Finance Committee - meeting_joint_regular

Hello? Hello? Hello?

Do we need to do anything on here, Adam, or did you get it all set up already?

I just have Zoom on, so there shouldn't be anything else we need.

Okay. Mark, can you hear us okay? Yes, can you hear me?

All right. Thumbs up. How's everybody? Good.

Good.

Great.

I think we're good. Did the county reply if they're sending someone?

They did not say they weren't. The only no we got was from the president. I think we should have everyone. Oh, yeah, because come soon.

We're waiting. I have a quick question. About how many acres is the former mall site where Powers was and all of that?

35, give or take.

35. Okay. And then there's that, I see this for sale, like four acres or whatever. That is something separate than I take it, right?

No, that's part of the 35.

Oh, that's part of it. Okay, great. Thank you. Sure.

Chris Wanner, Answer questions. So, Chris Wanner, I have to feel bad about having to do all Chris Wanner, Thank you. Chris Wanner, To collaboration. Chris Wanner, However you want to look at it. Chris Wanner, Just something that Chris I can get used to.

Oh, yeah.

Yep. Now we're done.

Going back and forth. Yes. It's just like, can we just jump ahead and do 70-30?

Yeah. Just cut through it, right?

Utilization may or may not be more than just that. So it's just nice to have that. How's R&R doing for you?

I think they're good. Very, very communicative. Yeah. It's been a good match for our benefits person in terms of personalities. So it's been good.

It's time for something different. Same group for 20 years. I want to be complacent. Yes. Yes. Yes. as well.

Yeah, let's do this.

Time for something else. Executive Martell is on show. Yeah, I'm here. Yeah, I see you both. Welcome.

And that should be everyone we're expecting, but obviously... I have to wait till 3.30, but if you don't mind, normally we had JJ running these meetings for probably the last three years. So with him no longer being on this committee, just curious if there's anyone who wants to step up and run the meeting. I cannot, unfortunately, since I am just a staff person, but any of you fine people are more than welcome.

Do you have a script I can read off of or what? Just the agenda. Okay. That's all you got to do. Good.

Okay.

Yeah.

Yep.

Should be pretty simple.

So S-O-O-D-S-M-A.

Thank you. Oh, come on. I will get it wrong. Don't worry.

Nathan Milkey Manitowoc Public School District.

Sean Alfred, Finance Director, City of Manitowoc.

Adam Tegan, Community Development, City of Manitowoc.

Heidi Soltzfa, Lakeshore College.

Mark Mauer, City of... Member at large. Member at large, thank you. Tyler Martel, County Executive for Manitowoc. Beautiful.

All right, moving right along, approval of minutes. Approved minutes from July 31st, 2025 meeting. Anybody have any questions about the meeting minutes as they were shared? Move to approve. All right. Can I second or not? Absolutely. Okay, I'll second.

All right. All those in favor? We have to vote on that.

Oh, we have to vote on that? Can we do a voice vote or a roll call? Okay, voice vote for the approval of minutes. Aye. Aye. All right. Passes. number or letter or okay um new business uh annual review of active tax increment financial finance districts i'm sure we just send it over to you adam correct i can start and then mr alfred can correct me when that works uh so just kind of we'll go through them in order if that's okay with everyone uh we've got 10 16 starting

For those of you who are maybe not familiar, that is kind of north side, downtown, curls around, includes the Merrill site and some others in between. but ultimately did start the year a little negative, just under 500,000. Increment has been growing steadily, however. We have done a sharing from what was a former TID 17 for a few years to try and help this TID out. Ultimately, we're taking in a little bit more than we received, so that negative amount will drop down a little bit. bit sooner than that. Major expenditures were basically we got the large EPA cleanup grant of just under two million dollars. So there was a lot of expenditure out of there but that is the reverse of that grant. So that's a quick summary on 16.

Questions? Is it a for sure thing that they're going to do apartments there or is that still unknown? construction probably in august is the expectation nice right after that correct decades before the long the long the long game with that property right yeah that's why it's in a tent

some more? No, just to interject on it. So as Adam mentioned, it's got a negative balance TID right now, and it was getting a cost share from TID 17. Its increment's been fairly decent there, but we'll know more at this increment that's going to come across this next budget season. That would be for 27 budget tax levy year 26 to see if it is going to be able to be by the levy the increment being thrown off or if um there could be one reason why i bring it up is if this happens we would have to have another jrb and go through it would be an increment share from one of the other um tits um and if i had the from the finance person of what did i would i would recommend to bring forth to you guys and be with a minimum debt requirements. The main thing of stretching it out is the debt requirement principle and interests that are remaining to satisfy. So that's there. So we'll see, keep your fingers crossed. If our increment keeps growing, we won't have to do that, but very minimal project expenses. Like the report shows a lot of expenses, but that's just, So it's almost like a cost neutral. It's just where it gets recorded currently. So true expenses occurring in the TID, but for the Miro redevelopment site, very minimal outside of principal and interest.

All right, any other thoughts, comments on 16? All right, moving on to 18. So 18, again, this was the former, oops, and that doesn't include kind of that small office park that's just south of Waldo. So that's kind of the general area of City 18. The majority of expenses were infrastructure related on this one. So when the city bridge over the little manitowoc river and the associated peat and everything with that so that was a large expenditure in this particular district again it's one of

Yeah, so if we rewind, you know, 18's usually been performing very, very healthy, but for the large thing was this big trail performed by Benton that really brought it down. There are some other properties, you know, that, for example, correct me if I'm wrong, Adam, that Community First Credit Union is in there. So that, once that goes up, yep. So there's another example of just to get some more increment generated as the new construction grows in there from a base value to current on that. But it looks favorable based on the increment of how it's been and predominantly any major capital projects or costs have subsided. The only ongoing expense currently in the TID minimally outside of principal and interest for debt would be the small electric utility for we pay MPU for the lights on that Bayshore Trail they have like pillar lights real small minimal ones kind of almost similar to landscaping ones but that would just really be about it so as like that community first credit union comes on site and things like that or the other ones start to get around there so that one should be self-sufficient

Anything else on 18? 19. 19 is our other downtown district. So this would be majority of the south side of downtown. But it does include a little bit north and east of downtown as well. This is newer than 16.

Has a relatively low current debt on it.

and currently have a positive balance going in. That balance grew at this point. So again, relatively healthy, potential for some larger projects in the near future, but at this point, nothing wrong. I missed a map on Mr. Elfrid? No, sir. One for three. Any other questions? Oh, everyone's still awake? yeah like mr martell is taking a nap but we'll see still awake okay all right uh number 20 uh so call this one lakeside foods so this is basically the 30th street corridor is how i would describe it lakeside foods uh the majority of it but it also includes the former mantua crane properties So things like Robinson metal and Alliance laundry systems are in this district as well. This one is the major expenses are typically driven by the development incentives. So like side foods, their freezer expansion a few years ago has an incentive. They redid their wasn't canning. It was just their production line facility as well. That one has an incentive and then Alliance laundry as part of the attraction to However, this one, again, went in with a positive balance. All the incentives are tied to a portion of the increment they create, so it shouldn't draw down any balance, any of the development agreements. Again, I think relatively low debt on this one, right? Or is there even any debt? There is no debt. I know we discussed potentially taking Any questions on 20? All right, 21. 21 is our ITEC Park District. So this is basically the industrial park behind Menards, west of I-43. The majority of this property is built out. So again, major drivers on This one, as far as expenditures, are development agreements. So I believe there are five or six, looks like five total out there. Again, they are all pretty much pay as you go type of incentives. So they are tied to a percentage of the increment created on an annual basis. So they don't have a negative impact annually on the balance. The council did recently approve just a small sanitary sewer extension serve the properties off of El Bernal Road. There's some by-vapers, all our parcels we're trying to get developed that need a little bit of the extension to serve it with sanitary. But other than that, I'm not aware of any major expenditures outside of the development agreements on that one.

Questions?

And that is the district that Mr. Elfrid referenced that if we need a donor TIF, TID 21 is a

on it like for example 80,000 so it's a very more marginal but this would be if someone asked like can you ask can you close any of them early we would look for once the project's done um definitely evaluate that one there as we know once we close it benefits all four of us in an increase in the regular price all right next one tip 22

former railroad land just across the river. So this one has historically seen a large amount of bonding on it on an annual basis that is tied to the infrastructure and cleanup that we continue to do on that. I believe we bonded this in 26, hopefully for the last time for that cleanup and infrastructure.

So the goal is to be able to finish that with what we have existing. There are a couple of development agreements out there, River North being one of them.

do homes out of Green Bay.

And hopefully that project will be getting going. And we continue to have a few discussions with additional developers out there.

So if there was one I was worried about, this would be it, just because it took a lot of upfront bonding to pay for that infrastructure and cleanup. But we are beginning to, now that we're at the tail end of that, we're beginning to see that interest from the development community. So things will recover in this district.

No, I was just going to add, you know, as Adam mentioned, worried as far as, you know, when we did the project plan back in 2020, is it going to perform the way we want? Just as for the other entities or municipalities, if this TID would underperform and get to the end of the life and it's negative, the city's general fund does supplant it. So it's not as if any of the negative financial performance of the TID is passed on to the other entities. They're unfortunately wouldn't spend out the benefit, but the increase would still occur in the tax base, but we would be on there. So we're open, obviously, evaluating this one quite often to make sure we can find ways to have it turn positive. Just an FYI.

Is the city kind of bullish on it? You mentioned this Purdue builder or Purdue homes and all of that. How are you feeling out of all of this? I don't want you to jinx anything, but...

The new one with, it's Radu Holmes. Oh, Radu Holmes.

Okay, yeah, yeah, okay.

condo type units along the river and then one small office retail space. if that one comes together. So those are kind of the ones in the works. And then there is one additional condo developer that has the option on the property. They're just waiting really for us to clean up before we get into any primary details. So that would develop the majority of the acreage out there if all of those come together. So at least we have the interest. Awesome.

Thanks.

Anything else on 22? Now we'll move to 23. This one was created southwest corner of the city. FedEx was kind of the initial driver of this, but the secondary driver of this was the 90 acres, give or take, that the city acquired from the county back in, I think that was around 19 or 20. Mark that for future industrial growth. So we will have some need for infrastructure out there like stormwater ponds are and square runs that type of thing. So we got a relatively small development agreement, considering the size of that project should be paid off actually four or five years.

The new hotel along the interstate is

But otherwise, again, development incentives are tied to percentage created. So, yeah, there was no upfront, like, comment from the city on most development incentives. All right, see nothing on 23. 24, our newest and shiniest toy. is former lakeshore mall properties again it's about 35 acres the city you know again took out a fair amount of money on that one we expected that because it's of the upfront cost of acquisition and then the demolition of the former mall properties the city did sign basically a master development agreement with tight core built they're out of the grand bay outward area so they are they reference sets for those commercial outputs. But based on our projections and how we expect that one to perform, it'll just be a little rough in the early years, we will retain that pond as part of the city's overall system as well. And then there is a pay-as-you-go agreement moving forward with the developer, but that's structured in such a way that we pay our bonding costs first and they receive a portion of that after we pay our bonding costs. That particular development agreement should not negate

On your agenda, there's new TID question marks, so I don't know if that's official or not.

And then if there's no questions on existing, usually just try to give a heads up on kind of some of the things the city is maybe considering. One of them would be TID 19, again, downtown, because of the mural redevelopment and some other kind of larger projects.

But that's in the very early stages that would obviously have to come back through this board as a formal amendment. And then new TIDs, just we get a lot of questions and requests obviously for TIDs.

At this point, we don't have anything that's lined up, but there have been some very, very, very early talks about kind of the area south of Menards, west of I-43. that there are rumblings always hopefully the districts understand that the city and trying to get economic development it really is that one main tool obviously are trying to do our best to if we can pay these off earlier and the cash flow is there to do so or looking at things like donor tips that if we can catch one up sooner do understand that it's a partnership Obviously, we wouldn't have that.

Yeah. Is it okay if I ask a question? Yes. Okay. You know, just to clarify from the district's interest, because it's a question that came up in board meetings recently,

on that particular one are due Friday. I can't say that a developer isn't going to ask. Too early to tell then.

I wouldn't be surprised if I'm asked and aren't meeting about it.

I sincerely do not want to use one there.

Thank you. And I look forward to signing the closing papers next week. Or no, Friday. Yeah, Monday.

That's all I have. I think I have spoken more than enough.

Okay. Do I open it up to anybody? I'll open it up to anybody else. If anybody else has anything to comment on about new business before we adjourn. You asked the question that I was going to ask, so. All right. So we all have, we all have the same knowledge that we're all like, we can, we can go back and, and, and, and share the same information that good. Okay. All right. Hearing no others, roll call for adjournment. No, just a motion and a second. Okay. Motion and a second for adjournment.

I'll make the motion to adjourn. This is Mark. I'll make the motion to adjourn. I'll second, Tyler.

We are adjourned. Thanks. So long. Thank you. Take care, everyone.

I can definitely do that every year.

I can definitely do that every year. It's very cut dry. Good to see you guys. See you later. Take care.