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HomeMy WebLinkAboutMN-IURA-1998 6,c CAerk_ Minutes of the Ithaca Urban Renewal Agency Thursday, February 19, 1998, 11 AM Third Floor Conference Room, City Hall Present: Mayor Alan Cohen, Eric Rosario, Martha Preston, Brad Nelson for Items IV-1 and VIII, Diann Sams for Items IV-1 and VIII, Paul Mazzarella for Item VIII-1, Chief Basile and Officer Kathy Torres for Item VIII-2, Matthys Van Cort, Katharine Clute, Nels Bohn, Wies van Leuken I . Call to order The meeting was called to order by the chair Alan Cohen at 11 AM. II . Approval of Minutes of IURA meetings Preston moved and Rosario seconded a resolution to approve the minutes . RESOLVED, that the IURA approves as distributed the minutes of the IURA meetings of 8/8/96, 10/30/97 and 11/12/97 . Approved unanimously. III . Staff Reports No reports IV. Economic Development 1 . Loans to Restaurants and Bars The Agency reviewed the EDC' s recommendations and clarifications regarding the RLF Policy on lending to restaurants, nightclubs, bars, liquor stores, adult entertainment establishments and similar businesses . The committee recommended to leave current restrictions on loans for restaurants, bars and similar businesses unchanged, specifically as they apply to situations as listed below. 1 . The current geographic exception, allowing loans to restaurants, bars and similar businesses in the Waterfront Entertainment District, should not be extended to include the downtown Business Improvement District (BID) ; 2 . The restrictions should not be lifted for loan applications by minorities and women; Minutes IURA February 19, 1998 3 . An "adult entertainment establishment" use is not an eligible activity for a loan; 4 . The restriction is not limited to "restaurants" but also applies to "bars, nightclubs and similar businesses" ; 5 . Loan Applications for liquor stores should be reviewed like other retail businesses . The Agency thoroughly discussed the recommendations . Some Agency members proposed to waive the restrictions for women and minorities and if necessary provide additional resources for such loans . Other members stated that the risk was too great and no exceptions should be made . Staff expressed concern that current CD-RLF guidelines did not address requirements for this new category of loans . The discussion did not lead to a resolution. The Agency agreed to table this item until the next IURA meeting. IV-2 . Carpenter Business Park This item will be discussed at the next meeting. IV-3 . Contract with H. Sicherman & Company, Inc . Harry Sicherman's 12/15/97 memo was distributed. This memo notified the Agency of the reorganization of Sicherman's business per 1/1/98 . The Mayor moved and Preston seconded a resolution to approve the contract with H. Sicherman & Company, Inc. for consulting services to the Ithaca Urban Renewal Agency (IURA) in FY 1998 . WHEREAS, the IURA has the need for occasional technical assistance in the development and implementation of its Community Development program and for other related activities, and WHEREAS, the IURA has used EastWest Planning and Development, Inc. for the consulting services since 1990, and WHEREAS, the original decision to contract with EastWest Planning and Development, Inc . was made following a request for proposals, and WHEREAS, EastWest Planning and Development, Inc . is now defunct and has split into two organizations of which the new corporation "H. Sicherman & Company, Inc . " will continue to offer the same services, with the same personnel, formally provided by EastWest Planning and Development, Inc. , and 2 Minutes IURA February 19, 1998 WHEREAS, the hourly remuneration for professional services has not changed from the 1997 Contract, therefore be it RESOLVED, that the IURA authorizes and directs the Mayor to sign such contract pending review by the City Attorney and the Executive Director of the IURA, and be it further RESOLVED, that this contract will become effective retroactively per January 1, 1998. Approved unanimously. IV-4 . Sublease of 245 Cherry St. /Perfect Screen Printers, Inc . The Agency approved the request to grant a sublease to J. Gould for his business "Perfect Screen Printers, Inc . " pending review by the City Attorney. The Mayor moved and Nelson seconded a resolution to approve Jonathan Gould' s Request to Grant a Sublease of 245 Cherry Street to J. Gould's Perfect Screen Printers, Inc . WHEREAS, the IURA executed a long-term lease agreement in 1995, modified in 1997, with Jonathan Gould to lease a 16, 790 square foot lot located at 245 Cherry Street in the Cherry Street Industrial Park for expansion and construction of operations of the lessee's business, Perfect Screen Printers, and WHEREAS, Jonathan Gould requests approval to assign all his right title and interest in the property to J. Gould' s Perfect Screen Printers, Inc . for the entire term of the lease, and WHEREAS, paragraph 10 of the lease agreement requires approval of the IURA for the lessee to assign the lease or any interest therein to any party, and WHEREAS, paragraph 5 of the lease agreement requires the addition of three (3 ) new, full-time employees to be hired at the site, and WHEREAS, the lessee reports that he has hired (3 ) new full-time employees, and WHEREAS, the proposed sublease agreement includes provisions for the sublessor, J. Gould' s Perfect Screen Printers, Inc . , to assume all responsibilities of Jonathan Gould under the lease and modification including but not limited to the increase in work force required by paragraph 5 of said leasehold agreement, 3 Minutes IURA February 19, 1998 THEREFORE, BE IT RESOLVED, that upon receipt of all lease payments in arrears with interest due, the IURA hereby approves the proposed sublease agreement dated 5/9/97 by and between J. Gould's Perfect Screen Printers, Inc . and Jonathan Gould with a subsequent addendum providing for a subordination of the sublease to any mortgage holder, subject to proof that a satisfactory sublease containing provisions for the sublessor to assume all obligations of the sublessee for job creation has been filed in the Tompkins County Clerk's Office, and HE IT FURTHER RESOLVED, that the Mayor, subject to review by the City Attorney and the Executive Director of the IURA, is authorized to sign any and all instruments necessary to grant approval for the proposed sublease. Approved unanimously. V. Housing and Infrastructure 1. Accepting Conveyance of 402 S Cayuga Street The Mayor moved and Rosario seconded a resolution to accept the conveyance of 402 South Cayuga Street from the City. WHEREAS, City ownership of the property would generate no property taxes and require on-going property maintenance, graffiti removal, and repair of other damage as necessary by the Department of Public Works or others, and WHEREAS, the interest of the City would be served by returning this property to tax roles and by its rehabilitation for housing or other permitted uses in a manner that benefits the surrounding neighborhood, and WHEREAS, at its February 4, 1998 meeting the Common Council authorized conveyance of the 402 S. Cayuga Street parcel to the Ithaca Urban Renewal Agency (IURA) for disposition of the parcel to a qualified sponsor for rehabilitation of the building in a timely manner for a use consistent with the Urban Renewal Plan, and WHEREAS, the Common Council specified that evaluation of such proposals include, but not be limited to, the purchase price, the impact of the proposed reuse of the parcel on the long-term stability of the surrounding neighborhood and the generation of property tax revenues to the City, and 4 Minutes IURA February 19, 1998 WHEREAS, any net proceeds from the sale of the parcel after expenses incurred by the IURA shall be returned to the City, THEREFORE, BE IT RESOLVED, that the IURA does hereby accept conveyance of the 402 S . Cayuga Street parcel from the City of Ithaca for disposition of the parcel for urban renewal purposes in accordance with the terms outlined above, and BE IT FURTHER RESOLVED, that the prospective sponsor' s qualifications and experience be included as a criterion in evaluating proposals for purchase of the 402 S . Cayuga parcel, and BE IT FURTHER RESOLVED, the Mayor is hereby authorized to sign any and all instruments necessary to accept conveyance of this property to the IURA and to solicit qualified sponsors for sale and rehabilitation of the building in a timely manner for a use consistent with the Urban Renewal Plan, pending review by the City Attorney and the Executive Director of the IURA, and BE IT FURTHER RESOLVED, that all responses from potential sponsors for purchasing and rehabilitating the property be brought back to the IURA for evaluation for selection of a preferred sponsor. The resolution was approved unanimously. V-2 . Purchase Agreement Domestic Shelter Property Bohn explained why the domestic violence shelter had to move to another location. Year #2 of the 1996 CDBG award includes funding for the purchase of a new home for the program. The purchase costs for the proposed site do not exceed the available funding. The Mayor moved and Preston seconded a resolution approving the purchase agreement for the domestic violence shelter property. WHEREAS, on December 9, 1997 the City of Ithaca was informed it has received approval for the second increment of the Small Cities CDBG three-year application in the amount of $1, 900, 000, and WHEREAS, the second year increment includes $100, 000 for the purchase and renovation of a house to be owned by the IURA and licensed to the Tompkins County Task Force for Battered Women (the Task Force) for use as temporary housing for women and families seeking shelter from domestic violence, and 5 Minutes IURA February 19, 1998 WHEREAS, ownership of the shelter by the IURA may contribute to keeping the property's location confidential, since public records will not list the Task Force as the owner, and WHEREAS, the Task Force has identified a particular property as appropriate for use as a domestic violence shelter, and WHEREAS, the Task Force, working in conjunction with a local realtor, recommends making a purchase offer of $83 , 000 on this property for use as a shelter, and WHEREAS, a summary appraisal of the proposed shelter property prepared by David Long Appraisal Co. , Inc . concluded the market value of the property as of August 15, 1997 was $84, 000, and WHEREAS, the Tompkins County Task Force for Battered Women has signed a letter of intent to enter into a 5-year, renewable license with the IURA to operate the new proposed domestic violence shelter, THEREFORE, BE IT RESOLVED, that the IURA hereby authorizes the submission of a purchase offer of $83 , 000 to purchase the parcel selected by the Task Force for use as a new domestic violence shelter, and BE IT FURTHER RESOLVED, that the Mayor is authorized to sign any and all instruments necessary to submit a purchase offer and accept conveyance of the property, upon satisfactory review by the City Attorney and the Executive Director of the IURA. The resolution was approved unanimously. V-3 . Buffalo Street Parking Lot A report will be made at the next meeting. VI. Budget and Administration 1. Financial Statements 11/97, 12/97 and 1/98 The financial statements dated 11/97, 12/97 and 1/98, were distributed and entered into the minutes. VI-2 . 1998 COLA Staff Salaries - Executive Session Action taken: The Agency unanimously approved a resolution to grant a cost of living allowance to community development staff for 1998 . 6 Minutes IURA February 19, 1998 WHEREAS, the Ithaca Urban Renewal Agency has in the past provided cost of living increases to the community development staff at comparable levels to that of the City employees, and WHEREAS, the 1998 City budget provides for a two and a half percent (2 1/2 %) COLA for senior staff, and WHEREAS, the 1998 City contract provides for a three percent (3%) COLA for C. S .E.A. administrative personnel, now BE IT RESOLVED, that the B&A Committee recommends to the IURA to authorize COLA' s to the Community Development staff following the City' s COLA administration, effective January 1, 1998 . VII. Other Business 1 . Next meeting Agency members requested to keep the IURA meetings on a monthly schedule for a few more months. Members felt that more time was needed to get up to speed on the many issues before them. Committee meetings will continue to be held at a bimonthly schedule. The Agency agreed to meet next on March 5, 1998 at 11 :30 AM. VII-2 . Appointments to Committees The Mayor announced that he had appointed Barbara Abrams to the IURA's ED committee VIII. New Business 1. INHS presentation Paul Mazzarella from INHS gave a presentation on INHS' Towerview Apartments, INNS' Strategic Plan and the leasing policy for the Henry St. John Building. VIII-la. Towerview Apartments The Towerview Apartments project was financed through loans from M&T Bank and INHS/IURA, in this order. The INHS/IURA loan was financed through the 1990 CDBG application. No payments have been made for the last 22 months. The developer no longer wants to own the building. If the loan defaults there is no legally enforceable way to keep the rents affordable. 7 Minutes IURA February 19, 1998 INHS is seeking a way to assume ownership in order to keep the apartments available for low and moderate income persons . This will require a complete restructuring of the financing. INHS is asking to have payments for the CDBG funded loan forgiven. It is further seeking a waiver for the $76, 000 prepayment penalty on the M&T loan. The Mayor agreed to write a letter supporting this request. By consensus, the Agency expressed approval for the proposal by Paul Mazzarella and recommended that INHS move forward with the project and begin preparing the necessary legal documents . VIII-lb. INHS' Strategic Plan A summary of INHS' Strategic Plan was distributed and discussed. A copy of the full Plan will be distributed a the next meeting. The Mayor asked Mazarrella to come before Common Council to talk about the Plan. The Mayor will notify Mazarella on the date and the most suitable Committee for this presentation. VIII-lc . Henry St John Building The renovation of the Henry St John building was funded through a UDAG. The original UDAG application indicated that the basement level would be rented for non-profit organization offices. The Legal agreement with HUD only references "office use" for the basement level. The UDAG program has since been phased out. Mazzarella is requesting approval for leasing up to 50% of Henry St John's basement office space to for-profit organizations to keep the basement space fully rented. The Agency concluded that the request, if limited to business and professional office uses, would be consistent with the HUD Legal Agreement and acceptable to the Agency. Therefore the consensus of the Agency was to approve the request as modified. VIII-2 . Community Policing Support Program Staff from the Ithaca Police Department (IPD) , Chief Basile and Officer Kathy Torres, gave a presentation on the pilot project of the Neighborhood Policing Unit called "Mounted Policing in Ithaca, New York" . The IPD is seeking continued funding through the Southside Neighborhood Policing Support Program funds from the 1996 Year #1 CDBG award. The IPD staff answered numerous questions from the Agency. 8 Minutes IURA February 19, 1998 The Mayor moved and Rosario seconded a resolution to approve temporary funding through March 1998, for the pilot project of the Neighborhood Policing Unit called "Mounted Policing in Ithaca, New York" . WHEREAS, the Ithaca Police Department (IPD) is conducting a pilot project of the Neighborhood Policing Unit called "Mounted Policing in Ithaca, New York" , which includes the stabling of one police horse, and WHEREAS, the IPD is presently seeking funding for this project, and WHEREAS, this project is part of the IPD's Neighborhood Policing Unit program, and WHEREAS, the IURA is funding a number of neighborhood policing programs with CDBG funds, now be it RESOLVED, that the IURA will fund the stabling of one police horse for the period of January 1998 through March of 1998 at a price not to exceed $250 .00 per month, and BE IT FURTHER RESOLVED, that, if the IPD is unsuccessful in securing funding by June, 1998, the IURA agrees to fund the cost of stabling one police horse for the period of April 1998 through June 1998 at a price not to exceed $250.00 per month. Approved unanimously. VIII-3 . Resolutions of Appreciation for Bill Myers and Pam Mackesey Rosario and Preston approved the resolution of appreciation for former IURA member Bill Myers . WHEREAS, Bill Myers was appointed to the Ithaca Urban Renewal Agency by Mayor Ben Nichols on July 1, 1993 and duly sworn in by the City Clerk, and WHEREAS, Bill Myers has been a dedicated member of the IURA, has served as Chair of the Economic Development Committee and has freely shared his expertise on lending and finances, and WHEREAS, Bill Myers' appointment ended on January 7, 1998, and WHEREAS, the IURA will miss Bill for his commitment to economic development with particular attention to micro enterprises, and 9 Minutes IURA February 19, 1998 WHEREAS, the IURA wishes to acknowledge especially Bill's sensitivity towards the role of young people in business, now 'THEREFORE BE IT RESOLVED, that the Ithaca Urban Renewal Agency thanks Bill Myers and expresses its deep appreciation for his years of service as a member of the Agency and wishes him well in all his future endeavors . Approved unanimously. Rosario and Preston approved the resolution of appreciation for former IURA member Pam Mackesey. WHEREAS, Pam Mackesey was appointed to the Ithaca Urban Renewal Agency by Mayor Ben Nichols on July 1, 1994 and duly sworn in by the City Clerk, and WHEREAS, Pam Mackesey has been a dedicated member of the IURA and has served on its Community Advisory Committee, Economic Development Committee and several Search Committees for IURA Staff, and WHEREAS, Pam Mackesey's appointment ended on January 7, 1998, and WHEREAS, the IURA will miss Pam for her commitment to the quality of life for all citizens of Ithaca and the neighborhoods they live in, and WHEREAS, the IURA wishes to acknowledge especially Pam sensitivity towards the role of young people in business, her good working relationship with the IURA's staff, and her cheerful accommodation to the perpetual changes in meeting schedules, now THEREFORE BE IT RESOLVED, that the Ithaca Urban Renewal Agency thanks Pam Mackesey and expresses its deep appreciation for her years of service as a member of the Agency and wishes her well in all her future endeavors . Approved unanimously. IX. Adjournment The meeting was adjourned at 1:35 PM. (H\Win\W\Min98feb.DOC) irettwe-6 3l�l�g 10 )O MINUTES ITHACA URBAN RENEWAL AGENCY MEETING Thursday, March 5, 1998, 11:30 AM Third Floor Conference Room, City Hall Present: Mayor Alan Cohen, Eric Rosario, Martha Preston, Susan Cummings for Items IV-2 through IX, Paul Mazzarella, Executive Director of INNS, for Items VI-1 and VI-2, Matthys Van Cort, Katharine Clute, Nels Bohn, Wies van Leuken I. Call to order The meeting was called to order by the Chair Alan Cohen at 11:30 AM. II. Approval of Minutes of February 19, 1998 IURA Meeting Preston moved and Rosario seconded a resolution to approve the minutes. RESOLVED, that the IURA approved as distributed the minutes of the IURA meeting of February 19, 1998. - Approved unanimously. III . Staff Reports No reports IV. Economic Development 1 . Loans to Restaurant and Bars The Mayor stated that this item should be discussed w ' ch all Agency members in attendance are present. Agency members agreed. IV-2 . Carpenter Business Park The 1/1/98 appraisal of Carpenter Business Park was distributed and discussed. The appraisal confirms that the site is worth much more if sold for retail than for light industry. The Mayor stated that there is no consensus on Common Council to include the Community Garden site in the sales package . Bohn Minutes IURA March 5, 1998 explained that some parcels were owned by the City and some were owned by the IURA. Council will turnover to the IURA any parcels to which it holds title so that the IURA can sell the site as one unit. The ARC and other funds invested in the site could be rolled over to be used in the expansion of Cherry Street Industrial Park - a use compatible to the use it would have had, if Carpenter Business Park had been leased. A revised cost/benefit analysis is being drafted and will be brought to the Agency for their review. V. Housing and Infrastructure 1 . INHS/ Towerview Apartments Paul Mazzarella had brought a proposal for Towerview Apartments to the 2/19/98 meeting. He summarized the discussion of that meeting. INHS is seeking a way to assume ownership of Towerview in order to keep the apartments available for low and moderate income persons . This will require a complete restructuring of the financing. INHS is asking to have payments for the CDBG funded loan forgiven. It is further seeking a waiver for the $76, 000 prepayment penalty on the M&T loan. The Mayor is writing a letter in support of this request. Mazzarella stated that IURA's executive director Matthys Van Cort had excused himself from all discussions on Towerview Apartments during INHS Board meetings to avoid the appearance of a conflict of interest. The Mayor moved and Preston seconded a resolution to approve the INNS Restructuring Plan for Towerview Apartments WHEREAS, Towerview Apartments is a privately owned 24-unit apartment building located on Floral Avenue that was built by Polygon Associates in 1991, and WHEREAS, the project was financed with a $500, 000 first mortgage from Citizens Savings Bank (now M&T Bank) and a $410, 000 second mortgage from INHS using Small Cities CDBG funds awarded to the City of Ithaca, with a condition that 13 of the 24 units be rented to low- and moderate-income persons for a period of 15 years, and 2 Minutes IURA March 5, 1998 WHEREAS, the project has experienced high vacancy rates with rental incomes not supporting operating expenses, including routine maintenance, and WHEREAS, the INHS loan to Polygon Associates has been chronically delinquent and is currently 22 months behind, and WHEREAS, Polygon Associates has asked either M&T Bank or INHS to accept a deed in lieu of foreclosure, and M&T declined the offer, and WHEREAS, if M&T Bank forecloses on its loan, the INHS loan, which is .in second position, will be wiped out, and the IURA will lose its ability to ensure the project continues to provide affordable housing, and WHEREAS, if INHS accepts the deed for Towerview in lieu of foreclosure, INHS will write off all, or a portion of, the second mortgage made available through City of Ithaca Small Cities CDBG funds . WHEREAS, the INHS Board of Directors has decided to accept the deed for Towerview Apartments and discharge the obligations of the partners in Polygon Associates subject to certain conditions, and WHEREAS, one of the conditions of INHS acceptance of the deed is that the IURA accept the proposed restructuring of the Towerview Apartments and inform HUD of changes as necessary, therefore BE IT RESOLVED, that subject to review of the formal proposal by the IURA Chairperson, Community Development Administrator and the City Attorney, the IURA approves the INHS plan to restructure the Towerview Apartment project as generally described in their February 3 , 1998 letter, which includes a commitment by INHS to fulfill CDBG conditions by renting at least 13 of the 24 units at Fair Market rents as defined by the Department of Housing and Urban Development, for the remainder of the regulatory period, subject to review and agreement by the IURA Chairperson on the amount of the City-funded second mortgage necessary to be forgiven to make the project viable, and BE IT FURTHER RESOLVED, that the Mayor be requested to write a letter seeking M&T Bank to waive any fees or prepayment penalty associated with INHS assuming the first mortgage from M&T Bank and refinancing the project . Approved unanimously. 3 Minutes IURA March 5, 1998 V-2 . INHS/Leasing Policy Henry St John Building The Mayor and Mazzarella gave a summary of the discussion at the last meeting. They confirmed that none of the basement space would be leased to retail businesses. The Mayor moved and Rosario seconded a resolution to approve the change in Ithaca Neighborhood Housing Services (INHS) ' leasing policy of the Henry St John Building. WHEREAS, the renovation of the Henry St John building was funded through a Urban Development Action Grant (UDAG) , and WHEREAS, the original UDAG application indicated that the basement level would be rented for non-profit organization offices, and WHEREAS, the UDAG program has since been phased out, and WHEREAS, the remaining legally binding document is the contract agreement with HUD, which only references "office use" for the basement level, and WHEREAS, INHS is requesting approval to lease up to 50% of Henry St John's basement office space to for-profit organizations, and WHEREAS, INNS will limit the eligible for-profit tenants to business or professional offices, now THEREFORE, HE IT RESOLVED, that the IURA hereby approves the INHS request to change the leasing policy for the basement level of the Henry St John Building, pending the settlement of any legal issues that might arise out of this change in use of the building. HE IT FURTHER RESOLVED, that the Mayor is directed and authorized to sign any and all instruments necessary, upon satisfactory review by the City Attorney and the Executive Director of the IURA. Approved unanimously. V-3 . Community Policing Support Program The Agency continued its discussion on the Community Policing Support Program At the last meeting, staff from the Ithaca Police Department (IPD) , Chief Basile and Officer Kathy Torres, had given a presentation on 4 !, r Minutes IURA March 5, 1998 the pilot project of the Neighborhood Policing Unit called "Mounted Policing in Ithaca, New York" . The IPD is seeking continued funding through the Southside Neighborhood Policing Support Program funds from the 1996 Year #1 CDBG award. HUD has approved funding of equestrian programs in other communities. A resolution was passed which allowed for temporary support of the project. (stabling of one police horse for the period of January 1998 through March of 1998 at a price not to exceed $250 .00 per month, and if the IPD is unsuccessful in securing funding by June, 1998, the cost of stabling one police horse for the period of April 1998 through June 1998 at a price not to exceed $250.00 per month) . The decision to continue the program is with Common Council and will be reviewed next by the Community Issues Committee. Cummings expressed great concern about the project. She requested that Clute recheck its eligibility by HUD standards. She was also concerned about communication between staff and Agency members . The Mayor stated that Clute had acted appropriately, and it was not the desire of the Agency to micro-manage. He further clarified that the January IURA meeting had been canceled at his request. Cummings agreed that communication had been impeded by a 2 month gap in IURA meetings. The issue was referred to the B&A Committee. V-4 . Buffalo Street Parking Lot Bohn reported that the Buffalo Street parking lot is now owned by the City of Ithaca. Common Council will be notified a their next meeting. V-5 . Domestic Shelter Property Bohn reported that the domestic violence shelter is postponing any action on buying their new site, pending the resolution of certain security concerns . If these issues can not be resolved, a new search for a site will become necessary. VI . Budget and Administration No reports 5 5- Minutes IURA March 5, 1998 VII. Other Business 1. Next meetings It was agreed that the next EDC meeting will be on Thursday, March 26 at 4PM; the next B&A meeting will be on March 20 at 12 :30 PM and the next IURA meeting will be on Thursday, April 9, 1998 at 11:30 AM. VIII. New Business 1. Pal's Sports Center, Inc. Bohn reported that Pal's Sports Center, Inc. will close its doors. The business will continue its loan payments. Some part of the business will be kept open but probably not at the present site. VIII-2 . Low/Moderate Income limits for 1998 HUD's Low and Moderate Income limits for 1998 were distributed. VIII-3 . Conflict of Interest This issue was referred to the B&A committee for review and recommendations. VIII-4 . Personnel - Executive Session Action taken: None IX. Adjournment The meeting was adjourned at 1:00 PM. (H\Win\W\Min98mar.DOC) ).0.k 6 I 1 6(i& ( eitk MINUTES ITHACA URBAN RENEWAL AGENCY MEETING Thursday, April 9, 1998, 11:30 AM Third Floor Conference Room, City Hall Present: Mayor Alan Cohen, Eric Rosario, Martha Preston, Susan Cummings, Brad Nelson, Steve Ehrhardt for Item IV-4, Matthys Van Cort, Katharine Clute, Nels Bohn, Wies van Leuken, Willemijn van Lammeren I. Call to order The meeting was called to order by the Chair Alan Cohen at 11:35 AM. II. Approval of Minutes-IURA Meeting March 5, 1998 Preston moved and Rosario seconded a resolution to approve the minutes. RESOLVED, that the IURA approved as distributed the minutes of the IURA meeting of March 5, 1998, pending correction of a typographical error. Approved unanimously. III . Staff Reports Clute reported that the 1997 Performance Assessment Report had been filed with the HUD Buffalo office. The Application for funds for the Third Year Award for the 1996 CDBG Application was mailed to the HUD Buffalo Office on April 2, 1998 . IV. Economic Development 1 . Loans to Restaurant and Bars Cohen moved and Nelson seconded a resolution to clarify the CD- RLF Policy on Lending to Restaurants, Nightclubs, Bars, Liquor Stores, Adult Entertainment Establishments and Similar Businesses . WHEREAS, the Ithaca Urban Renewal Agency (IURA) has established the "Community Development Revolving Loan Fund" (CD-RLF) to be used for direct lending to businesses, including micro- enterprises, and Minutes IURA April 9, 1998 WHEREAS, such lending is intended to create or retain jobs or provide business opportunities for entrepreneurs to start new businesses in Ithaca, and WHEREAS, it is the current policy of the IURA not to make loans using Community Development Block Grants (CDBG) funds, including funds from the CD-RLF, for restaurant, nightclubs, bars, liquor stores and similar businesses because of the relatively high business risk of such businesses, and WHEREAS, an exception to the above prohibition was made for the "Waterfront Entertainment District, " defined as the shoreline and adjacent areas of Inlet Island, the Cayuga Inlet, and the Cayuga Lake shore within the City, for the purposes of implementing the Canal Corridor Initiative and revitalizing Ithaca' s commercial waterfront area, and WHEREAS, in response to a loan application for a nightclub use, the IURA sought research on the policies of other communities regarding lending to restaurants, bars, nightclubs and similar businesses, and WHEREAS, of the seven communities contacted, three communities do not currently lend to restaurants and five of the communities have experienced at least one default on a loan to a restaurant, and WHEREAS, the current policy of several conventional lenders in the area is to not make loans to restaurants without a U.S . Department of Commerce, Small Business Administration (SBA) loan guarantee due to the riskiness of such loans, and WHEREAS, such research raised additional questions about whether loans should continue to be prohibited to nightclubs, bars, liquor stores and adult entertainment establishments as they have some characteristics that differentiate them from a restaurant use and whether exceptions to loan prohibitions should be made for businesses located in the downtown Business Improvement District (BID) or to women- and/or minority-owned businesses, and WHEREAS, the economic development committee discussed the above issues and concluded that loans to high risk business categories should be prohibited, therefore BE IT RESOLVED, that because of the relatively high business risks of such businesses, the IURA confirms its current policy not to make loans from the Community Development Revolving Loan Fund (CD-RLF) for restaurants, nightclubs, bars and adult entertainment establishments and similar businesses, except within the Waterfront Entertainment District, and BE IT FURTHER RESOLVED, that the Agency may grant exceptions to this policy specifically for, and only for, women- and/or minority-owned businesses, and BE IT FURTHER RESOLVED, that the City Attorney will review the legality of this affirmative action initiative and the agency 2 Minutes IURA April 9, 1998 will develop clear underwriting guidelines for these loans before any are considered, and BE IT FURTHER RESOLVED, that liquor stores be considered a type of retail store eligible for loans from the CD-RLF . The Agency discussed this resolution to determine whether loans to women and minority owned businesses should be exempt from the "no loans to restaurants and bars" rule. No consensus was reached. Cohen moved and Rosario moved to amend the resolution on the floor with the following wording. WHEREAS, the IURA generally does not accept loan applications for restaurants and bars, and WHEREAS, the IURA is desirous to promote minority and women owned small business, and There was no support for this amendment. Cohen moved and Rosario seconded a resolution to withdraw the amendment. RESOLVED, that the amendment to the resolution on the floor has been withdrawn. Approved unanimously. The Agency decided by majority vote to table the resolution on the floor. RESOLVED, that the resolution on Bars and Restaurants, which was discussed at today's meeting will be tabled, pending review by the Economic Development Committee and the drafting of two resolutions, one which refers to the entertainment district created for the Canal Corridor Initiative application in 1997 and one serving as a companion resolution referring to affirmative action rules for loan applications by women and minority owned business owners . Approved with three votes in favor and two abstentions . IV-2 . Carpenter Business Park a. Acceptance of Surplus Land from the City-Resolution Cohen moved and Rosario seconded a resolution to accept conveyance of Certain Parcels in the Carpenter Business Park from the City of Ithaca to the IURA for Disposition. 3 Minutes IURA April 9, 1998 WHEREAS, the 10 . 8 acre Carpenter Business Park located on Third Street with frontage along N. Meadow Street was completed in 1990, and WHEREAS, the City owns four parcels totaling 4 . 94 acres of land and the Ithaca Urban Renewal Agency (IURA) owns the remaining three parcels totaling 5 . 86 acres of land in the Carpenter Business Park, and WHEREAS, the IURA has actively marketed the lots for lease and sale for light manufacturing industrial uses with a job creation goal of 17 jobs per acre since 1990, and WHEREAS, the IURA has been unsuccessful in securing satisfactory tenants and Carpenter Business Park has remained vacant since its completion in 1990 with the exception of the community gardens located on the 2 .25-acre parcel #36-1-3 .4, and WHEREAS, besides the community garden parcel, the City owns four other land parcels totaling approximately 2 .7 acres in size (#36- 1-2, #36-1-3 .3 , #36-1-3 .5 and #36-1-3 .6) , and WHEREAS, a 1998 appraisal of Carpenter Business Park, excluding the community gardens parcel, establishes the fair market value at $1, 364, 000, and WHEREAS, at its April 2, 1998 meeting the Common Council declared all City-owned parcels in Carpenter Business Park, except those leased to Project Growing Hope, Inc. used for community gardens, as surplus property, and WHEREAS, at its April 2, 1998 meeting the Common Council authorized conveyance of these surplus parcels to the Ithaca Urban Renewal Agency for disposition for no less than fair market value, subject to the following conditions: A. property must not be used for an adult entertainment establishment use, B. property must not be used for a warehousing or storage as a primary use for a period of 10 years from the date of conveyance from the IURA, C. retention of access and utility easements to parcel #36-1-3 . 4, currently used for community gardens, and utility easements for any other public utilities located on the property, D. any net proceeds from the sale of the parcels after expenses incurred by the IURA shall be returned to the City, therefore, and WHEREAS, the Common Council further resolved that should the Board of Public Works (BPW) abandon the Carpenter Circle cul-de- sac, the street property will be conveyed separately at a later date, and if it is not abandoned by BPW, Carpenter Circle shall not be considered surplus property and will therefore not be conveyed, and WHEREAS, the Common Council further resolved that the IURA consider various options for disposition to optimize development 4 Minutes IURA April 9, 1998 potential and purchase price of Carpenter Business Park including, but not limited to, selling all parcels to a single developer or offering individual parcels to a variety of purchasers, now, therefore, be it RESOLVED, that the IURA does hereby accept conveyance of the City-owned surplus parcels in the Carpenter Business Park for disposition to carry out the purposes of the urban renewal program and in accordance with the Urban Renewal Plan, and, be it further RESOLVED, that the Chairperson of the IURA, upon review by the IURA Attorney, is hereby authorized to sign any and all instruments necessary to accept conveyance of this property to the Ithaca Urban Renewal Agency. Approved Unanimously. IV-2b. Disposition of IURA holdings-Referral to Committee The Community Garden site will not be included in the sales package. Bohn explained that some parcels in CBP are owned by the City and some are owned by the IURA. Council will turn over to the IURA any parcels to which it holds title so that the IURA can sell the site as one unit. The matter was referred to the ED Committee. IV-3 . Request Gould d/b/a Perfect Screen Printers Rosario moved and Nelson seconded a resolution to modify the lease agreement between IURA and Jonathan Gould to extend the lease term at 245 Cherry Street in the Cherry St. Industrial Park WHEREAS, the Ithaca Urban Renewal Agency (IURA) has previously entered into a Lease Agreement with Jonathan Gould for property located at 245 Cherry Street, also known as "Parcel A, " in the Cherry Street Industrial Park, and WHEREAS, the Lease Agreement is dated November 8, 1995 and a Modification to Lease Agreement is dated April 18, 1997, and WHEREAS, the Lessee has constructed a building on said premises where J. Gould Perfect Screen Printers, Inc . operates, and WHEREAS, the Lessee is desirous of modifying the lease to accommodate permanent financing of the project by extending the term of the lease one additional year to twenty-three (23 ) years, and WHEREAS, in all other respects the Lease Agreement shall remain unmodified, now, therefore, be it RESOLVED, that the IURA approves the request for modification, as attached to the resolution, of the Lease Agreement between the IURA and Jonathan Gould for 245 Cherry Street, also known as 5 Minutes IURA April 9, 1998 "Parcel A, " in the Cherry Street Industrial Park, and, be it further RESOLVED, that the Chairperson of the IURA, upon review by the IURA Attorney and the Executive Director, is authorized to sign any and all instruments necessary to execute the Modification to Lease Agreement. Approved unanimously. IV-4 . 402 South Cayuga Street Steve Ehrhardt, vice-chair of the Board of Public Works was introduced to the meeting. He thanked the IURA for putting him on today' s Agenda on very short notice. He explained that the City is reviewing traffic problems in the South Cayuga Street area and that the site might better suit the needs of the neighborhood when used as a parking lot . Ehrhardt distributed documentation to support the request. The Agency agreed to wait for Common Council to resolve this matter at their May meeting. Cohen moved and Cummings seconded a resolution to table the draft resolution as written below. RESOLVED, that the attached draft resolution was tabled pending resolution by Common Council of the new proposal for the 402 South Cayuga site. Attached Resolution regarding the "Authorizing Solicitation of Proposals for the Disposition of the 402 S. Cayuga Street" WHEREAS, at its February 19, 1998 meeting the IURA accepted the conveyance of the 402 S. Cayuga Street parcel from the City of Ithaca for disposition to a qualified sponsor for rehabilitation for a use consistent with the Urban Renewal Plan, and WHEREAS, the Common Council specified that evaluation of proposals shall at a minimum consider the following criteria: purchase price, the impact of the proposed reuse of the parcel on the long-term stability of the surrounding neighborhood, the generation of property tax revenues to the City, and WHEREAS, the IURA resolved to include the prospective sponsor' s qualifications and experience as a criterion in evaluating proposals, and WHEREAS, a "Sponsor Information Packet" has been prepared that includes the sponsor selection timetable, the criteria used for selection of a qualified sponsor, the proposal deadline and other relevant information, and 6 Minutes IURA April 9, 1998 WHEREAS, the IURA Economic Development Committee reviewed the "Sponsor Information Packet" at their March 26, 1998 meeting and recommended no substantive changes, and WHEREAS, the IURA Attorney reviewed the "Sponsor Information Packet" and found it consistent with State and Local law and IURA disposition procedures, now, therefore, be it RESOLVED, that the IURA authorizes the solicitation of proposals from prospective sponsors for purchase and rehabilitation of 402 S. Cayuga Street in accordance with the "Sponsor Information Packet" , and be it further RESOLVED, that the IURA Economic Development Committee review proposals received and recommend a preferred sponsor to the IURA Approved unanimously. ' IV-5 . Community Development Revolving Loan Fund Loan Application by Amy & Brian O'Donnell d/b/a A&B Awards & Engraving Bohn stated that the EDC had reviewed the loan request by Amy & Brian O'Donnell d/b/a A&B Awards & Engraving and was recommending approval by the IURA under certain conditions. The EDC wanted the remaining principle amount be secured through other funding sources, and that O'Donnell's personal financial budget would be reviewed to see if the debt service payments of a blended-rate $26, 000 loan could be supported by their current income after considering all other personal obligations . Bohn reported that this review had taken place and that it showed that the O'Donnell' s net income is adequate to support the debt service payments . The Agency asked that the agreement would also include a restriction stating that approval would be contingent on the owners securing a commercial lease within the City of Ithaca. Cohen moved and Preston seconded a resolution to approve the loan application by Brian & Amy O'Donnell d/b/a A & B Awards and Engraving. WHEREAS, Brian & Amy O'Donnell have applied for a loan of $26, 000 and submitted a business plan to start the "A & B Awards and Engraving" business in the City of Ithaca, and WHEREAS, the proposed business will create one part-time job immediately for a low- or moderate-income person, and WHEREAS, loan requests to two area financial institutions have been declined, and WHEREAS, Brian & Amy O'Donnell appeared before the IURA Economic Development Committee and answered questions at their March 26, 1998 meeting, and 7 Minutes IURA April 9, 1998 WHEREAS, following a credit analysis, the Economic Development Committee concluded that partial financing of the business was justified subject to the following conditions : A. the remaining principle amount be secured through other funding sources, and B. provided an analysis of the O'Donnell's personal financial budget shows they can support the corresponding debt service payments of a blended-rate $26, 000 loan from their current income after considering all other personal obligations, and WHEREAS, a subsequent analysis of current personal monthly income and expenses shows the O'Donnell's net income after regular expenses is adequate to support debt service payments of a blended-rate $26, 000 loan, now, therefore, be it RESOLVED, that the IURA accepts the recommendation of the IURA Economic Development Committee and approves a loan to Brian & Amy \ O'Donnell d/b/a "A & B Awards and Engraving" in the amount of $16, 000 at 7 . 5% interest to be paid off over 120 months in equal monthly installments of $189 .92 subject to the following condition: A. securing a firm commitment from another funding source for the remaining $10, 000 principle amount, and be it further B. provided that the owners secure a commercial lease within the City of Ithaca. RESOLVED, that, upon review by the IURA Attorney and IURA Executive Director, the Chairperson of the IURA is authorized to sign a loan agreement subject to the above terms, upon submission of satisfactory binding pledges of collateral and security from the applicant and proof of a commercial lease within the City of Ithaca. Approved unanimously. V. Housing and Infrastructure 1. Domestic Shelter Property Bohn reported that the domestic violence shelter is moving ahead with the purchase of their new building. Previous security concerns have been addressed. The purchase agreement is presently being reviewed by the City Attorney. V-2 . Executive Session The Agency passed a resolution to move into Executive Session to discuss a confidential matter. After discussion of the matter the Agency passed a resolution to move out of Executive Session Action taken: 8 Minutes IURA April 9, 1998 None VI. Budget and Administration 1. Conflict of Interest The B&A Committee did not meet to review this item. The IURA is asked to approve the request for a waiver at this meeting. Cummings moved and Rosario seconded a request to HUD for a Waiver of Conflict of Interest Regulations for Aaron & Stephanie Lovett . WHEREAS, the Ithaca Neighborhood Housing Services (INHS) has requested the City of Ithaca to assist in seeking HUD's approval of an exception to the conflict of interest regulations (24 CFR 570 . 611) governing the use of Small Cities Community Development Block Grant (CDBG) funds, WHEREAS, requests for waivers of the conflict of interest regulations will be considered by HUD on a case by case basis, providing the request is discussed in an open meeting of the relevant governing body, and also the municipal attorney certifies that no state or local law would be infringed by the granting of a waiver in the subject case, and WHEREAS, the City of Ithaca contracts with the IURA to administer Small Cities CDBG grant received by the City, and WHEREAS, INHS operates a housing purchase/rehabilitation/sale program, called House Recycling, where all rehabilitated properties are sold to low- or moderate-income first-time homebuyers with CDBG financial assistance, and WHEREAS, Aaron and Stephanie Lovett, who qualify as low- & moderate-income, first time homebuyers, have submitted a purchase offer for a House Recycling project located at 316 Center Street, Ithaca, NY, and WHEREAS, Stephanie Lovett is the daughter of Alvin Nelson, a Rehabilitation Specialist employed by INHS, and WHEREAS, Alvin Nelson, the INHS staff member who is related to the proposed buyer, plays no role in the decision-making process regarding the approval of the loans or the acceptance of a purchase offer as only the INHS Loan Committee has the authority to approve loans and only the INHS Board of Directors has the authority to approve the sale of property, and WHEREAS, Aaron and Stephanie Lovett, as low- or moderate-income persons are a member of a group intended to be the beneficiaries of home ownership assistance through the House Recycling program and the exception will permit them to receive generally the same opportunities made available to other eligible low- or moderate- income person interested in first-time home ownership, and 9 Minutes IURA April 9, 1998 WHEREAS, the property was marketed to the public in the same manner as all other INHS House Recycling projects, and WHEREAS, the purchase price for 316 Center Street was established in accordance with INHS policies and the purchase offer falls within the established price range, and WHEREAS, after full disclosure of the potential conflict of interest, the INHS Loan Committee and the INHS Board of Directors approved the sale of the 316 Center Street property to Aaron and Stephanie Lovett subject to approval of a conflict of interest exception issued by HUD, now, therefore, be it, RESOLVED, that having discussed the matter in an open meeting, the IURA authorizes the IURA Chairperson, upon review by the City Attorney, to submit the formal request to HUD for an exception to the conflict of interest provisions under 24 CFR 570 . 611 (d) to allow Aaron and Stephanie Lovett to participate in the INHS House \ Recycling program that uses CDBG funds to make below market rate home purchase loans, subject to certification by the City Attorney that no state or local law would be infringed by the granting of a waiver in the subject case. Approved unanimously. VII. Other Business 1. Next meeting The next IURA meeting was scheduled to take place on Thursday, May 21, 1998 at 11:30 AM; the next B&A meeting will take place on May 14 11:00 AM and the next EDC meeting will take place on Thursday, April 9, 1998 at 4:00 PM. VIII. New Business 1. Request by NYSEG NYSEG has asked for permission to store equipment on the CBP site. The IURA made approval of the request contingent upon the establishment of a good working relation ship between NYSEG and the City. Rosario moved and Cohen seconded a resolution to negotiate and sign a contract with NYSEG for temporary use of the Carpenter Business Park for construction staging. WHEREAS, NYSEG wishes to occupy space in Carpenter Business Park (CBP) in order to facilitate construction activities related to Cornell's Lake Source Cooling Project, and 10 Minutes IURA April 9, 1998 WHEREAS, the IURA has allowed similar occupancy by the City's Water and Sewer Division for a similar purpose and recognizes the cooperative nature of these efforts, and the benefits to the City' s utility users, and WHEREAS, NYSEG will occupy Lot #4, a 2 .6 acre area at the end of the Park, a copy of which is attached, and WHEREAS, NYSEG's occupancy will consist of staging construction materials and construction equipment necessary to support their work, and WHEREAS, NYSEG agrees to maintain their site in an orderly fashion consistent with their company image and the site's direct exposure to NYS Route 13 traffic and such site maintenance shall also include dust control to eliminate air quality problems and other steps necessary to keep mud and other material from being tracked into City streets, and WHEREAS, NYSEG shall defend and indemnify and hold the IURA harmless from any claims against the IURA arising from NYSEG's actions or occupancy related to the site and NYSEG shall maintain liability and other insurance appropriate for this work, and WHEREAS, NYSEG agrees to return the site to the IURA in as good or in better condition than at the time of original occupancy, which includes, but is not limited to, the removal of all imported materials, as well as the restoration and re- establishment of the site's grade and vegetation, with any disturbed, removed, or relocated items restored and the expenses related to this, such as topsoil, seed, mulch or watering necessary to restore the site, being costs to the leaseholder, and WHEREAS, NYSEG recognizes the occupancy of the Community Gardens in CBP and will work with the IURA to keep any impact on them to the minimum, consistent with their occupancy, and WHEREAS, the lease shall be effective for one year from the date of this agreement, or until canceled by either party with thirty (30) days written notice, at a cost of one dollar, therefore be it RESOLVED, that the IURA approves and authorizes the Chairman of the IURA to enter into a contract with NYSEG for this purpose, pending establishment by NYSEG of a cooperative working relationship with the City and pending review by the City Attorney and the Executive Director. Approved unanimously. IX. Adjournment The meeting was adjourned at 12 :50 PM. (H\Win\W\Min98apr.DOC) 11 afffirVed,.5/it/9A /URA "'U"`? MINUTES ITHACA URBAN RENEWAL AGENCY MEETING Thursday, May 21, 1998, 11:30 AM Third Floor Conference Room, City Hall Present: Mayor Alan Cohen, Martha Preston, Susan Cummings, Brad Nelson, Matthys Van Cort for Items I through IV, Katharine Clute, Nels Bohn, Wies van Leuken, Bill Myers for Item VI, Willemijn van Lammeren. I. Call to order The meeting was called to order by the Chair Alan Cohen at 11:35 AM. II. Approval of Minutes of April 9, 1998 IURA Meeting Nelson moved and Preston seconded a resolution to approve the minutes. RESOLVED, that the IURA approved as distributed the minutes of the IURA meeting of April 9, 1998. Approved unanimously. III. Staff Reports Clute reported on South Side Community Center. According to the building commissioner, a sprinkler system must be installed in the crawl space to meet code requirements. Cohen will look into this . Occupancy is expected to be on June 1, 1998 . Clute gave an up-date on 119 Cleveland Avenue a boarded-up house, which is being acquired by the City for disposition to 'NHS for rehabilitation. Clute reported that HUD had approved the third year award of the 1996 CDBG Application on April 30, 1998 . Minutes IURA May 21, 1998 IV. Economic Development 1. Loans to Restaurant and Bars The Item was discussed. Preston stated that the Economic Development Committee had reviewed the matter a number of times and continued to recommend the current policy that loans for restaurants, nightclubs and bars be ineligible to receive loans from the CD-RLF, because the high business risk of such businesses . The previously adopted resolution #720 extending special consideration to minority- and women-owned businesses adequately addresses affirmative action concerns in the committee's opinion. She hoped the matter could be resolved at this meeting. It was agreed that the present regulations would remain in place and that no new review was necessary by the committee. The May 1995 IURA Economic Development Financing Policy Guidelines was referred to the Economic Development Committee to be updated to incorporate policies adopted since the 1995 approval. IV-2 . Carpenter Business Park Bohn gave background about EDC's recommendation to the IURA for disposition of the Carpenter Business Park. The Economic Development Committee has recommended the property be marketed and sold through a professional commercial real estate broker. Cummings moved and Preston seconded a resolution to authorize Procurement of a Commercial Real Estate Broker to Sell Carpenter business Park Parcels. WHEREAS, the 10 .8 acre Carpenter Business Park located on Third, Street with frontage along N. Meadow Street was completed in 1990, and WHEREAS, the City owns four parcels totaling 4 .94 acres of land and the Ithaca Urban Renewal Agency (IURA) owns the remaining three parcels totaling 5 .86 acres of land in the Carpenter Business Park, and WHEREAS, the IURA has actively marketed the lots for lease and sale for light manufacturing industrial uses with a job creation goal of 17 jobs per acre since 1990, and WHEREAS, the IURA has been unsuccessful in securing satisfactory tenants and Carpenter Business Park has remained vacant since its completion in 1990 with the exception of the community gardens located on the 2 .25-acre parcel #36-1-3 .4, and 2 Minutes IURA May 21, 1998 WHEREAS, besides the community garden parcel, the City owns four other land parcels totaling approximately 2 .7 acres in size (#36- 1-2, #36-1-3 . 3 , #36-1-3 .5 and #36-1-3 . 6) , and WHEREAS, a 1998 appraisal of Carpenter Business Park, excluding the community gardens parcel, estimated the fair market value at $1, 364, 000, and WHEREAS, at their May 5, 1998 meeting the Common Council declared all City-owned parcels in Carpenter Business Park, except those leased to Project Growing Hope, Inc. used for community gardens, as surplus property, and authorized conveyance of these surplus parcels to the Ithaca Urban Renewal Agency for disposition for no less than fair market value, subject to the following conditions : A. property must not be used for an adult entertainment establishment use, B. property must not be used for a warehousing or storage as a primary use for a period of 10 years from the date of conveyance from the IURA, and C. retention of access and utility easements to parcel #36-1- 3 .4, currently used for community gardens, and utility easements for any other public utilities located on the property, and be it further WHEREAS, the Common Council further resolved that upon abandonment by the Board of Public Works (BPW) , the Carpenter Circle cul-de-sac street property shall be considered surplus and conveyed to the IURA, and WHEREAS, at their May 14, 1998 meeting the Economic Development Committee discussed various methods of disposition to optimize purchase price and transfer property in an expeditious manner, including (1) auction, (2) sealed bid, and (3) listing with a commercial real estate broker, and recommended the Carpenter Business Park property be marketed and sold through a professional commercial real estate broker, now therefore be it RESOLVED, that the IURA hereby authorizes the disposition of all IURA-owned parcels in Carpenter Business Park through a commercial real estate broker at no less than fair market value, subject to the conditions listed above, and be it further RESOLVED, staff is authorized and directed to request qualifications and proposals from qualified commercial real estate brokers, including commission rates, to market and sell the Carpenter Business Park parcels, and be it further 3 Minutes IURA May 21, 1998 RESOLVED, that the Mayor, upon review by the Executive Director of the IURA and the City Attorney, is hereby authorized to sign any and all instruments necessary to (1) contract for professional commercial real estate commercial brokerage services and (2) to convey the property upon receipt of an acceptable purchase offer for no less than fair market value. Approved unanimously IV-3 402 South Cayuga Street Bohn explained Common Council's resolution of May 6, 1998 requesting the IURA to put on hold the sale of the property. IV-4 Community Development Revolving Loan Fund Loan Application by Amy & Brian O'Donnell d/b/a/ A&B Awards & Engraving Bohn gave a quick up-date about Amy & Brian O'Donnells application. They secured further financing and are open for business . V. Budget and Administrations 1. Minutes - B&A Meeting December 11, 1997 Cummings moved and Cohen seconded a resolution to approve the minutes of the B & A meeting of 12/11/97 . RESOLVED, that the IURA approved as distributed the minutes of the B&A meeting of December 11, 1998. Approved unanimously V-2 . Credit Card Application Cummings and Clute gave an up-date about the purpose of a Credit Card for IURA staff. Cummings moved and Nelson seconded a resolution to authorize IURA Credit Purchases by the IURA staff. WHEREAS, the Ithaca Urban Renewal Agency has a number of "out of pocket" costs that require timely payment and sometimes cause confusion between the Planning and Development staff and the IURA staff, and WHEREAS, the IURA staff will be pursuing further professional training in FY 1998 and FY 1999, and 4 Minutes IURA May 21, 1998 WHEREAS, the IURA will be purchasing computer upgrades in FY 1998 and purchasing reference books for staff use, and WHEREAS, the use of an Agency credit card would eliminate the cumbersome staff process for reimbursements, and administrative "lag-time" for office purchases, and WHEREAS, the use of an Agency credit card would eliminate inefficiencies in staff time and would be used solely for Agency business, and would be monitored by the Agency's Administrative Assistant; now, therefore, be it RESOLVED, that the Ithaca Urban Renewal Agency authorizes the Chairman of the IURA to sign the credit card applications for the permanent IURA staff upon review of the city attorney and the Executive Director of the IURA, and be it further RESOLVED that the Chairman of the IURA authorizes maximum credit levels at $1, 000 for staff, with the exception of the Administrative Assistant's, whose maximum credit level is set at $4, 000 . Approved unanimously. V-3 . Neighborhood, Housing, Infrastructure Committee Cummings gave background about the necessity of reactivating the Neighborhood, Housing, Infrastructure Committee. Susan Cummings and Brad Nelson will serve on this committee. B&A members talked about appointing a third member. Cohen will review their recommendations. Clute asked Cohen about the appointment of Barbara Abrams. Cohen will review her appointment process. V-4. CAC Membership Martha Preston and Eric Rosario were appointed to serve on the Community Advisory Committee. Staff asked for additional appointments to fill the remaining vacancies by September 1, 1998 . 5 Minutes IURA May 21, 1998 V-5. Financial Statements of February 1998, March 1998, April 1998 The financial Statements of February 1998, March 1998 and April 1998 were distributed and entered into the minutes. VI. Other Business 1. Confirmation of next meeting date: July 9, 1998 at 11 AM It was agreed that the next EDC meeting will be on Thursday, June 18 at 4 PM; the next B&A meeting will be on June 18 at 9:00 AM and the next IURA meeting will be on Thursday, July 16, 1998 at 11:30 AM. VI-2.West End Commercial Loan Program The Agency discussed the West End Commercial Loan Program. Staff was asked to review the boundaries of the "Waterfront entertainment district" to clarify resolution #829. VI-3 Alternatives Federal Credit Union - CEO Program Bill Myers gave background about the Alternatives Federal Credit Union's Alternatives Fund, which is coordinating various CEO programs. The IURA's CEO program is among them. Nelson moved and Cohen seconded a resolution for capitalization of a $25,000 CEO Revolving Loan Fund to be administered by the Alternatives Federal Credit Union (AFCU) • WHEREAS, the Community Enterprises Opportunity (CEO) program provides training, technical and financial assistance to low- and moderate-income Ithaca residents who want to start a business, and WHEREAS, the CEO program has been funded through the CDBG program since the 1994 Small Cities award and has continued funding commitments through the third year increment of the three-year 1996 Small Cities award, and WHEREAS, the IURA staff has successfully negotiated with the AFCU to administer the training, technical assistance and financial assistance services of the CEO program and reached agreement on general terms and principals, though final contract language remains pending at this time, and WHEREAS, the approved 1994 Small Cities award included funding commitments to capitalize a CEO Revolving Loan Fund with $25, 000 to be made available from the City of Ithaca' s Community Development Revolving Loan Fund (CD-RLF) with an additional 6 Minutes IURA May 21, 1998 $25, 000 to be made available from the Alternatives Federal Credit Union (AFCU) , and WHEREAS, IURA resolution #749 (7/12/94) allocated up to $25, 000 of the CD-RLF to be used for loans to graduates and participants in the CEO program, and WHEREAS, the IURA has approved 5 loans and dispersed $22, 930 for micro-enterprise businesses to date from the CD-RLF, and WHEREAS, the approved first year increment of the 1996 Small Cities award included funding to further increase capitalization of the CEO Revolving Loan Fund by up to an additional $30, 000 in the event the original earmarked $25, 000 was exceeded by loan requests, and WHEREAS, the CEO program will be graduating a class of 17 entrepreneurs in mid-June, 1998, many of whom will be seeking financing to start businesses, now therefore be it RESOLVED, that the IURA hereby authorizes, upon execution of a sub-recipient agreement between the IURA and the AFCU signed by the IURA Chairperson, the transfer of $25, 000 from the first year increment of the 1996 Small Cities award to the AFCU to capitalize a CEO Revolving Loan Fund to be administered by the AFCU, and be it further RESOLVED, that any disbursements of these loan funds shall be matched on a minimum 1:1 basis with non-CDBG resources to effectively result in the establishment of a $50, 000 CEO Revolving Loan Fund as of June 1, 1998, and be it further RESOLVED, that any repayments of loans made from the CEO Revolving Loan Fund may be relent out by the AFCU to eligible applicants . Approved unanimously At the IURA's members request, Bill Myers gave a brief report about the Alternatives Federal Credit Union. IX. Adjournment The meeting was adjourned at 1:10 PM. (Q:\planning\staff\willemyn\mi.n98may.doc) 7 /i / Y 64-1 Ctert4., MINUTES ITHACA URBAN RENEWAL AGENCY MEETING Thursday, August 6, 1998, 11:30 AM Third Floor Conference Room, City Hall Present : Mayor Alan Cohen, Eric Rosario, Martha Preston, Susan Cummings for Items IV-2 to IX, Katharine Clute, Nels Bohn, Wies van Leuken, Janet Howe I . Call to Order The meeting was called to order by the Chair, Alan Cohen at 11 :40 AM II . Approval of IURA minutes of May 21, 1998 Preston moved and Rosario seconded a resolution to approve the minutes . RESOLVED, that the IURA approved the minutes of the IURA Meeting of May 21, 1998 as distributed. Approved unanimously. III . Staff Reports 1 . Chartwell/SRO Project Bohn gave a report on the Chartwell/SRO Project . Chartwell Associates received a $170, 000 loan in 1990 to develop a 15-room Single Room Occupancy (SRO) on Meadow Street . The terms of the CDBG loan required interest only payments of approximately $700 per month, with a balloon payment due sometime after the year 2000 . Funds for the project came from the reprogramming of 1987 CDBG monies . INHS has a second lien on the property. The property has gone into foreclosure and was auctioned off in August of 1998 . INNS, the only bidder, acquired the site for approximately $160, 000 . INHS is negotiating with EOC (Economic Opportunity Corporation of Tompkins County) , the current tenant . EOC wants to continue its lease at a lower rent then its current level of $3 , 000 . 00 per year. Minutes IURA August 6, 1998 III-2 . 1999 CDBG Application cycle Clute reported that staff has begun work on the next CDBG Application cycle. A brochure is being designed. An orientation meeting of the Community Advisory Committee (CAC) has been scheduled for September 22, 1998 . III-3 . Administrative Review Staff is reviewing the IURA' s administrative procedures . David Sprague has been hired to assist with the development of a Management Information System (MIS) . III-4 . Hiring of staff engineer and landscape architect Clute reported that a staff engineer and landscape architect have been hired on a short-term contract to assist with all infrastructure projects . Several projects scheduled for completion in the next year require bid documents . IV. Economic Development IV-1 .Carpenter Business Park Bohn reported that proposals for marketing the Carpenter Business Park are due Friday, August 7, 1998 . The Economic Development Committee will review these proposals at their meeting of August 13 , 1998 . The top candidates will be interviewed by the EDC at a later meeting. The EDC' s recommendations will be forwarded to the IURA. The Agency will make a final decision at their meeting of September 1998 . U2 IV-2 . Groton Community Health Care Center, Inc . The Groton Community Health Care Center (GCHCC) closed the Dental Clinic (Ithaca Community Dental Services) in Center Ithaca on June 1, 1998 . GCHC had contracted with Family Health Network to run the Clinic . GCHCC received a CDBG funded loan of $75, 000 in 1993 . In a letter dated June 18, 1998, GCHCC requested that the IURA convert the remaining loan in to a grant. The loan has a remaining principal of $58, 000 . Staff consulted Martha Preston and Harry Sicherman on the available options . Consensus was that Groton Health Care has a financial obligation to pay off the loan and that the IURA has responsibility to recoup remaining CDBG funds . Loans should not be forgiven unless companies demonstrate 2 Minutes IURA August 6, 1998 that they have no other recourse. The issue of collateral needs to be further investigated. Staff was also informed that UCC-1 forms describing the loan' s collateral, must be filed not only with the County Clerk but also with the Secretary of State . In cases where equipment is offered as collateral for more than one loan, the first lender filing the UCC-1, has first position on the collateral . The IURA might be considered an unsecured creditor. Preston asked if the collateral was still on the premises and Clute stated that the Agency has not been able to gain entry to the office. Bohn stated that a number of meetings had taken place to save the operation during the last few years, involving the Department of Social Services, FHN, the landlord, Tompkins County Trust Bank, and others . Groton Health Care should be encouraged to subcontract with another agency to run the dental clinic . David Sprague was hired as a consultant to the IURA to review the financial statements submitted to document the financial hardship of the operation. The statements were incomplete and although numerous requests for more information were made, subsequent statements remained vague and incomplete. The IURA had not been notified of the decision to close the clinic . The Agency will review the loan agreement to determine if GCHCC is in default through these actions . GCHCC is current on its loan payments . V. Budget and Administration 1 . Financial Statements The Financial Statements for May and June of 1998 were reviewed and entered into the minutes . Rosario observed that four accounts under the heading of "Recycled Loan Income" , were listed "past due" . Clute and Bohn explained that staff is about to contract with AFCU to manage the CEO program. Once the contract is signed, AFCU will review these loans with the borrowers . Bohn also stated that the owner of White Tiger Pruning has not had sufficient income to pay off the debt. V-2 . Staff Salaries No reports . 3 Minutes IURA August 6, 1998 V-3 . Timeline for CDBG A draft timeline for the 1999 CDBG Application Cycle was distributed. Clute stated that publicity regarding the next application is being planned to begin in late August . Staff is designing a brochure that will provide the City' s non-profit organizations with information on the CDBG program, including eligibility requirements and submission deadline. The new application round will be further advertised through media publicity. Brochures will be mailed also to CDBG grantees of previous grant years . For profit organizations will receive a different mailing. Staff will set aside proposals that do not meet CDBG eligibility standards for possible inclusion with applications for funding from other sources . The documentation on neighborhood stress indicators in areas of the City that are not included in current Target Areas was distributed. Included were maps indicating that the Lower Northside, the Central Business District, and the Titus Flats neighborhoods are in need of additional support . Bohn added that there is a direct correlation between the Neighborhood Stress Indicator and target areas, and proposals may come in that are geographically specific . Information on the Stress Indicator Chart comes directly from the census . The Agency will review the documentation and discuss the issue further at the next meeting. The CAC will be reviewing the information as well . V-4 . Appointment IURA liaison to Alternatives Fund CEO Committee Cummings moved and Rosario seconded a resolution to appoint an IURA Liaison to the CEO Loan Committee WHEREAS, the IURA has transferred the administration of the Community Enterprise Opportunity (CEO) Program to the Alternatives Fund, the non-profit arm of the Alternatives Federal Credit Union, and WHEREAS, the IURA has capitalized the CEO Revolving Loan Fund, and therefore maintains a fiduciary to insure that the funds are properly allocated in accordance with HUD guidelines, 4 Minutes IURA August 6, 1998 WHEREAS, the Alternatives Fund will be administering the CEO Loan Committee, WHEREAS, the IURA requires a presence on this governing committee, THEREFORE, BE IT RESOLVED, that the Mayor is hereby authorized and directed to appoint a liaison from the IURA, either Agency or staff member, to the Alternatives Fund' s CEO Loan Committee, and BE IT FURTHER RESOLVED, that CD Administrator Katharine Clute was appointed to be the IURA' s liaison. Approved unanimously. V-5 . Addition of Clerical Staff to CD office Cohen stated that the B&A Committee reviewed and approved the addition of an administrative assistant to the CD office. In light of the complexities and increase in workload, the addition is necessary to allow the current administrative staff to pursue more complex duties and be responsible for the monitoring process for all current and future grants . Preston expressed concern that CD staff was requested to work on non-CD activities . It was explained that this issue had been resolved. Cummings moved and Rosario seconded a resolution to increase the CD staff by hiring additional administrative staff WHEREAS, the IURA' s Budget and Administration Sub-committee has reviewed and approved the Administrator' s request to increase the Community Development staff level to include a full-time equivalent for the Administrative position, and WHEREAS, the administrative workload levels have been steadily increasing due to the burgeoning projects incorporated in the recent multi-year comprehensive CDBG applications, and WHEREAS, the salary level for this position will not exceed $9 . 50 per hour, THEREFORE, BE IT RESOLVED, that the IURA approves the increase in Community Development staff levels by one FTE. Approved unanimously. 5 Minutes IURA August 6, 1998 VI . Neighborhood Housing and Infrastructure 1 . 119 Cleveland Ave-Acceptance of deed/disposition of property. Clute distributed a memo dated 8/6/98, which gave a timeline for the disposition of 119 Cleveland Avenue . Cohen stated that Common Council unanimously voted to convey 119 Cleveland Ave to the IURA. The IURA now needs to formally accept this conveyance . Cummings requested that this property get a rapid pass through by the Agency. Cohen asked if staff had discussed the acquisition of the property with INHS . Clute explained that in February of 1997, Common Council had approved the request for reprogramming CDBG funds for the INHS/Southside Revitalization Projects, which included the acquisition of the 119 Cleveland Avenue site . Bohn stated that the disposition process needs to be followed because the property might be sold at below fair market value . The B&A Committee will review the eligibility criteria and qualifications for sponsors . Cummings suggested that the issue be settled during this meeting. The Agency members agreed that the criteria for the sponsor should be defined as profit or not-for-profit, and a sponsor' s qualifications would be a proven record of performance in the field of housing and the proposed use of the site must be consistent with existing zoning regulations . The IURA can advertise for qualified sponsors on this basis . Cummings moved and Rosario seconded the resolution to accept conveyance of 119 Cleveland Avenue by the IURA WHEREAS, the City has acquired an abandoned tax Delinquent property that is a blighting influence on the neighborhood in which it is located, and WHEREAS, City ownership of the property would generate no property taxes and require on-going property maintenance, graffiti removal, and repair of other damage as necessary by the Department of Public Works or others, and WHEREAS, the interest of the City would be served by returning this property to the tax rolls and by its rehabilitation for housing or other permitted uses in a manner that benefits the surrounding neighborhood, WHEREAS, at its July 1, 1998 meeting the Common Council 6 Minutes IURA August 6, 1998 authorized conveyance of the 119 Cleveland Avenue parcel to the Ithaca Urban Renewal Agency (IURA) for disposition of the parcel to a qualified sponsor for rehabilitation of the building in a timely manner for a use consistent with the Urban Renewal Plan, and WHEREAS, any tax liabilities incurred during IURA ownership of the parcel shall be accrued to the City, now THEREFORE HE IT RESOLVED, that the IURA does hereby accept conveyance of the City-owned 119 Cleveland Avenue parcel to the IURA for urban renewal purposes in accordance with the terms outlined above, and BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to sign any and all instruments necessary to accept conveyance of this property to the Ithaca Urban Renewal Agency, and HE IT FURTHER RESOLVED, that staff is directed to solicit for eligible and qualified sponsors for sale and rehabilitation of the property for low & moderate income housing in a timely manner consistent with the Urban Renewal Plan. Approved unanimously. VI-2 . Shared Housing for Seniors Project Bohn stated that HOST committee members (i .e. the Office of the Aging and Cooperative Extension) have requested an extension for the activity' s timeline. Bohn would like to meet that request as long as a deadline is set for HOST to demonstrate feasibility. The project as of now has no waiting list, no site identified, and no matching funds . Cummings asked what was done in the way of marketing the project. Bohn stated that an extensive marketing effort was done about a year ago. A tentative site had been identified, an open house advertised and outreach was done to find clients for the project . Cohen asked if we the project could be included in the next CDBG round. Staff confirmed this was possible . Agency members proposed that the HOST Board should notify the IURA after their September board meeting whether they want to drop the project or make one last effort to market this project . 7 Minutes IURA August 6, 1998 Cummings moved and Rosario seconded a resolution to establish a deadline to demonstrate feasibility for the 1996 CDBG 313 Year - Shared Residence for Seniors Activity WHEREAS, the 3rd year increment of the 1996 multi-year Small Cities CDBG grant included a proposal to use $112 , 000 of CDBG funds toward the development of a $300, 000 Shared Residence for Seniors sponsored by the HOST (Housing Options for Seniors Today) , a program of Cornell Cooperative Extension of Tompkins County in cooperation with the County Office for the Aged, WHEREAS, shared housing offers a intermediate step between an independent lifestyle and a more dependent life in adult care or nursing home facility, where residents will have their own bedroom and will be responsible for the upkeep of their individual rooms, but receive housekeeping and meal services from a live-in house manager, WHEREAS, the Shared Residence for Seniors activity consists of construction or renovation of a 5-6 bedroom building allowing 5 to 7 predominantly low- and moderate-income elderly persons to live together in a semi-assisted living arrangement, and WHEREAS, the CDBG funds equal 38% of the estimated project costs and in the interim two years since submission of the grant application in 1996 HOST has sought funding commitments from public and private sector sources for the matching $188, 000, and WHEREAS, in the interim two years since submission of the grant application in 1996 HOST has sought to develop a waiting list of possible residents for the Shared Residence, and WHEREAS, to date, HOST has been unable to receive funding commitments for the CDBG match or develop a waiting list to fill the Shared Residence, and WHEREAS, HOST has requested staff to inform them of how much time they have to gain commitments for funding before the CDBG funding commitment is lost, and WHEREAS, CDBG performance regulations require grant funds to be drawn down in an expeditious manner to remain eligible to receive future grants, and WHEREAS, HOST is eligible to apply for future CDBG funds for this project, now therefore 8 Minutes IURA August 6, 1998 HE IT RESOLVED, that the IURA hereby establishes a deadline of September 20, 1998, for HOST to decide if they still want to pursue this project at this time, and HE IT FURTHER RESOLVED, that if HOST decides to continue this project, the IURA hereby establishes the deadline of January 1, 1999 for HOST to demonstrate the feasibility of the Shared Residence for Seniors activity by providing written funding commitments for the non-CDBG portion of the project costs, and BE IT FURTHER RESOLVED, that should HOST be unable to satisfactorily demonstrate the feasibility of Shared Residence for Seniors activity to the IURA by January 1, 1999, the IURA directs staff to develop potential proposals for reprogramming the $112 , 000 CDBG funding commitment for an alternative eligible activity. Approved unanimously. VI-3 . Reuse of underutilized IURA asset Bohn reported on the IURA building presently used by the Domestic Violence Shelter. The shelter will move to its new site this fall . The disposition was referred to the IURA Neighborhood, Housing and Infrastructure Committee . VII . Other Business 1 . Next IURA Meeting Agency members agreed to meet on September 10 at 11 :30 AM. VII-2 . Other Meeting Dates The Agency agreed that the EDC will meet Thursday, August 13 at 4 : 00 PM, and again on Thursday, September 3 at 4 : 00 PM; the Neighborhood, Housing and Infrastructure will meet Thursday August 27 at 11 :30 AM; the B&A Committee will meet prior to the IURA meeting on Thursday, September 10 at 10 :30 AM; the next CAC meeting will be Tuesday, September 22, 1998 at 3 :30 PM. VII-3 . CAC Vacancies Cohen asked for suggestions from the Agency for filling vacancies on the CAC . There are a total of 6 vacancies on the CAC . Additional representation is required for the Northside (2) , Southside (1) , INHS (1) , Historic Preservation (1) , and for "Citywide" (1) . 9 Minutes IURA August 6, 1998 VIII .New Business 1 . Vacant West State Street furniture store Cummings asked about real estate agent Bob Lama' s plans for the former West State Street furniture building. Bohn stated that so far he has received informal inquiries only by Lama about the availability of funding sources . VIII-2 . Usage of downtown buildings Cummings stated that there is a need to review new usage of downtown buildings . IX. Adjournment Rosario moved and Cummings seconded to adjourn the meeting at 12 : 45 PM. (H\W\Min\min98August98.doc) 1,k3JL. 10 4*(0 /1 Minutes of Ithaca Urban Renewal Agency `./ 11:00 am,Thursday, November 12, 1998 Council Chambers, City Hall PRESENT: IURA Members Alan Cohen, Eric Rosario, Martha Preston Staff Katharine Clute, Nels Bohn,Wies Van Leuken, Doug McDonald, Kat Hauger Matthys Van Cort arrived at 11:20 Others [V-5A only] Paul Mazzarella [V-5B only] Jay Janowsky, Ed Franquemont [VIII only] Patricia Dunn I CALL TO ORDER Meeting was called to order at 11:03 am by Mayor Cohen. II PREVIOUS MINUTES Cohen/Rosario moved/seconded a motion to approve minutes of the joint IURA/Economic Development Committee as amended and accepted by EDC on October 8, 1998. III STAFF REPORTS No reports. IV ECONOMIC AND DEVELOPMENT N-1 CCI ADMINISTRATIVE FUNDS DRAW DOWN Cohen/Rosario moved/seconded a resolution. WHEREAS HUD has approved the City's Canal Corridor Initiative [CCI] application, including a FY 1997 CDBG grant of $59,243 and a FY 1997 Section 108 "grant" of $700,000 and authorized application by the City for Section 108 loans for the Marina Realty of Ithaca project and the Ithaca Landing Associates project, and WHEREAS on December 3, 1997,the Common council approved a funding agreement between HUD and the City of ithaca to accept a grant in the amount of$59,243 from FY 1996 CDBG funds to deliver and administer the City's CCI program, and WHEREAS the Common Council further resolved that such FY 1997 CDBG fund not be drawn down prior to submission by the City for individual Section 108 loan financing, and WHEREAS Section 108 loan packages have been submitted by Marine Realty of Ithaca, 11c, and Ithaca Landing Associates, 11c, to the IURA for review and action, and WHEREAS significant staff time has been spent assisting the applicants prepare the Section 108 loan package and additional staff and consultant time is projected to review, negotiate, and package the Section 108 loan applications and to complete other activities that are eligible CDBG administrative costs, and IURA MINUTES- NOVEMBER 12, 1998 page 2 WHEREAS our professional consultant, H. Sicherman and Co., Inc.,has informed the IURA staff that several CCI recipient communities have drawn down CDBG administrative funds prior to submitting Section 108 loan and that his understanding from HUD is that the communities are not subject to repayment of the CDBG administrative funding should the Section 108 loans ultimately not be submitted, no, therefore, be it RESOLVED that the IURA hereby recommends to the Common council to remove the self-imposed restriction to wait to draw down$59,243 in FY 1997 CDBG funds to administer the CCI program until submission of Section 108 loan applications for funding, and be it further RESOLVED that such CDBG administrative grant funds may be drawn down in compliance with the CDBG Environmental Reviews Procedures contained in 24 CFR Part 58. PASSED IV-2 CCI SECTION 108 GRANTS Bohn noted that on further review the previous resolution to fund public infrastructure with CCI Section 108"grants"included authorization for the agency to proceed. With no objections IURA will proceed. IV-3 REVISE WATERFRONT ENTERTAINMENT DISTRICT Cohen/Preston moved/seconded a resolution. WHEREAS IURA Resolution #829 [01/27/97] authorized the creation of a "Waterfront Entertainment District" [WED] and WHEREAS within this District the IURA's policy was amended to allow use of CDBG funds for economic development purposes in support of restaurants, nightclubs,bars, and similar businesses in support of overall revitalization goals, and according to accepted and lending and underwriting standards, and WHEREAS this WED was defined as"the shoreline and adjacent areas of Inlet Island, the Cayuga Inlet, and the Cayuga Lake shore"within the City, and WHEREAS no map of the WED was attached to the resolution and boundaries of the district are unclear, and WHEREAS the IURA adopted a"WED"map, dated July 21, 1998, portraying the initial boundaries of the WED boundaries, and WHEREAS the IURA requested the Economic Development Committee to further review the boundaries to consider possible expansions of the District, and WHEREAS the Economic Development committee reviewed the boundaries at their October 1998 meeting and recommended enlarging the adopted WED to include lands west of Route 13 from Cascadilla Street to Cascadilla Creek, therefore, be it RESOLVED that the IURA hereby adopts the boundary configuration of the Waterfront Entertainment District as described on the"Waterfront Entertainment District"Map, dated November 6, 1998 PASSED U'' MINUT S-NOV : R I 199: IV-4 EXPANSION OF WEST END TARGET AREA Cohen/Rosario moved/seconded a resolution. WHEREAS The 1996 CDBG three-year application approved by HUD included both a West End Commercial Loan program and a West End Home Improvement program, and WHEREAS the West End target area defined in the CDBG application encompasses a five-block area between Fulton Street and Meadow Street from Clinton Street north to Court Street, and WHEREAS the West End target area was defined prior to completion of the Route 96 highway project, and WHEREAS the Route 96 highway project significantly reconfigured the road network in the West End area and created one-way segments of Route 13 along Fulton Street and Meadow Street, and extended Fulton Street north three block to connect with Meadow Street and Hancock Street, and WHEREAS the Route 96 highway project thereby enlarged the number of blocks located between Fulton and Meadow Streets from five block to eight blocks, and WHEREAS the City of Ithaca has developed a West End Plan to guide future development along the Route 13 corridor impacted by the Route 96 highway project which recommends rezoning previously industrially zoned lands north of Court Street to a designation permitting a mix of residential and commercial uses, and WHEREAS the three-block area located between the one-way segments of Route 13 north of Court Street contain a mix of residential, commercial, and industrial structures similar in character to blocks currently located within the West End target area, including under-utilized or vacant commercial buildings and residential structures in need of rehabilitation, and WHEREAS a series of three focus group sessions held in the fall of 1998 with employers, employees, and entrepreneurs from the West End area and the West State Street corridor area overwhelmingly characterized the West End neighborhood to include the three block located between the one-way segments of Route 123 north of Court Street, and WHEREAS the focus group session identified a number of properties in the proposed expanded West End target area that could benefit from the commercial loan program and the home improvement program funded in the third year increment of the approved 1996 CDBG grant application, and WHEREAS the Economic Development Committee reviewed the boundaries of the West End target area at their October 1998 meeting and recommend the target area be enlarged to include the contiguous three blocks north of Court Street bounded by the one-way segments of Route 13 in recognition of the impacts of the Route 96 project and City of Ithaca's plan to guide development along the corridor, therefore, be it RESOLVED that the IURA hereby endorses the IURA Economic Development Committee's recommendation to enlarge the current five-block West End target area between Fulton and Meadow streets from Clinton Street north to Court Street to include the additional contiguous three-block area north of Court Street between the one-way segments of Route 13 along Fulton and Meadow Streets as depicted on the"West End Target Area"map dated november 6, 1998, and be it further IURA MINUTES-NOVEMBER I2 1998 page 4 RESOLVED that the IURA directs and authorizes the Chair of the IURA, subject to review of the IURA Executive Director and the City Attorney,to petition the US Department of Housing and Urban Development for any approval necessary to revise the West End target area as described above. PASSED V BUDGET AND ADMINISTRATION V-1 FINANCIAL STATEMENTS The following financial statements were reviewed and entered into the minutes: V-1A Small Cities Grant Summary, September 1998 V-1B Status of Loan Repayments to IURA, September 1998 V-1C Small Cities Grant Summary, October 1998 V-1D Status of Loan Repayments to IURA, October 1998 V-2 PERSONNEL ISSUES Due to increases in workload required to meet administration needs of IURA policies and programs,staff increases are necessary.After exploration of budget impacts and cost effectiveness by the Budget and Administration Sub-Committee, it was determined that, in lieu of continuing with independent contractors for all positions,the IURA would create new positions to engage staff necessary to accomplish current work loads. V-2A INCREASED STAFF LEVEL-ENGINEER Cohen/Preston moved/seconded a resolution. WHEREAS The IURA's Budget and Administration Sub-Committee has reviewed and approved the Administrator's request to increase the Community Development staff level to include a full-time equivalent for the Engineer position, and WHEREAS the need for engineering expertise has been steadily increasing due to the burgeoning project incorporated in the three-year Consolidated CDBG proposal, plus projects from outstanding years, and WHEREAS the salary level for the position will not exceed the current contractor compensation for services of $17.00 per hour after all benefits have been factored in, and WHEREAS as with all current and future personnel of IURA, all positions are subject to a one year duration, or until project funding is expended, so, therefore, be it RESOLVED that IURA approves the increase in Community Development staff levels by one FTE. PASSED �.s IURA MINUTES-NOVEMBER 12, 1998 page 5 V-2B INCREASED STAFF LEVEL- LANDSCAPE DESIGNER Cohen/Preston moved/seconded a resolution. WHEREAS The IURA's Budget and Administration Sub-Committee has reviewed and approved the Administrator's request to increase the Community Development staff level to include a part-time equivalent for the Landscape Architect position, and WHEREAS the need for Landscape Design expertise has been steadily increasing due to the burgeoning project incorporated in the three-year Consolidated CDBG proposal,plus projects from outstanding years, and WHEREAS the salary level for the position will not exceed the current contractor compensation for services of $25.00 per hour after all benefits have been factored in, and WHEREAS as with all current and future personnel of IURA, all positions are subject to a one year duration, or until project funding is expended, so, therefore, be it RESOLVED that IURA approves the increase in Community Development staff levels by one part-time equivalent [PTE]. PASSED �./ V-2C INCREASED STAFF LEVEL- PLANNING SPECIALIST Cohen/Preston moved/seconded a resolution. WHEREAS The IURA's Budget and Administration Sub-Committee has reviewed and approved the Administrator's request to increase the Community Development staff level to include a part-time equivalent for the Planning Specialist position, and WHEREAS the need for Funding Research expertise will benefit the City's ability to find and create funding proposals for public projects, and WHEREAS the salary level for the position will not exceed the current contractor compensation for services of $15.00 per hour after all benefits have been factored in, and WHEREAS as with all current and future personnel of IURA, all positions are subject to a one year duration, or until project funding is expended, so, therefore, be it RESOLVED that IURA approves the increase in Community Development staff levels by one PTE. PASSED V-2D INCREASED STAFF LEVEL- GRANTS MONITOR Cohen/Preston moved/seconded a resolution. WHEREAS The IURA's Budget and Administration Sub-Committee has reviewed and approved the Administrator's request to change the name and duties of the current Administrative Assistant to that of Grant Monitor to more accurately reflect this new position's responsibilities, and IURA I T -NOVEMBER I 19': ea.- . WHEREAS the Grant Monitor will fill a necessary function that has been neglected over the recent grant years, and WHEREAS this position will protect IURA and the City from audit finding form our granting organizations and maintain our reputation as an efficient organization worthy of future funding, and WHEREAS the salary level for the position will be at Step 1 for the Grants Monitor position, and WHEREAS as with all current and future personnel of IURA, all positions are subject to a one year duration, or until project funding is expended, so, therefore, be it RESOLVED that IURA approves the change in position and function for our present Administrative Assistant. PASSED V-3 IURA ACTING EXECUTIVE DIRECTOR APPOINTMENT Cohen/Preston moved/seconded a resolution. WHEREAS the Director of the Department of Planning and Development of the City of Ithaca serves as the Executive Director of the IURA, and WHEREAS the Director of Economic Development serves as the Deputy Director of the Department of Planning and Development, therefore, be it RESOLVED that the IURA hereby appoints the Director of Economic Development of the Planning and Development Department of the City of Ithaca as the acting Executive Director of the IURA during the Executive Director's absence. PASSED V-4 CITIZEN PARTICIPATION PLAN AMENDMENT Cohen/Preston moved/seconded a resolution to adopted the Budget & Administration Sub- Committee recommended amendments to the CITIZEN PARTICIPATION PLAN to streamline the reprogramming procedure. PASSED V-5 REPROGRAMMING 1996 CDBG FUNDS V-5A INHS PROJEC IS - Paul Mazzarella 1 108 Cleveland Avenue: INHS requests$40,000 to rehabilitate building interior. INHS is not optimistic about selling the property once renovated. 2 Henry St.John Building: Requests for gymnasium use are infrequent and at hours that would conflict with uses of adjacent areas of building. Most `./ groups using gym don't need a gym, just a large room. Other gymnasium facilities are available. INHS proposes to convert the gymnasium to four apartments: a feasibility study is planned. Apartments in building are all rented: only commercial spaces in building are not. Commercial/Residential IURA MINUTES- NOVEMBER 12, 1998 page 7 mixed use is necessary clue to basement not being acceptable as residential space. V-5B HISTORIC ITHACA PROJECTS -Jay Janowsky, Ed Franquemont 1 State Theatre: Request for$90,000 to bring theatre into compliance with ADA. Restrooms are inaccessible and within theatre itself there are few flat areas. Current proposals include: a Construct addition to back of theatre to house restrooms. Possible compromise of original building design, problems with adjacent lots and buildings. Also, Fire code requires stair towers/fire escapes extend to roof:roof is in dangerous condition. POSSIBLE COST: $75,000. b Provide ramp accessibility to ticket kiosk. POSSIBLE COST: $5,000. c Provide level areas in first floor seating area. POSSIBLE COST: $10,000. • Franquemont noted that these projects are brought to IURA due to their fitting into HUD guidelines more easily than other work also required. Theatre roof is a major concern: consideration is being given to 1) removal/replacement and 2) overlay of new system on existing roof. Other portions of project required include: 1) Smoke Detection/Fire Protection 2) Plumbing Repairs 3) Electrical Repairs 4) HVAC System Historic Ithaca has approximately one-half the funds necessary to rehabilitate and reopen the theatre.$65,000 is available from a NYS arts grant. Some consideration will be given to including the roof work in the CDBG reprogramming, justified by the job creation afforded when the theatre opens. Consensus after discussion was to pursue INHS and State Theatre projects,seeking necessary additional funds from other sources. VI HOUSING, NEIGHBORHOODS,AND INFRASTRUCTURE VI-1 DISPOSITION OF FORMER DOMESTIC VIOLENCE SHELTER The Agency discussed the proposed resolution to authorize solicitation of proposals for disposition of the former Domestic Violence Shelter property both in and out of executive session. No minimum purchase price has been established. It was suggested that EOC,Alpha House, or INHS `../ might be able to make use of property. It was noted a public hearing will be necessary to reprogram funds in this fashion. Cohen/Preston moved/seconded resolution. IURA MINUTES-NOVEMBER 12, 1998 page 8 WHEREAS the IURA has purchased a new property to be used by the Task Force for Battered Women, Inc., to operate a domestic violence shelter through finding provided by the second year increment of the 1996 CDBG, and WHEREAS the IURA also owns the current domestic violence shelter property that will be vacated by the Task Force for Battered Women, Inc., upon completion of improvement to the new shelter property expected to be substantially completed by February 1999, and WHEREAS the current domestic violence shelter property will become surplus IURA property upon the relocation of the Task Force for Battered Women to the new Shelter location, and WHEREAS the Neighborhoods, Housing, and Infrastructure[NHI] Committee has recommended disposition of the property to a qualified and eligible sponsor to rehabilitation for an affordable housing use as an owner-occupied single-family dwelling consistent with the Urban Renewal Plan, and WHEREAS the NHI Committee further recommended that proposals received consider the following criteria in the selection of a preferred sponsor: 1. quality and feasibility of plan and timeline to renovate the structure for resale to a low- or moderate-income family to occupy the structure as a single family dwelling, 2. purchase price, and 3. qualifications,experience,and capacity of the prospective sponsor to carry out the plan in a timely fashion, and WHEREAS the IURA has interest in looking at other than single-family residential uses for the property, now, therefore, be it RESOLVED that the IURA authorizes and directs the staff to solicit proposals from prospective sponsors for purchase and rehabilitation of the former domestic violence shelter property in accordance with the above criteria and disposition procedures required by Article 15, Section 506 of General Municipal Law, and, be it further RESOLVED that the IURA Neighborhoods, Housing, and Infrastructure Committee review proposals received and recommend a preferred sponsor to be designated by the IURA as the qualified and eligible sponsor for the project. PASSED VII OTHER BUSINESS The next meeting of the IURA will be at 11:00 am on Thursday,January 14, 1999. VIII NEW BUSINESS VIII-1 LEGAL SUIT- PRECISION FILTERS, INC. Patricia Dunn reported on the legal response by the City of Ithaca to a summons and complaint by Precision Filters, Inc., against the City of Ithaca and IURA. Suit is regarding 1992-1993 School Taxes,paid in error by Precision Filters. Dunn noted it is to benefit of both the City and IURA to settle out of court,with provision to release City and IURA from further litigation.After discussion Agency agreed to reimburse the amount.Timing of reimbursement is to be determined. IURA MINUTES- NOVEMBER 12, 1998 page 9 VIII-2 LAND TRANSFER AT SOUTHWEST PARK The City proposes to transfer land in the Southwest Park to the IURA,which the IURA may then sell to a developer. VIII-2A The CAC is vehemently opposed to the transfer and sees it as a way of using the IURA to get around due process of law.This difference in Agency operations versus municipal operations was one of the reasons for the Agency. Such transfers of land to the IURA have multiple precedents. VIII-2B CAC consensus is to keep entire site as park land. VIII-2C Although there is a timeliness issue, the developer must develop a general Environmental Impact Statement, and it was reported on of his parcels was contaminated. VIII-2D Cohen noted the developer is assembling parcels: some of which are parcels the City wants. The City might be able to make a cross-purchase of parcel for parcel with simultaneous closings through the auspices of the IURA.Any costs incurred in the sale should be reimbursed to the Agency by the City VIII-3 SPECIAL MEETING It was noted that a special meeting of the IURA will be held at 4:00 pm on December 16, 1998, followed by the Economic Development Committee meeting. IX ADJOURNMENT Cohen/Preston moved/seconded adjournment at 1:00 pm. end 12/30/98 KH/mfh j4 °' F- Minutes of Joint Meeting Ithaca Urban Renewal Agency & Community Advisory Committee 4:00 pm, Wednesday, December 16, 1998 Council Chambers, City Hall PRESENT: IURA Members Alan Cohen, Eric Rosario, Martha Preston, Brad Nelson, Susan Cummings CAC Members Alan Cohen, Deirdre Silverman, Andy Foster, Terry Plater, Eric Rosario, Martha Preston IURA Staff Matthys van Cort, Wies Van Leuken, Kat Hauger, Kat Clute, Nels Bohn Historic Ithaca Ed Franquemont Ithaca Neighborhood Housing Services Paul Mazzarella Mental Health Association of Tompkins County Tom Edwards, Sandra Washington Community School of Music &Art Kal Wysokowski, Sam Velazquez Boulevard Development Paul Carubia Worker Ownership Resource Center John Shannon, Carol Fyfe Mutual Housing Association/Common Council Dian Sams Building Links, Inc. Cynthia Yahn I CALL TO ORDER Meeting was called to order at 4:20 pm by Mayor Cohen. II REPROGRAMMING CDBG FUNDS -PUBLIC HEARING Rosario/Nelson moved/seconded a motion to go directly into a public hearing on reprogramming of CDBG funds. Motion carried. II-1 108 CLEVELAND AVENUE INHS - Paul Mazzarella INHS requests $40,260 to rehabilitate building. Total cost of project will be $105,000, with a resale value of $65,000 for the completed project. Mazzarella argued the rehabilitation will be a good investment for the community. He distributed a list of eleven projects completed with previously reprogrammed CDBG funds demonstrating the impact of such work. II-2 RENTAL HOUSING FINANCIAL FEASIBILITY ANALYSIS INHS - Paul Mazzarella II-3 MUTUAL HOUSING ASSOCIATION Dian Sams spoke toward a concern regarding the reprogramming process. She then noted MHA's request for$20,000 of reprogrammed funds to supplement the salary of executive director for MHA. II-4 STATE THEATRE ACCESSIBILITY RENOVATIONS HISTORIC ITHACA - Ed Franquemont Historic Ithaca is requesting $107,740 to bring theatre into compliance with current accessibility requirements. Figure amended from last meeting's$90,000 due to contingency needs and Davis-Bacon. Rosario/Nelson moved/seconded a motion to close the public hearing. Motion carried. LURA/ A TOINT MINUTES-DECEMBER 16, 1998 page2 II-5 IURA RESOLUTION Nelson/Rosario moved/seconded resolution to reprogram CDBG funds. WHEREAS it is necessary to reprogram $122,000 from the third year funds of the fiscal year 1996 Small Cities Multi-year Comprehensive Community Development Block Grant [CDBG] and$40,000 from the fiscal year 1995 Small Cities CDBG awarded by the Department of Housing and Urban Development, and WHEREAS alternative proposals have been presented, reviewed, and ranked by the IURA, now therefore be it RESOLVED that the IURA recommends to the Common Council that IURA staff be authorized to request HUD to allow the reprogramming of funds along the following priorities: 1 State Theatre Accessibility Renovations: a$107,740 deferred loan to Historic Ithaca, Inc. to remove material and architectural barriers that restrict the mobility and accessibility of elderly or severely disabled person at the State theatre located at 117 West State Street, $40,000 of such funding originated from the 1995 CDBG award and the remaining$67,740 originating from the third year increment of the 1996 CDBG multi- year award; 2 Ithaca Neighborhood Housing Services House Recycling of 108 Cleveland Avenue: a $40,260 deferred loan to INHS to acquire a fire-damaged two-unit residential structure for the purpose of rehabilitation and use or resale for affordable residential use, such funding originating from the third year increment of the 1996 CDBG multi-year award; and 3 INHS Rental Housing Financial Feasibility Analysis: a$4,000 grant to INHS to complete a financial feasibility analysis of a proposal to construct new rental units at the INHS- owned Henry St. John Building located at 301 South Geneva Street, such funding originating from the third year increment of the 1996 CDBG multi-year award. CARRIED unanimously HI LEGAL SUIT-PRECISION FILTERS, INC. After discussion, Cummings/Rosario moved and seconded a motion to settle the Precision Filters, Inc. lawsuit. WHEREAS the Ithaca Urban Renewal Agency [IURA] in 19089 leased real property in the Cherry Street Industrial Park to Precision Filters, Inc., and WHEREAS the IURA terminated said lease in June of 1992 and Precision Filters vacated said property in August of 1992, and WHEREAS Precision filters, Inc., had inadvertently paid Ithaca City School District taxes in the amount of four thousand six hundred sixty dollars and ninety-five cents ($4,660.95) after termination of the lease, and WHEREAS Precision Filters, Inc. filed a Summons and Complaint dated September 18, 1998 against the City of Ithaca and the IURA demanding reimbursement for said Ithaca City School District taxes, and WHEREAS after consultation with the Ithaca City Attorney, the City Department of Finance, and the City Chamberlain, the IURA concluded that said taxes had not been reimbursed to Precision Filters, Inc., and that the IURA and the City of Ithaca would be unlikely to prevail in the action by Precision Filters, Inc. to recover said taxes, therefore, now, be it IURA/CAC JOINT MINUTES DECEMBERI6, 1998 p ge 3 RESOLVED that the IURA and the City of Ithaca agree to settle said action by paying to Precision filters the sum of four thousand six hundred sixty dollars and ninety-five cents ($4,660.95) in full satisfaction for this claim and all claims Precision Filters, Inc. has, or may have in the future, against the City of Ithaca and the IURA related to said leased parcel of real property, and be it further RESOLVED that the IURA shall make available four thousand six hundred sixty dollars and ninety-five cents ($4,660.95) to pay the claim, and be it further RESOLVED that the repayment will be deducted from the future tenant lease payments paid to the IURA for all leases made in the cherry Street Industrial Park before such proceed are transferred from the IURA to the City of Ithaca. CARRIED IV 1999 GRANT APPLICATIONS COMMUNITY DEVELOPMENT BLOCK GRANT/CANAL CORRIDOR INITIATIVE IV-1 COMMUNITY ADVISORY COMMITTEE MEETING-PUBLIC HEARING IV-1A CAC Call to Order at 4:50 pm Rosario/Nelson moved/seconded a motion to move into a public hearing. • IV-1B Public Hearing 1 WORKER OWNERSHIP RESOURCE CENTER John Shannon Distributed information sheet describing WORC microenterprise programs to provide training, technical assistance, financial assistance and peer support to low/moderate income persons starting new businesses. 2 WOMEN'S COMMUNITY BUILDING with WORKER OWNERSHIP RESOURCE CENTER John Shannon Seeks funds to establish commercial kitchen facility at WCB as incubator for start-up and existing food processing businesses. 3 COMMUNITY SCHOOL OF MUSIC&ART Sam Velazquez Clarified this year's grant is a single purpose grant. Seeks to make accessibility modifications to elevator and restrooms at the F.O.E./Miller's Stationery building at 330 East State Street. 4 ITHACA NEIGHBORHOOD HOUSING SERVICES Paul Mozzarella Distributed two page summary of the First Time Homebuyers Program. Seeks matching funds for the city-wide First Time Homebuyers Program to provide assistance to 24 low/moderate families. LURALCAC JOINT MINUTES—DECEMBERI6, 1998 pageA 5 ALTERNATIVES FEDERAL CREDIT UNION Deirdre Silverman noted she was available to answer questions regarding AFCU, but would not speak for it due to her position on the CAC. AFCU seeks 1)matching funds for Individual Development Accounts[IDAs]for savings by low/moderate income persons for homeownership, 2)for Community Enterprise Opportunities program to provide training, counselling, support services, and credit access to low/moderate income persons starting or expanding micro-enterprise businesses, and 3)to renovate or replace building at West State and North Plain Streets as main bank building. One of the existing CFCU buildings would be sold to provide other funding sources. 6 BUILDING LINKS, INC. Cynthia Yahn Seeks funds to acquire and renovate building in West End business district as low rent complementary care health center and pharmacy, creating 16 new jobs. Rosario/Nelson moved/seconded a motion to close the public hearing. Carried IV-IC CAC Discussion [Cohen left meeting at 5:50 pm. Cummings assumed chair. Cohen returned at 5:55 pm and reassumed chair.] Discussion centered on determining which of the proposed projects would best meet HUD guidelines for funding. The 1999 CDBG program allows only single purpose applications for housing, public facilities, and economic development categories. Public service activities,funding in previous years, are not eligible in this cycle. 1 WORKER OWNERSHIP RESOURCE CENTER Requesting$80,000 CDBG economic development grant • 2 WOMEN'S COMMUNITY BUILDING with WORKER OWNERSHIP RESOURCE CENTER Requesting$100,000 CDBG economic development grant 3 COMMUNITY SCHOOL OF MUSIC&ART Requesting$40,000 CDBG public facilities grant 4 ITHACA NEIGHBORHOOD HOUSING SERVICES Requesting$400,000 CDBG housing grant 5 ALTERNATIVES FEDERAL CREDIT UNION Requesting$20,000 CDBG housing grant 6 ALTERNATIVES FEDERAL CREDIT UNION Requesting$105,000 CDBG economic development grant 7 ALTERNATIVES FEDERAL CREDIT UNION Requesting$400,000 CDBG economic development grant IURA/CAC JOINT MINUTES- DECEMBER 16 1998 pages Requesting$400,000 CDBG economic development grant 9 PB ASSOCIATES Requesting$127,000 CCI economic development grant 10 BOULEVARD DEVELOPMENT Requesting$268,000 CCI economic development grant 11 CAYUGA BOAT& COTTAGE Requesting$25,000 CCI economic development grant 12 CAYUGA BOAT& COTTAGE Requesting$90,000 CCI economic development grant 13 M. V. MANHATTAN, Ltd. Requesting$85,000 CCI economic development funds Discussion further touched on the long-term impact of various proposal on the City:year- round jobs versus seasonal jobs, and the appropriate socio-economic targeting of CDBG/CCI funding. Establishment of a loan pool in lieu of direct grants to projects was also considered, but a specific end use was considered a stronger HUD-approvable application. IV-1D CAC Recommendations for Inclusion in CDBG/CCI Applications AMENDED 01/14/99 1 COHEN/SILVERMANMOVED/SECONDED A RESOLUTION TO RECOMMEND ITEMS IV- 1C-7, IV-1C-4,AND IV-1C-5 FOR CDBG FUNDING. DEFEATED Cohen in favor, Silverman abstaining, others opposed. 2 Rosario/Preston moved seconded a resolution to recommend Items IV-1C-4 and IV-1C-5 for CDBG funding. CARRIED Cohen opposed, Silverman abstaining, others in favor. 3 Cohen/Plater moved/seconded a resolution to recommend, in order of preference, Items IV-1C-8, IV-1C-13, and IV-1C-10 for CCI funding. CARRIED unanimously. IV-1H CAC Adjourned at 6:45 pm. - & u • I i A . rreA n 'rrr I II, IV-2 IURA DISCUSSION OF CAC RECOMMENDATIONS No discussion. IV-3 RECOMMENDED CDBG APPLICATION Cummings/Preston moved/seconded that the IURA accept the CAC recommendations and forward them to Common Council for approval. WHEREAS the Ithaca Urban Renewal Agency [IURA] recognizes the need to support efforts which promote IURA/CAC JOINT MINUTES-DECEMBERIG. 1998 page WHEREAS the Ithaca Urban Renewal Agency [IURA] recognizes the need to support efforts which promote affordable housing,job creation, and improve public facilities benefitting Ithaca's low- and moderate- income population, and WHEREAS on November 25, 1998, the US Department of Housing and Urban Development [HUD] announced the availability of up to $400,000 in funding through the Community Development Block Grant [CDBG] Small Cities program for single purpose proposals to address housing, public facilities or economic development needs, and WHEREAS such application must be submitted by February 3, 1999, and WHEREAS the IURA has issued two requests for proposals seeking projects from for-profit and not-for-profit sponsors, and WHEREAS eligible projects submitted to the IURA were evaluated by the IURA's Community Advisory Committee [CAC] and WHEREAS the IURA endorses the CAC's recommendations, now, therefore, be it RESOLVED that the IURA recommends that the Common Council authorize the submission of up to a $400,000 fiscal year 1999 CDBG Small Cities application to include the Ithaca Neighborhood Housing Service Citywide First-Time Home-buyers Program/Individual Development Accounts for New Home Ownership Project. CARRIED Cohen opposed, others in favor IV-4 RECOMMENDED CCI APPLICATION Cummings/Preston moved/seconded that the IURA accept the CAC recommendations and forward them to Common Council for approval. WHEREAS on November 25, 1998, the US Department of Housing and Urban Development[HUD] announced the availability of a special category of funding from the Community Development Block Grant [CDBG] Small Cities program through its Canal Corridor Initiative [CCI]to assist communities on the New York State Barge Canal System or connecting waterways in revitalizing their waterfront areas, and WHEREAS such Canal Corridor Initiative application must be submitted by February 3, 1999, and WHEREAS the funding available through this initiative, Section 108 loans and Small Cities CDBG funds, is intended to leverage private sector commitments to develop projects that lead to the physical and economic revitalization of these waterfront areas including the creation of jobs and the expansion of the local tax base, and WHEREAS the City may apply for a maximum of$300,000 of grant funds through the CCI program and future loan funding commitments of at least$1,000,000 through the Section 108 loan guarantee program assistance in conjunction with the CCI program, and WHEREAS this present Canal Corridor Initiative application is only for the grant component of the total funding, and WHEREAS the IURA has issued two requests for proposals seeking projects, and WHEREAS eligible proposals submitted to the IURA were evaluated and ranked by the IURA's Community Advisory Committee, and LURA/CAC_IOINT_MINUTES DECEMBER 16. 1998 pages WHEREAS the IURA endorses the CAC's recommendations, now, therefore be it RESOLVED that the IURA recommends that the Common Council authorize the submission of a fiscal year 1999 Canal Corridor Initiative application to include one or more of the following projects, ranked in priority order with the highest ranked project listed first: 1. Building Links proposal for the Lower West End Complementary Health Care Center; 2. M/V Manhattan proposal to acquire an excursion vessel; 3. Boulevard Development proposal for a waterfront restaurant and public waterfront promenade on Inlet Island at 407 Taughannock Boulevard, and be it further RESOLVED that in the event the above listed priority projects cannot satisfactorily address feasibility issues and rating criteria by the submission deadline, the IURA hereby recommends that the Common Council authorize submission of an alternative fiscal year 1999 Canal Corridor Initiative application proposal to capitalize a generic loan/grant pool to assist unspecified canal-related economic development. CARRIED unanimously. IV-5 NEXT MEETING The time of the next meeting of IURA is changed to 4:00 pm, Thursday, January 14, 1999, per agreement of members present. Financial information on HODAG and UDAG is requested for next meeting. There also was question regarding the use of Community Development Revolving Loan Fund: a resolution will be prepared addressing the targeting intent for consideration at the next meeting. V MEETING ADJOURNED AT 7:05 pm end 01/05/99 KH/mfh // /-f