01/26/2010 Resolutions 2010-28RESOLUTION 2010-28
WHEREAS, the City of Grand Island, Nebraska, a municipal corporation and city ofthe first
class, has determined it be desirable to undertake and carry out urban redevelopment projects in areas
of the City which are determined to be substandard and blighted and in need of redevelopment; and
WHEREAS, the Nebraska Community Development Law, Chapter 18, Article 21, Nebraska
Reissue Revised Statutes of 2007, as amended (the "Act"), prescribes the requirements and
procedures for the planning and implementation of redevelopment projects; and
WHEREAS, the City has previously declared Redevelopment Area No. 1 of the City to be
substandard and blighted and in need of redevelopment pursuant to the Act; and
WHEREAS, the Community Redevelopment Authority of the City of Grand Island, Nebraska
(the "Authority"), has prepared a Redevelopment Plan pursuant to Section 18-2111 of the Act, and
recommended the Redevelopment Plan to the Planning Commission of the City; and
WHEREAS, the Planning Commission of the City reviewed the Redevelopment Plan pursuant
to the Act and submitted its recommendations, to the City, pursuant to Section 18-2114 ofthe Act;
and
WHEREAS, following consideration ofthe recommendations ofthe Authority to the Planning
Commission, the recommendations ofthe Planning Commission to the City, and following the public
hearing with respect to the Redevelopment Plan, the City approved the Plan; and
WHEREAS, there has been presented to the City by the Authority for approval a specific
Redevelopment Project within the Redevelopment Plan and as authorized in the Redevelopment Plan,
such project to be as follows: to install an 8" water line between 9th street and 12th street along the
east side of Poplar Street and necessary water service taps to support existing and anticipated
development. All redevelopment activities will occur in Grand Island, Hall County, Nebraska; and
WHEREAS, the City published notices of a public hearing and mailed notices as required
pursuant to Section 18-2115 of the Act and has, on the date of the Resolution held a public hearing
on the proposal to amend the Redevelopment Plan to include the Redevelopment Project described
above.
NOW, THEREFORE, be it resolved by the City Council of the City of Grand Island,
Nebraska:
Approved as to Form n ~~_
January 25, 2010 Q City Attorney
The Redevelopment Plan of the City approved for Redevelopment Area No. 1 in the city of
Grand Island, Hall County, Nebraska, including the Redevelopment Project described above,
is hereby determined to be feasible and in conformity with the general plan for the
development of the City of Grand Island as a whole and the Redevelopment Plan, including
the Redevelopment Project identified above, is in conformity with the legislative declarations
and determinations set forth in the Act; and it is hereby found and determined that (a) the
redevelopment project in the plan would not be economically feasible without the use oftax-
increment financing, (b) the redevelopment project would not occur in the community
redevelopment area without the use oftax-increment financing, and (c) the costs and benefits
of the redevelopment 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 by the City and have been found to be in the long-term best interest of the
community impacted by the redevelopment project.
2. Approval of the Redevelopment Plan is hereby ratified and reaf~med, as amended by this
Resolution, and the Authority is hereby directed to implement the Redevelopment Plan in
accordance with the Act.
3. Pursuant to Section 18-2147 of the Act, ad valorem taxes levied upon real property in the
Redevelopment Project , to wit:
• That part of County Subdivision in the W '/z of Section 10, Township 11 North, Range
9 west of the 6`h P.M. south of 12`h Street and 137' east of the Poplar Street right of
way.
• Lots 8-14 of Block 2 of Pleasant Hill Addition to the City of Grand Island
• Lots 7-15 of Block 6 of Pleasant Hill Addition to the City of Grand Island
• Lots 1 and 2 of Ngorski Subdivision
• Lots 1-7 of Block 3 of Pleasant Hill Addition to the City of Grand Island
• Lots 1-12 of Block 6 of Pleasant Hill Addition to the City of Grand Island
• All public right of way adjacent to the properties identified above all in the City of
Grand Island, Hall County, Nebraska,
shall be divided, for a period not to exceed 15 years after the effective date of this provision,
which effective date shall be January 1, 2011 as follows:
a. That proportion 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 (as
defined in the Act) 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 proportion of the ad valorem tax on real property in the Redevelopment Project
in excess of such amount, if any, shall be allocated to, is pledged to, and, when
collected, paid into a special fund ofthe Authority to pay the principal of, the interest
on, and any premiums due in connection with the bonds, loans, notes or advances of
money to, or indebtedness incurred by, whether funded, refunded, assumed, or
otherwise, such Authority for financing or refinancing, in whole or in part, such
-2-
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.
c. The Mayor and City Clerk are authorized and directed to execute and file with the
Treasurer and Assessor of Hall County, Nebraska, a Notice to Divide Tax for
Community Redevelopment Project as to the property described above.
4. The City hereby finds and determines that the proposed land uses and building requirements in
the Redevelopment Area are designed with the general purposes of accomplishing, in
accordance with the general plan for development 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 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 a
healthful and convenient distribution ofpopulation, the provision of adequate transportation,
water, sewerage, and other public utilities, schools, parks, recreation 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 unsanitary or
unsafe dwelling accommodations, or conditions ofblight.
5. The Mayor and Clerk are authorized to enter into agreements with the Community
Redevelopment Authority for the installation of water mains and related improvements as
described in the Redevelopment Plan Amendment.
Adopted by the City Council of the City of Grand Island, Nebraska, January 26, 2010.
Margare ornady, Mayor
Attest:
RaNae Edwards, City Clerk
-3-
Redevelopment Plan Amendment
Grand Island CRA Area #1
2009
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 CONSTRUCTION OF AN 8" WATER MAIN BETWEEN 9TH STREET AND
12TH STREET ALONG THE EAST SIDE OF POPLAR STREET AND NECESSARY
WATER SERVICE TAPS TO SUPPORT EXISTING AND ANTICIPATED
DEVELOPMENT.
The extension of the water line will allow for the development of four to seven single
family residential lots adjoining the water line. The current intended use of the property
is for development of Habitat for Humanity homes.
Development of the residential lots is impeded by the lack of potable water infrastructure.
The redevelopment plan provides for the water line installation, which in turn allows for
development of the residential, lots.
The installation is to be made by the City of Grand Island in accordance with its current
bidding procedures. The Grand Island Community Redevelopment Authority (CRA)
intends to finance this infrastructure improvement by advancing the funds for the
infrastructure cost and obtaining repayment capturing the increase in real property ad
valorem taxes on the property described herein. The increase in ad valorem taxes
generated over the 15 year period beginning January 1, 2011 is intended to reimburse the
CRA for its fund advance.
Description Of The Real Property On Which Tax Increment Will Be Captured:
Property Description (the "Redevelopment Project Area")
TAX INCREMENT FINANCING TO PAY FOR THE WATER LINE WILL COME
FROM THE FOLLOWING REAL PROPERTY:
This property is located between 9th Street and 12th Street along Poplar Street in northeast
Grand Island including:
• That part of County Subdivision in the W t/z of Section 10, Township 11 North,
Range 9 west ofthe 6th P.M. south of 12th Street and 137' east ofthe Poplar Street
right of way.
• Lots 8-14 of Block 2 of Pleasant Hill Addition to the City of Grand Island
• Lots 7-15 of Block 6 of Pleasant Hill Addition to the City of Grand Island
• Lots 1 and 2 of Ngorski Subdivision
• Lots 1-7 of Block 3 of Pleasant Hill Addition to the City of Grand Island
• Lots 1-12 of Block 6 of Pleasant Hill Addition to the City of Grand Island
• All public right of way adjacent to the properties identified above.
See Attachment #1 for map ofboundary oftax increment capture and for Habitat for
Humanity lots.
The tax increment will be captured for the tax years the payments for which become
delinquent in years 2012 through 2025, inclusive.
The real property ad valorem taxes on the current valuation will continue to be paid to the
normal taxing entities. The largest increase will come from the new housing on the lots
that benefit from the new water line.
Statutory Pledge of Taxes.
Pursuant to Section 18-2147 of the Act, any ad valorem tax levied upon real property in
the Redevelopment Project Area shall be divided, for the period not to exceed 15 years
after the effective date of the provision, which effective date shall be January 1, 2011.
a. That portion of the ad valorem tax which is produced by levy at the rate
fixed each year by or for each public body upon the redevelopment project valuation shall
be paid into the funds, of each such public body in the same proportion as all other taxes
collected by or for the bodies; and
b. That portion of the ad valorem tax on real property in the
redevelopment project in excess of such amount, if any, shall be allocated to and, when
collected, paid into a special fund of the Authority to pay the principal of; the interest on,
and any premiums due in connection with the bonds, loans, notes, or advances on money
to, or indebtedness incurred by, whether funded, refunded, assumed, or otherwise, such
Authority for financing or refinancing, in whole or in part, a redevelopment project.
When such bonds, loans, notes, advances of money, or indebtedness including interest
and premium due have been paid, the Authority shall so notify the County Assessor and
County Treasurer and all ad valorem taxes upon real property in such redevelopment
project shall be paid into the funds of the respective public bodies.
Pursuant to Section 18-2150 of the Act, the ad valorem tax so divided is hereby pledged
to the repayment of loans or advances of money, or the incurring of any indebtedness,
whether funded, refunded, assumed, or otherwise, by the CRA to finance or refinance, in
whole or in part, the redevelopment project, including the payment of the principal of,
premium, if any, and interest on such bonds, loans, notes, advances, or indebtedness.
Redevelopment Plan Amendment Complies with the Act:
The Community Development Law requires that a Redevelopment Plan and Project
consider and comply with a number of requirements. This Plan Amendment meets the
statutory qualifications as set forth below.
1. Project must be in an area declared blighted and substandard. [§18-2109]
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 for
installation of necessary infrastructure allowing for development of residential lots.
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.
b. Demolition and Removal of Structures: The project to be implemented with this
plan does not intend that any structures be removed or demolished. This amendment
does not prohibit demolition elsewhere in the Redevelopment Project Area.
c. Future Land Use Plan: See the attached map (Figure # 1) as reproduced from the
2004 Grand Island Comprehensive Plan as amended. These properties and all adjacent
property are planned for low to medium density residential development typically R1, R2
and R3 zoning districts. [§ 18-2103(b) and § 18-2111 ] The attached map also is an
accurate site plan of the area after redevelopment. [§ 18-2111(5)]
d. Changes to zoning, street layouts and grades or building codes or ordinances or
other Planning changes. The area is zoned R2- Low Density Residential zone.
Residential development is anticipated based on 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 R2 zoning district allows for 6000 square
foot lots with a minimum width of 50 feet, allowable lot coverage of 35%, maximum
building height of 35' and a density of 1 dwelling unit per 6000 square feet of property.
Along this 2 block stretch there are 11 single family dwellings, one duplex and one four-
plex. The existing land use of the area is shown on Figure #2. There are 12 vacant lots
that could be replatted into a maximum of 7 lots that meet the size requirements for single
family development in the R2 zone. [§18-2103(b) and §18-2111]. The proposed lot
layout for the Habitat for Humanity lots is attached as Figure #3. Four lots each
approximately 125' by 59 feet will be located west of Poplar Street and north of 11th
Street.
f. Additional Public Facilities or Utilities. Sewer is available to support this
development. Additional water services would be installed with the water main project.
New sewer services maybe needed to support the additional development.
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 amendment does not
provide for acquisition of any residences and therefore, no relocation is contemplated.
[§18-2103.02]
5. Conflicts of interest by an Authority Member must be disclosed. No member of
the Authority, nor any employee thereof holds any interest in any property in the
__
Redevelopment Project Area. [§ 18-2106]
6. 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 Authority shall use general funds on hand
to pay for plan preparation and legal fees in the estimated amount of $5,000.00; the
estimated sum of $130,000 for water line installation and engineering; and the sum of
$1,000 for cost reimbursement for the office of the City Treasurer for accounting. These
funds will be repaid from the Tax Increment Revenues generated from the project. No
property will be transferred to redevelopers.
b. Statement of proposed method of financing the redevelopment project.
The Authority shall issue its promissory note in the amount of $136,000 to bear interest at
the rate of 4% per annum. The note shall be held by the Authority in compensation for
general funds advanced to pay for the redevelopment plan and project. The note shall be
repaid from the Tax Increment Revenues generated from the Redevelopment Project
Area from and after January 1, 2011 through December 2025.
c. Statement of feasible method of relocating displaced families.
No families will be displaced as a result of this plan.
7. Statutory consideration prior to recommending a redevelopment Plan. 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, in
that it will allow for the utilization of undeveloped residential lots. The only conceivable
impact as a result of the proposed project is the creation of 7 more single family
residences. This will impact traffic on Poplar streets. Development of new housing will
raise property values and provide a stimulus to keep surrounding properties properly
maintained. This will have the intended result of preventing recurring elements of unsafe
dwellings and blighting conditions.
8. Time Frame for Development. Development of this project is anticipated to be
completed during the 2010 and 2011 calendar years. The base tax year should be
calculated on the value of the property as of January 1, 2010. Excess valuation should be
available for this project for 15 years beginning with the 2011 tax year.
9. Justification of Project. Properties along Poplar Street will need the water line to
develop. This is infill development in an area with all city services except water. Water
is available and can be extended to serve these lots. Public right-of--way is available for
the location of the line. No additional property either through easement or fee purchase is
expected to be necessary to install the line. At least 4 undeveloped lots that do not have
water service will be made available. Grand Island Area Habitat for Humanity is
proposing to build 4 houses in this area. At least two and maybe three additional lots will
be made developable by this project as well. All of the houses along the street will have
the opportunity to connect to city water.
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.
(a) Tax shifts resulting from the approval of the use of Tax Increment
Financing;
The redevelopment project area currently has an estimated valuation of $1,115,071.
Once the water line is installed, the Authority believes that an additional 4 to 7 homes
will be built as a result of Habitat for Humanity projects in 2010. This will result in 4 to
7 current families placing houses on the tax rolls. These families already utilize tax
services in the city and county. Therefore no tax shifts will result from the project. The
project creates additional valuation that will support taxing entities long after the water
line is paid.
(b) Public infrastructure and community public service needs impacts and local
tax impacts arising from the approval of the redevelopment project;
This plan provides for a new water line that will be paid from Tax Increment
Revenues that will increase as a result of the project. No additional public service needs
have been identified.
(c) Impacts on employers and employees of firms locating or expanding within
the boundaries of the area of the redevelopment project;
No impact on employers or employees will occur in the Redevelopment Project Area
as a result of this plan amendment.
(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
No impact on employers or employees should occur outside the boundaries of the
Redevelopment Project Area as a result of this plan amendment.
(e) Any other impacts determined by the authority to be relevant to the
consideration of costs and benefits arising from the redevelopment project.
No other impacts have been identified as relevant by the Authority.
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3urveKors Cer1/flcate
I hereby cerl!/y Thal on July 31, 7009, I completed on occuro/e survey of
'SUSAN WIfSE SUBDIVISION; !n the C!ty a/ Crond Island, Nebrosko, os shown on
the accompanying plot lhereo!,• Ihol the to/s, blocks, slree/s, avenues, alleys, parks,
commons and other grounds os canbined In sold subdivision as shown on the
occompony/ng plot lhereo/ are well and accurofety slaked o/l and morked,• Thal
/ron markers were placed al ol/ lot cornea; lha/ /he dlmens/ores o/ each lot ore
os shown on the plo% lhol each lot bean !G awn number, and Thal sold survey
was mode wllh a/erence la known and recorded manumenls.
3~R~~ s~~
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A~provel
Approved and accepted by the City o/ Crand Island, Nebrosko, lhls_(~x day
of (1w.L... 2009. l~~/~/C~
Plana! Olrec o
~ ~ ~.
Dedlcetlon
KNOW ALL NfN BY THESE PRESENTS, lhol A(ICIA HAUSSLER and flVf POINTS
BANK, Co-Truslees o/ the Hugo C. W/ese Rerocoble Tiusl and the Susan C. W/ese
Revornbla Tiusl, being the owners of IAe land descAbed hereon, have caused some
to be surveyed, subdlvlded, plalled and deslgnoled as SUSAN WlfSf SUBDIVISION' In
the C!ty c/ Grand Island, Nebrosko, as shown on the accompanying plo/ lhereo%
and do hereby dedlcale the easements, !/ any, os shown !hereon /or the locallon,
conslruclion and malnlenonce o/ public ssrvlce ulllfNes, lagelher w!lh /he r/ghl oT
Ingress and egress /herela, and hereby proAi6!/!ng /he plonling of /rees, bushes
and shrubs, or plocing other obslrucllans upon, over, along or underneath the
aur/oce o/ such wsemenls; and lhal the /orogoing subdlvlsion os more porllcularly
described In the descNpllon hereon os oppeoa on 7hls plot is mode w!lh The /ree
consent and In accordance with the desires o! the undorslgned owners and
propdeloa.
IN Wl1NESS WHEREOF, we hove a/llxed our slgnolures herela, al Grand lsbnJ,
Nebrosk/no,~~AIhfs_(.~L_day o,%7.~cf~~, 1009. lea
I,UCiC ' C a..aoQav BY~ ~~7k~L~7 ~ ~Ta
d>Ro ouss er, o-TiusTe flue o n s man , o- rus ee
Acknowledgement-
Slo/e 0/ Nebraska ss
County 0/ Nol%e//~~ ,^,,,,' __ LL n~1 ~ ~. `~
On Ihe~doy of ~t~Cl10 CR„ 2009, be/ore me,. °dGWI
o Nol~a,{Y Public w! 1 d Tar sold County, personalty oppeorad ACICIA HAUSSLER
and K/6A2/~ ~~~for FIVE POINTS BANK, Ca-Truslees o/ the Hugo G Wlesa
Revocable Trust and the Susan L. Wiese Revocable Trust, and 1a me personally
known to be the Ideal/cal penans whose algnolures ore oTTlxed hereto, and lhol
each d!d acknowledge the execul/on lhereo/ to be h!s or her rolunlory act and
dead.
IN WITNESS WHCRCOF, I hove hereunto subacrlbed my name and oT/lxed my
o//fclal seal al Grond lsbnd Ne6roska, on the dale lost above wrfllen.
Aty cammiss/on expfres_I~O[P- 20 /O-,
~a-~~ (Seal!
wo.i
SUSAN W/ESE SUBDIVISION
IN THE CITY OF GRAND ISLAND, NEBRASKA
ROCMWf[l ANO ASSOC. I.LG - ENC/NE ERINC A SURYC YINC - CRANO /S LANB, N[BRASxA Shlel lb.JOl1
Figure 3