Labor and Economic Development Committee - Regular Meeting

We do check the boxes of what the violation was. So they could just have one priority violation and still get a C and they failed their inspection. Food not at safe temperature or cooked properly, sanitizing of dishes, hygienic practices, people are not washing their hands or waste disposal, sewage, toxic items labeled, not demonstrate knowledge of the inspections or food safety, no hot and cold water, insects or rodents. A facility can get a C if they have a score below 85 And they may not have priority violations, but they just have so many of the non-priority violations, their score did get below the 85. Now also, a facility might get a C if we had to close them because of an imminent health hazard, such as no electricity, no water, infestation of insects and rodents, so facilities might have to close and they will get a C placard posted because of that closure. So if they come in and you see a C, that means the facility does have some problems and we are working with that facility to make the necessary corrections, but they do have to post that C. If they have corrected, the violations that we saw in the routine inspection, then they could be eligible to get an A. Now, a facility that fails two routine inspections, of course, each of those inspections gives them a C placard, but if they do fail two routine inspections, then We have another placard, which would be the B placard.

If you're curious about any restaurant scores, there is a link on our website available to find that information.

Yes, a professional such as an architect or engineer or a property owner can apply for the permit without selecting a contractor. However, the permit won't be issued by our department until a licensed contractor is selected and verified. We can only issue permits to contractors who are licensed or verified property owners. So it's a good idea to have some research before applying for a permit and find a contractor who is licensed by searching online.

Hi, I'm Althea Jackson, the director of Louisville Metro's Boards and Commissions. Today, we're going to learn...

Metro TV, 30 seconds. All right, good afternoon. This is the regular meeting of Labor and Economic Committee on Tuesday, May the 5th. No, today is June. June 2nd, I apologize, trying to go backwards in time. The time is now 3.02 and I am the Vice Chair, Councilwoman Bass. We are joined by Chair Ben Reno-Weber via web. This is being held in pursuant of KRS 61826 and Council Rule 5A. Let's see. Today we are joined by Councilman Leninger, Councilman Bashan, Councilwoman Purvis, and I think that is it. If you all would like to read the...

Okay.

Okay.

ordinance amending ordinance number 95 series 2025 in order to amend the project adopting an amended and restated development plan approving entering into an amended and restated local participation agreement and authorizing the payment of the released amount pursuant to the terms and conditions of the amended and restated local participation agreement requiring the submission and regular reports to louisville jefferson county metro government and authorizing the execution and delivery of any other documents and taking the any and the taking of any other actions necessary to accomplish the purposes authorized by the ordinance right in full. So move.

All right, thank you ladies. Do we have anyone here to speak on item one?

Okay, good afternoon council members. I'm Jeff O'Brien. I'm the executive director for economic development for Louisville Metro government. Uh, the ordinance in front of you today is an amended tip for the new loop crossing project at 700 East main street. The developer has made some changes to their plans. As a reminder, this TIF was approved last August. They are also seeking a state TIF. They have preliminary approval from the state. As they've been going through their development, as you'll recall, there were medium-term rentals in that development project, in that original development project. And so they've removed those and gone with just a regular hotel. So the principal change is they've removed the office space, they've replaced that and the medium-term rental units with hotels. There will still be 340 rental units. 34 of those units will be affordable for people making up to 80% of the area median income. That is the... That is the 10% requirement that we typically hold. There is also going to still be a significant parking garage. The parking has been reduced slightly from 587 spaces to 476 spaces. The total capital investment for this project is $275 million. That is slightly up. The cost of the infrastructure is $59.2 million. That is down from the original $75.2 million. The cap remains unchanged at $39.4 million. As a reminder, this is a 30-year TIF. It is performance-based, so they do not get any of that money up front. They have to actually perform before they receive any reimbursement of the taxes. I'm happy to answer any questions if there are any.

All right, do we have any discussion? All right, looks like we have J.P. Leninger in the queue. You go ahead, sir.

Thank you Madam Vice Chair. Hey Jeff. So what is 80% AMI for this area?

80% AMI for Louisville Metro is approximately $54,000 a year.

And we calculate the AMI for these projects based on the entire metro, not for specific areas?

Yeah, there are local breakdowns, but I believe this one is more in line with the full metro area. What we do is when they come in with any requested reimbursement, our Office of Housing and Community Development goes through the HUD tables and will calculate rents based on that requirement. So as you all know, that shifts annually as well.

And you said that, what did you say that the cap was to us for the day?

The Metro cap is $39.4 million, which is the same number as before. So 80% of what they would be able to get based on our estimates and what their total investment is is about $44.3 million. So we are a little bit less than our 80% participation here.

Okay, thank you.

All right, do we have any further discussion? I'm in the queue. Okay, sorry about that. I don't see it, but you can go right ahead.

Okay, thank you for being here. For people that may be looking at the meeting, a lot of times people don't understand the terminology used, like the 80%, and you gave a figure out there to Councilman Leninger about the $54,000. So can you just give us a little detail as to what that actually looks like as far as a monthly cost to live in such a facility?

Yeah, so typically the rent at that level is between $1,100 and $1,200 a month. Again, this depends on how we're calculating the rent. Are we just calculating the base rent or are we calculating the rent and the utilities? So my rule of thumb is depending on how we're looking at it, it's usually about $1,100 to $1,200 a month. If you have to look at utilities, you can move that up slightly to about $1,500 a month.

And that's based on a gross or a net income of $54,000?

It's always based on your gross annual income, so that's year before tax income.

Okay.

Thank you.

All right. I'm not seeing anyone else in the queue. This is an ordinance requiring a roll call vote.

Voting's open. Chair Reno-Weber? Aye.

Aye.

Councilmember McCraney? Yes. Thank you. Voters closing. Vice chair best you have five yes votes and one no.

All right, so it looks like this item will be sent to OHO Business. And this passes. So I just want to, for the record, we were joined by Councilwoman McCraney. Sorry about that. I didn't see you pop up there. All right. Well, that concludes today's meeting. So everybody have a good day.

Nice job.