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HomeMy WebLinkAbout2005-06-27 SEDA Meeting Minutes MINUTES Springfield Economic Development Agency June 27 - 7:00 P.M. Springfield City Hall — Jessie Maine Meeting Room 225 Fifth Street - Springfield MEMBERS PRESENT: Tammy Fitch, Chair; Anne Ballew, Sid Leiken, Christine Lundberg, Joe Pishioneri, Dave Ralston, Faye Stewart, and John Woodrow. MEMBERS ABSENT: Bill Dwyer. STAFF PRESENT: John Tamulonis, Bill Duey, Bill Grile, Mike Kelly. I. CALL TO ORDER Chairperson Tammy Fitch called the meeting of the Springfield Economic Development Agency (SEDA) to order at 7:00 p.m. Community Development Manager John Tamulonis called the roll and stated that a quorum was present. II. APPROVAL OF MINUTES John Woodrow moved, Christine Lundberg seconded, to accept the minutes of the May 23, 2005, SEDA meeting. The motion was adopted unanimously, 8:0 III. COMMUNICATIONS A. Business from the Audience None. B. Correspondence Mr. Tamulonis reported that Mr. Lentz had called with an interest in selling residential property in the Glenwood area to the City. He said the property contained two currently rented houses that had an Assessed Value of about $300,000. Anne Ballew asked if there was a plan for annexation of properties in the Glenwood area. Mr. Tamulonis replied that there was an area development plan, but that it did not include details such as annexation of specific properties. Mr. Woodrow asked how property transfers to the City were made. Mr. Tamulonis replied that there were guidelines for such purchases, but that the most appropriate funds available for such a purchase would be controlled by SEDA. He explained that SEDA could also provide assis- tance in development of the property in conjunction with a larger parcel in the same area. Chairperson Fitch said she believed an advantage of purchase of the property would be to pro- duce income until it was re-developed. Sid Leiken stated that he would recuse himself from discussion regarding the property because of business relationships with some parties involved nearby. Chairperson Fitch determined there was interest in exploring the proposed property purchase, but that additional details were needed. She suggested that a report be prepared for considera- y 4 Springfield Economic Development Agency Minutes June 27, 2005 Page 2 tion at a future meeting. Mr. Tamulonis said he would bring information to the next SEDA meet- ing in Executive Session. Ms. Ballew said it would be important to determine if sale of the property was contaminated in any way. Mr. Tamulonis added that a "level one" environmental study should also be made. Christine Lundberg noted that purchase of the identified property would require a significant por- tion of the SEDA resources to be made available through the establishment of a Line of Credit to be considered later in the meeting. Joe Pishioneri said he believed it would be important to identify all properties in the Glenwood area that were not able to be fully utilized because of environmental constraints, like former methamphetamine labs. C. Business from the Staff Mr. Tamulonis reported that the City Council had approved extension of the Enterprise Zone in the Glenwood area to enable the proposed Williams Bakery development to have an additional two years exemption. He said the project involved $30 million of improvements. Mr. Tamulonis reported that preliminary discussions had begun with the Oregon Department of Transportation (ODOT) regarding common development of stormwater drainage sites in the Glenwood area. Mr. Leiken requested that an update on ODOT plans for the Interstate 5 Bridge and Off-ramp at Franklin Street be provided to SEDA. He recommended that the report be made when citizen members of the Glenwood Renewal Advisory Committee were present. Mr. Tamulonis reported that discussions between the City and area utility service providers were taking place regarding development of a multi-use path as an the extension of 14th Street to Glenwood Boulevard. IV. REPORT OF THE CHAIR None. V. REPORTS OF COMMITTEES Ms. Fitch noted that minutes of the May 3 and 17 meetings of the SEDA Budget Committee had been distributed. She said they would be officially accepted by the Committee. VI. OLD BUSINESS Mr. Tamulonis referred to an Agenda Item Summary entitled "Update on Drafting Agreement: City/SEDA Relationship." He reported that documents from the cities of Medford and Roseburg were being studied to develop an operating agreement for Springfield. He said it would likely be in the form of a contractual arrangement, rather than an Intergovernmental Agreement. He said a draft would be presented at a July SEDA meeting to make it possible to be considered by the City Council before the beginning of its summer recess on August 1. VII. NEW BUSINESS Mr. Leiken asked if having property owners as business clients Glenwood created a conflict of interest for him to participate in discussions regarding a SEDA loan. Mr. Tamulonis said he did Springfield Economic Development Agency Minutes June 27, 2005 Page 3 not believe the relationships should prohibit him to participate in the discussion and decision regarding a SEDA request for a City loan. Mr. Tamulonis referred to an Agenda Item Summary entitled "Request to City of Springfield for Loan." He said the proposed Resolution would establish a Line of Credit loan of$1.5 million to be used as needed to fund authorized SEDA activities. He said the conditions and terms of the loan would be negotiated with the City. Ms. Ballew asked for an explanation of the meaning of"... mutually acceptable (terms) prior to SEDA finalizing and accepting the loan ..." in the proposed Resolution. Mr. Tamulonis replied that the phrase allowed SEDA to consider more acceptable conditions from a source other than the City. He said it did not mean that SEDA would delegate decision-making authority regarding the loan or its terms. Chairperson Fitch asked if there were any limitations on the use of the Line of Credit. Ms. Ballew said it was her understanding that its purpose was to purchase property, not pay for the expense of staff. Ms. Lundberg said she hoped it would be possible to use the funds to pay for fees and other charges related to acquiring property. Mr. Tamulonis said limitations on the use of the Line of Credit would be included in terms and conditions established. He said the budget would also limit its use. Chairperson Fitch said she believed it would be appropriate to identify using the Line of Credit to provide "matching funds" required for a public or private grant received by SEDA. Mr. Woodrow moved, seconded by Faye Stewart, to adopt Resolution No. 1; A RESOLUTION WHEREBY THE SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY (SEDA) REQUESTS THE COMMON COUNCIL OF THE CITY OF SPRINGFIELD TO AUTHORIZE A LOAN OF UP TO $1,500,000 FOR THE URBAN RENEWAL AGENCY'S AUTHORIZED ACTIVITIES IN THE GLENWOOD URBAN RENEWAL DISTRICT, WITH TERMS AND CONDITIONS OF THE LOAN TO BE NEGOTIATED BETWEEN THE SEDA BOARD AND THE CITY OF SPRINGFIELD PRIOR TO SEDA FINALIZING AND ACCEPTING THE LOAN FROM THE CITY OF SPRINGFIELD. The motion was adopted unanimously, 8:0. VIII. PUBLIC HEARING Mr. Tamulonis referred to a document entitled "Approved Budget for SEDA FY2006" attached to the Agenda Item Summary entitled "Request to City of Springfield for Loan." He noted that it had been approved by the SEDA Budget Committee on May 24, 2005. Chairperson Fitch opened a Public Hearing on the proposed Budget. She determined there was no one present wishing to testify and closed the Public Hearing. She determined there were no questions or comments from members. Mr. Woodrow moved, seconded by Mr. Pishioneri, to adopt Resolution No. 2; A RESOLUTION ADOPTING THE FISCAL YEAR 2005/06 SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY BUDGET, MAKING APPROPRIATIONS, AND DECLARATION OF TAX INCREMENT— NEW AND WINDOW PLANS. The motion was adopted unanimously, 8:0. The meeting adjourned at 7:35 p.m. (Recorded by Dan Lindstrom) Springfield Economic Development Agency Minutes June 27, 2005 Page 4 l '7, 1(_€/)_z. .,..0 ,77 Christine Lundberg 40 Secretary