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December 12, 2016 Urban Renewal AgendaCITY OF WOODBURN URBAN RENEWAL AGENCY AGENDA KATHRYN FIGLEY, CHAIR MELINDA VELIZ, BOARD MEMBER WARD 1 LISA ELLSWORTH, BOARD MEMBER WARD II ROBERT CARNEY, BOARD MEMBER WARD III SHARON SCHAUB, BOARD MEMBER WARD IV FRANK LONERGAN, BOARD MEMBER WARD V ERIC MORRIS, BOARD MEMBER WARD VI DECEMBER 12, 2016 - 8:00 P.M. CITY HALL COUNCIL CHAMBERS - 270 MONTGOMERY STREET CALL TO ORDER 2. ROLL CALL 3. CONSENT AGENDA A. Urban Renewal minutes of November 14, 2016 Recommended Action: Approve the minutes. 4. PRESENTATIONS None. 5. PUBLIC HEARINGS A. FY 2016-2017 Supplemental Budget Hearing for Alleyway Project 6. GENERAL BUSINESS A. A Resolution Approving a FY 2016-2017 Supplemental Budget Recommended Action: Hold a public hearing and adopt the attached resolution approving a supplemental budget for fiscal year 2016-2017. B. URG 2016-02: 237 N. Front Street (Agorae, LLC/Nathan Hurst) Recommended Action: In agreement with the Downtown Advisory Renewal Subcommittee (DABS), it is recommended that the Woodburn Urban Renewal Agency Board approve a Building Improvements Program grant application from Agorae, LLC (Applicant) in the amount of $875; 25% of the overall cost of the improvements ($3,500). 7. PUBLIC COMMENT 8. ADJOURNMENT December 12, 2016 Urban Renewal Agency Page i 1 3 5 N. URBAN RENEWAL AGENCY BOARD MEETING MINUTES NOVEMBER 14, 2016 0:00 DATE COUNCIL CHAMBERS, CITY HALL, CITY OF WOODBURN, COUNTY OF MARION, STATE OF OREGON, NOVEMBER 14, 2016 CONVENED The meeting convened at 6:15 p.m. with Chair Figley presiding. ROLL CALL Chair Figley Member Schaub Member Lonergan Member Carney Member Morris Member Ellsworth Member Alonso Leon Present— 6:22 p.m. Present Present Present Present — 6:21 p.m. Present Present Staff Present: City Administrator Derickson, Assistant City Administrator Row, City Attorney Shields, Economic and Development Services Director Hendryx, Police Chief Ferraris, Finance Director Montoya, Deputy Police Chief Boyd, Economic Development Director Johnk, Interim Public Works Director Liljequist, Community Relations Manager Gutierrez -Gomez, Communications Coordinator Horton, City Recorder Pierson 0:00 CONSENT AGENDA A. Urban Renewal Agency minutes of September 12, 2016. Ellsworth/Schaub... adopt the Consent Agenda. The motion passed unanimously. 0:01 PRESENTATIONS Audit Presentation - Chuck Swank, Grove, Mueller & Swank, P.C., informed the Urban Renewal Agency that the 2015-2016 URA audit is complete and received an unmodified opinion. 0:09 URG 2016-01253 N. FRONT STREET (CORTES) Lonergan/Alonso Leon... approve the Urban Renewal Grant applications from Jesus Cortes (Applicant), for up to $3,805 (25% of total project). Member Morris stated that he has concerns about this application since the applicant didn't provide three bids. On roll call vote for final passage the motion passed 5-1 with Member Morris voting nay. 0:17 WOODBURN ALLEYWAY BEAUTIFICATION PROJECT UPDATE Economic Development Director Johnk provided an update on the Alleyway Beautification Project. Finance Director Montoya provided information on the funds available for this project. Lonergan/Morris... proceed with Alleyway Beautification project option two. The motion passed unanimously. 0:45 ADJOURNMENT Morris/Schaub... meeting be adjourned. The motion passed unanimously. The meeting adjourned at 7:14 p.m. APPROVED Page 1 — URA Board Minutes, November 14, 2016 ATTEST URBAN RENEWAL AGENCY BOARD MEETING MINUTES NOVEMBER 14, 2016 KATHRYN FIGLEY, CHAIR Heather Pierson, City Recorder City of Woodburn, Oregon Page 2 — URA Board Minutes, November 14, 2016 f,�'IPr ,vera DBURN Pr��oe. �;�:;rr�reef A$'7R7 December 12, 2016 TO: Urban Renewal Agency Board FROM: Sandra Montoya, Finance Director SUBJECT: FY 2016-2017 SUPPLEMENTAL BUDGET HEARING FOR ALLEYWAY PROJECT RECOMMENDATION: Hold a public hearing and adopt the attached resolution approving a supplemental budget for fiscal year 2016-2017. SUPPLEMENTAL BUDGETS GENERALLY: Every year, after the budget is adopted by the Board, circumstances arise that were either unforeseen or not quantifiable at the time the budget was prepared and adopted. Oregon Budget Law provides for changes to adopted budgets through a supplemental budget process that requires that the Board provide public notice of proposed changes and, if the change is greater than 10% of any fund's total expenditures, hold a public hearing to discuss the proposed changes and accept public testimony on the changes. In addition, supplemental budgets can be used to correct errors or oversights. Staff provided the required public notice via the Woodburn Independent and the hearing will be conducted by the Board prior to consideration of the resolution. Like the adopted budget, supplemental budget requests must be balanced; in other words, net revenue and net expense for the request must be equal. This can be accomplished by budgeting additional revenue, or by reducing another expenditure category (such as contingencies). DETAILS OF THIS REQUEST The Urban Renewal Agency's Capital Outlay is being increased by $75,600 (including a 5 percent contingency) to fund the Alleyway project approved by the Board during the November 14, 2016, meeting. In addition to the Alleyway project funding, $10,236 is allocated towards contingency for the First Street project. Agenda Item Review: City Administrator _x_City Attorney _x Finance _x Honorable Mayor and City Council December 12, 2016 Page 2 The offsetting revenues include a combination of FY 2015-2016 fund balance of $16,311; additional property tax revenue of $63,757; and higher interest earning projections due to rising interest rates of $5,768. FINANCIAL IMPACT: Exhibit A displays the supplemental budget as posted in the newspaper. WOODBURN URBAN RENEWAL AGENCY RESOLUTION NO. 2016-03 A RESOLUTION APPROVING A FY 2016-2017 SUPPLEMENTAL BUDGET WHEREAS, ORS 294.471 (1) (a) permits supplemental budgets when "an occurrence of condition which had not been ascertained at the time of the preparation of a budget for the current year or current budget period which requires a change in financial planning"; and WHEREAS, ORS 294.471 (1) (f) permits supplemental budgets when "ad valorem taxes are received during the fiscal year in an amount greater than the amount estimated to be collected"; and WHEREAS, ORS 294.473 requires the governing body to hold a public hearing on the supplemental budget when the estimated expenditures contained in the supplemental budget for fiscal year or budget period differ by ten (10) percent or more of any one of the individual funds contained in the regular budget for that fiscal year; and WHEREAS, ORS 294.448(2) requires the governing body to notice the a budget hearing and a summary of the changes by publishing in the newspaper, mail, or hand delivery; WHEREAS, the supplemental budget contained herein is made pursuant to ORS 294.471, ORS 294.473, and ORS 294.448(2); and WHEREAS, a public hearing was held December 12, 2016 on the supplemental budget changes, NOW, THEREFORE, THE WOODBURN URBAN RENEWAL AGENCY RESOLVES AS FOLLOWS: Section 1. That pursuant to the applicable ORS provisions cited above, the Urban Renewal Agency Board hereby approves the supplemental budget for FY 2016-2017 in the amounts listed in Exhibit "A." Approved as to Form: City Attorney APPROVED: Kathryn Figley, Chair Page 1 - RESOLUTION NO. 2016-03 Passed by the Agency Submitted to the Chair Approved by the Chair Filed in the Office of the Recorder ATTEST: Heather Pierson, City Recorder City of Woodburn, Oregon Page 2 - RESOLUTION NO. 2016-03 EXHIBIT A NOTICE OF SUPPLEMENTAL BUDGET HEARING A public hearing on a proposed supplemental budget for the City of Woodburn Urban Renewal Agency, Marion County, State of Oregon, for the fiscal year July 1, 2016 to June 30, 2017 will be held at the City of Woodburn City Hall, 270 Montgomery St Woodburn, Oregon 97071. The hearing will take place on the 12th day of December 2016 at 8:00 pm. The purpose of the hearing is to discuss the supplemental budget with interested persons. A copy of the supplemental budget document may be inspected or obtained on or after December 8, 2016 at the City of Woodburn City Hall, 270 Montgomery St Woodburn, Oregon 97071, between the hours of 8:00 am and 5:00 pm. Fund Original Supplemental Revised Urban Renewal Fund (720) Revenues Fund Balance 1,700,000 16,311 1,716,311 Taxes 565,000 50,989 615,989 Miscellaneous Revenue 7,000 5,768 12,768 Note Proceeds - Revenues Total: 2,272,000 73,068 2,345,068 Expenditures Personal Services 84,387 - 84,387 Materials & Services 84,000 - 84,000 Capital Outlay 200,000 73,068 273,068 Contingency 1,903,613 - 1,903,613 Expenditures Total 2,272,000 73,068 2,345,068 *Supplemental Capital Outlay increase is for Alleyway project of $73,068 ($72,000 project plus contingency). I:lAdmin\Budgets12016-17 BudgetlSupplemental Budget Reports116-17 URA Supplemental Budget Hearing Notice 12-12-16 �'I �'1�it I Iii ♦ r�} Y 9M& Its BU December 12, 2016 TO: Urban Renewal Agency FROM: Jamie Johnk, Economic Development Director SUBJECT: URG 2016-02: 237 N. Front Street (Agorae, LLC/Nathan Hurst) RECOMMENDATION: In agreement with the Downtown Advisory Renewal Subcommittee (DABS), it is recommended that the Woodburn Urban Renewal Agency Board approve a Building Improvements Program grant application from Agorae, LLC (Applicant) in the amount of $875; 25% of the overall cost of the improvements ($3,500). BACKGROUND: The building tenant (Herbalife Distributors) contacted the property owner regarding a floor area in the lower level of the building. This area of the building is used for the commercial portion of the business and the floor repair is imperative to the ongoing operations. PROPOSAL: The Applicant has proposed to repair the damaged floor replacing the existing subfloor and tile. The work will be completed upon approval of the funding request. The overall cost of repairs for the property located at 237 N. Front Street: Building Improvements Program Grant 875 Estimated cost of all improvements $ 3,500 Percentage of grant 25% Program Criteria: • The property is located at 237 N. Front Street and within the Urban Renewal District. (Meets) • The proposal complies with the downtown architectural design standards and signage standards. (Meets -replacing the damaged floor preserves the integrity and use of the building.) Agenda Item Review: City Administrator _x City Attorney _x Finance _x_ Honorable Mayor and City Council December 12, 2016 Page 2 • The project encourages greater marketability of the Urban Renewal Grant and Loan District. (Meets -repairs to the property will enhance the marketability of the property for current and future tenancy.) • The proposal will complement the existing surrounding community. (Meets -repairs will prevent ongoing damage to this property and provide economic viability to the tenant.) • The project design works toward restoring the building as closely to its original design as possible. (Not applicable) • That building interiors are improved with a focus on addressing code- related improvements. (Not applicable) • The project is in the public interest. (Meets -the Urban Renewal Program specifically identifies the need to improve buildings within Woodburn's Urban Renewal Grant and Loan District.) 1. There is a 3/4 match requirement required for the Program. Invoices must be submitted for reimbursement. No grant money will be disbursed until the project is completed and is approved by the Agency. 2. Grant and loan funds may be used for materials and services provided by licensed contractors. 3. Projects shall be completed within one year of approval in order to be eligible for reimbursement. Grants provide for a single payment after receipts are provided and all completed work is accepted by the City. 4. All work will be done by licensed contractors. SUMMARY AND CONCLUSION: The Building Improvements Program is intended to encourage and assist business and property owners to invest in the Urban Renewal District. This project requests assistance in improving the subject property by replacing damaged flooring and providing an improved workspace for the tenant. DARS reviewed the application at its November 17, 2016 meeting and is recommending its approval to the Urban Renewal Agency. Attachments: Building Improvements Application APPLICATION ®Small Grant Elarge Grant Sloan (fee FDesign Services (Fee$,5ckIi APPLKANT WFORMA 11- ION Narne.W Agorae, LLC Phone- 503-201-5069 lax 0 number:46-1802971 Pf'%0PER ry OWNER INFOIRFOATtON FOR OFFICE USE ONLY Appkation Dale; Approval Date: Arnount Awarded: Property Address!!! 237 N. Front Street Woodburn, OR 97071 Name: Agorae, LLC Phone/Ernaii 503-201-5069 Cuty:Woodburn st.OR zip. 97071 I Ownes signature aw 11/02/2016 1 BBA ESS AND / OR PRONIEC I IWOMAATION Name of Bus�ness Herballife Distributor BLISiness Owner's Name: Alfonso & Maria Gonzalez Address: 237 N Front Street Phone:503-902-2115 cbtyMoodburn State: OR Ziip: 97071 Type of Busmess: Herbal Life sales upper Flavor Use: Residential P110,11C)SM f MPROVEMENTS improvements Tyre, 121 Interior Improvements [:]Exterior Improvements other Descnpfizm� Repair/Replace a portion of lower level floor that has damaged sub floor. Replace existing damaged tile floor with alternative flooring option i.e. Vinyl or Linoleum flooring . ... . .. ....... . . ..... .... .. ...... . ...... . .. ....... .... .. . . . ....... .. . 3,500.00 cofiected By; Rece;pr #: Date: .... . . . . . ... CERTIMATION BYAPPLICAWr The Applicant certifies that all information provided in this application is true and complete to the best of the Applicant's knowledge and belief. The Applicant represents to the City that this Agreement has been duly authorized by all necessary action on the part of the Applicant and no other corporate or other action on the part of the Applicant is legally required. If the Applicant is not the owner of the property to be rehabilitated, the Applicant certifies that it has the legal authority to sign and enter into an agreement to perform the proposed work on the building. Evidence of this legal authority must be attached. Applicant acknowledges, and agrees the Agency shall have, no obligation to pay any persons providing materials or performing labor or to cause the release of any mechanics or other liens that may be recorded against the above property in connection with the proposed improvements. C, Applicant's Signature Date ACKIqOWI.EDGAVIENI'fly' PROPE'I?TY OWNER (if different than Applicant) The Property Owner hereby acknowledges all the above terms of this application and agrees that the Agency shall have no obligation to pay any persons providing materials or performing labor or to cause the release of any mechanics or other liens that may be recorded against the above property in connection with the proposed improvements. Property Owner's Signature Date V V e s I C"I" c) I I r" 1, r'� P" i -r � o e i I C" 2711 Molalla Rd Woodbum,or 97071 CCB # 212487 5035479712 For: Jay Jones Agorae, LLC Ouote No: 36 Date: October 18, 2016 Pans 9 012 Code Description Quantity I Rate Discount Amount ...... ....___... _w.._._ ...... . supplies: plywood screws any 12 $50.00 0,00% 0.00% $600.00 added lumber to repair the structur of the kitchenand also the dump fee Subtotal $3,285.80 TAX (8.00%) MOO MENTMIN] (0.00%) $0.00 foia� $' 3,2 8 5 80 rage, 7 M7 11/1/2016 Date: Nomarco IncJay Jones , To: 4066 S Elliott Prairie Rd.Agorae LLC Of (company): Woodburn, Or. 97071Front St City, State, ZIP: oregonselect@yahoo.com Project: Flooring Remodel General Contractors ccb #7195830 days Offer good until: We propose to provide all materials and perform all labor necessary to complete the following: Options 1. Remove existing flooring in kitchen, entry hallway, closet area $1,650 2. Install new subflooring and proper flooring base for new flooring $815 3. Install new flooring (vinyl) to all parts that were removed : Kitchen, Hallway, Closet $615 4. New rubber cover base installed and glued $305 5. Materials for new flooring $440 - $600 Depending on cost at time of purchase This Proposal will furnish labor and materials, complete in accordance with above specifications, for the sum of: See options Dollars $ See options Payments to be made as follows Contractor's signature'. Payment to be 50% down, balance upon completion Or otherwise agreed in writing Jess Doman 503-79346506 Acceptance of Proposal: The above specifications, conditions and price and payment schedule are satisfactory and are hereby accepted. Contractor is authorized to do the work as specified. Owner's signature: Date: Doug Shepherd's Dirt Work General Contractor CCB #157241 (503)-510-0673 Estimate Nate Hurst Hubbard, OR Job: flooring repair kvir=.. .1-MMM01 Services Provided Demo damaged floor and replace floor where needed Prop and install vinyl flooring and replace cove base Page 1 of 1