HomeMy WebLinkAbout01-19-10 Downtown Tax Increment Finance (TIF) Board Minutes
Downtown Tax Increment Finance
Board Meeting Minutes
1/19/10
Attending:
Bobby Bear, Thail Davis, Vonda Laird, Bob Lashaway, Bill Stoddart
Chris Naumann
Absent:
Peter Bertelsen (resigned from board 12-21-09)
Public Comments
None
Disclosures
None
Minutes
ACTION:Bob Lashaway motioned to accept the minutes from November and
December 2009.
Vonda Laird seconded the motion.
All voted in favor.
Special Presentations
Bruce Grubbs—Bozeman School District—Opportunities, Planning and Challenges
Mr. Grubbs, a School Board Trustee, covered a variety of topics including: student performance
on standardized tests like the ACT/SAT and NCLB AYP; the state and national recognitions;
finance issues; capital improvement plans; new school construction goals. He thanked the TIF
for supporting the schools, in particular Hawthorne Elementary.
Gary Bloomer—Director of Development—TechRanch
Mr. Bloomer gave the board a brief history and overview of the organization. He outlined the
challenges they are facing due to a dramatic decline in federal and state funding. Mr. Bloomer
indicated that the organization was looking to relocate into a “rent-neutral” facility in order to
drastically reduce operating expenses. Therefore, they have been in discussions with the City
of Bozeman to move into the old City Hall building. He outlined the benefits to the downtown of
such a relocation and asked the board to consider supporting this idea.
Financial Report
rd
Chris outlined recent financial activity for the TIF account. He noted that the 3 quarter
management fee to the Partnership had been paid. The only other expenditures this month were
some nominal costs of replacing streetlamp light bulbs and fuses. Chris mentioned that the
increment would be paid late this year due to the property reappraisal process.
Program Director’s Report
Winter/Spring Events and Programs:
thth
Winter Crazy Days, President’s weekend Feb 12 – 15
Unbelievable sales on winter merchandise at over 100 businesses
o
th
Bridal Walk, Saturday, April 10
Same-day Registration at the Baxter Hotel Ballroom
o
st
Annual Breakfast, Thursday, April 1 @ 7:30am
Presenting the DBP Annual Awards, still finalizing a keynote speaker and/or
o
presentation
th
Bobcat Fest on Main – Friday, April 30 (last day of classes)
Event to celebrate the students and faculty that live and play within our
o
community…updates to come!
th
Art Walks – first one June 11 6-8pm
Other Items:
Holiday Marketing Campaign a success!
-
Holiday shopping numbers were good. Most businesses up from last year.
-
Many New businesses opening and vacancies filling. Check out the Downtown
-
Newspaper for these monthly updates!
Working with other media’s to develop some more collaborative marketing avenues for
-
downtown businesses as we go into the spring/summer season.
2 DBA Board terms are open and we currently have 2 nominations to fill the vacancies:
-
Jon Edwards (owner of Schnee’s Inc.) and Jodie Delay (Director of MSU Public
Relations). New Board members to be voted in at the February Board meeting.
Executive Director’s Report
Tax Increment Finance District Board
Downtown Improvement Plan
On December 14, 2009 the Bozeman City Commission unanimously voted to adopt the 2009
Downtown Bozeman Improvement Plan.
On January 25, 2010 the Commission will pass the resolution formally adopting the Downtown
Improvement Plan. This will be on the agenda as a consent item.
The adopted Plan is, and will continue to be, available for download as a PDF on the downtown
website and will soon also be on the City of Bozeman Planning Department webpage.
Downtown Explosion Recovery Appropriations
There have been two meetings to discuss the specifics of the two federal appropriations that
have been awarded to the preservation and reconstruction of the explosion site. The first is a
$150,000 grant from the Save Americas Treasures program of the National Park Service for the
preservation of historic buildings. The second is a Housing Urban Development grant of
$974,000 awarded for reconstruction at the explosion site.
The meetings thus far have included Senator Baucus and Tester staff and City staff. We
submitted a series of questions to Baucus’s appropriations specialist in Washington DC to learn
more about the qualification requirements funds.
Northwestern Energy Downtown Funds
Following the explosion on March 5, 2009, Northwestern Energy contributed $50,000 to the City
of Bozeman Clean-Up Fund (which also included funds from the COB revolving loan and the
affordable housing funds). None of these funds were used by any of the property owners at the
blast site.
Bob Rowe, Northwestern’s CEO, approached me about investing their $50,000 from this clean-
up fund in a downtown project. We agreed that the Downtown Partnership could administer the
money in a similar fashion to that of the Downtown Relief Fund. To that end, I established a
“Downtown Enhancement Fund” under the Partnership at First Security Bank. The City and
Northwestern are finalizing an agreement to dissolve the Clean-Up Fund which will result in the
$50,000 being transferred to our account.
Mr. Rowe and I decided that we would form an oversight committee to administer the funds.
This committee will include myself, Mel Kotur (NWE Public Relations Director), and a
representative from First Security Bank.
Although not decided at this point, Mr. Rowe and I have spoken at length about investing these
funds in the Bozeman Creek park project that has been discussed adjacent to the public parking
lot behind the Eagles. We also discussed the idea of using this money as seed funding for a
Downtown Revolving Loan Fund, and while Mr. Rowe acknowledged the long-term benefits of
such a use his preference is to invest the money in a public improvement project that could be
initiated sooner rather than later.
Board Vacancies Update
I met briefly with Bob Hietala regarding the board’s interest in his service on the TIF Board. He
said he would seriously consider applying. We discussed that if does not then we would like his
recommendation of another Prospera board member that would be a good fit for the TIF board.
Discussion and Decision Items
TIF Impact Fee Payment
Chris updated the board that back in December he submitted the TIF’s Letter of Intent to pay the
impact fees associated with any reconstruction at the explosion site in the 200 block of East
Main Street. He then met with Chris Kukulski and Anna Rosenberry to discuss the particulars of
how that process would work. Then Chris told the group that he drafted a Memorandum of
Understanding to ratify the agreement between the TIF and City. City Attorney had reviewed the
MOU and asked that the TIF board formally approve the agreement at written.
ACTION:Bob Lashaway motioned the MOU between the TIF board and the City of
Bozeman stipulating when and how the TIF will pay the impact fees of the
properties directly impacted by the March 5, 2009 explosion as allowed by
state TIF statute.
Vonda Laird seconded the motion.
All voted in favor.
Bobby then proposed the idea that the board consider extending the same offer to the
businesses that were forced to relocate due to the disaster. Chris indicated that as far as he
knew only Starky’s had incurred any impact fees as part of their new restaurant build out. Vonda
asked if Chris knew the amount of the Starky’s impact fees. Chris responded that he thought
the fees totaled approximately $1500. The group agreed that this would be appropriate and
instructed Chris to talk to the City about how to best proceed.
No “Plywood” Project
Chris introduced the idea of the TIF taking the initiative to eliminate all plywood from the exterior
of buildings downtown and in particular those instances along Main Street. He said his rationale
was that the occurrence of plywood was visual blight that could easily be eliminated with either
the purchase and installation of glass or even the application of paint. He concluded by
indicating that there are four buildings that currently have visible plywood: Osborne Building,
Rug Gallery, the Rialto, and the Armory.
Bob noted that the Osborne building was destined to be demolished, thus mute. Bobby said
she thought that the instances on Main Street were of the highest priority. Vonda added that
perhaps discussing the issue with the property owners might result in them replacing glass or
painting. Bill asked about the current ownership of the Rug Gallery building. Chris indicated
that he had not heard any update about the foreclosure proceedings, but he would inquire. In
general the group liked the idea.
Chris said he would contact the mentioned property owners and assess the situation. He
concluded by saying he would report back to the board and would like to see this project
completed this spring before the summer season.
New or Old Business
Chris reminded the board that the City Commission would consider passing the Resolution to
Adopt the Downtown Improvement Plan at their January 25 meeting. He noted that the
resolution was on the consent agenda and he anticipated it to pass without discussion.
With no future or old business to discuss, Bobby adjourned the meeting.