08/28/1978 Meeting - Laserfiche WebLink

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to Joyce Benjamin, a letter to Kupper from Attorney Joe Richards, and a letter to Dave Hunt, former ERA Director from Lewis Hoffman. Councilors e also received an August 24, 1978, memo from the City Attorney. It was noted that among Shellenbarger's recommendations was that a structural engineering report be prepared, and Mr. Delay wondered if that issue has been addressed by staff. Mr. Kupper, ERA, said they have not prepared one at this time and he did not understand why Mr. Shellenbarger thought it was necessary. If Council directs the ERA to go in the direction of the drafted motion, he will speak to Mr. Shellenbarger to see why it is necessary, and, if required, the agency will do it. Bob Thomas, ERA assistant Director, said that when he talked to Mr. Shellinbarger his idea was to have a study that all could refer to that would stabilize the buildings as far as their vertical and lateral stability is concerned and that would be the same method in all cases and could be built into any proposal. Mr. Thomas raised the issue at that time that the exact method used to stabilize would depend on the range of uses in the building. He felt it would be premature for Council to tie that in with the recommenda- tion at this point. Mr. Williams said he has read the material submitted to the Council and reviewed the testimony and intends to vote on the matter. Mr. Kupper said that, as a point of information, a representative of a developer interested in submitting a proposal spoke to him about the possible tax benefits that might accrue to a developer if the buildings were historically designated. He has discussed the matter with Attorney Joe Richards and would like to be on the record as noting that, if the Renewal Agency selects a restora- tion proposal, it would be their intention to ask the developer to waive - tax abatement advantages. Judy Rees, HCC, said it is possible to have one's property taxes frozen for 15 years if their building is on the National Register. In the case of properties to be restored, of course, it is to the owner's advantage to have taxes frozen before the work is done but it does not eliminate taxes. It freezes them for 15 years. Mr. Bradley wondered why the Renewal Agency wanted the tax abatement procedures waived. Mr. Kupper said the City pays off renewal project bonds with increased property taxes generated by new development in the renewal area. A restoration proposal could give the Renewal Agnecy a good tax return. Mr. Keller wondered about the legal issue raised by the Hoffmans on the property. Attorney Joe Richards said it will take consi- derable research and that it lies within HUD regulations. Mr. Bradley wondered why the matter was not still being considered for historic landmark designation. Mr. Farah, Planning Department, said the suggested motion allows a balancing without cutting off alternatives now. Staff probably should have brought a compromise to Council earlier but it did not and that may have added to the confusion. Mr. Hamel moved, seconded by Mrs. Smith, to request the Renew~l Agency to: 1) Entertain requests for proposals on the Preston Building, the Hall Building, and the Portland Store for rehabili- taion/restoration and new construction or some combination of the e 8/28/78--10 5~3