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01-13-16 Urban Renewal Agency MinutesMEMBERS IN ATTENDANCE City of Kalispell Post Office Box 1997 - Kalispell, Montana 59903 Telephone: (406) 758-7701 Fax: (406) 758-7758 Meeting Summary URBAN RENEWAL AGENCY BOARD JANUARY 13, 2016-4 P.M. CITY HALL— COUNCIL CHAMBERS OTHERS IN ATTENDANCE Chairman Marc Rold Wayne Freeman, CTA Architects and Engineers Vice Chairman Murphy McMahon Stephanie Ray, CTA Architects and Engineers David Girardot Tom Jentz, Kalispell Planning Director Jeff Zauner Katharine Thompson, Community Development Manager Jarod Nygren, Kalispell Senior Planner Krista Lammers, Community Development Department Meeting was called to order at 4:05 p.m. by Chairman Rold. He explained to members of the public that this is the Urban Renewal Agency Board's regularly scheduled monthly meeting and that an open house hosted by CTA regarding the South Kalispell Urban Renewal Project would be held directly after the meeting at 5 p.m. in City Hall Council Chambers, at which time public comment on the plan is open and welcomed. As there was no public comment, Wayne Freeman and Stephanie Ray of CTA Architects and Engineers began the South Kalispell Urban Renewal Plan presentation, outlined in the South Kalispell Urban Renewal Draft — January 2016. A brief history of the area, proposed improvement and redevelopment projects, financing options and five possibilities for the airport property were presented. Please visit the link below to view or print the plan: http://www.kalispelLcom/planning/documents/SouthKalispellUrbanRenewalPlan.pdf Airport Alternative 1 Discussion: Mr. Girardot inquired as to whether the plan identified that the City would have the ground lease if the airport was privately developed. CTA's Mr. Freeman confirmed that, yes, under this option it was assumed the City would hold the ground lease. Airport Alternative 2 Discussion: Rold asked if CTA has spoken directly with School District #5 and the Flathead County Fairgrounds Board regarding this option. Mr. Freeman explained that the school district was not ready for that discussion and that the fair board had recently done a lot of work at the existing fairgrounds location. Girardot asked what the costs associated with disassembling the airport hangars might be, Freeman explained that as there is not a lot of value in the hangars and that they should be scrapped or reused. Mr. Zauner asked if CTA had identified costs for utility relocation at the airport site and if so what the financial burden for the City would be, specifically the wastewater treatment plant utilities. Freeman shared that the plan did not go into that much detail but that it was not anticipated that the utilities be relocated. Airport Alternative 3 Discussion: Zauner asked if CTA has talked with the Federal Aviation Administration (FAA) to explore whether the City was eligible for FAA funding, Freeman confirmed that CTA "sat down" with the FAA early on in the development of this plan and that the FAA is willing to talk with the City regarding its policies. Airport Alternative 4 Discussion: Rold asked whether CTA had conversations with the Flathead Municipal Airport Authority (FMAA), Freeman confirmed that a couple of conversations were included in the plan. The presentation concluded, Freeman explained that CTA's purpose was to lay out options, which included financial information, for the City's decision makers and that CTA found there were no overwhelming differences in cost between the options. Wrap Up Discussion: Girardot asked for clarification of ongoing costs. Freeman explained: Alternative 1 would be the simple cost of property upkeep; Alternative 3 would be utilizing 90% FAA funding for compliance while the City would cover regular property maintenance costs. Girardot also inquired as to whether CTA had done a demand analysis for the hangars, Freeman explained there would have to be too much speculation to arrive at an accurate number. Zauner asked when CTA anticipated the City would begin major improvements for alternative 3, Freeman explained this option was planned to start immediately and that dollar figures were utilized from previous reports using 2012 maintenance records and that now is the time for heavy capital investment if this option is considered. Ms. Ray of CTA clarified that the financial projections for the alternatives went 5 years out because the Airport Tax Increment Financing District sunsets in 2020. Planning Manager Tom Jentz summed up the following: Alternative 2: The City would come to the level of "mowing grass" if the airport was not redeveloped Alternatives 1 & 3 would have ongoing costs into the perpetual future - that these would be living, growing costs into the future — they would not go away. Chairman Rold reminded attendees of the CTA South Kalispell Urban Renewal Plan Open House to be held directly after this meeting and adjourned the meeting at 5:00 p.m.