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HomeMy WebLinkAbout1987-07-01 EURA MINUTES• • • I. ENGLEWOOD URBAN RENEWAL AUTHORITY July 1, 198 7 CALL TO ORDER. The regular meeting of the Englewood Urban Renewal Authority was called to order by Chairman Voth at 5:40 P. M. Members present: Robert Mcintyre, James Tatton, Melvin Minnick, Ruth Cole, Betty Keena, Robert J. Voth, Susan Van Dyke Alice Hanson, Alternate Member Wm. Richard Hinson, Acting Executive Director/Secretary Members absent: Kristi Daugherty, Alternate Member Also present: Penny Dietrich, EDDA Executive Director Paul C. Benedetti, EURA Legal Counsel Andy Mccown, City Manager Harold J. Stitt, EURA Assistant to Director John Pflaum, Mclaughlin Water Engineers Hal Erickson, Mclaughlin Water Engineers Phil Hendricks, EDAW II. APPROVAL OF MINUTES. June 3, 1987 Chairman Voth stated that the Minutes of June 3, 1987 were to be considered for approval. Totton moved: Minnick seconded: The Minutes of June 3, 1987 be approved as written. AYES: NAYS: ABSENT: ABSTAIN: Totton, None None None VanDyke, Voth, Cole, Keena, Mcintyre, Minnick The motion carried. III. LITTLE DRY CREEK -WEST OF BROADWAY Preliminary Plan Review Mr. Hinson stated that Mr. John Pflaum of Mclaughlin Water Engineers and Mr. Phil Hendricks of EDAW are present to review the preliminary plans for Little Dry Creek west of South Broadway one more time before preparing the final drawings and putting the project out to bid. Mr. Pflaum stated that they are well underway on the final design, and will complete the final drawings during the month of July. Mr. Pflaum discussed the work that is to be done by RBI under their contract on Little Dry Creek from Clarkson to Broadway, and by Flatiron Structures under their contract for the extension of the box culvert west of Broadway. The final phase of the project, which these preliminary drawings are for, will be put out to bid in -1 - August, and will be for the area from Broadway west to the box culvert extension. Director of Engineering Services Ragland entered the meeting. Mr. Pflaum stated that the improvements will include a concrete-lined channel, a lake, and a fabridam at the entrance to the box culvert. There will be bicycle/hiking trails along the lake, with grass and landscaping along the slopes to the lake. Mr. Pflaum stated that there will be an access ramp to permit maintenance vehicles to have access to the pump station and to the fabridam . Mr. Pflaum discussed the location of the pump station, and the fact that all water features will be on a separate pumping system --there will be a pump for the water cascade, for the fountain area, for the plaza area, and for the water recirculation system. The edge of the lake will be finished with large boulders grouted into the channel bottom, with a 2'6" level portion before sloping to the bottom of the lake. This has been developed as a safety feature, and will have a depth of approximately 18". Mr. Erickson further discussed the recirculation of the water in the lake area, and the proposed pumping system. Mr. Erickson stated that the pumping station will be buried except for the point of access, and the air intake sys- tem. Chemicals will be used in the system to retard the growth of algae in the water. The proposed lake will be 8'6" deep at t he maximum point, and ap - proximately 100 -150 feet wide. There are storm sewer lines which will have to be relocated and introduced into the box culvert below the lake. Mr. Minnick asked if the system would use automatic strainers to clean the water. Mr. Erickson stated they will use a screen and an air cleaning system. The recirculation of the water and whether there would be sufficient flow was discussed. Mr. Erickson noted that the Creek does flow 365 days per year, but the flow may be low at times. Mr. Pflaum stated that the fabridam will main- tain the lake level within 2" +/-. Mr. Pflaum pointed out there will be a probe signaling device which will signal the onset of a heavy flow so that the dam will deflate. Ms. VanDyke inquired about the life expectancy of the dam. Mr. Erickson stated that the dam is constructed very similarly to an automobile tire, and with this particular dam being protected from the sun and hidden from view which should protect it from vandalism, it should last at least 20 years or so. Mr. Pflaum stated that the water curtain will hide the box culvert en- trance, and the dam will be within the culvert entrance . Mrs. Hanson asked how often the dam was estimated to co l lapse each year. Mr. Erickson estimated that the dam would collapse once per year, but that during the first year it could require some adjustment of the probe s i gnaling system. Mr. Minnick inquired about lighting in the area. Mr. Pflaum s tated that a lighting plan is being developed along the trail system, and in t he public areas. Mr. Tatton expressed concern that the 2'6" level area in the lake was insuffi- cient, and suggested that this be widened to at least 4 '6". Mr . Pflaum sug - gested that extending this safety feature more than 3' could impact the capacity of the lake. Mr . Pflaum discussed the slope between the path and the lake edge, and emphasized that this would not be a steep slope. Discussion -2 - • • • • • • ensued. Mrs. Ragland stated that the more shallow water area that is devel- oped could cause algae problems in the water . Mr. Minnick inquired as to the type of barricade which would be in place at the service entrance. Mr. Pflaum stated that they propose to use barrier posts, which would be lockable and removable. Mr. Phil Hendricks of EDAW addressed the Authority, and discussed the land- scaping plan for this portion of Little Dry Creek and the public areas. Ms. Keena asked if EDAW would be "dictating where the trees will be planted". She stated that she was aware that the redeveloper is ~oncerned about sight line to the area and has urged the reduction or elimination of much of the proposed vegetation. Mr. Hendricks stated that EDAW will be dictating the placement of the plantings. Mr. Hendricks then further described the finishing of the plaza area, noting that the interlocking pavers will be used throughout the public area. Mr. Ron Myles, Authority negotiating consultant, entered the meeting. Mr. Hendricks stated that there will be accent lighting along the bike/hike paths, and the trees will have up-lighting. All landscaping will be automati- cally irrigated. Mr. Pflaum stated that there is a need to build in flexibility in the proposed landscaping; for instance, the trees can be deco- rated with small lights during the holiday season. The plaza is being desig - ned to require minimal maintenance. Mrs. Hanson asked if landscaping would be used to buffer the noise from U. S . 285. Mr. Hendricks stated that the plaza and creek improvements are lower than U. S. 285, and there will be a slight berm which will be landscaped and help buffer noise, but there is no actual intent to try to landscape to buffer noise. This would require a very dense landscaping, which is not being proposed. Mrs. Hanson asked if a cross section on the pond was available to show the topography. Mr. Pflaum stated that a cross section is being done a a part of the bid package. Mr. Hinson stated that the staff has met with Trammell Crow and representa- tives of Mclaughlin Water Engineers and EDAW on the visibility issue. A com- promise has been reached on the type of tree that is being proposed along the Creek. The typical tree that is now proposed for use is the "umbrella" shaped tree rather than the columnar shaped tree . Mrs. Hanson asked if the final design plans would be brought back to the Au- thority for further review. Mr. Pflaum stated that the final design plans are being worked on now, with the intent to put the project out to bid in early August. Mr. Hinson stated that in the past, the final plans have been devel- oped from the comments elicited from the Authority during the review of the preliminary plans. Discussion ensued. Mrs. Keena stated that she could not favor any "slant" of the sides of the lake. Mr. Pflaum stated that the surface of the ''level" safety area would be roughed to help in retarding slippage if someone happened to step into the lake. Mrs. Cole asked if widening the ''level" area to 3' -3 - would significantly impact the capacity of the lake. Mr. Pflaum stated that it probably would not at 3' in width. Ms. Daugherty entered the meeting at 6:30 P.M. Further discussion on the safety feature ensued. Mr. Voth stated that this area would not have a large number of young children running around unsuper- vised as are found in parks and zoos. Further brief discussion ensued. Keena moved: VanDyke seconded: AYES: NAYS: ABSENT: ABSTAIN: VanDyke, None None None The Urban Renewal Authority approve the preliminary plans for Little Dry Creek west of Broadway, and auth-0rize the drawing of the final plans preparatory to going out to bid in early August. Voth, Cole, Keena, Mcintyre, Minnick, Tatton The motion carried. IV. TRAMMELL CROW/ROSS INVESTMENT GROUP Mr. Hinson stated that representatives of Trammell Crow and Ross Investment Group are present to review the Schedule of Performance, and to give an update on the leasing activities for the Englewood Marketplace. Mr. Hinson stated that by Contract, the redeveloper is required to increase the Letter of Credit to $200,000 once the financing is in place. Staff has received assurance from the United Bank of Denver that a Letter of Credit in the amount of $200,000 has been mailed to the Authority offices. Mr. Hackstaff of Ross Investment Group; Messrs. Slack, Baker, and Rothacker of Trammell Crow, and Ms. Lynda McNeive, Legal Counsel, entered the meeting. Mr. Rothacker addressed the Authority and summarized the progress that has been made on the project. The Bank has sent an amendment to the Letter of Credit to raise it to the required $200,000. They have signed leases with Child's World and with Pier I Imports. Mr. Rothacker stated that there is a "small glitch" in the lease with Pier I Imports but this is being negotiated and they have hopes it will be resolved. Mr. Rothacker discussed the dif- ficulty they have experienced in obtaining financing in Colorado; they have obtained their financing from Wells Fargo in California. Mr. Rothacker stated that it is their intent to close on the purchase of the property during the third week of July. Englewood Marketplace Associates has been formed, and he asked that the Amendment to the Development and Disposition Agreement be exe- cuted as soon as possible. Mr. Rothacker stated that Pier I has some problems with the plaza and what they perceive as a inhibition of sight line to their store. Mr. Rothacker stated that he felt most of those concerns have been mitigated within the last few days as a result of the meetings with the URA and City staff. -4 - • • • • • • Mr. Rothacker stated that they would like to get the Preliminary Plans ap- proved by the Authority before they waive the financing contingency. The re- d:veloper is asking that the Authority extend the date on the financing con- tingency to July 15. He emphasized that the extension of the date for the financing contingency will have no impact on the date of closing, nor on the completion date for the total project. Discussion ensued. Ms. Keena stated that the normal procedure is to for a redeveloper to work with the staff on such matters as amending the Schedule of Performance and the staff then makes a recommendation to the Authority . Ms. Keena asked why the people from Trammell Crow and Ross Investment were bring- ing this to the Authority and not going through the accepted procedures. Mr. Rothacker stated that they have been working on a "crisis mode". He stated that the closing was to have occurred on July 15; they are prepared to close on July 23. Mr. Rothacker stated that things they have been working on for the last 20 to 30 days did not crystallize until just the last day or two, and they did not have time go through the procedure with staff. He stated that staff was informed several weeks ago that they would want to delay the date of closing. Mr. Hinson stated that he understands that the three things we are looking at is the Date of Deed, the Preliminary Plans, and the Finish Date for completion of the project. This date has not changed. Mr. Hinson pointed out that the requirements for Preliminary Plans, which were specified in the Agreement, require much more detail than that contained in the Preliminary Plans which were submitted by Trammell Crow this evening. Mr. Hinson stated that as he understands Trammell Crow's method of operation, they secure a tenant and design buildings to the specifications of the tenant. Apparently, because the anchor tenants were signed so recently, Trammell Crow could not prepare the Preliminary Plans as required by the Redevelopment Agreement. Ms. Keena asked if the Authority could still make whatever changes they wanted in the Preliminary Plans. Mr. Hinson stated that he felt the Authority had that right. Mr. Rothacker stated that he would be willing to represent to the Authority that they will see "basically" what is represented on the drawings before them this evening. They will do exactly what they have done in other projects --brick buildings, glass, etc. It will be an attractive development. Ms. Keena stated that she was very concerned about the treatment of the rear of the buildings facing onto Englewood Parkway. Discussion ensued. Mr. Slack, architect on the project, stated that the Preliminary Plans before the Authority indicates the location of the structures. The final configurations of the buildings might change but the general location would remain as it is indicated on these plans. Ms. Keena asked how much square footage must be built to meet the minimum re- quirements for the financing. Mr. Hinson stated that 94,000 square feet is the minimum area as specified in the Financing Commitment letter. Mr . Minnick expressed a desire that Child's World and Pier I would be com- patible with the general type of construction in Trolley Square. He wanted to see a cohesive development overall, not one that looks piece meal. Mr. Slack stated that in previous developments done by Trammell Crow, they have tried to blend in with the surrounding developments. -5 - Mr. Hinson stated that he has expre~sed concern on the location of the build- ing at the intersection of the Englewood Parkway and Soijth Cherokee 5tr~et. This will inhibit a line of traffic flow into and through the En~lewood Marketplace Development and the Lincor devel0pment to the north and w~;t. Discussion ensued. Mr. Pflaum stated that elevations for the 500 year flood v1ere done based on a different site plan and building placement. The pr0posed building placement in the new site plan will change the flow pattern of flood waters. He stated that he has not had an opportunity to analyze this proposed preliminary plan and the impact it will actually have on the flow patterns. Discussion ensued. Mr. McCown asked why the buil~ing was moved to the proj- ected intersection of South Cherokee Street and Englewood Parkway .. Mr. Slack stated that the building was repositioned because of a general change in the plan. Interest in this particular building has been expressed by two tenants at this location. Mr. Slack stated that their development cannot take ad- vantage of the Cherokee intersection, and the orientation of their buildings to U. S. 285 is of higher priority. Ms. Keena stated that a lot of the issues that have been raised seem to be technical in nature, and she feels the Authority should have the benefit of a recommendation from staff. She suggested that possibly the staff should be given time to review the plans and formulate a recommendation, and come back to the board within one week. Mr. Rothacker stated that the redeveloper is asking for a two week delay in the financing contingency, and that the preliminary plans be approved before they waive the financing contingency. It is necessary to get the DOA Amend- ment signed as soon as possible. Discussion ensued. Mr. Mccown asked why the 15 day delay is needed. Mr. Rothacker stated that they need to make sure that the design of the plaza is acceptable to Pier I, and they need the plans ap- proved for the square footage, because the contingency is based on this. Mr. Mccown asked if there is a possibility that Pier I will walk away from the lease if the landscaping is not worked out. Mr. Rothacker stated that he felt there is some risk that this could happen, but he is of the opinion that everything is pretty much resolved. Mr. Rothacker stated that they do want the preliminary site plan approved so they can move ahead with further design and leasing. He reiterated that they are planning to close on the purchase of the property on July 23. Discussion ensued. Mr. Baker pointed out that the Schedule of Performance was initially compiled approximately one year ago. Mr. Hackstaff asked that Mr. Rothacker restate what the developers are looking for from the Authority. Mr. Rothacker stated that: 1) The Assignment of the DOA from Ross Investment Group to Englewood Marketplace Associates, Ltd. needs to be approved and signed as soon as possible. 2) The financing contingency needs to be extended to July 15, 1987. 3) The Closing date needs to be changed from July 15 to July 23, 1987. -6 - • • • • • • Mr. Mcintyre noted that there are seven buildings indicated on the site plan. He asked if all buildings would be constructed now, or as the leases are signed. Mr. Rothacker stated that this will have to be considered by Trammell Crow . They are working on deals for at least three additional structures be- sides the Child's World and Pier I structures. Further brief discussion ensued. Mr. Voth thanked the representatives for attending, and suggested that the Authority go into Executive Session to con- sider this matter further. Minnick moved: Totton seconded: The Urban Renewal Authority go into Executive Session. AYES: Voth, None None None Cole, Keena, Mcintyre, Minnick, Totton, VanDyke NAYS: ABSENT: ABSTAIN: The motion carried. * * * * * * * * * * Minnick moved: Keena seconded: The Urban Renewal Authority come out of Executive Session . AYES: Cole, None None None Keena, Mcintyre, Minnick, Totton, VanDyke, Voth NAYS: ABSENT: ABSTAIN: The motion carried. Discussion ensued on the preliminary plan submitted by Trammell Crow. Mr. Benedetti cited the requirements for a preliminary plan that are set forth in the ODA. It was the consensus of the Authority that the plans as submitted by Trammell Crow do not the requirements of the DOA. Keena moved: VanDyke seconded: The 1) 2) 3) 4) 5) Urban Renewal Authority agrees to: Extend the date of waiver of financing contingency to July 15, 1987. Remove any and all grace periods. Preliminary Plans to conform with the ODA shall be submitted for Authority perusal by August 3, 1987. Date for closing on the property shall be extended to July 23, 1987. Ross Investment Group shall be released from the contract. AYES: NAYS: Keena, Mcintyre, Minnick, Totton, VanDyke, Voth, Cole None ABSENT: None ABSTAIN: None The motion carried. -7 - VanDyke moved: Minnick seconded: The Urban Renewal Authority direct the staff to convey to Trammell Crow the dissatisfaction of the Authority with the positioning of the building designated as "Building E" on the preliminary plans, and that the building is to be relocated. AYES: NAYS: Mcintyre, Minnick, Tatton, VanDyke, Voth, Cole, Keena None ABSENT: None ABSTAIN: None The motion carried. V. RELOCATION REQUESTS. MiShell Archuleta Mr . Hinson stated that MiShell Archuleta has been operating a business at 3485 South Bannock Street for some period of time, and is eligible for relocation benefits. Ms. Archuleta has submitted a request for relocation expenses to cover cartage, replacement of obsolete business cards, moving announcements, storage, and cartage for a second move from storage. The total amount re- quested by Ms. Archuleta at this time is $2,732.15, and staff recommends ap- proval of this amount by the Authority. Tatton moved: VanDyke seconded: AYES: NAYS: ABSENT: ABSTAIN: Minnick, None Mcintyre None The Urban Renewal Authority approve $2,732.15 in relocation expenses for MiShell Archuleta. Tatton, VanDyke, Voth, Cole, Keena The motion carried. VI. RELOCATION REQUEST Joyce Hirsche Mr. Hinson stated that Ms. Hirsche is the owner of AA Interiors of 211 West Hampden Avenue, and owner of a rental house at 3463 South Bannock Street. Ms. Hirsche has submitted a relocation reimbursement request in the amount of $15,123 .87, which included cartage, packing, a telephone system purchase and installation, printing, and storage. It is not the policy of the Authority to pay for purchase of a telephone system, only for installation. Ms. Hirsche does not have proper documentation for the storage and printing claims, and these are recommended to be deferred until correct documentation is submitted. Staff recommends payment of $6,341.50 at this time. VanDyke moved: Cole seconded: The Urban Fenewal Authority approve payment of $6341.50 to Ms. Joyce Hirsche as a partial relocation reimbursement. AYES: NAYS: Tatton, VanDyke, Voth, Cole, Keena, Mcintyre, Minnick None - 8 - • • • • • • ABSENT: None ABSTAIN: None The motion carried. VII. HAMPDEN/BANNOCK DEMOLITION PROJECT. Mr. Stitt stated that bids were requested for the demolition of 3455 South Bannock Street, 3463 South Bannock Street, 3485 South Bannock Street, and 211 West Hampden Avenue. Nine contractors went on the walk through of the proj- ect, and seven bids were received. Allied Demolition was low bidder at $12,180. Allied Demolition was awarded the contract to demolish the old Colorado Tool building on Broadway, and the staff is familiar with the work they do. Staff recommends awarding the bid for demolition of these four structures to Allied Demolition. Totton moved: Cole seconded: The Urban Renewal Authority award the contract to demolish the structures at 3455 South Bannock Street, 3463 South Bannock Street, 3485 South Bannock Street, and 211 West Hampden to Allied Demolition in the amount of $12,180.00. AYES: VanDyke, None None None Voth, Cole, Keena, Mcintyre, Minnick, Totton NAYS: ABSENT: ABSTAIN: The motion carried . Mr. Minnick advised the staff to verify that the utilities to these structures have been cut off. Mr. Stitt stated that all utilities have been or will be cut off prior to the commencement of demolition. VIII. FINANCIAL REPORT Investment Report Drawdown Report Expenditure Report Mr. Hinson reviewed the Financial Reports with the Authority. He noted that there appears to be an additiQnal $377,000 available to the Authority, but this will be earmarked for contingencies in court cases yet to be heard. Mr. Hinson stated that the payoffs of promissory notes on properties previous- ly owned by Mr. and Mrs. Bell and Mr. and Mrs. Vance occurred earlier on this date . The Authority is scheduled to close on the exchange of property with First Interstate Bank next week. IX. TRAMMELL CROW Mr. Benedetti cited additional rev1s1ons that need to be made to the Schedule of Performance, and problems on the submission and approval of the preliminary plans within the time frame specified. Discussion ensued. Mr. Hinson stated that preliminary plans are sent to various departments of the City asking for - 9 - comments and suggestions, and this can take several days. Further discussion followed. Keena moved: VanDyke seconded: The Authority will revise the schedule for submission of plans by Trammell Crow as follows: AYES: NAYS: ABSENT: ABSTAIN: Voth, None None None 1) Preliminary Plans shall be submitted by Trammell Crow for review by the Authority by August 3, 1987. 2) The Authority will responq to Trammell Crow on approv- al or disapproval of the plans by August 17, 1987. 3) Trammell Crow will submit the final plans to the Au- thority for their review by September 1, 1987. 4) The Authority will respond to Trammell Crow on approv- al or disapproval of the final plans by September 15, 1987. Cole, Keena, Mcintyre, Minnick, Totton, VanDyke The motion carried. x. CONSTRUCTION REPORTS Randall & Blake Flatiron Structures Ms. Ragland reviewed the construction reports on the Little Dry Creek improve- ment projects. Ms. Ragland also discussed the amenities that were bid as an alternate for the Logan/U.S. 285 area which have been delayed to an un- specified time because of budget problems. Ms. Ragland is asking the Authori- ty to reconsider their previous decision to delay construction of these ameni- ties, noting that there is still sufficient money in the budget for contingen- cies. The total projected cost of the amenities is approximately $60,920. Ms. Ragland stated that the possibility of constructing only part of the amenities has been discussed with Randall & Blake, and they have indicated that if only the gazebo is eliminated, they would reduce their contract amount only by $8,200. Discussion ensued. It was the consensus of the Authority that the entire alternate bid for ameni- ties should be deleted from the RBI contract. Ms. Ragland stated that RBI would landscape the area and install the sprinkler system, inasmuch as the landscaping portion for the total project was one bid price. She noted that this could result in additional cost if the Authority were to decide later to actually construct the wall and sign, and/or the gazebo, because the sod and plantings would have to be removed, and the sprinkler system could be damaged. Mr. Minnick suggested that the staff work with the contractor and devise a sprinkler system plan so that there is a record of the location of the lines, which could be referred to in the future. -10 - • • • • • • Members of the Authority strongly opposed inclusion of the construction of the gazebo, wall, sign and lighting at the Logan/285 site by Randall & Blake, and agreed that these amenities be deleted from the work this contractor is to do . Minnick moved: Keena seconded: AYES: NAYS: ABSENT: ABSTAIN: Cole, None None None The Urban Renewal Authority advise staff that only the basic bid package awarded to RBI is to be done by that con- tractor at the South Logan Street/U.S. 285 intersection. The alternate bid for the gazebo, wall, sign, lighting and miscellaneous concrete work shall be deleted from the contract. Keena, Mcintyre, Minnick, Totton, VanDyke, Voth The motion carried. XI. BIDDING OPTIONS Little Dry Creek West of Broadway Ms. Ragland presented a memorandum to the Authority setting forth several bid- ding options for the consideration of the Authority. One option is to select a contractor and negotiate a price; a second option is to select a limited number of contractors and ask that they submit bids on the project; a third option is to advertise asking contractors to submit prequalification state- ments, and limit the bidding to the prequalified contractors; and a fourth option is to have open bidding as we have done in the past. She stated that as a result of conversations she has had with Mclaughlin Water Engineers and with Mr. Benedetti, she questions whether the first three options cited in the memo are any better than the open bidding process that has been used. Discus- sion ensued. It was the general opinion there is a need for more and better evaluation of the bidding contractors. XII. OLD KING SOOPER'S BLOCK. Mr. Hinson stated that the staff has again been in contact with the First Na- tional Bank of Englewood to try to gain approval for the demolition of the Old King Sooper's structure, and it appears that the Bank may be listening to the arguments that the building is a safety hazard. The Bank officers have indi- cated they are willing to ask the Bank Board to allow demolition under these conditions: If the Authority closes with Trammell Crow, $450,000 from the closing will be applied against the outstanding loan principal; or in the event this closing does not occur, the Authority will pledge Deed of Trust on the Authority property on the east side of South Acoma Street to further col- lateralize the loan. Mr. Hinson stated that he is requesting that the Au- thority authorize payment of the $450,000 from the Trammell Crow closing to the Bank at time of closing with Lincor Properties (in November, 1987) or to authorize giving the Bank a Deed of Trust to the property on the east side of South Acoma Street should the Trammell Crow closing not occur. Totton moved: Keena seconded: The Urban Renewal Authority authorize payment of $450,000 to First National Bank in November, 1987, from the proceeds of the Trammell Crow closing , or to grant to the Bank a -11 - Deed of Trust on the Authority's vacant land on the east side of South Acoma Street in the event the closing does • not occur. These actions are undertaken to write down the loan on the Old King Sooper's Block and facilitate demoli- AYES: NAYS: ABSENT: ABSTAIN: Mcintyre, None None None The motion carried. tion of a hazardous structure. Minnick, Tatton, VanDyke, Voth, Cole, Keena Mr. Hinson stated that in 1986, a contract was awarded to Hillen Corporation to demolish all structures on the Old King Sooper's block in the amount of $65,400.00. The Wyatt's Cafeteria structure and the Texaco Service Station were demolished, and one-half of the contract price was paid out. Demolition of the Old King Sooper's building was delayed because of the inability of the redeveloper of the site to obtain financing and close on the purchase of the property from the Authority. First National Bank, holder of the note on the block, would not allow the demolition of the structure. It now appears that permission to demolish this structure may be forthcoming. Mr. Hinson stated that he has discussed the potential demolition of the structure with represen- tatives of Hillen Corporation, and they have indicated that because of the increase in the cost of insurance and labor costs since the project was ini- tially bid, they would request an increase of $6,840 in the contract amount. Staff feels this is a reasonable increase, and would still place the total contract amount below the next highest bid received at the time the bids were taken. Mr. Minnick excused himself from the meeting during the above discussion. Keena moved: Tatton seconded: The Urban Renewal Authority approve an increase in the amount of $6,840 in the contract with Hillen Corporation for the demolition of the Old King Sooper's building. AYES: NAYS: ABSENT: ABSTAIN: Tatton, VanDyke, Voth, Cole, Keena, Mcintyre None Minnick None The motion carried. XIII. UPDATE. Mr. Hinson stated that Key Savings plans to move administrative employees into the Trolley Square development, and are working on the building for tenant finish at this time. Mr. Hinson stated that Mrs. Barbara Holthaus is claiming ownership of part of Little Dry Creek. An immediate possession hearing is scheduled for July 15. The Farmer's Market is scheduled to open on July 7. A building permit has been issued to Rocky Rococo. -12 - • • . . . • • • FEMA has indicated they will do the up-stream mapping on Little Dry Creek, which will result in a savings to the City/Authority of $30,000 to $40,000 . Mr. Hinson stated that the Authority needs to issue a Certificate of Comple- tion for the Home Club property, inasmuch as Pennant Properties has done everything that was required of them in the Contract. VanDyke moved: Keena seconded: The Urban Renewal Authority authorize issuance of a Cer- tificate of Completion to Home Club. AYES: NAYS: Totton, VanDyke, Voth, Cole, Keena, Mcintyre None ABSENT: Minnick ABSTAIN: None The motion carried. Mr. Hinson stated that copies of the Linear Assignment and Assumption Agree- ment were made for the Authority; bound copies will be forth coming when they are available. XIV. RESOLUTION #13, SERIES OF 1987. Mr. Voth stated that the Urban Renewal Authority needs to consider Resolution #13 , Series of 1987. Tatton moved: Keena seconded: The Urban Renewal Authority approve and adopt Resolution #13, Series of 1987, A RESOLUTION OF THE URBAN RENEWAL AU- THORITY TO APPOINT WILLIAM RICHARD HINSON AS ACTING SECRE- TARY AND ACTING EXECUTIVE DIRECTOR OF THE AUTHORITY. AYES: VanDyke, None Minnick None Voth, Cole, Keena, Mcintyre, Tatton NAYS: ABSENT: ABSTAIN: The motion carried. Mr. Voth stated that he had written a letter to Mr. Hinson regarding his ap- pointment as the Acting Executive Director/Secretary to the Authority, and submitted copies of this letter to the members of the Authority . VanDyke moved: Keena seconded: The Urban Renewal Authority approve the letter written by Chairman Voth to Mr. Wm. Richard Hinson regarding his ap- pointment as Acting Executive Director/Secretary of the Authority, dated June 9, 1987. AYES: NAYS: Voth, Cole, Keena, Mcintyre, Totton, VanDyke None ABSENT: Minnick ABSTAIN: None The motion carried . -13 - Mr. Voth stated that City Manager Mccown had written a letter to the Urban Renewal Authority members outlining the working relationship for the Authority administrative staff and the City employees. Keena moved: VanDyke seconded: The Urban Renewal Authority approve the memorandum from City Manager Mccown dated June 15, 1987, outlining the work relationship for the Urban Renewal Authority administrative staff with the City. AYES: Cole, Keena, Mcintyre, Totton, VanDyke, Voth None ' NAYS: ABSENT: Minnick ABSTAIN: None The motion carried. There being no further business to come before the Authority, the meeting was declared adjourned at 9:30 P. M. ~LYi-¥ Gertrude G. Welty 7 ... Recording Secretary -14 - • • •