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Economic Development Minutes 2015 04-09-15Page 1 of 4 APPROVED 5/5/15 UNITED CITY OF YORKVILLE ECONOMIC DEVELOPMENT COMMITTEE Thursday, April 9, 2015, 6:00pm Yorkville City Hall, Conference Room 800 Game Farm Road In Attendance: Committee Members Chairman Ken Koch Alderman Carlo Colosimo Alderman Joel Frieders Absent: Alderman Diane Teeling Other City Officials Mayor Gary Golinski City Administrator Bart Olson Community Development Director Krysti Barksdale-Noble Alderman Chris Funkhouser Code Official Pete Ratos Other Guests: Tony Scott, Kendall County Record Lynn Dubajic, YEDC Attorney John Phillipchuck Tim Greyer, Greyer Builders Brody Greyer Dave Fenton, Arizon Structures Michael Ganger, White Oaks Martin Francis, Architect, Image Innovations Justine Brummel, KBL Comm. Center Jason Brummel, KBL Comm. Center Bob Willman, KBL Comm. Center Eric Granrud, KBL Comm. Center Attorney Boyd Ingemunson The meeting was called to order by Chairman Ken Koch at 6:00pm. Citizen Comments None Previous Meeting Minutes March 3, 2015 The minutes were approved as read. New Business 1. EDC 2015-10 Building Permit Report for February 2015 Ms. Barksdale-Noble reported a slow beginning to this year in comparison to the last two years in this month. Some residential and miscellaneous permits are in process. Page 2 of 4 2. EDC 2015-11 Building Inspection Report for February 2015 Inspections are slightly down from last year, but fences are being built and some remodeling is being done, according to Mr. Ratos. 3. EDC 2015-12 Property Maintenance Report for February 2015 Two cases were heard and no citations were issued in February. A maintenance issue on Bridge St. was resolved within two days, but a case on Fox St. has had no progress yet. Mr. Ratos noted there has been no further complaints about the sawmill, however, there is a standing violation regarding the fence and if not addressed, more citations could be forthcoming. 4. PC 2015-05 KBL Community Center (f/k/a Silver Fox Subdivision) – Special Use Request Ms. Barksdale-Noble gave an overview and said the property was the former Silver Fox Subdivision consisting of 100 acres. An air-supported dome/community center would be built on about 24 acres and the petitioner would request a special use to the R2 zoning. The matter will be heard before the Zoning Board and Plan Commission in May. The petitioner, Justine Brummel, said the main purpose of the facility is to provide activities for special needs adults and children. She has a special needs child and said there is no adequate facility nearby. There would be opportunities for anyone with disabilities, allow them to be with peers and provide training to live independently. She said the facility could be rented by others groups as well. Alderman Koch said as a Park Board member, he heard similar requests, but the costs were too great. He said this facility would be good for the community. Alderman Frieders agreed this would be a great asset. The petitioner's attorney introduced others in attendance who are working on the project. A site plan was presented, easements for sewer and water will be provided for future development and a left turn lane will be constructed on Fox Road. Others involved in the project gave construction details for the dome, an acoustic report was given and lighting was discussed. An indoor track would be one of the features and Ms. Brummel noted that the schools do not have this amenity. The access road was questioned by Alderman Funkhouser. According to Attorney Phillipchuck, the road may be repositioned. He asked about water discharge from the facility, which will be piped to a ditch. In response to other questions the Alderman had, Mr. Phillipchuck said an existing tree will remain and the blowers will not be fenced for ease of snow removal. This item will move forward to Zoning Board of Appeals and Plan Commission in May. 5. PC 2015-13 Ordinance Approving a Redevelopment Agreement for the Downtown Yorkville Redevelopment Project Area – 226 S. Bridge St. Attorney Boyd Ingemunson presented illustrations showing the proposed plan for the business at 226 S. Bridge St. He said an attempt would be made to keep as much of the former law office as possible. They will use food service from nearby restaurants and apply for a Class A liquor license. He said the stage area would be on the west side of the building with an emergency exit behind the stage. Alderman Colosimo expressed concern that people might not be aware of this exit. Hours of operation, capacity, types of liquor to be served, parking during multiple downtown events and other details were discussed. Page 3 of 4 Mr. Olson discussed the details of the TIF agreement for this business. It was noted that there is no guarantee of payment if the increment is met. An extension of the TIF will be discussed. Mayor Golinski asked if the TIF could be used on the north side of the river if the original TIF is extended. Mr. Olson replied that a new one would have to be created and an extension requires State action. Alderman Funkhouser commented that the downtown district would be well-served on the north side and there are redevelopment opportunities there. By voice vote, the committee approved of this Agreement and it will move to the April 28th City Council meeting. 6. EDC 2015-14 B.U.I.L.D. Program At a roundtable discussion, Ms. Barksdale-Noble said builders expressed concern for the proposed June cessation of this program. The builders said this program has set Yorkville apart by maintaining construction during the recession. She said that the spec homes/model home incentives are not replacements for the B.U.I.L.D. Program. Since June is the beginning of the building season, the general consensus was to extend the program to the end of the year. Builder Tim Greyer and Lynn Dubajic, YEDC, were present in support of extending this program. Staff determined 100-200 permits per year are needed to encourage commercial development. Ms. Noble commented that only 18 building permits have been issued this year that are depending on the B.U.I.L.D. Program. Alderman Colosimo reiterated his position that the current taxpayers are left paying for the program. Ms. Dubajic replied that the new residents will eventually be “current taxpayers”. More rooftops encourage more commercial development, said Mayor Golinski, thus benefiting the established homeowners. He asked if there was a way to lower other fees rather than impacting the sewer/water funds. Alderman Koch also noted the need for $8 million to repair the streets in Countryside. It was noted the increase in water rates for Countryside improvements will be for 20 years. Administrator Olson said the real issue is to look at the program's impact on the number of homes built in the City. The builders at the earlier meeting said there would be a decrease in the number of homes sold if the program is discontinued. Ms. Dubajic said the program is a marketing tool and brings people to Yorkville. Alderman Funkhouser pointed out that Sandwich has not built a home in six years and they are looking at the Yorkville model. He said Pulte built out an entire unit, but would have shelved the project if there was no program. He suggested eliminating impact fees and increasing/spreading out user fees. Alderman Colosimo said if the City is confident in the program, the risk should fall on the General Fund since the money has already been received from residents. However, Mr. Olson said from a bond-rating perspective, it is always best to keep money in the General Fund. Alderman Frieders suggested a possible tiered rebate to the builder depending on the number of permits they obtain. He said it made sense to continue the program to December. Alderman Koch suggested raising other fees and lower water fees. Since the matter will not likely be settled before the budget is approved, Mr. Olson recommended making the budget amendment to assume conservative water revenue projections. He will lower the budget predictions prior to the next Council meeting. Ms. Barksdale-Noble said staff tried to develop some creative solutions and suggested asking banks with homes in foreclosure, to register with the City and pay a fee for the City's time for inspections. It Page 4 of 4 could extend to commercial properties as well, however, revenue from these sources would be limited. Mr. Koch asked if the builders had ideas during the meeting. They suggested expanding the tax base and have more people share the burden. Alderman Frieders said the City should extend the program to December, adjust the budget and address the $70,000 which would be transferred out of the General Fund for the program and keep the discussion on the table. Mayor Golinski said he would also like the program to continue through December. Mr. Colosimo will schedule a Ward meeting to obtain resident feedback. Old Business: None Additional Business: None There was no further business and the meeting was adjourned at 7:38pm. Minutes respectfully submitted by Marlys Young