Metropolitan Redevelopment Agency Commission

A G E N D A Wednesday, April 20, 2017 - 4:00 p.m. Executive Conference Room Farmington City Hall, 800 Municipal Drive, Farmington, NM 1. Call to Order 2. Approval of the March 15, 2017 Minutes 2 3. Approval of the Open Meetings Resolution 1 4. Warren Unsicker of 4CED-Broken Arrow Complete Streets Project 5. Education of TIFs and TIDDs at Council Workshop 6. Discussion of TIF and Recommendation to City Council 7. Downtown Association Updates - Shaña Reeves 8. Business From: a. Floor b. Chair c. Members d. Staff 9. Adjournment ATTENTION PERSONS WITH DISABILITIES: The meeting room and facilities are fully accessible to persons with mobility disabilities. If you plan to attend a meeting and need an auxiliary aid or service, please contact the City Clerk's office at 599-1101 or 599-1106, prior to the meeting so arrangements can be made  RESOLUTION A RESOLUTION SETTING AND ESTABLISHING A REGULAR MEETING DAY, TIME AND PLACE FOR THE METROPOLITAN REDEVELOPMENT AGENCY PURSUANT TO CITY COUNCIL RESOLUTION NO. 2013-1466 AS RATIFIED WHEREAS, pursuant to the provisions of Resolution No. 2013-1466 as ratified, each board, commission, committee or other policy making body of the City of Farmington which holds regular meetings shall annually, subject to the ratification and approval of the City Council of the City of Farmington, establish a regular meeting day, time and place; and WHEREAS, the Metropolitan Redevelopment Agency of the City of Farmington has determined and does recommend to the City Council that the regular meeting day, time and place of the Metropolitan Redevelopment Agency of the City of Farmington and the location where a copy of the agenda of such meetings may be obtained shall be as set forth in this resolution. NOW, THEREFORE, BE IT RESOLVED BY THE METROPOLITAN REDEVELOPMENT AGENCY OF THE CITY OF FARMINGTON: That the regular meeting day, time and place of the Metropolitan Redevelopment Agency of the City of Farmington shall be held on the third Thursday of each month at 4:00 p.m. in the Executive Conference Room, Municipal Building, 800 Municipal Drive, Farmington, New Mexico and that the location where a copy of the agenda of the regular meeting may be inspected seventy-two (72) hours in advance of the meeting shall be at the Community Development Department, Municipal Annex, 805 Municipal Drive, Farmington, New Mexico. PASSED, SIGNED, APPROVED and ADOPTED this _______ day of April, 2017. By: Chairperson, Metropolitan Redevelopment Agency  MINUTES Metropolitan Redevelopment Agency Board of Commissioners – March 15, 2017 Commissioners Present Derald Polston, Chair Doug Dykeman John McNeill, D.D.S. Commissioners Absent Linda Barbeau Staff Present Michael Bulloch Teresa Emrich Olena Erickson Cindy Lopez Karen Walker Others Present Charlie Deens 1. Call to Order The meeting was called to order at 4:15 p.m. by Chair Polston, and there being a quorum present, the following proceedings were duly had and taken. 2. Approval of the March 1, 2017 Meeting Minutes A motion was made by Commissioner McNeill and seconded by Commissioner Dykeman to approve the minutes of the March 1, 2017 meeting. The motion passed unanimously 3-0. NOTE: Charlie Deens, who was presenting on the TIF/TIDD Districts, did not arrive until 4:45 p.m. Consequently agenda item #3 was moved to the end of the meeting. 4. Downtown Association Updates Michael Bulloch discussed the progress of the Downtown Diva program that will list all pertinent information about each downtown building. Ms. Bulloch is currently inputting information into the program. Mr. Bulloch said he attended a New Mexico MainStreet seminar in Albuquerque that included a presentation from the State Historic Preservation Office (SHIPO). There was a presentation that discussed what business owners can do on a small scale to make their business more attractive such as window displays and store displays. Mr. Bulloch said he asked the presenter if he would be interested in doing a presentation in Farmington. 1 Cindy Lopez mentioned that a presentation would need to be coordinated with the downtown merchants. Chair Polston asked what types of funding or grants the MRA would qualify to apply for. Mr. Bulloch said there are some grants that are not for very much money and Farmington does not always meet the criteria on other grants. Mr. Bulloch said he is working on a $5,000 grant for the Karen Ellsbury project. Ms. Ellsbury will be matching that grant. Mr. Bulloch mentioned a Public Service of New Mexico (PNM) grant for $25,000 that he might apply for. Ms. Lopez said it might be applied toward the Gateways. Commissioner McNeill said it might go toward landscaping. Mr. Bulloch also mentioned a donation from the Kiwanis Club to build a clock in a roundabout. Mr. Bulloch said he was looking at creating a local historical registrar. The City would have more control on what a property owner can do with their property. Ms. Bulloch mentioned the Makers Market will begin again in June. It will be on Thursdays this year. 5. Business From: a. Floor – There was no business from the Floor. b. Chair – There was no business from the Chair. c. Members – There was no business from Members. d. Staff- Ms. Lopez stated there are still negotiations involved with the RFQP for the Complete Streets Project. It will go to the City Council on March 28, 2017 for approval. Chair Polston asked Ms. Lopez if there is a cost estimate for the Gateways. Ms. Lopez said there is a cost estimate, but it is several years old and may not be accurate. Mr. Polston asked how much Community Development Block Grant (CDBG) money could be lost for the Complete Streets Project if it is not spent by the deadline. Ms. Lopez said $30,000 could be lost if it is not spent by the end of December of this year. Mr. Polston asked if the Gateways could be manufactured and stored until everything was prepared for installation. Ms. Lopez said it might be possible to store the Gateways. Commissioner McNeill said City Council has already approved $75,000 from the MRA fund for the Gateways. 3. Charlie Deens – TIF/TIDD Districts Charlie Deens, New Mexico MainStreet Urban Planner, arrived at 4:45 p.m. and apologized for being late. 2 Mr. Deens said there are now 11 MainStreet Communities in New Mexico with a TIF district. Las Cruces has a TIDD. He discussed how a TIF (Tax Increment Financing) and a TIDD (Tax Increment Development District) work. Mr. Deens said a baseline tax revenue needs to be retained in the City general fund. The baseline works best when established during a low period. The easy part is creating the TIF district, he said. TIFs, under the Redevelopment Code, have a 20 year timeframe to collect the increment. TIDDs have a 30 year timeframe. Chair Polston asked Mr. Deens if he could give a recommendation. Mr. Deens said the fastest and easiest way for the money to grow is through a TIDD using local funds. Mr. Deens said a TIF works with property tax. TIDDs work from property tax and GRT (Gross Receipts Tax). TIFs and TIDDs are enabled by State Statute with the authority to create a geographical district. Funds that are generated in the district are spent in the district. There are no new taxes or tax increases. The existing tax is used, said Mr. Deens. Mr. Deens said the difference between TIFs and TIDDS is that TIFS are created through an MRA Plan and can only collect local property tax for the increment. Also, TIFs only require the approval of the Mayor and the City Council at a public hearing. Mr. Deens said TIDDs do not require an MRA Plan and can collect both local and state property tax and GRT. TIDDs are created through a petition of 51% of property owners or through a general election of property owners in the district. Mr. Deens said TIDDs use up to 75% of the property and/or gross receipt tax increment for Revenue bond financing and can include city, county and state tax increments. Once a baseline is established, said Mr. Deens, the growth comes from an increase in property tax and/or an increase in GRT over the years. It is not a new tax or an increase in taxes. It just reallocates the use of taxes to the downtown area. Chair Polston said he would like to implement a local TIDD. Discussion continued with Mr. Deens and the Commissioners on how to put a TIF or TIDD in place and how to establish a baseline. Ms. Lopez suggested the MRA Commissioners educate themselves and the City on how to accomplish the goal of reallocating funds to be used in the downtown area by using TIFs and/or TIDDs. Mr. Deens offered to send the Commissioners a PowerPoint presentation that he uses to present to City Councils. Commissioner McNeill made a motion to establish an ad hoc committee of the MRA to get the process started on a request for a TIF and/or a TIDD with 2 members of the MRA on the committee. The committee will work on a presentation to present to the City Council. The motion was seconded by Commissioner Dykeman. The two MRA members who volunteered are John McNeill and Derald Polston. The vote was 3-0. 3 6. Adjournment: A motion was made by Commissioner McNeill and seconded by Commissioner Dykeman to adjourn. The Metropolitan Redevelopment Agency Board of Commissioners meeting was adjourned at 5:55 p.m. _________________________________ ____________________________________ Derald Polston, Chair Karen Walker, Administrative Assistant 4