 it is five o'clock so I will call this meeting of the finance and personnel committee to order starting with the roll call then all their felby all directly all their flicky paneski here all the parole chairs here that's five out of five will you all please stand and join me in the pledge I pledge allegiance to the flag of the United States of America and to the republic for which it stands one nation under God indivisible with liberty and justice for all all right then moving past introduction inspiring any objection we are on to item number five which is approval of the minutes from our March 28th meeting any discussion on the mats if not we'll be looking for a motion to approve so moved do we have it all right we have a motion a second then seeing no discussion on the minutes from our March 28th meeting all those in favor all opposed chair votes aye the eyes have it in the motion passes next up is item number six which is our own number 138 of 21 22 submitting a communication from the state of Wisconsin tax appeals commission regarding the filing of petition for review of determination by the state board of assessors for manufacturing property in the matter of Georgia Pacific corrugated LLC versus Wisconsin Department of Revenue anybody like to take this one I can really take it so what happens in these cases is that these manufacturing type properties are not assessed and the determination is not made locally it's made at the state level so we're just being copied in on what's going to determination it's going to be made at the state level we did however get into we did hire outside counsel to handle a similar matter and we'll be providing this to her in case there's a nest necessity to do that there is a legal issue around the definition in the statute and because the we were we went in combination with the City of Green Bay in the city of Nina on on hiring outside counsel and we're only responsible for something like 0.1 percent of the cost of the attorney because we only have 0.1 percent of the value of the property that's at issue Nina and Green Bay have much much larger plans so it's not a real expense to us to hire somebody to do that so any questions or comments on this one if not do we need a motion on this or is this just a motion to do we have a motion in that nature so moved all right we have motion a second then seeing no further discussion all in favor aye all opposed chair votes aye the ayes have it the motion passes on to item number seven which is resolution number 168 of 21 22 a resolution authorizing the addition of a neighborhood engagement specialist to the city of Sheboygan table of organization now we have this one come up at our I believe the prior meeting and because the motion that was made within the committee was a motion to approve and that approval failed we still have this item in the committee now so just to not let it I guess for lack of a better way to say die on the docket of the 22 or 21 22 finance and personnel committee we'd be looking for a motion to forward this on to the finance and personnel committee of the 2022 2023 common council so moved we have a motion a second any discussion on this item seeing none all in favor aye all opposed chair votes aye the ayes have it the motion passes and we are on to item number eight which is resolution number 173 of 21 22 a resolution authorizing the sale of land and south point enterprise campus to Sheboygan south point development LLC thank you chair so this is a document that we had talked about previously in closed session this is a spec industrial building that would be constructed on the corner of horizon drive and self-business drive in the south point enterprise campus basically east of the water tower that's out there under this proposal Sheboygan south point development LLC who is the developer would purchase 14.7 acres of land to construct as I mentioned the 100,000 square foot spec industrial building with the option of expanding it to two to another hundred thousand for a total of 200,000 if the demand is there they will be paying 25,000 per acre for a total of 367,500 under the terms of the offer the city is responsible for doing the certified survey map which would create a lot the department of public works is currently working on that should this get approved they will work on recording it and then we also have a TIF incentive going towards this project and that will be negotiated in a separate developers agreement and the offer requires us to do that within 90 days of acceptance of the offer so staff is working with the city attorney's office on getting that agreement in order as well questions comments oh they're flicking asking thank you there was a provision that we strike line 650 and 651 and it was an approval by council for 30 days and then further down in the contract it said 90 days so clarified for me the 90 days that we're responsible for once this goes through I'm not understanding that I think the 30 days and the 90 days is related I think it's related to negotiating this development agreement so they gave us 90 days to put to get the the agreement through council and get it approved for the incentive because it can't move forward with with the project without that incentive piece okay so once we approve this well once we forward this to be approved the tip incentive is automatically attached to this contract no the tit incentive will be in a separate agreement that will come forward to the council at a later date but within those 90 days and it'll lay out the terms of the incentive and the minimum investment in all the requirements that we would put on the development okay thank you other parola yes I was wondering what else so the city will be create a lot to the to the survey but what else will the city need to do for this lot to be sold I mean is there anything else that besides doing the the transfer documents which the city attorney's office does I would say there's nothing more once we get the lot created and it's an official city lot then they're you know free to close on it but we're hoping that their goal actually is to get us construction plans and understand that process prior to closing if possible so they'll be working pretty aggressively in the course of the next month or two to finalize all of that and then be able to close and start construction shortly thereafter but there should be nothing more from the city thank you clarification we are selling this to the developer developer will build the spec building and the spec building will hopefully be occupied by a business of corporation that's correct so what we found in this market is our vacancy rate in the industrial sector is very low and that anytime any kind of building opens up it's picked up relatively quickly and a lot of our manufacturers you know they get a new line of business and then they're they need a building because they didn't think about you know that as part of the process but there's a they have a hard time kind of seeing how they could make us building work for their line of work so by building this it basically would be a shell building unless they get a tenant before they would start construction but they would build a shell and then somebody else at a later date would come in and build out the inside of it to their doings for whatever the business is so in your experience does the developer maintain the proper maintain the ownership of the property and lease it out yes and that's the plan here is this would always be this developer and they would lease it have a long-term lease with a tenant okay thank you any other discussion on this one if now we'll be looking for a motion to approve so moved second all right we have a motion in a second and seeing no further discussion all in favor aye aye all opposed chair votes aye the eyes have it the motion passes with that we are on to item number nine which is direct referral of resolution number 175 of 21 22 resolution authorizing the purchase purchasing agent to issue a purchase order for the purchase of a multi hogs cv 350 sweeper for the sheboygan parking utility from hard line equipment and corporate thank you thank you I'm filling in for Derek today this is just a purchase of a demo demonstration model of a sweeper so they are going to be putting new bristles on giving us a full factory warranty but the unit we have currently is actually no long the company that produced it is no longer in business and it's becoming unreliable so we are hoping to replace it with this model and have a more reliable machine for cleaning up our parking lots during 2022 and moving forward other flaky finesky sure thank you there was talk about a rescue engine is that I mean there were 139 pages to this is that the name of the vehicle because partway through I'm thinking I'm buying a street sweeper and all of a sudden it's called a rescue engine I will have to look at the 139 documents pages I should say it is truly a sweeper that we're looking at I'm not sure if something was an error on the agenda but I can look into that this is truly for the street sweeper through hard line equipment okay and and truly I am I regret that Derek isn't here to talk to us is what because I know you do the money and he does the street sweeper stuff it's in the description yeah yeah it is on page 33 there you go and only on one sentence yep so I second whereas okay yeah I would suggest I see their approval by with the strike oh yeah it would it would actually probably so that's my office's fault it should you should probably amend it to say funding for the purchase of the sweeper has been included in the 22 budget okay I got apologize for the misunderstanding on my part yeah that's good okay do we want to make that amendment I went through the hundred some pages and I appreciate the breakdown of everything what I want to know is was this counted for in capital improvements or is this an additional cost because it was 360 some dollars as far as I understood it and it was broken down later on into pieces they piece meal this on and that under you know for an extra amount but I'm guessing the 360 thumb some thousand is like the total amount that's coming out and where is it coming out of so it's 134,000 and it's all coming from parking utility heavy equipment I'm just making sure where are you seeing it sort of coming from multiple accounts where is that in the resolution you're seeing it from multiple accounts I don't know what is the total is one of my questions and the total is a hundred thirty four thousand two hundred twenty four dollars okay so they must have given us some credits along the way because I know I saw three hundred and something somewhere along the line and then as I progressed on in the pages it was it was more broken down again okay bear with us momentarily hold this for this reason I went to look at it is our office did this resolution we used a template from a previous one and I wonder if the rescue engine cost three hundred some thousand but it's not there in the resolution okay thank you resolution is good other than the one change that I suggested so the bottom point that the bottom would be a hundred and sixty what did you say hundred thirty four thousand and again second part of that question it doesn't come from capital improvements as it was it already budgeted for so this is coming from the parking utility fund so it is a segregated funds there are a couple places they were going to sell the sweet sweeper with street sweeper we have currently which will go towards it and there were parking lot a parking lot that we sold those proceeds are going towards it the rest is just from the capital account okay thank you oh they're parallel yeah I had the same question actually from the start so some funds I assume the oldest we will not give a return as much due to the condition so some funds will be coming from so no funds were actually planned ahead of time in the CIP I believe and had main or actually Carrie might know this I believe it was in 2023 and we're pulling it forward one year because our machine became very unreliable and is not working as it should so the only thing is that we are using so we planned it for 2023 not for 2022 that's what you're saying right yep and so it will be between the two items I mentioned and then there will be fund balance that will be used towards this this year but then 2023 won't have that expense and how much was that they're playing in 2023 looking right now Carrie believes it was a hundred thousand and how much are we going to what's the balance that we will need to the unplanned balance that we will need to come up with in 2022 with an estimate I assume there is an estimation for the old sweeper so the parking lot proceeds were 11,000 then the proceeds from the sweeper we won't know until we sell it so then the Delta is that difference of we'll say 23,000 or so from additional fund balance use okay thank you okay I'm following the money if if if we're paying dollars we're moving dollars forward from capital improvements to now and we are it's a it's more expensive by a third than we had budgeted for and they're going to sell pardon me they're going to sell the the equipment why does the equipment go to the utility instead of coming back to the general fund where the extra money went all of this is going to be taking place in the parking utility fund nothing is hitting the general fund it's a special revenue fund so all parking proceeds from all the parking meters all the permits that we sell for monthly rentals of a parking space and then also the parking assessment districts all that revenue goes into the parking utility fund so that fund is actually going to pay for this sweeper nothing is going to hit the general fund except capital improvements no no it will all be coming from parking utility fund utility capital improvement fund correct thank you yes okay that's a lot of fun a lot of funds and things fun funds a lot of them follow the money I like it any other discussion on this one I guess only thing I would notice what stood out to me when I was reading through this one is because the company that manufactured our current unit does not operate anymore there aren't replacement parts available so sounds at least to me like we're at the point where it can't be fixed unless you want to kind of try to fabricate your own which I would not want city staff doing one more call for discussion if we'll be looking for a motion to approve on this one I just am a little surprised that that had not been planned for 2022 I can have Todd speak to that one since I was not here for that planning last year I mean I'm sure that it's not possible to plan for everything but since we are talking about I mean it's as predictable as it can be it's not it's an old equipment so it could have been planned for 2022 my understanding in working with Derek on this was that we knew that it was at end of life and we recently had some additional parts break on the unit and it's not working to the level that we needed to be and this this new one came available as a demo as finance director had stated so knowing that this the the existing one is broken and parts are not available and there's a demo available we wanted to move it forward from 23 to 22 and knowing where the funds were coming from we felt this was a good decision for the for the council thank you I'm understanding all of that and if there is such an urgency and such a need I am really surprised that the department head isn't here just need to say any other discussion on this one all right if not we'll be back to looking for a motion to approve all right we'll need a motion to amend to replace the term rescue engine where it appears with a sweeper do we have a second all right so in that case the floor will be open for debate on the amendment do we have any discussion on that if not all in favor aye all opposed chair votes aye the aye and the motion has been amended so back to the original question now we'll be looking for a motion to approve as amended do we have such a motion do we have any motion on this one right we have a motion do we have a second right we have motion a second then seeing no further discussion on this one all in favor all opposed all right chair votes aye the ayes have it in the motion passes next up is item number 10 which is a collection of claims to be referred to the finance and personnel committee of the 2022-2023 common council including arrows number 135 122 92 88 69 123 75 and 137 of 21 22 I know this one's fairly boilerplate somewhat like we did before with the neighborhood engagement specialist moving these on to next year's yep or next session's finances personnel committee do we have any discussion on this one if not we'll be looking for a motion to refer I'm I move that we refer to the new council second all right we have a motion a second then seeing no further discussion all in favor aye all opposed chair votes aye the ayes have it in the motion passes on to item number 11 this one is claimed to be filed which includes arrows number 107 143 121 12 and 109 of 21 22 do we have any questions or comments on any of these arrows to be filed if not we'll be looking for a motion to file so moved second all right we have a motion a second then seeing no further discussion all in favor aye all opposed chair votes aye the ayes have it in the motion passes next up is item number 12 which is litigation documents to be referred to the finance and personnel committee of the 2022 2023 common council these documents include arrows 105 79 68 32 325 109 and 133 of 21 22 any discussion on referring these documents to the next session's finance and personnel committee if not we'll be looking for a motion to refer so moved second all right we have a motion a second then seeing no further discussion all in favor aye all opposed chair votes aye and the ayes have it the ayes have it in the motion passes there we go item number 13 this litigation documents to be filed these include arrows number 110 87 67 331 163 27 124 323 79 320 and 46 of 2021 and 21 22 any discussion on any of the litigation documents to be filed if not we'll be looking for a motion to file right we have a motion and a second on filing the documents seeing no further discussion all in favor aye all opposed chair votes aye the ayes have it the motion passes moving on to our items for discussion only item number 14 the capital improvement plan for the cable TV thank you so for cable TV we have three items the first in 2023 and the second in 2025 are basically hardware items that'll be up for renewal based on our five to seven usage of that hardware the third one is in 2026 which is for the replacement of the broadcast truck are there any questions bother probably why the item one item is highlighted I mean the fifty thousand dollars in 2026 is highlighted as outside broadcast truck replacement truck replacement if they're in savior same year they were yellow so that didn't move that was same as last year and and so but is it what's a difference in amount from what was planned last year and what is planned now no difference stayed the same 50,000 so why do so it's the same amount which was planned in 2026 so 2026 was included in the CRP from last year was the same amount for the for the OB last year 50,000 2026 if it was the same what was what's the change no change no change so everything else was changed except for that yes we added the broadcast server I'm so sorry would you please repeat what you said from the beginning what is that is going to be changed in this CRP compared to last year at least for the years that are in that overlap I will have to get back to you on that I don't remember what the CIP was for last year I don't believe any of it has changed so what is it you mentioned in the beginning when you introduced the subject Eric what is it you said I'm sorry I need it so we had three items the first two are basically hardware items the first one is for a broadcast server which we're planning to replace in 2023 and the second one was for the tricaster which we plan on replacing in 2025 and then the third item was the broadcast truck which we plan on replacing potentially it'll be 21 years old in 2026 any other discussion on this one questions comments thank you okay moving on to the IT capital plan for 2023 and 2024 we have items for software to replace our legacy applications that are running on the IBM I in 2025 we have two items one is for the data center refresh of hardware equipment at in 2025 that hardware will be approaching six to seven years old and then we also are looking at a redundant internet connection as we continue to I guess engage in more cloud-based applications sas space applications our reliance on the internet becomes everly more important and we're looking for a secondary conduct connection so if the first connection went down we could still continue to conduct business that 125,000 would be a shared portion of the total cost between the county the Shibuya and area school district and the city of Shibuya because we all share that sync network so is that prorated the 125 is our portion that the county would pay 125 and the school system would pay 125 the way that original sync agreement was set up it was a third a third a third any other questions seeing none thank you all right thank you and next up we are to item number 15 the capital improvement plan for planning and development so I think the easiest way for me to do this is to walk through the added projects that were put in primarily around the Gartman farms project with us just purchasing that land on the south side so just let me run through it and if you've got questions I happy answer them so as you know the Gartman farms land acquisition we have a total of five installments we need to make so we made the first installment on on the closing which was 900,000 then we need to make four more payments of 693,750 dollars so the addition to the capital plan is to is to account for those installments two through five of the 693,000 so you'll see there's one in 23 one in 24 one in 25 in the final payment in 26 those the first four payments would come from the affordable housing fund which is set up for this type of projects in the last one would either come from that or would come from general fund fund balance if there isn't enough money in there to pay it out but the goal is to pay it all out of the affordable housing fund if we can the other projects that are identified in in 23 is the Gartman both firm single-family housing engineering so that is 250,000 to put towards either the city and or a developer developing the infrastructure to service that property so that would be streets and utilities and roads and those types of things that would come from the affordable housing fund balance as well and then there is there's a two million dollar incentive for worth believing that it's probably going to be an incentive towards a developer to offset the cost of developing this ideally the city would not be the developer of the infrastructure it would be a developer that would do that so we've built in two million dollars in 2024 and 1.5 million in 2025 to be used towards incentive for the developer to keep the cost of the land and the resale of the lots lower so that they're affordable so people can purchase single-family house housing lots in those properties this is the thought pattern here is this is one thing we have control over in this process we do not have control over the construction costs from the private side but if we can keep the cost of the land development down and hopefully help hopefully that goes to helping keep the cost of the overall house down so which we're not sure what's going to happen you know in 2025-26 but we know that there's probably going to need to be some type of incentive given to these to the developer or developers in this to develop this property and Tiff is out of the game because we there is no residential Tiff district it has to be an amendment of a commercial district and we do not have any close and so this is the only option we really have to try to help incentivize it this could be zero this could be a hundred thousand this could be two million we don't know yet but we're trying to build a placeholder in the capital plan for this going forward so that everybody knows that it is on our radar and as the development plans move forward at least we have some options to fall back on for potential incentive to get this property developed the last project then in 2027 Indiana Avenue gateway entrance signage the master plan for Indiana avid Avenue included some signage over the road at the corner of 14th and Indiana Avenue so the 250,000 is in there as a placeholder to do some signage and that would come from the Tiff 17 fund bounce so all of the projects that have been added to this year's capital plan are funded with non-general fund non-capital projects funding and would come primarily from the affordable housing fund and or one Tiff district questions and capital improvement plans for planning and development I'll therefore keep it asking thank you I am a little bit confused we have highlighted items dollar amounts that were there before is that accurate okay I would I would request and you can chat with my colleagues but I am used to looking at number sheets and if there is a number that's changed that's what I'm used to seeing as being highlighted okay yeah go ahead well come here yeah the items that are highlighted in yellow those were in the plan the same year no changes there the if there are any items that are highlighted in blue those were in the plan previously but they've shifted from one year to another anything that's plain white with no highlighting is an addition and this is our sheets have been like this consistently in the in the last five years that I've been with the city then thank you for that then I need to go back to chat in the capital improvements program in revenues we have unhighlighted dollar amounts all the way across the board for borrowed funds and I understanding that those are new funds to be borrowed because they're not highlighted we don't they don't highlight the only hired the project highlight the projects they don't highlight the revenues that's even more confused okay all right I don't think we're gonna settle that at this particular meeting I will rest that for thank you do we have any other questions or comments other Braille I just want to share a concern or not not really a concern but since I'm highly highly interested in this property to be developed as much as possible into affordable housing as most of us are right so I wonder we are putting I didn't make the calculation but you can tell me but I think it would be about 5.5 million or from the affordable housing funds into for buying the property all to incentivize the the developer is that possible that then we don't have any leverage in making sure that in fact a good ratio of the houses that will be developed here will be affordable houses we're hoping I think it's a little early to try to answer that question so we've engaged a couple master developers that are developing all ranges of housing but focused on the more affordable piece to look at this property give us some recommendations on what it could be and how you know how they could make the numbers work so I think we're gonna have to to answer that question I mean our goal is to provide as many affordable housing units as we can I think there's a little bit of a difference of opinion over what is affordable and what is not when it comes to the single family because right now a bare bones 1300 square foot one car garage is anywhere from 160,000 to 220,000 so I think you know we're probably looking at 250,000 to 325,000 is any kind of two car garage with a basement type housing so our goal is to figure out what the market is we're figure out what the employers are a lot of them are doing research on what the employers are paying what the entry level positions are what the people could afford for a down payment and for a monthly payment so that's all being looked in the plan and then ultimately to come forward with a plan to the council to look at how to make the numbers work so that the city isn't having to put oodles of money into it just to keep the cost down because of inflated construction costs so our goal and we've heard it loud and clear is that you know that we need affordable housing and we understand that and we continue to you know work through it it's just what is the cost the construction cost piece and it's you know it's ever changing and it's not as cheap as what some people have envisioned it to be and so we need to figure out strategic ways to try to hold the line on costs to keep the price per lots down so they're affordable and this some of these incentives are what's planned for it so that's your question some yes thank you very enough any other questions comments seeing none thank you next up we are on to item number 17 then which is CIP for uptown social thank you chair Emily couldn't make it this evening because her flights her flight was delayed so she was planning on being here tonight the $600,000 for the multi-purpose room is for 2023 is going to be paid through planned donations and possibly the friends of uptown social so it will not it is not planned to be borrowed funds it is to be donated donations thank you questions comments other pearl which donations again so I understand the friends donations I mean the friends foundation on donation and what are the other donations Emily is working with other corporate donators so she is working to don't to have these donated funds from various companies and or through the friends of uptown social okay thank you oh they're flaky panaska so in 2023 the 600,000 expense for uptown social is new for this year or not new for this year was it planned from last year to this year it is it is planned for 2023 as part of the phasing last year was the first year of the uptown social being created and started and what we're looking to do is phase the continued construction and development of the uptown social so as dollars are donated and brought in from the friends group they will continue to add different rooms and or facility enhancements at the uptown social thank you any other questions if not this one was for discussion only other flaky panaska yeah I so all of these that are for discussion are they going to show up at capital improvements are they going to show up at council are they done they will be coming to capital improvements and they will be coming to council yes thank you all right if there's no more discussion on this one then this is the last meeting of the 21-22 finance and personnel committee however the next committee's first meeting will be on April 25th maybe but probably not I'm hearing we will not final answer is to be determined with that we have exhausted our agenda for the last time this year we are on to item number team number 19 a motion to adjourn scene a da we have a motion and a second seeing no discussion all in favor all opposed chair both side of the isabit motion passes we are adjourned thank you everybody