In addition to the tax credit(s) there are other forms of non-local funding opportunities available such as
the use of CDBG funds for this project. The Office of Economic Development would need to go through
the process of applying for an allocation in FY’19, but the point is we could further drive down the cost(s)
associated with this project.
Another example of an alternative funding source could come from the potential refinancing of the
Clocktower housing development. The proceeds of the refinancing could be directed toward this
endeavor.
Lastly, there are a few parcels in the city and specifically in the downtown that if sold the proceeds of the
sale(s) could be put towards this project and further drive down the project cost. If we were to explore this
strategy a more detailed conversation would be necessary. Conservatively, a potential figure of $500,000
could be anticipated.
Conclusion
There are a number of strategies to reduce the total project costs. Couple these facts with the city’s ability
to accommodate this new debt within its current financial program. It is more than feasibility to pursue
this initiative if the city desires to move forward.
General Next Steps
There are some immediate next steps necessary to continue moving forward with this project.
- A Steering Committee is necessary to work on the following:
o Planning & Design
© Begin To Formulate General Operational Platform
o Steward a Fundraising Campaign
- Funding For Seed Capital
o Preliminary Design Work
o Pre-Construction Management
o Procure Fundraising Consultant
o On Call Preforming Arts Center Consultant Services
- Approve a $15.5M Bond
- Enter into an Option with Alec Shoes
Immediate Next Step
The city needs to execute an option for $36,000 to secure the Alec Shoe building (for six (6) months).
This will allow for the city to start the preliminary design work and know the building will be available.
The $36,000 would be credited to the purchase price.
General Background
Below is a Breakdown of the Major Budget Drivers of the $15.5 Bond Request
Construction Cost $11.5M
A+E+L (Permitting) $1.0M
Theater/AV Budget $950K
FF&E Allowance $100K
Land Acquisition $2.0M
