Redevelopment Agency

CITY OF HENDERSON REDEVELOPMENT AGENCY MINUTES REGULAR MEETING March 19, 2013 I. CALL TO ORDER Chairman Hafen called the Redevelopment Agency Meeting to order at 6:32 p.m., in the City Council Chambers, City Hall, 240 Water Street, Henderson, Nevada 89015. II. CONFIRMATION OF POSTING AND ROLL CALL The Secretary confirmed the Redevelopment Agency Meeting had been noticed in compliance with the Open Meeting Law by posting the Agenda three working days prior to the meeting at City Hall, the Multigenerational Center, the Whitney Ranch Recreation Center, and Fire Station No. 86, and by mailing a copy of the Agenda to everyone appearing thereon on the Agenda Master Mailing List. Present: Andy Hafen, Chairman Sam Bateman, Member Debra March, Member John F. Marz, Member Gerri Schroder, Member Absent: None Officers: Josh Reid, General Counsel Sabrina Mercadante, Secretary Absent: Jacob Snow, Executive Director Staff: Bristol Ellington, Assistant City Manager Robert Murnane, Public Works Director Michael Tassi, Planning Manager Richard Derrick, Finance Director Jonathon Nunes, Council and Commission Services Coordinator Tedie Jackson, Minutes Clerk Henderson Redevelopment Agency Meeting Page 2 of 7 March 19, 2013 – Minutes III. ACCEPTANCE OF AGENDA (Motion) Member Debra March moved to accept the agenda as amended: RDA-2 has been withdrawn at the request of the applicant. RDA-5, Lake Pleasant, LLC should be Lake Pleasant Partners, LLC. The resolution has been updated to reflect this change. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. Mayor Hafen announced that all meetings are being video recorded and streamed live to the Web. IV. ITEMS OF BUSINESS RDA-1 MINUTES REDEVELOPMENT AGENCY MEETING OF FEBRUARY 19, 2013 ECONOMIC DEVELOPMENT/REDEVELOPMENT City of Henderson Redevelopment Agency Meeting Minutes of February 19, 2013. (Motion) Member Sam Bateman moved to adopt the Minutes of the February 19, 2013, City of Henderson Redevelopment Agency Meeting. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. Henderson Redevelopment Agency Meeting Page 3 of 7 March 19, 2013 – Minutes RDA-2 OWNER PARTICIPATION AGREEMENT UNION VILLAGE, LLC ECONOMIC DEVELOPMENT/REDEVELOPMENT Owner Participation Agreement by and between the City of Henderson Redevelopment Agency and Union Village, LLC for the development of the parcel generally located at the intersection of Galleria Drive and I-515. This item was withdrawn at the request of the applicant. RDA-3 PUBLIC HEARING SALE OF THE PINNACLE BUILDING ECONOMIC DEVELOPMENT/REDEVELOPMENT Public Hearing to receive comments on the City of Henderson Redevelopment Agency's intent to consider the sale of the Pinnacle Building located at 203 South Water Street for $510,000.00. Michelle Romero, Redevelopment Manager, said staff concurs with the recommendation. Chairman Hafen opened the public hearing at 6:34 p.m., asking if there was anyone present wishing to speak for or against this item. Tom Foster, 1020 Highland Falls Avenue, questioned why this project was not reviewed by the National Development Council to see if it is a viable plan for a business. He also noted that he was told this project will initially generate about $30,000.00 per month in revenue, with up to two or three times that within five years. He expressed concern that the numbers do not work to generate this much revenue and hiring 20 new jobs. Rance Spurlock, 22 West Pacific Street, stated that he believes the applicant will attract business back to downtown Henderson and he supports this project. Tim Brooks, 128 Market Street, the applicant, said this is a viable project that will employ 20 new jobs. Responding to a question by Councilwoman Schroder regarding the range of salaries, Mr. Brooks said the employees who earn tips are paid minimum wage, and other positions will be higher than minimum wage. Henderson Redevelopment Agency Meeting Page 4 of 7 March 19, 2013 – Minutes Michael Keaton, 1319 Treming Linn, representing the applicant, explained that they anticipate their food and beverage operation to generate about $30,000.00 per month. He noted that they intend to have an urban lounge including 15 gaming devices, which will generate the funds to pay employee salaries. Ms. Romero stated that the National Development Council is used when the Redevelopment Agency is providing a cash incentive to the applicant. She noted that staff did conduct a thorough due diligence on Mr. Brooks and his partners as far as a history of their current operations and reviewing financial information and employment operations. She said staff has been working with the applicant for 18 months and feels confident about this project. There being no one else wishing to speak, Mayor Hafen closed the public hearing at 6:40 p.m. Member Marz said he appreciates Mr. Brooks and his partners wanting to make an additional investment in downtown Henderson. He noted that he is going to support this project, but he struggled with the idea of the City buying this property high and selling low. (Motion) Member Gerri Schroder moved to accept public comments on the City of Henderson Redevelopment Agency's intent to consider the sale of the Pinnacle Building located at 203 South Water Street for $510,000.00. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. RDA-4 LAND PURCHASE AND SALE AGREEMENT 203 SOUTH WATER STREET TO AGUA STREET GAMING, LLC ECONOMIC DEVELOPMENT/REDEVELOPMENT Land Purchase and Sale Agreement by the City of Henderson Redevelopment Agency, Clark County, Nevada, for the sale of property located at 203 South Water Street to Agua Street Gaming, LLC. Member March commented that this action will put this property back into play, generate revenue, and create jobs in the Water Street District. Henderson Redevelopment Agency Meeting Page 5 of 7 March 19, 2013 – Minutes (Motion) Member Debra March moved to approve the Land Purchase and Sale Agreement by the City of Henderson Redevelopment Agency, Clark County, Nevada, for the sale of property located at 203 South Water Street to Agua Street Gaming, LLC. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. RDA-5 RESOLUTION ASSUMPTION AGREEMENT TO OWNER PARTICIPATION AGREEMENT RECOGNIZE LAKE PLEASANT, LLC AS A PERMITTED SUCCESSOR ECONOMIC DEVELOPMENT/REDEVELOPMENT Assistant City Manager Ellington introduced and read this bill by title: A RESOLUTION OF THE CITY OF HENDERSON REDEVELOPMENT AGENCY, CLARK COUNTY, NEVADA, APPROVING THE LAKE PLEASANT, LLC ASSUMPTION AGREEMENT TO THE NOVEMBER 16, 2004, OWNER PARTICIPATION AGREEMENT, AS AMENDED. Michelle Romero, Redevelopment Manager, presented a summary of this item and explained that this is a transfer of responsibility from one financial institution to another, so they still have to be under the terms and conditions of the original Owner’s Participation Agreement. She noted that the new financial partner is in negotiations with a private developer. (Motion) Member Sam Bateman moved to adopt Resolution No. 82 as amended. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. RDA-6 PROJECTS UPDATE REPORT ECONOMIC DEVELOPMENT/REDEVELOPMENT Report on new and ongoing projects, events, and business activities within the Cornerstone, Downtown, Eastside, Tuscany, and Lakemoor Canyon redevelopment areas and the administration thereof. Henderson Redevelopment Agency Meeting Page 6 of 7 March 19, 2013 – Minutes Michelle Romero, Redevelopment Manager, reported that staff has been researching 19 Water Street after receiving complaints about the property. Staff found that the owners have an active building permit so we cannot pursue them for Code violations. She said staff will address the concerns when the building permit expires. Ms. Romero stated that the Water Street Downtown Business Association and the Henderson Chamber of Commerce are planning to host a business expo in the fall. Ms. Romero said staff was able to work with the owner of City Tower to place a trash can and a bench at the bus stop on Water Street. She reported that staff has been working with Nevada Hand to conduct a community assessment survey in the area. Ms. Romero noted that staff has been tracking the Lakemoor Canyon congressional bill and working on other items related to redevelopment issues for the State legislature. Regarding the Lakemoor Canyon development, Member Schroder mentioned that the congressional delegation in Nevada has sponsored or co-sponsored their bills in the House of Representatives or the Senate, and they are on the natural resources committee or other committees. (Motion) Chairman Andy Hafen moved to accept the Projects Update Report. The roll call vote favoring passage was: Those voting aye: Sam Bateman, Andy Hafen, Debra March, John F. Marz, and Gerri Schroder. Those voting nay: None. Those absent: None. Those abstaining: None. Chairman Hafen declared the motion carried. V. PUBLIC COMMENT Tom Foster, 1020 Island Falls Avenue, referred to RDA-2, Union Village, and asked if the hospital has pulled out of the project. Chairman Hafen replied that St. Rose Dignity Health has pulled out of the project; however, Union Village representatives are in discussions with three other hospital corporations. VI. CHAIRMAN\MEMBER COMMENTS There were no comments presented by the Chairman or members. Henderson Redevelopment Agency Meeting Page 7 of 7 March 19, 2013 – Minutes VII. ADJOURNMENT There being no further business to come before the Redevelopment Agency, Chairman Hafen, in concurrence with the Agency, adjourned the Redevelopment Agency Meeting at 6:50 p.m. PASSED AND ADOPTED THIS 21st DAY OF MAY, 2013. ______________________ Andy Hafen Chairman ATTEST: ________________________ Sabrina Mercadante, MMC Secretary