HomeMy WebLinkAboutCouncil Packet - 4/30/2018 Council Work Session
April 30, 2018
Time indicated below
Harold E. Getty Council Chambers
Roll Call.
Approval of Agenda, as proposed or amended.
4:30 Discussion regarding use of fireworks on July 4th.
Submitted By: Jerome Amos Jr., Ward 4 Councilperson
Approx. Discussion Public Market Request For Proposals.
4:50
Submitted By:Noel Anderson, Community Planning& Development
Director
ADJOURNMENT
Kelley F elchle
City Clerk
CITY OF WATERLOO
Council Communication
Discussion regarding use of fireworks on July 4th.
City Council Meeting:4/30/2018
Prepared:4/25/2018
REVIEWERS:
Department Reviewer Action Date
Clerk Office Even, LeAnn Approved 4/24/2018 - 1:30 PM
ATTACHMENTS:
Description Type
D Ordinance as proposed Backup Material
SUBJECT: Discussion regarding use of fireworks on Jules
Submitted by: Submitted By: Jerome Amos Jr., Ward 4 Councilperson
Recommended Action:
Summary Statement:
Expenditure Required:
Source of Funds:
Policy Issue:
Alternative:
Background Information:
Prepared by Kelley Felchle, City Clerk, City of Waterloo, 715 Mulberry Street, Waterloo, IA
50703,(319)291-4323.
ORDINANCE NO.XXXX
AN ORDINANCE AMENDING THE CITY OF WATERLOO CODE OF
ORDINANCES BY AMENDING TITLE 5 POLICE REGULATIONS,
CHAPTER 2 GENERAL OFFENSES, SECTION 13 FIREWORKS,
SUBSECTION B PROHIBITIONS.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WATERLOO,
IOWA AS FOLLOWS:
That the City of Waterloo Code of Ordinances be amended by amending Title 5,
Police Regulations, Chapter 2, General Offenses, Section 13, Fireworks, Subsection B
Prohibitions,as follows:
5-2-13:FIREWORKS:
B. Prohibitions: It shall be unlawful for any person to use or explode any
consumer fireworks or display fireworks within the corporate limits of the City of
Waterloo except on July 4th of each year between the hours of 9:00 a.m.and 11:00
p.m. This section shall not apply to novelty fireworks as defined by Iowa Code
section 727.2.
INTRODUCED:
PASSED lsr CONSIDERATION:
PASSED 2„d CONSIDERATION:
PASSED 3`d CONSIDERATION:
PASSED AND ADOPTED this day of 2018.
Quentin Hart,Mayor
ATTEST:
Kelley Felchle
City Clerk
CITY OF WATERLOO
Council Communication
Discussion Public Market Request For Proposals.
City Council Meeting:4/30/2018
Prepared:4/25/2018
REVIEWERS:
Department Reviewer Action Date
Clerk Office Even, LeAnn Approved 4/25/2018 - 9:35 AM
ATTACHMENTS:
Description Type
D 1 WBW Market Proposal Backup Material
❑ 2 WBW Market Proposal Presentation Backup Material
D 3 WBW Public Market Floor Plan Backup Material
D 4 WBW Inspiration Sheet Backup Material
D 5 WBW Inspiration Sheet Raygun Backup Material
❑ 6 WBW Inspiration Sheet Cafe Backup Material
❑ 7 Raygun WBW Letter of Intent Backup Material
❑ Lark Public Market Proposal Backup Material
❑ Verve Proposal Backup Material
SUBJECT: Discussion Public Market Request For Proposals.
Submitted by: Submitted By:Noel Anderson, Community Planning& Development
Director
Recommended Action:
Summary Statement:
Expenditure Required:
Source of Funds:
Policy Issue:
Alternative:
Background Information:
Waterloo Bicycle Works Proposal for 327 W 3rd St
1. Project
The Public Market Building is basically move-in ready for our project. We will move
our bicycle shop (allowing for expansion), add cafe/deli/coffee, and add
clothing/accessories/home goods. The additional retail will be sub-let.
We plan to spend $10-15K in new equipment, signage, counters,workbenches,
paint, and fixtures.
2. Timeline
The only renovation we plan is store setup,to include workbenches and a counter in
the bicycle shop area, painting of the walls, adding some accents to the dining area,
etc.
We plan to occupy the space April 1St and open to the public by May 1St.
3. Financing
This project will be entirely self-financed.
4. Other Factors
Waterloo Bicycle Works would like to have the rent waived for the first year,with
annual review. We ask for 70%tax rebate on property taxes for the first three years
that taxes are due, as we become established in the new space.
We would also ask the City of Waterloo for Right of First Refusal if they would
decide to sell the property, since we would be the tenants.
5. Proposed Use
Our move into the Public Market Building will allow Waterloo Bicycle Works to
expand and implement a plan to create a"Bike Shop - Plus". This is something that
the bicycle industry has been using to provide added value and increase traffic flow,
while providing an inviting environment and making the space a destination.
Waterloo Bicycle Works will do this by adding staff to utilize the kitchen, providing
coffee service, along with pastries, as well as a deli counter to serve gourmet made-
from-scratch soups and sandwiches with artisan breads. We plan to use sustainable
products for the to-go customers,to reduce the impact on the environment and our
city's facilities. This space will be a draw for downtown and surrounding
neighborhoods and businesses.
Waterloo Bicycle Works is also partnering with Raygun, a well-known, Iowa-based
clothing, accessories, &home goods company that has a large following. They
currently have locations in Des Moines (headquarters), Iowa City, Kansas City, and
1
Waterloo Bicycle Works Proposal for 327 W 3rd St
Cedar Rapids. We believe that they will be a great partner in building community in
our city and in downtown.
We feel that our proposed use will complement the Expo Grounds because it will be
helpful to users of the Expo Grounds.
The hours of operation (seven days per week) will be helpful to users of the Expo
Grounds for buying food, goods, use of restrooms, etc. We feel it is also helpful that
we live across the street, so we can keep an eye on things and also be available if
there were an event outside of our business hours. We also plan to utilize the Expo
Grounds to engage the bicycling community with events, expos, etc.
Our use of the space will appeal to a broad audience with the combination of cafe,
coffee, pastries, shirts, souvenirs, handmade gifts, bike parts/services, rental bikes.
We will also use the kitchen to make handmade soaps and body products to sell at
our location and others.
Waterloo Bicycle Works also plans to work with other organizations to get the most
utilization of the kitchen.
Besides collaborating with other businesses and organizations,we will have more
events, rides, game nights, live music, movie nights,bike clinics/classes, art exhibits,
and more,to create that sense of place and community that we previously
mentioned.
We believe that partnering with other successful business(es) that are community-
minded will build a sense of community or place (Placemaking). Everything we do
is with the betterment of our community in mind. We are Waterloo people by
choice and choose to be here because we love our community and want Waterloo to
thrive.
The Cedar Valley has invested a great deal in bicycle infrastructure and our growth
and proposed use of this space will encourage its utilization.
There has been much talk about creating a bike share in the Cedar Valley and we
would be open to creating space for such a program, and providing upkeep and
maintenance.
After we are operational in the space,we plan to continue to add services by having
ice cream in the summer, serving beer and Iowa wines, increase our rental bike
fleet, possibly add more partners within the space, expand the bike shop offerings to
include BMX, skateboards, electric bikes, pickup and delivery, and more. We will be
open to evolving to fit the needs of the area.
6. Traffic Flow
Our proposed use will not involve any changes to parking layout.
2
Waterloo Bicycle Works Proposal for 327 W 3rd St
We would like to use portable bollards at curb cuts near building so that people
don't drive around the building. Especially because that space will be used for test
rides of bikes in those areas.
7. Economic Impact Considerations
Waterloo Bicycle Works plans to create 3 full-time positions and 1 part-time
position, as well as 1 full-time and 1 part-time for the deli/cafe area, with the
potential of more as the business grows.
We plan to provide as many good, livable-wage jobs as possible,while also building
a sustainable business that will continue to provide for us into retirement.
The jobs will be retail/mechanic positions and coffee/cafe positions.
To start with, we will offer bicycle repair and service, retail, rental bikes, bicycle
advocacy. There will also be coffee, pastries, cafe with made-from-scratch food
including artisan bread, soups, and sandwiches.
This project will bring an established business to Waterloo. It will also create a new
business (the cafe/deli). Waterloo Bicycle Works will expand its business.
There will be space within the building to bring in an additional business or
businesses. One aspect of this project is that we will maintain the flexibility to add
something, but also fill the space.
We are willing to discuss having basic grocery items, if this is something the city
would like to see happen in this space.
8. Price
(See #4.)
Gregory Young
Waterloo Bicycle Works
316W3rd St, Ste 2
Waterloo IA 50701
Shop 319-830-5631
Cell 319-SO4-5771
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RAYGUN . THE GREATEST STORE IN THE UNIVERSE.
des moines . cedar rapids . iowa city . kansas city . internet
SUBJECT: Letter of Intent, Public Market building
To whom it may concern,
I am writing to formally announce my intention of having my company, RAYGUN, share space
in the old Public Market building with the Waterloo Bicycle Works. The details have yet to be
worked out, but we would sub-lease a small corner of the larger space and dedicate it to the
sale of clothing, accessories. and home goods.
We have Iowa stores in Des Moines. Cedar Rapids, and Iowa City, but nothing currently in the
Waterloo-Cedar Falls area.
Feel free to contact me with any questions. Thanks for your time.
Mike Draper
mike@raygunsite.com
HQ: 505 East Grand Ave, Des Moines, IA 50309 1 515 288 1323 1 raygunsite.com
City of Waterloo: Proposal Foran
Property to be bid upon: 327 West 3(d Street
Name in which properly would be transferred: LqXX e-LV 1H e, +J
Name of bidder: `i�rz11�
Address of bidder: 1Crlle-A-N€o E ❑ 2 f=i'�t `�
Phone number of bidder: X12 1'— 9 `
Fax number/email of bidder: 31 --Z `I
My lease proposal for 327 West 31d Street:
Other notes, conditions: (Please provide attachments to address Numbers 1 through 8 on previous sheets
above)
Furthermore, I understand the zoning, building,and fire code provisions for the project and believe my
project will work as described.
Signature of applicantl bid
The City reserves the right to rejoct arty ind all hids.
1
11 F1 11
F.
C •� �� r \
r
BREWING
To: Adrienne Miller 2-19-I8
Fr: Darin Beck& Scan Christensen- Lark Brewing
Re: Proposal for Public Market per RFP
Dear Adrienne,
Lark Brewing has been in the planning stages of relocating to downtown Cedar Falls in a property
that I own. After finding out the Public Market property was available we toured it and found it to be an
ideal property and location for Lark's new home?
I) Scope of project-We would renovate lite. interior space in the big area to become a brewery and
dininu tastin-roam. Estimated renovation casts to be 5100.000 or more. We would also lie
brin�ein,, 5250.000 in breNvin4.,and restaurant equipment as well as investing in another$100,000
in additional brewing equipment to accommodate additional capacity and keu—ing operations. We
estimate$500,000 in total investment by the time Lark would get open. See attached renovation
floor plans.
2) Time is of the essence for Lark's relocation. 1 have negotiated to vacate the building with the
mortgage lender of the Beck's property that will neccssitatc the sale of the property. [ have closed
the Beck's restaurant location there due to poor performance and anticipation of the continued
University Ave.construction, It's the primary reason we opened the ne\+• Beck's in the Crossroads
area November 30th. Lark will continue to occupy the lower level until we can eget it moved,but
we need that to happen as quickly as possible.which is why the initial plan was to move it to
another property I own in downtown Cedar Falls. A primary concern w ith timing- is tial it can take
months to get the Federal Brewing Permit moved to a new address. So the sooner we know where
we're moving the sooner we can apply for the lransfcr.Ourgroal t\Oil Id be to have Lark Brewing
Open in 1110 Public Market location in time for My Waterloo [)a s!
3) Financing.tiould be provided by the owners of Lark Brewing. Lark will be taking,,on at least one
and possibly as many as three new partners,all of whom are very high profile business people
here in the Cedar Valley and all are very excited about the Public Market opportunity. Financial
viability will be easily provided ifour project is selected.
q) We�%ould apply For any and all LURA and TiF dollars available to help offset expenses of
moyinu and expanding Lark's operation. We would also like to propose the following
Considerations from the City:
a. Lark Brewing to rent the Public Market from the City for an initial [ease term of 5 years.
at 53,700 per month,with rent to begin the V11 month after opening.This allowance for
the first G months rent to he free shall help offset Lark's expenses. Rent to increase I O4•o
per year in years 2. 3.d and 5 where rent would end ul>at 55.124.00 per month in the 5`1'
year. Art option to renew for 5 more years at$5.500 per month would round out the
initial 10 year plan.
b. Lark would pay all building-maintenance and insurance during lease terms.
c. Lark to pay for all tenant improvements to the building at no cost to the City subject to
inspections and ability to take possession as is without surprise expenses.
d. The City to provide up to 550.000 for new signage R plumbing to accommodate brewery.
e. The C'itr to provide outside property maintenance- pavers, parking lot,etc. during term
of lease and extension.
f. The City to agree to sell the building to Lark Brewing after the I O'h year of business
operations or sooner with a pre-determined sale price of it's current assessed value.
g. The City to pick up any costs for additional grease trap requirements if deemed necessary
by the City.
h. The City to warranty and be responsible for the sanitary sewers on the property and under
the building for the entire 10 year lease term.
5) No modifications would be necessary to the area to accommodate our traffic expectations.
G) This proposal would allow us to take the$500,000 investment we've already made into Lark for
brewing equipment and brand development and invest additional dollars outlined to move it to the
Public Market space. 1 truly believe we can bring even more traffic and tourism to the area by
complimenting the other businesses in the area. Barmuda is the Cedar Valley's most experienced
food,beverage,and events management company. 1 feel like we could bring tremendous value to
downtown with the Lark project and compliment what's already there. initially, we would be open
7 days a week for lunch and dinner and would remain open into the evening hours and even later
on weekends. There may be some seasonality to the hours, but our overall goal is to run a full
time, full service restaurant, brewery,and tasting room. We would be the perfect pairing for the
plaza and would be happy to help with events in the area by providing whatever assistance and
services we're allowed to and able to.The new Lark Brewing Company would also launch in the
Public Market as a full service restaurant as well. Both the Brewery and the Restaurant would be
an ideal compliment to the plaza. If it is allowed, I can see Lark renting the plaza to put on
Brewery related events,special event offerings,weddings, non-profit fundraisers,etc. We would
very much like to utilize the totality of the area to maximize our investment and maximize our
impact for the City. It's probably important to note that Lark was Waterloo's first official brewery
and having both breweries located so close together is actually a draw for both and puts Waterloo
on the map as a brewery destination. Brewery tourism is at an all time high and continues to grow
every year.Some people actually plan vacations around touring craft breweries today.
7) The economic impact of Lark locating in the Public Market space would be beneficial to the City
in many ways. We would employ around 50 people and would bring thousands of people every
year to the downtown area to enjoy Lark's already famous beers and its new barbecue. Lark's
beers have proven to be an outstanding product and are recognized as one of the best and well
liked beers in the lows Brewery scene. We just began distribution in the foes Moines and Cedar
Rapids markets this past year and our brand continues to grow every week. Lark is truly a
destination brewery for serious beer lovers and craft brevjery followers. We are leaning towards
Smokehouse BBQ for our food menu as we believe that Waterloo could really use and enjoy some
great new BBQ! It's also the perfect food f'or feeding large numbers of people quickly.
8) l included the pricing information in 114 above. We would indeed like to purchase the building
after year ten or sooner if possible.
Please let me know if there's anything else you require that I may have missed in Riling out this
application/proposal. We are very excited to be considered for the Pubfic Market space and look forward to
helping the City of Waterloo achieve it's goals with regards to the Market and Plaza. We're thrilled about
the opportunity and hope you find our proposal as exciting as we do!
Best regards,
Darin Beck
President, lark Brewing Co.
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We propose to open Verve, a bistro and kombucha brewery.
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. project description
a. Our project will divide the building roughly in half,with commercial
kombucha and cold brew coffee production and packaging sharing space
with a bistro.Kombucha production is similar to beer production.Dave Morgan
from SingleSpeed is a partner in the project and will assist with the commercial
brewing aspect.The bistro will be open for lunch and dinner TuesdarSaturday
and will also do events and catering.The menu will reflect the neighborhood,
with healthy menu items and a local sensibility.The production equipment
will cost roughly$375k and will require some remodeling of the floor in the
production area.Tanks will be stainless steel similar to SingleSpeed's and
will be visible from the customer area.The bistro will use equipment that's
already in the space;however,the seating and bar area will be remodeled.
Paint,new finishes and walls,bar renovation,lighting and furniture will cost
an estimated$took.
z. timeline
a.We anticipate the city RFP process will conclude during summer or fall,
and we will be ready to commence buildout and equipment installation by
fall/winter.We anticipate opening in April of 2019.
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3. financing j
a. Please see attached letter from MidwestOne.Our financing plan includes a loan
from MWi as well as TIF and CHURP financing,a grant of money from the city,
and a possible Main Street Iowa grant.We plan to request a 70%property tax
rebate for zo years on value we add to the building.
4. other factors
a.We request rent-free use of the Expo grounds directly to the south 12 times a
year for the duration of our lease subject to calendar agreement with the City.
We would use those dates for music and food events.
b.We request a$50,000 grant of money from the city.
c. We request a transfer of ownership of all equipment and furniture currently
inside the public market building.
s. proposed use
a.We believe our use fits the area neatly and will serve the city well.
Kombucha is a rapidly expanding market and is a product that,like craft beer
and coffee,competes on quality and benefits from local production.
Waterloo has always been a manufacturing town,and we are proud to be part
of a group of new manufacturers printing"Made in Waterloo"on products that
travel all over the state and also give people another reason to come to Waterloo.
All over Iowa,people are or soon will be opening cans of SingleSpeed beer
and bags of Sidecar Coffee that are made in Waterloo.We would like to put
Made In Waterloo cans of kombucha and cold brew coffee in grocery stores
and convenience stores across the state.Our product is health-focused-perfect
for neighbors of the SportsPIex,a hike shop,a yoga studio etc.A bistro in our
area will lend itself well to future use of the Expo grounds for events,weddings,
and festivals.We will be only the second company in Iowa to obtain a license to
produce kombucha for commercial retail sale in grocery stores-giving Waterloo
another story to tell of success in manufacturing,its historical area of strength.
The area of town in which the Public Market is located is booming with large-
scale construction,and our project will serve as a welcome amenity for residents
of the new buildings planned or under construction and for guests of the new
hotel and the remodeled convention center and hotel on 4th street.We will
continue to make restrooms available to patrons of the Waterloo Farmer's
Market,and we believe our Saturday service will help turn that market into
a more popular downtown destination.
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Our partnership team includes Dave Morgan,who successfully converted
the Wonder Bread factory to a brewery and taproom and who has 20 years of
experience in the restaurant industry;Brent Dahlstrom,who has undertaken
many successful local development projects;Andy Fuchtman,owner of Sidecar
Coffee,which is a similar operation in that it includes manufacturing,service,
and retail distribution;Alexander Hottle,who manages at Sidecar;and Jed
Vander Zanden,founder and roaster at Sidecar Coffee Roasters.We believe our
team and our concept match up favorably with any idea on offer.We have the
experience and the resources necessary to shepherd this project to completion
and long-term success.
6. traffic flow
a. We do not request any changes to parking layout or curb cuts.
7. economic impact consideration
a.This project will employ 4 full time and 16 part time staff.We intend to increase
the value of the building by$took.We will investigate ways to make the building
more energy efficient-solar panels etc.
b. Our assumption of control of the building will immediately bring its value into
the local tax base.
c. Our project represents a natural next step in the vision of other projects in
downtown Waterloo and will both attract new people to the area and serve
those already downtown for business,pleasure,or workouts.
8. price
a. We request a$o/mo lease throughout the buildout and for the first six months of
operation.Thereafter,we request a stepped-up lease as follows:$20001m0 for the
rest of year one,$3000lmo in year two,and$40001mo thereafter for the duration
of the lease.We request a 5-7 year lease.
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Bank
February 22, 2018
Verve, LLC
Andrew Fuchtman Dave Morgan
Alex. Hottle Brent Dahlstrom
325 Commercial Street
Waterloo, IA 50702
On behalf of MidWestOne Bank, I am pleased io announce that MidWestOne Bank has conditionally
approved your request for funds to purchase equipment and buildout for a bistro, cold brew and
kombucha production facility to be located at 327 W 3raStreet,Waterloo, IA.
This commitment is subject to loan committee approval, execution of necessary documents and other
certain terms and conditions.
If there are any questions, please call me at 319-277-2500 or email me at Ilesyshenpmidwestone.com.
Thank you d have ni e day.
Sincer 1 ,
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Lu e Le ys n
VP—Comm'e cial/ Banking Officer
MidWestOne Bank
t� MidWestOne.com (800) 247-4418 c'L.
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what is kombucha ?
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The Kombucho Room I Chicago,Illinois
Kombucha,a fermented tea,is healthy,functional and delicious.
Since the first commercial kombucha was brewed in 1996,it has
become one of the fastest-growing beverage markets in the country.
Kombucha has probiotic benefits that encourage gut bacteria diversity
and aid digestion.
Originating in the Far East around 2,000 years ago when it was known
as the"tea of immortality,"kombucha contains black tea and sugar
(from various sources,including cane sugar,fruit or honey).
During the fermentation process,kombucha spurs the growth of a large number
of healthy bacteria known as probiotics.These bacteria line the digestive tract and
support the immune system.They absorb nutrients,fighting infection and illness.
It's no surprise that the probiotic industry has grown rapidly in recent decades.
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the kom bucho industry
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Soma Kombucha I Portland, Oregon
According to Forbes magazine,kombucha was a$400 million market
in 2014 in the US.That's predicted to rise to$1.8 billion in 2020.
Kombucha is the fastest-growing market in the functional beverages
category according to MarketsandMarkets.The industry is predicted
to grow 25%a year until 2020.
Although the market is growing rapidly,only one other company in Iowa
is licensed to produce kombucha commercially for unrestricted retail sale.
Verve will give people another exciting reason to visit downtown Waterloo.
contact
vervekombucha@gmail.com
319-415-2547
verve
K • M B U C H A
wnialoo, [owo