Memorandum
City of Lawrence
City Manager’s Office
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TO: |
Thomas M. Markus, City Manager |
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CC: |
Casey Toomay, Assistant City Manager |
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FROM: |
Britt Crum-Cano, Economic Development Coordinator Diane Stoddard, Assistant City Manager |
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DATE: |
May 24, 2016 |
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RE: |
Request for Public Assistance: 815 Vermont Street |
Overview of Project
Robert Schumm (property owner) is proposing the construction of a multi-level, mixed use commercial and residential development that will be located on two adjacent City lots (Vermont Street Lot 51 and N 45, lot 53) at approximately 815 Vermont Street. Mr. Schumm currently owns both lots, which have been vacant since 1990. Plans call for the 50,000+ s.f. project to have five levels as well as an underground parking facility. The first floor is currently anticipated to be commercial space, the second floor offices, and floors 3-5 condominiums (see attached project graphics).
According to the Planning Department, existing zoning is appropriate for the proposed use and the project has received approval from the Historic Resources Commission, with amendments.[1] The project will require a Major Site Plan[2] and replatting[3].
Request for Public Assistance
A Request Letter and Incentives Application was received on May 18, 2016 from the property owner requesting a 10-year Neighborhood Revitalization Area (NRA) with an 85% rebate provided annually for years 1 through 5 and a 50% rebate provided annually for years 6 through 10. In addition, Industrial Revenue Bond (IRB) financing is being requested in order to receive a sales tax exemption on construction materials.
Incentive Policy Revisions
The City is currently in the process of revising economic development policies. Part of the proposed policy revisions includes having staff conduct analysis at the 10 year, 50% rebate level for NRAs unless directed otherwise by the City Commission. Based on previous direction from the City Commission, Staff will not run analysis on packages exceeding the 50%, 10 year NRA rebate level, unless directed otherwise by the City Commission.
To date, the City Commission has referred potential policy revisions to the Joint Economic Development Council (JEDC) and the Public Incentives Review Committee (PIRC) for review and recommendations. The JEDC conducted a meeting on May 2, 2016 to consider potential policy changes and have decided to conduct a second meeting in early June to continue consideration of these changes. The PIRC considered policy changes on May 17, 2016. It was decided that non-elected PIRC representatives would meet publically and make recommendations on specific policy changes by August 1, 2016.
The County will consider policy revisions on May 18, 2016.
Requested Action
City Commission to decide if they wish to consider the request. If the request is to proceed, provide direction to staff on analysis and level to be performed.
[1] The amendments to the approval included a final design and materials to be approved by the Architectural Review Committee (ARC) and final construction documents to be approved by the Historic Resources Administrator. The ARC final approval has not been completed and the HRA approval will be with the building permit. The timeline for this process is generated by the applicant.
[2] Plan will include all of the improvements to the property. The process is typically completed in 4-6 weeks, but depends on the applicant’s response timeline.
[3] Property will need to be replatted using the Minor Subdivision process, which is typically completed in 3 weeks, depending on applicant’s response timeline.