October 29, 2018 URA Agenda LEY,CHAIR
CITY OF WOODBURN KATHRYN I MEMBER
JUAN SERRATOS,BOARD MEMBER WARD�
LISA ELLSWORTH,BOARD MEMBER WARD II
URBAN RENEWAL AGENCY ROBERT CARNEY, BOARD MEMBER WARD III
SHARON SCHAUB,BOARD MEMBER WARD IV
AGEND(�
j�iT FRANK LONERGAN,BOARD MEMBER WARD V
A RDA ERIC MORRIS,BOARD MEMBER WARD VI
OCTOBER 29, 2018-6:30 P.M.
CITY HALL COUNCIL CHAMBERS-270 MONTGOMERY STREET
1 . CALL TO ORDER
2. ROLL CALL
3. CONSENT AGENDA
A. Urban Renewal minutes of September 10, 2018 1
Recommended Action: Approve the minutes.
4. PRESENTATIONS
None.
5. PUBLIC HEARINGS
None.
6. EXECUTIVE SESSION
To consult with counsel concerning the legal rights and duties of a
public body with regard to current litigation or litigation likely to be filed
pursuant to ORS 192.660 (2)(h).
To consider records that are exempt by law from public inspection
pursuant to ORS 192.660 (2)(f).
To conduct deliberations with persons designated by the governing
body to negotiate real property transactions pursuant to ORS
192.660(2)(e).
7. GENERAL BUSINESS
A. FY 2018-19 Supplemental Budget for Purchase of Property Located 3
at 461 N. First Street (aka Pix Theater)
Recommended Action: Recommendation that the Urban
Renewal Agency authorize the Option to Purchase Real Property
from Ayesh Shanah (.0174-acre/Tax Lot No. 051 W 18BA00200) and
October 29, 2018 Urban Renewal Agency Page i
approve Resolution No. 2018-02 increasing FY 2018-19 spending
authority through a supplemental budget.
B. First Street Improvements - Oak Street to Harrison Street Design 7
Update
Recommended Action: That the Woodburn Urban Renewal
Agency direct staff to proceed with the original street design
concept for the First Street Improvements Project, which includes
modified bulb-outs (curb extensions).
8. PUBLIC COMMENT
9. ADJOURNMENT
October 29, 2018 Urban Renewal Agency Page ii
URBAN RENEWAL AGENCY BOARD MEETING MINUTES
SEPTEMBER 10, 2018
0:00 DATE COUNCIL CHAMBERS, CITY HALL, CITY OF WOODBURN, COUNTY OF
MARION, STATE OF OREGON, SEPTEMBER 10, 2018
CONVENED The meeting convened at 6:05 p.m. with Member Lonergan presiding.
ROLL CALL
Chair Figley Absent
Member Schaub Absent
Member Lonergan Present
Member Carney Present
Member Morris Present
Member Ellsworth Present
Member Serratos Absent
Staff Present: City Administrator Derickson, City Attorney Shields, Assistant City Administrator
Row, Community Development Director Kerr, Police Chief Ferraris, Economic Development
Director Johnk, Senior Planner Cortes, IT Manager Miles, Community Relations Manager Gutierrez-
Gomez, City Recorder Pierson
CONSENT AGENDA
A. Urban Renewal Agency minutes of August 13, 2018.
Ellsworth/Carney ... adopt the Consent Agenda. The motion passed unanimously.
PRESENTATIONS
A. Woodburn Fire District—Woodburn Fire Chief Budge provided an update to the remodel of the
fire station for which urban renewal grant funds are being used.
B. Public Arts and Mural Committee—City Administrator Derickson noted that the City has been
nominated to receive an award from Oregon Main Street. Economic Development Director Johnk
provided further information on the proposed art to be placed in the downtown plaza.
Ellsworth/Carney...authorization is given to expend the funds to move forward with the bronze
statute project for an amount not to exceed amount of$62,000. The motion passed unanimously.
URG 2018-05: 237 N. FIRST STREET (FLOMER FURNITURE WAREHOUSE)
Economic Development Director Johnk provided a staff report. Member Lonergan noted that Mr.
Flomer is a member of the DARS Committee and Member Ellsworth, also a member of DARS, stated
that Mr. Homer did not participate in any of the voting for the grant. Morris/Ellsworth... approve
the Building Improvements Program Grant Application (Program) from Thomas Flomer/Flomer
Furniture & Appliance (Applicant) for $13,872. The motion passed unanimously.
URG 2018-06: 1365 N. FRONT STREET (WOLFER'S HOME SERVICES)
Economic Development Director Johnk provided a staff report. Carney/Ellsworth...approve URG
2018-06 for 1365 N. Front Street(Wolfer's Home Services). The motion passed unanimously.
URG 2018-07: 607 N. FRONT STREET (FLOMER FURNITURE STORE)
Page 1 —URA Board Minutes, September 10, 2018
1
URBAN RENEWAL AGENCY BOARD MEETING MINUTES
SEPTEMBER 10, 2018
Economic Development Director Johnk provided a staff report and noted that Mr. Flomer, a member
of DARS, recused himself from voting on this grant. Carney/Morris...approve URG 2018-07. The
motion passed unanimously.
URG 2018-08: 591 N. FRONT STREET (CORNER BRICK LLC)
Economic Development Director Johnk provided a staff report and noted that Mr. Flomer, a member
of DARS, recused himself from voting on this grant. Morris/Ellsworth... approve URG 2018-08.
The motion passed unanimously.
ADJOURNMENT
Morris/Ellsworth... meeting be adjourned. The motion passed unanimously. The meeting
adjourned at 6:45 p.m.
APPROVED
KATHRYN FIGLEY, CHAIR
ATTEST
Heather Pierson, City Recorder
City of Woodburn, Oregon
Page 2—URA Board Minutes, September 10, 2018
2
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DBURN I&M
October 29, 2018
TO: Urban Renewal Agency Board
FROM: Sandra Montoya, Finance Director
SUBJECT: FY 2018-19 SUPPLEMENTAL BUDGET FOR PURCHASE OF
PROPERTY LOCATED AT 461 N. FIRST STREET (aka PIX THEATER)
RECOMMENDATION:
Recommendation that the Urban Renewal Agency authorize the Option to
Purchase Real Property from Ayesh Shanah (.0174-acre/Tax Lot No.
051 W 18BA00200) and approve Resolution No. 2018-02 increasing FY 2018-19
spending authority through a supplemental budget.
BACKGROUND:
The Pix Theater was constructed in 1948 and served as the local theater for nearly
50 years. After its close, the building housed a furniture store for a number of years
and has been vacant for more than a dozen years. With no tenant and minimal
maintenance, the building experienced a great deal of deterioration. The roof
has leaked for many years resulting in extensive damage to the interior of the
building, including dry wall molding and collapsing throughout. Damage has
been so extensive that in 2017 the City required the property owner to remove
the marquee and awning due to structural unreliability.
City staff has encouraged owner improvements for a number of years and
referred prospective buyers. For the past three years, staff interactions have
become more consistent as the condition of the property continued to
deteriorate. The property owner remained reluctant to make repairs or disclose
a reasonable price to sell the property. In August 2018 the property owner agreed
to work with the City and publish RFP's to hire professionals to assess the building's
structural integrity and environmental condition. The City received proposals from
three companies to complete the structural and environments assessments,
which combined, would cost more than twenty-five thousand dollars. Feedback
from the proposers indicated that demolition may be a more reasonable option.
In September 2018 City Administrator, Scott Derickson, met with Mr. Shanah and
shared the proposals and responses. Mr. Derickson offered to purchase the
property for the real market value of the land, $60,800, with the agreement that
the City will pay the back property taxes.
Agenda Item Review: City Administrator_x_City Attorney_x_Finance x_
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Honorable Mayor and City Council
October 29, 2018
Page 2
DISCUSSION:
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. Budget changes greater than 10% of
any fund's total expenditures, require a public hearing inclusive of notice. 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).
FINANCIAL IMPACT:
This Purchase and Bargain Sale Agreement between the City of Woodburn and
Ayesh Shanah to purchase the 0.174-acre property (461 N. First Street) identified
as Tax Lot No. 051 W 18BA00200. The total estimated purchase price of $71 ,800
includes $60,800 for the land plus an estimated $11 ,000 for back property taxes.
Funding for the property purchase is available through larger than budgeted
figures; $7,940 beginning fund balance and $67,600 additional property tax
revenue.
Urban Renewal Fund (720) Original Supplemental Revised
Revenues
Fund Balance 2,276,000 7,940 2,283,940
Taxes 682,370 67,600 749,970
1 ntergovernmental 50,000 50,000
Miscellaneous Revenue 56,630 56,630
Note Proceeds 2,450,000 2,450,000
Revenues Total 5,515,000 75,540 5,590,540
Expenditures
Personal Services 140,180 - 140,180
Materials &Services 229,930 3,740 233,670
Capital Outlay 4,945,000 71,800 5,016,800
Contingency 199,890 - 199,890
Expenditures Total 5,515,000 75,540 5,590,540
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WOODBURN URBAN RENEWAL AGENCY RESOLUTION NO. 2018-02
A RESOLUTION APPROVING A FY 2018-19 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, the supplemental budget contained herein is made pursuant to
ORS 294.471 , 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
2018-19 in the amounts listed in Exhibit "A."
Approved as to Form:
City Attorney Date
APPROVED:
Kathryn Figley, Chair
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 1 - RESOLUTION NO. 2018-02
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EXHIBIT A
October 29,2018
Urban Renewal Agency Board Meeting
FY 2018-19 Supplemental Budget for Purchase of Property
Urban Renewal Fund (720) Original Supplemental Revised
Revenues
Fund Balance 2,276,000 7,940 2,283,940
Taxes 682,370 67,600 749,970
Intergovernmental 50,000 50,000
Miscellaneous Revenue 56,630 56,630
Note Proceeds 2,450,000 2,450,000
Revenues Total 5,515,000 75,540 5,590,540
Expenditures
Personal Services 140,180 - 140,180
Materials & Services 229,930 3,740 233,670
Capital Outlay 4,945,000 71,800 5,016,800
Contingency 199,890 - 199,890
Expenditures Total 5,515,000 75,540 5,590,540
K:\xx PDF Agenda Process\2018\October 29\URA\Copy of Oct 2018- URA Supplemental Budget
6
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October 29, 2018
TO: City of Woodburn Urban Renewal Agency
FROM: Eric Liljequist, Public Works Director
SUBJECT: First Street Improvements - Oak Street to Harrison Street Design
Update
RECOMMENDATION
That the Woodburn Urban Renewal Agency direct staff to proceed with the
original street design concept for the First Street Improvements Project, which
includes modified bulb-outs (curb extensions).
BACKGROUND:
During the September 24, 2018 City Council presentation of the First Street
Improvements Project, City Council members directed staff to evaluate the
viability of implementing an alternate street design that did not include bulb-outs.
The City Council's main concerns were pedestrian safety and truck turning
movements.
DISCUSSION:
At tonight's meeting, staff will present a comparison of the original street design
configuration with a modified design, which completely eliminates bulb-outs.
While a change in the current configuration is possible, it was determined that
modifying the design at this point in the project would result in significant re-
design efforts, which would increase costs and delay the project by
approximately two months. There is also some concern that delaying the bid
advertisement might have an adverse impact on bid results, as contractors will
likely be further along in the process of scheduling their projects for 2019.
FINANCIAL IMPACT:
There will be no financial impact if the Woodburn Urban Renewal Agency
decides to continue with the original design concept. However, if the Woodburn
Urban Renewal Agency decides to modify the project design to eliminate the
bulb-outs, it is anticipated that will result in an additional $75,000 to $100,000 in
Agenda Item Review: City Administrator_x City Attorney_x Finance_x-
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Honorable Mayor and City Council
October 29, 2018
Page 2
design costs. While there might be small construction cost savings resulting from
the elimination of the bulb-outs, it is also possible that delaying the bidding
process deeper into the winter could have a negative effect on the bid results.
This project is funded entirely by the Urban Renewal Fund.
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