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HomeMy WebLinkAbout04-16-24 - Downtown Urban Renewal District Board - Agendas & Packet MaterialsA. Call meeting to order - 12:00 p.m. B. Disclosures C. Changes to the Agenda D. Public Comment E. Action Items THE DOWNTOWN AREA URBAN RENEWAL DISTRICT BOARD OF BOZEMAN, MONTANA DURD AGENDA Tuesday, April 16, 2024 General information about the Community Development Board is available in our Laserfiche repository. If you are interested in commenting in writing on items on the agenda please send an email to comments@bozeman.net or visit the Public Comment Page prior to 12:00pm on the day of the meeting. Public comments will also be accepted in-person and through Video Conference during the appropriate agenda items. As always, the meeting will be streamed through the Commission's video page and available in the City on cable channel 190. For more information please contact Ellie Staley, ellie@downtownbozeman.org This meeting will be held both in-person and also using an online video conferencing system. You can join this meeting: Via Video Conference: Click the Register link, enter the required information, and click submit. Click Join Now to enter the meeting. Via Phone: This is for listening only if you cannot watch the stream, channel 190, or attend in- person United States Toll +1 346 248 7799 Access code: 956 1935 4304 This is the time to comment on any matter falling within the scope of the Downtown Urban Renewal District Board. There will also be time in conjunction with each agenda item for public comment relating to that item but you may only speak once per topic. Please note, the Board cannot take action on any item which does not appear on the agenda. All persons addressing the Board shall speak in a civil and courteous manner and members of the audience shall be respectful of others. Please state your name and place of residence in an audible tone of voice for the record and limit your comments to three minutes. 1 E.1 Downtown Urban Renewal District FY25/FY26 Budget & Work Plan Approval.(Staley) F. FYI/Discussion F.1 Executive Director's April 2024 Report (Staley) G. Adjournment Approval For more information please contact Ellie Staley, Downtown Bozeman Partnership, ellie@downtownbozeman.org This board generally meets the 3rd Tuesday of the month from 12:00 to 1:30pm City Board meetings are open to all members of the public. If you have a disability that requires assistance, please contact our Acting ADA Coordinator, Max Ziegler, at 406.582.2439 (TDD 406.582.2301). 2 Memorandum REPORT TO:Downtown Area Urban Renewal District Board FROM:Ellie Staley, Executive Director SUBJECT:Downtown Urban Renewal District FY25/FY26 Budget & Work Plan Approval. MEETING DATE:April 16, 2024 AGENDA ITEM TYPE:Finance RECOMMENDATION:Approval 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:Ellie will present the final draft of the FY25 Budget with FY24 Year-End Projections and FY26 estimates. Board to review and vote on FY25 Work Plan and Budget and an estimated FY26 Budget, with or without changes presented by board. Budget to be presented and approved by the City Commission at the May 14 meeting. UNRESOLVED ISSUES:None. ALTERNATIVES:None. FISCAL EFFECTS:None. Attachments: FY2025 URD Work Plan-Budget_DRAFT-DURD.pdf DTN URD Budget FY2025-FY2026-DRAFT v.3.pdf Report compiled on: April 10, 2024 3 Downtown Urban Renewal District FY2025 Work Plan and Budget Downtown URD Mission Statement The Downtown Bozeman Urban Renewal District board (URD) will foster an economically thriving district that: 1) attracts investment; 2) stabilizes and strengthens the tax base; and 3) supports the vitality and diversity of the Gallatin Valley as its social and cultural center. In 1995, the City Commission adopted the Urban Renewal Plan for downtown Bozeman which was subsequently amended in 2015. The intent and purpose of the Urban Renewal Plan emphasizes: 1. Bozeman’s historical character as a “working” downtown shall be maintained. 2. Traffic movement and access shall be designed with the emphasis on the downtown as a designation rather than improving the flow of through traffic. 3. The facilitation of private/public partnerships is encouraged in the implementation of the Plan. 4. Objectives shall be accomplished by incentives whenever possible. 5. Private property rights will be respected. 6. Administrative practices shall be conducted in a constructive manner which fosters cooperation. 7. This Plan is further detailed, refined, prioritized and implemented by the “Downtown Improvement Plan” which outlines specific programs and projects consistent with the Urban Renewal Plan. The Urban Renewal Plan established nine “Guiding Principles” to provide direction for improving Bozeman’s historic downtown. The Urban Renewal Study Committee considered the first three principles more important than the next three with the last three the least important. However, the Committee deemed all nine principles to be vital to achieving the vision for downtown. Key implementation actions were identified for each principle (may apply to multiple principles but are only listed once below). 1. Strengthen downtown’s economic vitality 2. Improve the safety, security and health of the district 3. The image of downtown shall be continuously improved 4. Downtown’s accessibility shall be improved 5. “Community Partnership” is fundamental to downtown’s success 6. Downtown’s diversity shall be facilitated 7. The cost of projects and programs shall be weighed against their benefits 8. Downtown shall become more user friendly 9. Cultural activities shall be nurtured and expanded downtown Downtown URD FY25 Programs, Projects and Initiatives The Downtown URD anticipates an FY24 year-end balance of $6.1 million and FY24 revenues are projected to be $2.3 million which totals just under $8.5 million of funding available for FY25. The proposed FY25 expenditures along with encumbered and allocated funds, total $8.4 million with an estimated FY25 year-end balance of $81,500. The following work plan and budget outline these projects and projected expenses. Ongoing DBP/City of Bozeman Operational Support: 4 Downtown Bozeman Partnership (DBP) Management Fee (FY25 $236,000) An estimated 7% increase in FY25. The DBP continues to see rises in health care premiums, energy bills and overall operational costs. As an organization, we continue to operate on tight margins and assume stewardship over downtown designated funds to ensure high-level staff support while also providing stable organizational support through the DBP. City of Bozeman Economic Development Staff Support (FY25 - $64,300) This expense helps fund a portion of payroll expenses for City of Bozeman staffing support. Over this past year, specifically, we have worked collaboratively to establish our city staffing support to be utilized to the fullest as seen through continued TIF state policy support and improvement agreement assistance. As anticipated, we will see a small increase in this cost, based on increases to city staff salaries and benefits. Current Encumbered Projects and Programs: Park Improvements & Planning (Soroptimist Park/North Black Pocket Park) (FY25 Planning and Small Improvements - $60,000) In FY24, we re-allocated funds to complete the needed infrastructure work at the North Black Pocket Park, while making minor improvements to Soroptimist Park, like enhanced pedestrian access, additional fencing and tree trimming. Into FY25, I am proposing partnering with the City Parks Department to focus on a future redevelopment project at Soroptimist Park, with potential construction in FY26. Alley Improvement Project & Planning (FY25 - $75,000) The Alley Improvement Project is in the construction phase and slated to be complete by early FY25 with the majority of allocated funds to complete one full alley to be paid within FY24 or encumbered into the early part of FY25. The DURD has decided to review the benefits of this project into FY25, with some additional funds to complete or enhance the current project and begin planning for the next, with hopes to complete another full alley project in FY27. Tree Replacement Project (FY25-FY27 - $50,000) These funds have been reallocated into a separate line item based on increased needs over the past two years. Between 2022 and 2023, the City Forestry Department removed 16 trees with more slated now and into the future. With city staffing issues and an average annual tree replacement plan of 3-4 trees, the DURD stepped in to help. In FY2024, the DURD removed and replaced 5 difficult trees under the “Streetscape Improvement” category and hope to continue to allocate funds more specifically until we can collectively catch up on this issue by FY27. Workforce Housing Project – Fire Station One (FY23-FY27 - Encumbered $1,600,000) This is an encumbered expense approved for a project with 50 units of work force housing to be sold at 120% AMI. The $1.6 million approved for this project will be reimbursed at the certificate of occupancy and when all of the project conditions have been met. The property owner has 5 years from May 2023 to complete the work in order to be reimbursed these funds. On-going Programs & Projects in FY25: Utility Improvements/Planning (FY25 - $350,000) 5 Public utility improvements within the downtown district continues to be a top priority for the DURD Board, specifically knowing our URD district sunset in 2032. There have been several recent opportunities to partner with development projects within our district to assist with public improvements through an improvement agreement. These agreements can result in large scale updates to deferred public utility and infrastructure improvements like sewer lines, stormwater drains, road and sidewalk repairs and more. These projects come up with little prior knowledge the board wishes to allocate funds in order to support as needed into the next fiscal year. Wayfinding and Parking Signage Project – Planning/Infrastructure (FY25 - $50,000) This ranked as a top project on the URD board prioritization exercise to expand and clarify what amenities and parking are available. After putting this project on hold through FY23 and FY24, there is a renewed interest in completing this project, potentially with State Grant funding assistance. Bozeman Creek (FY25 Planning for Proposed Master Plan - $20,000) A Montana Coal Endowment Grant was granted in late FY24 to the City of Bozeman and local professionals for preliminary engineering work and flood plain updates to look at flood plan mitigation within downtown. Bozeman City Commission has listed Bozeman Creek as a FY25 priority (to be adopted). The DURD board would like to continue supporting planning efforts aimed specifically at flood mitigation and safety improvements within the DURD district. Alternative Transportation Projects/Planning (FY25 Improvements - $50,000) We continue to focus on pedestrian safety and downtown access along Mendenhall and Babcock. We are currently developing a scope with short and long-term attainable solutions with the City Public Works and Engineering departments. We hope to implement some safety improvements in FY25 like bright signage, increased pedestrian safety features and more. If the Black Avenue bike lane project gets going again, there is potential to support that project within our district. Streetscape Design and Engineering Planning (FY25 $35,000) • Streetscape Design Standard – Complete and utilize for future projects for consistency and compliance. Set to be completed in late FY24, utilized for upcoming projects in FY25. • Streetscape Side-Street Preliminary Engineering - Update and continue planning to extend the streetscape to non-completed sections of Main Street, Babcock, and Mendenhall. and along side-streets, the goal is to establish “opportunity locations” (ex. North Wilson, South Wallace, West Main to 5th or 7th) and expand the “Streetscape Assistance Grant” funding capacity for future planning and infrastructure completion. Parking Management Planning and Data Collection (FY25 - $20,000) Although Paid Parking was denied in FY24, there continues to be concerns and questions surrounding a future management plan for downtown parking. Consistent data collection for informed decision making continues to be a priority of the DURD board. We hope to collect and utilize data in FY25 to assist in decisions made and potential future parking funding assistance. Structured Parking Site Plan, Bids - Planning (FY25 - $1,750,000, 000) Allocated funds to support future parking supply infrastructure planning costs Parking Supply – Allocated funds for future project (FY25 - $3,000,000) Although “parking supply and infrastructure” has been a DURD priority for many years, established in both downtown plans and outlined in Resolution 1409. Although funds for the construction and development for this project have not been formally allocated based on bonding capacity. Discuss how 6 to allocate these funds or establish documentation for future allocation of funds once a bond capacity study has been completed. Downtown URD Grant Opportunities in FY25: URD Grant Programs – The URD grants have been updated to reflect current code updates and can now be completed online. Continued revisions and updates have bene made to make grants relevant. A more aggressive approach to advertise the grants has been done with great results in FY24. • Streetscape Assistance (FY25 - $100,000) ▪ Knowing the DURD cannot fund all streetscape improvements in the district, there is interest in increasing the availability for redevelopments, where funding can assist in the completion of streetscape and sidewalk improvements. • Fiber Infrastructure Grant (FY25 - $10,000) ▪ No big changes needed, continue to be used and generally see up to 5 applicants/yr. • Life-safety Grant (FY25 - $30,000) ▪ Great investment but only for larger re-development projects, assume 2-3 per/yr. at $10K/ea. • Technical Assistance Grant (FY25 - $50,000) ▪ Continue to help projects move forward. Used on nearly ever redevelopment within our district • Residential Incentive Program (FY25 - $200,000) ▪ One applicant in FY24, 5th and Main 6-story residential project, likely to be reimbursed in FY25. With several new housing projects slated in our district in the coming years, keeping these funds available can assist with smaller, more affordable units. • Art Enhancement/CPTED Grant (NEW in FY25 - $20,000) ▪ As safety and beautification continue to be a priority for urbans districts and Bozeman specifically, we would like to make funds available to private developers and property owners to enhance public portions of their properties through art and safety elements. We have seen success in these funding programs across the state and would like to explore the concept in Downtown Bozeman through FY25. Format of application and distribution of funds TBD. 7 Downtown Urban Renewal District Board - FY25/26 DRAFT Category FY24 FINAL Budget FY24 Year- End Proj. FY25 DRAFT Budget FY26 DRAFT Budget Notes: Income Starting Cash Balance $7,256,100 $5,310,511 $6,061,900 $91,500 Income from TIF COB Interlocal Share $1,558,200 $2,295,800 $2,362,500 $2,598,800 Entitlement Share State of Montana $57,100 $57,100 $57,100 $57,100 Interest Income $2,100 $2,100 $2,100 $2,100 Other Income Total Income $8,873,500 $7,665,511 $8,483,600 $2,749,500 Expenses Operations DBP Management Fee $220,000 $220,000 $236,000 $251,000 City Administrative Costs/Support $58,100 $58,100 $61,100 $64,300 Total Operations $278,100 $278,100 $297,100 $315,300 Infrastructure Improvements Park Improvements (Soroptimist/NBPP)$25,000 $54,100 $10,000 $250,000 Partner w/ CoB Alley Improvements $250,000 $298,000 $50,000 $0 Utility Infrastructure Improvements $300,000 $336,000 $350,000 $400,000 Wayfinding & Parking Signage $15,000 $15,000 $20,000 MT Grant Bozeman Creek Improvements $0 $0 $10,000 MCEP in FY25 Alternative Transportation Projects $50,000 $40,000 $25,000 Tree Replacement Project (Streetscape Imp. in FY24)$50,000 $50,000 Street Furniture/Streetscape Improvements & Furniture $50,000 $66,059 $25,000 $25,000 Intersection Cable Anchor Repairs $25,000 $10,000 $10,000 Parklet Infrastructure $20,000 $20,000 $0 Streetlamp Power Reconfiguration Project (SILD)$100,000 $20,000 $100,000 $0 1 time cost Streetscape Assistance Grant Program $50,000 $18,000 $50,000 $100,000 increase funding? Life-Safety Grant Program $30,000 $30,000 $30,000 Fiber-Broadband Infrastructure Grants $10,000 $10,000 $10,000 Art Enhancement/CPTED Grant Program $20,000 $20,000 New in FY25 Housing Assistance Residential Incentive Grant Program $200,000 $50,000 $200,000 $200,000 Workforce Housing Project - Fire Station One $1,600,000 $1,600,000 Total Improvements $2,725,000 $842,159 $2,580,000 $1,150,000 Planning Park Improvement Planning (Soroptimist/NBPP)$0 $50,000 $0 Alley Planning $50,000 $50,000 $25,000 $10,000 Utility Infrastructure Improvement Planning $50,000 $50,000 $50,000 Wayfinding Plan Development $25,000 $35,000 $10,000 Bozeman Creek Planning $20,000 $15,000 $20,000 $10,000 CC priority Alternative Transportation Planning $50,000 $10,000 $25,000 Downtown Streetscape Design Standards $0 $65,000 $10,000 $10,000 Side-Streetscape Preliminary Engineering $100,000 $25,000 $50,000 N Willson, W Main Parklet Planning/Program $20,000 $10,000 $20,000 DBIP General Implementation $50,000 $13,665 $50,000 $50,000 Professional Services Term Contract $75,000 $75,000 $75,000 Code Amendments $0 $1,500 $0 $0 Downtown Infrastructure & Public Realm Plan $50,000 $0 $0 Technical Assistance Grant Program $50,000 $50,000 $50,000 Parking Parking Management Planning & Data Collection $20,000 $3,255 $20,000 $20,000 Structured Parking Informal, Site Plan, Bids $1,750,000 $1,750,000 $0 Parking Supply - Designated Funds $3,000,000 $3,000,000 $0 Total Planning/Parking $5,310,000 $148,420 $5,180,000 $380,000 Parking Structure Garage Bond Payment $335,000 $335,000 $335,000 $335,000 Total Parking Garage Payments $335,000 $335,000 $335,000 $335,000 Until 2032 Total Expenses $8,648,100 $1,603,679 $8,392,100 $2,180,300 Balance $225,400 $6,061,832 $91,500 $569,200 DURD FY25 DRAFT Budget 8 Memorandum REPORT TO:Downtown Area Urban Renewal District Board FROM:Ellie Staley, Executive Director Downtown Bozeman Partnership SUBJECT:Executive Director's April 2024 Report MEETING DATE:April 16, 2024 AGENDA ITEM TYPE:Plan/Report/Study RECOMMENDATION:Discuss 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:Ellie will present the monthly report of general program updates and updates to topics relating to downtown. Board will discuss relevant matters. UNRESOLVED ISSUES:None ALTERNATIVES:None FISCAL EFFECTS:None. Attachments: DBP Monthly ED Report 4-24 - DURD.pdf DURD Project Timelines FY24.pdf Downtown Development Business Tracking Sheet-Bus.Q2.pdf Downtown Development Business Tracking Sheet-Dev.Q2.pdf Report compiled on: April 10, 2024 9 Downtown Bozeman Partnership – ED Report April 2024 General Downtown Updates: • DBP Office/Programs: • DURD/BID/DBA/DBP FY25 Budget/Work Plans update: ▪ Staff Reviews complete ▪ Final budget/work plan approvals this week and next ▪ CC approval of BID/DURD on May 14 • Montana Main Street Program: o Application submitted o Mandatory Site Visit – Thursday, April 18 at 4pm, Baxter Ballroom, attendance from stakeholders is IMPORTANT! • Upcoming Meetings: o DURD Board Meeting – Tuesday, April 16 at 12pm o BID Board Meeting – Wednesday, April 17 at 12pm o DBA Board Meeting – Tuesday, May 7 at 8:30am • DBP Annual Breakfast and Awards – Wednesday, May 29 at 7:30am at the AC Hotel • Montana Downtown Conference - hosted by Downtown Bozeman| Downtown Livingston, Oct. 23-25. DURD/City of Bozeman Updates: • Current DURD Projects/Timelines: See attached spreadsheet • Future Discussion Items: Parking data collection, allocated parking funds, future streetscape projects • City Commission Meetings: o Upcoming CC meetings – ▪ Tuesday, April 16 at 6pm - https://www.bozeman.net/Home/Components/Calendar/Event/30872/104?curm=3&c ury=2024 o Previously recorded public meetings and live streams of meetings may be viewed here: https://www.bozeman.net/services/city-tv-and-streaming-audio. Upcoming Downtown Events • Restaurant Week – April 22-28, 2024 Q2 Downtown Project Update: See attachment Q2 Business Opening/Closing/Membership Updates: See attachment 10 Downtown URD Project UPDATE FY24 Project Name Project Address Timeline Schedule Professional FY24 Budget Status Alley Enhancement Northside Alley, Black to Tracy 12 Months FY24-FY25 D5/Groundpo int/CSI 300,000.00$ In Progress Pedlet Program Souh Willson/Misc.1-3 Years FY24 SS 70,000.00$ In Progress Tree Replacements 12-20 Trees in District 3-5 Years FY23-27 Sprout/Green space/CoB 50,000.00$ In-Progress Streetscape Improvements Varied N/A N/A TD&H/CoB 50,000.00$ Ongoing Total 470,000$ Project Name Project Address Timeline Schedule Professional FY24 Budget Status Streetscape Standards DURD District 6 Months FY24 Morrison- Maierle 65,000.00$ In-Progress SILD DURD District 6 Months FY24-25 TD&H/CoB N/A In-Progress Utility Imp./Tech Assistance 5th and Main St./Varied N/A N/A N/A 300,000.00$ Ongoing Wayfinding Plan DURD District 1-2 Years FY25 N/A 25,000.00$ Not Yet Started Total 390,000$ Project Name Project Address Timeline Schedule Professional FY24 Budget Status Parking Supply DURD District 2-8 Years FY25-31 Term Team/CoB 3,000,000.00$ Ongoing Data Collection DURD District 6 Months FY25 CoB/Walker Consulting 20,000.00$ Ongoing Structured Parking Site Plans N/A 1-3 Years FY25-26 Term Team/CoB 1,750,000.00$ Not Yet Started Total 4,770,000$ Project Name Project Address Timeline Schedule Professional FY24 Budget Status Residential Assistance Grant 5th and Main Street/Varied N/A N/A Internal 200,000.00$ Ongoing Workforce Housing Project 34 North Rouse 3-5 years FY23-27 CoB 1,600,000.00$ In Progress Total 1,800,000$ Parking Residential Incentives/Workforce Housing Assistance Streetscape Assistance Infrastructure/Utility Improvements/Grants 11 DOWNTOWN BUSINESS TRACKING Q2 2024 APR - JUNE NEW DBA MEMBERS BUSINESS ADDRESS DATE OF MEMBERSHIP DBA DROPPED MEMBERS BUSINESS NOTES DROP DATE NEW BUSINESSES BUSINESS ADDRESS DATE OF OPENING Belle Cose 233 E Main TBA MeatEater 129 W Main TBA La Brasserie (formerly Blend)31 S Willson Ave Apr CLOSED BUSINESS BUSINESS ADDRESS DATE OF CLOSURE Rare Bird (Relocated)Relocated to 18 S Willson Apr AshleyCole Boutique 223 E Main May VACANT LOCATIONS BUSINESS ADDRESS DATE OF CLOSURE Shredmonk 121 W Main 2023 Alloy (will be Rare Bird)18 S Willson 2023 El Camino/Kitty Warren 211 E Main 2022 On the Rise 33 S Willson 2023 Copper Building (frmly DTN Antiques)122 E Main 2023 Indulgence 121 E Main 2024 Thrive 400 E Babcock 2023 Glove Beauty Shop 140 E Main St Suite E 2023 Formerly Wild West Foods 326 E Mendenhall 2023 12 DOWNTOWN DEVELOPMENT TRACKING Q2 2024 APRIL - JUNE CURRENT PROJECTS ADDRESS STATUS PROPERTY TYPE RESIDENTIAL UNITS GRANT REIMBURSEMENTS The National Building 104 E Main St In Progress Commercial N/A Streetscape Copper Block (Dtn Antiques)122 E Main St In Progress Mixed 3 commercial, 6 residential N/A MacKenzie River Pizza 232 E Main St In Progress Commerical N/A N/A Freestone on Main 5th & Main In Progress Residential 120, added Residential Incentive, Sewer Imp. Argreement, Streetscape? 126 East Main (MT Scene)126 E Main In Progress Commercial?N/A Rocky Mountain Pharmacy 25 N. Willson In Progress Commercial?N/A Not yet Abby Hetherington Interiors 33 S Tracy In Progress Retail/Commerc ial 1 GL, 1 UG Streetscape, Façade, Utility, Fire- Safety? FUTURE PROJECTS ADDRESS STATUS PROPERTY TYPE RESIDENTIAL UNITS NOTES The Scully-Old US Bank Location 112 E Main St 2025 Mixed 7-9, 4 stories Residential, streetscape Fire Station One 30 N Rouse N/A Mixed 50 units at 120% AMI 1.6M Workforce Housing Agreement - 2027 Block B (Salvation Army)32 S Rouse 2025/26 Hotel/Hiton Co. 191 keys, 6 stories, 137 UG parking spaces Block A 503-519 E Babcock 2025/26 Mixed 44 units, 7 stories 75 parking spaces, high-end Empire Site 606 E Main N/A Hotel Ag Depot 620-714 E Mendenhall Mixed Downtowner Building S Willson to W Main N/A Mixed Roof, brick and suppression restoration, applied for MHPG 2/29 BG Mill 714 E Mendenhall 18 condos, 5 stories East Mendenhall Mixed- Use 240 E Mendenhall Break ground 2025 Hotel Bozeman and Residences 1 W Lamme St N/A Hotel/ Marriott 71 keys, 6 stories, Autograph Collection 120 guest rooms, 29-two-bedroom, 5-3-bedroom *not in URD 13 Hampton Inn 507 W Main In Progress Hotel + retail 113 rooms, 3 retail, 4 stories,*not in URD 14