HomeMy WebLinkAboutDowntown Development Authority - Minutes - 05/14/2020
DOWNTOWN DEVELOPMENT AUTHORITY
Regular Directors' Meeting
MINUTES of May 14, 2020
The Board of Directors of the Downtown Development Authority met in an Online Session at 7:30 a.m.
on Thursday, May 14, 2020
PRESENT
Chris Aronson; Jenny Bramhall; Susan Gutowsky; Dwight Hall; Rebecca Hill; John Kefalas; Bevin Parker;
Jenny Schultz; Mark Williams; Cheryl Zimlich; Angel Kwiatkowski
ABSENT
N/A
STAFF
Matt Robenalt, Executive Director; Todd Dangerfield, Project Manager; Tom Dent, Technology &
Maintenance Manager; Derek Getto, Project Manager for Policy & Programs; Kristy Klenk, Financial
Coordinator; Bonnie Ward, Administrative Manager; Josh Liley, Legal Counsel
GUESTS
Darin Atteberry, City Manager; Kristin Fritz, Housing Catalyst; Chad Holtzinger, ShopWorks Architecture;
Jennifer Poznanovic, City of Fort Collins, and Diane Jones, Formation Group
CALL TO ORDER
Jenny Schultz called the meeting to order at 7:30 a.m.
APPROVAL OF MINUTES
Chris Aronson moved to approve the minutes of March 12, 2020; seconded by John Kefalas, the minutes
were approved unanimously.
ALL IDEAS: BIG AND SMALL
UPDATES:
Sales Tax Report: Jennifer Poznanovic of City Sales Tax presented a brief summary for March and April
2020 sales tax report that were distributed in the Board packet. She explained that approximately 130
businesses have filed for the Sales Tax Relief Program. They may have filed their sales tax return but may
have not paid their sales tax yet. She highlighted the grocery, liquor and pharmacy category being down
19.8% and that the category is separated differently than the city’s category as a whole. Mr. Robenalt
inquired about what sales tax revenue might look like for the DDA area/College corridor in the future.
Ms. Poznanovic will contact Dave Lenz to provide more detailed information for the DDA corridor for the
June Board meeting.
Susan Gutowsky, Council Liaison 970‐416‐2447
John Kefalas, County Commission Liaison 970‐498‐7001
Jenny Schultz, Board Chair 970‐660‐9028
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City Manager, Darin Atteberry commented that the numbers for the April report are the first two weeks
of COVID‐19 and that we will know a lot more in the June and July months to provide a full impact of
COVID‐19. Mr. Atteberry wanted to commend Mr. Robenalt, the DDA and its Board on their hard work
and corporative partnership with the City. Mr. Robenalt extended his gratitude to the City and specific
departments within the city that work closely with the DDA.
Mr. Atteberry stated that the amount of reductions that will be occurring at the City of Fort Collins are
approximately $23 million to $53 million which represents over 20% reduction in the general fund of the
City’s budget.
Board and staff had conversation regarding their thoughts on the reopening plan and provided feedback
to assess. John Kefalas described the variance waiver request and recommended the DDA submit their
requests regarding extending outside seating to sidewalks and parking spaces within the downtown
area.
DDA UPDATES:
RESOLUTION 2020‐02 DESIGNATING A LOCATION FOR THE POSTING OF PUBLIC MEETING NOTICES
Mr. Robenalt and Josh Liley provided information regarding the DDA website and that it will become
primary location to display DDA Board Public Meeting Notices. Since 1981, the DDA has done physical
postings of their Public Notices at City Hall. Due to the current pandemic, staff and legal counsel
requested the approval of the website as the primary posting location.
Moved by Mark Williams, seconded by Jenny Bramhall: To approve the primary location of posting for
Public Notices to be on the DDA website.
PRESENTATION AND APPROVAL OF 140 E OAK SITE PLAN
Mr. Robenalt gave an overview of the project and its partnership with Housing Catalyst and
acknowledge the firms comprising the Ripley Design (land use consultant), Shopworks Architecture
(architect) and I‐KOTA (general contractor). He stated that despite the past several weeks of shelter‐in‐
place and safer‐at‐home public health directives the project remains on schedule as a result of routine
design team meetings held online. Kristen Fritz, Director of Real Estate at Housing Catalyst provided an
overview of the land entitlement process and various aspects of the project funding sources. A sub‐
committee of the DDA Board and the executive director participated in the naming of the project along
with Housing Catalyst staff and board members. SPARK, the selected name, references the historical
explosion that happened next door in the Robertson Building in the late 1970s and also damaged the
Elks Club Building that was once located at 140 E. Oak. This name was also inspired by the current
partnership between the DDA and Housing Catalyst to advance an important conversation about
increasing building densities in the downtown and the importance of advancing affordable housing for
those working in and near the downtown.
Ms. Fritz presented logistics on the funding source proforma for the project. SPARK is anticipating to
house 78 apartments. This project is utilizing the low‐ income housing tax credit federal Low‐Income
Housing Tax Credit (LIHTC) tool which means the unit rents overall cannot exceed 60% of Area Medium
Income (AMI). There will be a spectrum of units available for residents with incomes ranging between
30% AMI to 80% AMI, with the average being no greater than 60% AMI.
Ms. Fritz provided the contributions to the project and their amounts. Included was the land value of
$2,353,220 that was purchased by the DDA in 2008. As the project is mixed use, the terms for financing
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the qualified affordable apartments units and the ground floor commercial space, which the DDA will
own, will be separated for purposes of applying for LIHTC incentives. It is anticipated that the 4% LIHTC
application could be submitted in September 2020 if the evolving project cost estimates and affordable
housing finance needs do not require additional state tax credits. If state tax credits are required, then
the project team is prepared to submit the dual state and federal tax credit application on August 1. On
September 1, submittal of the tax credit application to the Colorado Housing Authority will occur and it
is anticipated receiving the tax credit award by the end of 2020. Construction is anticipated to begin
around Spring‐Summer 2022, with a construction
Ms. Fritz reviewed the Private Activity Bond (PAB) cap contribution and explained that they are on track
for the application and the proper documents for approval. Both Larimer County and City of Fort Collins
have pledged a PAB allocation to the project, which will assist in underwriting the financing costs of the
project.
Chad Holtzinger of Shopworks Architecture was introduced to present the revised site plan for the
project and an explanation on the early phase design concepts and its evolution. Mr. Holtzinger
provided a thorough description of the site plan, housing specifications, and commercial space. Board
Members provided feedback on the overall design, parking site plan, non‐gender specific restrooms,
patio plan, landscape design and other items that can be considered for the future.
Mr. Holtzinger went on to explain the influence for the colorful concept that will be incorporated into
the exterior design that was influenced by the late Austrian artist and designer, Friedensreich
Hundertwasser. With his use of bright colors and softened lines, Mr. Holtzinger feels this will add life to
the building and complement the contemporary exterior materials. John Kefalas inquired about the use
of solar panels on the building. Mr. Holtzinger expressed that they will be designing infrastructure to
accommodate a large future rooftop array and may install a smaller unit if necessary, to meet energy
conservation requirement of the local code. The Board cohesively expressed their admiration of the
design and its plan, and encouraged the team to continue to advance the concept as presented.
Bevin Parker inquired about a variance to the 6‐story concept. Mr. Holtzinger confirmed a request for
variance is needed and Ms. Fritz said the concept is appearing to be supported after initial conversations
with a number of surrounding building owners. Mr. Robenalt explained the evolution of thought about
how the building design arrived at six stories. It was an exercise of balancing design compatibility,
satisfying parking requirements, physical realities of the site’s development capacity, and financing
needs using the LIHTC program. Chris Aronson provided a suggestion that for future presentations to
include the surrounding buildings to the site plan to show what it would look like in context.
Moved by Cheryl Zimlich, seconded by Chris Aronson: To approve the Intergovernmental Agreement
with Housing Catalyst.
LLC OPERATING AGREEMENT AND WARRANTY DEED REGARDING REDEVELOPMENT OF 140 EAST OAK
STREET
Mr. Robenalt asked to hold action on the warranty deed due to last minute input from the tax credit
attorney which needs more time for review.
Mr. Robenalt and legal counsel, Josh Liley provided an overview of the importance of the approval of the
operating agreement in order to finalize the LLC Operating Agreement. This agreement will establish FC
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DDA, LLC, as a single‐member, member‐managed limited liability company, which in simple terms
means that FC DDA, LLC, will be solely owned by the DDA and solely controlled by the Board. As set forth
in the operating agreement, the lone purpose of FC DDA, LLC, is to own and manage 140 East Oak
Street.
Moved by Mark Williams, seconded by Susan Gutowsky: To approve the operating agreement for FC
DDA, LLC.
UPDATE: BUSINESS RECOVERY PROJECTS IN DOWNTOWN FORT COLLINS AND COVID‐19 RELATED
EXPENSES
Mr. Robenalt provided an extensive review of the recovery projects the DDA has assisted and/or created
to help with COVID‐19 recovery for downtown businesses. These items include transportation assistance
for 3 selected downtown restaurants to deliver approximately 900 meals a day through the Feeding Our
Community program funded by Bohemian Foundation, the purchase of bulk sanitizer from Mobb
Mountain Distillery for downtown retail and restaurants, signage packages created through the
collaboration of the DDA and Toolbox Creative and curbside parking signage and logistics to assist with
no contact deliveries.
Along with providing these resources, Mr. Robenalt reviewed the anticipated additional expenses that
may be needed in 2020. The anticipated expenses are in regard to the Downtown Business Association
office rent, the DBA Holiday Lights contribution for the 2020‐2021 season, and operating expenses at
the DDA warehouse 720 East Vine.
The Board shared their gratitude to the staff for their rapid response to help the downtown during the
recovery period.
OTHER BUSINESS
N/A
ADJOURN
There being no further business the meeting adjourned at 10:19 a.m.
______________________________________
Cheryl Zimlich, Secretary
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