ACTION REQUESTED:
Title
Communication from the City Manager and Interim Corporation Counsel with a Request to ADOPT an ORDINANCE to APPROVE and Authorize the Execution of a PROFESSIONAL SERVICES AGREEMENT for the Establishment and Annual Administration of KELLER STATION BUSINESS DEVELOPMENT DISTRICT.
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BACKGROUND:
In 2019 the Kim Group entered into a long term lease with the Peoria Park District for the property commonly referred to as Keller Station. The 7-acre parcel is partially redeveloped with a mix of office, retail and restaurant spaces. Additional redevelopment is planned on this property.
The Kim Group would like the City to establish a Business Development District (65 ILCS 5/11-74.3-1) which would provide for the collection of an additional one percent (1%) tax upon the retail sales originating from the Development and to be repaid to the Kim Group for applicable redevelopment costs.
It is anticipated that increased traffic at the intersection of Knoxville and Prospect will necessitate an alteration to the intersection. The Business Development District Tax could be used to pay for the traffic upgrade.
Jacob & Klein, Ltd. and the Economic Development Group, Ltd. can provide the legal and administrative services necessary to render technical advice to assist the City in establishing a Keller Station Business Development District.
The attached Ordinance approves the engagement of the two consultants at a rate not to exceed $18,500 plus reimbursable costs. As part of its engagement, the consultants would provide the following services:
1. Provide legal advice regarding the establishment of the business development district on an as needed basis.
2. Provide technical consulting regarding the establishment of the business development district.
3. Create an estimated schedule and timeline for completing the required procedure to establish the business development district.
4. Work with local elected officials, city staff and engineers to define the redevelopment project area.
5. Consult on any annexation agreement, if necessary.
6. Prepare all requires studies and reports to establish the business development district.
7. Assist the City with preparation of a business development district and the required Redevelopment Plan.
8. Prepare and present to the City the required ordinances designating the business development district and approving the Redevelopment plan.
9. Assist the city with preparing the required publications and notices as well as conduct a public hearing.
10. Assist the city with negotiating Private Redevelopment Agreements with any potential developers.
FINANCIAL IMPACT: $18,500 plus reimbursable expenses, which can be repaid by the business development district if later approved by council.
NEIGHBORHOOD CONCERNS: Increased traffic at Knoxville/Prospect with lack of a funding mechanism to pay for a traffic alteration.
IMPACT IF APPROVED: The consultants will be engaged to research and prepare a Business Development District to council.
IMPACT IF DENIED: Current staffing levels are unlikely to allow for a Business Development District to be established.
ALTERNATIVES: None are recommended.
EEO CERTIFICATION NUMBER: N/A
WHICH OF THE GOALS IDENTIFIED IN THE COUNCIL’S 2017 - 2032 STRATEGIC PLAN DOES THIS RECOMMENDATION ADVANCE?
1. Grow Peoria
2. Financially Sound City
WHICH CRITICAL SUCCESS FACTOR(S) FROM THE COMPREHENSIVE PLAN DOES THIS RECOMMENDATION IMPLEMENT?
1. Invest in our infrastructure and transportation.
2. Grow employers and jobs.
DEPARTMENT: City Manager's Office