Community Development Advisory Board

CITY OF DERBY MEETING OF THE COMMUNITY DEVELOPMENT ADVISORY BOARD REGULAR MEETING August 26, 2015 4:30 PM - 5:30 PM The mission of the Community Development Advisory Board (CDAB) is to monitor and maintain the city's economic development plan; make recommendations to the City Council on development projects for which city incentives are requested; propose changes to policies governing economic development activities; and advocate for programs and activities that will improve the city's economic conditions. 1. Roll Call Margaret Fritzler Dwayne Gentry Anndria Obeirne Dale Smith Matt Quinn Jason Wojteczko 2. Public Forum 3. Consideration of Minutes 3. A. Regular Meeting Minutes - May 27, 2015 Recommend a Motion to: Approve the regular meeting minutes of May 27, 2015 as presented. 3. B. Special Meeting Minutes - July 23, 2015 Recommend a Motion to: Approve the special meeting minutes of July 23, 2015 as presented. 4. New Business 1 4. A. Development Manager Report 4. B. Final Draft Economic Development Plan Review Recommend a Motion to: Recommend adoption of the 2016-2018 Economic Development Plan as presented to the City Council. 5. Chamber Update 6. Adjournment 2 Community Development Advisory Board 3. A. Meeting Date: 08/26/2015 Submitted By: Taylour Tedder, Development Manager Subject: Regular Meeting Minutes - May 27, 2015 Recommend a Motion to: Approve the regular meeting minutes of May 27, 2015 as presented. Attachments Minutes 3  COMMUNITY DEVELOPMENT ADVISORY BOARD MINUTES May 27, 2015 4:30 PM – 5:30 PM CITY OF DERBY ROLL CALL MEMBERS ABSENT Margaret Fritzler Dwayne Gentry Anndria Obeirne Dale Smith Matt Quinn Jason Wojteczko X OTHERS PRESENT: Taylour Tedder, Development Manager Mark Staats, President/CEO, Derby Chamber of Commerce Meeting was called to order at 4:00 p.m. PUBLIC FORUM OPENED/CLOSED NEW BUSINESS CONSIDERATION OF MINUTES – February 18, 2015 Moved by Anndria Obeirne, seconded by Dwayne Gentry, to approve the regular meeting minutes as presented. VOTE: 3-0 (Wojteczko Absent, Smith Abstain, Quinn Abstain) DEVELOPMENT MANAGER REPORT: Taylour provided an overview of development highlights and current status of the West End Development Plan. Dwayne asked if the hotel development policy was fair for the existing hotel and what parameters a second hotel would have to meet in regards to competition. Mark said when we first recruited the Hampton Inn, the city wanted a higher end hotel to come to town with meeting rooms. There is not a lot of money in meeting rooms so the city allowed them to forgo the meeting space at the first hotel and created the policy for meeting space at a second. With new space that the city is developing, the meeting space in a second hotel is no longer needed. Taylour said the lower prices at hotels in Wichita often capture families coming to Derby for ball tournaments. There is a need for hotels at multiple price points in Derby. Anndria asked if the city projects what additional traffic and interest new development may draw to the community. 4 Taylour said we do not have a specific number on it, but when you get certain businesses it creates a draw of other businesses to follow success. It is like a domino effect, once you get a Chick-Fil-A, you may get a Chipotle. You get a TJ Maxx, something else may follow. Anndria said she was glad Hog Wild was locating in Bristol Square, an existing location. Matt asked if there were plans for any additional medical offices or hospital space at this time. Taylour replied we have not had a submission of plans. We will let you know as soon as we can learn more. The Little Clinic is locating in at the Dillons Marketplace. Matt said the word in Wichita is a minor emergency facility and a hospital are planned for Derby. Are there sites zoned properly for this use? Taylour said many sites would need rezoning but depending on the use it could be located in general business or neighborhood business zoning districts. Matt said what is coming to Derby now is exciting. This is similar to the development at Greenwich and K-96, Hobby Lobby comes, then Academy. The fact so many businesses have recently passed site plan review, we have so many new businesses that can also come locate in Derby. Anndria asked if there was an update from Menards. Taylour said they have not communicated a change since the last time we spoke with them. They have previously stated they would pull permits in 2015. DRAFT ECONOMIC DEVELOPMENT PLAN REVIEW Taylour provided a review of the draft economic development plan. Dwayne said I like the content and strategies, but the pictures are pulling me away from the document. I prefer the other plan, this is bigger and busier. Focus on the words. Matt asked who is the target audience for this document to go out to. Taylour said this is a plan for the city to work from. I also give it to people looking to start or locate a business in Derby. Matt said if it is used as a marketing tool to a prospective business, the pictures are useful. The pictures with things on the shelves do make it busy but they are overall a great marketing tool. Margaret said the pictures are useful especially since the people in them are out in the community and you recognize their faces. Anndria asked if a picture of the Derby Marketplace would work well. 5 Taylour said initially I placed a photo in the document from the Marketplace, but since we are focused on manufacturing uses and economic impact, I removed it. I can retool the pictures to make it softer and less busy. Dwayne said I was talking with some engineers and asked them what they thought about Economic Development. They suggested an idea called tech shop. The city or school sets up a shop with equipment like 3D printers and other engineering equipment for them to start a new venture. Taylour explained the services offered at the Business Center and how we support the center. We could possibly collaborate with a different entity and expand the center. Dale asked if there has been any talk about data processing infrastructure, something like Independence did. Taylour said the city recently installed fiber optic lines throughout the city for its private use, but the future could include expansion for the public if private business decided to expand on the system. Dale said expansion and availability of fast internet and tech related needs would help grow the community. Taylour said businesses like a call center or high tech industry are eligible for incentives depending on their capital investment and employment levels. Margaret asked how many new businesses have located in Derby for 2015. Taylour said he will look and report back. A guestimate would be 30 for this year so far, many are home based businesses. Margaret stated Taylour talks with all new businesses. Taylour said when businesses come to register their business he attempts to make contact with each business and make sure they have everything they need. Dwayne asked if we could remove “high-value” from the first strategy under Business Retention and Expansion, to make it sound that all businesses are valued. Dale Smith moved, seconded by Margaret Fritzler, to direct staff to formulate a final plan to present to the board at the August 26, 2015 meeting. VOTE: 5-0 (Wojteczko absent) CHAMBER UPDATE Mark explained the Chamber is very busy right now. The new website is being started in July along with a new community app. The Chairman’s Banquet is in three weeks and the WSU men’s basketball character coach will be the speaker. The Chamber will also offer the LEAD Derby program again this fall, which is a leadership program in connection with the Kansas Leadership Center. 6 Anndria Obeirne moved, seconded by Dale Smith, to adjourn. VOTE: 5-0 (Wojteczko absent) Meeting adjourned at 5:30 p.m. 7 Community Development Advisory Board 3. B. Meeting Date: 08/26/2015 Submitted By: Taylour Tedder, Development Manager Subject: Special Meeting Minutes - July 23, 2015 Recommend a Motion to: Approve the special meeting minutes of July 23, 2015 as presented. Attachments Minutes 8  COMMUNITY DEVELOPMENT ADVISORY BOARD MINUTES July 23, 2015 4:00 PM – 5:00 PM CITY OF DERBY ROLL CALL MEMBERS ABSENT Margaret Fritzler Dwayne Gentry Anndria Obeirne Dale Smith Matt Quinn X Jason Wojteczko X OTHERS PRESENT: Taylour Tedder, Development Manager Tom Bishop, President/CEO, Homestead Affordable Housing, Inc. Terri Bradshaw, Director of Property Management, Homestead Affordable Housing, Inc. Larry Krier, AIA, Senior Vice President, LK Architecture Dee Williams, Senior Services Administrator Meeting was called to order at 4:00 p.m. PUBLIC FORUM OPENED/CLOSED NEW BUSINESS REQUEST FOR INCENTIVES – HOMESTEAD AFFORDABLE HOUSING, INC. Tom Bishop, Homestead Affordable Housing, Inc., provided a presentation about the non-profit company, their twelve senior housing developments throughout Kansas, and their proposed development in Derby. Larry Krier, LK Architecture, provided an overview of the design and features of the development. Margaret asked how many parking spots are available for residents. Larry replied two 8-foot parking spots per unit in addition to the garages attached to the majority of the units. Tom added the sidewalks surrounding the parking areas all have ramps so they are fully accessible. There are zero steps for all units. Dwayne asked what helped you select Derby for this project. Tom replied with the large waiting list in Mulvane and in Haysville we determined a need for the area. We are 5 miles from the Mulvane site, 7 miles from Haysville. 9 Terri Bradshaw, Homestead Affordable Housing, Inc., replied the amenities Derby offers is a large aspect of selection of this site. This offers a different product for the market and will allow more seniors to remain in the community. Margaret replied the affordability is terrible right now for senior housing. Tom replied this impacts the whole market and the community is growing and needs additional workforce housing. Mulvane experienced 11 seniors selling their houses to move into the Homestead property. Additional housing will become available as the seniors sell their houses to move into this 64-unit property. Anndria asked if the recommended motion will be the first step of the process for the IRBs. Taylour replied yes, with CDAB’s approval, this will go in front of the City Council where they can set a public hearing to adopt a resolution for the IRBs and tax abatement. Tom will then take the project to the state for housing credit funding. Tom stated this will then result in construction time to be in 2016-2017. We normally try to start in one direction of the property for construction and move in the opposite direction to have less impact to new residents in the competed buildings. Dwayne asked if the City Council will have an issue with the low return on investment figure and if they have done this in the past. Taylour replied they have the option to waive the requirement of 1.3 to 1 return on investment and believes they have waived the requirement in the past for certain developments. The social benefit of the development will allow long time Derby residents to remain in the community. Dwayne asked if the residents have a say on what is done in the community after construction is finished. Tom stated we try to involve tenants in our decisions, and several of our communities have a resident activity committee. The residents plan what they want to do and the manager attends the meetings. Each community is different in this respect. Terri said the state does an extremely thorough HUD inspection yearly when home funds are involved in a project. Anndria Obeirne moved, seconded by Margaret Fritzler, to recommend to the City Council the request from Homestead Affordable Housing, Inc. for Industrial Revenue Bond financing and tax abatement. VOTE: 4-0 (Quinn and Wojteczko absent) Anndria Obeirne moved, seconded by Dale Smith, to adjourn. VOTE: 4-0 (Quinn and Wojteczko absent) Meeting adjourned at 5:01 p.m. 10 Community Development Advisory Board 4. A. Meeting Date: 08/26/2015 Submitted By: Taylour Tedder, Development Manager Subject: Development Manager Report Background: Current Year to Previous (May-June 2015) Period Date YTD Derby Business Requests for Assistance 42 141 42 New Business and Other Requests for 73 153 236 Assistance Business requests in 2015 have remained strong. Many national retailers, small businesses and site selectors are continuing to look at Derby for locating businesses. The total level of interest is higher than during the same time period last year. Wesley has announced a new $10 million emergency room at the corner of Rock and Patriot. Destination Development 'Field Station Dinosaurs' public hearing set for the August 25th City Council meeting. Spent significant time working with developers and site selectors looking to locate businesses in Derby. Businesses continue to respond favorably to the monthly email to registered businesses with the Derby News Update attached. On average five businesses per email request additional information or assistance. Presented information on development trends in Derby to the Verus Bank board. Letters were sent to business and property owners near the Red Powell intersection inviting them to attend the Council Retreat where the intersection was discussed. Letters were sent to unregistered businesses with many businesses responding and registering. Jean Garinger of American Family Insurance has agreed to lead efforts to organize a West End Merchants Association. Spoke to a panel at a Wichita Chamber YPW event about how people can get involved with city boards and commissions. Attended an IEDC training course on Workforce Development. 11 Community Development Advisory Board 4. B. Meeting Date: 08/26/2015 Submitted By: Taylour Tedder, Development Manager Subject: Final Draft Economic Development Plan Review Background: The City Council adopts an Economic Development Plan every three years, which is used to guide and accomplish economic development efforts. Part of CDAB's mission is to monitor and maintain the plan. The current plan was developed for use from 2013 to 2015. At the February 18, 2015 and May 27, 2015 meeting, CDAB reviewed the 2013-2015 plan and provided guidance to staff to prepare the 2016-2018 plan. Staff has now prepared the final draft 2016-2018 plan for the board's review. CDAB's recommendation for the Economic Development plan to the City Council is scheduled for the September 8, 2015 City Council meeting. Recommend a Motion to: Recommend adoption of the 2016-2018 Economic Development Plan as presented to the City Council. Attachments ED Plan 12  DRAFT Economic Development 2016-2018 Plan Mockry & Sons Machine Company WWW.DERBYWEB.COM 13  DRAFT Business Retention & Expansion Strategy 1: Conduct valuable retention visits to priority cluster businesses to en- sure their long-term stability and growth potential. Strategy 2: Sell lots in the West End Business Park and assist businesses in their expansion efforts. Strategy 3: Support and expand the Derby Business Center to inspire and attract start-ups, entrepreneurs, and established businesses. Strategy 4: Partner with Derby Chamber of Commerce to support Derby businesses through opportunities for networking and education. Business Attraction & Development Strategy 1: Support investment and business development in the K-15 corridor, West End, and Derby Corporate Park. Strategy 2: Engage in partnerships with regional and statewide economic development groups to increase name recognition and raise awareness of Derby. Strategy 3: Using target clusters identified in the Blueprint for Regional Economic Growth, identify opportunities for outreach, such as trade shows and other opportunities to reach these target business audiences. Strategy 4: Review incentive policies and recommend modifications when necessary. Previous plan approved March 12, 2013 14  DRAFT Economic Development Marketing Inside Story Headline Strategy 1: Explore opportunities to promote Derby to prospective business owners, business development specialists, and real estate professionals. Strategy 2: Develop themed marketing materials to reach out to target industries and businesses. Strategy 3: Participate with community partners in local and regional marketing efforts to attract visitors and tourism. Strategy 4: Promote the Shop Derby event to encourage residents and visitors to support local businesses. Mockry & Sons Machine Company Strategy 5: Enhance website information to better promote business opportunities in Derby. 15  DRAFT About the Derby Community Development Advisory Board The mission of the Community Development Advisory Board (CDAB) is to monitor and maintain the city's economic development plan; make recommendations to the City Council on development projects for which city incentives are requested; propose changes to policies governing economic development activities; and advocate for programs and activities that will improve the city's economic conditions. The six-member board meets quarterly. Each member serves a two-year term. One board member is designated by the Derby Chamber of Commerce and serves a one-year term. 2015-2016 Community Development Advisory Board Members:  Margaret Fritzler, Retail Loan Officer, Intrust Bank  Anndria Obeirne, HR Generalist, Spirit AeroSystems  Dale Smith, Retired Pharmacist  Dwayne Gentry, Dentist, U.S. Air Force  Jason Wojteczko, Owner, Compass Rose Aviation  Matt Quinn, Chief Operating Officer, Mid-America Orthopedics Derby’s mission is to create vibrant neighborhoods, nurture a strong business community and preserve beautiful green spaces. Derby’s vision is to be a community where dreams take root and thrive. www.derbyweb.com 16