EDA Packet 11.16.21 - Laserfiche WebLink

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Memorandum To: Hugo Economic Development Authority From: Rachel Juba, Community Development Director Date: November 10, 2021, for the EDA Meeting of November 16, 2021 Subject: 1401h Street Construction Request from John Schwieters, Owner of Victor Land Holdings, LLC. BACKGROUND/ANALYSIS: In 2013, the City Council adopted an assessment policy for developer -driven improvements. The policy outlines criteria to consider the requests of developers to design and construct roadways and associated improvements and assess the costs to the property. One of the three criteria is that the requests are limited to areas with commercial and industrial development. Victor Land Holdings, LLC has submitted land use applications for construction the seventh building in the Schwieters campus on Fenway Boulevard in the Bald Eagle Industrial Park. The building is proposed to be built along 1401h Street. 140th Street. In reviewing the applications with the engineering staff and fire department, staff recommends that 1401h Street be constructed with their project because of the location, the manufacturing use of the building, and circulation problems with in the site. The developer asked staff about cost share for the construction of the road. The City of Hugo does not have a policy for cost sharing on projects and the construction of 140th Street is not in the City's 5-year Street Improvement Capital Improvements Plan (CIP). Staff has received a letter from the developer requesting that the City cost share on the construction of 140th Street (to their western property line) 50% each and that the developers cost be assessed to the property over a five year period (generally per the assessment policy). The request also include the City adding the construction of 140th Street in the CIP for 2022. The request generally complies with the assessment policy for development -driven improvements. The City owns a majority of the property along of 1401h Street, where the extension of the road would occur. There is a benefit to the City with the construction of the road. There is a sanitary sewer lift station north of 1401h Street that is currently accessed from a gravel driveway. An improved paved 140th Street would provide the City better access to the lift station for monitoring and maintenance. Also, Clearwater Creek Preserve Park is west of 1401h Street. STAFF RECOMMENDATION: Staff recommends the cost sharing of the design and construction of 140th Street because the City owned the property along 140th Street and other benefits to the City. The request generally complies with the assessment policy for development -driven improvements. Staff recommends the EDA review and discuss the request from Victor Land Holdings, LLC, and make a recommendation from to the City Council.