Committee Minutes

MINUTES/URBAN DEVELOPMENT COMMITTEE
Monday, January 4, 1999 - 7:15 p.m.

Members present: Beyer, Polovitz.

1. Matter of recommendation from consultant (Royce Yeater, YHR
Partners) on the adaptive reuse/feasibility study of the
Metropolitan Opera House.
John O’Leary, Urban Development Committee, reported there was discussion about whether City wanted to sponsor RFP for this property and since not the owner of the building, and if concern, there’s alternate way to accomplish this; to use an RFP in an attempt to obtain interest of potential developer, and read staff recommendation: “…resolve to obligate up to $250,000 of CDBG funds (from those monies reserved for the Metropolitan Opera House in the Commercial Rehab Grant Program) to be used as the City’s financial assistance to encourage the redevelop-ment of the Metropolitan Operat House. The City should also authorize city staff to provide assistance to the owners in developing a process for soliciting redevelopment proposals. Any release of CDBG funds should be subject to the following conditions: 1) any expenditures of the funds must comply with federal and CDBG requirements; 2) any proposed redevelopment has the support of and is recommended by the Downtown Development Commission.”

He stated that would facilitate process with support of their office. He stated problem is to try to encourage development in terms of city assistance, recommendation from consultant called for the purchase of proprety, and put in the hands of the existing developer as present owner not intrested in; and date that would have to comply with recommendation. He stated pur-chase price is $200,000 and couldn’t do with CDBG requirements without approval. There are bidding requirements, historical prevention requirements; could request City support through tax exemption, etc.; need to mitigate historical property and Metro-politan Opera House has been designated by federal and State officials. Memo. of Understand difficult document to write. This motion more specificalay defines what City is going to do.

Mr. O’Leary stated that City is required to preserve historial property, importance of facility, which is not in dike line. He stated privte developer best ones to do that, needs to be in private sector, there are historical tax credits and City not in best position to acquire that. It was noted there are no grant monies. It was noted that the building is structurally sound.

MINUTES/URBAN DEVELOPMENT COMMITTEE
January 4, 1999 - Page 2

Mrs. Bouley stated that the City knows how Historical Society feels about this building. Mr. O’Leary stated this is going to be tough one, take lot of things to make salvageable, developer and capital to pull off and operate (rest., etc. on first flood, upper floor as housing; hard to get financing and cash flow this buildings; and noted that building overlooks river and has special view.

Mr. O’Leary stated another option is to clean up and keep empty, City purchase and not develop.

Beyer and Polovitz withdrew their previous motion to enter into a joint MOU between Historic Preservation, the City and the Cox family and to authorize staff to draft the joint RFP, contingent upon a successul Memorandum of Understanding.

Polovitz moved to approve the recommendation submitted by staff; Beyer seconded the motion. Motion carried.

Meeting adjourned.

Alice Fontaine
City Clerk

Dated: 1/11/99.