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HomeMy WebLinkAboutEconomic Advisory Commission - Minutes - 07/20/2016MINUTES CITY OF FORT COLLINS ECONOMIC ADVISORY COMMISSION Date: Wednesday, July 20, 2016 Location: CIC Room, City Hall, 300 Laporte Ave. Time: 11:00am–1:30pm For Reference Wade Troxell, Mayor & Council Liaison Josh Birks, Staff Liaison 221-6324 Dianne Tjalkens, Minutes 221-6734 Commission Members Present Commission Members Absent Sam Solt, Chair Denny Otsuga Ted Settle Kristin Owens Glen Colton (11:42) Linda Stanley Alan Curtis (via phone) Ann Hutchison Craig Mueller Staff Present Staff Absent Dianne Tjalkens, Admin/Board Support Josh Birks, Economic Health Director Patrick Rowe, Redevelopment Coordinator/Substitute Staff Liaison Meaghan Overton, Associate Planner Guests Dale Adamy Meeting called to order at 11:07am Review and Approval of Minutes: June minutes approved as presented. Corrections: Request to spell out acronyms in future minutes. Agenda Review—Met with Mayor Troxell yesterday for clarifications. Will discuss in member updates. Public Comment—None Commission Member/Staff Updates— 1. Ted: Working with CSU on designation as innovation and economic prosperity institution—going after an award in next phase. 2. Sam: He and Ted met with Mayor Troxell to clarify last month’s discussion on the economic growth issue. Bottom line is that when talk about growth should be discussing beginning, middle and end of the growth, rather than growth in general. Focus on economics. a. His opinion. He is liaison, we advise Council. They do not have to accept the advice. Unless violating charge, can have discussions that want to have. b. Population growth and economic growth are tied together. High correlation. 1 | Page c. Issue book can focus on economic nexus with population growth. d. Population growth follows economic growth. e. Comcast coming will attract people. f. Depends on the community. People come for quality of life. Complex. 3. Patrick: Redevelopment coordinator. 12 years with City, with Economic Health Office since January. Previously in real estate—acquisition for capital improvements projects. Assisting with brownfield assessment project. 4. Ted: Presented chart: Engagement on Economic Topics (personal satisfaction)—Previously commission was getting presentations on projects from staff and making recommendations. Can continue to do this, or one of other options: select an issue, define economic health and comment on economic activity; or raise LT issues, and propose and issue book and process. Can move along continuum as issues evolve. a. Have struggled since started EAC to talk about what the commission can do. Have charter, but many opinions on what is relevant. b. Not here to be personally satisfied, not why we are here; this is a job/responsibility. Longitudinal line shows value. See this more as a level of activity we are tasked to do—left is least involvement, and right is most involvement. c. Satisfaction is related to engagement and impact members feel they are having. When review presentations and take action, can have an impact. When select an issue (like Comcast memo) can have impact. When get into higher level, less likely will be heard, but would like to try. Choose agenda wisely; have to accept presentations on projects and give recommendations. d. Important to realize do not operate in a vacuum. When take on an issue book, impacting City staff—not free, not easy, requires time and resources. For commission to decide that is what it will do is short sited in our role. i. Josh has been involved. ii. $100K process. iii. Josh doesn’t have final approval to do it. iv. Don’t need City approval—own research. 1. We are a City commission. e. Concerned that trying to come up with reason for existence. Focus on job of providing feedback to Council on items coming out of EHO. Missing our opportunity to be impactful and what charter is asking us to do. i. Take on topic, discuss in meeting and make recommendation to Council. f. We listen and check-mark, as an obligation, but unless the content of the meetings are interesting, may not be engaged. g. Want to be impactful at local level. Like ideas of reacting to presentations in small group. Open to investing more time to seek feedback in the community. 5. Ted: Issue Book—Idea of how the City could move forward on the right kind of economic growth. Discussed many perspectives. Book envisioning is something we would suggest, but not do. Some expertise at CSU. Steps: Josh meets with CSU to explore interest/costs, develop proposal, etc. Book as foundation for conversation that feeds into City plan process. Mayor Troxell was attracted to engagement piece. Research would flesh out choices and consequences. a. Get on same page around pros and cons, what the research shows, etc. Big outreach might not get results we want. b. Determine what we’re trying to do with the document before deciding what the document should look like. Concerned that beyond our scope. c. Determine how to use what we’ve already done. Bite off small amounts that are more likely to be impactful. d. There is no existing depository for the discussion of economic growth and how it evolves within our Growth Management Area. There is need to have traction. e. Should be explored in more details—benefits, fit into City plans, etc. Ted moved to explore Issue Book in more detail and come back to commission with fleshed out proposal. Linda seconded. Motion passed, 5-0-0. No’s and abstentions were not requested. 2 | Page AGENDA ITEM 1— Memo to Council on Comcast Expansion—Ted Settle Ted drafted memo to Council. Discussion/Q & A: • Members suggested edits. Ted recorded. • Good message to be sending to Council that really believe in triple bottom line. Negative impacts of this project outweigh economic benefits. • Well written, and perfect example of what this commission should be doing. For additional impact, can have a commission member read at a Council meeting. • Josh has noted that two of the bullets are referring to work he is already engaged in. o Suggest revising language. • These projects are often kept in confidence by the state. Glen moved to approve the memo as amended. Kristin seconded. Motion passed unanimously, 7-0-0. ACTION ITEMS: Ted requests members email additional edits/comments. AGENDA ITEM 2—Conflict of Interest—Sam Solt Denny may have a conflict of interest as one of the projects he is working on has received a stipend from the Economic Health Office. Discussion/Q & A: • Okay to have a conflict so long as it is disclosed. Was decided last night at Council. • Denny didn’t vote on that issue or speak in favor of it. AGENDA ITEM 3— Midtown Business Improvement District— Patrick Rowe Group currently petitioning for business improvement district in Midtown. Quasi-governmental entity formed by Council that can fund any public improvements, provide services (events, programming), and do branding/marketing. Only commercial properties are able to be assessed. Self-funded (no City funds) through special assessment or commercial property mil levy. They can also issue bonds. This issue will go before Council. Has some positive benefits and does not use City resources. Three steps: 1. Initiated by petition—must have 50% of proposed district by acreage and 50% by assessed value voting in favor (first reading, July 26) 2. Public hearing—municipal ordinance (August 16) 3. TABOR (tax payers bill of rights) election—to raise the tax (Oct/Nov) Will not have power of eminent domain; can acquire property; can exist in perpetuity, but more likely to be term limited (10 years in operating plan); properties can come in and out of district as status changes. Properties included are along East Foothills Parkway and fronting College between Prospect and Harmony. Paying on frontage assessment of $10/linear foot. Anticipate raising $300K/year. Assessment can only increase up to limit set by CPI. Purpose is to take leadership role, and provide support and advocacy on issues critical to the area. Will take responsibility for place-making, maintenance, branding, events, and work with City on shared goals. Governance group (South Fort Collins Business Association) has recommended nine board members. First business improvement district in Fort Collins. Transitioning away from auto-centric uses of the area—this group is being responsive to changes. If approved will hire executive director then additional staff. Discussion/Q & A: • If housing changes to commercial can be included in district? o If commercial property that turns residential, will be excluded. No residential properties in the district. o Ann has been part of planning team relative to the bid. Anyone who is outside of the boundary can opt in voluntarily after the fact. 3 | Page  Can petition selves in. Legal process. Could also have membership basis for businesses to voluntarily participate, not just property owners. Could be benefits to businesses. • Hope that the SFCBA is open to a diverse board. Does not sound as though the process thus far has been open. o Formation group was interested in seeing people who have been active in the process being selected. Challenge in that taxing themselves, but they also want to be inclusive of all types of businesses in the district. Inclusive within variety of business interests. Got feedback from Council on being more inclusive. o Every SFCBA meeting over last year has had invitation to join. Open door invitation on the table. • Have seen success with DDA (Downtown Development Authority), URA (Urban Renewal Authority), etc. SFCBA recognizes challenges of these types of organizations. Putting in place maintenance for larger area. • Difference between this and DBA (Downtown Business Association)? o Downtown Business Association is a similar association to NFCBA (North Fort Collins Business Association) and SFCBA (South Fort Collins Business Association). No state statute power; in terms of function can do similar things. o DDA manages general improvement district and collects taxes. DBA does not.  Similar to homeowners association. • How does this relate to the midtown URA? o URA is using tax increment financing. o Confusing that there are two entities.  Two tax increment financing districts: Prospect south to Whole Foods and the mall property. For the mall there won’t be any further activity other than collecting the tax increment and servicing the debt. Different functions. URA is meant to remediate blight (state statutes define blight). It’s a tool for development-challenged areas. North College and the mall are great examples of URAs at work.  City has focused TIF financing to pay for infrastructure demands. Ex: tunnel to allow taking Max to the mall. The improvement district is for signage, beautification, festivals, etc. • URA investment to mall was ~$50M. • District being formed won’t impact cost to consumer? o $1800 on average per property. Cannot speculate on recuperation. Purpose is to create additional business activity in the corridor. Investment is offset by results. • Doesn’t preclude them from, for example, saying need another turning lane and coming to the City with an ask. Could be a legitimate political arm. o Assume they will advocate for items that benefit this corridor. o Theory behind creating bid was to leverage opportunities coming forward. Having hard time applying for grants.  Collective bargaining unit (CBU). • What does the commission feel about the idea of a bid? Fantastic opportunity for businesses to share resources and leverage opportunity without tax increment financing (impact on others). o What is downside?  Those who don’t vote for it, but have to pay for it.  Any time have an appointed board have taxation without representation. A group is deciding who will make decisions. No oversight from elected officials. Appointed persons may act out of special interests. Consolidation of power and/or activities. Form of governance is a problem.  List is of longstanding members and mostly men. What about new blood, who may have innovative ideas and know more about social media? Group is not representational. o How do elections run after the district is formed?  Staggered two and three year terms and will be elections after initial appointment.  Make comment in recommendation that would like to see election of board member to ensure diverse representation is achieved. 4 | Page • SFCBA will continue to operate as a separate entity. Craig moved to approve Ann to draft a memo based on commission input. Commission will provide input via email; Ann will finalize and send to staff. Sam seconded. Motion passed unanimously, 7-0-0. ACTION ITEMS: Ann will draft memo and send to group for additional input. AGENDA ITEM 4—Downtown Plan: Market & Economy Action Plan— Meaghan Overton 20 year plan, with 5-year interim updates. Plan is split into topic areas; each has a working group with stakeholders and City staff. Meaghan is leading Market and Economy working group. Plan will guide how downtown develops, desired character, priority programs and policies, etc. Identifying character districts. Will be taking completed draft plan to boards and commissions. Anticipate adoption in fall. Vision is to see that strength of downtown economy continues. For policy, have four principles: 1. Strengthen business mix downtown 2. Create sustainable funding sources. (DBA is considering forming a business improvement district; DDA will lose ability to collect TIF in 2031. 3. Address barriers and manage redevelopment. 4. Ensure adequate, accessible, appropriate parking. Will return to board with completed draft plan. Discussion/Q & A: • Downtown as the economic engine for the region? o Visitors come from as far as Cheyenne. Destination. Vision statement for the next 20 years. o Not sure we want downtown to be the economic engine. Want to keep uniqueness and quaintness.  One of tensions. Balancing the character being what draws visitors.  So crowded already. Getting harder to go to Lincoln Center, downtown for dinner.  Can update language of vision. o Includes Woodward, breweries, Engines Lab, etc.  Intentionally captured larger area. Similar to DDA boundary. o Many commercial buildings along Mulberry. A lot of residential, but moving toward commercial.  Old town neighborhoods plan covers adjacent residential areas. • Some people say we put too much emphasis in downtown. What investment is going into other areas? o Funding/public investment in downtown is from general improvement district and TIF. Some parts of downtown need infrastructure improvements if want to see expansion of development beyond core of downtown. General improvement district boundary is fairly small. Could expand to build sidewalks, bike lanes, etc. in innovation district. Managing investment throughout town will be discussed in City Plan—making sure not too much pressure in downtown and that other areas getting what they need. o Downtown seems extensive already—DDA funding goes toward facades, businesses, etc. should more be going toward public improvements?  Want to ensure funding is equitably distributed.  Move toward more private investment for improvements? • Housing stock—concerns around affordable housing. If have vibrant downtown, how do you continue to have affordable housing? o Consulting Affordable Housing Strategic Plan. Making sure developers can economically build housing, such as making smaller units that can be rented for less per unit. o In many ways it costs more to build downtown due to barriers in place. How do we reduce barriers, like easement requirements? When does code conflict with reality of space, and adds to overall cost of a project? Can there be flexibility to encourage a more flexible product. o A huge challenge. Hard to incentivize buildings creating smaller/less expensive units. o When completed AHSP, rejected inclusionary zoning that would require a developer to set aside a certain number of units for low income. 5 | Page  In Boulder, if build project can include housing units or write a check (fee in lieu). City is supposed to then build the housing.  As see more severe affordability issues, will probably revisit this solution. Biggest tool in the tool box for many cities. • Looks like trying to get more employment, housing, etc. in this area. Increasing density. If increasing employment, those people have to live somewhere. If don’t want in-commuting, may not want big employment downtown; must maintain appropriate mix of employment and housing. o Jobs/housing balance is very important. In downtown there are 17 jobs for each housing unit. If can get better balance, can have positive impacts on traffic, parking, etc. Looking at quality of life impacts as well. Issue for all of Fort Collins, not just downtown. Meeting Adjourned: 1:34pm Next Meeting: August 17 6 | Page