HomeMy WebLinkAboutTIF Minutes 3-15/
Downtown Tax Increment Finance
Board Meeting Minutes
March 17, 2015
Attending: Bobby Bear, Shannon Haish, Bob Hietala, Vonda Laird, Scott Lee, Chris Naumann
Absent: Bob Lashaway, Bill Stoddart
Public Comments
None
Disclosures
None
Minutes
ACTION: Bob
Hietala moved to approve the February minutes as presented.
Vonda Laird seconded the motion.
All voted in favor.
Financial Report
Chris presented the finance report as of March
17, 2015.
The expenses over the last month included purchase of 18 new trash receptacles and replacement liners for $9595. The Technical Assistance grant payment was made for the Willson
Residences project.
The board had no questions regarding the finance report.
Executive Director’s Report
Technical Assistance Program Update
The first chart lists the remaining FY2014
grants. The second chart lists grants that have been awarded thus far in FY2015. Keep in mind that the committed grant amounts are only tentative since the actual reimbursement amount
will be determined as a one to one match upon completion of the grant work. As a reminder, the Planning grants have a $7500 cap and the Façade grants are capped at $3000. Bold listings
indicate completed.
FY2014 Downtown Technical Assistance Program
Project Name
Project Address
Applicant
Professional
Grant Type
Grand & Main
136 West Main
Bzn Redevelopment
Thinktank
Planning
Willson Residences
404 West Main
Bridger Builders
Comma Q
Planning
Willson Residences
404 West Main
Bridger Builders
Comma Q
Facade
FY2015 Downtown Technical Assistance
Program
Project Name
Project Address
Applicant
Professional
Grant Type
101 E Mendenhall
101 E Mendenhall
Liane Johnson
Intrinsik
Planning
Owenhouse Bike
Shop
25 South Black
Eric Bowman
Focus
Planning
Fechter Rear Façade
128-134 East Main
Michael Guglielmino
Focus
Facade
39 North Rouse
39 North Rouse
SC Group
Intrinsik
Planning
G
arage LED Light Project
Three responses were submitted for McKinstry’s Parking Garage RFP and Tyler Electric had the lowest qualifying bid. The revised project cost is now $163,068,
which is a $19,438 savings from McKinstry’s contracted Guaranteed Maximum Price. There is still $5,500 in contingency that may not be needed. The LEDs have been ordered and should arrive
mid-March and the installation is currently scheduled to begin at the end of March and will take 12 work days with the commissioning. McKinstry will coordinate with Tyler Electric and
Scott Lee on the installation.
Downtown Streetscape Project
As part of the Downtown Streetscape Project, a new “special lighting improvement district” will be created replacing all
or part of 5 existing SLIDs. This will allow all of the electric bills and fixture maintenance to be financed via the SLID rather than the TIF District and Downtown Partnership.
Main
Street Truck Traffic Study
WTI has completed the draft Main Street Truck Traffic Study. I have reviewed the draft and responded to WTI with comments and suggested edits. I anticipate
receiving the final draft by the end of March.
B3 Projects Update
Historic Inventory Project: the field work and data collection necessary to update the historic inventory records for
over 100 downtown properties has been completed. The records are being reviewed by the Community Development Department and then forwarded to the State Historic Preservation Office for
approval.
East Main ZMA Application: all of the field work and application materials have been finalized. I have secured petitions of support from over 85% of the property owners—a
minimum of 60% is required by ordinance to proceed. I continue to meet and discuss the zoning change with the remaining property owners as I would like to get all of them to sign petitions.
Building
Project Updates
5 West Building (northwest corner of Mendenhall and Tracy) The City Commission approved the final site plan and other entitlements on December 8, 2014. The developer
is projecting to begin construction during the 2nd quarter of 2015.
Dutton Building (131 West Main--corner of Grand and Main) is under construction. The developer has several of the
new units available for lease including 5000 square feet of office on the second floor.
Block M Residences (on Lamme between Black & Tracy): All 10 units of Phase 1 are complete. Construction
of Phase 2—8 additional units—began this fall and should be completed early Fall of 2015.
Element Hotel (at old Kenyon Noble site): Projecting to open in June 2015.
Lark Motel (formerly
the Imperial Inn): Projecting to open April 2, 2015.
Downtown Parking Update
The Parking Commission and Western Transportation Institute are finalizing the third Downtown Parking Study.
Occupancy Rates for the side streets between Babcock and Mendenhall plus for all the public surface lots and the garage were studied. Analogous to the 2010 and 2012 studies, data was
collected on a week day and a weekend day in July, August and September. The 2014 study juxtaposes all three years’ data to show trends in use. The final report will be released in March
2015.
The charts below show the trends in both garage use and revenue for 2015. The year-to-date entries and revenue for 2015 are up 18% and 24% respectively over 2014. February 2015
had average daily entries of 453 cars and an average of $181 in daily revenue.
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Discussion and Decision Items
Downtown Fiber Network Update
David Fine and Brit Fontenot from
the COB Economic Development Department provided an update about the Bozeman Fiber Master Plan.
The questions raised at February’s meeting were discussed and answered.
With the TIF’s
financial investment, what liability would the TIF have for maintenance/repair/upgrades to the infrastructure? All liability for the system would be borne by Bozeman Fiber (the not-for-profit
management entity).
If the TIF was to receive lease payments for use of the infrastructure, what entity would be making the lease payments and what liability would that lease/payment
relationship create for the TIF? The lease and payment model has not yet been determined.
What, more specifically, would the TIF’s relationship with the “Bozeman Fiber” (non-profit)
entail legally, fiscally, and managerially? The TIF would be represented by a designated City of Bozeman trustee on the Bozeman Fiber board which would primarily consist of IT/Tele-Com
industry experts.
Who would the TIF be providing the funding to for final design (the already allocated $100k)? TIF could contract directly with Design 9, the system engineering and
design consultants.
Who would the TIF be providing the funding for construction (the approximate $500-$600k)? Yet to be determined.
Estimated Bonding Capacity
Chris presented a spreadsheet
prepared by the City Finance Director of the estimated bonding capacity of the TIF District. Utilizing just the CoB portion of the increment, in theory the TIF could bond for between
$2.65 million and $3.79 million. The board agreed to review the scenarios presented and discuss at a future meeting.