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HomeMy WebLinkAboutAgenda - City Council - 09/09/2024 - Special MeetingSPECIAL CITY COUNCIL MEETING AGENDA September 09, 2024 Participation Options In Person: 180 Market Street – 1st Floor Auditorium Virtually: https://meet.goto.com/SouthBurlingtonVT/specialcitycouncilmeeting09-09-2024 You can also dial in using your phone +1 (872) 240-3212 Access Code: 492-578-261 Special meeting 6:30 p.m. 1.Pledge of Allegiance (6:30 p.m.) 2.Instructions on exiting building in case of emergency and review of technology options – Jessie Baker, City Manager (6:31–6:32 p.m.) 3.Agenda Review: Additions, deletions or changes in order of agenda items (6:33–6:34 p.m.) 4.Comments and questions from the public not related to the agenda (6:35–6:45 p.m.) 5.*** Possible Action: The North East Agricultural Trust (NEAT) and the South Burlington Land Trust (SBLT) have submitted a request for the Council to support a joint project at 1720 and 1730 Spear Street currently called the “Long View Project.” This includes a request for the City to allocate public funds to support City ownership and permanent conservation of at least 32.2 acres and the future development of permanently affordable homes on a subdivided parcel. The parties are looking for a letter of support for a funding application to the Vermont Housing and Conservation Board (VHCB). The Council will hear from the community and consider approving a letter of support for this project. – Council Request (6:45-8:45 p.m.) a.Consider entering into executive session for the purposes of discussing the negotiation or securing of real estate purchase or lease options, and specifically the Long property (1 V.S.A. § 313(a)(2)). 6.Other Business 7.Adjourn Respectfully submitted: Jessie Baker City Manager ***Attachments included 180 MARKET STREET, SOUTH BURLINGTON, VERMONT | (802) 846-4107 | WWW.SOUTHBURLINGTONVT.GOV • • • • • The “Long View” Project The following is a summary of the South Burlington Land Trust (SBLT) proposal to be elaborated upon in executive session to the City Council on September 3, 2024. Representatives of the SBLT Board of Directors have met with all Councilors and provided the same information and documents to each Councilor in order respond to questions and concerns, and to receive feedback from them on the Long View project. Our Ask: The SBLT is asking the City of South Burlington to participate in the purchase of a conservation easement on 32.2 acres of land for $397,000.00. This conservation easement was appraised on May 9, 2023 for $636,000.00. The balance of the $636,000.00 acquisition price will come from Vermont Housing Conservation Board (VHCB) for $175,000.00 and $64,000.00 from NEAT. Once the conservation easement is in place, NEAT is willing to sell the property to South Burlington for $64,000.00.   Note:  Other parties participating in this partnership include Green Mountain Habitat for Humanity, who signed an Option Agreement with NEAT to purchase land and build 16 perpetually affordable units (in partnership with Champlain Housing Trust), and the VHCB, who are considering granting the SBLT $175,000.00. The SBLT applied for a grant from VHCB for the conservation easement, and has commissioned a new appraisal of the land.  Alignment with City Goals: The Long View Project will help achieve 22 of the 86 goals the City listed in their “City Plan 2024 Goals and Actions”. Some of the goals which the Long View Project will help further include: —Conserving ecologically-important lands through acquisition and/or partnerships —Connecting the City’s natural resource areas to one another —Protecting at least 51% of city’s land area, prioritizing conservation of contiguous lands —Allowing for continued viability of mammal species —Promoting farm-to-consumer opportunities —Providing 20 acres of natural resource land for every 1,000 residents —Providing for varied recreational needs and space for passive recreation —Completing the network for bike/pedestrian travel by connecting paths —Increasing number of affordable housing units for households earning up to 80% of AMI —Encouraging home ownership options in multifamily buildings The Budget SBLT Submitted to VHCB: Attached Habitat for Humanity Letter of Endorsement: Attached The Structure and Flow of the Finances: The appraised conservation easement value of the 32.2 acres is $636,000.00. VHCB awards up to $175,000.00 to the SBLT (the grant applicant) to purchase the conservation easement from NEAT. The City of South Burlington contributes $379,000.00 from the Open Space fund to SBLT to be used to purchase the conservation easement from NEAT. VHCB will hold the easement.  The following permitted uses in the easement are: shared-use bike path connection from north to south, walking trails, community garden space, access to and installation of waterline. On the same closing day, the City of South Burlington will purchase the 32.2 acres from NEAT for $64,000.00 (value after easement based on the 2023 appraisal). If the land value increases in the new appraisal, the amount requested to purchase the land from NEAT will stay constant. NEAT gets $461,000.00 from the City and $175,000.00 from VHCB for the sale of the conservation easement and the sale of the land. Bottom Line:  South Burlington owns 32.2 acres of conserved land for a total price of $461,000.00.  VHCB Conservation Project Budget Date: 00/00/00 INCOME EXPENSE VHCB Other Total VHCB Funds ($175,000.00) Acquisition ($175,000.00) ($397,000.00) ($572,000.00) Town Funds ($397,000.00) Historic Rehab Foundation Funds Mapping/documentation ($5,000.00) ($5,000.00) Other Funds*($7,000.00) Closing Costs ($2,000.00) ($2,000.00) Bargain Sale Donation ($64,000.00) Stewardship Endowment Easement Donation Value of all Donations ($64,000.00) ($64,000.00) In-kind Donations Grantee Staff Federal Funds Other Expense* TOTAL INCOME ($643,000.00) TOTAL EXPENSE ($246,000.00) ($397,000.00) ($643,000.00) *Describe other funds: *Describe other expense: VALUES OF PROPERTY INTERESTS TO BE ACQUIRED For Fee Simple Acquisitions: Appraised value Bargain sale value (if applicable) FEE SIMPLE PURCHASE PRICE:($-  ) For Easement Acquisitions: Appraised value (unrestricted)($700,000.00) Appraised restricted value ($64,000.00) Appraised easement value ($636,000.00) Bargain sale value (if applicable)($64,000.00) EASEMENT PURCHASE PRICE:($572,000.00) TOTAL PAID FOR ACQUISITION (fee/easement purchase price):($572,000.00) Number of acres conserved by purchase (fee simple and/or easement):32.2 Number of acres conserved by donation (fee simple and/or easement): TOTAL ACRES CONSERVED 32.2 TOTAL PAID PER ACRE ($17,763.00) Total appraised fee/easement value ($636,000.00) Total appraised fee/easement per acre value ($19,751.00) South Burlington Open Space Conservation Fund Annual Revenues & Expenditures FY 2001-2024 2012 2013 2014 2015 2016 2017*2018 2019 2020 2021 2022 2023 2024 Total Investment Interest $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 ($10,135) Loan Repayment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Donations & Gifts $0 $0 ($1,486)($752)($386)($176)($3,925)($3,000)$0 $0 $0 $0 $0 ($9,725) Operating Transfer In ($273,000)($279,090)($285,000)($285,000)($285,000)($142,500)($142,500)($142,500)($152,760)($153,267)($155,435)($202,790)($207,335)($4,751,673) $0 Land Maintenance $0 $0 $1,440 $9,777 $0 $0 $0 $0 $0 $0 $0 $0 $0 $11,217 Land Acquisition $0 $1,000,025 $220,000 $220,000 $220,000 $0 $0 $625,967 $0 $0 $0 $9,915 $309,033 $4,136,292 Engineering/Consulting $0 $4,511 $2,900 $10,500 $0 $0 $0 $0 $0 $3,500 $0 $0 $7,189 $32,100 Operating Transfer Out $0 $4,992 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,992 Current Year Fund Balance ($273,000)$730,438 ($62,146)($45,475)($65,386)($142,676)($146,425)$480,467 ($152,760)($149,767)($155,435)($192,875)$108,887 ($586,931) Overall Fund Balance ($793,779)($63,341)($125,487)($170,962)($236,348)($379,024)($525,448)($44,981)($197,741)($347,507)($502,942)($695,818)($586,931) Current through end of FY 2024 *Beginning in FY 2017, pursuant to March 1, 2016 voter approval, 50% of the annual Conservation Fund Tax is directed to financing of a $1,300,000 loan for purposes of funding enhancement projects in City- owned open space and natural areas described in the Open Space and Natural Area Enhancement Plan approved by the City Council on January 19, 2016 for a period no to exceed 10 years. The loan financing and expenditures under the Enhancement Plan are NOT shown on this table 180 MARKET STREET, SOUTH BURLINGTON, VERMONT | (802) 846-4112 | WWW.SOUTHBURLINGTONVT.GOV • • • • • • o o o o o 180 MARKET STREET, SOUTH BURLINGTON, VERMONT | (802) 846-4112 | WWW.SOUTHBURLINGTONVT.GOV o o •