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HomeMy WebLinkAbout04-14-05 City of Farmington 325 Oak Street Farmington, MN 55024 Mission Statement Through teamwork and cooperation, the City of Farmington provides quality services that preserve our proud past and foster a promising future. AGENDA HERITAGE PRESERVATION COMMISSION REGULAR MEETING April 14, 2005 7:00 P.M. CITY COUNCIL CHAMBERS 1. Call to Order 2. Approval of Agenda 3. Approval of Minutes of February 24,2005, Regular Meeting 4. Public Hearings - none 5. Reports a. Middle Creek Historic Cemetery - Park Trail Link and Historic Site Improvements b. Certified Local Government Grant c. Powerline Update 6. Unfinished Business a. Revised 2005 Goals and Objectives List b. Preservation Month - Plans for Downtown Walking Tour (May 23) 7. New Business a. Historical Markers and Signs b. Exchange Bank Building - Bicycle Rack c. Minnesota Historic Structure and Community Re-Investment Tax Credit 8. Miscellaneous 9. Adjourn HERITAGE PRESERVATION COMMISSION MINUTES February 24, 2005 1. CALL TO ORDER Vice-Chair Preece called the meeting to order at 7:00 p.m. Present: Bev Preece, Tim Burke, Edgar Samuelson Absent: John Robertson Also Present: Robert Vogel, Consultant; Cynthia Muller, Executive Assistant; Billy Samuelson 2. APPROVAL OF AGENDA MOTION by Burke, second by Samuelson to approve the agenda. APIF, MOTION CARRIED. 3. APPROVAL OF MINUTES (November 4,2004) MOTION by Samuelson, second by Burke to approve the November 4, 2004 Minutes. APIF, MOTION CARRIED. 4. PUBLIC HEARINGS - None 5. REPORTS a. 2004 Annual Report The Commission reviewed a draft of the report at the November 4,2004 meeting. Consultant Vogel reviewed highlights of the report. Staffwill forward a copy of the final report to the commission members. b. Update - Middle Creek Historic Cemetery - Boy Scout Project Mr. Billy Samuelson is working on a project to add improvements to the Middle Creek Cemetery for his Eagle Scout project. His project was approved at the November 4, 2004 meeting. He sent a letter to Parks and Recreation Director Distad for some assistance in removing the barbed wire and cutting a fallen tree. He is in the process of sending letters to three fencing companies that make split rail fences regarding using the wood from the tree. He will bring a copy of the letter to the next meeting and is still planning to do the work in the spring. Staff will confirm that the barbed wire has been removed. It was mentioned there will be a park on the west side of Akin Road with a trail in the area of the cemetery. Members asked if there could be a spur off the trail leading to the cemetery. Staff with check with Park and Rec on this. The commission discussed interpretive signs and Consultant Vogel will bring information to the next meeting. The commission would need to obtain donations for these signs. 6. UNFINISHED BUSINESS - None 7. NEW BUSINESS a. Nominate Officers for 2005 MOTION by Burke, second by Samuelson to nominate Bev Preece as Chair. APIF, MOTION CARRIED. MOTION by Preece, second by Burke to nominate Edgar Samuelson as Vice- Chair. APIF, MOTION CARRIED. HPC Minutes February 24, 2005 Page 2 MOTION by Samuelson, second by Preece to nominate Tim Burke as Secretary. APIF, MOTION CARRIED. b. 2005 Commission Goals The following goals were set for 2005. 1. Reorganize the HPC as a 5-member advisory commission. 2. Present the annual preservation award during Historic Preservation Month (May). 3. Become a "Preserve America" community. 4. Nominate historic properties for designation as Farmington Heritage Landmarks. 5. Improve the historic preservation content of the city's website. Place articles from Consultant Vogel on the website on a regular basis. 6. Organize a walking tour of downtown or one of the older residential neighborhoods. 7. Host an open house to show off a building that has been recently restored and/or hold a workshop for historic property owners at a historic property that is in need of rehabilitation. 8. Develop interpretive signs - prioritize a list, develop a style, and do 1 or 2 signs per year. Look at what works best in other cities and would be within a donation budget. 9. Apply federal grant funds to apply for heritage landmark designations. 10. Co-ordinate trolley rides with FARS. 11. Work with the Planning Commission to ensure historical properties are taken into consideration in developments. 12. Place articles in the city newsletter regarding rural surveys, the Middle Creek Cemetery, and upcoming activities. c) Heritage Landmark Nominations The process takes approximately 4 months. First the HPC decides they want to designate properties, and then hold a meeting with the property owners. It was suggested to meet with the owners of the Lyric Theater, the old St. Michael's Church on Elm Street, and possibly Feely Elevator. It was decided to not invite the property owners to the April 14, 2005 meeting, but to set up a special meeting to meet with them as a group. Consultant Vogel will provide a list of property owners to the commission prior to the next meeting and include a map showing the property locations. The last step is to hold a public hearing designating the properties as heritage landmarks. d) Certified Local Government Grant Application The City is not set up for a historic district to nominate a block of structures. The following properties will be the focus of the Local Designation Form project: House, 421 Oak Street House, 509 Oak Street House, 520 Oak Street House, 521 Oak Street House, 320 Walnut Street The project could start June 1,2005. e) Preserve America Application HPC Minutes February 24, 2005 Page 3 Cities that do heritage preservation work will qualify for this federal recognition program. Recipients ofthe award will receive a sign and a letter from the President. The City needs to submit the application form, the Heritage Preservation ordinance, the annual report, and 4 photos of historic sites. Three cities in Virginia have gone through the process. This can be used as an outreach tool. Farmington could be the first Minnesota city to receive this award. Applications will be received in 4 cycles during the year. MOTION by Burke, second by Samuelson to direct staff to prepare the application. APIF, MOTION CARRIED. t) Preservation Month (May 2005) April 15 is the deadline for nominations. Consultant Vogel has received I nomination. He suggested giving the award to a contractor that actually does restoration work. It was suggested to place a list of past award winners on the website and advertise for nominations. Members would like to organize a walking tour through the downtown lead by Consultant Vogel. The tour could be recorded and placed on the website. The Council should be invited. There will also be a proclamation signed by the Mayor. 8. MISCELLANEOUS On March 2, 2005 an open house will be held at the library regarding arts in the city. Representative Garofalo will be attending. The HPC was informed of History Matters Day at the Capitol to be held March 7, 2005. Chair Preece reminded members the Camp manual is available for them to read and contains some good information. Chair Preece prepared a letter to the editor and requested staff to review it. Members asked about the difference between landmark designations and historic places. Consultant Vogel explained that landmark designations are consistent with the zoning. The local designation carries more weight than the National Register. As Consultant Vogel will not be available April I, the next meeting will be April 14, 2005. At this meeting, the commission should discuss the trolley ride to be held during Rambling River Days. The rides will take place on June 25, 2005. The city rents the trolley from Dakota City. There are 2 trolleys so one could be downtown and the other giving tours of Dakota City. Consultant Vogel would like to see more of a city presence during the trolley rides, perhaps handing out information on the city as people get on the trolley. 9. ADJOURN MOTION by Burke, second by Samuelson to adjourn at 8:47 p.m. APIF, MOTION CARRIED. Respectfully' submitted, ,/Jt~ /Y?~u ynthia Muller Executive Assistant Farmington Heritage Preservation Commission Suggested 2005 Goals & Objectives 1) Reorganize the HPC as a five-member advisory commission. 2) Present the annual preservation award during Historic Preservation Month (May). 3) Become a "Preserve America" community. 4) Nominate historic properties for designation as Farmington Heritage Landmarks. 5) Improve the historic preservation content of the city's website. 6) Organize a walking tour of downtown or one of the older residential neighborhoods. 7) Host an open house to show off a building that has been recently restored and/or hold a workshop for historic property owners at a historic property that is in need of rehabilitation. Minnesota Historic Structure & Community Re-Investment Tax Credit Strengthening & Preseroing Minnesota's Main Streets & Historic Places A coalition of cities, historical groups, and property developers is actively promot- ing proposed legislation that would allow a credit on state income taxes equal to 25 percent of the qualified cost of a historic rehabilitation of residential or in- come-producing properties. The proposed legislation, similar to provisions in over 20 other states, would encourage private investment in historic properties in both urban and rural Minnesota, generating jobs and stimulating economic devel- opment within existing communities. How Does It Work? . Allows credit on state income taxes equal to 25% of the qualified cost of a historic rehabili- tation. . Parallels federal historic preservation 20% tax credit, creating more development opportu- nities in Minnesota. . Useful for both commercial and residential property, developers and homeowners. Fed- eral credit is for income producing properties only. Economic and Social Benefits . Creates jobs and economic activity far beyond level o{tax credit. . Leverages more federal resources for the state. . Replenishes the tax base through new sales and payroll taxes and an increased tax base. . Complements the JOBZ program by providing a business stimulus in the historic areas of large and small towns across the state. Creates affordable housing by => helping first-time and moderate income buyers through mortgage credit provision. Lender uses tax credit and lets owner buy down rate or reduce mortgage. => encouraging low-income rental housing when partnered with the federal low income housing tax credit. Encourages private investment in derelict or under- used buildings in historic core neighborhoods and puts neglected properties on the tax rolls at a higher value, stimulating more economic in- vestment in surrounding areas, especially on main streets and in historic commercial corri- dors. Speeds redevelopment of long vacant buildings, returning them to income-producing and taxable status. Limits sprawl, supports open space preservation & promotes environmental conservation efforts by concentrating on already developed areas. Supports community identity efforts to capitalize on history and heritage as a tourism draw. In the state if Missouri, the cost if the credit was recouped in additional payroll taxes alone. . . More labor intensive than new construction, rehab construction strengthens the local employment base. . . . Hotel Kaddutz Artists Lofts, Fergus Falls Vacantfor years Rehabbed in 2003 for $2.3 million National Guard Armory, Duluth Waitingfor rehab since the 1970s, . underutilizedfor over thirty years What is Eligible? The tax credit would be available for a property that is any of the following: . Listed on the National Register of Historic Places. (Minnesota has over 1,500 properties currendy listed.) . Certified as a contributing element of a National Register Historic District. Certified as historic by local heritage preservation commission or Certified Local Government. Proposed Legislation The proposed legislation, based on a highly successful Missouri law passed in 1997, provides an income tax credit for expenditures for historic structure rehabilitation. A taxpayer who incurs costs for the rehabilitation of an eligible property may take a credit against the tax imposed in an amount equal to 25 percent of the total costs of rehabilitation. The costs of => rehabilitation must exceed 50 percent of the total basis in the property at the time the rehabilitation activity begins, and the rehabilitation must meet standards consistent with the standards of the Secretary of the Interior for re- habilitation as determined by the State Historic Preserva- tion Office of the Minnesota Historical Society. Bills have been introduced in the 2005-2006 Legislature (Senate File 1659 and House File 1731). Chief authors are Representative Morrie Lanning (R) in the House and Senator Larry Pogemiller (DFL) in the Senate. QUICK FACTS ON TAX CREDIT USE => In Missouri, annual economic impact of rehab tax credit - $1.016 billion - due to economic activity related to historic preservation. In Florida, $2 returned for every $1 invested and a 10-fold return for the Main Street program. In Virginia, over $316 million in rehabilitation. 24 other states, including Wisconsin, Iowa and North Dakota, have similar state tax credits. => => Why Should We Act Now? In the past 30 years, we have lost scores of historic buildings to dete- rioration and neglect because rehabilitation costs did not make them attractive to development. Many of them are in older residential neighborhoods, small-town main streets, and urban commercial cores. Reinvesting in these areas and spurring development will have a significant impact on their future health and vitality. Buckman Hotel, Little Falls Vacant many years Rehabbed at $2 Million in 1994 Although the federal preservation tax credit provides incentives for rehabilitation, most projects cannot be accomplished using federal credits alone As a result, W1.thout a stat.:: ~redit, ~vfuHlesota receives lower federal tax credit per-capita than other states. Now is the time to augment the federal his- toric tax credit with a state credit that will encourage this redevelopment to occur before it is too late. Supporting Organizations City of Duluth City of Minneapolis City of Saint Paul Duluth Affordable Housing Coalition Duluth LISC Duluth Preservation Alliance Historic Saint Paul Minnesota Historical Society MN State Historic Preservation Office Minnesota Solutions National Trust for Historic Preservation Preservation Alliance of Minnesota Twin Cities LISC White Bear Lake Area Historical Society Preservation Alliance of Minnesota' Will Stark, Advocacy Committee Chairman 516 Landmark Center' 75 W. Fifth St. . St. Paul, MN 55102' Phone: 651.293.9047 www.mnpreservation.org . director@mnpreservation.org Fact Sources: State Historic Preservation Office of the Minnesota Historical Society Donovan Rypkema, The Economics of Historic Preservation, 1994 Taylor & Weber, Historic Preservation Ta.,; Credit Study, Humphrey Institute of Public Affairs, University of Minnesota, 2004