1 week Ago By BRENDEN MOORE [email protected]
Per the agreement, the city will rebate owners Carol and Richard Kesler 50% of the sales taxes generated by the business for five years up to a maximum $25,000 total reimbursement. The business, which also offers space for more than 100 local vendors to sell antiques and handcrafted goods, opened last spring, about two years after Ace vacated the 20,000-square foot space. According to a memo to the council from City Manager Tim Gleason, an entire interior remodel was needed due to the building's age and to bring it into compliance with the Americans with Disabilities Act, among other updates.
All in all, renovation costs were about $275,000. "This is very reasonable when we look at a space that quite possibly could still be empty, if not for Ms. Kessler's business occupying that space," Gleason told council members at their meeting Monday.
"I think that this is definitely a development agreement that should be supported by the council." The council vote was 5-1, with Councilwoman Lisa Gregory voting against. Councilman Pat McDaniel was not present.
"This is, in my mind, a great investment," said Councilman Chuck Kuhle. "And she's got a nice operation out there." "I don't think $5,000 a year is a big ask from us," Kuhle said, pointing out that the city has "built sewers for millions of dollars" to attract businesses in the city's industrial northeast quadrant.
Councilman Dennis Cooper said it was "a good initiative and a good proposal to try" while Councilman David Horn pointed out that it was "a no-cost incentive" for the city. Gregory said she understood her colleagues' reasoning, but that "when I think about the sewer work that we did in the industrial area out east of town, that was to serve and to leverage many more businesses." "And so for me, I'm not sure if we approve this where the line in the sand is," Gregory said.
"I think that we need to have some tighter parameters around redevelopment agreements." An agreement between the city and KC Finds first surfaced in December, but was ultimately pulled from the agenda. Under that agreement, the city would have rebated 90% of the sales taxes collected for the first three years, 75% in the fourth year and 50% in the fifth year.
And it did not include a $25,000 cap. Gleason said that the original agreement "was pulled rightfully so," but did not elaborate. In other news, the council approved a contract with Charleston-based Arndt Municipal Support, Inc.
to conduct a classification and compensation study for the city's 88 non-unionized positions. Gleason said that the study, which will be the first the city has done since 1990, would offer “a more organized, efficient approach” than the "one-off" strategy the city has often deployed with non-unionized staff in the intervening years. The study will cost $35,070 plus $135 per hour for any services not included in the scope of services.
The council also approved a contract with Champaign-based Clifton Larson Allen for professional assessment services focused on the city's finance and human resources departments. The services will include a review of the financial processes to confirm controls, efficiency and effectiveness, confirm organizational structure and alignment of people and positions within those departments and assess existing software systems. The cost is estimated at $73,750.
The council also approved a $146,490 agreement with Paul's Tree Farms, LLC for installation of 185 trees. The funds come from a $750,000 grant the city received from the U.S.
Department of Agriculture to fund the planting, watering and maintenance of 1,200 trees over the next five years. Paul's Tree Farms is donating the trees, only charging for the cost of transportation, installation, root injections and fertilizer packs. Total savings are estimated at about $211,650.
The second round of trees will primarily be planted on city property at 1165 N. Jordan St, 1221 E. Condit St.
, Decatur Public Library and the Decatur Civic Center. In November, the council approved the first round of tree planting, about 150 large trees. The goal moving forward will be planting about 250 trees per year.
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