Economic Development Coordinator Kelly, Village Clerk Seeden and Village Clerk Arnold

Transcription

1 MINUTES VILLAGE OF LISLE BOARD OF TRUSTEES WORKSHOP MEETING MONDAY, SEPTEMBER 19, Call to Order, Roll Call and Pledge of Allegiance Mayor Broda called to order a workshop meeting of the Village of Lisle Board of Trustees at 7: 00 p. m. on Monday, September 19, 2016 in the Village Hall Board Room, 925 Burlington Avenue, Lisle, Illinois The following minutes constitute a summary of the events and discussions that transpired during the subject meeting, and do not purport to be a transcript of such. Where transcripts exist, they are available for inspection under the Illinois Freedom of Information Act. Present: Mayor Broda; Trustees Boyle, Carballo, Cawiezel, Hettich, Mandel and McGovern Absent: Also Present: Village Manager Sprecher, Finance Director Schiller, Assistant Village Manager Ertmoed, Community and Economic Development Director Budzikowski, Economic Development Coordinator Kelly, Village Clerk Seeden and Village Clerk Arnold Deputy Mayor Broda lead the Pledge of Allegiance Ogden Avenue: Redevelopment Option Director Budzikowski remarked that they met with Chicago Capital just over a month ago to discuss a potential development at 711 Ogden Avenue, a speculative industrial building. Director Budzikowski stated the zoning of the property is industrial and based on the zoning code any parcel over five acres is required to go through the PUD process. Larry Nora, Chicago Capital Funds, stated that they have been looking at the property for some time, but were waiting for the no further remediation letter. He then gave a brief history of the property. Mr. Nora stated there have been references made to the property being used as commercial or retail, and after research, they feel those are not a viable for this site. Mr. Nora showed renderings of a site plan and the building they are proposing, he stated it is an industrial style building, with industrial components to the rear, and could also offer a retail component, should the lessee want one. Dan Leahe, NEI Hiffman, remarked they would call this a flexible industrial -warehouse use. He stated it could accommodate one to four tenants and has an abundant amount of parking, for office use or retail. Mr. Leahe pointed out that they do not have an anchor store at this time, but believe that the market will support the product. Mr. Leahe then spoke on the topographical difficulties of property. Mr. Nora stated that they believe this product would enhance the overall Village and is very progressive in design and look, and should help snowball development on Ogden Avenue. Mr. Leahe described what the flexible product is and how it can be adapted. He indicated it could be something similar to the Ashley Furniture distribution center located off of 55, a distribution center with a retail component. Mayor Broda questioned if it could be all office, if someone wanted a warehouse office building. Mr. Nora stated yes, but they have to let the market dictate what the best use of the property is going to be.

2 Village of Lisle Workshop Meeting September 19, 2016 Page 2 Trustee Carballo questioned if they would be utilizing the old building or would it be torn down. Mr. Nora stated it is a complete tear down. Trustee Carballo questioned if a sports complex had been considered for the site. Mr. Leahe remarked that they look good, but making the economics work is difficult. He stated that sports clubs generally cannot afford to be in locations such as this one, due to the real estate taxes. Mr. Leahe stated that if they could find a credible athletic use that could mix with other tenants they would consider it. John Kadaris added that Mestech was approached by sports uses and none of them were credible and could not make the economics work, they need a lot of space and can't pay a lot for it, because they don't have the revenue. Mayor Broda commented on the commitment made by Mestech to take care of the property, clean it up and make it usable again. Trustee Mandel questioned if they saw this being a distribution facility. Mr. Leahe remarked that it could be a component of a company. But are unsure because they do not have an end user. He stated that the ideal company will want a central location, larger office built -out, and potentially a retail arm. He then spoke on price per foot and how businesses make a space like this economical. Trustee Mandel asked for an explanation on how truck traffic would flow. Mr. Nora explained this, adding that they would need to add a Tight on Ogden Avenue. Trustee Mandel stated that he does not see anything with a large amount of truck traffic being at that location due to traffic issues on Ogden. Trustee Mandel also disagreed that a large industrial looking building will draw people into downtown Lisle. Mr. Leahe spoke on example businesses that would like this type of building, such as Grainer or Hilti Tools, where they have smaller warehouses with a showroom / retail component. Trustee Mandel also questioned what the hours of operation may be. Director Budzikowski remarked that there are no limitations on operating hours, but with the PUB it will give the Board ability to provide limitations / specifics to the operations. Trustee Mandel questioned why this site and not another. Mr. Leahe stated that there is a void in the area for quality industrial warehouse space. Trustee Hettich remarked that there are going to be ongoing cleanup issues and other limitation with the site and questioned if the plan presented took this into consideration. Mr. Kadaris stated there are certain areas that will require a concrete barrier and that is the extent. He added that Mestech has hired an engineer to help identify the areas where construction restrictions will be in place. Mr. Kadaris also commented on the refuse on the property left from the widening of Ogden Avenue. Mr. Nora added that the building was designed to maximize the topography and best present and create impervious barriers that are required under the NFR. Trustee Hettich inquired how many loading docks are being anticipated per unit and their location. Mr. Leahe stated it depends on the tenant and will only be located on the south side of the building. Mr. Leahe remarked that this plan lays out 28 dock positions for the 169, 000 SF building and includes four drive in doors. He stated that the layout allows for flexibility for a four tenancy layout. Trustee Hettich stated he too is concerned about truck traffic and does not want it to become a distribution facility. Trustee Hettich questioned if they are anticipating a traffic light and if it will match up with the entrance to Arbor View. Mr. Nora stated yes. Trustee Hettich suggested installing a right hand turn lane as well. Mr. Nora stated that will be addressed and they will be engaging a consultant to assist on traffic.

3 Village of Lisle Workshop Meeting September 19, 2016 Page 3 Trustee Hettich remarked that the building, while nice, has a very industrial feel to it, much like the buildings off of 1-55, he remarked that he does not want to drive down Ogden and feel as if he is on Trustee Hettich spoke on Two Brothers Brewery and how they will be moving into a similar facility to this in Naperville. Trustee Boyle asked staff to provide a break -down of the Village' s current industrial space, adding he wants to be able to compare this project to what is already in town. Trustee Boyle questioned how many vacant properties there are in the Short Street area. Director Budzikowski stated just a few adding that they are smaller than this proposed product. Mr. Kelly stated the ceiling heights are shorter and the building stock is older and that is part of the reason they are unattractive to some. Trustee Carballo stated that he likes the concept plans and the property has been a challenge for several years. Trustee Carballo remarked that he does not see the site as being commercial or residential area. He agreed that there will be traffic issues that will need to be addressed. Trustee Mandel agreed the look is that of an industrial park and it is very imposing. Trustee Mandel stated with so many dock doors it implies distribution center and will bring a lot of truck traffic. Mayor Broda added that traffic is not busy all day, there are times when traffic flows. Trustee Hettich pointed out that most distribution starts very early in the morning and there is a residential subdivision across the street. Chicago Capital inquired what the next step is. Mayor Broda remarked that the Board needs to discuss it more and if it is something the majority of the Board is interested in and then an application to go before the Planning and Zoning Commission should be made. Manager Sprecher remarked that the Board will not have another opportunity to have a table discussion like this, Director Budzikowski added the next time they see this it will have gone before the PZC. Mr. Nora stated he understands the Board' s two major issues; traffic and facade of the building. Mr. Nora added that businesses like to develop where there are new investments being made to the community. Mr. Leahe added he also understands that Board' s concern with the number of docks. Trustee Mandel pointed out that it is difficult for the Board to give feedback because they do not know what the end use of the building will be. Trustee Mandel remarked that Lisle will not continue to grow as a residential community once an industrial building like this goes up. Mr. Nora stated they are flexible on the facade and it can be broken up. Trustee Boyle remarked that the Board needs to have the discussion if they would like an industrial, retail or residential component on the property. Mr. Nora stated the NFR letter prohibits residential on certain portions the property. Mr. Kadaris remarked that as the seller of the property is very frustrating not knowing what the Board will accept. Trustee Carballo remarked that it would be worthwhile to have the Village' s new consultants comment on what they think would be best for the site in relation to the development of the downtown. Mr. Kadaris remarked that if a compromise cannot be made between what the Board would like and what they are able to do, then it's possible that the area will continue to not be developed. Trustee

4 Village of Lisle Workshop Meeting September 19, 2016 Page 4 Carballo stated that now remediation is complete the Board, staff and residents would like to see something be developed on the property. Mr. Kadaris stated the clock is running and the buyer is not going to wait. Trustee Hettich stated that he is not concerned that if built, it will sit vacant, he is aware that there is demand for this type of use. Trustee Hettich asked that the market research that has already been performed on the site be resent to Board. Trustee Hettich agreed, another workshop should be scheduled to discuss what the Board wants to see on this, and other open sites. Mr. Nora stated that they are flexible and if they share with them what their vision is, they will try and adjust to fit within that. Mayor Broda suggested having a more prairie style fagade so it does not look so industrial. Trustee Mandel encouraged, if possible, to not maximize the square footage of the building on the property. Mr. Leahe spoke on the difficulties of the site, one being the configuration. Trustee Mandel questioned if a parking deck could be constructed on the back portion. Mr. Nora stated it would not be cost effective. Trustee Mandel stated he did not think that it was a viable option, but was thinking for the downtown, although it is a fair distance. Trustee Hettich added that the building will look twice the size due to the ceiling height. Mr. Kadaris asked Director Budzikowski what his comments regarding zoning were. Director Budzikowski stated that the property is zoned industrial, but both the Ogden Avenue Corridor Plan and the Comprehensive Land Use Plan, indicate that it could be commercial. 3. Restaurant Grant Manager Sprecher remarked that the Village is no longer budgeted for any grants and direction needs to be given to staff if the program needs to be amended. Finance Director Schiller gave a review of Fund 39 and what was being paid for out of the fund. Director Shiller pointed out that grants were paid for out the Fund 39 reserves and those have been reduced considerably. Trustee Hettich questioned if we are on budget with funds coming in from the hotel/ motel tax. Director Schiller stated they have been close, adding that the budget has been revised. Trustee Hettich remarked that it is a great and useful program, but believes the Village should hold off for now and wait and see what happens with some of the changes coming. Trustee Carballo remarked that if the Village wants good businesses to come to Lisle, then we need funds to incentivize them. Trustee Carballo suggested lowering the amount of the grant and maybe take funds that were saved from refinancing the bond. Mayor Broda commented that the savings from the bond will be over a period of time and not immediately. Trustee Mandel remarked that there was no recommendation from the EDC. Mr. Kelly stated they had a proposal but when staff meet they discussed payouts and how only one may need payment before the 16/ 17 fiscal. Trustee Mandel stated the Village needs to just offer the funds to new businesses, and not businesses that move in and then learn about the grant, and ensure that time lines are adhered to. Manager Sprecher stated that the Board has taken the stand that they are willing to grant funds existing businesses.

5 Village of Lisle Workshop Meeting September 19, 2016 Page 5 Mr. Kelly stated that he is able to modify the grant application so it may be restricted to new restaurants locating within Lisle, as well redesign the evaluation process to include in/ out puts the Board would like. Trustee Boyle remarked that every grant before the Village has been for the maximum amount and they have been awarded the highest amount, he questioned if the formula used to determine amount needs to adjusted. Director Budzikowski remarked that both County House and Evviva were both awarded $ 20K. Director Schiller commented that it is a matching grant so they too needed to expend at least double in order to get a portion back, she added that in some of the applications grant applicants were expending much more than what they were getting back. Mayor Broda inquired what the status of Gran Agave is. Mr. Kelly stated that are close to completion and are waiting for fire alarm system approval. The Board discussed Houseal and if they would be able to assist with grant guidelines or awards. Trustee Cawiezel stated the grant should be available to more than just restaurants and should be capped at $ 20K, and a business should only be granted an award once. Trustee Boyle commented on the amount of funding that goes to the LCVB and questioned if that should be looked at. Manager Sprecher pointed out that their agreement ends in April and will be evaluated by the Board soon. Manager Sprecher confirmed that the Board would like the maximum awarded amount to be lowered and also staff should investigate funding sources, but would still like grants brought to them. Coordinator KeIIy remarked that the has five entities considering Lisle and questioned what he should be telling them about grants. Mayor Broda stated the Village has to look at return on investment and take a closer look at the applications that are brought to the Board. Mayor Broda suggested looking at imposing a food and beverage tax, and then using those funds as a source for the restaurant grant program. Trustee Hettich remarked that there has to be some restrictions in place, otherwise we will hear from any and all business owners wanting to open in Lisle and that was not the intent. Manager Sprecher stated that Coordinator KeIIy should tell people that there is grant program, but it is being revamped and that $40K will not be awarded. Trustee Mandel stated that it all depends on what is returned to the Village, if a business is going to bring two million a year, then granting 40K would be appropriate. Trustee Mandel stated he does not want the award amount to be based on build out amount, it should be what will bring traffic, support other businesses, and bring additional revenue to the Village. Coordinator KeIIy spoke on retail grants and how they are usually capped at a much lower amount and applied for differently; due to retail build -outs being much less expensive than that of a restaurant. 4. Board / Staff Travel Policy: Public Act Manager Sprecher remarked that the Village has been within the guidelines, and at the staff level, there has been a policy in place for many years. Manager Sprecher indicated they based the mandated ordinance off of existing staff policy and mandated legislature, and that revisions will be forthcoming. Manager Sprecher asked that comments be forwarded to him. Manager Sprecher pointed out that entertainment is not a reimbursable item.

6 Village of Lisle Workshop Meeting September 19, 2016 Page 6 Trustee Mandel questioned if travel advances are needed in the policy. Finance Director Schiller stated travel advances have not been given out for some time and explained what they were used for in the past. Mayor Broda added that 20 years ago they would get a cash advance if someone did not want to put a deposit on their personal credit card. Manager Sprecher stated they can remove it and add it back in if the need should be found. 5. Other Items of Concern 6. Adjournment Trustee Boyle moved to adjourn. Trustee Mandel seconded the motion. AYES APPROVED THE MOTION. MOTION CARRIED. The September 19, 2016 Village Board workshop meeting adjourned at 8:43 p. m. Respectfully Submitted, dtaat,z Karen Arnold Recording Secretary

7 Village of Lisle Workshop Meeting September 19, 2016 Page 7 The minutes of the Septemberbe19, 2016 Village of Lisle Workshop Meeting were passed and approved this? e,> day of OC/Z-8fE Q, Tr, tee Boyle Trustee Carballo Trustee Cawiezel Trustee Hettich t. 4k Trustee Mandel Trustee McGovern