Taxing Entity Committee
Redevelopment Agency of
Tremonton City, Utah
Minutes
June 25, 2019
3:00 p.m.
Tremonton City Council Chambers
Tremonton City Hall
102 South Tremont Street
Tremonton, Utah 84337

1. Welcome

Chairman Fridal called the meeting to order at 3:05 p.m. and welcomed those present. The meeting was held at the Tremonton City Council Chambers on June 25, 2019 at 3:00 p.m.

2. Introduction of Committee Members

a. Identification of voting members of the Committee and which taxing entity that they represent

The following Taxing Entity Committee Members were in attendance: Board Member Rod Cook representing Box Elder School District, Board Member Jeff Scott representing Box Elder County, Board Member Mitch Zundel representing Box Elder County, Alternate Member Brett Baltazar representing Utah State Board of Education, Board Member David Forsgren representing the Bear River Water Conservancy District and Box Elder Mosquito Abatement, Board Member Lyle Holmgren representing Tremonton City, Director Shawn Warnke Tremonton City, Mayor Roger Fridal Tremonton City, and Linsey Nessen TEC Secretary.

Excused: Scott Jones, Utah State Office of Education.

3. Approval of Minutes – June 11, 2018 – stands as approved

4. 2018 Tax Increment and Distribution – Shawn Warnke, RDA Executive Director

a. Tremont Center Community Development Project Area

1. Tremont Center, LLC

Director Warnke said the CDA project area runs from Kent’s to the east to Crump Reese Motor Company to the west and only includes parcels that touch upon Main Street. We adopted that project area in 2016, which is when it became effective as far as collection of tax increment. Over the three years it has been in operation, we have received a total of $218k thus far.

The project area is a 15 year or $4.3 million project, whichever occurs first, with the RDA being allowed to receive 75% of the increment and 25% of the increment going to the taxing entities. The developer has invested about $900k through May 2017, primarily contributed to burying the canal, and has submitted all his receipts and we will reimburse him up to a certain amount, capped at around $1.9 million or for his actual costs.

Tremonton City has also been contributing. Once the City meets the obligation of reimbursing the developer up to that $1.9 million cap, then the City will also be in position to receive increment up to the balance of $4.3 million. So far, the City has invested $160k for the 480 West extension and also purchased three homes within the project area for $300k that are slated for demolition, which will be done this fall and will probably cost another $40k. The City also has other foreseeable investments around $420k for a total of $900k. Since all the taxing entities are partners in the project, they are receiving 25% of the new increment, so the increment delievered to you this year is based on that.

One of the projects we are trying to get off the ground in the Tremont Center development is housing. There is a developer exploring doing the housing component but we forecasted having more investment in the project area sooner. There is an office space project going on right now in the Tremont Center and all of the suites are leased out. One is a potential clothing store, an Asian restaurant, and a title company. This is the first of what will be a duplicated office building just to the west of this one. Jeff Scott asked if the developer is looking to sell off the housing portion for someone else to develop rather than developing it himself. Director Warnke said the developer looked at doing the housing component himself, but in the end felt that he would sell that piece and focus on other parts of the development. Jeff Scott clarified the housing development will contain around 60 to 90 units. Director Warnke said it will be around 250 units.

Director Warnke said Crump Reese Motor Company is a car dealership in Tremonton that is expanding in-place. We vacated a street, which allowed the opportunity for them to expand in-place and benefited the project area but also improved our long-term transportation and circulation within that area. There is not currently a collector road between 1000 West and Tremont Street and this project will provide a collector road at 600 West, about right in the middle. It will be a straight thoroughfare and create a more direct path in and out of that area of the City. There will also be a right-hand turn lane on Main Street, which will be a safety enhancement.

5. 2018 Annual Agency Reports – Shawn Warnke, RDA Executive Director
a. Tremont Center Community Development Project Area

Items 4 and 5 were discussed together.

6. Questions or comments from TEC Committee members

There were no questions or comments.

7. Adjourn

The 2019 Taxing Entity Committee Meeting adjourned at 3:32 p.m. by consensus of the Committee.

The undersigned duly acting and appointed secretary for the Taxing Entity Committee hereby certifies that the foregoing is a true and correct copy of the minutes of the Taxing Entity Committee Meeting held on the above referenced date. Minutes were prepared by Linsey Nessen.

Dated this 10th day of June, 2020.

____________________________
Linsey Nessen, Secretary