Idaho Falls Redevelopment Agency

IDAHO FALLS REDEVELOPMENT AGENC Y P.O. BOX 50220 IDAHO FALLS, ID 83405 March 19, 2015 Regular Meeting Minutes Council Chambers Call to Order: Chair Radford called the meeting to order at 12:00 Members Present: Lee Radford, Terri Gazdik, Linda Martin, Thomas Hally Members Absent: Lee Staker, Brent Thompson Also Present: Ryan Armbruster, Legal Counsel (telephonic); Renee Magee, Executive Director; Thayne Sparks, Agency Treasurer; Council member Ed Marohn; Brad Cramer, Planning and Building Director. Modifications to Agenda: There were none. Approval of Minutes: Tom Hally moved to approve the minutes of the February 19, 2015, meeting, Linda Martin seconded the motion and it passed unanimously. Approval of Bills: Lee Radford presented the finance report dated March 19, 2015. The following bills were presented to be paid from the Snake River revenue allocation fund: Elam and Burke, $872.80, legal services; Rebecca Thompson, $100.00, transcription services; The Post Register, $46.77, notices; and City of Idaho Falls, $390,000, Rock Garden, Phase II. The following bills from River Commons revenue allocation fund were presented: Elam and Burke, $148.00, legal services; and Bandon River Apartments, $9,731.72, Owner Participation Agreement. Linda Martin moved to approve the finance report, Tom Hally seconded the motion, and it passed unanimously. Review of Annual Report, Including Financial Statements, and Solicitation of Public Comment. Lee Radford explained, at this meeting, the Board reviewed the annual report for 2014 and solicited public comment. Ryan Armbruster advised this portion of the meeting is not a formal public hearing but a portion of the open meeting in which the Board is to solicit public comment. Magee summarized the annual report for those in attendance. The notice of this meeting as well as locations to view the annual report had been published in The Post Register twice prior to the meeting, a press release had been issued to the media this week, and the annual report, including financial statements, had been posted on the City’s website for three weeks. The financial statements, without the written portion of the report, had been posted since January on the website. There was no public comment. Hally commented the investment of the Agency has made in the districts has leveraged almost $200 million in return: the private sector would be very happy with that return. Radford thanked those responsible for preparing the annual report: it is available on the City’s website and explains the activities the Agency has undertaken. Terri Gazdik moved to approve and accept the annual report and to instruct the treasurer to file the annual report with the City of Idaho Falls and have the necessary notices published. Hally seconded the motion, and it passed unanimously. Updates on Previous Agenda Items: Lee Radford explained the Agency had considered two proposals to prepare a housing market analysis for downtown at the February meeting and selected Leland Consulting. It was unclear as to whether owner-occupied housing or condominiums were included in either proposal. After consulting with potential private investors and Leland Consulting, the addition of Idaho Falls Redevelopment Agency March 19, 2015 1 owner-occupied housing will increase the cost of the contract by $4,000. This will bring the total cost, including travel, to $16,000. Gazdik felt owner-occupied housing should be included in the study. Hally felt housing will be vital to ensuring downtown continues to be a vibrant area of the community. Martin agreed, especially if the housing is upscale and the occupants have disposable income to spend in downtown businesses. Hally moved to approve the contract with Leland Consulting with the increase for $4,000. Gazdik seconded the motion, and it passed unanimously. Magee requested the Board authorize the issuance of the check to Ball Ventures for $250,000 for reimbursement for costs related to street and utility improvements in Snake River Landing, Divisions No. 6 and No 7, provided Ball Ventures signs the consent and recognition agreement. One change will need to be made in the agreement in paragraph 1 of page 2. The note should be issued thirty days, not ten days, after the execution of the agreement. Radford explained this check goes back to the improvements on Bluff Drive, Whitewater Drive, Lochsa Drive, and White Sand Creek Way. Originally, the amount of $500,000 was to be repaid by a note to the developer. During discussions as to the interest rate, it was agreed to pay the developer $250,000 in cash and execute a note for the remainder at a lower interest rate. Armbruster confirmed the consent agreement is ready with the exception of the time frame for the note. The Board and Ball Ventures have been struggling with language in the note to allow Ball Ventures to seek their own counsel’s opinion that the interest is tax exempt. The Agency does not have the necessary research and opinion to declare the note is tax exempt; therefore, the ball is in the court of Ball Ventures. Martin moved to release the check in the amount of $250,000 to Ball Ventures provided the period of ten days is increased to thirty days for the execution of the note in the consent and recognition agreement and such agreement is signed by Ball Ventures and executed by the Board chair. Hally seconded the motion, and it passed unanimously. Armbruster reported HB 236 is being held in committee at the call of the chair. Representative Youngblood briefly attempted to cure the bill but has decided he will not pursue it. The House has passed Representative Youngblood’s House Concurrent Resolution to create a formal interim committee to examine urban renewal. The resolution is likely to pass the Senate, and it will then be up to the leadership to formally approve members for the committee. It may include non-legislative members. Hally stated Senator Hill stated it was very unlikely the Legislature will adjourn before April 9 due to the education and transportation issues. The Governor wants both addressed prior to adjournment. Magee explained Bonneville County and the City of Idaho Falls have requested the Agency’s participation in the 2016 aerial flight. Previously the Agency paid for eight sections at a cost of $607.95. She requested participation up to the amount of $1,000. The aerials are used by the Agency during its meetings, in meetings with developers, and as exhibits in Agency agreements. Gazdik moved to authorize Agency participation in the 2016 aerial photo flight up to the amount of $1,000. Martin seconded the motion, and it passed unanimously. Motion to Enter Executive Session Pursuant to Idaho Code Section 67-2345(1)(c) to Conduct Deliberations Concerning Acquiring an Interest in Real Property Which is Not Owned by a Public Agency: Tom Hally moved to enter into executive session pursuant to Idaho Code Section 67- 2345(1)(c), Gazdik seconded the motion. Radford called for vote by roll call: Gazdik, yes; Hally, yes; Martin, yes; Radford, yes. Motion passed 4-0. Terri Gazdik moved to exit executive session, Hally seconded the motion. Radford called for vote by roll call: Gazdik, yes; Hally, yes; Martin, yes; Radford, yes. Motion passed 4-0. Terri Gazdik moved to adjourn the meeting, Martin seconded the motion and it passed unanimously. Idaho Falls Redevelopment Agency March 19, 2015 2 Respectfully Submitted: Renee R. Magee Idaho Falls Redevelopment Agency March 19, 2015 3