HomeMy WebLinkAboutDowntown Development Authority - Minutes - 05/07/1987ddoDANTOWN
DEVELOPMENT
AUTHORITY
102 REMINGTON STREET, FORT COLLINS, COLORADO 80524
Regular Directors Meeting
May 7, 1987
•
The Board of Directors of the Downtown Development Authority met in
regular session at 7:30 a.m., May 7, 1987 in the DDA Conference room.
There were present:
George Betz, Chairman presiding
Barbara Schofield
Eldon Ward
Chuck Wanner
Lucia Liley
Jeanne Abdelnour
Earl Wilkinson
Bill Friedrichsen
Loren Maxey
Staff:
Also:
Chip Steiner, Executive Director
Jan Martin
Alan Krcmarik
Kay Rios
Greg Denton
Bill Starke
Joe Lewandowski
Dave Herrera
David Bailey
Chuck Mabry
Ed Baldwin
Linda Hopkins
Jo -an Barnett
Chairman George Betz called the meeting to order and asked for
approval of the minutes of April 7, 1987. Earl Wilkinson moved for
approval seconded by Barbara Schofield.
The first item discussed was the property at 185 N. College (Small
Wonder). There were two parts to this item: report from legal
counsel and sale of the property. Under legal counsel, Greg Denton
stated that back taxes are due on the property and he has been working
with Mr. Hawley to resolve this problem. Mr. Denton also reported
that Mr. Hawley has gotten the business back and has been operating it
without a lease. However, Mr. Denton has drawn up a lease agreement
between the DDA and Mr. Hawley whereby the lease payment will be $550
per month and back rent will be paid on March and April. Discussion
followed. Ms. Schofield asked Mr. Denton if it was clear to Mr.
Hawley that the property must be kept up (weeds, no broken down cars
etc.) and Mr. Denton replied that it was.
Y Y'
(303) 484-2020
PRESENT
MINUTES
185 N. COLLEGE
LEGAL ISSUES
The second part to this item was sale of the property. Mr. Steiner
stated that the original plan was to acquire property, have eastbound
LaPorte vacated, and sell property for redevelopment. The money from
the sale would cover the shortfall for debt service. However, the
City lacks funds to reconstruct LaPorte/College intersection at this
time, which makes the sale of the existing property difficult. Staff
is seeking advice and direction of the Board on how to proceed,
especially if this property is not sold. Discussion followed. It was
suggested that the Mason Street Parking lot property could still be
sold. Earl Wilkinson stated that it would be important to maintain
Mason Street lot as a parking lot since the area needs that parking --
for that reason he was hesitant to sell the property because it was
unlikely anyone would buy the land and keep it for parking. He
suggested that the Parking Commission could buy the lot and that the
DDA should make this recommendation to City Council.
At this point Loren Maxey, City Council representative to the DDA, was
introduced. He stated that the Council was in the process of combining
boards and commissions, and that one of the discussions involved
combining the DDA and Parking Commission. Mr. Maxey stated that the
informal feeling from Council was that this combination was
appropriate and should proceed as quickly as possible. Discussion
followed. Earl Wilkinson asked if it was appropriate to appoint a DDA
liaison to work with Council and legal counsel on how to mesh the two.
Chairman George Betz reminded the Board that two separate items were
being dealt with --and that the immediate need was the sale of the
property. Mr. Steiner stated that the DDA could wait 2-4 weeks to see
what impact the refunding of the bonds would have on the debt
service. Earl Wilkinson moved that the DDA request Loren Maxey to move
ahead with City purchase of Mason Street parking lot, with funds
available, at his discretion. Lucia Liley seconded the motion.
Discussion followed. A roll call vote was taken and the motion passed
unanimously, with the exception of Loren Maxey who abstained.
Mr. Betz asked for liaison volunteers to work on combining DDA and
Parking Commission --Eldon Ward and George Betz will be the liaisons.
The conversation then reverted back to the property at 185 North
College. Chip Steiner asked if the DDA sold the property with the
promise that the intersection would be reconstructed, would it be
agreeable to state that tax increment could go to the reconstruction?
Discussion followed. It was decided that this item needed to be
worked on.
The next item discussed was the Major Motors building. Lucia Liley
withdrew from this discussion. Mr. Steiner gave the background: as
part of the agreement with Historical Opera House, $5,000 of project
tax increment was to be used by the Housing Authority for renovation of
the 2nd floor of Major Motors Building. In order to provide a place
for some of the displaced tenants of the Opera House project, the
Housing Authority had to proceed with the renovation. According to
the agreement on Opera House, no funds would be spent by the DDA until
taxes on completed project were certified. This presents a problem to
the Housing Authority which has already done its work and would like
the money now. Mr. Steiner stated that the DDA can:
SALE OF PROPERTY
MASON STREET LOT
COMBINE DDA
PARKING COMMISSION
MOTION
ROLL CALL
VOTE
MAJOR MOTORS
BUILDING/HOUSING
AUTHORITY
LUCIA LILEY
WITHDRAWS
2
0
1. Take money from O&M and reimburse;
2. Wait for completed refunding and new money;
3. Re —appropriate certain funds in capital project.
Mr. Steiner further stated that the DDA must have an additional
agreement with Historical Opera House to reimburse the DDA if the
project fails to proceed or is not completed. If the project is done,
the DDA reduces total expenditure on project by $5,000. Discussion
followed. Eldon Ward stated that the DDA made a commitment, and that
the Housing Authority did a great job. Mr. Ward moved that the DDA
take appropriate action to reimburse the Housing Authority for the
Major Motors renovation as quickly as possible, and sign an additional
agreement with Historical Opera House to insure reimbursement of the
$5,000 to the DDA. Jeanne Abdelnour seconded the motion. A roll call
vote was taken and the motion passed unanimously.
The next item discussed was Remington Place, the congregate care
facility proposed for the 200 block of Remington Street. The project
will consist of 156 residential units of senior housing and has P & Z
approval. Mr. Ed Baldwin was introduced as construction manager and
representative for the developer, and then gave a brief presentation
of the project. Mr. Steiner then presented the options available to
the board:
Project has been plugged in to cashflows with entire increment
flowing to debt service. The DDA can:
1. Leave as is;
2. Participate--$34,000 of increment would finance about
$260,000 in improvements.
The risks: Leave as is--DDA may capture no increment;
Participate --means shortfall beginning 1994
Mr. Steiner informed the Board that City Manager Steve Burkett wants a
financial analyst to study the project to determine the "need" of DDA
participation. Discussion followed. Earl Wilkinson stated he had a
problem hiring consultant to determine the need --the DDA needs to be
able to make the decision. Barbara Schofield asked about the
developer's financing. Mr. Baldwin stated that it is not committed
yet. Ms. Schofield suggested that the DDA send the message that it is
pleased and hope that the developer moves forward --when financing is
in place, come back to the DDA and a better judgement can be made.
The rest of the board agreed with Ms. Schofield and stated that they
were interested in the project. The board directed staff to continue
working with the developer on this project.
Lucia Liley returned to the meeting.
The next item discussed was the funding of a market analysis for
additional downtown retail. Mr. Steiner suggested some possible
approaches including:
1. Find an interested property owner willing to pay for the
study.
2. Draft an agreement with Ross of do the study but include a
guarantee that the Authority would recoup the cost.
3. Pay for the study and issue a RFP which would stipulate the
reimbursement of the cost.
MOTION—ELDON
WARD
ROLL CALL
VOTE
CONGREGATE
CARE
LUCIA LILEY
BACK
ROSS CONSULTING/
ADDITIONAL MARKET
STUDY
3
4. Skip the study or do it in—house and follow with an RFP if
appropriate.
5. Drop the idea.
Discussion followed. The Board was split as to whether an additional
analysis was needed. Chairman George Betz suggested this item be
delayed to next meeting --need additional information. Director
Barbara Schofield suggested Mr. Steiner meet with Ross Consulting and
convey the Board's concerns and present the results at the next
meeting.
Under other business, Eldon Ward suggested that the Board might want to
consider having a retreat as soon as the new Board members are
announced.
There being no other business, the meeting was adjourned.
Earl Wilkinson, Secretary
OTHER BUSINESS
RETREAT
ADJOURN
4