Meeting Summary
The City Council conference committee received an update on negotiations to terminate the University North TIF district early by June 30, 2019. Discussions focused on a comparative site analysis for Norman Forward projects (multi-sport and indoor aquatic center) and the complex financial and contractual implications of the TIF's early conclusion, including potential litigation risks due to missed deadlines.
Financial Matters
TIF Project Costs
Original project costs up to $54.75 million, with $15-17 million available by June 30th and $25 million remaining in authorized project costs.
Traffic and Roadway Improvements
Remaining contemplated TIF-funded improvements, including the Robinson project, estimated at over $5 million with a 10% contingency.
Legacy Park Obligations
Remaining Business Improvement District obligations of $75,000 and $175,000 allocated for surface parking (believed to be underbid). Public art funding of $1.5 million and enhanced landscaping funding are being dropped.
Economic Development Component
Approximately $3.4 million remaining in allocation, tied to complex land transactions between NEDC and UNP, including repurchase rights and development deadlines for quality job employers.
Immuno-Micrologics Incentive
Obligation under Development Agreement #6 for job growth incentive to NEDC, with a maximum of $770,000, and approximately $698,000 remaining.
Norman Forward Projects (Cultural/Recreation Facility)
Estimated $22.5 million for indoor competitive pool and multi-sport facilities. Proposal includes a $2 million supplement from TIF funds, bringing anticipated total to $24.5 million.
Norman Public Schools Funding Impact
Estimated $700,000 annual impact to NPS funding if TIF ends early. Proposal suggests setting aside funds to offset anticipated annual contributions ($50,000/year) for operating the indoor aquatic center for about seven years.
Town Center (Lifestyle Center) Incentives
Original allocation of $8.25 million, proposed to be reduced to $4.5-5 million for retail and entertainment uses meeting specific criteria (new to Norman, sales per square foot, urban design, land purchase/lease). Authorization expires June 30, 2026.
UTC Land Donation
12 acres of UTC property proposed to be donated for Norman Forward projects in exchange for release of $8 million in lifestyle center penalties.
Coming Up
Tabled
- Second agenda item (Shawn's presentation) postponed due to time constraints.
Deadlines
- MOU termination: June 30, 2019 (unless extended)
- Amended project plan: May 15, 2019 (missed)
- Other agreements completed: May 30, 2019 (missed)
Watch For
- Ad hoc committees for aquatics and multi-sport to be appointed (June/July).
- Design firm selection for Norman Forward projects (interviews mid-June, contract possibly July).
- Potential resolution or ordinance on June 11th if amended project plan is not ready.
- Written feedback on negotiations by end of the week (following May 28th meeting).
Agenda Summary
Update on the progress of a Memorandum of Understanding regarding the University North tax increment finance district and an analysis of sites for Norman forward projects
Presentation by the city attorney and ADG on the status of TIF early termination negotiations, including financial obligations, proposed land donation for Norman Forward projects, and a comparative analysis of three potential sites for the multi-sport and indoor aquatic centers.