HomeMy WebLinkAboutNorth Seventh Urban Renewal Board Annual Work Plan and Budget.pdf Commission Memorandum
REPORT TO: Honorable Mayor and City Commission
FROM: Michelle Wolfe, Board Chair
Keri Thorpe, Assistant Planner
Chris Saunders, Interim Planning Director
Chris Kukulski, City Manager
SUBJECT: Annual Work Plan and Budget for the North 7th Urban Renewal
Board (NSURB)
MEETING DATE: July 19, 2010
AGENDA ITEM TYPE: Action Item
RECOMMENDATION: Consider a motion to approve the Annual Work Plan and Fiscal Year
2011 Budget for the North 7th Urban Renewal Board.
BACKGROUND: The North 7th Urban Renewal Board proposes a Work Plan and Budget on
an annual basis. See attached NSURB Budget FY11 and supporting documents for Fiscal Year
2011.
UNRESOLVED ISSUES: None
ALTERNATIVES: As suggested by the City Commission.
FISCAL EFFECTS: Fiscal effects are described in the proposed budget
Attachments: NSURB Annual Budget FY 2011
Ordinance No. 1685- North 7th Ave Urban Renewal District Plan
Design and Connectivity Plan for N. 7th Avenue Corridor available at www.bozeman.net
Report compiled on: July 14, 2010
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Page 1 of 4
Tax Increment Financing District Fund
Expenditure Plan 2011
for the
North Seventh Urban Renewal District
In November 2006, the City of Bozeman designated a Tax Increment Redevelopment Area
(TIF), under which incremental increases in taxes due to redevelopment are accumulated in a
TIF fund. The stated goals and objectives of this Redevelopment Plan were as follows:
MISSION VISION
This Plan is the city’s response to remedy the conditions of blight found in the August 2005
report through thoughtful redevelopment of the Corridor. The following Corridor Goals are taken
from the Design and Connectivity Plan (DCP). An expanded description of the intent of each
goal is found in the DCP Chapter 2.
Corridor Goals
A basic goal is to have an active and exciting corridor that is attractive with a distinct character.
A strategy for achieving this goal is to improve the experience for the user by creating safe
attractive walkways and streets and by providing buildings and landscaping that are of interest to
users and passersby. Several key strategies should be followed:
1. Provide a distinct identity for the corridor
2. Develop the corridor as a focus for commercial and entertainment activities that serve
residents and visitors alike
3. Strengthen the corridor as a neighborhood service center
4. Provide mixed use development
5. Clearly define gateways at key locations along the corridor
6. Improve vehicular, bicycle and pedestrian circulation along the corridor
7. Provide pedestrian connections to adjacent neighborhoods
8. Establish a way-finding system
9. Guide new development along the corridor such that it improves the aesthetic experience
10. Coordinate public and private improvements
11. Strengthen connections between complementary uses
12. Provide flexible public space along the corridor
GUIDING PRINCIPLES
In addition to the specifically stated goals for the District the following Guiding Principles have
been adopted to provide a basis for decision making over the life of the District. These principles
should be applied to any development program or other activity that will affect the District:
1. Ensure the health safety and security of the District
2. Balance commerce and livability in the District within the mixed use framework
3. Public open space is essential to a healthy and appealing urban environment
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Page 2 of 4
4. The costs of projects and programs shall be weighed against their benefits to the District
5. Private property shall not be acquired for other private use through the eminent domain
process in the implementation of any aspect of this plan
6. The City shall not limit its vision for the District improvements to monies available solely
through the TIF funding
7. Projects shall consider impacts on adjacent neighborhoods
8. The city shall consider the impact on the District of all projects undertaken outside of the
District
LAST YEAR’S PLAN
2010 WORK PLAN AND BUDGET
2010 expenditure plan TIF Other Expenditures
Balance 07/01/09 93,316 93,316
Interest 1,000 1,000
TIF allocation on 12/31/09 45,000 45,000
Big Box Funds 232,000 232,000
Community block grant1 16,100 16,100
Total Revenue Available 139,316 248,100 387,416
Engineering plan, professional contract with Allied 50,000 100,000 150,000
Subsidy program2 33,329 33,329
Demolition program3 22,500 22,500
Part time staff and other professional services 10,829 10,829
Public right-of-way improvements4 10,829 10,829
Construction – Lights, Curb and Gutter, Sidewalk,
Landscaping and Irrigation 11,829 148,100 159,929
Total Expenditures 139,316 248,100 387,416
Ending Balance 0 0 0
1community block grant – actuality of dollars yet to be determined 2Redevelopment Incentive Program-N7Rehab, awaiting feedback from City Attorney’s office, Resolution required. 3Demolition Program – A component of N7Rehab
4Public right-of-way improvements – Now a component of N7Rehab
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Page 3 of 4
FY2011 BUDGET PLAN AND REQUEST FOR APPROVAL
During the next fiscal year, NSURB plans on continuing all of the programs approved by the
City Commission last summer, designating the following enumerated projects for the District’s
renewal:
1. $100,000 of TIF monies for N7Rehab (Redevelopment Incentive Program), a grant
program to encourage voluntary compliance by property owners with life-safety
regulations and assistance with façade and site improvements. This money is a
permissible use under state statute 7-15-4233, “to prepare plans for carrying out a
program of voluntary or compulsory repair and rehabilitation of buildings and
improvements”. It complies with the City’s stated redevelopment activities by ensuring
the health, safety and security of the District and helping to guide new development.
2. $90,000 of TIF monies for demolition program, a component of N7Rehab grant
program. This money is permissible use under state statute 7-15-4288, “Costs that may
be paid by tax increment financing (2) demolition and removal of structures;” and 7-15-
4233, “to prepare plans for carrying out a program of voluntary or compulsory repair and
rehabilitation of buildings and improvements”. It complies with the City’s stated
redevelopment activities by ensuring the health, safety and security of the District and
helping to guide new development.
3. $75,000 of TIF monies for public right-of way improvements, a component of the
N7Rehab grant program. This money is a permissible use under state statute 7-15-
4288, “Costs that may be paid by tax increment financing…(4) the acquisition,
construction, and improvements of infrastructure…that includes streets, roads, curbs,
gutters and sidewalks…storm sewers…”
4. $ 95,600 of TIF monies for curb, gutter, sidewalk, ADA ramps, landscaping and
irrigation (construction and engineering services – Phase II of N. 7th Avenue
sidewalk improvements. This money is a permissible use under state statute 7-15-4288,
“Costs that may be paid by tax increment financing…(4) the acquisition, construction,
and improvements of infrastructure…that includes streets, roads, curbs, gutters and
sidewalks…storm sewers…”
5. $126,405 of TIF monies for street and sidewalk lighting. This money is a permissible
use under state statute 7-15-4288, “Costs that may be paid by tax increment
financing…(4) the acquisition, construction, and improvements of infrastructure…that
includes streets, roads, curbs, gutters and sidewalks…storm sewers…”.
6. $15,000 of TIF monies for staff and other professional services. This money is a
permissible use under state statute 7-15-4288, (5), “costs incurred in connection with the
redevelopment activities allowed under 7-15-4233 and 7-15-4288 (7) “administrative
costs associated with the managements of the urban renewal area…”
7. $ 5,000 of TIF monies for outreach. This money is a permissible use under state statute
7-15-4233, “Powers which may be exercised by urban renewal agency or authorized
department…(f) to disseminate blight clearance and urban renewal information;”
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2011 North Seventh TIF
Proposed Expenditure Plan
ACTUAL 2010
Revenues &
Expenditures
2011
Expenditure Plan
Starting Balance 89,080
Estimated Balance 6/30/10
Revenues
Interest
2,655
259,495
2,500
TIF allocation on 01/21/10
Anticipated TIF allocation FY 2011 268,010
268,010
Remaining Big Box Funds 232,000 232,000
HB645 American Recovery &
Reinvestment Act1
ECCBG2
110,400
16,100
Total Revenue Available 591,745 888,505
Engineering plan, professional contract
with Allied
FY2011 Engineering services
100,000
18,000
50,000
N7Rehab
-Façade and Site Rehab
-Demolition
-Public right-of-way improvements
0
100,000
90,000
75,000
0
N. 7th Phase I Sidewalk Improvements3
Phase II Sidewalk Improvements4
Bus Shelter
0
208,000
185,000
16,100
Part time staff and other professional
services
Outreach
2505 15,000
5,000
Lighting 0 126,405
Total Expenditures 100,250 888,505
Ending Balance 491,495 0
1Grant for Phase I sidewalk improvements 2Energy Conservation Community Block Grant – awarded for bus shelter installation 3$110,400 in HB645 funding, remaining to be paid with Big Box Funds 4To be paid with remaining Big Box Funds and TIF monies 5Public Noticing in Bozeman Daily Chronicle
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City Clerk
P O Box 1230
Bozeman MT 59771 1230
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Shell Vance Gallatin Co MT MISC 22 00
ORDINANCE NO 1685
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
BOZEMAN MONTANA ADOPTING AN URBAN RENEWAL PLAN
FOR THE NORTH SEVENTH AVENUE CORRIDOR AND ADJACENT
PROPERTIES
WHEREAS the Bozeman City Commission did on the 22nd day ofAugust
2005 adopt Resolution 3839 declaring that blighted areas exist within the
municipality and that the rehabilitation redevelopment or a combination
thereof of such area or areas is necessary and
WHEREAS the Bozeman City Commission appointed an Urban Renewal
Planning Committee to prepare an urban renewal plan for the area and
WHEREAS the Urban Renewal Planning Committee has prepared a proposed
Urban Renewal Plan and
WHEREAS the Bozeman Planning Board did on November 7 2006 find the
proposed Urban Renewal Plan to be in conformity with the Bozeman 2020
Community Plan the adopted comprehensive plan for the Bozeman Planning
jurisdiction and
WHEREAS the Bozeman City Commission did on the 13th day ofNovember
2006 conduct a public hearing to consider the proposed Urban Renewal Plan
BE IT ORDAINED by the CityCommission ofthe City ofBozemsm Mntana
Section 1
That the North Seventh Avenue Urban Renewal Plan attached hereto as
Exhibit A is hereby adopted
Section 2
Repealer All resolutions ordinances and sections ofthe Bozeman Municipal
Code and parts thereofin conflict herewith are hereby repealed
Section 3
Savine s Provision This ordinance does not affect the rights and duties that
matured penalties that were incurred or proceedings that were begun before the
effective date of this ordinance
Section 4
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Severabilitv If any portion of this ordinance or the application thereofto any
person or circumstance is held invalid such invalidity shall not affect other
provisions of this ordinance which may be given effect without the invalid
provisions or application and to this end the provisions of this ordinance are
declared to be severable
Section 5
Effective Date This ordinance shall be in full force and effect thirty 30 days
after final adoption
PROVISIONALL YPASSED by the City Commission ofthe City ofBozeman
Montana on the first reading at a regular session thereofheld on the 13th day
November 2006
FINALLY PASSED ADOPTED AND APPROVED by the City Commission
ofthe City ofBozeman Montana on second reading at a regular session thereof
held on the 2ih day ofNovember 2006
ayor
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North Seventh Avenue Urban Renewal District
Plan
October 2006
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CITY OF BOZEMAN
NORTH SEVENTH AVENUE URBAN RENEWAL PLAN
Prepared bv
The North Seventh Avenue Urban Renewal Plan Committee
Doug Alexander
Andrew Cetraro
Susan Fraser
Mike Gaffke
Mike Hope
Sherry Reid
Carl Solvie
Michelle Wolfe
Prepared for
The Bozeman City Commission
Jeff Krauss Mayor Jeff Rupp
Steve Kirchhoff Sean Becker
Kaaren Jacobson
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NORTH SEVENTH AVENUE URBAN RENEWAL PLAN
CONTENTS
Introduction page 4
District page 4
Context page 6
Description page 6
Existing Conditions page 7
Mission Vision page 7
Corridor Goals page 7
Guiding Principles page 8
Executing the Plan page 9
Finance page 13
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NORTH SEVENTH AVENUE URBAN RENEWAL PLAN
INTRODUCTION
This Urban Renewal Plan was prepared by an eight member committee composed
of business owners and business and residential property owners from the area covered
by the plan the District and a member from the adjacent residential neighborhood in
response to the City Commission s finding ofblight on August 22 2005 Resolution
3839 Attachment A The City Commission supported the blight designation in
order to create an Urban Renewal District because it believed this would encourage
redevelopment and infill within the city limits and that the Tax Increment Finance TIF
District created by the designation would help facilitate such activity
DISTRICT
The boundary ofthe District is depicted in Figure 1 and is generally described as
the commercially zoned property between N 5th Avenue and N 8th Avenue from Main
Street north to the city limits vacant R 4 zoned parcels between Tamarack Street and
Oak Street from N 5th Avenue to N 3rd Avenue right of way extended and a
commercially zoned parcel north ofOak Street between N 3rd Avenue right ofway
extended and the N Black Avenue alignment Between W Main Street and West
Lamme Street the study area extends east only as far as a point roughly mid block
between N 7th Avenue and N 5th Avenue A metes and bounds description is provided
in Attachment B
Growth Policy Land Use Designations
The Bozeman 2020 Community Plan designates the area along the N ih Corridor
as Neighborhood Commercial Regional Commercial and Industrial Some ofthe area
east ofN 5th Avenue between Tamarack and Oak is designated Residential and the area
east along Oak Street contains Regional Commercial and Industrial designations
Zoning Classifications
The District primarily consists of B 2 Community business District zoned
parcels East ofthe corridor two large vacant parcels are zoned R 4 Residential High
Density District and M 1 Light Manufacturing zoned parcels are located on the north
end ofthe study area
Land Area
The District encompasses roughly 323 acres or approximately 3 0 ofthe
approximately 10763 acres which comprised the total area ofthe city ofBozeman in
August 2005
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Land Use
The District primarily includes areas of commercial residential agricultural
industrial and public uses
Commercial Activity
The District includes one of the city s oldest auto oriented commercial strips
Much ofthe area was developed more than fifty years ago and much has been developed
or will develop largely due to the influences of transportation features particularly North
Seventh Avenue Interstate 90 and Oak Street These transportation corridors shape
many of the elements of the District including platting of land and land use access
traffic and circulation and development patterns
Residential Neighborhoods
Well established and well kept residential neighborhoods adjoin North Seventh
Avenue commercial development on both the east and west A portion ofthese
neighborhoods is included in the District to assure that redevelopment ofthe Corridor
includes careful consideration ofthe issues associated with these established residential
areas
A map of the District is found in Figure I and a metes and bounds description of
the area included in the District is contained in Attachment B
Planning Process
The planning activity for the District was conducted through the preparation ofa
Design and Connectivity Plan for the North Seventh Corridor DCP prepared by Winter
and Company An Urban Renewal Planning Committee wasappointed by the City
Commission and this group worked with staff and Winter and Company to identify a
scope for the project A public workshop was held on February 15 2006 and another
more focused workshop conducted on May 25 2006 Advertising in the Chronicle
notified the public prior to each workshop The Consultant presented the Draft Design
and Connectivity Plan on August 1 2006 to the public the DRB and at ajoint meeting
of the Zoning Commission Planning Board and City Commission The DCP wasfinally
adopted by the City Commission on October 23 2006
The DCP constitutes the vision for redevelopment and rehabilitation ofthe
Corridor in this urban renewal plan The DCP was prepared with the acknowledgement
that it would serve as the design framework for this urban renewal plan and is hereby
adopted by reference as part ofthis plan The DCP is available at the City Clerk s office
or on the internet on the planning page at www bozeman net
The following sections addressing Context Description and Existing Conditions
are taken from the DCP
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CONTEXT
North 7th Avenue is a vital part ofthe City ofBozeman It serves as a major circulation
corridor and is home for a variety ofbusinesses that contribute to the vitality ofthe
community However important as the corridor is today its full potential is unrealized
and issues remain Some of those issues include its effectiveness in connecting with other
parts ofthe city and the types ofuses and degree ofintensity of development that may
occur The goal ofthis plan is to develop a framework plan that addresses technical
questions about the area while providing a vision for the future A key objective is to
establish a distinct identity for the corridor and the subareas within it
DESCRIPTION
North 7th Avenue is an established entryway corridor that extends from 1 90 south to
Main Street This Class II corridor is automobile oriented however it has the potential to
become more pedestrian oriented The scale of the street and the character of uses
emerging along it are conducive to pedestrian activity at least for the area south ofthe
highway This is in part because parcel sizes are comparatively smaller here than on
some ofthe newer outlying corridors
North 7th Avenue can play the following
roles
Neighborhood service center
Economic generator
Gateway
Complement to the Fair Grounds
Complement to downtown
Connector to Montana State University
Plan components to be considered in redeveloping North 7th Avenue as aparticular place
with an identifiable character
Automobile circulation
Bicycle circulation
Development patterns
Landscape opportunities
Pedestrian circulation
Public transit
Way finding
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EXISTING CONDITIONS
North 7th Avenue is primarily auto oriented at present and is not conducive to pedestrian
activity The development patterns that have occurred on the commercial strip have
resulted in buildings that are set back from the street with parking in front Many of these
conditions are identified on the Design Issues map in the DCP Although there have
been efforts to beautify the corridor through streetscape and landscape improvements it
still falls short ofbeing a pedestrian or bike friendly environment The following issues
were identified in the Design Objectives Plan Update and in the DCP s public outreach
efforts
Some Specific Issues
Difficult pedestrian crossing 1 90
Lack ofbicycle commuter lanes
Left turn at Durston virtually impossible
Drainage issues at Durston
Poor lighting
Many curb cuts which disrupt sidewalks and encourage multiple turning movements
that inhibit traffic flow
Poorly defined walkways along the highway and within properties
Incomplete bicycle route
Discontinuity in sidewalks
Lack of cross property access between Parcels
Buildings set back from the street thereby failing to provide interest at the sidewalk
Key intersections are poorly defined making for difficult pedestrian crossings
School zone crossings are dangerous
Public way finding signs are sparse and difficult to read
Pedestrian crossings where people feel safe are few
Poor maintenance and dusty
Lack ofboulevard grass between the sidewalk and street
Provide proper lighting stop lights for large truck traffic on inlets and outlets
Improper tie ins with Main South 8th and Babcock
MISSION VISION
This Plan is the city s response to remedy the conditions ofblight found in the
August 2005 report through thoughtful redevelopment ofthe Corridor The following
Corridor Goals are taken from the DCP An expanded description ofthe intent of each
goal is found in the DCP Chapter 2
Corridor Goals
A basic goal is to have an active and exciting corridor that is attractive with a distinct
character A strategy for achieving this goal is to improve the experience for the user by
creating safe attractive walkways and streets and by providing buildings and
landscaping that are of interest to users and passersby Several key strategies should be
9155
followed
1 Provide a distinct identity for the corridor
2 Develop the corridor as a focus for commercial and entertainment
activities that serve residents and visitors alike
3 Strengthen the corridor as a neighborhood service center
4 Provide mixed use development
5 Clearly define gateways at key locations along the corridor
6 Improve auto bicycle and pedestrian circulation along the
corridor
7 Provide pedestrian connections to adjacent neighborhoods
8 Establish a wayfinding system
9 Guide new development along the corridor such that it improves the aesthetic
experience
10 Coordinate public and private improvements
11 Strengthen connections between complementary uses
12 Provide flexible public space along the corridor
GUIDING PRINCIPLES
In addition to the specifically stated goals for the District the following Guiding
Principles have been adopted to provide a basis for decision making over the life of the
District These principles should be applied to any development program or other
activity that will affect the District
1 Ensure the health safety and security of the District
2 Balance commerce and livability in the District within the mixed use
framework
3 Public open space is essential to a healthy and appealing urban environment
4 The costs of projects and programs shall be weighed against their benefits to the
District
10156
5 Private property shall not be acquired for other private use through the eminent
domain process in the implementation of any aspect of this plan
6 The City shall not limit its vision for the District improvements to monies
available solely through the TIF funding
7 Projects shall consider impacts on adjacent neighborhoods
8 The city shall consider the impact on the District of all projects undertaken
outside of the District
EXECUTING THE PLAN
INTRODUCTION
Once adopted this Plan becomes the official policy guide for public action
regarding the North Seventh Avenue Urban Renewal District These policies can only be
transformed into action through an effective implementation program The framework for
implementation described herein depends on sound processes of administration
financing and evaluation As the implementation ofthis Plan proceeds new
opportunities will arise and unforeseen problems will emerge The Plan s administration
must be sufficiently flexible to respond effectively to changing circumstances without
losing sight of long range goals
ADMINISTRATION
To implement this Plan an Urban Renewal Agency will be created hereafter
referred to as the North Seventh Urban Renewal Board NSURB The NSURB is
responsible for the implementation ofthis Plan pursuant to MCA S 7 15 4232
Specifically the NSURB will 1 develop plans which implement the vision for the
District 2 review on an ongoing basis the operation and processes of all public agencies
to assure that such activities are supportive ofthe Plan and 3 advocate and coordinate
the complete and full implementation ofthe Plan
Individuals appointed to the NSURB shall have a demonstrated interest in the
District or adjacent neighborhoods Pursuant to MCA S 7 15 4234 the mayor by and
with the advice and consent ofthe City Commission shall appoint the NSURB which
shall consist of five voting members The initial voting membership shall consist ofone
NSURB member appointed for 1 year one for 2 years one for 3 years and two for 4
years Each appointment thereafter shall be for 4 years
1 Each voting member shall hold office until hisher successor has been
appointed and has qualified
2 A voting member shall receive no compensation for hisher service but shall
be entitled to authorized necessary expenses including traveling expenses incurred in
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the discharge of his her duties
3 Any person may be appointed as voting members if they reside within the
municipality The preferred composition of the NSURB would include two residents of
the District two business owners in the District and one member at large
4 A voting member may be removed for inefficiency neglect ofduty or
misconduct in office
5 The appointment ofvoting members shall be ratified annually by the City
Commission
A majority ofthe voting members shall not hold any other public office under the
municipality other than their membership or office with respect to the NSURB
The powers and responsibilities ofthe NSURB shall be exercised by the members
thereofaccording to adopted bylaws approved by the City Commission A majority of
the members shall constitute a quorum for the purpose ofconducting business and
exercising the powers and responsibilities of the NSURB and for all other purposes
Action may be taken by the NSURB upon a vote ofa majority ofthe members three
unless in any case the bylaws shall require a larger number
In addition to the five voting members the NSURB shall be composed ofa non
voting membership ofnot more than four individuals The initial membership shall
consist of one member appointed for 1 year one for 2 years one for 3 years and one for
4 years Each appointment thereafter shall be for 4 years These individuals must
possess demonstrated interest in the district specific expertise or other qualifications
necessary to help implement the plan
1 Each non voting member shall hold office until hislher successor has been
appointed and has qualified
2 A non voting member shall receive no compensation for hislher services but shall
be entitled to authorized necessary expenses including traveling expenses incurred in
the discharge ofhislher duties
3 A non voting member may be removed for inefficiency neglect ofduty or
misconduct in office
4 The appointment of non voting members shall be ratified annually by the City
Commission
Initial administrative staff duties for the NSURB will be performed by city staff
as available until other funding shall be available from alternate sources and permanent
staff hired The NSURB will make every effort to fund its own staff either by
contracting for services with existing public agency staff contracting for services with a
private firm or hiring a staff The FY08 work program shall specify the staff
arrangement
The NSURB may exercise any ofthe powers specified in MCA 7 15 4233
However no entrance to any building or property in any urban renewal area in order to
make surveys and appraisals in the manner specified in 7 15 4257 shall be made without
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the owner s permission
ANNUAL WORK PROGRAM BUDGET AUDIT AND EVALUATION
The NSURB shall prepare an annual work program AWP and budget that will
list the activities and costs ofactivities for the coming fiscal year as well as the method
offinancing those activities The NSURB shall provide public notice in the newspaper
and by other appropriate means and conduct a public hearing prior to the submittal ofthe
annual work program to the City Commission This program and budget may be
amended during the course of the city s fiscal year in light of funding and program
changes All budgets and revised budgets shall be reviewed and approved by the City
Commission
The NSURB shall cause to be performed an annual audit conducted in
conjunction with the city s audit covering the operations ofthe NSURB in carrying out
this Plan The first such audit shall be completed within ninety 90 days of the close of
the first fiscal year following the adoption ofthis Plan by the City Commission All such
audits shall be maintained as a part ofthe public records ofthe City ofBozeman
The NSURB shall also provide to the City Commission and the public an annual
program evaluation Such evaluation shall review the North Seventh Avenue Urban
Renewal District Plan and the past annual work program and other relevant NSURB
activities for the year
PLAN AMENDMENT
The Plan may be amended by the same means as adopted in accordance with
Montana law No ordinance amending the Plan shall be adopted until after a public
hearing has been conducted thereon and notice ofsaid hearing has been given in the
official newspaper once a week for two consecutive weeks preceding the hearing In
addition mailed notice shall be given to all persons owning property at the time and in
the manner provided by MCA 97 15 42151 All notices shall provide the information
regarding the modification required by MCA 9 7 15 42151 Nothing herein shall limit
ofaffect the authority ofthe Commission to undertake and carry out renewal activities on
a yearly basis as provided by MCA 9 7 15 4220
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PROPERTY ACQUISITION
The NSURB will assist and encourage public and private entities to eliminate
blight or blighting influences and strengthen the City s economy by developing property
in the District Where necessary in the execution ofthis Plan the NSURB is authorized
to acquire property in the District in accordance with the appropriate federal state and
local laws However the power ofeminent domain shall not be used to acquire private
property for private purposes or for parks
ACTION BY THE CITY
The City shall aid and cooperate with the NSURB in carrying out this Plan and
shall take all actions necessary to ensure the continued fulfillment ofthe purposes ofthis
Plan and to prevent the recurrence or spread in the area ofconditions causing blight To
assure the purposes of the Plan are fully considered the City shall obtain and consider the
advice ofthe NSURB regarding all development proposals public works projects or
other matters occurring within or adjacent to the District or affecting any aspect ofthe
Plan
Other action by the City may include but not be limited to the following
1 Institution and completion ofproceedings for opening closing vacating widening or
changing the grades of streets alleys and other public rights of way and for other
necessary modification ofthe streets the street layout and other public rights of way in
the District
2 Institution and completion ofthe proceedings necessary for changes and improvements
in publicly owned utilities within or affecting the District
3 Revision ofMaster Plan Zoning requirements development standards and regulatory
practices if necessary to facilitate the execution or principles policies and
implementation actions set forth by this Plan
4 Performance ofthe above and all other functions and services relating to public
health safety and physical development normally rendered in accordance with a schedule
that will permit the redevelopment ofthe District to be commenced and carried to
completion without unnecessary delays
5 Promotion ofthe availability through the City ofprograms and funds to help keep
existing and new housing in or near the District affordable and habitable
6 The undertaking and completing ofany other proceedings necessary to carry out the
provision ofthis Plan
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FINANCE
The programs projects and administration of the Plan shall be financed from a
variety ofsources both public and private which in part may include
Private Grants dues self imposed taxes such as Special Improvement Districts or
Business Improvement Districts private investment and donations
Private Enterprise Assistance Programs Housing and Urban Development Small
Business Administration and Community Reinvestment Act financial assistance
Public Tax increment financing revenue bonds City and County general funds public
grants utility Districts user fees state backed low interest loans Montana Department
of Transportation general obligation bonds tax credits and enterprise funds
Tax Increment financing will be implemented in accordance with MCA SS 7 15
4282 4292 and 4301 4324 In the event that property taxes are reduced or replaced with
some new form ofrevenue it is the intent ofthe Plan to use all available means to adjust
the tax base or allow the capture of that portion ofthe new revenue form necessary to
offset the reduced or lost increment
The NSURB will annually develop a program and budget to be reviewed and
adopted by the City Commission During this procedure specific actions will be
proposed in detail for community review This process will allow maximum community
input to further the redevelopment interests of the community and to evaluate past actions
of the NSURB
Tax Increment financing shall be used to further the implementation ofthe goals
set forth in this plan
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Attachment A
COMMISSION RESOLUTION NO 3839
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF
BOZEMAN MONTANA DECLARING THAT BLIGHTED AREAS
EXIST WITHIN THE MUNICIPALITY AND THE REHABILITATION
REDEVELOPMENT OR A COMBINATION THEREOF OF SUCH
AREA OR AREAS IS NECESSARY IN THE INTEREST OF THE
PUBLIC HEALTH SAFETY MORALS OR WELFARE OF THE
RESIDENTS OF SUCH MUNICIPALITY
WHEREAS a blight investigation in a portion ofthe North Seventh Avenue Corridor in
Bozeman outlined in Attachment A wascompleted by city staff at the direction ofthe City
Commission and
WHEREAS the investigation determined that areas ofblight as defined by state
statute existed within the study area associated with the following the defective or
inadequate street layout identified within the study area instances ofknown deterioration
inadequate provisions andor age obsolescence ofthe following public improvements
within the study area storm drain streets and sidewalks instances ofage obsolescence of
buildings within the study area inappropriate or mixed uses of land or buildings
deterioration ofsite and improper subdivision or obsolete platting and
WHEREAS 7 15 4210 MCA requires that a municipality adopt aresolution ofnecessity
in order to implement an urban renewal program
NOW THEREFORE BE IT RESOLVED by the City Commission of the City of
Bozeman Montana that areas of blight exist within the study area of North Bozeman
outlined in Attachment A and that the rehabilitation redevelopment or a combination
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thereofofthe area is necessary in the interest ofthe public health safety morals or welfare
of the residents ofBozeman
BE IT FURTHER RESOLVED that the City shall not use its powers ofeminent domain
to acquire private property for any private use in the implementation of any urban renewal
project within this area
PASSED AND ADOPTED by the City Commission ofthe City ofBozeman Montana at
a regular session thereof held on the 22nd day ofAugust 2005
ANDREW L CETRARO Mayor
ATTEST
ROBIN L SULLIVAN
Clerk of the Commission
APPROVED AS TO FORM
PAUL J LUWE
City Attorney
Signed copy available in City Clerk s office
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Attachment B
Legal Description ofthe North 7th Urban Renewal District Boundary
Beginning at the point ofthe southeast comer ofLot 7 Block I ofthe Springbrook Addition
thence westerly approximately 270 feet to the southwest comer of Lot 17 Block I of the
Springbrook Addition thence westerly approximately 30 feet to the centerline ofNorth 8th
Avenue thence northerly approximately 1 292 feet to the centerline ofWest Villard Street
thence easterly approximately 30 feet to the southwest comer of Lot 8 ofthe Durston
Subdivision thence northerly approximately 665 feet thence westerly approximately 4 feet
thence northerly approximately 214 feet to the centerline ofWest Peach Street thence westerly
approximately 65 feet to the southwest comer of Lot 18 Block 1 ofDurstons Second
Subdivision thence northerly approximately 1980 feet to the southwest comer ofLot 3 Block 2
of the Vista Addition thence easterly approximately 150 feet to the southwest comer ofLot 2
Block 2 Vista Subdivision thence northerly approximately 645 feet to the northwest comer of
Lot 14 Block I Vista Addition thence westerly approximately 1246 feet along the southern
boundary ofthe Oak Street right of way to the northwest comer ofTract 1 ofC O S 2082
thence northerly approximately 1706 feet down the centerline of North 11 th Avenue to the south
boundary ofthe Baxter Lane right of way thence northerly approximately 70 feet across the
Baxter Lane right of way thence northerly approximately 170 feet across the MDOT right of
way for Interstate 90 to the southwest comer ofLot 2 ofthe Wheat Commercial Subdivision
thence northwesterly approximately 1000 feet along the southern boundary ofTract A ofC O S
391A to the westernmost point thence easterly approximately 800 feet to the northwest comer of
Lot 1 of the Wheat Commercial Subdivision thence easterly approximately 789 feet to a point
approximately 25 feet from the northeast comer of Lot 12 ofthe Wheat Commercial
Subdivision thence northerly approximately 965 feet to the northwest comer ofLot 3 ofthe
Gordon Mandeville School Section Subdivision thence easterly approximately 440 feet to the
west boundary of the North 7th Avenue right of way boundary thence northerly approximately
1760 feet to a point where the west boundary ofthe North ih Avenue right of way intersects the
Burlington Northern right of way thence southeasterly approximately 1 408 feet along the
Burlington Northern right of way to the southeast comer ofLot 18A ofthe Amended Plat ofthe
Gordon Mandeville State School Section Subdivision thence westerly approximately 200 feet to
the northeast comerof Lot 17 ofthe Gordon Mandeville School Section Subdivision thence
southerly approximately 481 feet to the southwest comer of Lot 20 ofthe Gordon Mandeville
School Section Subdivision thence southwesterly approximately 107 feet to the southeast comer
of Lot 16 of the Gordon Mandeville School Section Subdivision thence westerly approximately
260 feet to the northeast comer of Lot 15B ofMinor Subdivision 49 thence southerly
approximately 686 feet to a point along the north boundary ofLot 20 ofthe Industrial Park
Subdivision approximately 20 feet west of the northeast comer of said lot thence westerly
approximately 340 feet to the northeast comer ofLot 22 of the Industrial Park Subdivision
thence southerly approximately 698 feet to the southwest comer of Lot 14 ofthe Industrial Park
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N7Rehab
Through N7Rehab, NSURB provides grants to foster voluntary rehabilitation of eligible
commercial properties for the elimination of blight in the North 7th Avenue Corridor.
Assistance is available for 1) demolition, 2) facade/site improvements (including but
not limited to façade enhancements, signage and landscaping) and 3) streetscape
enhancements for existing age obsolescent developments in the North 7th Urban
Renewal District.
North 7th URBAN RENEWAL DISTRICT
North 7th Commercial Rehabilitation Incentive Programs (N7Rehab)
INTRODUCTION
The Bozeman City Commission has authorized the North 7th Urban Renewal Board (NSURB) to implement and
administer the N7Rehab in the North 7th Urban Renewal District. Through N7Rehab, the NSURB may award grants for
the rehabilitation of commercial properties. These grants are dispersed at the completion of all improvements
associated with the project.
Applications for N7Rehab grants in the North 7th Urban Renewal District are subject to program eligibility criteria and
project guidelines listed below. In addition, project applications will be accepted and processed in the order in which
they are received and approved based on the availability of funds for the program.
PROGRAM OBJECTIVES
The primary objective of the N7Rehab is to provide a program to encourage voluntary repair and rehabilitation of
commercial property within the North 7th Urban Renewal District (hereinafter referred to as the “District”) in
accordance with the provisions of the Montana Urban Renewal Law (7-15-4209 and 7-15-4288, M.C.A.). Additional
objectives are to:
• Encourage private investment in commercial property in the District through the use of public incentives;
• Expand the property tax base in the District through private investment in income producing properties;
• Stimulate economic and business development within the District; and
• Retain and expand employment opportunities associated with economic development and increased
construction activity.
The grants are awarded at the discretion of the NSURB based upon review of the Applicant's compliance with program
objectives, eligibility requirements, and eligible construction activities.
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N7Rehab offers assistance to property owners in the District in the rehabilitation of their property and tenant businesses
with a lease period equal to 5 or more years. The program provides grants for costs used for eligible improvements in
the District.
The following eligibility requirements have been established to accomplish N7Rehab objectives in the repair,
maintenance or renovation of the exterior of buildings and deteriorated sites. Application forms are obtained from the
Bozeman Department of Planning and Community Development, and must be completed in their entirety before the
project will be considered.
1. Maximum grant award is set every fiscal year. For FY2010 the maximum award is $10,000 per grant fund
(total of $30,000 per site). All projects must be reviewed by the NSURB, and the award amount is at the
discretion of the NSURB.
2. All building and site improvements must be completed within one year of approval. Extensions may be
granted by NSURB.
3. The grant award for demolition alone may total up to 50 percent of the eligible costs if preparing the site to
sell. Grant awards for all other eligible costs, generally won’t exceed 10% of the total project cost.
Exceptions may be considered on a case by case basis.
4. All commercial property within the District is eligible for this program with the exception of publicly owned
buildings. For the purposes of this program, residential properties with four or more units will be considered
commercial properties. All applications will be reviewed in the order in which they are received by the
NSURB. Projects along N. 7th Avenue will be given priority at this time.
5. The Applicant's equity contribution to the project, the total expenditures for eligible improvements and the
commitment to undertake improvements or assume other development costs which are ineligible for
NSURB assistance will factor into the funding determination made by NSURB.
Generally, total project costs must be greater than or equal to $200,000, or $150,000, if a public access
easement is granted for sidewalk and streetscape improvements. Smaller projects may be considered if the
project eliminates a significant blighting factor from the District.
6. Eligibility is extended to property owners of record or tenants with a lease period equal to 5 or more years.
Tenants must submit written approval of the property owner and evidence of their leasehold interest.
7. Special Improvement District and property tax assessments of the property to be rehabilitated must be paid
to date.
8. Applicants must submit rehabilitation plans for review to the Bozeman Department of Planning and
Community Development. The NSURB staff will review the list of TIF eligible components of the project. Only
those components that demonstrate a reduction in a blighting factor listed in the Blight Report adopted by
Resolution 3839 may qualify for N7Rehab funds. These factors have been listed as eligible items in this
program description.
9. Applicants must fully satisfy any other outstanding requirements related to NSURB funded projects before
they are eligible to submit another application.
10. All TIF eligible expenditures must be itemized by materials and labor. Construction estimates must be
obtained from a licensed and bonded contractors, independent of the project, and submitted with the
application. Receipts or comparable documentation will be required for all work undertaken to allow
monitoring of actual costs of eligible project improvements.
11. Building façade improvements must meet the standards described in the Bozeman Design Objectives Plan.
Design Review Staff or the Design Review Board will determine the eligibility of costs associated with
building design improvements.
12. The property must currently be in commercial use or a legally binding commitment must exist, such as an
executed lease agreement, for an enterprise to occupy the structure after rehabilitation is complete.
Evidence of these commitments must be submitted with the application.
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ELIGIBLE CONSTRUCTION ACTIVITIES
IMPORTANT: To insure compliance with program objectives and design criteria of the North 7th Urban Renewal Board
and the North 7th Design and Connectivity Plan, all construction undertaken pursuant to the N7Rehab must be in
accordance with a design that has been reviewed and approved by the City of Bozeman through the Sketch/Site Plan
and Certificate of Appropriateness review process as outlined in Chapters 18.30 and 18.34 of the Bozeman Municipal
Code (BMC). The Applicant must also obtain all applicable permits and comply with all municipal ordinances and building
codes.
Demolition Fund
Eligible activities under the Demolition Fund include the following:
1. Total demolition and removal of one or all structures on a property, including foundations and other poured
concrete associated with the building(s) being removed
2. Demolition of non-conforming signage
Ineligible activities:
• Partial demolition
• Removal and mitigation of contaminated soils
• Site grading
Facade/Site Improvements Fund
N7Rehab is designed to address the need for rehabilitation of commercial property facades and deteriorated
buildings and/or non-compliant site elements. All applications must address facade improvements or
deteriorated/non-compliant site elements to be eligible for N7Rehab funds. Eligible activities under Facade/Site
Improvements Fund include the following:
1. Improvements to deteriorated buildings through the modification of exterior elements, including but not limited
to, walls, windows, doors, appurtenances and architectural features, signs, awnings and painting. Façade
improvements must conform to the Bozeman Design Objectives Plan.
2. Exterior improvements for disabled citizens including but not limited to ramps, doors, kick plates, automatic door
openers, walks, guardrails, non-slip materials and level platforms at doors.
3. Replacement of non-compliant signage with compliant signage
4. Landscaping improvements incorporated into a public space such as a parking lot
5. Parking lot improvements which include improvements to pedestrian connectivity and/or ADA accessibility
parking and building access
6. Parking lot surfacing and curbing improvements when included with a reduction in drive accesses and/or a new
shared parking arrangement between adjacent businesses
7. Storm water facility improvements
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8. Architectural and engineering assistance and design fees are eligible but may not exceed 10% percent of the
eligible construction costs or $5,000, whichever is less. In addition, permit fees are an eligible cost for the grant
award up to 5% percent of the total cost estimate for eligible construction costs or $1,000, whichever is less. All
design fees and permit charges must be itemized.
The following activities are ineligible for funding through the N7Rehab:
• New construction or additions;
• Re-roofing, unless to improve a roof covering which is highly visible from the public right-of-way;
• Building improvements not visible from a public right-of-way;
• Refinancing existing debt;
• Interior rehabilitation;
• Property acquisition;
• Structural elements not related to exterior improvements;
• Work initiated prior to necessary program approvals.
The N7Rehab is not intended to discourage an applicant from making improvements to the interior of their building,
but such improvements are not directly related to blight reduction and so shall not be entitled to TIF funding.
Streetscape Enhancement Fund
The District Plan calls for improvements to pedestrian connectivity, installation of boulevard landscaping, improved
street and pedestrian lighting and correction to non-compliant accesses onto N. 7th Avenue. As such, the NSURB has
made funds available to assist property owners with these improvements. If located within the public right-of-way,
projects eligible for the Streetscape Enhancement Fund include
1. Curbing associated with reduction in number or width of accesses onto N. 7th Avenue
2. Storm water drainage and treatment improvements in the event the City requires such improvements be made
for project approval
If located in a public right-of-way or public access easement, eligible Streetscape Enhancements include
1. Purchase and installation of District street and/or pedestrian lighting
2. Landscaping improvements
3. Sidewalk construction and repair
4. Installation of ADA sidewalk ramps
5. Curb construction associated with sidewalk or landscaping improvements
6. Installation of tree grates
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IMPORTANT: The responsibilities outlined below reflect the general process to be followed to insure application
approval and compliance with program objectives. Maintaining close coordination between the participants will
expedite the review and approval of the application.
APPLICANT RESPONSIBILITIES
The successful Applicant for NSURB assistance must undertake the following responsibilities pursuant to the N7Rehab
Program.
1. Applicant completes N7Rehab and City of Bozeman Site Plan (or Sketch Plan) application materials and
complies with all application requirements. This material is provided to the NSURB for review and approval,
so nine (9) additional copies of the application materials are required to facilitate the review process. NSURB
staff will provide informal assistance to the Applicant in completing the necessary forms and developing a
project design that is in compliance with program objectives. Architectural, Landscaping and Engineering (if
applicable) drawings must be provided by the applicant. Final Architectural Design Review authority will be
Design Review Staff within the Department of Planning and Community Development and/or the Design
Review Board (if applicable).
2. Applicant provides cost estimates as required by the N7Rehab application process.
3. Applicant will attend the scheduled NSURB monthly meeting to provide the Board with information on the
project.
4. The N7Rehab process does not absolve the applicant of having to apply for deviations and/or variances if
required by the established plan review process.
5. Applicant provides copy of signed bid contract and enters into a Participation Agreement with NSURB.
6. Applicant will provide receipts for all work undertaken with N7Rehab funding to allow monitoring of actual
costs of N7Rehab eligible improvements.
7. Applicant is responsible to review the rehabilitation work and upon completion will submit an application
for Final Occupancy through the Bozeman Building Division. NSURB staff will determine if the rehabilitation
work has been completed satisfactorily and recommend or deny approval for Certificate of Completion to
the NSURB. Certificates of Completion will not be granted until ALL work funded by the grant is completed.
8. An improvements agreement and financial guarantee may be required to obtain occupancy as directed by
the Planning Department. Pending grant awards may not be used as a financial guarantee.
9. The applicant may be required to provide a financial statement to demonstrate sufficient financing for the
project has been secured.
NSURB RESPONSIBILITIES
1. NSURB staff reviews the application and determines which rehabilitation activities are eligible. The
application will also be reviewed against the N7Rehab Project Review Criteria.
2. NSURB staff prepares a report for the Board and distributes the report to Board members 5 days prior to the
next regularly scheduled monthly meeting.
3. The Board reviews the application for funding eligibility, reviews the fund request and votes to approve,
deny or approve a modified award.
4. NSURB staff prepares the Participation Agreement (to include a list of approved eligible improvements
receiving funding) for signing.
5. NSURB staff tracks receipts for completed N7Rehab eligible improvements
6. NSURB staff closes out the application upon satisfactory completion of the project and submits NSURB
CERTIFICATION OF COMPLETION to be signed by the NSURB Chair.
7. NSURB staff sends a request to the City Finance Department to release funds to the applicant.
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DELEGATION OF AUTHORITY
The NSURB is, hereby, delegated authority to administer the N7Rehab as set forth in this application packet and
Resolution #_____ and enter into agreements with Applicants necessary to accomplish the purposes of the program. If
an Applicant's project is deemed ineligible for a grant award by NSURB staff, the Applicant may appeal that decision to
the NSURB whose determination with respect to eligibility shall be final.
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