HomeMy WebLinkAbout03-01-16 NURB MinutesNURB Meeting – March 1, 2016 1
Northeast Urban Renewal Board (NURB)
Regular Meeting
Tuesday, March 1, 2016
The Northeast Urban Renewal Board met in regular meeting at 6:30 p.m. on Tuesday, March 1,
2016, in the Conference Room, Professional Building, 20 East Olive Street, Bozeman, Montana.
Present: Absent:
Voting Members:
Tom Noble, Chair Jeanne Wesley-Wiese
Daniel Doehring
Erik Nelson
Robert Pavlic (arrived at 6:48 p.m.)
Non-Voting Members:
John Usher
Commissioner Liaison:
I-Ho Pomeroy
Staff:
Brit Fontenot, Economic Development Director
Robin Sullivan, Recording Secretary
Guests:
John How, KLJ Engineering
Shane Strong, KLJ Engineering
Maurice Quanbeck, 520 North 11th Avenue
Call to Order – Chair Tom Noble called the meeting to order at 6:33 p.m.
Changes to the Agenda – No changes were made to the agenda.
Public Comment – Erik Nelson thanked staff for their support of this Board as it moves forward
with bonding for infrastructure projects. He recognized that the Board is now moving into
processes it is not familiar with and is being asked to move at an aggressive speed.
Chair Noble stated he also appreciates staff’s support. He cautioned, however, that the agenda
must be set in a timely manner that gives the Board and the public an opportunity to prepare for
each meeting. He noted that he has no problem with a month delay if an item has not been
placed on the agenda in a timely manner.
Economic Development Director Brit Fontenot introduced Lanette Windemaker to the Board,
noting that she has been contracted by the City to assist the tax increment financing district
boards with the bonding process.
NURB Meeting – March 1, 2016 2
Minutes – February 2, 2016. It was moved by Erik Nelson, seconded by Dan Doehring, that
the minutes of the meeting of February 2, 2016, be approved as submitted. The motion carried
on 3-0 vote.
Discussion/Action Items –
Update on North Wallace Avenue project. Economic Development Director Fontenot
stated the public hearing on creation of the special improvement district for improvements to
North Wallace Avenue will be on the Commission’s March 7 agenda. To date, one letter of
protest and several letters of support have been received. Following the public hearing, the
Commission will adopt a resolution creating the special improvement district and then proceed
with construction of the improvements this summer. He noted that this is a high priority project
for many of the residents in the area.
John How stated the final bid documents will be ready no later than March 8. The
advertisement for bids will then be published, with the bid opening on March 29 and award of
the bid on April 4.
Responding to Erik Nelson, John How stated there are any substantive changes since the last
meeting. He noted that a conversation with the City’s Water Specialist revealed there are no
species of vegetation that will last more than two or three years in the median and traffic circle
without irrigation, so the City’s Engineering Department has made the determination that the
design include stamped concrete in those locations. He stated a concrete platform will be
included in case the Board wants to put up a sign.
Responding to Erik Nelson, John How stated the traffic circle must be poured in conjunction with
the street improvements in a manner that allows trucks to roll over it. He then stated that if the
Board wishes to consider adding a planter box in the future, it will be easy to cut the concrete
out and install the box. He suggested another option might be to consider rotating statues into
and out of the median and traffic circle. He stated that, if the Board wishes to pursue that
option, he can easily revise the plans to include a thickened concrete pad on both sites.
John Usher noted there are a lot of artists on the northeast side of town, and suggested that
including artwork on the median and traffic circle could help identify this district.
The Board agreed that the design should be revised to include a sculpture pad on both the
median and the traffic circle.
Update on pedestrian crossing at railroad tracks. John How reported that he
received a response from MRL about the proposed pedestrian crossing improvements last
week. He noted that the design originally submitted was for widening the crossing so that the
existing roadway and the pedestrian crossing would be located within the arms. That design
was preliminarily approved; however, when Brad Koon submitted the final plan, Montana Rail
Link responded that they do not allow contractors to install improvements within their right-of-
way. Under MRL’s new policy, they will do the improvements; and the estimate for the 8-foot-
wide pads is $50,000. In light of those costs, he has revised the design to provide a 4-foot-wide
sidewalk; however, that reduces the lane width to 27 feet; and the City’s Engineering
Department is not supportive of that reduction or putting pedestrians so close to the travel lane.
NURB Meeting – March 1, 2016 3
John How stated that, as a result of this new development, the pedestrian crossing is not
included in the North Wallace Avenue improvements. He suggested that, if an acceptable
resolution is reached, it can be added to the street improvements through a change order, or it
can be included in the bids for the East Tamarack Street and East Peach Street improvements.
Responding to Erik Nelson, John How stated the pedestrian crossing is located outside the
boundaries of the special improvement district.
Director Brit Fontenot reminded the Board that he and Erik Nelson had previously met with
representatives from GVLT and the Parks Department in an effort to get them to participate in
the costs of this pedestrian improvement; and they were not interested in doing so. He has
since met with them and, based on the cost estimate of $20,500 at that time, received
commitments from Gallatin Valley Land Trust and the City’s Parks Department to each fund
$7,500 of the project. He cautioned that he does not anticipate this partnership will survive the
cost increase, but suggested that those two partners may be willing to honor their $7,500
commitment.
Dan Doehring asked if the $50,000 is an estimate or if it the actual cost.
John How responded that MRL indicated they will do a complete cost analysis if the Board is
interested in pursuing the improvement. He then stated everyone agrees that this is the
preferred design for pedestrian movement.
Dan Doehring suggested that staff get a good cost estimate from MRL for this improvement
rather than acting on this cost estimate.
John How stated that MRL has indicated it will take two to three weeks to approve the design
and determine the cost estimate once the design has been submitted.
Responding to Erik Nelson, John How stated that once MRL has received and approved the
design, the approval will hold for years.
Dan Doehring stated that this railroad crossing is bad; and it is important to undertake the
pedestrian improvements as soon as possible, particularly in light of the new trail connections
that are upcoming.
Erik Nelson asked if staff has approached WTI or researched the safe routes to school program
to see if there are potential funds available for this improvement.
Director Fontenot responded that staff has not, but he will check on the WTI option.
John How stated that, if this Board directs staff to pursue the option with MRL, he will contact
Brad Koon tomorrow and ask him to submit the design for approval and a cost estimate.
The Board asked staff to get an accurate cost estimate and to pursue other possible funding
sources.
Proposed partnership between the NURD, the Parks Department and Gallatin
Valley Land Trust to cover one-third of the costs of the railroad pedestrian crossing
NURB Meeting – March 1, 2016 4
improvement. Economic Development Director Fontenot noted this issue was covered in the
previous agenda item. He noted that both the Parks Department and GVLT recognize the
importance of a safe crossing and recognize that it is important as a trail connection.
Erik Nelson stated he still believes that the Story Mill Park improvements will result in
significantly more traffic moving through the district.
Discussion – project priorities and resolution for bonding. Economic Development
Director Brit Fontenot stated that at the last meeting, staff received direction to proceed with the
bonding process. The resolution now before the Board identifies the projects to be funded, and
it is important for the Board to determine if the projects listed are the correct ones and if they are
in the right priority order.
Lanette Windemaker stated that she has worked with bond counsel in preparing this resolution,
and it is the first step in proceeding with the bond sale. She noted that one concern is how
much bonding this Board will be able to do, so one of the key issues is to identify the correct
priority in which the projects are listed so those most important to the district are funded first.
Responding to Erik Nelson, Lanette Windemaker stated that the next step in the bond process
is to complete a financial analysis to determine the maximum bond amount that can be
supported by the annual tax increment. She cautioned that, since reappraisals are now to be
done every two years, potential bond purchasers may be more cautious about what they are
willing to risk.
John How cautioned that the cost estimates for each of the projects listed are in 2016 figures
and do not include inflation. He noted that if the projects are not actually constructed until 2018,
inflation costs must be factored in.
Responding to Bob Pavlic, John How stated that the East Tamarack Street project extends east
of North Wallace Avenue.
Bob Pavlic noted that the portion of East Tamarack Street/Front Street in front of the depot
presents a stormwater challenge that has not yet been engineered. He then stated his support
for stopping the street improvements at North Wallace Avenue instead of extending to the east.
Responding to Erik Nelson, Lanette Windemaker stated that Board is not limited to the order in
which the projects are listed in the resolution, however, she noted that hopefully the lower
priority projects are the ones that would not be funded if the bond issue is not large enough to
accomplish everything.
Dan Doehring and Erik Nelson expressed support for including the pedestrian railroad crossing,
East Tamarack Street and East Peach Street as the top three priorities, with the other projects
to be funded if monies are available.
At Economic Development Director Fontenot’s request, Shane Strong showed the Board the
new flood map as a result of the recent study. He noted that the new floodway delineation
requires that, if the pedestrian bridge is to be located at East Aspen Street, it will need to span
40 to 50 feet and its skirt must be above the floodplain. He stressed that if the bridge is to
encroach into the floodway, it will trigger a permitting process that is lengthy and costly. He
NURB Meeting – March 1, 2016 5
stated the rule of thumb for a prefabricated bridge is $1,000 per lineal foot for the structure and
a similar amount for installation, so the $60,000 currently budgeted for the pedestrian bridge is
probably inadequate.
Dan Doehring noted there may not be adequate room to install the bridge if it is to be located
outside the floodway.
Erik Nelson asked if any other projects should be added to the list in the resolution, stating he
does not want to miss the construction of any improvement that might benefit the district.
John How noted the Board has previously discussed the installation of a quiet zone, at an
estimated cost of $250,000. He then asked the Board to review the list of projects and place
them in priority order, adding projects if they so desire. He noted that the current list includes
Front Street and North Ida Avenue as alternates.
Chair Noble stated he feels the priority order should be East Tamarack Street, East Peach
Street, the pedestrian railroad crossing upgrades, pedestrian bridge/East Aspen Street, Front
Street, North Ida Avenue, and the quiet zone.
Economic Development Director Fontenot encouraged the Board to consider the impacts that
these construction projects will have on those within the district and how much disruption they
are willing to accept.
Bob Pavlic stated he feels North Ida Avenue should be a higher priority than Front Street,
particularly in light of the amount of traffic that uses North Ida Avenue versus Front Street.
Chair Noble asked if the quiet zone feasibility study is bondable, noting it is listed in the work
plan for next year.
Following discussion, it was moved by Erik Nelson, seconded by Tom Noble, that priority list in
the resolution be: East Tamarack Street, East Peach Street, the pedestrian railroad crossing
upgrades, pedestrian bridge/East Aspen Street, Front Street, North Ida Avenue, and the quiet
zone. The motion carried on a 3-1 vote; Bob Pavlic voted No.
Recording Secretary Robin Sullivan asked that the Board not act on the resolution at this time,
noting that discussion on the work plan and budget should occur before the Board gives
consideration to the resolution, particularly in light of the timing of project construction and the
funds currently on hand. She gave a brief overview of how the construction bids and bond bids
dovetail in the special improvement district process and suggested a similar process should be
followed for the issuance of tax increment financing bonds.
Following a brief discussion, Lanette Windemaker indicated that the next step is the financial
analysis, and the results of that analysis should be available for next month’s meeting. She
noted that the bonding process will be delayed until this fall; and one of the first steps at that
time will be the adoption of a reimbursement resolution so that any engineering costs incurred
for up to thirty days prior to that action can be reimbursed from the bond proceeds.
Discussion regarding work plan and budget for Fiscal Year 2016-17. Recording
Secretary Sullivan distributed copies of the revenues and expenditures through February 22, the
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spreadsheet showing the revenues and expenditures from FY2008 through February 22, 2016,
the draft work plan and budget for Fiscal Year 2016-17, and the spreadsheet of projects in the
work plan and budget with identified funding sources.
Recording Secretary Sullivan stated she has drafted the work plan and budget based on the
prior work plans and budgets and the Board’s discussions to date. She briefly highlighted the
projects and the funding sources she has identified. She stated that, even though engineering
costs have been included in the street projects, she has included an additional amount for
engineering, in anticipation of the consultant being asked to address items outside those
specific projects. She noted that this budget includes an anticipated $1.5 million in bond
proceeds and identifies the projects to be funded through that source.
Responding to Chair Noble, John How confirmed that the infrastructure improvement estimates
for East Peach Street and East Tamarack Street include engineering and administrative costs.
Erik Nelson suggested that, since the Board has enough money on hand, it fund the
engineering costs for the infrastructure improvements to be made through the bond proceeds.
He suggested that if all of the engineering costs are funded up front, the Board may be able to
undertake one of the lower priority projects.
Chair Noble voiced his support for that suggestion, noting that the Board must be ready to
undertake the construction of those projects when it issues the bonds.
John How stated he plans to have the East Peach Street and East Tamarack Street
improvement projects ready to go to bid next year.
Erik Nelson stated the engineering should be completed based on the list of priorities
established in the previous agenda item.
Erik Nelson asked if there are adequate monies on hand to fund $210,000 in engineering costs
this year, so that the infrastructure improvements can be undertaken once the bond issue is
approved. Recording Secretary Sullivan responded that, between the monies on hand and
annual tax increment, there are adequate monies.
Erik Nelson asked that the work plan and budget be revised to include the additional monies for
engineering services during the upcoming fiscal year.
Election of Chair and Vice Chair for 2016. It was moved by Bob Pavlic, seconded by
Dan Doehring, that Tom Noble be re-elected as Chair and Erik Nelson re-elected as Vice Chair
for 2016. The motion carried on a 4-0 vote.
Set agenda for April 5, 2016 meeting or cancel meeting. Items to be included on the
agenda are: information on whether the feasibility study for a quiet zone can be bonded,
updated costs for the railroad crossing improvements, a reconfigured work plan and budget that
includes $210,000 for engineering, the financial analysis for bonding, an update from Director of
Public Service Woolard on the process for adoption of the non-standard street designs, and an
update on award of the contract for North Wallace Avenue improvements.
NURB Meeting – March 1, 2016 7
FYI/Discussion (formerly Neighborhood News). Chair Noble noted that the marijuana
dispensary on North Church Avenue has been evicted because of the recent Supreme Court
ruling.
Adjournment – 8:30 p.m. There being no further business to come before the Board at this
time, Chair Noble adjourned the meeting.
Tom Noble, Chair
Northeast Urban Renewal Board
City of Bozeman