Idaho Falls Redevelopment Agency

IDAHO FALLS REDEVELOPMENT AGENC Y P.O. BOX 50220 IDAHO FALLS, ID 83405 July 19, 2018 Regular Meeting Minutes Council Chambers Call to Order: Lee Radford called the meeting to order at 12:00. Members Present: Lee Radford, Kirk Larsen, Brent Thompson, Thomas Halley, Chris Harvey, Terri Gazdik, Dave Radford Members Absent: None. Also Present: Kerry Beutler; Ryan Armbruster, Esq. (via telephone); and interested citizens. 1. Modifications to Agenda: None. 2. Minutes June 21, 2018: Brent Thompson moved to approve the Minutes for June 21, 2018, Thomas Halley seconded the motion and it passed unanimously. 3. Approval of Expenditures and Financial Report. Mark Hagedorn was not at the meeting yet; this item is postponed. 4. Review of Draft Budget. Beutler indicated there is a separate budget for the 4 Districts, and then the termination budget for the Snake River Allocation Area. Beutler indicated that Hagedorn has separated out the capital projects, so you can see what has been proposed and what projects are out for consideration. Beutler indicated that the other 4 Districts reflect a balanced budget for each area. L. Radford stated that there is a budget worksheet that has River Commons, Pancheri, Eagle Ridge and Jackson Hole Junction; and Snake River is covered in the termination budget. Armbruster stated that this is the last budget for the Snake River Area and the better practice is to break out that budget separately from the other 4 Districts. Armbruster indicated that the notices should run regularly for the 4 project areas and a separate notice for the Snake River Area. Armbruster recommended doing an action item on the draft budget for the 4 Districts and an action item for the Snake River Area. L. Radford indicated that they will put a notice to the public and have a public hearing in August for public comment. L. Radford asked for comments on the ongoing Districts including River Commons, Pancheri, Eagle Ridge and Jackson Hole Junction. Halley stated that Brad Cramer’s time that he allocates to the Redevelopment Area, including Snake River Area has put a strain on his ability to maintain his job at the City and he is putting in extra time. Halley suggested the allocation for all redevelopment work be increased by $5,000. L. Radford indicated that $10,000 is going to City Administration for the 4 Districts and $50,000 in City Administration for the Snake River Area for a total of $60,000. L. Radford confirmed with Halley that he wanted the $10,000 on the 4 ongoing Districts to increase to $15,000, Halley agreed with L. Radford and suggested spreading it through all the Districts. Halley stated that he feels it has watered down Brad Cramer’s ability to spread himself out and as Districts are added there is more time involved on his part. Halley stated that due to the growth of all the Districts and the increment increase, he believes Cramer is deserving of a $5000 increase. L. Radford indicated that it would not be a salary increase directly to Brad Cramer, but rather an increased amount that the Agency would reimburse the City for all his work. Gazdik asked how Halley is coming up with that allocation, as there is no base line to understand what is being paid and how that is allocated. Gazdik indicated that it is unknown what percentage of time is being paid for by the Agency. 1 Idaho Falls Redevelopment Agency July 19, 2018. L. Radford and Gazdik agreed that it would be helpful to hear from Cramer on this matter. L. Radford stated that historically he felt that the estimate given on time spent has been low in the Agency’s favor. Armbruster stated that for the proposed budgets that will be published they can upsize whatever the Commissioners feel comfortable with in the proposed budget and have that published and when they have the public hearing if it seems more appropriate to move down in expense you can do that and not have to start the process over again, but you cannot go up. Armbruster stated that if you direct Kerry and Mark to take on the publication chores he would suggested upsizing the administrative line item and then it can always be reduced during the August meeting. L. Radford agreed with that. D. Radford clarified that it would be Administrative Line item for City Administration that is presently $10,000 and it would be increased to $15,000. D. Radford agreed that it will take Brad Cramer extra time and he is in favor of the increase to $5,000. Gazdik asked if it is sufficient and if they can adjust down without any problem, but cannot adjust up, is the $5,000 sufficient. L. Radford stated that without Cramer or Hagedorn present it is hard to get into the detail. Gazdik suggested adjusting the number to $10,000 and then they can adjust down in August. Armbruster reminded the Board members that the Snake River Area the Administrative amount is $50,000 and historically the Snake River Allocation Area because it was the first and biggest has always carried a larger portion of the Administrative expenses. Terri Gazdik moved to approve the draft budget worksheet for the 4 areas and increase the Administrative Expense line item from $10,000 to $20,000, Halley seconded the motion and it passed unanimously. Snake River Allocation Area. L. Radford stated that there has been some question as to the length of the Snake River Allocation Area and the County has been working together with them. L. Radford stated that they talk about Snake River District being from 1998 – 2018 and there has been confusion about it being discussed as a 28-year District, when in fact it started in 1988 and it is a 30-year plan. L. Radford stated that they pulled up documents from 1988 to when it was first approved, and it was set up as a 30- year plan. D. Radford stated that the County is still looking at documents, but the County has documents that show in 1988 when it started the law provided for 28 years and if you do the math from 1988 to 2018 that is 30 years and there are copies of minutes where all the Board Members understood that it was 28 years not 30 years. D. Radford stated that during meetings when Snake River was talked about it was always talked about as a 28-year District. D. Radford stated that if it started in October of 1987 then it has gone even longer and there are some records that show the District starting in October of 1987. D. Radford stated that Armbruster has been in touch with the County attorney. D. Radford wants to make sure that they are being fair stewards of the public’s money and want to make sure that there is no discrepancy of the time. D. Radford stated that the County has Minutes where Lee Radford discussed the Snake River Area having a 28-year life. Lee Radford stated that it was frequently discussed as being from 1990 to 2018 as it was believed that the District was started in 1990, but he was wrong as it started in 1988. Armbruster stated that they have provided the prosecuting attorney with documents concerning the original 1988 plan and the 4 amendments that have occurred since then as well as the statutory legislative history of the revenue authority of an urban renewal agency. Armbruster stated that it is his position that as provided for in the Statute, when this plan was adopted in 1988 there was no statutory limit as to the number of years that could be invoked by an agency concerning its tax increment authority, and the Snake River Plan clearly articulated that it was a 30-year plan. Armbruster stated that by changes and clarification to the Statute, the Legislature made it clear that because you don’t get any money in the 1st year of the plan you get money in arrears in the final year so that all the financial projections that Brad Cramer and Mark Hagedorn have worked on and what is in the proposed Termination Budget assumes revenues coming into the Agency in January and July of 2019. Armbruster stated that they believe that position is premised upon the only reasonable interpretation of the Statute and of the Plan itself. 2 Idaho Falls Redevelopment Agency July 19, 2018. Armbruster stated that when going through the budget worksheet the property tax revenues and the projects to be completed it all assumes continuing ongoing work through the end of fiscal year 2019. L. Radford stated that the problem with 28 years is they’d have to go back a year to get to that point. L. Radford stated that the County and City want the Agency to get projects that generate revenue in the future that will put more money into the tax payer’s pockets. L. Radford stated that on the Termination Budget, they have put on items that different groups have requested. L. Radford stated that he reported last month that Idahoan had decided not to remain in Downtown, however, Idahoan has contacted L. Radford and indicated that they are now seriously looking at staying Downtown. L. Radford is working on a proposal and would still be asking for the commitment and it is a project that would generate revenue. L. Radford stated that Idahoan is wanting to build a parking facility at the corner of Constitution and Park that would have main floor 20 spaces, mid floor 20 spaces and roof with 20 spaces and the Agency would pay for the roof and get the 20 spaces for the public. L. Radford stated that they would not only get tax revenues of the project, but also the improvement to Downtown. L. Radford stated that discussion is more recent than the cash flow that is on the proposed termination budget. L. Radford stated that he would like to give a dividend back to the County and the City. Beutler stated that both the Cash Flow Worksheet and the Termination Budget show the projects under the Capital Projects that the Agency has indicated interest in completing. L. Radford indicated that there are a few new proposals to discuss from Taylor Crossing and those are all listed on the Cash Flow and Termination Budget. D. Radford asked if he read correctly that they need $370,000 to balance out Snake River closeout. L. Radford stated that if they did all the proposed projects without the Idahoan they’d have $198,000 left to return. L. Radford stated that they had previously committed $1 million to the Idahoan if there is that much cost, but if they are only paying for one floor of parking (20 spots) it might not take $1 million. L. Radford suggested hearing the other proposals before they finalize the discussion on the Snake River Termination Budget. Armbruster stated that they need to have a motion to defer the action item on the Snake River Budget until after the Discussion items. Kirk Larsen moved to defer the action item on Snake River Termination Budget until after the Discussion items, Brent Thompson seconded the motion and it passed unanimously. Armbruster stated that they need a motion to authorize Brad Cramer, Kerry Beutler, and Mark Hagedorn to prepare the necessary notice of publication and formally setting the August 16 date for the public hearing for the project areas. Brent Thompson moved to authorize Brad Cramer, Kerry Beutler, and Mark Hagedorn to prepare the necessary notice of publication and formally set the August 16 Board meeting for the public hearing for the project areas, Dave Radford seconded the motion and it passed unanimously. 5. Request for Assistance: Tru Hotel. Tahri Malifua, Ball Ventures. Malifua passed out updated handouts showing the new budget proposal for Tru Hotel. Malifua stated that previously they made a request for reimbursement for some percentage of the area that was covered by an easement and they have removed that request as there wasn’t a strong appetite by the Board for that reimbursement. Malifua stated that they did keep one item that is to reimburse 2.03% of the proposed access easement that was discussed. Malifua stated that they have a bid for the demo replacement cost, and they haven’t gotten the technical studies to figure out the cost and until they get an assurance from the Agency that they want to participate they will not pursue getting clearer costs. Malifua stated that he is proposing a not to exceed number and has listed the original numbers for the bridge. Malifua stated that Clint Boyle 3 Idaho Falls Redevelopment Agency July 19, 2018. from Horrocks can explain the differences in the original proposed bridge versus the new larger bridge proposal. Malifua stated that the larger bridge would create a larger more identifiable public access point. Clint Boyle, Horrocks Engineers, 901 Pier View Drive, Suite 205, Idaho Falls, Idaho. Boyle stated that Tru Hotel is under construction and Malifua has asked Boyle to show how the pathway connection from Lindsey to the Greenbelt will go. Boyle stated that originally the bridge was to be used by the existing Hilton and the new Tru Hotel. Boyle stated that the concerns from the Board regarding the visibility and routing of the pathway to the bridge have been addressed. Boyle showed some slides showing a 3D mock up of the routing of the pathway to the bridge. Boyle stated that the pathway would have a different type of material and color so that the public could see it easily. Boyle stated that they wanted to see if the connection was clear from Lindsey Blvd, and can they see the bridge. Boyle stated that the original bridge crossed farther to the north and it was hidden behind the Hilton. Boyle showed that the current bridge has a skew to avoid mature trees. Boyle stated that they met with the New Sweden Irrigation District Board to discuss the change and the Irrigation District has given an initial nod. Boyle stated that the skew created visibility from Lindsey. Boyle stated that the skew added some length to the bridge, which increased the costs and if it were a public bridge it would be widened. Boyle stated that the path through the parking doesn’t go in a direct manner because the drive area between the Hilton and Tru Hotel is a service area for food deliveries, etc. Boyle stated that they didn’t want a public path through the service area and the area has some 3+% slopes and would not comply with ADA compliant pathway. Boyle stated that the route shown is ADA Compliant. Kirk Larsen asked if the lighting listed on the budget is only for the bridge or if it covers any of the pathway. Boyle stated that he understood that the lighting is for the bridge is what is listed in the budget. Malifua clarified that the number for the bridge is all items directly relating to the bridge, and he would assume it is specific to the bridge. Larsen asked if there is lighting for the pathway. Malifua stated that they haven’t considered that at this point. Gazdik asked if the lava removal is just under the sidewalk. Malifua stated that the lava removal was for the entire site and it was higher due to the elevator and the pool that had to be excavated. L. Radford asked what the cost of the Tru Hotel for property tax perspective. Malifua stated that it is North of $13 million. D. Radford asked if there are any parking spaces around the hotel for public parking. Malifua stated that currently they have not designated any onsite public parking. D. Radford asked if they could discuss parking as part of their business plan. Malifua stated that they can discuss it, but their parking ratios are very tight, and Hilton has a big say. D. Radford stated that if they could get 5-10 spaces that would be helpful. L. Radford stated that there is no public way to cross the canal from Lindsey to Land Bank. L. Radford stated that it would be approximately $200,000 to get a public access across the canal, and the Board must decide if it is worth it. Malifua stated that the not to exceed number would be based on eligible costs approved by the Agency. Malifua stated that if they had an approval of an amount then they could move forward in spending money for technical designs and studies. Larsen asked if there is any interest or input from public about needing a bridge. Beutler stated that he discussed the maintenance and potential bridge with the Parks Department and they indicated that they 4 Idaho Falls Redevelopment Agency July 19, 2018. haven’t had a lot of requests for public access and they are not in favor of public maintenance of the bridge. L. Radford stated that Parks and Rec is working on cutting down on their maintenance budget and they are being strict about not adding new parks or things to maintain. Thompson asked what the plan for maintenance of the bridge will be. Malifua stated that they are proposing maintaining everything on their property (up to the abutment on the bridge) and would request that the City maintain everything on the bridge, but they would happily maintain the bridge if that is a deciding factor. Malifua stated that they need a decision soon as they are under construction and site development. Halley stated that economic activity increases the value of property eventually. Halley stated that the bridge will leverage the River for everybody and that is becoming a very popular area. Hally likes the concept of the bridge across the river. L. Radford stated that this is $13 million project at 1.5% property tax rate is $190,000 a year in taxes and this will pay back in 2 years. Gazdik asked if they should discuss all the options for the funds available or decide each project one by one. L. Radford stated that they need to give it an approval or not because they are in construction process and they don’t have a month to wait. Terri Gazdik moved to approve the request from Tru Hotel for a not to exceed assistance of $463,465.80, Halley seconded the motion. Brent Thompson asked if the Agency typically pays for management fees. L. Radford indicted that they have paid for fees in the past paid for construction management and design fees. Malifua stated that the construction management fee is based off 4%. Malifua stated that in the past the Agency has participated on the professional fees related to construction and design related to the improvements they are funding. D. Radford indicated that he could support the motion based on the projections, if it included some dedicated public parking. D. Radford stated that if there isn’t dedicated public parking it makes it a difficult challenge for people to get there and the wheel chair access doesn’t matter except for the people staying at the hotel if there isn’t dedicated Parking. D. Radford stated that he will be voting no on the proposal if there isn’t some dedicated parking. Malifua stated that he is not able to make that commitment as he doesn’t have the authority. L. Radford called for roll call vote. Brent Thompson, no; Lee Radford, yes; Kirk Larsen, yes; Christopher Harvey, yes; Dave Radford, No; Thomas Halley, yes; Terri Gazdik, yes. The Motion passed 5-2. 7. Request for Assistance: Lorin Walker. Walker stated that they are anticipating construction of a medical and dental offices along with an engineering office. Walker stated that the offices will total approximately 50,000 sq. ft. Walker indicated that the area next to Culvers just west of the roundabout; Walker pointed out the area that the engineering company will be locating and a medical office. Walker indicated that the medical office is looking at multiple spots in the area and they both have lava issues. Walker showed the area that has already been blown and there will need to be some connections to utilities and some incidental blowing of lava to accommodate the locations. Walker showed a picture of the medical and dental office space and showed on the map where they are anticipating building. Walker indicated that the dental office will have a second level that will be lease space and it will be a 10,000 sq. ft. building, and the medical office space will be closer to 14,000 sq. ft. with two levels. Walker indicated that they are in the engineering stages and they are operating under letters of commitment and letters of intent from the various users. Walker stated that he is not asking for a commitment today, but rather a 5 Idaho Falls Redevelopment Agency July 19, 2018. discussion so when he comes to another meeting they will have more information and have a better idea of exact numbers. L. Radford thanked Walker and suggested that the possible commitment from the Agency might be the incentive the businesses need to come to the area. Walker agreed with L. Radford’s assumption. L. Radford asked Walker if there was any movement on the lots on River Walk Drive. Walker stated that they have been doing feasibility studies on an apartment complex and construction costs limit the ability to move forward. Walker showed another lot that he is doing a 3rd counter-offer on a proposal to purchase the land for a restaurant, but the cost of construction is a hindering factor. Walker stated that Woodbury has also been talking to them, but again the construction costs are limiting the speed of movement. Walker showed another area that is getting feasibility studies and building pro-forma on residential townhouses. D. Radford indicated that this area had a great vision behind it and the hard work has paid off and is evident. 8. Requests from IFDDC. Catherine Smith presented a letter of support from Tana Stahn of Chesbro Music and had other stake holders from the Broadway Corridor present. Liza McGee, owner of The Celt; Darren and Tammy Gardner, owner US Bank Building; Brandy Newton, the Art’s Council and owner of Artitorium; Michelle Cobert, Manager of US Bank; Emily Wagman, Dave’s Bike Shop; Chuck Bank, President and building manager for Actor Repertory Theatre of Idaho, 257 W Broadway; Jeff Campbell, owns building on corner of Park and Broadway. Smith indicated that there is support and enthusiasm for the project. Smith stated that in 2006 there was a “vision” done on Broadway related to Memorial Drive and Yellowstone. Smith showed a picture of the “vision” for Broadway. Smith indicated that the “vision” as shown is not realistic as there is no parking on Broadway and the bulb outs for the streets are cost prohibitive. Smith showed pictures of current conditions on Broadway versus conditions on Memorial. Smith indicated that she has updated costs from Public Works. Smith stated that the comments from property owners were based on concerns about trees obstructing sight lines for signs and businesses and the feedback was indicative of wanting less trees on Broadway. Smith stated that the final cost from Public Works is $492,000 with a contingency fund, for a total of $566,000. Smith indicated that IFDDC could participate in an amount up 10% or $50,000. Smith stated that there is no calculation of what the tax that would be generated from the project, but it is an entire corridor from Yellowstone to Memorial and all those properties will see improvements to their values and in turn creates tax revenue. Gazdik confirmed the $50,000 from IFDDC and asked if ITD is willing to participate. Smith stated that they explored ITD and found it is a 5-year process to get in front of them to ask for funding and they don’t consider this type of space as something they would participate in. Smith moved to the second portion of the presentation. Smith indicated that IFDDC is currently redoing the intersection at Capital and “A”, and they would like to tie in the efforts on Broadway with the remaining corners to be done. Smith indicated that an entire intersection costs $40,000, and there are 8 intersections left to be done to match what has been done to include pavers, pots, and trees the total cost would be $320,000. Smith moved onto Plaza Beautification for the public plaza at the Broadway and they would match the planters for Downtown and hanging baskets and that would cost $10,000. L. Radford indicated that there is support from The Celt, US Bank, Artitorium, ARTI, Dave’s Bike Shop, and the building at 410 Broadway and 301 Park, as well as written support letter from Chesbro Music. L. Radford asked if there has been any opposition from business along Broadway. Smith stated that the only 6 Idaho Falls Redevelopment Agency July 19, 2018. opposition was concern about the trees and how large the trees would be, and it is a cost savings to do less trees. Thompson asked about the prioritization of the items presented. Smith indicated that Broadway is #1 priority; corners; parking; plaza beautification. 9. Project Update: Pfaff Sewing Center. Kirk Larsen indicted that he and Brad Cramer have been in contact with Clifford Brighton on the building. Larsen indicted that Mr. Brighton is concerned about the money involved and the terms that the Agency wants him to secure the roof to get it through the winter. Larsen indicated that Brighton had engaged an engineering firm in Shelley to get numbers, and he hasn’t received the numbers yet. Larsen stated that they have given him a counter-offer to go more than the $5,000 for an option if it is needed to get the job done. Larsen stated that it is on a stall currently. L. Radford stated that they are trying to get an option to buy the Pfaff building and the option payment of $5,000 + would be dedicated to preserving the roof so the building wouldn’t collapse, and then they would go through the RFP process and if the proposals were good the Agency could buy the building and if they decide not to buy then the roof was fixed and preserved the building. 10. Project Update: Bonneville Hotel. Beutler indicated that the site plans and building permits have been submitted to the City, the closing date is August 28 and Brad Cramer has ordered the title commitment. 11. Legislative/RAI Updates. None. 4. Review of Draft Budget. L. Radford stated that the capital project list doesn’t include the Idahoan. L. Radford stated that they must decide what to put as a tentative draft termination budget. Armbruster stated that the Agency needs to approve a motion today that approves the Snake River Termination Budget in draft form, Beutler and Hagedorn will convert it to a public hearing notice and notice it up for the August meeting to be formally approved. Armbruster stated that it is the same as other budgetary processes. D. Radford indicted that he will abstain from voting until he gets more questions answered. D. Radford asked of the urban renewal areas in Idaho, have any gone longer than 28 years. Armbruster indicated that he has seen a lot go longer than 28 years because prior to 2000 when the Legislature provided the 24-year limit, the first round of urban renewal plans that were adopted after tax increment was authorized in 1988 all of them in the first round until 2000 had 30-year plans. Armbruster stated that there has never been a 28-year term in the statute. Armbruster stated that the first time the Legislature imposed a termination date it was 24 years. D. Radford asked if one of the reasons the Legislature addressed this issue was because the urban renewal districts take as long as they can and very few of the 65 have closed out early. Armbruster stated that he has personally closed out 2 project areas prior to the termination date. Armbruster stated that there are equally as many that go to the end. Armbruster stated that he is closing out the CCDC Boise project that has gone to the end, but it is a function of the individual localized circumstances that drive when and how a project area closes. D. Radford stated that the plan was talked about as a 28-year plan when he was on the Board in 2003. D. Radford asked if the changes made in 2006 made it so the plan could go for 30 years. Armbruster stated that if you go back to the very first plan in 1988 that had 30 years specifically in the duration provision. Armbruster stated that it has never waivered from the 30-year provision. D. Radford asked if they went back to 1988 why does the State Statute say 24 years and was there a 30-year contemplation in the original statute in 1988. Armbruster stated that there was never an extension and prior to the year 2000 Legislatively there was never a term imposed upon the revenue allocation period. Armbruster stated that in the year 2000 the Legislature adopted a 24- 7 Idaho Falls Redevelopment Agency July 19, 2018. year max, but included, as has been typical, a grandfather clause that said that any plan that was approved prior to the year 2000 with a longer term had the authority to continue through the term plan, which is why the Snake River Plan Area has continued to have the 30-year plan. Armbruster stated that there was another change in 2011 that limited the plans to 20 years, but the Legislature grandfathered in any project area that had a term in its plan that exceeded 20 years or 24 years depending upon the date of adoption. D. Radford asked if when it was formed in October 1987, according to the Minutes, the Plan started and gave the legal basis for the 30 years. Armbruster stated that there may have been an eligibility report of the plan in 1987, but the plan was not approved until the end of 1988 and the plan had a 30-year term. D. Radford asked if the Tax Commission’s position has been consistent. Armbruster stated that in his discussions with the Tax Commission for other project areas the position has been consistent. L. Radford stated that they are now trying to limit the terms and they don’t start project areas until they know what the term is, and it will be limited. L. Radford stated that everyone has learned from the issues. D. Radford asked when a project area is closed out is 30 years before it can be touched again by an urban renewal effort. Armbruster stated that there isn’t anything. Armbruster stated that there would have to be a new round of findings that a certain geographic area, meet the eligibility criteria of the statute. D. Radford asked if the urban renewal area that formed the Library could be reopened. Armbruster stated that area was never part of a project area under the tax increment authority but was an urban renewal area established in the 60’s and Federally funded and closed out. Armbruster stated that if that geographic area had the characteristics of the existing criteria it could be considered into a new project area. L. Radford stated that he would really like to give a dividend back to the City and County. D. Radford applauded the effort to give a dividend back as that shows to the public that they are not just spending because they have the money, but rather that the area needs a jump start so any efforts that can be made, and if the projects have merit it is good effort. L. Radford indicated that the Agency is doing right by the tax payers by incentivizing the projects that are returning a lot of tax revenue. Halley indicted that they cannot minimize the impact of the recession on the length of time as there was definite skid marks that limited economic development. Armbruster stated that because of the statutory changes any new project area will be limited to 20 years and the specificity of the plan will have to be much more robust than what started out as the Lindsey Plan. L. Radford asked for input on what to put on the tentative Budget. L. Radford indicated that he believes the Idahoan should go on for some amount as the project is clearly one that will return a lot of money to the tax payers. Larsen stated that if they had Idahoan and Aladdin there will be a deficit number. Larsen asked if they put that number out there with the understanding that they cannot all be funded, but they want them out there in case the Agency wants to or can. Thompson asked if the Downtown improvements projects are in the $1.246 Million. L. Radford stated that they have committed projects and then uncommitted projects are listed as other capital, including The Aladdin, the Broadway street improvements. Beutler stated that the other capital is the remainder that is not been committed. Beutler stated that they need to remember that they committed an additional $68,000 on the Tru Hotel, and there should be an additional $5,000 shown on the worksheet for Pfaff Sewing. Thompson confirmed that “Other Capital Projects” are just a balancing number. L. Radford stated that the Deseret Rock Removal might go away because they haven’t done it yet. D. Radford asked if they should work backwards on the budget and say at the end of the day they want to rebate back the City approximately $250,000. D. Radford asked if members of the Board wanted to have money left over. L. Radford suggested they 8 Idaho Falls Redevelopment Agency July 19, 2018. rebate money to the City and the City can do the Broadway improvements, and the County can choose to do what it wants with its money. Armbruster stated that next year at this point when they reach July or August of 2019 there will be a definitive list of what is left to be paid, and then as September 30 gets closer the Agency will cut a check for whatever is left to the County and the County will disburse that out to the other taxing entities based upon their levies and the allocated share of the dollars. Thompson asked if anything has changed with Aladdin Floral. L. Radford stated that he talked to the Oppenheimers and asked them to prepare a proposal to Julie Isom to have her lease a space in the new building for her for a limited time, as she was not ready to retire. D. Radford asked about the Idahoan funds and the number of $600,000 for 1/3 of the parking. L. Radford stated that originally, they were getting 40 spaces for $1 million. L. Radford stated that it will have to be based on actual cost and whatever the roof costs are what the Agency can pay. L. Radford stated that the parking would be condominiumized so that it would be dedicated to the City. L. Radford stated that they do no have the costs on that project. L. Radford stated that he offered to buy additional parking for night time use to support theaters and restaurants, but they were not interested in combining the parking. D. Radford stated that he has a hard time using public money when they don’t care about public parking. L. Radford indicated that the 20 roof top spaces would be completely public forever. L. Radford asked if they should include all things on the budget and have more discussion and public input next month. L. Radford stated that it will end up in a negative number if they put $1 million for Idahoan. D. Radford stated that $25,000 a space x 20 spaces = $480,000. D. Radford stated that $1 million is not feasible based on what they are trying to do. L. Radford stated that if they don’t do the Broadway and there are hard choices to make. L. Radford stated that they must determine what will benefit the Downtown the most, whether it be keeping Idahoan downtown and getting public parking or improving Broadway. Thompson asked when the Idahoan will have numbers. L. Radford indicated that he knows he will only get costs, but $480,000 might not be enough, and he was contemplating $600,00-700,000 to set aside. Thompson stated that Aladdin is doubtful, Deseret Book is doubtful and that will give $380,000 available; the Lori Walker proposal for lava might be less than the $300,000. L. Radford suggested adjusting the Termination Worksheet to have Tru Hotel at $463,000, keep Deseret Book on the Worksheet, put a maximum on the Pfaff and then have the “Other Capital Projects” and that will bring it to a zero and then they can make the decisions between the Broadway improvements, the Idahoan and a Dividend. L. Radford stated they don’t have answers at this point. Larsen liked Radford’s suggestion. Larsen stated that Pfaff is small compared to the other numbers. L. Radford stated that next month they will have to discuss this further. D. Radford stated that he is going to abstain on the vote as he doesn’t like to commit money that is not available, and there are too many unanswered questions. Brent Thompson moved to authorize Kerry Beutler, Brad Cramer and Mark Hagedorn to prepare the necessary budget notice to be published, based upon the discussion today, and to schedule the public hearing on the Snake River Termination Budget for August 16, 2018, Kirk Larsen seconded the motion and it passed. D. Radford abstained from voting. 9 Idaho Falls Redevelopment Agency July 19, 2018. 3. Approval of Expenditures and Financial Report: Lee Radford presented the finance report dated July 19, 2018. The following bills were presented to be paid from the Snake River Allocation Fund: Elam and Burke, $2,963.10 for legal services; Rebecca Thompson, $100.00 for transcription of minutes; IF-1, LLC, $1,000,000 for Broadway; Unitarian Church, $2,400.00. Kirk Larsen moved to approve the Finance Report, Chris Harvey seconded the motion and it passed unanimously. Next Regular Meeting: August 17, 2018. Brent Thompson moved to adjourn the meeting, Thomas Halley seconded the motion and it passed unanimously. Respectfully Submitted: Beckie Thompson 10 Idaho Falls Redevelopment Agency July 19, 2018.