HomeMy WebLinkAbout11-16-21 DURB Agenda & Packet MaterialsA.Call meeting to order
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B.Disclosures
C.Changes to the Agenda
D.Public Service Announcements
E.Approval of Minutes
E.1 Approval of October Minutes(Staley)
F.Public Comment
Please state your name and address in an audible tone of voice for the record. This is the time for
individuals to comment on matters falling within the purview of the Committee. There will also be
an opportunity in conjunction with each action item for comments pertaining to that item. Please
limit your comments to three minutes.
G.Action Items
G.1 Board Support for the completion of Black Ave. Pocket Park (Staley)
G.2 Staff recommends the URD Board requests the City of Bozeman staff to begin the necessary
work done to amend Resolution 5142 and allow additional bonds to be issued by the
Downtown Urban Renewal District.(Staley)
H.FYI/Discussion
H.1 October Finance(Staley)
H.2 Executive Director's Report (Staley)
THE DOWNTOWN AREA URBAN RENEWAL DISTRICT BOARD OF BOZEMAN, MONTANA
DURD AGENDA
Tuesday, November 16, 2021
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I.Adjournment
For more information please contact Ellie Staley ellie@downtownbozeman.org
This board generally meets the 3rd Tuesday of the month from 12:00pm to 1:00pm
Committee meetings are open to all members of the public. If you have a disability and require
assistance, please contact our ADA coordinator, Mike Gray at 582-3232 (TDD 582-2301).
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Memorandum
REPORT TO:Downtown Area Urban Renewal District Board
FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership
SUBJECT:Approval of October Minutes
MEETING DATE:November 16, 2021
AGENDA ITEM TYPE:Minutes
RECOMMENDATION:Approve
STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant
Downtown, Midtown, and other commercial districts and neighborhood
centers – including higher densities and intensification of use in these key
areas.
BACKGROUND:Minutes from the October 2021 Downtown Urban Renewal District Board
Meeting
UNRESOLVED ISSUES:None
ALTERNATIVES:None
FISCAL EFFECTS:None
Attachments:
URD Minutes 10-21.pdf
Report compiled on: November 11, 2021
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Downtown Urban Renewal District
Board Meeting Minutes
October 19, 2021
Attending: Bobby Bear, Emily Cope, Cory Lawrence, Jen Madgic, Marley McKenna, Tony
Renslow, Angie Rutherford, Ellie Staley, Nicholas Wickes, Nick Zelver
Absent: None.
Minutes
ACTION: Tony Renslow moved to approve the September minutes as presented.
Nick Zelver seconded the motion.
All voted in favor.
Public Comment
Emily Talago asked the URD Board if they had considered remitting their share back to the City
of Bozeman’s general fund.
Evan Rainey asked where he could find a list of the Downtown URD board members and their
affiliation in the community. Ellie informed him that this information can be found on the
Bozeman.net and downtownbozeman.org websites.
Financial Reports
October 2021 finance report is attached below.
Executive Director’s Report
General Downtown Updates:
• DBP Annual Report/Communications Plan: Staff is in the process of developing a DBP Annual
Report with 2021 statistics and data from all 3 DBP organizations. Hoping to make report public
by late Nov./early Dec. Staff has developed a strategic communications plan for all 3 DBP
organizations to make sure all of our members, supporters and stakeholders are kept updated,
informed and engaged through a varied ways throughout the year. Ellie will share this with DBP
Boards this week for review and feedback. This is an evolving document and will be reviewed
biannually.
• Downtown Maintenance Update: We are excited to announce the NEW RED 2022 Kawasaki Mule
has arrived and is in full use. Flowers have been taken down for the season. Thanks Oak Gardens,
our 2021 Flower Sponsors and our annual BID flower waterers for a great season!
• Outreach Bozeman: HRDC has recently compiled a Quarterly report of the contacts and feedback
they have received through the pilot program, starting in June. See attached report. The next De-
escalation training is scheduled for Nov. 12. Ellie is attending along with several other confirmed
downtown stakeholders and if room, it will be opened to a limited number of additional
attendees.
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• Commercial Listings on DBP Website: There is a new resource on our DTNBZN Website to list
commercial properties for lease or for sale. For more info visit:
https://downtownbozeman.org/resources/downtown-commercial-properties.
URD Project Updates:
• Parking Structure Plans/Bonding Analysis: Two members of the URD Board, representatives from
the City, Term Team and additional Stakeholders have formed a parking/bonding working group.
The group met once in late Sept. and will meet in late Oct. for continued discussion on site
solidification, bonding details and project next steps.
• Alley Project: Ellie and Emily have been making headway on getting this project started. We have
met with the City Community Development staff about the necessary next steps and permitting
process. We have developed an initial scope of work for a potential project manager to take us
into Phase I and we’re hopeful we can go to bid on this project within this fiscal year. Link to
Alley Concept Plan: https://s3.us-west-2.amazonaws.com/dba-2021/Resource-PDFs/2020-11-
12_Bozeman_Alleyways_-_Report_Reduced.pdf
• Downtown Streetscape/Utility Infrastructure Improvements Update: URD approved electrical
funding for 137 East Babcock for historic streetlamp installation and extending electrical access
within district BUT, the developer and property owner denied the financial assistance due to a
time constraint for a contracted lease. I am still working to make this happen and even more of a
reason to begin the process of formally adopting a Downtown Street Standard and adding utility
expenses to current Streetscape Assistance Grant. Next steps are to discuss scope of work with
TD&H to help develop this standard and next steps for approval.
• North Rouse Lighting Project: Check out the newly lit South Rouse corridor from Main to Lamme.
There are 20 new streetlamps funded by the URD lining both side of the street. We are waiting
for re-sized skirting order, hope to wrap up project by early Nov.
City of Bozeman Updates:
• City Noise Ordinance Update: City Staff is drafting changes to the City’s “Noise Ordinance” and
will present those changes on October 26th to the City Commission. The proposed draft language
is as follows: “Noise emanating from a construction operation occurring between the hours of
8:00 PM to 7:00 AM is prohibited from exceeding 60dB(A) as measured at the property line of an
immediately adjacent property.” The City Code currently uses a “reasonable person” standard to
measure noise level and limits construction activity time between 6:00AM- 10:00PM. See
attachment.
• UDC Edits: The community engagement process will begin in October surrounding B-3 building
height and zone edge transition edits to the UDC. The website is slated to be up and running with
a survey and StoryMap with real-life height and transition examples by the end of this week. Staff
to keep board updated on when this goes live.
https://www.bozeman.net/government/planning/udc-discussions
Upcoming DBA Events/Programs, more info at www.downtownbozeman.org
• PNKBZN – October 1-31, pinkbozeman.com
• Trick or Treating – October 29, 4-6pm, CANCELLED by DBA Board vote
• Ladies’ Night – November 18, 5-10pm
• Small Business Saturday – November 27, all-day
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• Christmas Stroll – Saturday, Dec 4, 4:30-7:30pm. 2021 event confirmed by DBA Board vote, with
potential modifications to indoor activities
• Art Walks – Friday, December 10, 6-8pm
Building Projects:
• Merin Condos - (on North Bozeman across from Dave’s Sushi) 28 units of owner-occupied
housing. NOW OPEN
• Village Downtown - 30 new residential condo units and 9 single-family lots have been approved
by city and are in early phase of construction.
• AC Hotel (5 East Mendenhall) 6 story 140 room full-service hotel. Under construction.
• East End Flats (240 East Mendenhall) - The six-story mixed-use building has been approved by
the city and is expected to include commercial, office, and residential space with underground
parking.
• Cairn Townhomes (northwest corner of W Beall & N Grand)—5 townhome condos currently
under construction.
• North Central (20 North Tracy)—Mountain View & Medical Arts buildings, phased master site
plan development proposing a total of 9 new mixed-use buildings, associated parking, open
space and infrastructure. Application submitted.
• 137 East Babcock (formerly Gallatin Laundry) – large redevelopment project in progress.
New Businesses (since August 2021):
• Vienne (French bakery), 101 South Wallace - OPEN
• Last Call (modern Mexican restaurant), 19 S Willson – OPEN
• Sun Dial (Lark food truck), 122 West Main - OPEN
• Sweet Peaks, 411 East Main – OPEN
• Last Best Comedy, 321 East Main - OPEN
• Shred Monk, 121 W Main – OPENING in Feb. 2022
• 27 East Main - to be redeveloped as a steak house by Plonk owners
• TBD - 544 East Main—formerly Heeb’s – building improvements underway
• TBD—127 E Main—formerly A Banks Gallery—TBD
Discussion and Decision Items
Downtown Parking Update – No Action
Ellie provided updates on the status of the bonding capacity, structured parking working group,
and the downtown parking study that was completed by Walker Consultants. Cory Lawrence
stated that downtown stakeholders should be polled for paid on-street parking to garner support,
and additional supply should be developed to assist with parking capacity. Tony Renslow stated
that Bozeman doesn’t have a sales tax but that funds should be captured from tourists, there is
a limit of how many funds can be leveraged from property taxes. Ellie asked the board of their
opinions for the best location for the parking garage. Nicholas Wickes and Nick Zelver favored
the location of the library site to spread supply to East Main Street. Tony Renslow stated that
bits of parking should be developed and spread out throughout downtown. Marley McKenna
stated that it seems considering the expansion to Bridger Park garage is the cart before the
horse. Cory Lawrence asked how other parking garages are funding in similar communities
(Missoula) which has four garages.
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Meeting was adjourned at 1:25 pm
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Downtown URD October 2021 Finance Report
Category
Approved
FY2022 Budget FY2022 YTD recent activity
Income
Starting Cash Balance 3,295,598$ ** Final FY21 numbers to be received by COB finance
Income from TIF 335,000$
COB Interlocal Share 1,456,000$
Entitlement Share State of Montana 57,050$
Interest Income 20,000$
Other Income
Total Income 5,163,648$ -$
Expenses
Operations
DBP Management Fee 190,000$ 95,000$ $47500 Q2 DBP
Total Operations 190,000$ 95,000$
Infrastructure Improvements
Street Furniture and Park Maintenance 25,000$ 1,050$
Streetscape--new purchases 30,000$
North Rouse Streetscape Project
FY Encumbered- Streetlamps (26 qty)85,000$ 75,197$ $74441 poles & breakaway couplings
Phase 1 Construction: Conduit 17,000$ 6,510$ $3288 TDH
Phase 2 Construction: Lamps 80,000$ 44,242$
North Willson Streetscape Project 75,000$
Streetscape Assistance Grant Program 50,000$
Streetlamp Power Reconfiguration Project
Alley Improvements 50,000$
FY20 Encumbered 19,000$
DBIP: Bozeman Creek Improvements 50,000$
DBIP: Wayfinding & Parking Signage 15,000$
Life-Safety Grant Program 50,000$
Fiber Infrastructure 100,000$
Fiber-Broadband Infrastructure--Grants 10,000$ 3,200$
Intersection Cable Anchor Repairs 30,000$ 1,468$ $1468 montana crane
DBA Event Stage 50,000$
Parklet 50,000$
Alternative Transportation Projects 75,000$
Total Improvements 861,000$ 131,667$
Planning
City Economic Development Specialist 33,000$
Technical Assistance Grants 50,000$
FY20 & FY21 Encumbered Funds 45,000$
Residential Incentive Program 200,000$
DBIP: Transportation Planning 25,000$
FY21 Encumbered- Part Two--Data, Analysis, Cost Est 91,000$
DBIP: Alley Planning 45,000$
DBIP: Bozeman Creek Planning 30,000$
DBIP: Soroptomist Park Planning 50,000$
DBIP: Code Amendments 20,000$ 1,648$
DBIP: Design Guidelines 85,000$
DBIP: Downtown Infrastructure & Public Realm Plan 100,000$
DBIP: General Implementation 100,000$
DBIP: Employee Paid Parking Permit System 20,000$
DBIP: Wayfinding Plan & Parking Signage 10,000$
Utility and Infrastructure Improvement 250,000$
Structured Parking Feasibility Analysis 35,000$ 3,396$ 630 SS
Structured Parking Informal, Site Plan, Bids 750,000$
Professional Services Term Contract 75,000$
Streetscape Preliminary Engineering 50,000$
Total Planning 2,064,000$ 5,044$
Parking Structure
Garage Bond Payment 335,000$
Total Parking Garage Payments 335,000$ -$
Total Expenses 3,450,000$ 231,711$
Balance 1,713,648$ (231,711)$
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Memorandum
REPORT TO:Downtown Area Urban Renewal District Board
FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership
SUBJECT:Board Support for the completion of Black Ave. Pocket Park
MEETING DATE:November 16, 2021
AGENDA ITEM TYPE:Plan/Report/Study
RECOMMENDATION:Approve
STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant
Downtown, Midtown, and other commercial districts and neighborhood
centers – including higher densities and intensification of use in these key
areas.
BACKGROUND:Two years ago the Black Ave. Pocket park was “completed” with
landscaping, attractive concrete designs and a ski lift chair art piece. This was
a collaborative project between the URD and other community
organizations. Unfortunately, this project is incomplete due to an oversight
of adding the corner of the lot into the original scope of the project. The
corner is now a mud pit that is causing an adverse affect to the grassy area
surrounding it. The failed attempt to reseed has also caused additional
erosion to the area. Although it is too late to add this work to the original
project, we believe we can complete the work needed without having to go
through the larger city purchasing/bidding process. We are hoping to get
approval to move forward with this small project, although not on the
budget due to the oversight of a past project and with intention to maintain
the area that has recently been beautified and visibly enjoyed by the
community and visitors.
UNRESOLVED ISSUES:Non
ALTERNATIVES:None
FISCAL EFFECTS:None
Attachments:
Black Ave Corner.pdf
Report compiled on: November 11, 2021
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Memorandum
REPORT TO:Downtown Area Urban Renewal District Board
FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership
SUBJECT:Staff recommends the URD Board requests the City of Bozeman staff to begin the
necessary work done to amend Resolution 5142 and allow additional bonds to be
issued by the Downtown Urban Renewal District.
MEETING DATE:November 16, 2021
AGENDA ITEM TYPE:Policy Discussion
RECOMMENDATION:Approve
STRATEGIC PLAN:2.2 Infrastructure Investments: Strategically invest in infrastructure as a
mechanism to encourage economic development.
BACKGROUND:
Upon review of the Bakertilly analysis done in July 2021, it is estimated the
bonding capacity of the Downtown Urban Renewal District is estimated
between 7 and 9 million dollars. The Downtown URD sunsets in 2032 and
many projects are considered short-term priorities including additional
structured parking, necessary utility and public infrastructure projects,
greenspace enhancements and more. Bonding the URD to its full potential
will allow the URD board and staff the necessary immediate funding for the
short-term to mid-term timeline which would otherwise not be possible
with the annual City of Bozeman Interlocal Share amount estimated at 1.4
million.
Due to the "no additional bonds" provision adopted in Resolution No. 5142-
Section 4, issuing additional debt within the Downtown Urban Renewal
District would require City Commission to approve the necessary ordinance
revisions and would likely require sign off from both the County and the
School District. If the URD board determines that bonding is necessary to
complete the prioritized projects within the short-term timeline, then DBP
staff will work with City staff to determine the next steps in order to make
the necessary changes to the ordinance so that we are able to procure
bonds for the projected projects. Once City staff begins the ordinance
amendment process, the URD will determine the specific projects the
bonding funds will support.
UNRESOLVED ISSUES:None
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ALTERNATIVES:None
FISCAL EFFECTS:None
Attachments:
Res 5142-ord.ref.pdf
City of Bozeman Financial Analysis Summary Memo Draft
070921-ord.ref.pdf
Report compiled on: November 11, 2021
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A-1-I
EXHIBIT A
FORM OF BOND UNITED STATES OF AMERICA STATE OF MONTANA
COUNTY OF GALLATIN
CITY OF BOZEMAN
TAX INCREMENT URBAN RENEWAL REVENUE REFUNDING BOND (DOWNTOWN BOZEMAN IMPROVEMENT DISTRICT), SERIES 2020
No. R-1 $3,689,000.00
Interest Rate Stated Maturity Date of Original Issue
2.44% July 1, 2032 March 5, 2020
REGISTERED OWNER: TRUIST BANK
PRINCIPAL AMOUNT: THREE MILLION SIX HUNDRED EIGHTY NINE THOUSAND DOLLARS AND NO/100
FOR VALUE RECEIVED, THE CITY OF BOZEMAN (the “City”), a duly organized and validly existing municipal corporation located in Gallatin County, Montana, acknowledges itself
to be specially indebted and hereby promises to pay to the registered owner specified above or
registered assigns, solely from Tax Increment in the Debt Service Account, on each Payment Date specified on the attached Schedule I, the dollar amount corresponding to that Payment Date as set forth on such Schedule I, all subject to the provisions referred to herein with respect to the prepayment and redemption of the principal of this Bond before Payment Dates. This Bond bears
interest from the date of original issue specified above, or from such later date to which interest
has been paid or duly provided for, until paid or discharged at the rate per annum specified above, subject to a Determination of Taxability. Interest on this Bond shall be calculated on the basis of a year of 360 days composed of twelve 30-day months. Principal of and interest on this Bond shall be payable by ACH or wire transfer to the Owner hereof as such appears in the Bond Register as
of the close of business on the 15th day (whether or not a Business Day) of the month immediately
preceding each Payment Date, and the Owner of this Bond shall not be required to present this Bond in order to receive any payment. Interest on this Bond shall be calculated on the basis of a 360-day year composed of twelve 30-day months. The City Finance Director shall initially serve as the Bond Registrar for this Bond.
In the event that the City shall fail to observe any covenant, agreement or representation in
Section 8 of the Resolution (as defined below), which failure results in a Determination of Taxability, the interest rate on this Bond shall increase to an interest rate per annum equal to the quotient of the tax-exempt rate of interest on the Series 2020 Bond (2.44%) divided by 67.5% (the
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A-1-2
“Taxable Rate”). In addition, the City shall pay to the Owner an amount equal to the difference
between the interest paid at the tax-exempt rate and the interest which would have been paid at the
Taxable Rate from and after the Date of Taxability, plus any penalties, interest, assessments and additions to tax payable by the Owner as a result of such change in taxable status. Thereafter, interest on this Bond shall accrue at the Taxable Rate and shall be payable to the Owner on the Payment Dates specified in Schedule I.
This Bond is a duly authorized issue of the City designated as “Tax Increment Urban
Renewal Revenue Refunding Bond (Downtown Bozeman Improvement District), Series 2020,” issued under and secured by Resolution No. [____], adopted by the City Commission on February 24, 2020 (as amended or supplemented in accordance with the provisions thereof, the “Resolution”), to which Resolution, copies of which are on file with the City, reference is hereby
made for a description of the nature and extent of the security, the rights thereunder of the Owner
and the City and the terms upon which this Bond is issued and delivered. Capitalized terms used herein but not otherwise defined shall have the respective meanings given such terms in the Resolution. This Bond evidences a loan from the Lender to the City in the principal amount of $3,689,000 for the purpose of refunding, together with other amounts available therefor, the City’s
outstanding Tax Increment Urban Renewal Revenue Bonds, Series 2007 (Downtown Bozeman
Improvement District), and to pay costs of issuing the Series 2020 Bond and of the refunding.
This Bond is issued pursuant to and in full compliance with the Constitution and laws of the State of Montana and the home rule charter of the City, particularly Montana Code Annotated, Title 7, Chapter 15, Parts 42 and 43, as amended (the “Act”), and pursuant to the Resolution. This
Bond is payable solely from Tax Increment received by the City. Tax Increment results from the
levying of Taxes by the Taxing Bodies against the incremental taxable value, as defined in the Act, of all Taxable Property, and shall include any payments in lieu of Taxes attributable to the incremental taxable value, State Entitlements, and all payments received by the City designated as replacement revenues for lost Tax Increment. By the Resolution, the City has pledged the Tax
Increment (including State Entitlements) received by the City to the Debt Service Account.
This Bond is not a general obligation of the City and the City’s general credit and taxing powers are not pledged to the payment of this Bond or the interest thereon. This Bond shall not constitute an indebtedness of the City within the meaning of any constitutional, statutory or charter limitations.
This Bond is subject to prepayment and redemption, in whole and not in part, at the option
of the City, on July 1, 2026 and on any Interest Payment Date thereafter at a price of the principal amount being prepaid and redeemed plus interest thereon through the date of prepayment or redemption, without premium or penalty. The City shall give 15 days’ prior written notice of any such redemption to the Owner at its address set forth in the Bond Register.
If provision is made for the payment of principal of and interest on this Bond in full in
accordance with the Resolution, this Bond shall no longer be deemed outstanding under the Resolution, shall cease to be entitled to the benefits of the Resolution, and shall thereafter be payable solely from the funds provided for payment.
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Except as provided in the Resolution, the Owner of this Bond shall have no right to enforce
the provisions of the Resolution, or to institute action to enforce the covenants therein or take any
action with respect to a default under the Resolution or to institute, appear in or defend any suit or other procedure with respect thereto.
As provided in the Resolution and subject to certain limitations set forth therein, this Bond is transferable upon the books of the City at the principal office of the Bond Registrar, by the
registered owner hereof in person or by its attorney duly authorized in writing, upon surrender
hereof together with a written instrument of transfer satisfactory to the Bond Registrar, duly executed by the registered owner or its attorney; and may also be surrendered in exchange for a Bond of like aggregate principal amount, interest rate and maturity. Upon such transfer or exchange, the City will cause a new Bond or Bonds to be issued in the name of the transferee or
registered owner, of the same aggregate principal amount, bearing interest at the same rate and
maturing on the same date, subject to reimbursement for any tax, fee or governmental charge required to be paid with respect to such transfer or exchange.
On or before 270 days after the end of each Fiscal Year of the City, commencing with the Fiscal Year ending June 30, 2019, the City shall provide to the owner of the Series 2020 Bond the
audited financial statements of the City for such Fiscal Year, accompanied by the audit report and
opinion of the accountant or government auditor relating thereto. If the audited financial statements are not available by the date that is 270 days after the end of the Fiscal Year, the City shall provide to the Owner of the Series 2020 Bond the unaudited financial statements by such date and shall provide the audited financial statements within 10 Business Days after receipt
thereof. The audited financial statements provided by the City shall include sufficient financial
information with respect to the District and the Tax Increment derived therefrom to enable the Owner to ascertain the debt service coverage ratio for the Series 2020 Bond for such Fiscal Year.
The City and the Bond Registrar may deem and treat the person in whose name this Bond is registered as the absolute owner hereof, whether this Bond is overdue or not, for the purpose of
receiving payment and for all other purposes, and neither the City nor the Bond Registrar shall be
affected by any notice to the contrary.
This Bond has been deemed designated by the City as a “qualified tax-exempt obligation” pursuant to Section 265(b)(3) of the Internal Revenue Code of 1986, as amended.
IT IS HEREBY CERTIFIED, RECITED, COVENANTED AND DECLARED that all
acts, conditions and things required by the Constitution and laws of the State of Montana and the
home rule charter and ordinances and resolutions of the City to be done, to exist, to happen and to be performed in order to make this Bond a valid and binding, special, limited obligation of the City in accordance with its terms have been done, do exist, have happened and have been performed as so required; that this Bond has been issued by the City in connection with urban
renewal projects (as defined in the Act); that the City, in and by the Resolution has validly made
and entered into covenants and agreements with and for the benefit of the Owner from time to time of this Bond, including covenants that it will pledge, appropriate and credit the Tax Increment derived from the District to the Debt Service Account of the City; that all provisions for the security of the Owner of this Bond as set forth in the Resolution will be punctually and faithfully performed
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as therein stipulated; and that the issuance of this Bond does not cause the indebtedness of the City
to exceed any constitutional, statutory or charter limitation.
This Bond shall not be valid or become obligatory for any purpose or be entitled to any security or benefit under the Resolution until the Certificate of Authentication hereon shall have been executed by the Bond Registrar by the manual signature of an authorized representative.
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IN WITNESS WHEREOF, the City of Bozeman, Gallatin County, Montana, by its City
Commission, has caused this Bond to be executed by the facsimile signatures of the Mayor, the
City Manager and the City Finance Director and attested to by the City Clerk.
CITY OF BOZEMAN, MONTANA
______________________________
Mayor
_______________________________ City Manager
_______________________________ City Clerk
Dated:
CERTIFICATE OF AUTHENTICATION
This is the Series 2020 Bond delivered pursuant to the Resolution mentioned within.
CITY OF BOZEMAN, MONTANA as Bond Registrar, Transfer Agent and Paying Agent
By
City Finance Director
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The following abbreviations, when used in the inscription on the face of this Bond, shall
be construed as though they were written out in full according to applicable laws or regulations:
TEN COM -- as tenants UTMA..........Custodian.............. in common (Cust) (Minor)
TEN ENT -- as tenants by the entireties
under Uniform Transfers to
JT TEN -- as joint tenants with Minors Act................................ right of survivorship and (State) not as tenants in common
Additional abbreviations may also be used.
ASSIGNMENT
FOR VALUED RECEIVED the undersigned hereby sells, assigns and transfers unto
the within Bond and all rights thereunder, and hereby irrevocably
constitutes and appoints attorney to transfer the within Bond on the
books kept for registration thereof, with full power of substitution in the premises.
Date:
PLEASE INSERT SOCIAL SECURITY OR OTHER IDENTIFYING NUMBER OF NOTICE: The signature to this assignment
ASSIGNEE: must correspond with the name as it appears
upon the face of the within bond in every particular, without alteration, enlargement or any change whatsoever. / /
SIGNATURE GUARANTEE
Signature(s) must be guaranteed by an “eligible guarantor institution” meeting the requirements of the Bond Registrar, which requirements include membership or participation in STAMP or such other “signature guaranty program” as may be determined by the Registrar in addition to or in substitution for STAMP, all in
accordance with the Securities Exchange Act of 1934, as amended.
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A-1-I
SCHEDULE I
Bond Payment Schedule
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EXHIBIT B
FORM OF ESCROW AGREEMENT THIS ESCROW AGREEMENT (this “Agreement”) is made and executed between the City of Bozeman, Montana (the “City”), and U.S. Bank National Association, in Salt Lake City,
Utah (the “Agent”). The parties hereto recite and, in consideration of the mutual covenants and
payments referred to and contained herein, covenant and agree as follows:
1. The City, in accordance with Resolution No. [___] adopted by the City Commission of the City on February 24, 2020, sold its Tax Increment Urban Renewal Revenue Refunding Bond (Downtown Bozeman Improvement District), Series 2020, dated, as originally
issued, as of the date hereof, in the aggregate principal amount of $3,689,000 (the “Series 2020
Bond”) for the purpose of providing funds to refund, pay and redeem the City’s Tax Increment Urban Renewal Revenue Bonds, Series 2007 (Downtown Bozeman Improvement District), dated, as originally issued, as of December 27, 2007 (the “Series 2007 Bonds”), with stated maturities in 2020 and thereafter, and outstanding in the aggregate principal amount of
$3,995,000 (the “Refunded Bonds”), and paying costs of issuance of the Series 2020 Bond and
the refunding of the Refunded Bonds. The City has directed that the proceeds of the Series 2020 Bond be applied as follows: (i) $3,621,489.18 to be deposited in the Escrow Account, and (ii) $67,510.82 to be deposited in the Development Account held by the City and used to pay the costs of issuance of the Series 2020 Bond and the refunding of the Refunded Bonds. The City
has appropriated $426,382.50 of the funds in the debt service reserve account for the Series 2007
Bonds for deposit to the Escrow Account.
2. The Agent acknowledges receipt of the cash in the aggregate amount of $4,047,871.68 (representing $3,621,489.18 of proceeds of the Series 2020 Bond and $426,382.50 of funds in the debt service reserve account for the Series 2007 Bonds) and agrees
that it will hold such cash in a special segregated escrow account in the name of the City (the
“Escrow Account”), and that it will remit from the Escrow Account to the paying agent of the Series 2007 Bonds the funds required for the payment of principal of and interest on the Refunded Bonds as shown on the attached Exhibit A (which is hereby incorporated herein and made a part hereof).
The Agent will:
(i) not less than 30 days prior to April 9, 2020, provide notice of the redemption of the Refunded Bonds in the form of Exhibit B hereto (which is incorporated herein and made a part hereof), by first class mail, to the bond registrar for the Series 2007 Bonds and to registered owners of such Refunded Bonds at their addresses as they appear on the Bond Register, as
required by Section 3.05(c) of the resolution of the City Commission of the City adopted
December 17, 2007, authorizing the issuance of the Series 2007 Bonds; and
(ii) not less than 35 days prior to April 9, 2020, provide notice of the redemption of the Refunded Bonds in the form of Exhibit B hereto, by certified mail, telecopy or express delivery service, or by such other means required by the recipient, to D.A. Davidson & Co., 8
Third Street North, Great Falls, Montana 59401, Attention: Aaron Rudio, as the Original
47
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Purchaser of the Series 2007 Bonds; to The Depository Trust Company, of New York, New
York; and to the Municipal Securities Rulemaking Board.
After provision for payment of all Refunded Bonds with interest accrued thereon, the Agent will remit any remaining funds in the Escrow Account to the City, which will hold said cash in the Debt Service Account for the Series 2020 Bond for application toward the payment of the interest to become due on the Series 2020 Bond on July 1, 2020.
3. The City represents, based on a certification from Stifel, Nicolaus & Company,
Incorporated, placement agent to the City, that the amount to be deposited by the City pursuant to this Agreement into the Escrow Account (i.e., $4,047,871.68), is sufficient to pay the redemption price of the Refunded Bonds on April 9, 2020, as described in Exhibit A hereto, including all interest accrued thereon.
4. The City acknowledges that regulations of the Comptroller of the Currency grant
the City the right to receive brokerage confirmations of the security transactions as they occur. The City specifically waives such notification to the extent permitted by law and will receive periodic cash transaction statements from the Escrow Agent which will detail all investment transactions.
5. In order to ensure continuing compliance with Section 148 of the Internal
Revenue Code of 1986, as amended, and applicable Treasury Regulations, the Agent agrees that it will not reinvest any cash held in the Escrow Account. Said prohibition on reinvestment shall continue unless and until an opinion is received from nationally recognized bond counsel that reinvestments in general obligations of the United States or obligations the principal of and
interest on which are guaranteed as to payment by the United States, as specified in said opinion,
may be made in a manner consistent with said Section 148 and then existing Treasury Regulations.
6. The Agent also acknowledges receipt of a sum described in a letter agreement between the City and the Agent, as and for full compensation for all services to be performed by
it as Agent under this Agreement, and the Agent expressly waives any lien upon or claim against
the moneys and investments in the Escrow Account.
7. If at any time it shall appear to the Agent that the money in the Escrow Account will not be sufficient to make any payment due to the owners of any of the Refunded Bonds, the Agent shall immediately notify the City. Upon receipt of such notice, the City shall forthwith
transmit to the Agent for deposit in the Escrow Account from moneys on hand and legally
available therefor, such additional moneys as may be required to make any such payment.
8. On or before April 15, 2020, the Agent shall submit to the City a report covering all money it shall have received and all payments it shall have made or caused to be made hereunder. Such report shall also list the amount of money existing in the Escrow Account, if
any, on such date.
9. It is recognized that title to the moneys held in the Escrow Account from time to time shall remain vested in the City but subject always to the prior charge and lien thereon of this Agreement and the use thereof required to be made by the provisions of this Agreement. The
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Agent shall hold all such money in the Escrow Account as a special trust fund and account
separate and wholly segregated from all other funds of the Agent on deposit therein and shall
never commingle such money with other money. It is understood and agreed that the responsibility of the Agent under this Agreement is limited to the safekeeping and segregation of the funds deposited with it in the Escrow Account and the collection of and accounting for any interest payable with respect thereto. Except as provided in Section 5 hereof, no withdrawals,
transfers or investment or reinvestment shall be made of cash balances in the Escrow Account.
Cash balances shall be held by the Agent as cash balances as shown on the books and records of the Escrow Agent and shall not be reinvested or invested by the Agent except as provided in Section 5 hereof.
10. This Agreement is made by the City for the benefit of the owners of the Refunded
Bonds and is not revocable by the City, and the funds deposited in the Escrow Account have
been irrevocably appropriated for the payment and redemption of the Refunded Bonds and interest thereon, in accordance with this Agreement.
11. This Agreement shall be binding upon and shall inure to the benefit of the City and the Agent and their respective successors and assigns. In addition, this Agreement shall
constitute a third-party beneficiary contract for the benefit of the owners of the Refunded Bonds.
Said third-party beneficiaries shall be entitled to enforce performance and observance by the City and the Agent of the respective agreements and covenants herein contained as fully and completely as if said third-party beneficiaries were parties hereto. Any bank or trust company into which the Agent may be merged or with which it may be consolidated or any bank or trust
company resulting from any merger or consolidation to which it shall be a party or any bank or
trust company to which it may sell or transfer all or substantially all of its corporate trust business shall, if the City approves, be the successor agent hereunder without the execution of any additional document or the performance of any further act.
12. This Agreement may not be amended except to sever any clause herein deemed to
be illegal or cure any ambiguity or correct or supplement any provision herein which may be
inconsistent with any other provision; provided that the Agent shall determine that any such amendment shall not adversely affect the owners of the Refunded Bonds.
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IN WITNESS WHEREOF the parties hereto have caused this Escrow Agreement to be
duly executed by their duly authorized officers, as of the 5th day of March, 2020.
CITY OF BOZEMAN, MONTANA
__________________________________ Mayor
__________________________________ City Manager
__________________________________ City Finance Director
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U.S. BANK NATIONAL ASSOCIATION,
as Escrow Agent
__________________________________ By
Its Vice President
(Signature page to Escrow Agreement, dated March 5, 2020,
with the City of Bozeman, Montana)
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B-A-1
EXHIBIT A
DEBT SERVICE SCHEDULE FOR
REFUNDED BONDS
Date Principal Interest Total
04/09/2020 $3,995,000 $52,871.68 $4,047,871.68
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B-B-1
EXHIBIT B
NOTICE OF REDEMPTION
Tax Increment Urban Renewal Revenue Bonds, Series 2007 (Downtown Bozeman Improvement District) City of Bozeman, Montana
NOTICE IS HEREBY GIVEN that the City of Bozeman, Montana (the “City”), has called for redemption all of its Tax Increment Urban Renewal Revenue Bonds, Series 2007 (Downtown Bozeman Improvement District), dated, as originally issued, as of December 27, 2007, maturing on July 1 in the years and amounts and bearing interest and CUSIP numbers as
set forth below:
Maturity (July 1) Principal Amount Interest Rate CUSIP Number 2020 $ 230,000 4.40% 103707 AN5 2021 240,000 4.50% 103707 AP0
2022 250,000 4.60% 103707 AQ8
2023 260,000 4.70% 103707 AR6 2024 275,000 4.80% 103707 AS4 2028* 1,235,000 4.95% 103707 AW5 2032* 1,505,000 5.00% 103707 BA2
*Term Bonds
Such bonds have been called for redemption on April 9, 2020, and interest thereon will cease to accrue from and after said date. The redemption price is equal to the principal amount of the bonds plus interest accrued to the redemption date, without premium.
Holders of such bonds maturing in said years should surrender their bonds for payment to
U.S. Bank National Association, as paying agent, for payment on April 9, 2020 at its operations center at 60 Livingston Avenue - Bond Drop Window, St. Paul, Minnesota 55107 or if by mail to P.O. Box 64111, St. Paul, Minnesota 55164-0111.
Important Notice:
We are required by law to withhold an applicable portion of the principal amount of your
holdings redeemed unless we are provided with your social security number or federal employer identification number, properly certified. Accordingly, you are instructed to submit at the time of surrender of your bonds a W-9 Form which may be obtained at a bank or other financial institution.
Under the Jobs and Growth Tax Relief Reconciliation Act of 2003, federal backup
withholding tax will be withheld at the applicable backup withholding rate in effect at the time the payment is made if the tax identification number is not properly certified.
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The paying agent shall not be held responsible for the selection or use of the CUSIP
number, nor is any representation made as to its correctness indicated in the Redemption Notice. It is included solely for the convenience of the holders.
Interest on the bonds shall cease to accrue on April 9, 2020 and the holders thereof shall have no further rights with respect thereto except to receive the redemption price so deposited.
Dated: March 5, 2020.
U.S. BANK NATIONAL ASSOCIATION
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Draft Memo
To: Ellie Staley, Downtown Bozeman Partnership
David Fine, City of Bozeman
From: Mikaela Huot, Director
Date: July 9, 2021
Subject: Preliminary Downtown Bozeman Parking Financial Analysis
Background
The City of Bozeman established the Downtown Urban Renewal District to facilitate development and
redevelopment in the area and specifically as a method for financing of certain public improvements, including
structured parking, in the defined downtown area. The City and Downtown Bozeman Partnership have
requested assistance with preparing a financial feasibility and debt capacity analysis related to financing of
certain public infrastructure and parking improvements with tax increment revenues as a funding source. The
purpose of this memorandum is to provide a summary of the financial and debt capacity analysis as related to
ability of the district to finance improvements.
The City and Partnership have provided preliminary cost estimates for certain improvements in downtown that
include primarily parking and other enhancements to the area. We anticipate additional discussion will be had
relative to feasibility of financing certain improvements, as well as timing for incurring those costs. The
preliminary costs have been based on estimates for structured parking and other related improvements in the
downtown and do not include acquisition or site control costs for specific locations. We understand an ultimate
goal would be to establish one or more public/private partnerships to facilitate construction of future
improvements to incorporate the public and private elements related to new development.
Assumptions
The financing scenarios include a debt capacity matrix with variations to both interest rate and revenue
assumptions. The interest rate variables include 1) tax-exempt, 2) taxable and 3) 50/50 mix of both, as
discussed in previous conversations. Borrowing rates would be reflective of current market in this matrix. The
revenue assumptions are that we either 1) hold net revenues constant through 2032 (net amount available of
approximately $1.1+ million per year after debt service and operating expenses), 2) grow revenues by 3% each
year and 3) alternate scenario that includes additional revenues generated from 1-time new value growth of $10
million with no future inflation.
1. Interest rate for tax-exempt scenarios was based on the resolution for the last refunding (Series 2020),
at 2.44%. This rate was judged by the Municipal Advisory team to be in tow to current rates for similar
issues.
2. Interest rate for the taxable scenarios was based on the resolution for the last refunding (Series 2020),
which specified that in the event of taxability, “the interest rate on this Bond shall increase to an interest
rate per annum equal to the quotient of the tax-exempt rate of interest on the Series 2020 Bond (2.44%)
divided by 67.5% (the “Taxable Rate”).”
3. Rate of increase for the increasing revenue scenarios is 3% per year.
4. The $10 million increased value scenarios pertain to an aggregate increase in that amount to the
properties in the TIF district. Which, given current rates would increase annual revenues available for
debt service repayment starting in 2024 and going through the maturity date.
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5. A coverage ratio of 1.3x is assumed.
6. Bond analysis assumes a serial issue with its first principal payment in 2022 and maturity date of
07/01/2032.
7. Revenue available for bond payments is net of the projected operational budget for the district and debt
service payment for the existing bonds.
8. Costs of issuance were based off a similar deal completed for a TIF District in Billings, MT, in April of
2021.
First set of scenarios that incorporate current interest rate assumptions:
First Scenario: Tax-Exempt Bonds
Par Interest
(2.44%)
Total DS TIC Net Project Cost
Constant Revenue $8,235,000 $1,160,190 $9,395,190 2.6748% $8,026,180
Increased Revenue (3%) $9,525,000 $1,418,787 $10,943,768 2.6365% $9,300,700
$10MM Increase (2024) $9,715,000 $1,410,981 $11,125,981 2.6635% $9,488,420
Second Scenario: Taxable Bonds
Par Interest
(3.615%)
Total DS TIC Net Project Cost
Constant Revenue $7,755,000 $1,642,792 $9,397,792 3.8521% $7,551,940
Increased Revenue (3%) $8,940,000 $2,008,675 $10,948,674 3.8394% $8,722,720
$10MM Increase (2024) $9,130,000 $1,997,859 $11,127,860 3.8447% $8,910,440
Third Scenario: 50/50
Par Interest Total DS TIC Net Project Cost
Tax Exempt $4,105,000 $578,026 $4,683,026 2.6704% 3,999,097
Taxable $3,865,000 $818,240 $4,683,240 3.8523% $3,758,024
Total – Constant
Revenue
$7,790,000 $1,396,266 $9,366,266 3.2475% $7,757,121
Tax Exempt $4,755,000 $708,424 $5,643,424 2.6583% $4,641,197
Taxable $4,460,000 $1,002,500 $5,462,500 3.8393% $4,346,011
Total – Increased
Revenue
$9,215,000 $1,710,923 $10,925,923 3.2349% $8,987,208
Tax Exempt $4,840,000 $703,411 $5,543,411 2.6415% $4,725,252
Taxable $4,555,000 $996,550 $5,551,550 3.8448% $4,447,008
Total – $10MM Increase $9,395,000 $1,699,961 $11,094,961 3.2427% $9,172,260
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Second set of scenarios that incorporate 100 basis point increase to interest rate assumptions:
First Scenario: Tax-Exempt Bonds – 100bps Bump
Par Interest (2.44%) Total DS TIC Net Project Cost
Constant Revenue $7,815,000 $1,572,037 $9,387,037 3.6761% $7,611,220
Increased Revenue (3%) $9,020,000 $1,821,985 $10,941,985 3.6338% $8,801,760
$10MM Increase (2024) $9,215,000 $1,914,202 $11,129,202 3.6688% $8,994,420
Second Scenario: Taxable Bonds – 100bps Bump
Par Interest
(3.615%)
Total DS TIC Net Project Cost
Constant Revenue $7,375,000 $2,018,466 $9,393,466 4.8581% $7,176,500
Increasing Revenue (3%) $8,480,000, $2,467,717 $10,947,717 4.8447% $8,268,240
$10MM Increase $8,675,000 $2,456,815 $11,131,815 4.8501% $8,460,900
Third Scenario: 50/50 – 100bps Bump
Par Interest Total DS TIC Net Project Cost
Tax Exempt $3,905,000 $784,592 $4,689,592 3.6764% $3,801,484
Taxable $3,670,000 $1,000,955 $4,674,955 4.8580% $3,572,666
Total – Constant
Revenue
$7,575,000 $1,396,266 $9,366,266 4.2531 $7,374,150
Tax Exempt $4,500,000 $959,588 $5,459,588 3.6336% $4,387,819
Taxable $4,235,000 $1,002,500 $5,462,500 4.8445% $4,130,941
Total – Increasing
Revenue (3%)
$8,735,000 $2,193,197 $10,928,197 4.2410% $8,518,759
Tax Exempt $4,455,000 $920,501 $5,375,501 3.6700% $4,344,887
Taxable $4,195,000 $1,181,305 $5,376,305 4.8515% $4,091,313
Total – $10MM Increase $8,920,000 $2,178,534 $11,098,534 4.2460% $8,702,960
There are several important overarching assumptions we have to make as they impact the feasibility of the
entire analysis (as has been discussed previously but restating for reference and additional conversation):
1. We are assuming that the District can incur additional debt. However, both the Series 2007 and the
Series 2020 indentures do not allow for additional debt. Your bond counsel has confirmed that currently
there is no additional bonds provision and issuing additional debt within the District would require City
Council to take action and would likely require sign off from both the County and the School District.
While not insurmountable, this would present a substantial legal hurdle to clear prior to any additional
issuance.
The Series 2020 refunding does not allow for additional debt and the bonds are only callable in 2026.
This means that the only possible ways to issue additional debt under the indenture as it currently
exists would be to either issue additional debt to defease the Series 2020 Bonds or to subordinate the
new bonds to the Series 2020 Bonds; even here any additional subordinate debt may face the same
current debt prohibition. Both alternatives would be costly and at this point we would not recommend
either one. Defeasing the Series 2020 Bonds would require funding an escrow through the call date,
57
which mean that the District would need to bond for interest payments through 2026, adding a
substantial expense to the defeasance. Subordinating the new bonds to the Series 2020 Bonds would
erode the credit quality of the new borrowing and would substantially decrease investor interest in the
offering. While the Series 2020 Bonds were not rated, the Series 2007 Bonds received a rating of BBB
at the time of issuance. Assuming that this rating carries forward to today, it is likely that the highest
rating outcome possible on the new debt would be BBB- with a junk bond rating outcome possible as
well.
There is a third option in this situation, which is to negotiate with Truist, the current holder of the Series
2020 Bonds, and get them to accept additional parity debt under the indenture. Given that the refunding
was a private placement, this is not out of the realm of possibility. There is a strong likelihood that they
would agree to it under the condition that any additional debt that gets issued is also placed with them.
In any event, selling additional bonds for the District as parity bonds to the Series 2020 Bonds appears
to be the only prudent, cost-effective option in our opinion. If sold as public debt, the additional bonds
could be rated and sold into the public market in a process similar to the sale of the Series 2007 Bonds
or, more recently, the Midtown District’s Series 2020 sale. In the event that Truist requires the debt be
placed with them, the Partnership would need to work to ensure that Truist accepts a fair market rate on
the new borrowing.
For purposes of our analysis, in all scenarios we assumed that the additional borrowing is issued in the
form of rated, parity senior debt of the District.
3. Along the lines of the credit assumptions outlined in #2 above, we assumed that coverage can be
calculated using the gross revenue number (approximately $1.8 million for FY2021) as total revenue
available for debt service. While we would still reduce the gross revenues by the assumed operating
expense of approximately $200k per year and the debt service on the existing bonds of $335k per year
to calculate revenues available for new debt service, using the gross revenue number allows us to
essentially ignore the operating expense for coverage calculations.
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Memorandum
REPORT TO:Downtown Area Urban Renewal District Board
FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership
SUBJECT:October Finance
MEETING DATE:November 16, 2021
AGENDA ITEM TYPE:Finance
RECOMMENDATION:Discussion
STRATEGIC PLAN:7.3 Best Practices, Creativity & Foresight: Utilize best practices, innovative
approaches, and constantly anticipate new directions and changes relevant
to the governance of the City. Be also adaptable and flexible with an
outward focus on the customer and an external understanding of the issues
as others may see them.
BACKGROUND:The Executive Director will provide an update on year-to-date expenses.
UNRESOLVED ISSUES:None.
ALTERNATIVES:None.
FISCAL EFFECTS:None.
Attachments:
URD Finance Report 11-21.pdf
Report compiled on: November 11, 2021
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Downtown URD November 2021 Finance Report
Downtown Urban Renewal District Finance Report
Category
Approved
FY2022 Budget FY2022 YTD recent activity
Income
Starting Cash Balance 3,295,598$ ** Final FY21 numbers
Income from TIF 335,000$
COB Interlocal Share 1,456,000$
Entitlement Share State of Montana 57,050$
Interest Income 20,000$
Other Income
Total Income 5,163,648$ -$
Expenses
Operations
DBP Management Fee 190,000$ 95,000$
Total Operations 190,000$ 95,000$
Infrastructure Improvements
Street Furniture and Park Maintenance 25,000$ 2,851$ $858 Hydro Logistics
Streetscape--new purchases 30,000$ $220 christie electric
North Rouse Streetscape Project $723 greenspace
FY Encumbered- Streetlamps (26 qty)85,000$ 78,767$ $3570 lamp skirts
Phase 1 Construction: Conduit 17,000$ 9,272$ $2762 TDH
Phase 2 Construction: Lamps 80,000$ 128,344$ $84,102 montana lines
North Willson Streetscape Project 75,000$
Streetscape Assistance Grant Program 50,000$
Streetlamp Power Reconfiguration Project
Alley Improvements 50,000$
FY20 Encumbered 19,000$
DBIP: Bozeman Creek Improvements 50,000$
DBIP: Wayfinding & Parking Signage 15,000$
Life-Safety Grant Program 50,000$
Fiber Infrastructure 100,000$
Fiber-Broadband Infrastructure--Grants 10,000$ 3,200$
Intersection Cable Anchor Repairs 30,000$ 3,613$ $2145 Kerin & Assoc
DBA Event Stage 50,000$
Parklet 50,000$
Alternative Transportation Projects 75,000$
Total Improvements 861,000$ 226,047$
Planning
City Economic Development Specialist 33,000$
Technical Assistance Grants 50,000$
FY20 & FY21 Encumbered Funds 45,000$
Residential Incentive Program 200,000$
DBIP: Transportation Planning 25,000$
21 Encumbered- Part Two--Data, Analysis, Cost Est 91,000$
DBIP: Alley Planning 45,000$ 110$ $110 groundprint
DBIP: Bozeman Creek Planning 30,000$
DBIP: Soroptomist Park Planning 50,000$
DBIP: Code Amendments 20,000$ 1,648$
DBIP: Design Guidelines 85,000$
DBIP: Downtown Infrastructure & Public Realm 100,000$
DBIP: General Implementation 100,000$ 5,250$ $5250 2022 economic
DBIP: Employee Paid Parking Permit System 20,000$
DBIP: Wayfinding Plan & Parking Signage 10,000$
Utility and Infrastructure Improvement 250,000$
Structured Parking Feasibility Analysis 35,000$ 3,965$ $569 SS
Structured Parking Informal, Site Plan, Bids 750,000$
Professional Services Term Contract 75,000$
Streetscape Preliminary Engineering 50,000$
Total Planning 2,064,000$ 10,973$
Parking Structure
Garage Bond Payment 335,000$
Total Parking Garage Payments 335,000$ -$
Total Expenses 3,450,000$ 332,020$
Balance 1,713,648$ (332,020)$
URD Finance Report 11-21
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Memorandum
REPORT TO:Downtown Area Urban Renewal District Board
FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership
SUBJECT:Executive Director's Report
MEETING DATE:November 16, 2021
AGENDA ITEM TYPE:Policy Discussion
RECOMMENDATION:Discussion
STRATEGIC PLAN:4.4 Vibrant Downtown, Districts & Centers: Promote a healthy, vibrant
Downtown, Midtown, and other commercial districts and neighborhood
centers – including higher densities and intensification of use in these key
areas.
BACKGROUND:The Executive Director will provide an update to the Urban Renewal District
Board
UNRESOLVED ISSUES:None.
ALTERNATIVES:None
FISCAL EFFECTS:None
Attachments:
DBP Monthly ED Report 11-21.pdf
Report compiled on: November 11, 2021
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Downtown Bozeman Partnership – ED Report
November 2021
General Downtown Updates:
• DBP Annual Report/Communications Plan: Staff is in the process of developing a DBP Annual
Report with FY2021 statistics and data from all 3 DBP organizations. Hoping to make report
public by late Nov./early Dec. DBP Staff has also developed a strategic communications plan for
all 3 DBP organizations to make sure all of our members, supporters and stakeholders are kept
updated, informed and engaged through a varied ways throughout the year. Ellie has shared
this with the DBP Board members for review and feedback. This is an evolving document and
will be reviewed biannually.
• Downtown Maintenance Update: Mike and Trish will be working part-time through the winter.
Downtown was recently tagged with graffiti in several downtown locations. These have all been
removed by Mike and Clean Slate Group and we appreciate their promptness.
• Outreach Bozeman: The next De-escalation training is scheduled for Nov. 12. Ellie is attending
along with several other confirmed downtown stakeholders. Emily was invited to join a
community-wide homelessness and housing effort. She will keep us updated on the progression
of programming and how it relates to downtown.
• Commercial Listings on DBP Website: There is a new resource on our DTNBZN Website to list
commercial properties for lease or for sale. For more info visit:
https://downtownbozeman.org/resources/downtown-commercial-properties.
URD Updates:
• Parking Structure Plans/Bonding Analysis: Two members of the URD Board, representatives
from the City, Term Team and additional Stakeholders have formed a parking/bonding working
group. The next scheduled meeting is tentatively set for mid-Nov. and will hear a presentation
on the current parking data and discuss possible parking structure site recommendations.
• Alley Project: Ellie and Emily has compiled a scope of work that we feel is feasible and mostly
within the public right of way. We are hopeful to hire a project manager soon to take us into
Phase I and we’re hopeful we can go to bid on this project within this fiscal year. Link to Alley
Concept Plan: https://s3.us-west-2.amazonaws.com/dba-2021/Resource-PDFs/2020-11-
12_Bozeman_Alleyways_-_Report_Reduced.pdf.
• Downtown Streetscape/Utility Infrastructure Improvements Update: URD approved electrical
funding for 137 East Babcock for historic streetlamp installation and extending electrical access
within district and originally they had denied the funding but after reconsideration, the conduit
has been installed and we will be invoiced for the cost. Future work on the streetscape grant
program and the creation of a downtown “standard” will be done and board will be updated
often.
• North Rouse Lighting Project: Check out the newly lit South Rouse corridor from Main to Lamme.
There are 20 new streetlamps funded by the URD lining both side of the street. We are waiting
for re-sized skirting order, hope to wrap up project by next week.
62
City of Bozeman Updates:
• Appointments to the newly consolidations citizen advisory boards (Transportation Board,
Sustainability Board, Urban Parks and Forestry Board, the Economic Vitality Board, and
Community Development Board) will take place at the November 16th City Commission
Meeting. The current advisory boards will be dissolved at the end of 2021, this does not
include the BID or URD boards.
• The community engagement process will begin in November surrounding B-3 building height
and zone edge transition edits to the UDC.
https://www.bozeman.net/government/planning/udc-discussions
• At the October Parking Commission meeting, Walker Consultants gave a presentation of the
recently completed Downtown Bozeman Parking Study which studied the occupancy and
movement of parking in the downtown core. The study found that in the core area, parking
occupancy exceeded 85% during the summer weekday afternoons. Mike Veselik will do a
shortened presentation of this study to the parking working group on Nov. 12.
Upcoming DBA Events/Programs, more info at www.downtownbozeman.org
• Ladies’ Night – November 18, 5-10pm, over 60 business participants!
• Small Business Saturday – November 27, all-day
• Christmas Stroll – Saturday, Dec 4, 4:30-7:30pm.
• Art Walks – Friday, December 10, 6-8pm
Building Projects:
• Merin Condos - (on North Bozeman across from Dave’s Sushi) 28 units of owner-occupied
housing. NOW OPEN
• Village Downtown - 30 new residential condo units and 9 single-family lots have been
approved by city and are in early phase of construction.
• AC Hotel (5 East Mendenhall) 6 story 140 room full-service hotel. Under construction.
• East End Flats (240 East Mendenhall) - The six-story mixed-use building has been approved by
the city and is expected to include commercial, office, and residential space with underground
parking.
• Cairn Townhomes (northwest corner of W Beall & N Grand)—5 townhome condos currently
under construction.
• North Central (20 North Tracy)—Mountain View & Medical Arts buildings, phased master site
plan development proposing a total of 9 new mixed-use buildings, associated parking, open
space and infrastructure. Application submitted.
• 137 East Babcock (formerly Gallatin Laundry) – large redevelopment project in progress,
windows currently being installed, they’re beautiful!
• US Bank Building (104 East Main Street) - renovation has begun. Extensive HVAC installation
took place with assistance by helicopter last Sunday.
New Businesses (since October 2021):
• Out West Trading Post (formerly Collective), 5 East Main – OPENING Nov, 1
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• Zebra Cocktail Lounge, 321 East Main – REOPENED, new ownership
• Shred Monk, 121 W Main – OPENING in Feb. 2022
• 27 East Main - being redeveloped as a steak house by Plonk owners
• TBD - 544 East Main—formerly Heeb’s – building improvements underway
• TBD—127 E Main—formerly A Banks Gallery—TBD
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