P&j Meeting - Regular Meeting

Good to go. Yep. Okay. I want to call the P&J committee meeting together for 6:03 p.m. start roll call to my left. Cheryl Cheryl Davyy ready here present. Is this PJ or is this the radio? Is this PJ? just walked in. Okay, we're glad you're here. So, you're still here. We're just a little early in the month because of Thanksgiving. That's dedication, Tom.

Um, so before we open it up and start moving on to business, I just want everyone to go to page three so you can see some of our earned commitments. Uh, one of the commitments that is not outlined here yet is the internal goal of the sidewalk improvement project. Um, and we are starting to be getting into the process of collecting bids. We have some softball information. So we we kind of understand that uh uh most of this budget is already going to be uh eaten up if not all but we do want to keep moving forward because capital will be coming in the new year and we're [clears throat] going to be pursuing more capital in the new year. So we want to keep these conversations going. So uh with that being said uh let's start with new business 115 Main Street application. We have Harry Phillips.

You want me to stand somewhere? Oh, if you're comfortable. You can sit if you want. Well, you want to take this away? Um I I I don't have the numbers in front of me. Uh but we're asking for aboutund $100,000 or thereabouts. Um when we started with the uh bank building project um this county stance was that that building was not going to need a sprinkler system

that the upstairs had been previously used as residential downstairs commercial retail. So we kind of had that in the back of our mind. As we went into the project things kind of started changing a little bit. Opinions changed. another third third company or third party became involved with Clare Company who does outsources you know the the the permit application packets and so then sprinklers started being talked about. Um so [snorts] we we ended up um with an early warning smoke detection system that I installed on the lower level and I believe that was about $45,000. We did one hour burns [snorts] on the walls and the ceiling in that that building. Um but they're still going to want sprinklers in upstairs. Um so the cost of the sprinkler system I believe with um was it 41,000 or $42,000 um getting the water from where it's at, which is over by Pacific Restaurant across the plaza wasn't too bad. I think that that's a little high but it was about 20,000 I think. Um the biggest cost is the SDC fee. Yeah. Um and I think it's about $60,000.

Okay. Um so we've got a fair amount of money that we had not anticipated spending on that project. Um so we were looking for for help or an alternate method. Um, right now we've got a p well we've got a housing grant that we were awarded about 6 months ago for the upstairs proportion of the project, the apartment portion of $100,000. We have a Oregon Main Street GR of $250. So we've got $350,000 of grant money headed to those apartments. I'm in the building right now a couple of dollars shy of 1.3 million out of pocket. um on just getting the building to the point that it's at right now, which is structurally sound um and the lower level done. So, and then I had the $470,000 purchase price. So, I'm invested fairly heavily in it. Um

yeah, but I I at the end of the day, I feel like it's worth it. It's worth it for the community. It's worth it for the additional housing. And that's a cost that I'm willing to incur. I've got about another $250,000 of cash. Um, so I feel like we're, you know, if we could get this, we're really close to being able to finish those apartments. We've got about a $750,000 budget to complete those um nine units. We did a portion of the work um when we did lower levels. So those units have plumbing um under floor um power there of course the roofs on it. So yeah, we're just we're trying to um get rid of that sprinkler system cost.

Oh, trust me. We we you know like another uh member of the community is here um you know I don't need to name names. We like what you're doing for the city. We believe in both of you. We think that you're doing wonderful things. We we just are having a capital issue right now. And in the new year, um I will be the president of the board and we've been discussing a little bit with Tom. We've been discussing a little bit with Ruth and we're going to be pursuing an additional couple million dollars with financing. And so we we want to continue to work with you. We don't want to see these projects stall out. We want to see things move forward, but right now we're having a little bit of a cash flow issue and we have somebody else who's in line waiting to see some of that capital get released. So, what I want to say is this uh presentation's really clear and really great. I appreciate you putting the effort into it and we are not saying no. We want to keep finding an avenue to move forward, but we don't have the $110,000 right now. Um, that being said, we may be able to find a way to have that in the new year. Um, especially we're going to get a dispersement from uh the tax office, I think in February or March, maybe it it's pretty much at the top of Q2, at the bottom of Q1. So, it's not ideal for your situation right now. Um, but that's just kind of where we're at. I I would continue to bring this towards the board. Um, but that's just where we are in terms of capital.

How would you feel if I move forward on the project and if you do get any money, we talk about doing some other portion of the project? So, not to stop. No, you can't stop and we don't want you to stop.

Um, we can't fund things that we haven't agreed to before the project actually takes place. But one thing that we're trying to develop so we can help people in your situation is how do we break that project up into these tangible amounts that may be able to hit when we have the capital. So for example, we can't do the $100,000 right now, but perhaps you've already done breakdown of this project. Perhaps there's an avenue that we could come in later with a portion of this project if the project for that particular project.

Yeah. Well, you would break it up from being the fire sprinkler sprinkler suppression project into one, two, three. Maybe they get up for sheetrock, right? As an example, right? Right. Well, right now, if you're are you are you what is your timeline for moving forward? I'd like to start on the first of the year. I mean, we're just we have just actually gotten our permit packet in place. Okay. So, I think the idea is so you get started. You know, one of the first first things you're going to have to do is do the sprinkler system because you got to run the piping, right? Yeah. So, you move forward with that. Well, what what Victor's saying is, you know, there's an anticipation of money coming in the first quarter and then potentially

Yeah. they could award you a grant for sheep rock. Yeah. So, so it does give you some help because this is a project I think is totally what we're shooting. Absolutely. But instead of the first phase being right now with this there's no money but they there there's money coming but then it could be going forward it's another item in your project

and what we need from you to do is to make each of these segments a project because according to our bylaws and it's bureaucratic AF then we get it this is the system that's set up if you present that project as 110,000 but you've already started 50% of it then we can't help you. Correct. But if you say, "Hey, I'm doing this fire fire sprinker project, but I need you to help me do this project, the drywall [clears throat] project, the then we can figure that out." Gotcha. So that's what I'm saying is no is not the answer. We 100% appreciate which viewers,

you know, we got to judge it [clears throat] a little bit to figure out. Does that make sense? Thought that was really helpful here. Tom, Cheryl, do you have any thoughts? I just [clears throat] I had just a couple of questions. So, there are nine units, Terry. They're single. They are going to be all 700 square foot, one bed, one bath. There's eight units upstairs and there's an ADA unit downstairs. Nice.

In case you wonder how I got away with no elevator. Quick question about system development charge just because I'm getting used to the local uh colloial way of describing things. You have new meter fee as a as a an item and then the system development charge. What is the difference? It's one the actual physical work and one is just the permit and the city is telling you that it's $47,000 for the physical. There was there was three three costs that added up to that. There was the cost of the SPCB, the um advanced excavation to get the water. The city doesn't do anything,000.

They they do charge a fee based on the size of the meter. Yeah. Yeah. But see that where I'm just to clarify [snorts] where where and why I'm confused. In Portland, they would say you're going to upsize your meter and then only the city's allowed to bid on that work or tell you what that work is going to cost. So like something like that $47,000 would be the physical cost and then they would outline the permit cost. No, it's just a fee. It's 47 fee. How about that? That's a tax. That's a tax because the city the city is saying, "Hey, there's going to be more use of the water sewer sewer. So, we want to pull in some money now for our maintenance and things. Huge.

It I actually looked at building an apartment years ago and that the the number I mean it cost more to build than that. I want to say Carl Daniels $900,000 that you see up there one of his complexes. So, it's tough. Yeah. Really? Yeah. This is why and that's for no work. That's just that's just the work is the 20 the 19,200. That's to have somebody dig a hole and run a line over that's upsized to this building. Yeah. And then the 1755 for the city to come put the meter to do the meter to connect the meter to the pipe that's bing.

Yeah. No, that makes sense. I understand the the water line. I thought the 47,000 included like cutting the asphalt, excavating the city line. That is just the tax. Well, thank you for helping unpack that. You're welcome. I'm sorry that you have that tax of paper. That's wild. Well, it's a 2 in 2 in meter. They're they're more than that. It's they're like 70,000. They give you a credit for the 1 in. So, Todd's right. The cost is astronomical for like the Wellage over here. That's where you were going to go. Yeah. We needed a 3-in blank. Yeah. SPC on that.

You know, I can't if I 100,000 if I recall. So, all right. Well, do we have anything else we'd want to share with Terry or any of the I have a question. Another question. So, do you have approved plans now for the apartments? Yeah. Yes, I do. Okay. And they and they agree approved by county. Yeah. All right. We've got a stamped set of plans that we have just submitted to the county for Did the county tell you they're okay with not sprinkling the downstairs? Yes. Okay.

Change or or it's just the upstairs just All right. My experience is if you have a residential and a commercial, you got to sprinkle it no matter what. You have more than two residential, you have to sprinkle the whole building. So, I would just confirm that I would, you know, I mean, I wouldn't want you to kind of move forward, size everything for just the upstairs and then someone said, "Oh, wait a minute. You got to sprinkle the bottom, too, and then you have to redo something. I need to have you in a bind like that." Right. My understanding is you have to sprinkle the whole building. So, I don't know how that's not

um we we there was a we had a couple of um ways out. Okay. Yeah. And one of them was the the 2hour burn and the other was the early warning smoke detection system. Long as you got it. I don't want you to be in a bad spot. Yeah. No, it's good to try both cuz it's helpful. Others not. So, uh, you're lining the elements of your job in a row and among the things that you mentioned was a a grant coming in from Main Street and another grant coming in from another. And so, um, any delay on your part? Is there an expiration of those grants being used just?

No. Okay. You're okay in that? Yeah, I'm fine. All right. Uh yeah, because we don't want this group does not want to hold up even moving forward with the job while having permits that may expire down the road or making these grants expired, but that's not the issue. Yeah. So we don't vote on this, do we? No. All we can do is either tell him that he needs to go back and do more work or we can bring it to the board as I understand. But I think we can bring this to the board. It's it's well done. Um, it's just that that's our pickup, right? That's our issue. Charlie, either exhaust it.

Not really, but I um I'd like to when we bring it to the board, maybe talk about it, but uh for the fact that isn't it possible to take it to the board and since he has part that he has to get going on anyway and that would be his buy in and then the rest would be matured in whatever way the board decides. Yeah.

But isn't that a way to keep it moving forward? I mean, it sounds like he's in a critical part of the project because you have to figure out a way to keep moving forward or you're not going to be able to get drywall up and then subsequently finish just the final permits. So, we can try to communicate with the board potential urgency around it, but we do have a little bit of a line. We do have these big deliverables coming up. So, I just don't want to leave Terry here with false hope. I want to give him all the agency that he can figure out. how we can move forward but know that we are still an interested partner. It's not a done yet.

So if you if you move forward, does that stick us with just working with this? I would have to get more clarification from our president um how we could do that and then we would draft something and send it to you. Yeah, that's probably the best I can do right now. But we will move this forward when it rains. It'd probably be better idea to hold off. I mean, if you don't if you're not going to have any money until spring. Yeah. And you we would be stuck with this project by spring. This project will probably be done.

Yeah. So, it might be better just to hold hold on that and talk about drywall or future project cabinets or whatever trail. Yeah, I think that's probably right. That's probably I still think I'm going to try to advocate on your behalf for a shorter term answer, but I I think you're realistic with Why don't we keep it in limbo then? You can do whatever you want to do and then and then we can Yeah. move forward, too. Yeah. Cool. Well, thank you, Terry. No, thank you. Thank you.

Um, all right. I think there anything else I think we're ready to move on. Okay. We have 2016 Third Street. Hey, how are you? I'm good. How are you? What's your name? Jennifer. [snorts and clears throat] Jennifer, thank you for coming. Do you have uh Sorry, I'm floating over your 17 before. Oh, when I was gone. Oh, right. Well, Jennifer, do you want to take us away? Um, so does everybody have the picture from the first

Oh, the first time I thought of the existing ceiling repair and what I wanted. Gotcha. Gotcha. Yeah, we can pull the pictures up, you know. I think you heard a little bit of the spiel already and that's fine with me because I don't really want to do it until late January, early February or even early March. So great. Yeah, that's fine. So I also have lines down the street. Cool. I teach home tour. So that's my slow time. Right now is my busy time. I don't want to be holding my room apartment.

So the area is retail is open for retail. Good. So what I have is I have white acoustical tiles in my back room with lights that you know stretch which you cannot replace anymore. You know you can't even replace the old so I bought lighting that won't work anymore and you know the white tiles that are mismatched from you know previous years. This is an old building. So I'd like to do is replace the white tiles with a blue pine and piano, right?

Which I have a photo of show previously from leaders I took on the old um barber shop right next to me. Same situation why tiles fls and that's exactly what we did there. do anyway, but can I like can fit it? Looks amazing. Oh, yeah. Do the same thing in my bathroom so it all matches and nice clean look. Yeah. And I like you got them good bid and everything. Um I see you're applying for a grant. Yeah.

Would you be amendable to a grant and a loan where we gave you, you know, something like 50% in the grant and 50% in a loan? I think our loans are like 6% or less right now. Is that something you'd be amendable for? I definitely consider that. What I would probably do is ask you is I don't own the building. Gotcha. I would probably go to the owner and said I'm I can get this much. Would you consider putting in this? There you go. I mean, it's a benefit to have. Absolutely. Yeah. Absolutely. So, Tom, you have any any questions from Tom? No.

Well, once again, we're cash. We've got some big deliverables coming up, right? You know, uh if you got a realistic timeline, like you said, potentially Q2 or end of Q1. Yeah. You know, this isn't a huge budget. This is something uh based off of what I'm seeing, I'm going to bring I feel confident of bringing this to the board, having a conversation, letting people know what's potentially going on. Um, but we're not in a position to offer anything today. That's cool. Cool. So, would you just reach out to me or do I reach back out to Sarah or

Um, I think, you know, reaching back out to Sarah in the new year might be good. Um, because the holidays are can be things a little confusing and just a little checking email. Uh, but we do have a a a board coming up in December, so we could, you know, get up and check that. Yeah. Anything else? Okay. And are you just here for support then or so the government buys or

No, all of the above, but you already answer the questions I have. You're just about the cash flow. Um, and then something else I want to bring up. So, I know one of Tor's main goals besides, you know, obviously our community and helping the local businesses is to increase the quality tax revenue for you guys to be able to put that back to our city. Um, and so as I was paying our property taxes, I actually took a scan because I wanted to bring it um and show you our property taxes increase for 110. So, probably for those who don't know, could you introduce yourself? Of course. I'm Hope. Um I'm Todd's daughter actually.

Thank you. We met you before. I just didn't remember. I think you were on Zoom at that time. So Okay. Thank you. Um yeah. So it's almost a 940% increase in taxes. And as you've outlined, the goal of course is to increase those taxes. So, uh, uh, I have a personal level of thrill, but as an American, he pays taxes, [laughter] you know, that, right? Um, but that's, you know, that's one of the

the tenants of renewals to rebuild the tax base. You take money for a few years, 10 years or something. You're taking them tax money and you're not letting all the other people normally get it get it. Yeah. And the hope is the goal is that when it ends and you start paying people, they get more than they did before because you reach the tax base. So tell the number so everybody can see. So the property tax per year went from $784 to $6,2.98. So from under a,000 to in excess of 6,000. It is a 937% property tax increase. And once again,

we on behalf of Terry, we'd like to thank you and your family for and Terry's gonna get his chance. Oh, no. Should be the old isn't it? Yes. Is it okay if we keep this? Of course. Yeah. Yeah. That was major improvements. Yeah. Yeah. You guys are great. So, this is tangible. It's just incredible. Thank you for sharing this. Um, yeah. All right. Let's go that. Do we have any committee concerns? All right. You feeling good? Yeah.

Sheriff, please. Nothing at this time. All right. Well, unless there's anything else, I think with that, we can bring this meeting to a journment. So it is 6:27 and I'd like to bring the PJ meetings to completion.