Committee Minutes

MINUTES/URBAN DEVELOPMENT COMMITTEE
Tuesday, March 29, 1994 - 12:00 Noon.

Members present: Lien, Carpenter.

1. Beautification projects - 1994 funding.
Chairman Lien opened the meeting and called for presentations on applications for funding:

#1) Grand Forks Park District - $2,000
32nd Avenue Tree Replacement (replace trees that were temporarily moved for installation of water line).
John Staley, Park District, presented application, and stated that location of project is between Columbia Road and South 34th Street, and noted that trees were originally planted with Beautification Funds.

#2) Grand Forks Park District - $2,000
Columbia/DeMers Nature Park (replacement of plantings and planting of buffalo grass)
Mr. Staley stated they want to adapt to edging on one side of Columbia between sidewalk and curb, and also some replacement plants in interchange islands; and noted that wildflowers will look good this summer. Ken Polovitz suggested establishing concrete border along the curb.

#3) Grand Forks Park District - $18,500
Independence Park (irrigation for growing beds, ornamental plantings, 16'x20' arbor and DeMers Avenue display sign)
Mr. Staley presented application. Ken Polovitz stated that the Grand Forks Chamber of Commerce Beautification Comm. had reviewed and supported funding for Independence Park. Mr. Staley reported that CDBG funded one of the large beds, this project would add arbor, fence, etc. and is another phase of over-all plan.

#4) Grand Forks Park District - $10,000
DeMers Avenue Tree Replacement (replace trees that were temporarily moved for DeMers Avenue reconstruction.)
Mr. Staley stated this is same situation as on 32nd Ave., that $6500 would be used to replace trees, and $3500 for some new trees. He noted that State Highway Dept. gave monies to remove trees but not to replace.

#5 Grand Forks Park District - $5,000
Contract Landscape Design (contract professional landscape designer to plan a long term landscape design for the City entrance to DeMers and I-29)
Mr. Staley reviewed application for funds to hire landscape designer, that they would concentrate on area of I-29 and DeMers; would work with UND officials, and with other entities to create coordinated look. He stated that the landscape designer is from NDSU, that Highway Dept. has contracted with NDSU for plans, etc. Mr. Polovitz noted that DeMers Ave. has been enhanced and will

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become major entrance to city; that UND has property on each side of 42nd where they are doing some enhancing; and should look at whole corridor as one concept rather than piecemeal. John O'Leary, Community Development, stated he has concerns, that up to now have used funds for bricks and mortar projects, if fund this application which applies for planning funds, setting precedence and will get into other types of planning activities, and others will apply for planning funds.

#6 Central Business District Association - $20,000
Centennial Park Clock (purchase and installation of ornamental cast iron clock).
A rep. of CBD reviewed application to purchase and install an aluminum clock (not cast iron) on the foundation that is in place in Centennial Park at 5th and Kittson; that this is 4-sided clock that stands 13' high (face of clock approx. 30").

#7 Greater Grand Forks Convention and Visitors Bureau - $32,066
Information Center Landscaping (installation of signage and site landscaping)
David Kjolhede of Convention and Visitors Bureau reviewed application with the committee and reported they are proposing an information center on parcel of land between 42nd and 43rd St. at Jct. of Highway 2 and I-29; community-wide information center. He noted that this is conceptual at this point of time, proposing to fund with room tax, don't have site diagram or building. Member Carpenter questioned why this separate and not included in the building project. Mr. Kjolhede stated that proposed information center building to be paid through additional 1-cent tax, that this could be figured in, but by using these funds would reduce cost of the project. Ken Polovitz stated that there were funds set aside for that site, still some carryover funds. Mr. O'Leary stated that carryover funds from last year, they are asking for additional funds. Mr. Kjolhede asked if carryover funds would apply against the landscaping and signage; and Mr. O'Leary reported that $15,000 in carryover still obligated. Mr. Staley stated that Park District was working on that, but is obsolete idea at this time, that they still want community welcoming sign, but they were willing for those funds to be re-allocated (from Gateway Drive Business Assn.) Mr. Polovitz stated that unless have site plan, don't know what kind of beautification; want nice area for welcoming visitors. Chairman Lien suggested holding this request until later date.

#8 Grand Forks Region economic Development Corporation - $15,000
Industrial Park Sign (furnish and install Industrial Park sign and site landscaping).
John Knutson, chairman of Development Foundation, reviewed application for sign at entrance to park, would like to do project prior to any landscaping taking place this year, and submitted sketch of sign (dimensions of sign 16'x 8') and is pre-

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cast concrete, and would identify Grand Forks Industrial Park, but not tenants of the Park. He noted that sign would be installed at 46th Ave. and DeMers Avenue access to the Park. Dick Olson spoke in support of the project.

Ken Polovitz, Grand Forks Chamber of Commerce Beautification Committee, presented two projects.

#9 University Avenue Median Plaza.
Mr. Polovitz stated this is high profile area with lot of pedestrian traffic; that in visiting with UND officials they are looking to take out weeds, etc. and put in some paving stones with planters making it appear as walkway or plaza; that UND would maintain; difficult to keep grass growing there; are asking for seed money to start, and they would continue project over several years. He stated that area they are talking about is from 25th to Princeton (could go all the way to 20th St.) Mr. Lien made suggestion to use concrete rather than pavers.

#10 Adopt an Area.
Mr. Polovitz stated there is $10,000 carryover in that fund; and wanted committee to know they haven't abandoned that concept; that these are very popular projects.

The committee stated they would like time to review project applications before making decision. Mr. O'Leary reported there are $57,000 funds available for allocation plus $15,000 for welcome sign; and $25,000 in carryover from last year but of that amount $10,000 obligated to Adopt an Area, several hundred for tree screenings, $800 for Columbia/Demers Avenue; and that they are in litigation with artist on sculpture/project; and weed control $4700.

Mr. Staley advised committee that he will be preparing bids for plantings on basis of projects being approved.

2. Matter of lease with Stone Container.
Terry Hanson reported that City has lease with Stone Container for FTZ building in Industrial Park and distributed copies of the lease to the committee. Reps. of Stone Container were present. John Comer of Stone Container reported that Stone Container is going through process as lot of other businesses, they incurred lot of debt and going through a process of selling non-core assets, which means anything not to do with paper business. He stated that Sengewald USA, Inc. of Marengo, IL is company looking to acquire Stone Container; that it is US corporation headquartered in IL, subsidiary of another corporation located in Holland. Mr. Hanson reported that they had received copy of annual report for the parent company. Mr. Comer stated that Sengewald has been looking to acquire these two business (Grand Forks and St. Paul plants), they have been MINUTES/URBAN DEVELOPMENT COMMITTEE
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talking for about 30 days, securing building lease and getting those transferred. Mr. O'Leary reported that question that came up was whether Stone container interested in sub-leasing building to Sengewald; that city council has required that Stone Container wouldn't be able to sub-lese without consent of the owner; want to make sure they bring jobs for Grand Forks. Mr. Comer stated he didn't know answer to sub-leasing, but can present that to them; Stone Container not interested in flexible packaging option; Sengewald is. He also noted that Grand Forks is satellite of St. Paul plant, 75% of materials go outside of this market.

It was noted by the committee that Stone has long term lease, that Sengewald wants short-term lease, and questioned whether Stone would consider buying out lease. Mr. Comer stated he could present that to the corporation. There was some discussion as to size of building, etc.

Mr. O'Leary reported that Dick Olson of Development Foundation had some suggestions for Sengewald to grow here; want to work with new owners so this plant grows, etc.

After further discussion the committee stated they would feel more comfortable if Stone Container still involved. Mr. Comer noted there is 12 years remaining on the lease, and he will go back to Stone with City's position to keep Stone on the lease and see what they want to do. Held in committee.

3. Matter of purchase of 515 8th Avenue S. property.
Joel Manske and John O'Leary reported that HUD gave Housing Authority first right of refusal for property that comes on the market; this property been on the market for some time and is a 3-bedroom house, that this building needs rehabbing. Mr. O'Leary reported that there is demand for large rental units, and that they can buy for $32,400; and thinks it's good investment for the Housing Authority. He stated that request is for grant out of Rental Rehab Demolition Program for $32,400 to acquire house (berm parking at front of house); can do on rental rehab program for $15,000, and then propose to rent; and to try to create owner/occupant situation. Mr. O'Leary reported that funds are available. Moved by Carpenter and Lien to approve, and to authorize grant from Rental Rehab Demolition Program for $32,400 to acquire this property. Motion carried.

4. Application for Rental Rehab. funds:
a) 1724 Dyke Avenue
Held.

5. Bids for houses in Burdick's Resubdivision.
Curt Siewert reported they had received bids for five houses
in Burdick's Resubdivision, and submitted tabulation of dollar
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amounts for best bid. Al Dostert, EAPC, architect on the project was present.

Mr. Siewert reported that total number of contractors is 7; one contractor for all electrical work; 2 for framing; 1 contractor doing interior work; one doing foundations, etc.; with est. cost per house between $100-$108,000 (no appliances or floor coverings included in bid prices) It was noted that architect's contract $41,000. Chairman Lien stated they need this size house but surprised at cost. Mr. O'Leary stated that houses run between 13-1500 sq.ft. (shell running $30,000, foundation $20,000), that even if cut down to 1100-1200 sq.ft. won't impact labor, shell, foundation, etc. Mr. Siewert reported this is high radon area and that has been addressed in the bids. Mr. Lien stated that there were some complaints by contractors relative to way project bid, but it was noted that even if rebid as 11 houses, would have to bid mechanical separately, and might not get better price. It was also noted they have to award by July 1. Held in committee.

6. Matter of rental rehab project at 609 S. 9th Street.
Mr. Siewert reported that tenant had requested testing for lead-base paint; that there is an area in kitchen and bathroom that have high level lead-base paint (kitchen cabinets and bathroom cabinets and walls); that HUD regulations are that if you find, need to abate. It was suggested that perhaps they need to reconsider the whole program. Moved by Carpenter and Lien that we authorize an additional $5,000 in rental rehab funds to abate problem of lead-base paint for this one time only. Motion carried.

Meeting adjourned.

Alice Fontaine
City Clerk

Dated: 3/29/94.