HomeMy WebLinkAbout06 June 15 MinutesCRC Meeting, June 15, 2016
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CARMEL REDEVELOPMENT COMMISSION Meeting
Wednesday, June 15, 2016
ATTENDANCE:
President Bill Hammer Present
Vice President Dave Bowers Present
Secretary Henry Mestetsky Present
Treasurer Christine Pauley Present
Member Bill Brooks Present
Member
Member
Jeff Worrell
Michael Kerschner
Present
Not Present
Executive Director Corrie Meyer Present
Office Manager Michael Lee Present
Legal Consultant
Karl Haas
Present
President Bill Hammer called the meeting to order at 6:31 p.m.
The Pledge of Allegiance was said.
Approval of Minutes
May 18, 2016: Mr. Brooks moved to approve, seconded by Mr. Bowers. Approved unanimously.
Financial Matters
Mr. Lee stated the Commission’s end of the month May balance totaled $1,424,662 and,
including the restricted funds, the balance totaled $7,621,174.
County TIF Report
Mr. Lee stated that the total amount received for June was $12,162,100.85. Mr. Lee stated that
after the developer payments, which are about $940,000, we will also make the semi -annual
transfer for the supplemental reverse fund as per the amended and restated revenue deposit
agreement, after that we will have net increment of $10,522,000. Mr. Lee stated that these funds
are available for debt service and other projects.
Update on Outstanding Receivables
Mr. Lee stated there were two outstanding receivables, 1) Project Blue invoices of $15,000 and 2)
The Civic rent from 2015.
Approval of Claims
Mr. Lee stated that there are non-operation invoices in the amount of $10,929,505.04. Mr. Lee
would note that $9,060,000 of this is debt service.
Mr. Lee requested the Commission to approve the non-operation invoices in the amount of
$10,929,505.04. Mr. Bowers moved to approve, seconded by Mr. Mestetsky. Approved
unanimously.
Mr. Lee stated there is one invoice to be paid out of the 2016 COIT funds, from G ehl Studios for
the Monon Conceptual Design, in the amount of $39,480. Mrs. Meyer commented that the COIT
fund was approved by the City Council, and that Mr. Kashman, the City Engineer, is managing
all of the COIT projects. Several of the projects were designated to the CRC, one of which was
the Monon. We are holding the contracts for the Monon, and will probably have several
reimbursements throughout this project. Mr. Mestetsky moved to approve, seconded by Mr.
Brooks. Approved unanimously.
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Executive Director Reports with Update on Properties
Mrs. Meyer gave updates on the following projects: Sophia Square, Palladium landscape, and
Monon and Main with Mr. Lazzara.
Committee Reports
The Finance Committee did not specifically meet. Mr. Bowers commented that, with the many
projects going on and the many resources used to pay for projects, it is not easy to look at the
financial report and know if there is enough money for each expense. Mr. Bowers suggested a
new report by contract, so it is knows where we are within each contract and the funding sources
for each contract.
The Architectural Review Committee did not meet.
Old Business
Mrs. Meyer requested that the approval of the Tarkington garage signage proposal remain on the
table. Mr. Worrell moved to table, seconded by Mr. Mestetsky. Approved unanimously.
New Business
Approval of Resolution 2016-13 Re: Confirming Amendments for the Old Town Economic
Development Area (Midtown Allocation Area)
Mrs. Meyer stated that the CRC has been working over the last several months to f inalize the
Midtown Agreements and there are some outstanding resolutions to discuss. Mr. Donaldson
stated the Redevelopment Commission adopted a declaratory resolution to set up n ew Midtown
Allocation Area and a supplement to the Economic Development Plan for the other projects in
that area. Mr. Donaldson stated that the Plan Commission approved it on February 16, the City
Council approved it on March 7, and a public hearing was conducted on March 23. Mr.
Donaldson stated that every step has been taken but approving the confirmatory resolution. Mr.
Brooks moved to approve Resolution 2016-13 confirming the amendments to the declaratory
resolution and development plan for the Old Town Economic Development Area, seconded by
Mr. Bowers. Approved unanimously.
Approval of Resolution 2016-14 Re: Approval of Coverage Reserve Fund for Midtown bonds
Mr. Donaldson stated that this resolution establishes a fund called the Midtown Coverage Reserve
Fund, where any excess Midtown TIF will be deposited to be used for any potential gaps in
Midtown bonds’ lease payments during the duration of the bonds. It was asked if any other types
of these are in place. Mrs. Meyer responded that there is a debt service reserve established for the
City Center bonds and an existing agreement with City Center that excess TIF revenues will go
toward a certain use. Mr. Mestetsky motioned to approve resolution, seconded by Mr. Bowers.
Approved unanimously.
Approval of Resolution 2016-15 Re: Approval of Liquidity Reserve for Midtown Bonds
Mr. Donaldson stated this will restrict $1.5 million of the Commission’s Supplemental Reserve
Fund to act as a debt service coverage reserve through the life of the Midtown bonds. It was
asked if this reserve will be restricted for life of the bond or a certain amou nt of time. Mr.
Donaldson responded it would have to at least keep a minimum of that amount so that it would be
available for liquidity. Mr. Lee stated that the current balance of the reserve is $4.98 million. It
was asked how this resolution ties into the previous resolution. Mr. Donaldson explained how this
resolution works on top of the previous resolution in terms of the Commission managing the
bond. It was asked if the reserve is drawn upon, is there a time period which it could be
replenished. Mr. Donaldson responded it would be required to be replenished at the next
opportunity to put the special tax levy in place because it would make up for whatever lease
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payments weren’t made. Mr. Donaldson added that the City Council or the Commission could use
any other funds in the interim to add to the reserve. Mr. Haas stated that under normal
circumstances, we would have to borrow funds to act as a reserve, and the thought was why
borrow funds when we already have those funds available. It was asked if the primary source is
the Parkwood bonds. Mr. Lee responded that it can come from any TIF source but that is the most
available. Mr. Lee added that the Commission received $1.2 million in Parkwood revenue in the
spring distribution from the county. Mr. Brooks motioned to approve resolution 2016-15 approval
for liquidity reserve fund for Midtown bonds, seconded by Mr. Bowers. Approved unanimously.
Approval of Second Amendment to Theater Facilities Agreement (Civic)
Mrs. Meyer stated this agreement is between the CRC and the Booth Tarkington Civic Theater.
The Civic Theater currently occupies the western side of the building south of the Palladium. The
CRC is the owner of that property. Mrs. Meyer stated we are restructuring their agreement to
speak language that they are going to become a tenant that leases 2,500 square feet. Mr. Haas
explained that when the original agreement was made, there was no governing body for the
complex. It has become awkward to have the agreement in which they occupy the theater
administered separately from the rest of the performing arts organizations that perform in the
Palladium and the Tarkington Studio Theater. It will be clear that they will occupy their office
space as a commercial tenant of The Commission. Mr. Worrell motioned to approve, seconded by
Mr. Brooks. Approved unanimously.
Approval of Woolpert analysis and design proposal
Mrs. Meyer stated that the CRC does not have an architect engineer on retainer. This proposal is
for Woolpert to serve as our design and analysis service provider, specifically for Sophia Square,
Palladium offices, Civic Theater offices, and Veteran’s Way, as it extends north of the
Proscenium project. Mrs. Meyer stated that Woolpert has provided a proposal for services
described by the CRC at an hourly rate not to exceed $75,000. Mrs. Meyer added she will send
out the hourly rate schedule. It was asked if the city has done business with Woolpert before. Mrs.
Meyer responded that the CRC has not done contracted services with them before; however, they
have been of assistance this year helping with design. They are the architect of record and the
engineer of record with the Proscenium. It was asked how the figure $75,000 was reached. Mrs.
Meyer responded that Woolpert provided her a line item for services per project. Mrs. Meyer
stated that some of the fees were too high, but their hourly rate schedule seemed very fair. Mrs.
Meyer added that she requested an hourly rate not to exceed $75,000 because the scope of work
will change, which gives the CRC the maximum flexibility. If the $75,000 point is reached, we
can renegotiate. It was asked if it is possible for the Commission to keep track of the project costs
individually. Mrs. Meyer responded that can absolutely be done. Discussion ensued about the
James building offices. Mr. Worrell motioned to approve, seconded by Mr. Bowers. Approved
unanimously.
Approval of the Garage East Construction Materials Testing and Inspection Proposal (Patriot)
Mrs. Meyer stated this proposal is a contract with Patriot Engineering to do materials testing and
inspection services on site for the City Cent er Garage East parking garage. Mr. Bowers motioned
to approve, seconded by Mr. Worrell. Approved unanimously.
Other Business
None at this time.
Adjournment
Mr. Brooks moved the meeting be adjourned pending the execution of documents, seconded by
Mr. Bowers. The meeting was adjourned at 7:13 p.m.
The next regularly scheduled meeting is Monday, July 11, 2016 at 6:30 p.m.
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An executive session was held prior to the public meeting in which the purchase or lease of real
property was discussed. The Commission hereby certifies that no subject matter was discussed in
the executive session other than the subject matter specified in the public notice.