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HomeMy WebLinkAbout46. Arena UpdateTO: Honorable Mayor & Members of the Common Council Mark Rohloff, City Manager FROM: Allen Davis, Community Development Director DATE: December 6, 2017 RE: Arena Construction, Public Improvements, Tax Increment Finance Plan, Timeline Buckstaff Demolition Complete with no changes. The City had rented equipment for $30,867 to date. Additional costs including repairs, supplies, erosion control, security fencing, and stone totaled $27,800. The cost for grinding the Buckstaff foundations into gravel for re -use came in at $53,000, under the $60,000 budgeted. Arena Construction The building is erected and enclosed. Interior work continues to be completed and the majority of the parking lot is installed. City Inspections Services staff have been on site multiple times a week completing inspections. Final punch list items are being addressed. Occupancy Permit was issued November 28, 2017. The first basketball game was played on December 1St. Public Improvements The public infrastructure around the Arena is nearing completion. All concrete/asphalt pavement, sidewalks, and driveways are generally complete on E. 11t" Ave, E. South Park Ave, and the east side of S. Main Street. The remainder of the pavement and sidewalk along the S. Main Street is complete. The traffic signals are operational and in flash. They will remain in flash until they can be programmed next week. The storm sewer work on E. 14t" Ave is completed on each side of the railroad as the city has not yet received approval from Canadian National to bore the storm sewer under the railroad. The water line was bored under the railroad and is complete. E. 141hAve has the lower layer of asphalt or temporary asphalt pavement placed. The final asphalt work will not be done until after the storm sewer is completed. City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us WEDC provided a grant for $250,000 to partially pay for planned public improvements around the arena. Lastly, the E. 11th Ave. and E. South Park Ave. projects included assessments to adjoining property owners and the developers of the arena. Tax Increment Finance Plan Staff and Ehlers finished work on a Pay -go - Tax Increment Finance Plan which will be needed to reimburse the developer for the public improvements the developer finances up front that are needed for the redevelopment of the Buckstaff/Arena site. In addition to the public improvement costs, the Arena designer/builder has identified some extraordinary private development costs for the site, due to the condition of the soils and fill material on the site: • $825,000 Remediation - Required by Wisconsin Department of Natural Resources, including soil removal and land filling and/or encapsulating contaminates. • $760,000 Geo pier installation - necessary to support the Arena structure weight due to the poor soils; and Geo grid installation - necessary to support concrete and asphalt surfaces on the site due to the poor soils. • $234,000 Stormwater management measures - necessary due to the high groundwater levels. The above referenced extraordinary private development costs are estimated to be $1,819,000 and have been added to the TIF #31 Plan. Development Agreement Due to higher than anticipated construction costs, the developer requested that the existing Development Agreement approved in March 17, 2017 be amended to allow for the TIF reimbursement cap to be raised by $1.2 million and to not exceed $5,549,450. Council approved an amendment to the existing Development Agreement on October 24, 2017 allowing the developer to receive additional payments from the TIF provided sufficient funds are generated by the TIF to support such payments. City Hall, 215 Church Avenue P.O. Box 1 130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us Council also approved allowing future special assessments to be charged to the development for the paving and sidewalk work that will take place on the Arena property. This amount is estimated to be $215,532. Timeline Since the decision to locate the Bucks Developmental League Team in Oshkosh has been announced, we can establish a final timeline based on an Arena construction start date of February 27, 2017: January12, 2017: Redevelopment Authority approves acquisition of the Buckstaff property(ies) Approved January 17, 2017: Plan Commission review/recommendation of Planned Development for Arena. Approved January 24, 2017: City Council - Buckstaff update/action on Planned Development for Arena. Approved City Council closed session regarding Land Sale, Development Agreement and Lease Agreement. Completed February 2,2017: Joint Review Board meeting - Completed Plan Commission receives draft TIF Plan in packet. Completed February 7, 2017: Plan Commission review/recommendation of draft TIF Plan. Approved February 14, 2017: Redevelopment Authority action on Lease Agreement. Approved February 14, 2017: City Council Buckstaff update City Council action on Lease Agreement. Approved February 17, 2017: City crews complete foundation removal for arena footprint. Completed February 21, 2017: City Council action on SBA liens. Approved City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us February 23,2017: Redevelopment Authority action on Development Agreement and Land Sale. Approved February 27, 2017: Construction begins with geo-piers for the Arena on southern part of site by Fox Valley Pro Basketball, LLC. Geo pier installation completed February 28, 2017: City Council Buckstaff update - Completed City Council action on TIF Plan and Development Agreement. Approved March 1, 2017: City Crews complete foundation removal for Lot 2. Completed March 6, 2017: Joint Review Board meeting to approve TIF Plan. Approved March 31, 2017: City crews complete foundation removal on Lot 1. Completed April 11, 2017: City Council Buckstaff update. Completed April: City Crews fill foundation holes on Lot 1. Completed April 25, 2017: City Council Arena Update. Completed March/April/May: City Engineers design public improvements. Completed June: City bids public improvements — Opened bids June 15, 2017, awarded on June 27, 2017. July/August/September/October/November: Construction of public improvements. — Complete November: Complete construction of Arena. Complete for opening night December 1, 2017 City Hall, 215 Church Avenue P.O. Box 1130 Oshkosh, WI 54903-1130 920.236.5000 http://www.ci.oshkosh.wi.us