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HomeMy WebLinkAbout06. 17-49 FEBRUARY 14, 2017 17-49 RESOLUTION (CARRIED____5-0___ LOST______LAID OVER______WITHDRAWN______) PURPOSE: AUTHORIZE SUBMITTING APPLICATION TO WISCONSIN ECONOMIC DEVELOPMENT CORPORATION FOR COMMUNITY DEVELOPMENT INVESTMENT GRANT FOR SOUTH MAIN STREET IMPROVEMENTS BY THE ARENA; ACCEPT FUNDS INITIATED BY: COMMUNITY DEVELOPMENT DEPARTMENT WHEREAS, the Wisconsin Economic Development Corporation (WEDC) has grant funds available for projects to support local initiatives with a downtown emphasis by providing financial incentives for projects that are downtown community driven; and WHEREAS, local municipalities are an eligible applicant and can apply for said grant funds; and WHEREAS, the City is applying for said grant funds for the proposed private multi-purpose arena project on the former Buckstaff site at 1212 South Main Street to offset public infrastructure improvement costs. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Oshkosh that the proper City officials are hereby authorized to submit a Community Development Investment grant application to Wisconsin Economic Development Corporation to obtain funds for said purpose. BE IT FURTHER RESOLVED that if said grant funds are awarded, the proper City officials are hereby authorized and directed to accept said funds, pursuant to the terms of the grant application, and to execute any and all documents and assurances which may be required for purposes of same. TO: Honorable Mayor and Members of the Common Council FROM: Kelly Nieforth, Economic Development Services Manager DATE: February 6, 2017 RE: Authorize Submitting Application to Wisconsin Economic Development Corporation for Community Development Investment Grant for S. Main Street Improvements by the Arena; Accept Funds BACKGROUND Staff will be submitting a $250,000 Community Development Investment (CDI) grant application to WEDC to offset a portion of the public infrastructure improvement costs that are necessary for the proposed private multi-purpose arena on the former Buckstaff site. Fox Valley Pro Basketball, Inc. is proposing a $21 million dollar investment in the city's south shore area which includes a multi-purpose arena, parking lot, and public infrastructure upgrades to accommodate the development. ANALYSIS The public infrastructure improvements for the arena will be paid for by the developer and will be no cost to the city. The grant is intended to offset some costs for the developer. Specifically, the grant is proposed to fund street lights along S. Main St. in front of the arena, a traffic signal on E. 11th Ave, and a widened sidewalk along S. Main St. All these items will drastically improve pedestrian and vehicular safety near the arena. The former Buckstaff site is currently being prepared for development. The general schedule for the project is: • Geo -pier installation starts February 20th, 2017 • Arena construction starts March 6th, 2017 • Public improvements start July, 2017 • Arena construction complete in November, 2017 City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us FISCAL IMPACT Fox Valley Pro Basketball, Inc. will be responsible to pay for the arena construction and necessary public infrastructure improvements. A Tax Incremental District is being proposed to payback the public infrastructure improvements and extraordinary site development costs (geo- piers, stormwater, and contamination) through pay -go tax incremental financing. This grant will minimize pay -go payments to the developer and allow the City to terminate the District earlier than the allowed 27 years. RECOMMENDATION The City Council approves the submission of the WEDC CDI grant application and accepts the WEDC CDI grant funds should it be awarded. Respectfully Submitted, S Kelly Nieforth Economic Development Services Manager Approved: Mark A. Rohloff City Manager City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us