Battle Creek Tax Increment Finance Authority

BATTLE CREEK TAX INCREMENT FINANCE AUTHORITY Tuesday, January 21, 2014 At the meeting of the Battle Creek Tax Increment Finance Authority held on Tuesday, January 21, 2014 at 3:00 p.m. at the Frederick R. Brydges Customs Cargo Center, the following were in attendance: Messrs. Bobrofsky, Bowman, Christensen, Cutshall, Czerney, Frantz, Scott, Tsuchiyama and Ms. Tuggle. Absent were: Messrs. Karre, Noble, Rae and Stewart. Also in attendance were: Messrs. Dehn, Kettner, Mumford, Voshell and Mmes. Albrant, Hovarter and Young. Mr. Bobrofsky called the meeting to order at 3:00 p.m. APPROVAL OF MINUTES MOTION: Mr. Cutshall moved that the Battle Creek Tax Increment Finance Authority Board of Directors approve the minutes of the October 15, 2013 meeting as presented. Mr. Bowman supported the motion and it was unanimously approved. APPROVAL OF FINANCIAL STATEMENTS YEAR ENDED JUNE 30, 2013 Mr. Mark Kettner stated that the Audit ending June 30, 2013 was submitted for board review. The audit includes an unmodified opinion letter on the financial statements. This is a new term and the word unqualified will no longer be used. MOTION: Mr. Czerney moved that the Battle Creek Tax Increment Finance Authority Board approve the Audit for fiscal year ending June 30, 2013 as presented and respectfully submits it for City Commission approval. Mr. Scott supported the motion and it was unanimously approved. APPROVAL OF ANNUAL REPORT 2012-13 Ms. Tracy Hovarter stated that the Annual Report is a two page summary that provides the activity from the prior fiscal year. The Annual Report requires approval from both the BCTIFA Board and the City Commission. MOTION: Mr. Frantz moved that the Battle Creek Tax Increment Finance Authority Board approve the Annual Report 2012-2013 as presented and respectfully submits it for City Commission approval. Mr. Christensen supported the motion and it was unanimously approved. BCTIFA Board Page 2 – Minutes January 21, 2013 CLARK ROAD UPDATE Mr. Voshell stated that the BCTIFA Board approved the 20% match required for the “Category A” grant, not to exceed $100,000 on August 22, 2013. The grant was for the amount of $400,000 to add a turn lane on the northern half of Clark Road to West River Road. It was a recommendation made by Cosma Casting for safety precautions. The Engineering Department and BCU staff recommends creating a center turn lane from West Dickman Road to West River Road. Mr. Dopp reported that the City is working with the Michigan Department of Transportation (MDOT) on the “Category A” project. MDOT will allow the City to control the entire bid process (north and south bids together) and this would also allow the City to hire the same contractor. The construction schedule is planned for May 1 – July 1. The construction would be done in four quadrants, working on one quadrant at a time. Each side of Clark Road will be widened six feet to create the center turn lane. Mr. Bowman asked if the road improvements could continue north to M-89. It was stated that at the railroad tracks it becomes Bedford Township. MOTION: Mr. Bowman moved that the Battle Creek Tax Increment Finance Authority Board of Directors approves spending $475,000 for Clark Road improvements. Mr. Cutshall supported the motion and it was unanimously approved. LAND STATUS Mr. Voshell reported on the following: West Columbia Avenue – a German prospect was interested in the Williams farm property near the airport. The company was concerned about the costs associated with leveling the land. The City’s Engineering Department estimated that it would cost $1 million to level. The German prospect is currently interested in an existing building. Chinese Prospect – staff provided a tour of existing BCTIFA vacant properties. Of the sites the prospect selected in Michigan, the sites were already balanced or leveled. Mr. Voshell recommended the BCTIFA Board to start thinking about balancing some projects this summer. He will provide a proposal at a later date. Mr. Dehn stated that over the past ten years, site selectors choose sites that have the lowest risk possible for a development project. Staff has seen this perceived risk elevated. The prospects and site selectors want to see a site balanced or leveled. BCTIFA Board Page 3 – Minutes January 21, 2013 PROSPECT/PROJECT DEVELOPMENT UPDATE Mr. Voshell reported on the following:  Staff has been working with three active prospects. All are auto related and high quality suppliers. None of them are as big as Cosma Casting. Staff was working on an aeronautical project. The State of Michigan was not selected for this project. PUBLIC COMMENTS No public comments were made. ADJOURN There being no further business, the meeting was adjourned at 3:30 p.m.