Regular Meeting

CITY OF ELKO REDEVELOPMENT ADVISORY COUNCIL REGULAR MEETING MINUTES 4:00 PM, THURSDAY, JULY 28, 2022 ELKO CITY HALL, COUNCIL CHAMBERS 1751 COLLEGE AVENUE, ELKO, NV 89801 I. CALL TO ORDER The meeting was called to order by Catherine Wines, Vice-Chairman of the City of Elko Redevelopment Advisory Council (RAC), at 4:00 p.m. II. ROLL CALL Present: Vice-Chairman Catherine Wines, ACAB Secretary Lina Blohm, RAC Member Member Giovanni Puccinelli, Councilman Absent: Chairman Jon Karr, DBA Member Jeff Dalling, Planning Commissioner Ex-Officio - Non Voting Member Corey Rice, Elko County Ex-Officio - Non Voting Member Katie Nedderiep, ECVA Ex-Officio - Non Voting Member Sonja Sibert, GBC Ex-Officio - Non Voting Member Steve Bowers, Elko County School District City Staff Present: Staff Cathy Laughlin, City Planner Staff Michele Rambo, Development Manager Staff Shelby Knopp, Administrative Assistant Staff Bob Thibault, Civil Engineer Staff Scott Wilkinson, Assistant City Manager III. PLEDGE OF ALLEGIANCE IV. COMMENTS BY THE GENERAL PUBLIC There were no public comments made at this time. V. APPROVAL OF MINUTES A. April 28, 2022 - Regular Meeting - FOR POSSIBLE ACTION July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 1 of 7  ***Motion: Approve the April 28, 2022 Meeting Minutes. Moved by Giovanni Puccinelli, Seconded by Catherine Wines *Motion passed. (2-0) VI. NEW BUSINESS A. Review, consideration, and possible recommendation to the Redevelopment Agency regarding the development of a Fire Suppression and ADA Assistance Grant Program, and matters related thereto. FOR POSSIBLE ACTION Cathy Laughlin, City Planner, stated that discussions between the Fire department and developers and contractors revealed high development costs associated with bringing into compliance some of the older buildings in the redevelopment area, when they lose their legal non-conforming status. From those discussions, an RDA grant funding program was proposed, similar to the Storefront Grant Program or the Demolition Grant Program. This would be a third grant program that would include items such as ADA upgrades, fire suppression, and possibly other City of Elko requirements such as backflows or grease interceptors. From her memo, Ms. Laughlin made the following suggestions: a 50/50 match grant with no minimum amount, but a maximum of $15,000 per property; two application acceptance periods per year - January 1-31st and July 1-31st; a requirement for property owners to provide a business plan or proposed use of the building as part of the eligibility requirements; funding the program at $60,000 per year, or $30,000 semi- annually, which would allow for four larger projects a year at the maximum amount of $15,000 each; ineligible items would include items such as landscaping, roofing, fencing, and foundations; and grants would be reimbursed after completion of work and either a letter of completion or certificate of occupancy has been issued by the City of Elko. Ms. Laughlin stated funding of the grant would come from the public-private partnership line item of the budget, which is budgeted for expenditures up to $75,000 per year. The Demolition Grant Program is funded under this line item as well. The grant program would meet numbers 1, 5, 6 and 7 of the goals and objectives of the redevelopment plan. Jack Snyder, Fire Chief, provided comments in favor of the grant, sighting public safety concerns and the hazards that vacant buildings pose. The grant would offer some assistance to the builders and developers to bring these buildings up to code, allowing them to be open for business. Catherine Wines asked if one property could apply for multiple conformance projects. Ms. Laughlin responded, yes, more than one item could be covered, as long as the maximum $15,000 per property was not exceeded. She further clarified that since it is a 50/50 matching grant, that would represent a $30,000 investment. Ms. Wines asked if existing businesses would be eligible. July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 2 of 7  Ms. Laughlin confirmed. Ms. Wines asked for the reason behind limiting the application acceptance periods to twice per year. Ms. Laughlin stated the suggestion was based on the availability and allocation of her time. She stated that just like the Storefront Grant Program, applicants would be allowed to apply during the process of purchasing a property, so projects shouldn't be hampered by the application acceptance periods. Ms. Wines enquired about funding. Ms. Laughlin confirmed the $60,000 would come from the public-private partnership line item of the budget, which is budgeted for expenditures up to $75,000 per year. The Demolition Grant Program is funded under this line item as well. The Redevelopment Agency has the authority to allocate additional funding out of different line items within the budget. Ms. Wines asked if elevators would be included. Ms. Laughlin responded that if a building is nonconforming due to that, it would be an appropriate item for this grant. It could be included at the recommendation of the Redevelopment Advisory Council to the Redevelopment Agency. Lina Blohm enquired about conformance to fire code. Mr. Snyder clarified conformance to current fire code would come into effect only after a building has sat vacant for 12 months. As long as a building has its certificate of occupancy, it can continue to operate. Ms. Wines added that it also applies when a building changes its use. Ms. Blohm expressed concern over the cost of fire code conformance and the number of buildings that would be affected. Mr. Snyder stated there were different avenues available for commercial properties to come into conformance - sprinkler system, fire walls and fire barriers. There was further discussion regarding the differences between the Northern Nevada Amendments and the 2018 International Fire Code. Ms. Blohm questioned the effectiveness of the proposed amount and where that number came from. Ms. Laughlin stated $15,000 was an estimate based off a sprinkler system cost of $30,000. She also felt it was a fiscally conservative number that would keep the redevelopment plan on track for completion by 2038. July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 3 of 7  Lisa Turner, asked if ARPA money could be used to fund this grant. She also suggested increasing the maximum dollar amount available to an applicant if there were less than four applicants in an application period. Luke Fitzgerald agreed. Scott Wilkinson, Assistant City Manager, stated that a similar thing has happened with the Storefront Grant. Ms. Wines disagreed. Ms. Blohm questioned the impact the grant would have on bringing business to the area. Ms. Wines stated that it would encourage new business and help existing business to get themselves in conformance. Mr. Fitzgerald enquired about where increases in funding come from for the RDA budget. Ms. Laughlin responded that most of the increase has come from demolition and new construction. An existing building is taxed at a lower rate than a new one. There has been no additional revenue from storefront improvements. Ms. Blohm asked if an applicant with a larger project would be considered and if a larger dollar amount could go towards that property. Ms. Laughlin stated the RDA had the right to increase the budget and that it could also evaluate each application and determine which direction they wanted to go. Mr. Wilkinson advised a program that would be affordable over time and create incentive for different opportunities as they arise, but that also keeps the overall goal of completing the corridor in mind. Giovanni Puccinelli stated that he believed this type of grant would be more popular than the Storefront. He did not feel that a $15,000 maximum would stop a large investor from moving forward with redevelopment, but for smaller projects, it would help. He did not think that there would be a problem with less than two applicants at a time once the purpose of the grant was understood. He did not know if ARPA money could be considered for this grant. Mr. Wilkinson agreed that ARPA money should not be considered for this grant. Ms. Lauglin stated that infrastructure needs due to a change of use could be considered under this grant. Mr. Puccinelli liked the variety of things that could be eligible under a grant like this. July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 4 of 7  Ms. Wines suggested having a maximum per property. Mr. Puccinelli suggested if there is money remaining from a half-year due to the number of applicants that it be rolled over to the following half-year. Ms. Blohm questioned if it would be fair to limit one property to one grant, stating some business opportunities may need more assistance. Ms. Laughlin stated limiting the grant to one per property would allow other properties to apply. She also stated the purpose of the grant was to provide an incentive to get a project completed, not to be the funding mechanism for businesses. They have to have their own private investment capabilities. Ms. Wines stated the grant may be taken advantage of if there was not a limit of one grant per property. Ms. Laughlin re-read her suggestions from her memo. Mr. Puccinelli requested language about funding being rolled over to the next half-year. Ms. Wines suggested structural upgrades be added to the ineligible list. ***Motion: Forward a recommendation to the Redevelopment Agency to develop a Fire Suppression and ADA Assistance Grant Program with recommendations from the City Planner, as listed in her memo, dated July 22, 2022, with two additional recommendations from the Planning Commission, listed as follows: The proposed grant program would cover infrastructure or improvements to address nonconforming issues in buildings within the Redevelopment area. Some of those items could be, but not limited to, fire suppression, backflow installation, pretreatment, all ADA upgrades, and requirements under IFC. It would be a 50/50 match grant with no minimum amount but a maximum of $15,000.00 per property. We would open the grants up twice a year January 1-31st, July 1-31st. Property owners would be required to provide a business plan or proposed use of the building to be eligible. Staff is recommending funding the grant program at $60,000.00 a year or $30,000.00 semi-annually. This would allow for four larger projects a year at the maximum amount of $15,000.00 each. Ineligible items would include items such as landscaping, roofing, fencing, and foundations. July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 5 of 7  Grants would be reimbursed after completion of work and either letter of completion or certificate of occupancy has been issued by the City of Elko. Planning Commission: Structural upgrades would be ineligible. Any remaining money from the first cycle would be rolled over to the following cycle for the second half of the year. Moved by Giovanni Puccinelli, Seconded by Lina Blohm * Motion passed unanimously. (3-0) VII. REPORTS Regarding safety and cleanliness, Ms. Wines reported that the Chief of Police was working with the City Attorney to bring some proposals for adjustments to liquor code. A. Budget Budget Report – INFORMATION ONLY - NON ACTION ITEM Ms. Laughlin went over the budget report that was included in the packet. Ms. Blohm asked for the sidewalk improvement remainder. Ms. Laughlin stated that the balance towards savings was $615,948, that has not been allocated previously by the agency. Ms. Blohm asked if that was not going to be a public-private partnership. Ms. Laughlin stated the conversation before was a Special Improvement District. She outlined what that would entail. Zoning Bulletins VIII. COMMENTS BY THE GENERAL PUBLIC Ms. Wines asked for an update on the Union Pacific property. Mr. Wilkinson responded that Union Pacific's appraisal group was reviewing the appraisal. He hopes to hear back from them this week on whether they agree with the appraisal or not. Ms. Wines asked if the property was a part of the redevelopment district. July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 6 of 7  Ms. Laughlin confirmed. Ms. Wines asked if having the property would increase the tax increment. Mr. Wilkinson responded that the process of getting the property would be lengthy, over five years. Ms. Wines asked who has the title. Mr. Wilkinson responded that he believed the BLM did. The railroad does not have the title to the property, only the right-of-way. He believed conveying title to the City of Elko would likely take a federal bill. He would know more after a price for the right-of-way has been agreed upon with Union Pacific. Ms. Wines requested a future discussion about reconfiguring the parking blocks between 4th and 7th Street. She felt the cost was too high and that maybe it was not the best use of money. Mr. Wilkinson responded that could be done. Ms. Laughlin provided some monetary figures from other blocks where similar work had already been completed. Ms. Blohm stating the budget would influence those kinds of decisions. She would like to see programs that stimulate business activity. NOTE: The Chairman or Vice Chairman reserves the right to change the order of the agenda and if the agenda is not completed, to recess the meeting and continue on another specified date and time. Additionally, the Redevelopment Advisory Council reserves the right to combine two or more agenda items, and/or remove an item from the agenda, or delay discussion relating to an item on the agenda at any time. ADJOURNMENT There being no further business, the meeting was adjourned. Jon Karr, Chairman Lina Blohm, Secretary July 28, 2022 City of Elko Redevelopment Advisory Council Meeting Minutes Page 7 of 7