Committee of the Whole

1 SPECIAL MEETING JOINT MEETING OF THE COMMITTEE OF THE WHOLE AND THE GENEVA ECONOMIC DEVELOPMENT COMMISSION Tuesday, March 1, 2016 at 7pm City Hall Council Chambers 109 James Street Geneva, IL 60134 AGENDA 1. Call to Order 2. Follow-Up Discussion and Recommendation of Business District Establishment 3. New Business 4. Adjournment  2 AGENDA ITEM EXECUTIVE SUMMARY Agenda Item: Business District Research and Discussion with EDC Members Presenter & Title: Cathleen Tymoszenko, Economic Development Director Date: February 16, 2016 Please Check Appropriate Box: Committee of the Whole Meeting Special Committee of the Whole Meeting City Council Meeting Special City Council Meeting Public Hearing x Other – Joint Meeting EDC/Special COW Associated Strategic Plan Goal/Objective: Vision 2: Maintain, sustain, and enhance the character, vibrancy, uniqueness, and desirability of our various business districts and corridors. Budgeted? ____ Yes Other ____ Yes Estimated Cost: $ 13,500 __X_ No Funding? ____ No If “Other Funding,” please explain how the item will be funded: FY 2016-17 budget. Executive Summary: At the Strategic Planning follow up meeting, staff was asked to complete some additional research on the business district statute and potential related projects for future review and discussion. Similarly, after the November Economic Development Commission (EDC) meeting, Chairman Bob Mann asked for an opportunity to discuss the Commission’s work and recommendation on the downtown business district with COW. For this purpose, a special joint meeting is planned to take place immediately following the regular City Council Meeting. To recap, discussion and study pertaining to the establishment of a downtown business district began in October 2011 at a COW policy meeting where details on the pending expiration of the existing business district (2013) and the state statute amendment (2005) authorizing municipalities to adopt a limited optional sales or hotel tax to fund improvements within a business district were overviewed. At that time, staff recommended that the Council only move forward with reestablishing the district if there was a desire to use sales tax as a tool to fund downtown improvements. The Council referred the matter to the EDC, a consultant was hired and a grant application to cover a portion of the costs awarded. A two- phased approach was pursued to determine statutory eligibility and to prepare a business district plan. During the study period, other documents adopted by the City Council, including the Downtown Station Area Master Plan and the Strategic Plan noted the potential of the downtown business district as a tool to achieve planning goals. In late 2013, the draft business district plan concluded that the study area met statutory qualifications and that factors were present to allow for a sales tax provision. Work to finalize the plan and budget continued into early 2014 and the EDC and staff worked to prepare a survey document to distribute to  3 stakeholders within the study area to illicit input on prioritization of a list of potential projects. Prior to survey distribution, the Chamber of Commerce sent a letter to the City indicating opposition to the use of sales tax as a funding mechanism. The stakeholder survey was distributed and summarized shortly thereafter by the EDC. The EDC scheduled a public meeting to work with stakeholders to prioritize goals for the district but attendees were generally not in support of any discussion that included consideration for a potential tax and the planned prioritization exercises were not completed. The Chamber then organized focus groups to request another look at the topic of downtown needs and presented their findings to the EDC. The EDC discussion on the Business District resumed in early 2015 and concluded at a Special Meeting held on July 16, 2015. At that time, the EDC approved a motion to recommend to the City Council that the work to establish the Business District continue to move forward with the purpose statement as defined but deferring the tax issue discussion to a later date. The purpose statement was defined as follows: “The purpose of Geneva's Downtown Business District is to facilitate enhancement of downtown visitors' experiences through creation of civic and cultural amenities such as public plazas/pavilions and improved integration of the downtown with the Fox River, trails and local parks. The business district will consider need for additional parking, improved directional signage, upgraded streetscape and visitor comfort stations. Geneva's Downtown Station Area Master Plan will be a guide to the efforts”. In August 2015, staff presented the EDC’s recommendation to COW and further recommended that consideration for the district only continue if there was intention to institute a business district sales tax to fund downtown improvements as without a defined source of revenue for the district, there would be little to no public benefit. COW discussed the idea of a special stakeholder meeting in September 2015. At the same meeting members of the Chamber expressed continued opposition to the proposal and a sales tax increase unless such a tax could be equally applied to other commercial areas in the City. Work has not resumed on the business district project. As earlier stated, some questions were raised as follow up to Strategic Planning which have been researched; answers provided on the attached document. Also attached is a chart to depict a list of potential downtown projects that could be funded by a business district and to indicate which planning document highlights the project. Consistent with the earlier recommendation, staff continues to recommend completing the business district study and the establishment of a downtown business district with a retailers’ occupation tax (business district sales tax). We recommend continuation of the business district discussion only if there is support for instituting a business district sales tax to fund downtown improvements as without a defined source of funding for the district improvements, there will be little to no public benefit. The business district and business district tax will allow for continued improvement of the downtown area and an enhanced visitor’s experience through the implementation of amenities and improvements as detailed in the Downtown Station Area Master Plan as well as other planning documents. In general, these types of projects and amenities are deemed to be non-essential services and unlikely to be funded by any other type of alternative revenue source given current and expected municipal budget constraints as well as current and expected state funding reductions. As detailed earlier, to move forward with the business district discussion, it is necessary to update the data previously collected. It is also necessary to complete work to formulate a budget by defining projects and costs and recommending an applicable tax rate.  4 A proposal for necessary services was obtained from project consultant Ehlers in early April and costs were estimated at $13,500. Optional tasks were also outlined however, we are not recommending these be completed. Funding for this project was not included in the City’s current budget but could be included in the pending budget for the upcoming year. At this time, we are requesting direction from the City Council on whether or not to continue to work on the establishment of a downtown business district with a business district sales tax in the amount to be determined upon completion of the business district plan and budget. Attachments: (please list)  Follow up research on business district statute and potential related projects.  Chart depicting potential downtown projects and the adopted plan references. Recommendation / Suggested Action: (how item should be listed on agenda) Staff recommends completion of the business district study and establishment of a downtown business district with a Retailers’ Occupation Tax in an amount to be determined upon completion of the study. Discussion and further direction on how to proceed is requested. 5 STRATEGIC PLANNING FOLLOW UP 02/16/16 ADDITIONAL RESEARCH REQUESTED ON BUSINESS DISTRICTS 1. Estimate Amounts of Projected Revenues for Downtown and Randall Road Districts: Two types of taxes can be designated in an established Business District; a Retailers’ Occupation Tax and/or a Hotel Operator’s Occupation Tax. As per statute, a Retailers’ Occupation Tax can be imposed upon all persons engaged in the business of selling tangible personal property other than an item of tangible personal property titled or registered with an agency of state government, at retail in the business district at a rate not to exceed 1% of the gross receipts from the sales made in the course of such business, to be imposed only in 0.25% increments. The tax may not be imposed on food for human consumption that is to be consumed off the premises where it is sold (other than alcoholic beverages, soft drinks, and food that has been prepared for immediate consumption), appliances, modifications to a motor vehicle for the purpose of rendering it usable by a disabled person, and insulin, urine testing materials, syringes, and needles used by diabetics, for human use. The tax is also applicable to service businesses selling items at retail. A Hotel Operators’ Occupation Tax can be imposed upon all persons engaged in the renting, leasing, or letting rooms of a hotel, as defined in the Hotel Operators’ Occupation Tax Act, at a rate not to exceed 1% of the gross rental receipts from the renting, leasing or letting of hotel rooms within the business district, to be imposed only in .25% increments, excluding, however, from gross rental receipts the proceeds of renting, leasing, or letting to permanent residents of a hotel as defined in the Hotel Operators’ Occupation Tax Act. The City has access to sales tax revenues pertaining to characterized merchandise sales however, these amounts are only available in totality and are not geographically delineated. The City does have access to more individualized data but these figures do not differential between permitted and excluded sales in the potential business district as defined by the statute above. Moreover, the use of this data is restricted by a Confidentiality Reciprocal Agreement with the Illinois Department of Revenue. Within the parameters of the Agreement, we can examine total sales tax figures for Municipal and Non Home Rule taxes by geographical areas to create an estimate of expected taxes under a Retailers Occupation Tax but we cannot create an estimate under the Hotel Operator’s Occupation Tax without violating the terms of the Agreement. Table 1 below shows estimated amounts that could have potentially been collected with a business district sales tax if such a district as previously contemplated were in place during calendar year 2015. The estimate of Retailers Occupation Tax does not exclude exempt sales totals as defined by the Business District Statute. 6 Table 1: Estimated Downtown Business District Sales Tax Amounts 2015* 2015 .250% .500% 1.000% Downtown $223,772 $447,544 $895,089 Randall $452,837 $905,675 $1,811,352 *Inclusive of some statute delineated exempt sales. 2. Provide a List of Potential Projects for Downtown: Work to complete the business district plan included administering a needs survey to ascertain perceived needs in the district. Work also included a community meeting to prioritize needs‐ but this work was not successfully completed. The City’s published Comprehensive Plan, Downtown Station Area Master Plan, Bikeway Plan, Strategic Plan and Capital Improvement Plan includes numerous lists of projects to improve the downtown business district that could be funded by a business district sales tax. These include the following list of projects; a chart to indicate which plan further details the projects listed is attached as Exhibit A. 1. Create Civic Space, Pavilions, Public Restrooms 2. Hamilton Streetscape 3. Fund Business Incentive Programs 4. Private Property Building Improvements (Fire, Electric, Accent Lighting) 5. Provide Pedestrian Improvements along State Street 6. Feasibility Study for Future Parking Facilities (Surface and Structures) 7. Gateway Features 8. Wayfinding Signage 9. Pedestrian/Bikeway Bridges (Stevens Street Bridge 10. Provide Land Enhancements along the Fox River 11. Bike Planning 12. Completion of Multi‐Use Bike Trail along Abandoned C&NRR ROW 13. Downtown Parking 14. Improve lighting on State 15. Demolish Unsafe and Obsolete Buildings to Assist Redevelopment 7 16. Streetscape Beautification 17. East State Street Reconstruction and Beautification 18. Provide Matching Funds for the Development of a Cultural Arts Center 19. Create Hamilton Street Artist District Plan 20. Purchase Property for Redevelopment 21. Parking Deck and Lots 22. Streetscape West State St. (7th and Anderson) 23. Seventh Street North Leg Extension to Peyton 24. Pedestrian Crossing Enhancements 25. Water Main Upsizing and Extension to Alley 26. Sewer Lining or Replacement 27. Electric Transformer and Line Upgrades 28. Fire System Improvements 29. Improvements to Water Distribution Systems (Main Size or Fire Pumps). 30. Security Cameras for Commuter Lots and Special Events 31. Signage for Special Events 32. Traffic Study and Intersection Design Study (James and Third) 33. Promote/Influence Retention of Existing Public Services within Downtown District 34. Maintain Authentic and Historic Charm of the Downtown Area 35. Improve Connectivity on Either Side of the Fox River for Pedestrian and Cyclists 36. Expand Downtown Corridor to East Side of the River 37. Explore Methods to Add/Provide More Music in the Downtown Area. 3. Confirm Cost of Study Update for Downtown District: In April 2015, we obtained a cost for the completion of remaining essential and optional services from the consultant who was authorized to complete the Business District Study and Plan (Ehler’s). The cost to complete the required remaining tasks was $13,500 and the cost for optional tasks ranged from $500 to $10,200 and was solely dependent upon the range of services desired (public meetings, tax projections, consensus buildings). 8 Required or essential tasks include project area review and analysis to verify that the qualifying criteria are still present for designation, completion of the business district plan, map and budget and adoption document preparation and submittal to State. The consultant will honor the previous cost estimate as attached as Exhibit B. Therefore the essential work needed to complete the formation of a downtown business district can be accomplished for $13,500. 4. Determine Cost of Study for Randall Road District: The cost of a study for the Randall Road District will be depend upon the geographic area to be covered and the number of parcels in the district. To ascertain an exact cost, we would need to seek bids from qualified firms. For comparison purposes, the downtown district study consisted of an area that included 459 tax parcels and 152 acres of land. The cost of the study was originally estimated at $25,000 in 2011. A potential Randall Road district could consist of +/‐ 86 tax parcels and +/‐274 acres of land parcels. There are less parcels but more acreage. For this reason and due to inflation, there is potential for this study to be completed at a cost slightly less or equal to the cost to the downtown study. From a windshield view perspective, it is should be noted that the commercial areas north of Keslinger may not meet qualifying factors to allow for establishment of a business district and/or the imposition of a business district sales tax. It is more likely that commercial areas south of Keslinger will qualify. If both the north and south commercial areas do qualify, it may be difficult gaining contiguity given the configuration of the hospital campus. If areas do qualify, it is likely that the Commons and the hospital campus will not present the needs that a business district would be capable of funding as the northernmost Randall properties have common ownership, common area maintenance and limited development and redevelopment needs. Based on this observation, it should be noted that the taxation equity desired by some may not be achieved through the formation of a Randall Road district. 5. Determine if Advertising is an Eligible Expense of Business District Sales Tax Revenues: The state statute does not list advertising as an eligible business district project cost. However, expenses that are determined to further a business district plan are permitted. Based on our research, it does not appear that advertising would be an eligible expense. It should also be noted that advertising may not be a need in the Randall Road District as many of the retail tenants in the district are national tenants with centralized advertising campaigns; the hospital is part of a regional advertising campaign and the Commons spent over $360,000 in advertising last year.  9 Capital Downtown Adopted Comprehensive Downtown Geneva Projects Strategic Plan Improvement Master Plan Bikeway Plan Plan Projects 1 Create Civic Space, Pavilions, Public Restrooms Downtown X X a) Funding for a year‐round dual purpose Farmers Market pavilion b) Prepare a detailed plan and construct "festival activated" ROW improvements c) Formal civic gathering spaces to accommodate year‐round special events d) Smaller public plazas and gathering areas 2 Hamilton Streetscape X X 3 Fund Business Incentive Program X X 4 Private Property Building Improvements/Fire /ElectricAccent lighting X X X 5 Provide Pedestrian Improvements Along State Street X X X X X a) Route 38 pedestrian crossing signals at 4th and River b) Pedestrian cross signal at 3rd and State 6 Feasibility Studies for Future Parking Facilities (Surface and Structures) X X X X 7 Gateway Features X X a) Design and construct Traffic Circle round‐a‐bout at 3rd Street and Route 31 b) Welcome signs 8 Wayfinding Sign System X X X 9 Pedestrain/Bikeway Bridges (Stevens Street Bridge) X X X X 10 Provide Land Enhancements Along the Fox River X X X a) East River shoreline Bridge to Island Park b) Open space and new entry to Island Park c) Island Park parking lot and Fox River Trail Trailhead d) Conntect bike Path from West and East to Downtown 11 Bike Planning X X X X a) Bike lane striping and bike route signs b) Bicycle path trailheads c) Bike storage lockers at Metra Station d) Bike lane striping on 7th for both northbound and southbound bicycles e) Bike route signs along portions of Peyton, James, Franklin, 2nd, 3rd, 4th, River and 7th 12 Completion of Multi‐Use Bike Trail Along Abandoned C&N.W. Railroad ROW X X 13 Downtown Parking X X X X a) Possible locations; Metra Station, Courthouse, PD lot, Hamilton b) Signage plan for parking  10 Capital Downtown Adopted Comprehensive Downtown Geneva Projects Strategic Plan Improvement Master Plan Bikeway Plan Plan Projects 14 Improve Lighting on State Street X X 15 Demolish Unsafe and Obsolete Buildings to Assist Redevelopment X X X 16 Streetscape Beautification X X X X 17 East State Street Reconstruction and Beautification X X X 18 Provide Matching Funds for the Development of a Cutural Arts Center X X X 19 Create Hamilton Street Artist District Plan X X 20 Purchase Property for Redevelopment X X 21 Parking Deck and Lots X X X X a) PD lot b) Courthouse c)Hamilton lot d) State St. diagonal Parking from 4th to 7th 22 Streetscape West State St. (7th ‐ Anderson) X X X 23 7th Street North leg Extension to Peyton X X X 24 Pedestrian Crossing Enhancements X X X X a) State Street at 4th Street and/or River Lane b) 3rd Street at James Street, Fulton, and/or South 25 Water Main Upsizings and Extensions into Alleys X 26 Sewer Linings or Replacement X 27 Electric Transformer and Line Upgrades X 28 Fire System Improvements X X 29 Improvement to Water Distribution System (Main Size or Fire Pumps) X 30 Security Cameras for Commuter Lots and Special Events X 31 Signage for Special Events X X 32 Traffic Study and/or Intersection Design Study (Jame and 3rd) X 33 Promote/Influence Retention of Existing Public Services within Downtown Business District X X X 34 Maintain Authentic and Historic Charm of the Downtown Area X X X a) Encourage preservation and adaptive reuse of historic and architecturally significant buildings b) Ensure that new infill development is respectful of existing historic context 35 Improve Connectivity on Either Side of the Fox River for Pedestrians and Cyclists X X X X 36 Expand Downtown Corridor to East Side of the River X X X 37 Explore Methods to Add/Provide More Music in the Downtown Area X 11 April 2, 2015 Proposal for Business District Services City of Geneva, Illinois Ehlers & Associates, Inc. 550 Warrenville Road, Suite 220 Lisle, IL 60532 Phone: 630-271-3330 Fax: 630-271-3369 www.ehlers-inc.com Project Contact Maureen Barry, Financial Advisor Phone: 630-271-3341 Email: mbarry@ehlers-inc.com Project Team Members Ehlers & Associates, Inc. Business Districts, Inc. Maureen Barry, Financial Advisor Diane Williams, Director Jennifer M. Tammen, Financial Advisor/Principal 12 Proposal for Business District Services For the City of Geneva, Illinois Table of Contents Executive Summary ........................................................................................................ 1 Scope of Services ........................................................................................................... 2 Project Pricing Summary ................................................................................................. 5 Duties of the City ............................................................................................................. 6 Agreement ....................................................................................................................... 7 Proposal for Business District Services City of Geneva, Illinois Page i Ehlers & Associates, Inc. April 2, 2015 13 Proposal for Business District Services City of Geneva, Illinois Executive Summary The following proposal is provided by Ehlers & Associates, Inc. (Ehlers) in response to a request from the City of Geneva for services to update previously completed research and the resulting Draft Downtown Business District Plan delivered to the City in December 2013. This proposal also includes services to assist the City with the public adoption process that would follow the research and submittal of the updated Business District Plan. The Draft Downtown Business District Plan delivered to the City in December 2013 was substantially complete, except for: 1) sections pertaining to the imposition of and the applicable rate for a Business District Sales Tax; and 2) estimated Business District project costs in the proposed Downtown Business District. If and when the City opts to pursue the process of adopting the proposed Downtown Business District, a review of more current survey data would be required to verify the continued eligibility of the properties in the area and ensure the proposed Downtown Business District plan includes reasonably accurate information at the time of adoption. After the Draft Business District Plan has been updated, it can be filed for public review. Public notice of the Draft Downtown Business District Plan would then be followed by a Public Hearing (the only required public meeting per the Illinois Business District Act, 65 ILCS 5/11-74.3 et seq., as amended, the “Act”), before the City could vote to adopt the Business District. It is our understanding that the City would like to consider various additional public process options which may be conducted prior to the Public Hearing. This proposal offers some flexible options for public meetings, in addition to the work that will be required to update the plan. Ehlers again proposes to subcontract with Business Districts, Inc. (BDI) to assist with meeting facilitation and the public participation process, at the City’s discretion. With deep roots in urban planning, commercial development, business management, and commercial district management, BDI uses its flexible, hands-on approach to engage the public and to define, move toward, and attain their goals for their districts. Together, Ehlers and BDI offer an exceptional combination of expertise and experience to serve as the Business District Team for the City of Geneva. Ehlers is an independent financial advisory firm, and Ehlers’ staff has had the pleasure of providing service to local governments in the Midwest since 1955. Over 80 professionals serve clients in Illinois, Colorado, Minnesota, and Wisconsin, among other states. Ehlers provides a complete range of advisory services for Business Districts and economic development. During all phases, Ehlers will work with City staff, engineers, and attorneys to coordinate efforts. Our staff views ourselves as part of the City’s team to make sure activities occur in accordance with expectations. Ehlers is in constant contact with our clients to make sure their needs are met. Proposal for Business District Services City of Geneva, Illinois Page 1 Ehlers & Associates, Inc. April 2, 2015 14 Proposal for Business District Services Scope of Services The Draft Downtown Business District Plan delivered to the City in December 2013 was substantially complete, except for: 1) sections pertaining to the imposition of and the applicable rate for a Business District Sales Tax; and 2) estimated Business District project costs in the proposed Downtown Business District. If and when the City opts to pursue the process of adopting the proposed Downtown Business District, a review of more current survey data would be required to verify the continued eligibility of the properties in the area and ensure the proposed Downtown Business District plan includes reasonably accurate information at the time of adoption. To avoid confusion between the steps associated with work previously proposed and/or performed by Ehlers and BDI related to this Business District (Phases 1 and 2), the remaining proposed tasks will be referred to as tasks to be performed in Phases 3 and 4. Phase 3 – Project Review/Feasibility Analysis Verification The focus of Phase 3 will be to review Project Area eligibility criteria, and verify that field surveys and data analysis performed prior to the submittal of the Draft Downtown Business District Plan employs more currently available information where applicable. In Phase 3, Ehlers advises the following steps be completed: Task 301: Project Area Review and Analysis Verification  It is our understanding that the City has determined that the Project Area Boundary proposed in the December 2013 draft will be maintained. Ehlers made recommendations about the boundaries so that the area provides adequate income for planned improvements within the District, and also encourages a large enough redevelopment effort to stimulate development in surrounding areas. At the same time, the area only includes parcels that may benefit from being included in the Business District. If updates to the boundaries are requested, an updated map and legal description shall be required.  Review and gather information on each parcel as needed to confirm that the qualifying criteria are present for designation according to the Act. Regarding any data that has been updated or first become available since December 2013: the City shall provide any planning documents and traffic studies that address existing and future conditions in the proposed Business District area, such as the Comprehensive Plan, strategic plans, and information on proposed developments. The City shall provide address, parcel, ownership, and business/tenant name information for each property within the proposed Business District area. The City shall also provide information regarding unsafe building conditions and the existence of conditions which endanger life or property by fire or other causes. Such information shall include traffic accident numbers for the past five years, building permit records, property maintenance records, and documentation of the lack of fire suppression. Proposal for Business District Services City of Geneva, Illinois Page 2 Ehlers & Associates, Inc. April 2, 2015 15 Proposal for Business District Services Task 302: Business District Program  With input from the City and any of its consultants, prepare a listing of more specific proposed public improvements and potential public and private investment in the Project Area and cost estimates to be used within the Draft Plan, as allowed as eligible expenses by the Act. (See Optional Phase 3 Tasks, Task 103 for public meeting options associated with this task.) Fee for Phase 3 (Tasks 301 - 302): $7,000 Optional Phase 3 Tasks Task 303: Optional Public Meeting regarding Business District Program  Ehlers would attend and make a presentation at a public meeting. BDI's downtown- specific expertise also may be utilized to conduct this meeting. The purpose of this meeting could be to provide information regarding the proposed Business District, to identify programming priorities with potential Business District funding, and/or to gain consensus. Feedback from the meeting will be incorporated into the Business District Plan as agreed to by the City. A range of fees is offered with the actual cost to be based upon the needs of the City at the time, such that the low end would include a two-hour meeting with preparation and travel or six hours of interviews/meetings and travel. The high end of the range fee includes more extensive preparation, including a meeting/call with staff, and a follow-up report. (Additional revisions to the Draft Downtown Business District Plan upon direction from the City following optional public meetings may be billed at a rate of $200 per hour.) Fee for Optional Task 303 (Ehlers & BDI each @ $1,200‐$2,300) $2,400 – $4,600 Task 304: Revenue Projections  Estimate the potential annual Business District tax revenues based upon existing businesses and potential projects outlined above. This step is not required, but was requested by the City in its original RFP. General projections were provided by Ehlers in Phase 1 using recent sales tax history in the area, which could be updated if the City has more recent sales tax data from the State. Fee for Optional Task 304: $500 – $1,000 Phase 4 - Business District Plan Preparation and Adoption In Phase 4 of this process, materials for the Downtown Business District Plan and the document for City Council adoption will be updated as necessary and prepared. The Business District Act outlines a specific adoption process, which includes a required public hearing. The Business District Plan is required to initiate the public hearing process and serves as the basis of the ordinance(s) establishing the Business District and any Business Proposal for Business District Services City of Geneva, Illinois Page 3 Ehlers & Associates, Inc. April 2, 2015 16 Proposal for Business District Services District taxes. This phase concludes with the City’s action on the adopting ordinance(s) and, if approved, filing the necessary documentation with the state of Illinois. (Optional services include additional public meetings to educate and foster support and awareness of the Business District.) In Phase II, Ehlers recommends the following services: Task 401: Prepare Business District Plan and Map  Update the Draft Downtown Business District Plan document (previously prepared and submitted in December 2013) according to the Act. This will include items such as a general description of the Business District boundaries and a map; a legal description of the Business District boundaries (to be provided by the City); the eligibility findings from Phases 1 and 3; a comparison of the Business District to the Comprehensive Plan and other planning documents; and the rate of any taxes to be imposed in the Business District and the period of time for which the taxes shall be imposed. The City shall prepare a legal description of the boundaries of the Business District. Task 402: Business District Adoption Preparation  Confer with City and its Attorney(s) on the creation of an adoption timeline.  Assist with drafting ordinance or resolution setting the date and time of the public hearing.  Assist with drafting public notice(s). The City shall be responsible for all public notifications and advertisements. Task 403: Business District Plan Adoption and Submittal to the State of Illinois  Attend and make a presentation at a public hearing held by the City Council, as required by the Act.  Review draft ordinance(s) designating the Business District, as prepared by the City.  Upon approval by the City Council, assist the City in submitting all required documentation to the Illinois Department of Revenue. Fee for Phase 4 (Tasks 401, 402, and 403): $6,500 Optional Phase 4 Tasks Task 404: Optional Public Education/Consensus Building Meetings  Ehlers would attend and make a presentation at one or more public meetings at the City’s discretion (such as with the City Council, Economic Development Commission, local business owners, etc.) BDI's downtown-specific expertise also may be utilized to conduct this meeting. The purpose of the meeting(s) could be to provide information regarding the proposed Business District, to identify programming priorities with potential Business District funding, and/or to gain consensus, as the City desires. Feedback from the meeting will be incorporated into the Business District Plan as agreed to by the City. Proposal for Business District Services City of Geneva, Illinois Page 4 Ehlers & Associates, Inc. April 2, 2015 17 Proposal for Business District Services A range of fees is offered based upon the needs of the City at the time, such that the low end would include a two-hour meeting with preparation and travel or six hours of interviews/meetings and travel. The high end of the range fee includes more extensive preparation, including a meeting/call with staff, and a follow-up report. (Additional revisions to the Draft Downtown Business District Plan upon direction from the City following optional public meetings may be billed at a rate of $200 per hour.) Fee for Optional Task 404 (Ehlers & BDI each @ $1,200‐$2,300) $2,400 – $4,600 Project Pricing Summary Required Tasks Phase 3 (Tasks 301 - 302): $7,000 Phase 4 (Tasks 401, 402, and 403): $6,500 $13,500 Optional Tasks Optional Task 303: (Ehlers & BDI each @ $1,200‐$2,300) $2,400 – $4,600 Optional Task 304: $500 - $1,000 Optional Task 404: (Ehlers & BDI each @ $1,200‐$2,300) $2,400 - $4,600 All services will be performed in conjunction with designated staff of the City and the community’s designated attorney. All attorney expenses are to be assumed by the City. Over the course of the assignment, additional services may be required for the development, qualification, and adoption of the proposed Business District that are not included in the Scope of Services. As authorized by the City, Ehlers will participate in additional meetings and will complete additional assignments outside of the proposed Scope of Services to assist the City. Other additional services could include work associated with boundary changes after completion of reports, crossing into a new tax year, extended delays in receiving comments and changes to documents, additional research and analysis associated with changes to the development program or Business District boundaries, delays that require updating addresses or survey data, or mapping, or other such items. Any additional service requested or required for the development, qualification, and adoption of the proposed Business District will be submitted to the City for authorization prior to its completion and will be subject to Ehlers’ Hourly Billing Rate of $200.00 per hour. Invoices will be submitted to the City at the completion of each Phase and are payable upon receipt. Proposal for Business District Services City of Geneva, Illinois Page 5 Ehlers & Associates, Inc. April 2, 2015 18 Proposal for Business District Services Duties of the City The City shall provide the following information to assist with determining and documenting eligibility of the proposed Business District:  Planning documents and traffic studies that address existing and future conditions in the proposed Business District area, such as the Comprehensive Plan, strategic plans, and information on proposed developments.  Address, parcel, ownership, and business/tenant name information for each property within the proposed Business District area in U.S. Postal Service format.  Information regarding unsafe building conditions and the existence of conditions which endanger life or property by fire or other causes. Such information may include traffic accident numbers for the past five years, building permit records, property maintenance records, and documentation of the lack of fire suppression. In Phase 4, the City shall be responsible for the legal description of the boundaries of the Business District based on the final map, and for the publication and mailing of all notices related to the adoption process. The City’s Attorney shall prepare the ordinance(s) designating the Business District. Ehlers will review the draft ordinances prior to their consideration by the City Council. The City will authorize and direct its administration, attorneys, bond counsel, accountants, engineers, architects, actuaries, and other consultants to prepare and furnish such information as may be reasonably necessary for Ehlers to carry out its duties and obligations, all at no cost to Ehlers. Proposal for Business District Services City of Geneva, Illinois Page 6 Ehlers & Associates, Inc. April 2, 2015 19 Proposal for Business District Services Agreement This proposal is respectfully submitted by authorized representatives of Ehlers & Associates, Inc.: Jennifer M. Tammen Maureen Barry, Principal/Financial Advisor Financial Advisor The City of Geneva, Illinois hereby accepts the above Proposal for the Phase 3 and Phase 4 Business District Services as described in the preceding document by its authorized officers, this day of , 2015. Attest: By: Title: Title: Please send a copy of the agreement page with original signature to: Ehlers & Associates, Inc. 550 Warrenville Road, Suite 220 Lisle, Illinois 60532 Proposal for Business District Services City of Geneva, Illinois Page 7 Ehlers & Associates, Inc. April 2, 2015