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HomeMy WebLinkAbout1993-07-27 PRC MINUTESEnglewood Parks and Recreation Commission SPECIAL MEETING Minutes of July 27, 1993 The special meeting of the Englewood Parks and Recreation Commission was called to order at 5:30 p.m. by Chairman Neyer at the Englewood Public Library Anderson Conference Room. Members present: Armstrong, Christie, Gerlick, Gomes, Markwood, Neyer, Black, ex officio Members absent: Waggoner Also present: Charles Esterly, Director of Public Works Frank Gryglewicz, Acting Director of Financial Services Jerry Nestler, Housing Specialist, Community Development Chairman Neyer noted that this is a special meeting of the Parks and Recreation Commission called specifically to address recent controversy regarding the City renting, rather than selling, the Larry Scott property. Director Black introduced Housing Specialist Jerry Nestler, and explained that as a member of the Community Development Housing Division staff, Mr. Nestler is overseeing renovation of the Larry Scott property. Commissioner Gomes asked for clarification of a statement that was made at the Commission meeting of July 8, 1993 by a resident of Arapahoe Acres concerning "shoddy materials" that are being used for the renovation. Mr . Nestler stated that every effort is being made to insure that materials and workmanship meet quality and above quality standards. Nestler listed renovation projects in progress which are necessary to bring this property within code, including furnace, water heater, and garbage disposal replacements; electrical work; repair of water seepage from the laundry area into the conduit below the slab; bathroom renovations; carpet and linoleum replacements; paint; window 1 replacement on the back side of the property with double paned tempered glass; tree trimming ; and sprinkler system replacement. Commissioner Armstrong entered the meeting at 5:37 p.m. Director Black introduced Acting Financial Services Director Frank Gryglewicz. Mr. Gryglewicz explained that paying back the General Fund for costs incurred with this property will lower the future value when the property is sold. Mr . Gry glewicz and the Commission discussed at length the pros and cons of selling or renting the property , including various financing scenarios, other City-owned rental property through Englewood Housing, concerns of Arapahoe Acres residents, etc . The Commission expressed concern for making a decision that would be most financiall y beneficial for the City and, at the same time, addressing the concerns of the Arapahoe Acres residents. In so doing, the Commission made the following determinations. 1. Based on the best current information available, renting, re-evaluating and possibly selling the property in 10 years would create an approximate $100,000 increase in potential revenue over selling the property and carrying the note for 15 years. 2. By not using this donation in the best fiscal sense, future donations to the City could be impacted. 3. The Parks and Recreation Commission did not seek this donation, and did not use tax dollars to obtain this property for rental purposes. 4. The rental option of this property is reversible at any time; however, sale of the property is not. 5. It's fair to say that any potential buyer could use the property for rental income. The Arapahoe Acres area is currently 5% rental property. 6. With the City as an owner, neighbors of the property have the benefit of not having a potential absentee owner who would feel no moral obligation to be sensitive to the needs of its neighbors. Both the City and the Parks and Recreation Commission have that obligation. 7. The City is already in the rental business, and will continue to be, through Englewood Housing. This property will be handled consistently with other rentals, and the Parks and Recreation Commission will monitor the progress of this investment . 2 Commissioner Armstrong made a motion, seconded by Commissioner Gomes to recommend to City Council that its original motion made at the December 10, 1992 meeting be upheld. Because of the items stated above, the Commission reiterated that renting the house for 10 years and re-evaluating selling it at that time would, in fact, be in the best interest of the citizens of Englewood. With a call for the vote, the motion passed with one opposing vote from Commissioner Christie . The Commission discussed the importance of declaring its intention to City Council of being good stewards of the property and re-evaluating this decision annually. The meeting was adjourned at 6:40 p .m. 3