TREMONTON CITY CORPORATION
REDEVELOPMENT AGENCY
DECEMBER 18, 2018

Board Members Present:
Roger Fridal, Chairman
Diana Doutre, Board Member—excused
Lyle Holmgren, Board Member
Jeff Reese, Board Member
Bret Rohde, Board Member
Lyle Vance, Board Member
Shawn Warnke, Executive Director
Linsey Nessen, Executive Secretary

Chairman Fridal called the Tremonton Redevelopment Agency Meeting to order at 8:07 p.m. The meeting was held in the City Council Meeting Room at 102 South Tremont Street, Tremonton, Utah. Those in attendance were Chairman Fridal, Board Members Holmgren, Reese, Rohde, and Vance, Executive Director Warnke, and Executive Secretary Nessen. Also in attendance were Director Paul Fulgham and Attorney Dustin Ericson.

1. Approval of agenda:

Motion by Board Member Reese to approve the December 18, 2018 agenda. Motion seconded by Board Member Vance. Vote: Board Member Holmgren – aye, Board Member Reese – aye, Board Member Rohde – aye, Board Member Vance – aye. Motion approved.

2. Approval of minutes – December 4, 2018

Motion by Board Member Vance to approve the minutes of December 4, 2018. Motion seconded by Board Member Rohde. Vote: Board Member Holmgren – aye, Board Member Reese – aye, Board Member Rohde – aye, Board Member Vance – aye. Motion approved.

3. New Business

a. Discussion and consideration of adopting Resolution RDA No. 18-08 authorizing the BRAG’s request to allow the Tremonton Village Apartment, LLC to use approximately $46,967 from the $417,410 balance of low to moderate income housing funds retained by BRAG to repay the outstanding debt owed by Tremonton Village Apartment, LLC to BRAG

Executive Director Warnke said in the early 2000’s, the City worked with BRAG to do affordable housing on the old public works site. In order to build that complex, BRAG, acting in the role of housing authority, created an LLC and took out a loan from several different entities. In the past we have sent the affordable housing funds that the RDA received from West Liberty Foods to BRAG, but we stopped doing that around 2011 and started to retain that. The balance is about $417,000 and they propose using $46,000 of that to pay off the loan to BRAG. The Board agreed there were no minuses. Executive Director Warnke said we are using the affordable housing fund, which is within the law. BRAG has been a great partner on a lot of projects and will continue to be.

Motion by Board Member Reese to adopt the resolution. Motion seconded by Board Member Holmgren. Roll Call Vote: Board Member Holmgren – aye, Board Member Reese – aye, Board Member Rohde – aye, Board Member Vance – aye. Motion approved.

Developer Micah Capener was in attendance and addressed the Board. He said we were hoping to meet in the middle on our project across from Crumps. We would take all the risk out of the numbers and would handle the unknowns—the extra cost on the canal and the reduction in the lot size due to moving the road, and the cost of burying the pond if we are required to do that. If we trade positions on the homes and destruction thereof we will move our $2.234 million approved number in first position down to $1.9 in exchange for the City up-fronting and working out the deal on the $334,000 to buy and doze the homes and swap positions with what we were planning to do down the road. Board Member Rohde asked if we can legally make that work. Attorney Ericson said I think it is within the scope of the RDA’s agreement with the Tremont Center LLC. We could restructure that a little bit. Board Member Rohde asked if the City would take care of it or who would manage it. It was suggested Mr. Capener continue to manage it. Board Member Vance said he has a contract on those buildings and they are at x prices from years ago and we do not want to mess with that contract by getting in the middle of it. Reimbursing the cost keeps Tremonton City in a management position. Board Member Reese said I think Mr. Capener has been more than reasonable on this. Board Member Rohde asked if we have the funding. Executive Director Warnke said I think we have the funds, but might have to move some priorities. We will find the basis of making the transaction and work on drafting an amendment.

4. CLOSED SESSIONS: No closed session was held at this time.

a. Strategy session to discuss the purchase of real property when public discussion of the transaction would disclose the appraisal or estimated value of the property under consideration or prevent the public body from completing the transaction on the best possible terms; and/or

5. Adjournment

Motion by Board Member Vance to adjourn the meeting. Motion seconded by Board Member Holmgren. Vote: Board Member Holmgren – aye, Board Member Reese – aye, Board Member Rohde – aye, Board Member Vance – aye. Motion approved.

The meeting adjourned at 8:15 p.m.

The undersigned duly acting and appointed Executive Secretary for Tremonton City Corporation Redevelopment Agency hereby certifies that the foregoing is a true and correct copy of the minutes for the RDA Meeting held on the above referenced date. Minutes were prepared by Jessica Tanner.

Dated this 29th day of January, 2019.

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Linsey Nessen, Executive Secretary