Fiscal Note
n/a
Title
Report re: Resolution #1716 creating TID #36 Capitol Gateway Corridor and Directive to Identify an Organizational Oversight Structure.
Body
The resolution authorizing the creation of Tax Increment Finance District #36, also known as the Capitol Gateway Corridor TID, directed my Department to meet with the stakeholders for the area and recommend an organizational structure for the ongoing oversight and guidance of the corridor over the next 20 years. We held two open meetings with the Central East Isthmus Stakeholders, one in October and one in November.
There is consensus among this diverse group of employers, property owners, developers, neighborhood residents and associations that there needs to be an entity committed to moving the vision of a vital urban employment center in this area ahead and facilitating the redevelopment of the Capitol Gateway Corridor according to the goals and objectives already established for the area. There are still differing views on the purpose of an oversight organization and the best structure for carrying out the purpose.
Based on my staff 's preliminary research of US cities that have successfully implemented similar initiatives over the long-term, implementation entities are often a public-private partnership, usually a not-for-profit corporation, with the capacity to administer resources, seek funding, work with existing and future businesses, with developers in the area and continuously support and guide the redevelopment process.
Common elements in the structure of all these entities are:
· Active City involvement
· Strong private sector participation and leadership
· Active involvement of community / neighborhood organizations in the area
There are many existing models of implementation entities that might be the right type of organization for the Capitol Gateway Corridor. A few examples include:
· A separate economic development corporation
· A sub-corporation of the City's Community Development Authority
· A business improvement district (BID)
The Department believes it is too early to decide on the structure that it is best suited to carrying out the implementation strategy for Capitol Gateway Corridor. Rather we believe the City must develop the overarching implementation strategy and work with the stakeholders in the area to establish the organizational structure (or structures) that will deliver the implementation strategy. The City, the businesses and the neighborhoods in this area have begun a process that will likely take 20 years to accomplish. We need to devise a strategy that identifies major priorities and a course of action that can be adjusted as conditions change and unforeseen events and opportunities occur.
As a consequence, I am proposing for the coming year to maintain the Capitol Gateway Corridor Stakeholders (CGC Stakeholders) as an ad hoc group and undertake the following work plan. I anticipate that the CGC Stakeholders will need to meet monthly for most of 2006.
First Quarter 2006
· Assign a DPD staff as point person / City liaison for the Capitol Gateway Corridor project area.
· Add to DPD staff capacity to develop the implementation strategy and the structure for implementation. This will likely be accomplished with outside professional expertise that has experience in redevelopment and marketing. Major tasks for this work include:
o Working with property owners, businesses and major project developers in the Capitol Gateway Corridor area to keep abreast of plans and goals and development timelines (Note: This is sensitive confidential work that can only be done one-on-one).
o Identifying funding resources other than TIF and methods for packaging into programs for implementation.
· Meet with CGC Stakeholders Group to:
o Clarify and agree on purposes of oversight and implementation entity.
o Hearing briefings on possible models for organization.
o Evaluate alternative organizational models as vehicles for achieving purpose. Hold at least one and more, if needed, meetings of the Stakeholder group to hear presentations and get feedback on major developments contemplated for the area.
· Schedule informational presentations on major developments such as Central Park or public market as needed.
Second Quarter
· Meet with CGC Stakeholders to continue evaluation of organizational models as needed.
· Prepare a preliminary implementation strategy and begin to share with affected groups and implementation partners.
· Identify City public improvements for inclusion in the City's capital improvement budget for 2007.
· At end of quarter hold a CGC Stakeholders group meeting to review projects and actions accomplished year to date and anticipated by end of year. Discuss preliminary implementation strategy.
Third Quarter
· Begin discussions on implementation entity and take steps to organize with various stakeholder groups.
· Continue to monitor development in Corridor area.
Fourth Quarter
· Develop action plan for 2007: Implementation strategy and organization creation.
At end of quarter hold a CGC Stakeholders group meeting to review projects and actions accomplished year to date and anticipated by end of year. Discuss preliminary implementation strategy.