The URL can be used to link to this page

Home My WebLink About 5.5 Motion to authorize the Village Manager to execute a contract with SB Friedman for financial and development assistance in an amount not to exceed $30,000.4/15/2020 BoardDocs® Pro Agenda Item Details Meeting Nov 19, 2019 - REGULAR MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - 7:00 p.m. Category 5. CONSENT AGENDA Subject 5.5 Motion to authorize the Village Manager to execute a contract with SB Friedman for financial and development assistance in an amount not to exceed $30,000. Access Public Type Action (Consent) Preferred Date Nov 19, 2019 Absolute Date Nov 19, 2019 Fiscal Impact Yes Dollar Amount 30,000.00 Recommended Action Staff recommends approval of the motion to authorize the Village Manager to execute a contract with SB Friedman in an amount not to exceed $30,000. Public Content Information The Village has completed a Request for Proposals for the redevelopment of the existing Police and Fire Station property and portions of Block 56. The Village is seeking independent financial review of developer budgets, pro - formas, statements of cash flow, equity and debt structure and requests for Village TIF assistance. SB Friedman has acted as the Village's TIF consultant since the Prospect and Main TIF was contemplated and created. SB Friedman is uniquely qualified to assist the Village in creating win-win public-private partnerships. The contract sets an initial cap of $30,000 for expenses related to Block 56 and a proposed sales tax sharing agreement with the developer of Mount Prospect Pointe. Alternatives 1. Authorize the Village Manager to execute a contract with SB Friedman. 2. Action at discretion of Village Board. Staff Recommendation Staff recommends approval of the motion to authorize the Village Manager to execute a contract with SB Friedman in an amount not to exceed $30,000. This action will allow for independent analysis of key financial documents and requests for financial assistance. Administrative Content https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login 1/2 4/15/2020 Executive Content BoardDocs® Pro All items under Consent Agenda are considered routine by the Village Board and will be enacted by one motion. There will be no separate discussion of those items unless a Board member or member from the audience so requests, in which the item will be removed from the Consent Agenda and considered in its sequence on the agenda. Motion & Voting (not specified) Motion by Michael Zadel, second by William Grossi. Final Resolution: Motion Carries Yea: William Grossi, Eleni Hatzis, Paul Hoefert, Richard Rogers, Colleen Saccotelli, Michael Zadel https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login 2/2 SB I', rr,1,1, IED��.�r November 15, 2019 Mr. Michael Cassady Village Manager Village of Mount Prospect 50 S. Emerson Street Mt. Prospect, IL 60056 VISION ECONOMICS FINANCE STRATEGY IMPLEMENTATION Re: Hourly Services Request for Fee Authorization —Police/Fire Site RFP and MPP Support Dear Mike: SB Friedman Development Advisors ("SB Friedman") appreciates the opportunity to continue to assist the Village of Mount Prospect (the "Village") in selecting and negotiating with a Preferred Developer for the redevelopment of the Downtown Police/Fire Station site and support public private partnership analyses and negotiations for the Mount Prospect Pointe (MPP) project. The Village is seeking assistance in evaluating up to three proposals for the Police/Fire site. Our role will be to support the Village as it evaluates these proposals, selects a Preferred Developer, and negotiates the terms of a potential public-private partnership with the Preferred Developer. On the MPP project, we anticipate reviewing a developer request for financial assistance. Our goal on both of these projects is to work to protect Village interests while helping the project move efficiently and effectively to completion. Scq��je Wa�I k Key areas where we can be of assistance include: • Supplemental analyses as requested by the Village, such as: o Evaluating TIF eligible costs and projected incremental property taxes o Benchmarking operating pro forma rent/income and expense assumptions, including phasing and absorption, against local market data and comparable projects; o Reviewing project financing sources and terms, and evaluating the maximization of debt, presence of a reasonable amount of equity, and adherence to commonly accepted market terms; • Memo writing • Term sheet negotiation support • Meetings, calls and presentations SB Friedman IIII VIII � IIII' iiia iiia �iiii � iiii 312 424 4250 �...21 III � III � III III � 1 �. S � � ii �.�., 8Chicago ii .. .1. � III II 06 1 � �w� a ...2.1 IIS ° II n I i�� iii VIII VIII III uiia tIIIA iiia s IIIA e "' III VIII iiii c III iiii iiia IIII IIIA IIID IIID&VIII SuIIIpIIIFaart wumm wumm 1111111 Illllll� °°° °°�°°�� ""' """' IIIIIII °�� IIIIIrnI °�� IIIIIn We will work with you to define our work plan in ways that are most useful to Village staff and elected officials. We request an initial fee and expense authorization of up to $30,000. We will not exceed this amount without further authorization from you. Compensation for these services will be based on the time required at the current hourly rates of the personnel involved. For assignments of this type, the following current hourly rates apply: Senior Vice President $280 Vice President $240 Associate Project Manager $210 Associate $170 Research Associate $155 These rates will be in effect until December 31, 2019, at which time rates are subject to adjustment to reflect compensation changes and promotions of individuals. In addition to professional fees, we will invoice for such direct expenses as local travel and mileage, tolls, parking, data acquired specifically for this assignment, use of owned or licensed data bases, photocopying, long-distance telephone related to research, telecopy, messenger services, and similar direct expenses. Invoices will be rendered not more frequently than monthly and will be payable within 45 days. We will provide detailed information on the time expended as part of our invoices. Travel time will be charged to the extent that it exceeds the normal commuting time of the professional staff involved. In the event that the decision is made to discontinue our services for any reason, our compensation will be limited to time and expenses incurred to the date that you notify us of such decision. The attached "Limitations of Engagement" apply to this engagement. S113 l iiiriiii d irn iiia III VIII IIII ilii iliiAdvisors iii VIII VIII f III o uiia tIIIA iiia s IIIA e "' III VIII iiii c III iiii iiia IIII IIIA IIID IIID&VIII SuIIIpIIIFaart i m r luuuuuuu uuuuuur mr umuwi uuuuuur mum We appreciate the opportunity to continue to assist the Village. Please sign and return a copy of this letter to indicate your agreement to these terms. Sincerely, Geoff Dickinson, AICP Senior Vice President Accepted: Printed Name Title Date S113 l iiiriiii d irn iiia III VIII o llll ilii iliiAdvisors iii VIII VIII III uiia tIIIA iiia s IIIA e "' III VIII iiii c III iiii iiia IIII IIIA IIID IIID&VIII SuIIIpIIIFaart LIMITATIONS OF ENGAGEMENT Our reports, tables and financial analyses will be based on estimates, assumptions and other information developed from research, knowledge of the industry, and meetings during which we will obtain certain information. The sources of information and bases of the estimates and assumptions will be stated in the report. Some assumptions inevitably will not materialize, and unanticipated events and circumstances may occur; therefore, actual results achieved during the period covered by our analysis will necessarily vary from those described in our report, and the variations may be material. The terms of this engagement are such that we have no obligation to revise the report to reflect events or conditions which occur subsequent to the date of the report. These events or conditions include, without limitation, economic growth trends, governmental actions, changes in assessment practices, changes in the TIF statute, interest rates, and other factors. However, we will be available to discuss the necessity for revision in view of changes in the economic or market factors affecting the proposed project. Our reports, tables and analyses will be intended solely for submission to the Village for informational purposes and for the purposes of selecting a developer. They should not be relied upon by any other person, firm or corporation, or for any other purposes. Neither the reports nor their contents, nor any reference to our Firm, may be included or quoted in any offering circular or registration statement, appraisal, sales brochure, prospectus, loan, or other agreement or document intended for use in obtaining funds from individual i nvestors. S113 l iiiriiii irn iiia III VIII IIII ilii iliiAdvisors4