HomeMy WebLinkAbout10-14-20114-YMCA- Atlantic Trust ATLANTIC TRUST
October 14,2014
PRIVATE WEALTH MANAGEMENT
Attn: Mayor and Commissioners
City of Bozeman
P.O. Box 1230
Bozeman,MT 59771
Dear Honorable Mayor Krauss and Bozeman City Commission:
Our firm serves as Trustee of the The Kendeda Fund,a private foundation. On behalf of the Kendeda Fund, 1
am writing to share our enthusiasm and support of the partnership opportunity between the Gallatin Valley
YMCA(YMCA)and the City of Bozeman.From our vantage point of funding innovative projects across the
country,we have seen firsthand the power of great partnerships and collaborations between community-
based organizations and municipalities.
Please allow this letter to serve as the Kendeda Fund's voice of support for the partnership between the
YMCA's community recreation center and the City of Bozeman's proposed aquatics center.We understand
that the YMCA has offered the use of 3.1 of its 7 total acres adjacent to the Gallatin Regional Park for the
construction of a proposed indoor/outdoor city aquatics facility.
As currently proposed,we understand that the YMCA and the City of Bozeman will share common space
between the two facilities that will meet the needs of both entities.These shared facilities will include locker
rooms,lobby area,administrative space,public restrooms,and multi-purpose space.By sharing this space,it
will allow the City of Bozeman and the YMCA to realize cost savings while the entire community will benefit
from the programmatic offerings and facilities provided by both entities.
In support of this partnership,the Kendeda Fund understands the complexities of this arrangement.In the
event the YMCA is unable to construct its facility,and the City of Bozeman is ready to begin construction,we
support the YMCA making a written commitment to the City of Bozeman that ensures that the City has
unconditional access to and use of the 3.1 acres for its aquatics facility.
The Kendeda Fund has a development deadline agreement in place with the YMCA (see attachment). In that
agreement, the YMCA has to meet one of two requirements by December 31,2015.I remain optimistic that
one or both of the requirements will be met by the deadline.
Below is the evidence of the progress made to date:
a. The YMCA has a signed MOU with Gallatin County,indicating a municipal partnership on the
YMCA project.In addition,a final easement document between the YMCA and Gallatin
County is currently being prepared.
b. As of today,the YMCA has raised$2.4 million towards its total building development
campaign goal of$10.5 million.
We encourage you to proceed in your discussion with the Gallatin Valley YMCA,as this combined new facility
will be a community-changing project that will bring great benefit to the citizens of Bozeman and the Gallatin
Valley.
Regards, ,
611t..
Mr, Barry Berlin,CFA
Managing Director
Atlantic Trust Company,Trustee of The Kendeda Fund
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April 15, 2014
At the request of The Kendeda Fund, this letter of agreement helps ensure a path of success
for the development of the new Gallatin Valley YMCA (the "Y") at the Gallatin Valley
Regional Park. Based on the shared desire to foster the successful development of a
functioning, well-located YMCA in Gallatin County, the YMCA Board of Directors along with
capital campaign volunteers and leaders of the Kendeda Fund wish to establish this
agreement for measurement of success towards reaching the goal.
Further, this agreement amends and replaces an earlier agreement, signed on August 28,
2008, and copied here intact:
Development Deadline Agreement
August 28, 2008
To help ensure timely performance in developing a YMCA facility on the 7 acre parcel being
purchased with a gift from the Kendeda Fund, the Gallatin Valley YMCA, Inc agrees to the
following conditions:
There is to be substantial progress*(defined below) towards development of a YMCA facility
on the 7 acre parcel by September 15, 2013 or the parcel(see exhibitA below) is to be
transferred via donation to another 501(c)3 entity domiciled in Gallatin County within 1
month of failure to meet this standard. The parcel may be encumbered for financing purposes
when a threshold of$2,000,000 in new pledges or donations has been met.
*Substantial Progress:A contract to begin immediate construction of a YMCA facility and
associated improvements exceeding$2,000,000 in value or ongoing or completed
construction ofsuch a facility exceeding the$2,000,000 threshold.Such contract or
construction is not to begin without first securing pledges and donations exceeding the
$2,000,000 threshold.
Bra tton DuBose, Officer, Past President Matt Nistler, President
EXHIBIT A
Lot 4 of Minor Subdivision No. 400, a parcel of land being a
portion of Tract 4A-1 of Certificate of Survey No. 2202B, located
in the NE114 of Section 3, Township 2 South, Range 5 East,
P.M.M., City of Bozeman, Gallatin County, Montana.
Recognizing the Y's failure to achieve the goals established in the earlier agreement, the
Kendeda Fund wishes to give the Y more time to fashion a successful new facility. To that
end, the Y agrees to undertake new conditions of success. As of December 31, 2015,the
YMCA will have met at least one of the following hurdles:
1. Signed MOU's from one or both of the City of Bozeman or Gallatin County,
indicating a municipal partnership on the YMCA project,with a specific
timeline that includes ground-breaking prior to June 30, 2016, and with
public-private funding in place.
2. Absent a signed MOU with either Gallatin County or Bozeman,the Y will have
raised least$6 million of funds or pledges towards the total building
development campaign, not including the original Kendeda grant for land
purchase.
With regards to municipal MOU's, as the Y negotiates with government entities, it might be
necessary to examine the possibility of re-locating the YMCA land in order to maximize
partnership potential. The Kendeda Fund grants permission for the Y to explore any
opportunity, including a land exchange or sale, that would bring a full-facility YMCA to the
Gallatin Valley.
Failure to reach one or both of the aforementioned hurdles will result in a transfer of the
land described in Exhibit A,to a non-profit or governmental entity designated by The
Kendeda Fund. Such transfer would be facilitated by the Y, upon direction of either the
Trustee, or Managing Director, of The Kendeda Fund.
EXHIBIT A
Lot 4 of Minor Subdivision No. 400, a parcel of land being a
portion of Tract 4A-1 of Certificate of Survey No. 2202B,
located in the NE1/4 of Section 3, Township 2 South, Range 5
East, P.M.M., City of Bozeman, Gallatin County, Montana.
Signatures:
Date
Barry N. Berlin
Managing Director of Atlantic Trust Company, Trustee for The Kendeda Fund
THE GHLLATlN VHLLEY YMCA • PO Box 10755 • Bozeman, MT . 59779
www•ga11atinva11eyymca•org