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2018-14RESOLUTION NO. 2018-14 COUNCIL MEMBER ANDERSEN INTRODUCED THE FOLLOWING RESOLUTION: RESOLUTION OF THE MAYOR AND COUNCIL OF THE CITY OF BLAIR, NEBRASKA, APPROVING AND ADOPTING A REDEVELOPMENT PLAN ENTITLED "REDEVELOPMENT PLAN FOR THE TRANSFORMATION HILL REDEVELOPMENT AREA OF THE CITY OF BLAIR, NEBRASKA" (THE "REDEVELOPMENT PLAN"), PURSUANT TO THE NEBRASKA COMMUNITY DEVELOPMENT LAW. WHEREAS, the Mayor and City Council of the City of Blair, Nebraska (the "City"), previously declared the area set forth in the Redevelopment Plan (the "Redevelopment Area") as blighted, substandard and in need or redevelopment; and WHEREAS, on June 5, 2018, the Community Development Agency for the City (the "Agency") submitted the Redevelopment Plan to the Planning Commission of the City for its review and recommendation, and the Planning Commission held a duly noticed public hearing on the Redevelopment Plan and recommended adoption and approval of the Redevelopment Plan; and WHEREAS, the Agency submitted a cost -benefit analysis, provided written findings, and recommended the Mayor and City Council's adoption and approval of the Redevelopment Plan on June 12, 2018; and WHEREAS, the Mayor and City Council finds, based on substantial evidence in the record of this proceeding, that redevelopment of the Redevelopment Area as set forth in the Redevelopment Plan will result in the elimination and prevention of blight and aligns with the purposes of the Nebraska Community Development Law and the comprehensive plan of the City; and NOW, THEREFORE, BE IT RESOLVED by the Mayor and City Council of the City as follows: Section 1. The Mayor and Council hereby find and determine that there has been recommended for their approval by the Agency the Redevelopment Plan; that the Redevelopment Plan has been reviewed and approved by the Planning Commission of the City; that the Redevelopment Plan relates to the redevelopment of an area which has been previously determined by the Mayor and Council to be a blighted and substandard area in need of redevelopment; that notice has been given as required by law for a public hearing on the Redevelopment Plan and at the time and place set for such hearing all persons desiring to be heard concerning the Redevelopment Plan have been heard; and that the Redevelopment Plan is feasible and in conformity with the comprehensive plan for the development of the City, as a whole, and is in conformity with the legislative declarations and determinations set forth in the Nebraska Community Development Law, sections 18-2101 to 18-2144, as amended (the "Act"). Section 2. The Mayor and Council hereby determine that the Redevelopment Plan uses funds authorized in section 18-2147 of the Act, and in relation thereto hereby make the following additional findings and determinations: (a) that the redevelopment project described in the Redevelopment Plan would not be economically feasible without the use of tax -increment financing, (b) that such redevelopment project would not occur in the community redevelopment area as described in the Redevelopment Plan without the use of tax -increment financing, and (c) that the costs and benefits of such redevelopment project, including costs and benefits to other affected political subdivisions, the economy of the City and surrounding area, and the demand for public and private services have been analyzed by the Mayor and City Council (including the cost -benefit analysis prepared by the Agency) and have been and hereby are found to be in the long term best interest of the City and surrounding area as the community impacted by such redevelopment project. Section 3. Based upon the foregoing and substantial evidence in the record of this proceeding, the Mayor and City Council of the City hereby adopt and approve the Redevelopment Plan. COUNCIL MEMBER ANDERSEN MOVED THAT THE RESOLUTION BE ADOPTED AS READ, WHICH SAID MOTION WAS SECONDED BY COUNCIL MEMBER HALL. UPON ROLL CALL, COUNCIL MEMBERS SHEPARD, STEWART, WILLIS, HANSEN, JENSEN, HALL, ANDERSEN AND WOLFF VOTING "AYE", AND COUNCIL MEMBERS NONE VOTING "NAY", THE MAYOR DECLARED THE FOREGOING RESOLUTION PASSED AND APPROVED THIS 12TH DAY OF JUNE, 2018. CITY OF BLAIR, NEBRASKA BY 9Z a_�111 JAMES S REALPH, MAYOR ATTEST: BRENDAWHEELER, CITY CLERK (SEAL) STATE OF NEBRASKA ) ) :ss: WASHINGTON COUNTY ) BRENDA WHEELER, hereby certifies that she is the duly appointed, qualified and acting City Clerk of the City of Blair, Nebraska, and that the above and foregoing Resolution was passed and adopted at a regular meeting of the Mayor and City Council of said City held on the 12th day of June, 2018. BRENDA WHEELER, CITY CLERK REDEVELOPMENT PLAN FOR THE TRANSFORMATION HILL REDEVELOPMENT AREA OF THE CITY OF BLAIR, NEBRASKA I. REDEVELOPMENT PLAN Introduction and General Project Description A. Redevelopment Plan This Redevelopment Plan (the "") for the blighted and substandard Redevelopment Area area set forth on (the to remove or eliminate blight and substandard conditions within the City of Blair, Nebraska (the City ""). The City has prepared this Redevelopment Plan in accordance with the Nebraska Community Development Law, sections 18-2101 through 18-2154 of the Nebraska Revised Act Statutes This Redevelopment Plan shall relate to definite local objectives as to appropriate land uses such as residential and public/quasi-public uses, improved traffic, public transportation, public utilities, recreational and community facilities, and other public improvements, and explains the proposed land uses and building requirements in the Redevelopment Area, as required by the Act. This Redevelopment Plan sets forth an overall plan of redevelopment for the Redevelopment Area and a specific redevelopment project of the City, as redeveloper, within the Redevelopment Area. The City and Agency intend that the Project (defined below) spurs additional redevelopment projects within the Redevelopment Area in conformance with this Redevelopment Plan, or an amendment thereof, and the City's Comprehensive Plan. With respect to the Project, the City, as redeveloper, intends to undertake the various public improvements identified in paragraph A of section II within the Project Area (defined below), including land acquisition, remediation and mitigation of environmental conditions, demolition, infill, grading, site preparation, installation of necessary public infrastructure and utilities, and other public improvements under the Act to allow for development of single-family residential housing, multi-family residential housing, public and quasi-public uses, and such other uses to ensure the elimination of blighted and substandard conditions within the Project Redevelopment Area (the ""). The City anticipates that the Project Area will be developed over a period of years, determined by market conditions and housing demand. Redevelopment of the Redevelopment Area is not economically feasible without TIF assistance from tax increment financing (""). Since Dana College closed, the Redevelopment Area has not been utilized and has deteriorated at a rapid pace due to a lack of redevelopment and upkeep. Environmental hazards exist within the Redevelopment Area requiring remediation at a significant cost. Additionally, the current layout and lack of public infrastructure present considerable costs for eliminating and preventing the future occurrence of blighted and substandard conditions. Due to the poor return on investment stemming from these factors, private developers have not been willing to develop the Redevelopment Area. As such, redevelopment of the Redevelopment Area is not economically feasible without assistance from TIF. The fact that the City has taken it upon itself to act as redeveloper for the Project, in the absence of private developers willing to do so, supports this conclusion. Redevelopment Area; Existing Conditions and Uses B. The real property included in the Redevelopment Area for the Project and the boundaries of the Redevelopment Area subject to this Redevelopment Plan are set forth on ,attached hereto and incorporated by this reference. Exhibit "A"sets forth the legally described boundaries of the Redevelopment Area, together with a map showing the existing condition of the Redevelopment Area. A map showing the existing uses of the real property in and around the City, including the Redevelopment Area, is attached hereto as and incorporated by this reference. The Redevelopment Area is encompassed within that area determined to be blighted and substandard by the City Council based upon, among other things, a 2018 Blight and Substandard Determination Study prepared by JEO Consulting. As the site plan shows, attached hereto as Exhibit "D" and incorporated by this reference, the Redevelopment Area is broken down into four areas for purposes of the Project. Angels Share Angels Share, a Nebraska nonprofit Corporation ("") owns the areas labeled as Area OneArea TwoArea Four Area #1 (""), Area #2 ("") and Area #4 ("") on Exhibit "D". The Area Three City owns the area labeled as Area #3 on Exhibit "D" (""). The City intends to acquire Area Four from Angels Share during the course of the Project. Additionally, a private developer intends to acquire Area Two from Angels Share during the course of the Project. Paragraph A of section II of this Redevelopment Plan describes the intended redevelopment within each of the areas. Areas One, Two, Three and Four are collectively referred to as the Project Area "," as legally described and depicted on Exhibit "F". Conformity with City's Comprehensive Plan C. This Redevelopment Plan adopts and incorporates the Comprehensive Plan of the City as it relates to the Redevelopment Area. The Comprehensive Plan specifically states the need to seek opportunities for utilization of the Redevelopment Area (i.e., the former site of Dana College) as a college or other means. The vacancy Dana College left was listed as both an "opportunity" and a "weakness" in the "SWOT" analysis provided in the Comprehensive Plan. Because utilization of the Redevelopment Area as a college no longer appears feasible, the City elected to pursue other uses. Such other uses include residential development, with a focus on affordable housing. For example, section 1.1.2c of the Comprehensive Plan states that an area of focus should be the prioritization of affordable housing and related incentives in blighted segments of the community. The Comprehensive Plan further states: "The most glaring issue of land use in the Blair corporate limits is an overall lack of residential multi-family land uses. In this case, multi-family land use incorporates any residential parcel that contains more than one household. Duplexes and apartment complexes are in this category. For a community with a great need for new housing development, multi-family units could be an efficient investment; utilizing minimal land availability to achieve a high number of housing units." This Redevelopment Plan promotes population growth, housing development and affordable housing. The Comprehensive Plan provides that infill development/redevelopment and public improvements for these purposes should be a priority for the future growth and development of the City. The Comprehensive Plan identifies existing land use of the Redevelopment Area as medium density residential. The Comprehensive Plan identifies future land use as single-family residential and multi-family residential for areas Areas Four and Two, respectively, and public/quasi-public use with respect to Areas One and Three. A majority of PUD the Redevelopment Area is subject to a planned-unit development ("") overlay district. Regarding Area Four, the City anticipates grant assistance via the Rural Workforce Housing Fund, which requires the development of affordable housing. Accordingly, the redevelopment in Area Four addresses the City's need for affordable housing. Anticipated redevelopment in Area Two includes both single-family and multi-family residential, in conformance with the stated goals of the Comprehensive Plan. Further, the Comprehensive Plan provides that the need for residential development includes the provision of adequate, efficient, and appropriate utilities and services throughout the community. The City's installation of public infrastructure serving the Redevelopment Area meets this objective. Area One and Area Three will conform to the intended future use of public and quasi- public use. Area One will remain under the ownership of Angels Share with possible utilization as a church. The City will continue to utilize Area Three as public baseball and softball facilities. Other areas within the Redevelopment Area could be redeveloped via subsequent projects in furtherance of the objectives of the Comprehensive Plan. This Redevelopment Plan complies with and furthers the goals set forth in the City's Comprehensive Plan. Additionally, the intended future uses of the Redevelopment Area mirrors the future uses set forth in the Comprehensive Plan. Future Land Uses D. Exhibit "C", attached hereto and incorporated herein by this reference, shows the future land uses of the Redevelopment Area. The Plan reflects that Area Two and Area Four should be developed for residential use. The Future Land Use Map designates the area outside of Areas Two and Four (including Area Three and Area One) for public and quasi-public use. A majority of the Redevelopment Area is subject to a PUD overlay. The intended use of the Redevelopment Area subsequent to completion of the Project aligns with the uses set forth in the Future Land Use Map and the objectives of the Comprehensive Plan. Population Densities, Land Coverage and Building Intensities E. The Redevelopment Area includes approximately 72.1 acres. The Redevelopment Area currently has no residents. It has twenty structures, the majority of which were previously a part of the Dana College campus. With respect to the Project, Area Two and Area Four are intended to be devoted to residential purposes. No families will be displaced in connection with redevelopment of the Redevelopment Area. Anticipated land coverage and building intensities are shown on Exhibit "D" for the most likely development action (paragraph A of section II of this Redevelopment Plan provides descriptions of the anticipated private improvements thereon). Building densities will not exceed the densities the City's laws and regulations permit. Any structures will be built in conformance with the City's Zoning Ordinance and PUD overlay. The Project improvements will comply with the applicable land-coverage ratios and zoning requirements of the City. Population density will increase in Area Two and Area Four via residential development in furtherance of the Comprehensive Plan. The Project includes construction and installation of additional roads and public infrastructure to accommodate the increase in population density and resulting traffic flow. The City intends to demolish the buildings located within Area One, thereby decreasing building intensity. The building intensity in Area Three will not change. Both areas will remain unpopulated. These actions should not adversely affect population densities, land coverage or building intensities within the Redevelopment Area. There are no residents or operating businesses currently in the Redevelopment Areaand no relocation requirements apply or are contemplated. Changes in Zoning, Street Layout, Street Levels or Grades F. The Redevelopment Area is zoned RM Residential Medium Density District. Most of the Redevelopment Area is subject to a PUD overlay district (including Area Two and Area Four). In addition to the permitted uses under zoning district RM, the PUD permits single-family residential, multi-family residential, sports and recreation facilities and public/quasi-public use. Parking lots are conditional uses within the PUD. Accordingly, all anticipated uses in the Redevelopment Area are permitted. No zoning changes are necessary to proceed with the Project. Covenants and a development agreement will articulate uses and standards to control use and appearance of improvements. All construction will be subject to City ordinances. To facilitate access to the residential developments in Area Two and Area Four, the City intends to construct two new public streets. Additionally, the City intends to construct a round-about at the current intersection of 27th Street and Hansen Drive to mitigate increased traffic flow in the area. Construction of new streets and connection to existing streets will conform with all applicable standards. Parking for all buildings in the Redevelopment Area will meet the City's minimum requirements. Additional Public Facilities or Utilities G. Additional public facilities and utilities are required to serve the Redevelopment Area. With respect to the Project, Areas Two, Three and Four require extension and/or construction of additional public utilities and infrastructure. Area Two requires construction of a new public street, water main extensions, storm water detention, inlets and piping along the new street, electric utility installation, storm sewer extension and sanitary sewer extensions. Area Three requires extension of the sanitary sewer main across Area Three to serve Areas Two and Four, with possible build-out and service of a public restroom in Area Three. Area Four requires construction of a new public street, storm water detention, inlets and piping along the new street, water main extension(s), electric utility installation, storm sewer extension, construction of temporary turn-a-round for new street, and sanitary sewer extension(s). The City will also replace the offset intersection of 27th Street and Hansen Drive with a residential roundabout. The Comprehensive Plan provides that the City's need for additional residential development includes the provision of adequate, efficient, and appropriate utilities and services throughout the community. The City's installation of public infrastructure serving the Redevelopment Area meets this objective. Implementation of Redevelopment Plan H. Prior to entering into a Redevelopment Contract (as defined in the Act), a private developer will acquire Area Two. The City intends to enter into a development agreement with the new owner of Area Two regarding construction of the private improvements within Area Two in conformance with this Redevelopment Plan. Additionally, during the course of the Project, the City intends to acquire Area Four from Angels Share. Any obligations of Agency or City under this Redevelopment Plan or the Redevelopment Contract are contingent upon the occurrence of the aforementioned items. Uponcompletion of the Project, the City and Agency anticipatethat private redevelopers will initiate additional redevelopment projects within the Redevelopment Area in conformance with this Redevelopment Plan, or amendment thereof, and the City's Comprehensive Plan. II. THE PROJECT Description of Project A. i. Public Improvements The two buildings within Area One will undergo hazardous waste remediation and demolition. Thereafter, the City intends to grade and infill the demolition site, with relocation of utility lines as necessary. Based upon Angels Share's subsequent use of Area One, the City may elect to construct additional public improvements serving Area One, including, but not limited to, public parking. In addition to the aforementioned, the City may construct such other public improvements (under the Act) necessary to serve Area One for the purpose of public/quasi-public use. A three-building complex known as "Omaha Village" currently exists within Area Two. The complex will undergo hazardous waste remediation and demolition. Thereafter, the City intends to prepare Area Two for residential development on Lots 12-26 (as shown on Exhibit "D"). Site preparation of Area Two will include site clearing, grading, utility line relocation and infill. The residential development within Area Two requires additional public infrastructure, including, construction of a new public street (as shown on Exhibit "D", "Viking Circle"), water main extension along Viking Circle, storm water detention, inlets and piping along Viking Circle, electric utility installation, storm sewer extension, and sanitary sewer extension along Viking th Circle and 27 Street. Prior to entering into the Redevelopment Contract, the City intends to enter into a development agreement with the owner of Area Two specifying the private improvements to be constructed thereon (as discussed below). In addition to the aforementioned, the City may construct such other public improvements (under the Act) necessary to serve Area Two for the purpose of residential development. Area Three consists of public baseball and softball facilities in a dilapidated condition. The City intends to make necessary repairs to the public facilities and/or replace the facilities. Such improvements may include construction of an outfield fence, protective netting, overhead lighting, and construction of public restrooms serving the facilities. The City will extend the sanitary sewer main across Area Three to serve Areas Two, Three and Four. In addition to the aforementioned, the City may construct such other public improvements (under the Act) necessary to serve Area Three for the purpose of public/quasi-public use. Area Four consists of a dilapidated barn building and vacant land. The City intends to purchase the real property within Area Four from Angels Share. Thereafter, the City will demolish the barn and prepare the site for residential development. Site preparation of Area Four will include site clearing, grading, utility line relocation and infill. The residential development within Area Four requires additional public infrastructure, including construction of a new public street (as shown on Exhibit "D", "Krejci Boulevard"), storm water detention, inlets and piping along Krejci Boulevard, water main extension(s), electric utility installation for Lots 27 through 57, construction of a temporary turn-a-round for Krejci Boulevard, and sanitary sewer extension(s). The City will also replace the offset intersection of 27th Street and Hansen Drive with a residential roundabout connecting 27th Street, Hansen Drive and Krejci Boulevard. In addition to the aforementioned, the City may construct such other public improvements (under the Act) necessary to serve Area Four for the purpose of residential development. Public improvements related to the Redevelopment Area may be constructed and installed both inside and outside of the Redevelopment Area in order to serve the Redevelopment Area. Pursuant to the Act, the City may undertake some of the TIF-eligible public improvements prior to approval of this Redevelopment Plan. ii. Private Improvements At this time, the City anticipates private improvements in Area Two will include five new single-family homes on Lots 12-16 along College Drive, four to six new multi-family units on Lot 17 along and around Viking Circle, 8 new single-family homes on Lots 19-26 along College Drive, and one to two new high density multi-family apartment buildings on Lot 18. The City, as owner and redeveloper, intends to sell buildable lots in Area Four to private developers to construct thirty new single-family homes on Lots 28 through 57. The anticipated private improvements in the Project Area are not a part of the Project. However, the City intends to enter into development agreements with the owners/developers of Area Two and Area Four requiring construction of the private improvements in compliance with this Redevelopment Plan and the City's Comprehensive Plan. All obligations of the City under this Redevelopment Plan or a Redevelopment Contract are contingent upon the City entering into such agreements. Exhibit "E", attached hereto and incorporated herein by this reference, provides estimates for the cost of the TIF-eligible public improvements for the Project. The estimated cost of the private improvements is not known at this time. Project Area B. Exhibit "F", attached hereto and incorporated herein by this reference, provides a legal description and depiction of the Project Area. The entire Project Area is within the blighted and substandard Redevelopment Area. Site Plan for Project C. Exhibit "D" shows the site plan for the Project. Financing of Project D. Redevelopment of the Redevelopment Area is not economically feasible without TIF. As such, the City and the Agency contemplate using TIF for the Project identified in this Redevelopment Plan, and any projects identified in future amendments to this Redevelopment Plan. The total estimated cost of the Project is approximately $2,000,000, not including the build-out of the residential lots by private developers (i.e., the private improvements). The City expects to request grant assistance from the Agency in the estimated principal amount of $1,480,000 with such grant to come from community development revenue bonds issued by the TIF Indebtedness Agency in the approximate estimated principal amount of $1,480,000 The incremental ad valorem tax revenues (the increase in real property taxes based upon the resulting increase in taxable valuation) for a period of up to fifteen years after a designated division date would be pledged to pay debt service on the TIF Indebtedness. The City would have full responsibility for (i) the purchasing of the TIF Indebtedness from the Agency or (ii) arranging for the purchase of the TIF Indebtedness from the Agency. Any issuance of the TIF Indebtedness is to be upon the basis of a private placement with the purchaser. The real property ad valorem taxes on the current taxable valuation for the year prior to the division date will continue to be paid to the applicable taxing bodies in accordance with the terms of Section 18-2147(1)(a) of the Act. However, because all property within the Redevelopment Area is currently owned by tax-exempt entities (i.e., the City or Angels Share), an exact baseline valuation is unknown at this time. The City will issue warrants to cover construction costs of the Project. A portion of the warrants will be paid off via purchase of the TIF Indebtedness. The City will form improvement districts within the Redevelopment Area and issue bonds for the (applicable) public improvements therein in excess of the TIF Indebtedness. i. Method and cost of acquisition and preparation of real property for Project The City intends to acquire Area Four from Angels Share prior to entering into the Redevelopment Contract. The estimated cost of the City's acquisition of Area Four is $210,000. The City will convey the residential lots in Area Four to private developers over a period of years, based upon housing demand, market conditions and other factors. Subject to Section 18-2118 of the Act, the estimated (net) proceeds from such conveyance are approximately $11,000 per residential lot. Net proceeds resulting from sale of the residential lots will be expended toward redevelopment costs in excess of the TIF Indebtedness and will help reduce the amount of special assessments placed on such lots. There will be no additional acquisitions or sales of property by the City. The City will facilitate the Project with a resulting investment of approximately $2,000,000 of funds from grant proceeds as provided for in this Redevelopment Plan and from private resources (including bank or other financing). A grant or grants to the City to provide for contributions by the City in aid of construction are expected to be needed and applied in order to complete the Project. ii. Proposed method of financing for the Project This Redevelopment Plan contemplates that the Agency may issue its TIF Indebtedness incurred costs) to the City to bear interest at a rate to be determined by the Agency (anticipated to be 5%). The TIF Indebtedness shall be held by the City or privately placed to obtain the proceeds needed to make the grant. The City will purchase or cause the TIF Indebtedness to be purchased. Application of the proceeds of the TIF Indebtedness will be supervised by or on behalf of the Agency. The TIF Indebtedness shall be repaid from the tax increment revenues generated from the Project Area during the period described above. The City intends to form improvement districts and issue bonds to pay for the costs of applicable public improvements in excess of the TIF Indebtedness for the Project. The Redevelopment Contract shall specify that, if the TIF Indebtedness is extinguished prior to the expiration of the fifteen-year period under Section 18-2147 of the Act, the Agency may continue to divide ad valorem taxes within the Project Area and use any incremental ad valorem taxes to make payments on the bond issued by the City to finance such improvements. Statutory Criteria E. Section I of this Redevelopment Plan sets forth all additional information required by the Act with respect to the Project. Cost Benefit Analysis F. . A cost-benefit analysis for the Project is attached hereto as Exhibit "F" and incorporated herein. Time Frame for Development G. . The City anticipates that demolition, site preparation and infrastructure installation of the Project Area will begin during summer of 2018. The City intends to first conduct environmental remediation, demolition, site preparation, and construction of public infrastructure and utilities in Area Two (including the sewer extension across Area Three to serve Area Two). After demolition of the buildings in Area Two, the City intends to conduct demolition in Area One. Site preparation and construction of public infrastructure and utilities within Area Four will be performed concurrently with or following Area Two. The City anticipates that build-out of the private improvements in Area Two will begin in 2018, with initial occupancy of the earliest residential properties estimated to be in 2019. Build-out of the private improvements in Area Four will begin after the construction of all public infrastructure therein. Additional improvements to Areas One and Three, if any, will likely occur after the completion of all public improvements in Areas Two and Four. The City estimates that construction of all private improvements (i.e., the residences) will occur over approximately ten years, based upon housing demand and other market conditions. The base tax year will be determined from the division date that will be set forth in the Redevelopment Contract and/or the resolution authorizing the TIF Indebtedness. The City's projected time frame for development is preliminary in nature and subject to change as a result of market conditions, actual realized capture of TIF revenues, and other factors outside the City's control. Conclusion H. The Redevelopment Area is in need of redevelopment to remove blighted and substandard conditions and to promote orderly and planned growth of the community. This Redevelopment Plan guides and assists the City in fostering and facilitating redevelopment activities pursuant to the Act. Exhibits: Redevelopment Area Existing Land Use Future Land Use Site Plan Estimated Project Costs F Project Area "G" Cost-Benefit Analysis Redevelopment Area Legal Description: A PARCEL OF LAND LOCATED IN THE EAST HALF OF THE NORTHEAST QUARTER OF SECTION 10, THE WEST HALF OF THE NORTHWEST QUARTER OF SECTION 11, AND THE NORTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SECTION 11, ALL IN TOWNSHIP 18 NORTH, RANGE 11 EAST OF THE SIXTH P.M., WASHINGTON COUNTY, NEBRASKA, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHEAST CORNER OF THE NORTHEAST QUARTER OF THE NORTHEAST QUARTER OF SAID SECTION 10, SAID POINT ALSO BEING ON THE NORTH LINE OF LOT 1 OF TRANSFORMATION HILL ADDITION TO THE CITY OF BLAIR, WASHINGTON COUNTY, NEBRASKA; THENCE WESTERLY ON THE NORTH LINE OF SAID LOT 1 TO THE NORTHWEST CORNER OF SAID LOT 1; THENCE SOUTHERLY ON THE WEST LINE OF SAID LOT 1 TO THE SOUTHWEST CORNER OF SAID TAX LOT 1, SAID SOUTHWEST CORNER BEING ON THE NORTHERLY RIGHT OF WAY LINE OF COLLEGE DRIVE; THENCE SOUTHERLY ON A LINE BEING PERPENDICULAR TO THE SOUTHERLY RIGHT OF WAY LINE OF SAID COLLEGE DRIVE TO A POINT ON THE NORTH LINE OF LOT 6 OF SAID TRANSFORMATION HILL ADDITION, CITY OF BLAIR, SAID NORTH LINE ALSO BEING THE SOUTHERLY RIGHT OF WAY LINE OF SAID COLLEGE DRIVE; THENCE WESTERLY ON THE NORTH LINE OF LOTS 2 AND 6 OF SAID TRANSFORMATION HILL ADDITION, TO THE NORTHWEST CORNER OF SAID LOT 2; THENCE WESTERLY T ADDITION TO THE CITY OF BLAIR, WASHINGTON COUNTY, NEBRASKA, SAID NORTHEAST CORNER BEING ON THE WESTERLY RIGHT OF WAY LINE OF NORTH 30TH STREET; THENCE SOUTHERLY ON SAID WESTERLY RIGHT OF WAY LINE TO THE SOUTHEAST CORNER OF TRACT B OF ADMINISTRATIVE LOT LINE ADJUSTMENT OF LOTS 2 AND 3 OF SAID ANDERSONS ADDITION; THENCE SOUTHERLY TO THE NORTHWEST CORNER OF LOT 4 OF SAID TRANSFORMATION HILL ADDITION, THENCE SOUTHERLY ON THE WEST LINE OF SAID LOT 4 TO THE SOUTHWEST CORNER OF SAID LOT 4; THENCE EASTERLY ON THE SOUTH LINE OF SAID LOT 4 TO THE SOUTHEAST CORNER OF SAID LOT 4; THENCE EASTERLY ON THE SOUTHERLY RIGHT OF WAY LINE OF ANGELS SHARE DRIVE TO A POINT ON THE EAST LINE OF THE SOUTHEAST QUARTER OF THE NORTHEAST QUARTER OF SAID SECTION 10; THENCE SOUTHERLY ON SAID EAST LINE TO A POINT ON THE NORTH LINE OF LOT 32 OF SAID TRANSFORMATION HILL ADDITION; THENCE SOUTHWESTERLY ON THE NORTH LINE OF LOTS 28 THROUGH 32 OF SAID TRANSFORMATION HILL ADDITION TO THE NORTHWEST CORNER OF SAID LOT 28; THENCE SOUTHEASTERLY ON THE WEST LINE OF SAID LOT 28 TO THE SOUTHWEST CORNER OF SAID LOT 28, SAID SOUTHWEST CORNER BEING ON THE NORTHERLY RIGHT OF WAY LINE OF KREJCI BOULEVARD; THENCE SOUTHWESTERLY ON SAID NORTHERLY RIGHT OF WAY LINE TO THE WESTERLY RIGHT OF WAY LINE OF KREJCI BOULEVARD; THENCE SOUTHEASTERLY ON SAID WESTERLY RIGHT OF WAY LINE TO THE NORTHWEST CORNER OF LOT 27 OF SAID TRANSFORMATION HILL ADDITION; THENCE SOUTHERLY ON THE WEST LINE OF SAID LOT 27 TO THE SOUTHWEST CORNER OF SAID LOT 27; THENCE NORTHEASTERLY ON THE SOUTHERLY LINE OF LOT 27, AND LOTS 43 THROUGH 57 OF SAID TRANSFORMATION HILL ADDITION TO THE SOUTHEAST CORNER OF SAID LOT 57, SAID POINT ALSO BEING ON THE WESTERLY RIGHT OF WAY LINE OF HANSEN DRIVE; THENCE CONTINUING NORTHEASTERLY ON THE NORTHEASTERLY EXTENSION OF SAID SOUTHERLY LINE OF LOT 27, AND LOTS 43 THROUGH 57 TO THE SOUTHEAST CORNER OF TAX LOT 643 IN SAID SECTION 11, SAID SOUTHEAST CORNER BEING ON THE NORTHERLY RIGHT OF WAY LINE OF SAID HANSEN DRIVE; THENCE CONTINUING NORTHEASTERLY ON SAID EASTERLY LINE TO THE NORTHEAST CORNER OF SAID TAX LOT 643, ALSO BEING THE SOUTHEAST CORNER OF TAX LOT 425 IN SAID SECTION 11; THENCE NORTHERLY ON THE EAST LINE OF SAID TAX LOT 425 TO THE NORTHEAST CORNER OF SAID TAX LOT 425; THENCE WESTERLY ON THE NORTH LINE OF SAID TAX LOT 425 TO THE NORTHWEST CORNER OF SAID TAX LOT 425, SAID NORTHWEST CORNER BEING ON THE EASTERLY RIGHT OF WAY LINE OF 27TH STREET; THENCE NORTHERLY ON SAID EASTERLY RIGHT OF WAY LINE TO THE NORTHWEST CORNER OF TAX LOT 295 IN SAID SECTION 11, SAID NORTHWEST CORNER BEING ON SAID SOUTHERLY RIGHT OF WAY LINE OF COLLEGE DRIVE; THENCE WESTERLY TO THE NORTHEAST CORNER OF LOT 16 OF SAID TRANSFORMATION HILL ADDITION, SAID NORTHEAST CORNER BEING ON SAID SOUTHERLY RIGHT OF WAY LINE OF COLLEGE DRIVE; THENCE WESTERLY ON THE NORTH LINE OF LOTS 12 THROUGH 16 OF SAID TRANSFORMATION HILL ADDITION TO THE NORTHEAST CORNER OF LOT 7 OF SAID TRANSFORMATION HILL ADDITION; THENCE NORTHERLY TO THE SOUTHWEST CORNER OF TAX LOT 646 IN SAID SECTION 11, SAID SOUTHWEST CORNER BEING ON THE NORTHERLY RIGHT OF WAY LINE OF SAID COLLEGE DRIVE AND EASTERLY RIGHT OF WAY LINE OF NORTH 28TH AVENUE; THENCE NORTHWESTERLY ON SAID EASTERLY RIGHT OF WAY LINE TO THE NORTHWEST CORNER OF TAX LOT 308 IN SAID SECTION 11, SAID NORTHWEST CORNER BEING ON THE NORTH LINE OF SAID WEST HALF OF THE NORTHWEST QUARTER OF SECTION 11; THENCE WESTERLY ON SAID NORTH LINE TO THE POINT OF BEGINNING, CONTAINING 73.2 ACRES, MORE OR LESS. Redevelopment Area Depiction: * The Redevelopment Area is comprised of the area outlined in blue. Existing Land Use * The Redevelopment Area is currently zoned RM Residential Medium Density District, subject to a PUD Overlay District. Future Land Use * The above depiction is taken from Ordinance No. 2360 amending the City's Future Land Use Map with respect to the portions of the Redevelopment Area outlined in red. The Ordinance amended future land use for Area Four (on right side) to "Residential-Single Family." The Ordinance amended future land use for Area Two (on left side) to "Residential Multi Family." ** The Comprehensive Plan's Future Land Use Map provides for "Public/Quasi-Public" use with respect to the remainder of the Redevelopment Area. EX Site Plan * The site plan for the Project is preliminary in nature and subject to change. Exhibit "E" Estimated Project Costs * The figures provided herein are preliminary estimates of Project costs and subject to change. EXHIBIT "F" Project Area Legal Description: Area One: Lot 2, in Transformation Hill Addition, in the City of Blair, Washington County, Nebraska. Area Two: Lots 12 thru 26, inclusive, in Transformation Hill Addition, in the City of Blair, Washington County, Nebraska, together with that portion of Hansen Drive right-of-way lying south of the southerly lot line of Lot 26. Area Three: Tax Lots 425 and 643 in the Northwest Quarter (NW1/4) of Section 11, Township 18 North, Range 11 East of the 6th P.M., in the City of Blair, Washington County, Nebraska, together with that part of Hansen Drive right-of-way and North 27th Street right-of-way abutting on the west and south. Area Four: Lots 27 thru 57, inclusive, in Transformation Hill Addition, in the City of Blair, Washington County, Nebraska, together with Krejci Boulevard. * The above legal descriptions are approximations based upon a replat of the Redevelopment Area, and any discrepancies between the legal descriptions and the depiction of the Project Area below shall be decided in favor of the depiction of the Project Area. Project Area Depiction: TRANSFORMATION HILL REDEVELOPMENT PROJECT COST-BENEFIT ANALYSIS (Pursuant to Neb. Rev. Stat. § 18-2113) May, 2018 The cost-benefit analysis for the above referenced project, as described in the attached Redevelopment Plan, which will utilize funds authorized by Neb. Rev. Stat. §18-2147, can be summarized as follows: 1.Tax shifts resulting from the approval of the use of funds pursuant to Section 18-2147: The taxes generated by the current value of the property shall continue to be allocated between taxing jurisdictions pursuant to standard statutory requirements. Only the incremental taxes created by the Project will be captured to pay eligible public expenditures. Since the incremental taxes would not exist without the use of TIF to support the Project, the true tax shift of this Project is a positive shift in taxes after 15 years. However, for the purposes of illustrating the incremental taxes used for TIF, the 15 year tax shift is as follows: a. Redevelopment Project Valuation*: $700,000.00 b. Projected Completed Project Assessed Valuation**: $12,835,000.00 c. Projected Tax Increment Base (b. minus a.): $12,135,000.00 d. Estimated Tax Levy: 2.02 e. Annual Projected Tax Shift (less 1% assessor's fee)***: $242,675.73 * The Projected Tax Increment is based on assumed values and levy rates; actual amounts and rates will vary from those assumptions, and it is understood that the actual tax shift may vary materially from the projected amount. The levy rate is assumed to be the 2017 levy rate. There has been no accounting for incremental growth over the fifteen-year TIF period. The base value is assumed based upon an estimate of the current valuation of the Project Area if it were owned by an entity that is not tax exempt, and the actual value is likely to be different than that provided. ** This calculation includes both the public improvements from the Project and the private improvements required under separate development agreements entered into between the City and private developers. The Project is contingent upon the City entering into such development agreements and therefore the increase in valuation stemming therefrom is included as part of the above calculations. *** The City anticipates that the private improvements will be constructed over a period of years, resulting in an average annual projected tax shift of $175,363.40 (not $242,675.73). Factoring-in an interest rate of five percent, the anticipated amount of TIF indebtedness is $1,480,000. 2.Public infrastructure and community public service needs impacts and local tax impacts arising from the approval of the redevelopment project: a. Public infrastructure improvements and impacts: The Project anticipates expenditures of approximately $2,000,000 for construction and installation of the Project and related and ancillary public improvements. It is proposed that up to $1,480,000 in TIF over the 15-year statutory period will be used for eligible public expenditures associated with the Project. The actual amount of the TIF Indebtedness will depend on the interest rate the redeveloper obtains from a TIF lender. The cost of the eligible public improvements is estimated to exceed $1,480,000. The public infrastructure improvements associated with the Project include, among other things, the construction of two new public roads and the construction/extension of public utility infrastructure, as more particularly described underparagraph A of section II of the Redevelopment Plan. These public improvements are necessary to utilize the Redevelopment Area for any use and will create a material positive impact on existing public infrastructure. The Comprehensive Plan provides that the City's need for additional residential development includes the provision of adequate, efficient, and appropriate utilities and services throughout the community. Accordingly, the improvements will materially benefit the City and help meet the objectives of the Comprehensive Plan. b. Local Tax impacts (in addition to impacts of Tax Shifts described above): The Project will create material tax and other public revenue for the City and other local taxing jurisdictions. While the use of TIF will defer receipt of a majority of new ad valorem real property taxes generated by the Project, the Project should generate immediate tax growth for the City. The Project will include an amount of personal property that will be on the property tax rolls upon its acquisition and installation. Additionally, the Project will require and pay for City services. It is not anticipated that the Project will have any material adverse impact on such City services, but will generate revenue providing support for those services. 3. Impacts on employers and employees of firms locating or expanding within the boundaries of the area of the Project: Currently, there are no businesses within the Redevelopment Area. The Project will require temporary construction jobs during the construction period. Many of these construction employees will be local workers, and the other workers will use services and buy goods in the City during their construction phase. It is not anticipated that the Project will have a material adverse impact on other employers and employees of firms locating or expanding within the boundaries of the Redevelopment Area. The City anticipates that the increased population density and public infrastructure should positively impact the Redevelopment Area and could lead to additional non-residential development that positively impacts employment in the area. 4. Impacts on other employers and employees within the City and the immediate area that is located outside of the boundaries of the area of the redevelopment project: The Project should have a material positive impact on private sector businesses in and around the area outside the boundaries of the Redevelopment Area. The Project is not anticipated to impose a burden or have a negative impact on local area employers, but should provide needed housing for employees of surroundingbusinesses. Improvements to the public/quasi-public areas should benefit the entire community. 5. Other impacts determined by the agency to be relevant to the consideration of costs and benefits arising from the redevelopment project: The Project Site is blighted and contains substandard conditions that are a detriment to the City as a whole. The Project will provide needed housing and revitalization to public/quasi-public areas in furtherance of the City's Comprehensive Plan. There are no other material impacts determined by the Agency relevant to the consideration of the cost or benefits arising from the Project.