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Microsoft word - urab minutes 8-24-2010-rev 2.doc
City of Sandpoint Urban Renewal Agency Board
City of Sandpoint Council Chambers 7:30 AM
Eric Paull, Marilyn Sabella, Chris Schreiber, Steve Lockwood
Mayor Hellar, Stephen Drinkard, Kim Woodruff, Jeremy Grimm, Kody Van Dyk andCouncilman Carrie Logan
Kathleen Hyde, manager DSBA, Todd Prescott, CEO of Whitewater Creek, LLC, andRyan Hackett and Neil Rubano and Dari Barillette and John Sayler of the Milltown ParkApartments Project
Meeting was called to order by Eric Paull, Chairman at 7:31 AM
Approval of Minutes:
Approved August 3, 2010 minutes as submitted.
Eric Paull reported that there were no new changes since the last meeting to the revenue.
One bill was submitted by Kody Van Dyk, Public Works Director, for work done by Black
Diamond Engineering on Second Avenue construction design: $7,715. Chris Schreiber
motioned to pay the bill; his motion was seconded by Steve Lockwood. All voted in favor.
a. 2010 Downtown and Northern Plan Amendments—update.
a. Paull reported that both RAA Plans for both urban districts were approved by city
council and the ordinances in support of the revised Plans were passed.
a. Mr. Hackett approached the board a second time to present his case for the
funding support of SURA. He reiterated the need to show local monetary supportfor the grant funding (USDA) his development group is trying to secure for theNet Zero apartment complex they want to build on the east side of Super 1 onthe Renova.
b. He reiterated the need for affordable housing—in this case apartments—in
Sandpoint. He reminded the board of the city’s commitment to affordablehousing.
c. Architect John Sayler re-presented the heart of the project, a component
necessary to grant money—i.e., net zero energy use. In other words, thisproposal depends upon a partnership with the co-generation, woody bio-masssteam heat model the city is working on. It is expected that by next fall the co-generation model will be running at the city’s airport property about 2/3’s of a mileaway.
d. Chris Schreiber asked “how much money will it take to get the steam heat from
the airport to the apartment complex?” Answer: About $55 a lineal foot plus thecost of unknowns. When Hackett and Sayler were asked what if the woody bio-mass co-generation plant were not built and/or steam heat pipes could not reachthe Renova property, they answered “the USDA would have to reviewalternatives.” Both presenters could not offer net zero alternatives at this time.
e. Steve Lockwood again focused on the design and in particular the north-south
orientation of the apartments. He is concerned about the loss of heat gainpossible in a east west orientation.
needed. Sayler responded by saying, “I don’t know.”
f. Lockwood also questioned the cost of the project. He noted that the $6,000, 000
cost of the complex might not come very close to a likely appraised value of amillion or two. Hackett replied that the higher costs were simply due to federalparticipation and to the cost of subsidizing rents.
g. Jeremy Grimm asked if the project could be satisfied with capturing the simple
tax incremental increase from raw land to an apartment building. Hackett replied,no, he didn’t think so, but he would ask IHFA. As far as he knows they needupfront cash infusions.
h. Paull advised Hackett et al that SURA could not make any decision until the
council has met and decided upon the revised Plans for both northern anddowntown districts. They would meet on the 27th, a Monday to vote on thisproject and to offer stipulations, if necessary.
ERIC PAULL OPENED THE BUDGET HEARING AT 8:20 TO THE GENERAL PUBLIC.
SEEING NO PEOPLE PRESENT WHO WANTED TO ADDRESS SURA’S BUDGET HECONTINUED THE MEETING, WITH THE BUDGET
a. Todd also presented a request for funding of another affordable housing
project—a 50 unit restricted living complex (for seniors only) on his property innorth Sandpoint adjoining his currently operating 60 unit affordable housingcalled Ponderosa. Both Ponderosa and the projected “Schweitzer Ranch” projectare funded primarily through tax credits.
b. Todd explained to the board that he has applied twice already for tax credit
funding for the Schweizter Ranch project, a project he noted that already has cityapproval. But, he has been denied twice, he thinks because the “rules havechanged.” Now, it appears, the state people and IHFA are looking for tax creditprojects that have some local money invested in the project.
c. To that end, he is asking SURA only for the amount of money that would be
generated over a fixed time period for by the incremental difference between theappraised value of the raw land and the appraised value of the apartmentcomplex once it’s occupied. In other words, he said, he is not asking for SURAto pay dollars it cannot retrieve through taxation. The amount he requests is$375,000.
d. Carrie Logan stated that she thought there were no longer waiting lists for
apartment housing. Todd replied that his market study shows a need and, in fact,he stated, he would not go ahead with the project if he didn’t think there was aneed, and he has been in the business for decades. His project is not grantfunded, but is basically investor funded.
e. Eric Paull told Mr. Prescott the same thing he told Mr. Hackett. SURA will wait
until the 27th to make their decision on their proposals.
AT APPROXIMATELY 9:00 AM PAULL CLOSED THE BUDGET HEARING AND ASKED FOR AVOTE ON THE NEW FISCAL YEAR’S BUDGET.
MARILYN S. SECONDED THE MOTION WHICH WAS THEN PASSED UNANIMOUSLY BY THEBOARD.
a. Chris S. said he has some doubts about the market studies presented. These
studies, said Chris, overlook condo vacancies and trailer parks.
b. Paull reminded the board of a special meeting on Monday the 30th to vote on the
two projects presented today. Paull noted that the meeting date was dependentupon John Corn being present given his expertise.
a. Kody Van Dyk made a brief appearance and reported that the construction
drawings were almost done and by the next week the project should go out tobid.
Meeting adjourned at 9:13, motioned by Chris Schreiber and seconded by MarilynSabella.
Minutes taken by Stephen Drinkard and Eric Paull
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