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HomeMy WebLinkAboutItem 01 June 10, 2013 Minutes MINUTES OF THE MEETING OF THE SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY HELD MONDAY, JUNE 10, 2013 The Springfield Economic Development Agency met in the Library Meeting Room, 225 Fifth Street, Springfield, Oregon on Monday, June 10, 2013 at 7:25 p.m., with Board Chair Hillary Wylie presiding. ATTENDANCE Present were Board Chair Hillary Wylie and Board Members Sean VanGordon, Sheri Moore, Christine Lundberg, Marilee Woodrow, Bob Brew, Faye Stewart and Dave Ralston. Also present were City Manager Gino Grimaldi, Assistant City Manager Jeff Towery, Attorneys Mary Bridget Smith and Lauren King, and City Recorder Amy Sowa. Board Member Sid Leiken was absent (excused). APPROVAL OF MINUTES a. Minutes of January 28, 2013. IT WAS MOVED BY BOARD MEMBER LUNDBERG WITH A SECOND BY BOARD MEMBER WOODROW TO APPROVE THE JANUARY 28, 2013 MINUTES. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). COMMUNICATIONS a. Business from the Audience - None b. Correspondence - None c. Business from the Staff REPORT OF CHAIR - None REPORT OF COMMITTEES - None PUBLIC HEARINGS - None 1. Supplemental Budget Resolution. RESOLUTION NO. SEDA2013-02 – A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE SEDA GLENWOOD GENERAL FUND. Board Chair Wylie opened the public hearing. No one appeared to speak. Board Chair Wylie closed the public hearing. Springfield Economic Development Agency Minutes June 10, 2013 Page 2 Finance Director Bob Duey presented the staff report on this item. At various times during the fiscal year the SEDA Board of Directors were requested to make adjustments to the annual budget to reflect needed changes in planned activities, to recognize new revenues, or to make other required adjustments. These adjustments to resources and requirements changed the current budget and were processed through supplemental budget requests scheduled by the Finance Department on an annual basis. This was the second of two scheduled FY13 supplemental budget requests to come before the SEDA Board of Directors. The supplemental budget being presented included adjusting resources and requirements in the SEDA Glenwood General Fund. The overall financial impact of the Supplemental Budget Resolution was to recognize additional property tax revenue. Due to contractual obligation of SEDA with the City of Springfield it must remit all property tax revenue each year towards its revolving fund loan with the City. In addition, this request corrected the appropriation of the NEPA study from Development and Public Works (DPW) program expense to the appropriate capital projects. The NEPA study was formerly approved by SEDA Board of Directors on January 28th, 2013 during Supplemental Budget #1 review. The SEDA Board of Directors was asked to approve the attached Supplemental Budget Resolution. IT WAS MOVED BY BOARD MEMBER MOORE WITH A SECOND BY BOARD MEMBER STEWART TO ADOPT RESOLUTION NO. SEDA2013-02. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). 2. Fiscal Year 2013/14 SEDA Budget Adoption. RESOLUTION NO. SEDA2013-03 – A RESOLUTION ADOPTING THE FISCAL YEAR 2013/14 SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY BUDGET, MAKING APPROPRIATIONS, AND DIRECTING THE DIVISION OF THE PROPERTY TAX. Board Chair Wylie opened the public hearing. No one appeared to speak. Board Chair Wylie closed the public hearing. Finance Director Bob Duey presented the staff report on this item. The SEDA Board of Directors provided staff direction on the proposed budget for the upcoming year. Staff presented the budget to the SEDA Budget Committee on May 7, 2013. The Budget Committee held a hearing on that date and approved the budget to be presented to the SEDA Board for adoption. The SEDA Board of Directors was now requested to hold a public hearing on the Fiscal Year 2013/14 (FY14) SEDA Budget as recommended by the Budget Committee, approve a resolution to adopt the Fiscal Year 2013/14 SEDA Budget, make appropriations, and direct the County Assessor to divide the taxes in accordance with State law. The attached resolution totaled $2,342,663 in resources and requirements. Springfield Economic Development Agency Minutes June 10, 2013 Page 3 The resolution, as proposed, anticipated interagency loans from the City of Springfield to the SEDA Glenwood District in the amount of $400,000. Debt service payments from SEDA back to the City totaled $645,000. Interagency loans funds between the City and the Downtown District were proposed in the amount of $780,000. Debt service payments from SEDA back to the City totaled $140,000. Mr. Duey highlighted some of the items in the budget for both the Glenwood and Downtown Urban Renewal Districts. Councilor Moore asked if there was a place that separated the capital outlay in the two districts. Mr. Duey said it was in the actual budget document. IT WAS MOVED BY BOARD MEMBER BREW WITH A SECOND BY BOARD MEMBER WOODROW TO ADOPT RESOLUTION NO. SEDA2013-03. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). NEW BUSINESS 1. Property Purchase. - REMOVED RESOLUTION NO. 3 - A RESOLUTION AUTHORIZING THE ACQUISITION OF 138 MAIN STREET, SPRINGFIELD, OREGON (MAP AND TAX NO. 17-03-35-32-04500) This item was removed and would be revisited at the next SEDA meeting. 2. Resolution for Continued SEDA Funding for Portions of Local SDC Fees and Charges RESOLUTION NO. SEDA2013-04 - A RESOLUTION OF THE BOARD OF THE SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY PROVIDING AN INCENTIVE TO DEVELOPMENT IN DOWNTOWN AND GLENWOOD BY ASSUMING CERTAIN PORTIONS OF SYSTEMS DEVELOPMENT CHARGES AS ESTABLISHED IN THE SPRINGFIELD MUNICIPAL CODE, SECTION 3.406, AND SPECIFYING AN EFFECTIVE DATE Community Development Manager John Tamulonis presented the staff report on this item. To provide a boost for ambitious development and redevelopment plans (the Downtown Urban Design Plan and the adopted Phase 1 of the Glenwood Refinement Plan), SEDA adopted a resolution to continue funding the SEDA pick-up of SDC costs through June 30, 2013. That action provided some stimulus in Downtown but none in the Glenwood area. The resolution provided that SEDA pick-up 100% of the local SDCs throughout FY14 for projects consistent with the adopted Downtown Urban Design Plan or the adopted Phase 1 of the Glenwood Refinement Plan. Year to date in 2013, for five projects in the Downtown Urban Design Area, SEDA enhanced the City’s 50% SDC reductions by SEDA’s obligation to pay the remaining 50% of local SDCs for the development. SEDA provided an additional incentive for redevelopment consistent with the Downtown Urban Design Plan. The result was a small number of smaller projects Downtown. There were no Glenwood projects. Springfield Economic Development Agency Minutes June 10, 2013 Page 4 The proposed Resolution authorized SEDA, from July 1, 2013 to June 30, 2014, to be obligated for 100% of the local City SDCs in the Downtown Urban Design Plan area and the adopted Phase 1 Glenwood Refinement Plan area. The resolution for this SEDA portion included no cap at this time on the SDCs for projects in these areas since these areas had higher threshold costs than most to overcome substantial development challenges. In addition, the Resolution included potential SDC reductions for multifamily and mixed-use projects that were one of the plan areas referenced above and consistent with the plan. SEDA’s obligation would be paid after development occurred and property taxes flowed to pay the SEDA obligation over time. The resolution provided for the City Manager to report to SEDA on the impact on development in the Downtown and Glenwood areas in December 2013 and again in May 2014, providing the Board an opportunity to adjust, extend, limit, or end SEDA’s pickup of these SDC costs in either or both of these urban renewal plan areas. The Development and Public Works Director would make the decision on projects and SDC reductions. Board Member Moore asked if the projects that were currently outstanding would fall under the current citywide program. Mr. Tamulonis said those that fit the citywide program would be in that program. The SEDA program was for anything that fit into the plans for the urban renewal district. The Urban Renewal Agency would be responsible to pay the SDCs to the City as funds were available through tax increases. Board Member Brew asked if Mr. Goodwin’s decisions could be appealed. Development and Public Works Director Len Goodwin said it would be appealable to the City Manager and to the extent of a land use decision, would be appealable beyond that. Board Member Brew asked about specific businesses. It was noted that the business would need to fit into the urban renewal plan. If there was a question about a certain business, staff would bring it to the SEDA Board or City Council for their input. Board Member Brew said he wanted to make sure the Board and Council had some control. Mr. Goodwin said in the administrative processes, he as the Director, did not have unlimited discretion. His discretion was limited by the terms of the Downtown Implementation Plan or Glenwood Refinement Plan Phase I as adopted. There were a set of clear and objective standards on which to base his decision. Board Member Woodrow read the resolution into the record. IT WAS MOVED BY BOARD MEMBER WOODROW WITH A SECOND BY BOARD MEMBER BREW TO ADOPT RESOLUTION NO. SEDA2013-04. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). Springfield Economic Development Agency Minutes June 10, 2013 Page 5 3. Resolution Authorizing the City Manager to Award Competitive Bids, Requests for Proposals, Other Personal Services Contracts Exempt from Bidding Requirements Under the City Purchasing Regulations, and to Approve Amendments to Public Contracts During Summer Recess. RESOLUTION NO. SEDA2013-05 - A RESOLUTION AUTHORIZING THE CITY MANAGER TO AWARD COMPETITIVE BIDS EXCEEDING THE INTERMEDIATE PURCHASING THRESHOLD, REQUESTS FOR PROPOSALS, OTHER PERSONAL SERVICES CONTRACTS EXEMPT FROM BIDDING REQUIREMENTS UNDER THE PURCHASING REGULATIONS, AND APPROVE AMENDMENTS TO PUBLIC CONTRACTS DURING THE PERIOD OF JULY 23, 2013 THROUGH SEPTEMBER 8, 2013 WHILE SEDA BOARD IS IN RECESS. Finance Director Bob Duey read the resolution into the record. Contract Officer Jayne McMahan presented the staff report on this item. The City of Springfield conducted sourcing activities for SEDA and followed the City of Springfield’s Municipal Code Chapter 2, Public Contracts, Section 2.704 “Public Contracts for Goods and Services,” and Purchasing Guidelines unless otherwise stated. During the SEDA board’s summer recess SEDA would need to award contracts that exceeded the City Managers signature authority and may need to approve amendments to public contracts where the amendment cost exceeded the limits imposed by Springfield Municipal Code Section 2.706 (3). These actions were normally approved by the Board. To allow SEDA business to proceed as usual during the recess, the SEDA Board may want to authorize the City Manager to approve such actions. The Municipal Code sets administratively limits on the City Manager’s signature authority to make purchases and award contracts. The SEDA board authorization was required for amounts greater than the intermediate threshold. Section 2.706(3) of the Springfield Municipal Code prohibited amendments to public contracts where the amendment cost exceeded certain limits imposed by the Code except in certain cases of SEDA board approval. For the duration of the SEDA’s 2013 summer recess, staff suggested that the SEDA board authorize the City Manager to approve competitive bid contracts that exceeded the intermediate procurement threshold, Requests for Proposals, other personal services contracts exempt from bidding requirements under the purchasing regulations, and to approve amendments to public contracts where the amendment cost exceeded the limits imposed by Section 2.706 (2)(c) without SEDA board approval, including, but not limited to, the projects and contracts, as well as purchases. All expenditures had been budgeted and all purchasing provisions of the Municipal Code were to be followed. City Manager authorization would allow projects to stay on schedule, public service to continue uninterrupted, and limit the City’s exposure. Board Member Stewart asked if there were any projects in the works that would require this authorization. Mr. Duey said staff was working on a parking project that could require a contract. IT WAS MOVED BY BOARD MEMBER STEWART WITH A SECOND BY BOARD MEMBER WOODROW TO ADOPT RESOLUTION NO. SEDA2013-05. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). Springfield Economic Development Agency Minutes June 10, 2013 Page 6 4. SEDA Bylaws Amendment Regarding Board Membership RESOLUTION NO. SEDA2013-06 - A RESOLUTION OF THE SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY APPROVING AND ADOPTING AGENCY BY- LAWS. Community Development Manager John Tamulonis presented the staff report on this item. Lane County Commissioners modified their District boundaries in 2011. Both the Glenwood Urban Renewal District and the Downtown Urban Renewal District were now represented solely by the Springfield Commissioner. With the change in the Lane County District boundaries, there was no longer a need to continue membership of the East Lane County Commissioner on the SEDA Board. The City Council adopted Ordinance No. 6285 on February 19, 2013 to amend the Board of Directors from 9 members to 8 members eliminating the position for the East Lane County Commissioner. The proposed Resolution amended the SEDA bylaws to match the change in the City Ordinance. Other minor housekeeping amendments included adding the Downtown Urban Renewal Plan to the By-laws where not previously noted. There was no financial impact with the proposed changes. Board Chair Wylie thanked Board Member Stewart for attending this evening. Board Member Stewart said he felt this change was appropriate. One of the reasons the positions were originally offered to the two County Commissioners was to have better communication and collaboration, and gave a voice to the County. It gave them an opportunity to be supportive of projects in the urban renewal districts. Springfield was a great organization and he had no issues, but he felt it was appropriate to have a Commissioner at the table during the meetings. He asked if perhaps they could have an alternate to make sure someone was in attendance from the Commission. Attorney Mary Bridget Smith said that would have to be added into the Bylaws. Board Member Stewart said it was something to consider as it was important to have someone attend to report back to the rest of the Commissioners. He would be more than happy to attend the meetings when he was able. Board Member Lundberg asked if the Board could choose not to make the change to the Bylaws tonight. It was noted that the City had already adopted the ordinance making the change. Board Member Brew said there was nothing to preclude a County Commissioner from attending any SEDA meetings. Ms. Smith said if they wanted the alternate to participate or vote the Bylaws would need to be changed. Springfield Economic Development Agency Minutes June 10, 2013 Page 7 Board Member Stewart said the ability to vote was not a concern. Mr. Tamulonis said staff would need to go back to the Council with a change to the ordinance, and then back to SEDA with the Bylaw change. Board Member Moore said she appreciated Board Member Stewart offering to attend. Board Member Brew said they could adopt the Bylaws as presented to make it consistent with the City. The change to add an alternate could then be made to the City Ordinance and Bylaws at a later date so they remain consistent. Board Member Stewart said he was fine if they wanted to think on it further. Board Member Moore read the resolution. IT WAS MOVED BY BOARD MEMBER MOORE WITH A SECOND BY BOARD MEMBER WOODROW TO ADOPT RESOLUTION NO. SEDA2013-06. THE MOTION PASSED WITH A VOTE OF 8 FOR AND 0 AGAINST (1 ABSENT – LEIKEN). The Board directed the City Attorney’s office to draft the amendments needed to allow an alternate to the City ordinance and SEDA Bylaws. OLD BUSINESS - None. ADJOURNMENT The meeting was adjourned at approximately 7:52 p.m. Minutes Recorder – Amy Sowa ______________________ Sheri Moore Secretary