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HomeMy WebLinkAboutMinutes DOWNTOWN OSHKOSH BID BOARD MINUTES October 25, 2011 PRESENT: David Sparr, Megan Lang, Sandy Prunty, Michael Russell, Todd Cummings, Jeff Jahnke, Kurt Koeppler, Josh Marquardt EXCUSED: Melody Wollangk, David Hetzel, Jim Stapel, Kris Larson STAFF: Cassie Cook, Jeffrey Nau OTHERS: Rob Kleman – OAEDC, Darryn Burich – Planning Services Division I - CALL TO ORDER Chair David Sparr called the meeting to order and a quorum was declared present. II – APPROVE $25,000 GRANT TOWARDS REHABILITATION OF CITY CENTER HOTEL Rob Kleman started the discussion by giving the history and background information on the partnership between the UW Oshkosh Foundation and the owners of WHG Companies and their $9.5 million plan to renovate the City Center Hotel. The partners are looking to raise $3 million from local investment groups plus an additional $2 million in TIF-related development assistance grant from the City. Mr. Kleman continued that to date, the partners are approximately $300,000 short of their goal and inquired if the BID would want to financially support the project in some fashion either by a small loan, or grant. Josh Marquardt asked why no one from WHG or the University Foundation was here. Mr. Kleman responded that Eileen Connolly-Keesler with the Oshkosh Community Foundation was handling the local investor group commitments, was currently out of town. Mr. Kleman continued that a part of the reason for the hotel’s demise and current status was that it has not been locally owned or managed for several years. Mr. Kleman stated that the chance for a successful renovation may be greater given the fact that WHG has several hotels in the area with local ownership. He added that reviving the hotel, along with the recently renovated Convention Center would financially benefit the downtown and the entire City. The University participation is part of their plan to construct an alumni and conference center at the former Deltox property with its visitors staying at the hotel. Kurt Koeppler commented that if the BID were to become an investment partner, he thought legally the BID would have to be an accredited investor, which it is not. Mr. Kleman responded that he had not researched that. He added he felt if the BID were to contribute, it would be in the form of a grant. Megan Lang stated that she understands the potential benefits of the hotel’s renovation, however, a $25,000 grant to the hotel would have little impact on the rehabilitation project, and that is a very large portion of the BID’s budget to give away. Discussion continued among the Board about the status of the 2012 Budget process and what money may be available for a contribution to the hotel. Mr. Koeppler agreed that the BID’s potential contribution would have minimal impact on the project; however, politically, the BID may look bad if they do not offer some kind of support. He added that the BID should not use such a large portion of its reserve fund and continue to build it up to use it for a high impact project such as removal of the Gunderson building. 1 DOWNTOWN OSHKOSH BID BOARD MINUTES October 25, 2011 Mike Russell suggested that the BID give $10,000 utilizing the Recruitment Fund Grant process as a way not to show favoritism towards the hotel partners. Discussion followed that although a small amount, the grant would be a gesture of good faith and support towards the hotel renovation. Dave Sparr motioned the BID to refer the hotel partners to the Recruitment Fund Grant Committee for consideration of a $10,000 grant. Megan Lang seconded the motion which passed unanimously. III – APPROVE RESOLUTION SUPPORTING THE CREATION OF TAX INCREMENT DISTRICT #25 – CITY CENTER HOTEL RENOVATION Chair Sparr presented a resolution of support to the BID Board for the Creation of Tax Increment District #25 which would assist in the renovation of the City Center Hotel Renovation. There was no further discussion on this item. Mike Russell motioned for approval of the resolution of support of the creation of Tax Increment District #25 – City Center Hotel Renovation. Sandy Prunty seconded the motion which passed unanimously. IV - ADJOURNMENT With there being no further business, Megan Lang moved for the meeting to be adjourned. Sandy Prunty seconded the motion which passed unanimously. Respectfully Submitted, Jeffrey Nau Associate Planner 2