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HomeMy WebLinkAbout1978-07-12 - Minutes - ArchiveMINUTES OF A MEETING OF THE FAYETTEVILLE HOUSING AUTHORITY July 12; 1978 The Fayetteville Housing Authority met on July 12, 7:30 p.m., in the Directors Room of the Fayetteville City Administration Building. PRESENT: Ghairperson Judy Endress, Bill Underwood, Sherman Morgan, Phil Taylor, Chad Kumpe, Bromo Wilson, and Tom Hodges The meeting was called to order by Chairperson Judy Endress who explained the purpose of the meeting as being to discuss, and possibly pass, a resolution approv- ing Amendment Two to the Urban Renewal Plan. She explained that the amendments • basically include changes on the land use map to reflect new zoning classifications, a change in the use of the Old Post Office building, acquisition of four parcels of land for the City's Continuing Education Center project, and elimination of acqui- sition of other parcels of land which will not be required for the project. Mr. Tommy Hodges discussed the proposed_ changes. Hodges said the Urban Renewal plan for the center square project was Last amended in 1971. Since that time, he explained, there has been.. a substantial number of changes in the program. At this time he said plans are to close the project out with the federal government in December, 1978; thereby, the project will be fully executed by that time. In order to close by December, Hodges said it would be necessary to adopt all of the changes that have occurred since 1971; i.e.,.:changes in the City's zoning ordinance which created a C-4 zone and new regulationsfor the downtown area. Hesaid it seemed appropriate to amend the Urban Renewal plans since it has a 25 -year duration and the plan would then be consistent with the downtown zoning. He said the change would not result in any land use changes but would only make the zoning consistent. Hodges said a decision to put the Oid'Post Office building on the National Register (of historic structures) would require the building to be saved from demolition. Since plans to demolish the building have been altered, he said it would be necessary to document the change in4he plan. In regard to parcel acquisition, Hodges said there were six parcels whose owners decided to demolish or rehabilitate their buildings, thereby removing them from acqui- sition. He said those changes had been made on the map. Hodges said there were acquisitions planned throughout the project which were to be partial acquisitions for widening of streets, sidewalks, etc He said all but 17 of those partial acqui- sitions were required. Four parcels have been added for acquisition at the northeast corner of North East Street and Center Street within the project boundary. Those 410 parcels are to be acquired for ultimate construction of the Continuing Education Center. Hodges said the financing plan had also.been changed since there are only five months remaining until closing. According to Hodges, HUD had estimated.a final settle- ment. with elimination of $45,000 which was in the original project application and budgeted as City in-kind contribution. Those improvements were made with Urban Renewal funds rather,..thans.City,funds:=-A;cash-payment.,fr-om the4City of $7,866 -was added to thee- budget which will carry us -to December, 1978. He'said it is hoped that the project can be closed in advance so that some or all of the $7,000 may not be needed. This was the figure HUD came up with so that the project could closeout comfortably, Hodges informed. He advised that there are four new businessesadded to the relocation work- load. •rte • -2- FAYETTEVILLE HOUSING AUTHORITY July 12, 1978 Bromo Wilson informed that .the. f�ur parcels now included for acquisition include: 2 East tenter (Gardenhire'_Jewelry): they have found a new location and' are in the process of negotiating a lease 4 East Center (Rochier.Jewelry):: has been relocated. to Evelyn Hills 6 East Center (Webb Shoe Repair): they have found a new location and are in the process of negotiating a lease 8 East Center (Beebe's Jewelry): has•a new location and is planning to move The Chair opened discussion to the floor .and asked if there were comments or questions from those present.in the audience. Therewere none. The Chair entertained • a motion to adopt a resolution approving Amendment Two to the Urban Renewal]Plan for the Center. Square Urban ReneWaD Protect, ARK R-105. Bill Underwood moved adoption of the resolution. Mr. Carlos Hill was present in the audience and asked which parcels along Center Street were involved in the acquisition. Endress informed Hill that the parcels involved are 2, 4, 6, and 8 East .Center Street and that his property was not included in the action being contemplated by. the Housing Authority. She explained that acquisition of his property was a matter between himself and the City of Fayetteville and that the Housing Authority has nothing to do with those parcels of land. Also present was Mr. David Malone who stated.to Mr. Hill that, as he understood, the Housing Authority is taking the four parcels closest to the square towards his building.. He, said the City is going to take the two parcels..-- the one where Hillis located and the one immediately west of Hill's -- so that when all the parcels are taken, then the Continuing Education Center will be built where all six parcels are today. Hill asked if he could presume his buildings to be included. Malone reiterated that eventually his will be included .but that the Housing Authority is working with only the four closest parcels to the square and not the two parcels which concern Hill. Hill again asked if his property would be included "in the final go -around". Hill was told it would not beby the Housing Authority. Hill asked, "What if the lawsuit is against you and you never get my property?" Chad Kumpe said it would make no difference, the City of Fayetteville and engineers say it (Continuing:Education.Center) .can:be built upon the four parcels that we are acquiring right now. When Hill asked if the public knew that, Endress said it hadn't been published yet and that she doubted anyone had talked about it. Hill again asked if he was to assume that his property is to be eventually included in the Continuing Education Center project. Chad Kumpe replied that it would never be included in regard with the Urban Renewal. When re- quested by Hill to release a'statement that.the building he owns and is involved in a lawsuit over is not included, Kumpe said.he would state that the Housing Authority is only discussing 2, 4, 6, and 8 East .Center Street. Kumpe said as far as the Urban Renewal istconcernetl„theYdiscusSi-mann dtiriWaffett-Hi1Pat-al l:— Hill then made the following statement:. "Inasmuch as I am a defendant now, which you say eventually will be included, I want to issue a statement in the form of a caveat to this City, Housing Authority, and to the Urban Renewal that we will protest anything that comes up anywhere between East Street and the alley. We will expect full cooperation from each of you and full report of all income and disbursements of • -3- FAYETTEVILLE HOUSING AUTHORITY July 12, 1978 money that is in that area.. We will expect office space; we will expect records to be displayed; everthing given to us so we will be ready to go. My attorney, John Lisle,=will be here later to tell you where his office will be. So he will be in charge of all that. If you have any questions about our protest -- contest -- in any way,. (they are)to be directed to Mr. Lisle. I want you to understand now, every- thing I have already issued to Urban Renewal -- caveat -- that we will contest this whole thing -- not just part of it -- the whole thing to the ends of the law. I expect cooperation from all of you." • Mr. Bob Hall, 8 East Center property owner made the following. statement: "Part of what I have to sayhere has nothing to do with HUD but has to do rwith the overall project. It primarily concerns the purchase of my property. We have read and heard • a great deal about the Urban Renewal project and downtown Fayetteville construction of a Continuing.Education Center by bonds financed by a vote of the people in June,'1977. The project included acquiring private property located on East Center Street, from the corner of East Street to the alley on Center Street. The Office of HUD says in their information statements that they will pay a fair market price (emphasis requested by Mr. Hall) for the needed property. In an articlepublished in the NORTHWEST ARKANSAS TIMES on February 16, 1978, the HUD commission was quoted as stating the pur- chase price of the property owned by Beebe's would be $27,000. This was done without any communication whatsoever with the owner of the property in question. In a meeting of the Fayetteville Board of Directors on February 6, 1978, the Board voted to increase the building construction costs by some $500,000at the showing of the preliminary plans for construction of the Continuing Education Center.. This was accomplished in one short session of the Board of Directors. Projected costs of construction of the Continuing EducationCenterr building now exceeds:$50.00 per square foot. -The NORTHWEST ARKANSAS TIMES, on June 18, 1978, stated that satisfactory agreements had been made with the property owners. This isnot true. It is insulting, as well as ridiculous, to think I..would accept the price published when theimprovements in my new location exceed that figure. I have worked for 22 years to obtain ownership of the building I now occupy. I take pride in the fact that we own our: building in down- town •Fayetteville.. When the citizens of Fayettevilleoverwhelmingly voiced their desire, by popular vote, to enact a hotel, motelandrestaurant tax to finance the building of the Continuing Education Center whichiiIhsupportedtat-that:.time -- and I still do-- but not to the point of personal sacrifice to the extent of a less than 50percent return on my investment.. It is my desire to settle without litigation. However, I will do everything within my rights as a property owner and taxpayer to obtain.a fair and reasonable compensation for my property. .You may weigh the addi- • tional time,icos.tsand legal expense to acquire my property without my consent; for if I have to go to litigation it will delay and obstruct .the purchase of the property. Let it be known I will sell my property directly to HUD for the sum of $45,000. I consider this a fair and reasonable price based on the size and the location'.of the building and in view of the escalating property values across the country, in North- west Arkansas, and especially within the City of Fayetteville. Inflationary spiral of our economy within the past few years would obsolete any appraisals.-.'-Imprbvements scheduled;and involved in the immediate-iarea .have thereby enhanced the value of said property. r � . Hall told Endress that he had never agreed to the $27,000 purchase price quoted by HUD and that he had never discussed the purchase price officially with any HUD body. He acknowledged that unofficial meetingshad transpired. He said he knew of • FAYETTEVILLE HOUSING AUTHORITY July 12, 1978 -4- no other way to put it in the right perspective than to state what,he would accept for his property. Based on,the appraisals made by people'hired by HUD, he did not know how they arrived at the'$27,.000 figure. He wished it to be made of record that the $27;`000 is (an -unacceptable price. Hall.said:he was still in favor of the overall project but that he thought the quoted purchase price was unfair. Endress stated that the Hodsing Authority had secured official appraisals for property acquisitionsand that they had notarbitrarily established any prices. Endress stated she accepted Hall's statement that he does not .agree with the official appraisal and that he feels the appraisal might need to be updated. Hall stated he did feel the appraisal needed updating. Chad Kumpe said the appraisal would beupdated at the time the property is taken. • Mr. Hall noted that regulations say that.the purchase price will be based upon -- not tied to -- the appraisal price.. He requested he be provided with any other regula- tions or statements which have not previously been given the property owners. • David Malone said the Housing Authority can't negotiate the price until the amend- ment is approved. Carlos Hill believed that, according to law, there has never been an appraisal made. He said no one had ever examined his .building or contactedhimin any way, yet there is a price on it and an appraisal filed of record in the Circuit Clerk's Office. Endress reiterated that the Housing Authority does not have an appraisal oh Hill's property and emphasized that the Housing Authority is not trying to acquire his land. Hill introduced John. Lisle who said he will be representing Mr. Hill in his ' challenge of condemnation proceedings by the City of Fayetteville.for the Continuing Education Center. Lisle said he understood earlier that there is an alternate plan or feasibility study being done to determine the question of whether the Con- tinuing Education Center can be built upon the parcels to be acquired by Urban Renewal exclusive of the parcel Hill owns. Endress .sa ;d, as far as they understood it, it could be built on the four parcels of land thatthey will be acquiring. Lisle said he will be visiting the Housing Authority to request to see certain public documents. He contended that Ivan Hill had previously been -denied the right to see the records because he is not a resident of the State of Arkansas. He said they will take whatever administrative action, in addition to legal action, they can to delay the project until the question of Hill's property is decided. Endress asked if there be further questions or comments.. There being none, Phil Taylor seconded the motionto adopt the resolution. .Endress asked if the motion should pass ,and all present answered."Aye". The motion and resolution were declared adopted. The meeting was then adjourned by the Chairperson at 8:05 p.m. These miryutes recorded and transcribed by: Darlene Westbrook HOUSING AUTHORITY OF THE CITY OF FAYETTEVILLE ter -7" • • RESOLUTION NO. 289 RESOLUTION OF. THE HOUSING AUTHORITY OF THE CITY OF FAYETTEVILLE APPROVING AMENDMENT NUMBER 2 TO THE URBAN RENEWAL. PLAN FOR THE CENTER SQUARE URBAN RENEWAL PROJECT, ARK R-105 WHEREAS, the Housing Authority of the City of Fayetteville, Arkansas, herein called the "Local Public Agency", has entered into a contract for Loan and Grant with the Secretary of the Department of Housing and Urban Develop- ment of the United States of America; and, WHEREAS, in connection with said contract the Local Public Agency has prepared and properly adopted the Urban Renewal Plan for the Center Square Urban Renewal Project Area, ARK R-105; and, WHEREAS, it is in the best interest of the City of Fayetteville and Project Residents to amend said Urban Renewal Plan; and, WHEREAS, a copy of the Urban Renewal Plan as so modified is filed and available for public inspection in the office of the Fayetteville Housing Authority located at Number One North School Street; and, WHEREAS, documents in the files of the Local Public Agency indicate that the following actions have been completed regarding the amendments of the Urban Renewal Plan: A. The major land uses, major circulation system, and major public uses and facilities shown in the modified Urban Renewal Plan have been reviewed by the Local Public Agency and have been found to conform to those in the general plan for the development of the locality as a whole and the Planning Commission, City of Fayetteville, Arkansas, has concurred in such finding, B. The Local Public Agency has secured written concurrence in the modification by all redevelopers determined by the Local Public Agency counsel to be affected by the modification, C. There are no outstanding restrictive covenants or recorded plats affected by the modification in the Urban Renewal Plan; and, WHEREAS, the Local Governing Body and Project Area Committee were provided with written notification of this Amendment at least fourteen (14) days prior to the effective date of this change. A copy of the final Amendment was provided to the Local Governing Body and Project Area Committee on July 12 , 1978; and, WHEREAS, all zoning changes, revisions, map changes or other zoning action necessitated by the modification have been submitted to the Planning Commission, City of Fayetteville, Arkansas; and, WHEREAS, the Local Public Agency has conducted a properly advertised public hearing concerning the proposed Amendment. • NOW, THEREFORE, BE IT RESOLVED BY THE HOUSING AUTHORITY OF THE CITY OF FAYETTEVILLE, ARKANSAS: 1. THAT Amendment Num er 2 to the Center Square Urban Renewal Project, ARK R-105 dated /l rnfix9/4Z 6, //,7z6nsisting of 9 pages and 6 exhibits be hereby approved and adopted. 2. THAT the Executive Director of the Housing Authority, City of Fayetteville, Arkansas, is hereby authorized to submit a Proclaimer Certificate consistent with this Resolution to the Department of Housing and Urban Development. PASSED AND ADOPTED This � day of J& .2- 1978. RESOLUTION/3