Downtown Development Authority Minutes

Approval of Minutes: There being no corrections or additions, the minutes of the March 19, 2003 meeting were approved.

Staff presented a brief description of potential sources of funding for the parking expansion. Also presented was a thumbnail sketch of costs associated with a number of construction scenarios for a Wing Street deck and a Dunlap Street deck or expanded lot. The significant assumptions made in formulating the financial feasibility analysis was:

- The 2003 budget was used as the basis for predicting future revenues and costs.

- All taxing jurisdictions will continue to be subject to capture except for Northville Schools and RESA after the 1994 bonds are repaid in FY2009.

- Maintenance costs for any expanded parking capacity are included.

- Excluded from the analysis was the dollar value of future developments and potential land sales.

Based on the projected borrowing capacity and reserve, the maximum project size is recommended to be $4.7M. It was also suggested that a 15-year debt issue be considered versus a 20-year issue.

A number of construction options and related costs were reviewed. Several scenarios were outlined regarding the Wing Street deck, and a deck or parking lot on Dunlap Street. It was stated the goal of the proposed parking deck(s) was to accommodate present parking, plus parking required by accompanying developments, plus future parking needs. Each scenario (deck with basement, deck without basement, deck with basement and third floor) also indicated the number of parking spaces that would be netted by that set-up.

Questions were asked regarding parking spaces, details of landscaping, design, and timing of construction.

In discussing the financing of the projects, it was stated the $790,000 in reserve for parking expansion at this time (FY03) does not include a potential sale of City property to Cambridge. An analysis was made of potential revenue and expenditures and the amount available for debt service. An explanation was given on the types of bonds available and the ramifications of each regarding interest rates and implementation procedures.

It was suggested to have the City’s new bond counsel appear before the DDA Board to answer questions and offer suggestions on the best bond option.

Discussion took place on the various construction options and it was suggested an additional meeting was required with further investigation of the financial possibility of a Wing Street deck with a basement and three levels, and an expansion of the Dunlap parking lot.

Motion DeHaan, seconded by Buckhave to call a special meeting on Wednesday, April 16, 2003 at 8 a.m. Motion carried unanimously.

There being no further business before the Board, the meeting was adjourned.

Respectfully submitted,

Carol T. Kasprowicz
Recording Secretary