the under 18 age cohort in 2010. If the averages hold it would be expected that there would be an additional 71 school age children generated by this development. If this develops at a rate of 18 units per year for 8 years approximately 9 children could be added to the school age population every year with this development. These 9 children will likely be spread over the full school age population from elementary to secondary school. According to the National Center for Educational Statistics2 the 2019-20 enrollment for GIPS was 10,070 students and the cost per student in 2017-18 was $12,351 of that $4,653 is generated locally. The Grand Island Public School System was notified on January 31, 2022 that the CRA would be considering this application at their February 9, 2022 meeting. (f) Any other impacts determined by the authority to be relevant to the consideration of costs and benefits arising from the redevelopment project. This project is consistent the goals of the 2020 Housing Study for the City of Grand Island to create more than 1361 new housing units. Between January of 2020 and December of 2021 the City of Grand Island has issue permits for 430 housing units. The local housing market is not capable of producing the number of units needed at market rate given the costs of building and development. Time Frame for Development Development of this project is anticipated to be completed during between Fall of 2022 and the end of 2032. The base tax year should be calculated on the value of the property as of January 1, 2022 for the first phase with each phase based on the preceding year’s valuation of the property included in the amendment for that year. Excess valuation should be available for this project beginning in 2023 with taxes due in 2024. 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 on each property or an amount not to exceed $14,590,251 the projected amount of increment based upon 2 https://nces.ed.gov/ccd/districtsearch/district_detail.asp?ID2=3100016 Grand Island Regular Meeting - 3/9/2022 Page 69 / 103 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 $14,600,000 on TIF eligible activities. Grand Island Regular Meeting - 3/9/2022 Page 70 / 103                            Grand Island Regular Meeting - 3/9/2022 Page 71 / 103                                               Grand Island Regular Meeting - 3/9/2022 Page 72 / 103                                                                               Grand Island Regular Meeting - 3/9/2022 Page 73 / 103                                                   Grand Island Regular Meeting - 3/9/2022 Page 74 / 103                          Grand Island Regular Meeting - 3/9/2022 Page 75 / 103                     Grand Island Regular Meeting - 3/9/2022 Page 76 / 103 Grand Island Regular Meeting - 3/9/2022 Page 77 / 103 Grand Island Regular Meeting - 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3/9/2022 Page 97 / 103 Community Redevelopment Authority (CRA) Wednesday, March 9, 2022 Regular Meeting Item X1 Other Projects Grant Request: Sculpture Walk - Grand Island Visitors Bureau Staff Contact: Grand Island Regular Meeting - 3/9/2022 Page 98 / 103 Grand Island Regular Meeting - 3/9/2022 Page 99 / 103 Sculpture Location Alternate location or future location Grand Island Regular Meeting - 3/9/2022 Page 100 / 103 SCULPTURE WALK RAILSIDE BUDGET 2022-2023 $6,000 For the stone bases ($500 x 12) This includes freight. By getting 12 we would have enough to add 2 sculptures in 2023.Wholesale Stone, LLC Start up cost $3,000 For steel plates cut to fit the stone bases. Chief Industries Start up cost $1,400 Attaching steel to stone bases Ziller Tile Start up cost $1,000 Positioning stone bases in desired locations and leveling Wholesale Stone, LLC Start up cost $100 City License Fee. The city has required the RBID to get a license agreement in the past for the Bike Racks, however they allowed us to group it together instead of having to get one for each location.City of GI Start up cost $11,500 Start up costs 4000 ??? Mounting/welding sculpures on bases. This would be an annual expense. Also need to consider removal of sculptures and repainting the steel plates.Baasch Welding Annual expense $1,500 Marketing and media. Brochures, website development, photography GICVB Annual expense $5,000 For the artist ($500 - $1000 x 10) To each artist for their time and delivery of their work.Artists Annual expense $500 Kick off presentation/ceremony GICVB Annual expense $1,500 Community Foundation fee (5% on donations ran through their organization) ($30,000 x 5%)GGICF Annual expense $500 People's Choice Award Annual expense $1,000 Otocast phone app viewing sculpture description Otocast.com $1,000 Other $1,500 Plaques with the piece name, artist name and sale price.Annual expense $12,500 Annual expenses $11,500 Start up expenses $24,000 Total Grand Island Regular Meeting - 3/9/2022 Page 101 / 103 Committee Structure, Roles and Responsibilities The Sculpture Walk Across Nebraska (SWAN) is a joint effort between the Grand Island Railside Business Improvement District (RBID) and the Norfolk Area Visitors Bureau. This new program is a collaboration that allows selected artists to exhibit in SWAN communities for multiple years. Norfolk is going into their fourth year with a sculpture walk and this will be Grand Island’s first year. Other communities will be encouraged to join this venture in the coming years. The 2022-2023 Sculpture Walk Railside committee: Thomas Ziller Board Member, Railside Business Improvement District Sherry Siwinski Director of the Railside Business Improvement District Brad Mellema Director of the Grand Island Convention and Visitors Bureau Dana Jelinek Grand Island Convention and Visitors Bureau Dave Taylor Director of the Grand Island Area Economic Development Corporation The Sculpture Walk Railside committee is a sub-committee of the Railside Business Improvement District’s Design Committee. The Sculpture Walk committee assumes the responsibility of developing and managing the sculpture walk. The Railside Business Improvement District’s board ultimately assumes the responsibility of approving all aspects of the program, including fundraising, sculpture locations, contracts with the artists and installations. The Grand Island Convention and Visitors Bureau and the Grand Island Area Economic Development Corporation will assist in promoting and marketing the Sculpture Walk Railside and SWAN. Grand Island Regular Meeting - 3/9/2022 Page 102 / 103 SCULPTURE WALK ACROSS NEBRASKA PRESS RELEASE Sculpture Walk Across Nebraska (SWAN) is excited to announce the communities of Norfolk and Grand Island are bringing outdoor art to residents and visitors. The goal is to add art that will inspire, entertain and educate, while providing additional attractions for visitors and community members. This new program is a collaboration that allows selected artists to exhibit in SWAN communities for multiple years. Norfolk is going into their fourth year with a sculpture walk and this will be Grand Island’s first year. Norfolk’s tourism office has facilitated their community’s sculpture for the past three years and recently invited other communities to participate. Grand Island’s Railside Business Improvement District (RBID) accepted the invitation and has been working with Grand Island Tourism and other entities to bring the sculpture walk to the downtown area. RBID board member, Tom Ziller, has taken the lead, identifying potential sites. Traci Jeffrey, with the Norfolk Area Visitors Bureau stated, “It is of value to partner with other communities in hopes that the sculpture walk will benefit both the artists as well as the communities”. Speaking of Norfolk’s partnership with Grand Island, “Since we’re close, it’s an incentive for people to visit both communities. Hopefully we can get some other communities involved and build on it.” Professional and emerging artists are invited to enter up to three works each year, with the deadline to submit entries being November 30. Artists will have the choice of participating in one or both community programs. Selected artists will be notified December 20, with sculpture installation taking place the first week in May. One of SWAN’s priorities will be to market the artists through brochures and maps, made readily available at various venues; plaques with the names of artists, descriptions of pieces and the artists' set prices; publicity at a yearly celebration; and marketing through a dedicated website and social media which are currently being developed. Each selected sculptor will receive a stipend of $500 upon delivery of their completed artwork. The stipend is to be used for artist materials, travel and lodging. If an artist has three sculptures selected, they will receive a stipend of $500 for each selected piece. SWAN community members will be able to sponsor the sculpture walks in their own communities. Part of the sponsorships may be used for various related expenses, including recruiting artists, purchasing bases for the art pieces, or helping to host sculpture walk events. Each sculpture will be available for sale, but will remain on display for that year’s exhibition. Residents and visitors will be invited to participate in the "People's Choice Award" voting for their favorite sculpture. An award of $500 will be presented to the artist of the favorite sculpture. SWAN invites artists to submit up to three applications of their own original sculptures. Applications for each artist is $35 and are due by November 30, 2021. Artists seeking more information may email sculpturewalkne@gmail.com. Grand Island Regular Meeting - 3/9/2022 Page 103 / 103