02-14-89 Development Comm MinutesCITY DEVELOPMENT COMMITTEE
FEBRUARY 14, 1989 7:30 AM LIGHTERSIDE RESTAURANT
ATTENDING: Wayne Saverud, Noel Furlong, Clare Hafferman, Jim Atkinson, Mayor
Kennedy, Ed Gallagher, Susan Moyer, Ad Clark.
Wayne opened the meeting and turned it over to Noel who reported on the meeting with
FVCC and the negotiations for the property purchase. The offer for four (4) buildings
was for $530,000: sharing of closing costs by the city and college; city paying
demolition/asbestos abatement costs on all buildings; the college occupying the
buildings rent free for two years, until the new campus buildings are constructed; and
the college installing a fire sprinkling system in the new college buildings. The college
will also have to keep their insurance in force, pay all utilities and maintain the
buildings while they occupy them.
Clare asked why the city was paying cash for the buildings and Wayne responded that
makes sure the city is not dragging the bond out longer then they should and secondly
the college needs cash very badly because of architectural fees etc that are falling due.
Noel slated that the college needed a minimum of $310,000 and this offer will leave
them about $330,000 in cash so they can wrap up debts. Ed explained that the
demolition money can be escrowed for two years as long as the interest isn't more then
when the bonds were purchased.
Jim moved that if FVCC accepts the offer unchanged then the committee would
recommend to Council at next council meeting. Motion carried with Clare voting
against.
Police Chief Clark read his letter to Ed Gallagher regarding revitalizing the dispatch
center in the police dept. He stated that the centers physical layout is not user friendly
and the booking area needs to be made safer. The estimate from Ken Williams.
architect, was for $22,000. Ad went on to explain all the changes they would like to
make, etc.
Ed Gallagher stated that with the committees approval the CDD would work with Ad
and Ken Williams, get figures and go out to competitive bid. Wayne suggested that since
Ken Williams is looking at the police dept now, we might have him look at covering the
back of the police dept and city hall, as well as the water dept and City Clerks office.
Jim asked where this money came from, Ed explained that there was a line item
established for redevelopment as well as a line item for public buildings, which has
been carried over for a year for work in city hall etc. Noel moved that this has come to
fore and it must be moved on so the committee is authorizing the Mayor and Chief to
proceed with architectural drawings, etc, Jim seconded and motion passed.
Wayne stated that at the last CDC meeting there was a proposal from the Flathead
County Association for Senior Housing, requesting a one year option on Griffin Field.
It was discussed at some length but there were no recommendations made. There was
need for more information, 1) possibility of 'cash in lieu of to handle the taxes because
it would be a tax free project, 2) also to look around at other possible real estate in the
city that might be a viable location for this project. Ed stated that the CDD would
certainly work with the city/county planning staff in case of a zoning change, etc. Ed
has heard from Helena and is waiting for more information on 'payment in lieu of.
After discussion it was decided to table this matter until more information is obtained.
Susan Moyer explained the handouts she passed around showing the possible
expansion of the Housing Rehabilitation area, actually it is just picking up an island
• that has not been in the area and squaring off on the other two sections of the map. Jim
asked if there was more money needed. Susan stated she will have the same amount
from UDAG and more from Tax Increment in that area. Noel asked about the southwest
area and where it stands. Susan explained that we are not doing housing in that area
now, she foresees that area as having a grant application written for rehab, that will
not be for a year or so. Jim moved to recommend expanding the housing rehab district
as shown on the maps. Noel seconded, motion carried.
Mayor Kennedy also suggested expanding the area around the high school for parking,
and as Susan stated that would also be a good area for housing rehab.
Ed reported that we now have a new representative for Glacier Park Co. His name is
Darrel Wilson and he plans on flying in and visiting with us as soon as weather
permits. Ed also reported on the upcoming annual report due by March 31st each year,
it will go to the council by March 20th. In talking with Postmaster Brian Russ, who will
keep us informed, he has no idea when construction on a new post office will begin, but
he is concerned with, and will do everything he can to keep limited facilities in the
present post office. The Tax Increment Committee met last week and wants to be
prepared when the Mayor requests budgets and can anticipate what monies will be
available. In talking with Amy and Don Halver as far as TIF is concerned, it would be
conservative to use last years figures on anticipated taxes, fines, repayment of Second
Avenue West Building as part of tax increment. Ed also discussed his talk with Bill
Cooper regarding the dire need for parking in the high school area.
Ed also discussed the report from the mall C.P.A. that is part of the secondary loan
agreement. There has been no profit generated from the mall yet, but when there is the
city will receive 15%.
Ed also discussed sidewalk replacement as an eligible TIF activity for public land. He
would like to do research on how many areas could use replacement. The committee all
• agreed with this suggestion.
Noel recommended that when the project is started on the police dept and city hall he
would like to see the awning behind city hall done at the same time. He also would like
to see a permanent structure as it would have a longer life then a cloth awning.
Meeting adjourned at 9:00 AM.
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