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Commuinity Development Authority- MINUTES - 3/12/2003 CITY OF MUSKEGO APPROVED 4/10/03 COMMUNITY DEVELOPMENT AUTHORITY (CDA) MINUTES Wednesday, March 12, 2003 Commissioner Vice-chair Suzi Link called the meeting to order at 7:02 P.M. Those in attendance recited the Pledge of Allegiance. The meeting was posted in accordance with the Open Meeting Law. PRESENT: Commissioners Rob Glazier, David Lidbury, Suzi Link, Gail Miles, Ald. Rick Petfalski and Ald. Nancy Salentine Also in attendance Finance Director Dawn Gunderson, Mayor Slocomb, Plan Director Brian Turk ABSENT: Commissioner Frank Waltz (excused) GUESTS: Mr. Dave Anderson and Mr. Todd Taves of Ehlers & Associates APPROVAL OF MINUTES: Ald. Rick Petfalsk moved to approve the minutes of the February 12 meeting. Ald. Nancy Salentine seconded. Upon a voice vote, the motion carried unanimously. OLD BUSINESS: TAX INCREMENT DISTRICT #9 (TID #9) PROJECT PLAN STATUS The CDA commissioners were in receipt of a copy of the TID #9 project plan as amended by the Common Council. Plan Director Turk explained that the bids for the Janesville Road water main’s first phase came in substantially higher that what was projected and the second phase came in substantially lower. The utilities committee decided not to pursue the second phase as it was a discretionary project and there was the concern about the escalating cost of the project. In reviewing the project, the assessor noted that there were several commercial land sales in the west end of the district since the first projections. With the re-evaluation next year, the assessor could predict about a 5.5 million dollar increase in values. The base value of the district is going to jump in two years. The district is going to be paid off earlier. The Common Council did amend the project plan to include these changes. The joint review board met on Monday afternoon and approved the plan. It will now be forwarded on to the Wisconsin Department of Revenue for their approval. Mr. Anderson stated this would probably happen after the first of next year. NEW BUSINESS: RESOLUTION #CDA 002-2003: Resolution Of The City Of Muskego Community Development Authority Certifying The Redevelopment Plan For The Redevelopment District No. 1 Project Area To The City Of Muskego Common Council. (Tess Corners). Plan Director Turk informed the CDA commissioners that it was approved by Attorney Baxter for form. This is the second to the last step in creation of the district. Once this is CDA Minutes, March 12, 2003, page 2 completed, the Common Council will then have to adopt a resolution forbidding construction without their approval. Ald. Salentine moved to approve Resolution CDA 002-2003. Commissioner Glazier seconded. No other discussion. Upon a voice vote, the motion carried unanimously. Presentation by Ehlers and Associates, Tax Increment District #9 Project Plan financing, and review of a timetable for same. Mr. Dave Anderson of Ehlers and Associates distributed a copy of the Preliminary Financing Report to the members. He went over where the money was coming from to pay back the financing for the projects. Tax is collected on the base value as every other tax dollar in the city. For the life of the TIF, the tax is distributed just like every other tax dollar in the city. He explained how the current value is determined. The tax is collected on the new value and pays for the projects in the new district. They have seven years to completely pay for the projects. The value is offset by razing buildings in the area and, then, as new things are built in the area, the value will go up again. The money has to be used to pay principal and interest, too. He went through the mechanism for financing. He stated that a contingency amount of $138,500 was added to the project plan. The reserve fund is for the bondholders’ protection. They want to make sure that the TIF revenues will pay for the projects. The CDA provides money to the city because the city is the only entity that can spend TIF money. The city then transfers the improvements to the CDA, for example a water main, the improvement is then leased to the city by the CDA as the CDA owns the water main through the life of the district, the city uses TIF money to pay the lease, the lease money pays off the bond holders. The seven years the TIF has to spend money begins when the Common Council approves the TIF. He mentioned that the CDA needs to have a public hearing on the lease. AUTHORIZATION TO PROCEED WITH TAX INCREMENT DISTRICT #9 PROJECT PLAN FINANCING Plan Director Turk reviewed the timeline associated with the lease revenue bonds. 3/12/03—CDA authorizes proceeding with issue; 3/25/03—Common Council authorizes CDA to issue debt; 4/3/03—first publication of public hearing notice; 4/10/03—second publication of public hearing notice; 4/16/03—CDA public hearing on lease; 4/22/03— Common Council approves transfer and lease of property; 5/14/03—CDA approves bonds and final lease. Ald. Salentine moved to authorize to proceed with the Tax Increment District #9 Project Plan financing as outlined in the timeline previously discussed. Commissioner Lidbury seconded. No other discussion. Upon a voice vote, the motion carried unanimously. RESOLUTION #CDA 003-2003: Resolution of the City of Muskego Community Development Authority Designating the Boundaries of the Redevelopment District No. 2 Project Area. (Downtown area and Janesville Road generally from Bay Lane to Pioneer Drive). Ald. Nancy Salentine moved to approve Resolution #CDA 003-2003. Ald. Petfalski seconded. Plan Director Turk informed the CDA commissioners that this resolution establishes the boundaries of the redevelopment district and makes a determination of blight. The boundaries of the district were discussed at the last meeting. The members were in receipt of a map delineating the district boundaries as well as the blighted areas and blighted properties. Due to the time constraints, Plan Director Turk and Attorney Baxter suggested, the steps of establishing boundaries and determining blight be CDA Minutes, March 12, 2003, page 3 combined as they are two steps in the process that don’t require a hearing. In doing a determination of blight, you look at two things—first, determine blighted project area which allows you to do some projects in right-of-ways, etc. and second, determine specific blighted properties which allows the CDA by statute to initiate condemnation actions. With this in mind, the Plan Department staff outlined 27 properties in the district. A memo was prepared determining the blight conditions. Attorney Baxter had reviewed the memo and it met with his approval. This was distributed to the CDA members. It is also attached to the official copy of these minutes as an exhibit. Plan Director Turk stated that based on the findings laid out in the memo, they did make a determination that there is a blighted area and that there are specific properties that exhibit blight as defined by statute for blighted properties. CDA members discussed issues on future amending of TID 8, possible creation of new TIDS for properties outside the existing TID district, responsibility for environmental clean up of property, and the three properties that had questionable lot lines, which may need to be replatted. Upon a voice vote, the motion carried unanimously. REDEVELOPMENT DISTRICT NO. 2 PROJECT PLAN ACTIVITIES TIMETABLE CDA members were provided with a draft of the timeline for the Redevelopment District #2 project plan activities. Plan Director Turk informed them that Attorney Baxter had recommended that they have an informational meeting sometime in the month of April prior to the public hearing. This would be with the CDA and staff in an informal, individual one-on-one format with interested individuals. He thought this could be done at the April 9 regular meeting. He called attention to the CDA special meeting on March 26 to review the draft project plan and action to set public hearing date. He informed them that they might be asked to attend a Mayor’s Task Force meeting when the consultant presents the design principles. These design plans will become a part of the project plan. In regard to the timetable meetings, Plan Director Turk will be alerting the commissioners which meetings they should attend. CDA ADMINISTRATION OF THE ECONOMIC DEVELOPMENT REVOLVING LOAN FUND Plan Director Turk shared with the CDA members that he had met with Mayor Slocomb, Finance Director Gunderson, and Clerk-Treasurer Marenda. They discussed where they are, how they have been structured so far and have been in contact with the Department of Commerce. The policies and procedures for program have been amended and the city will have to update theirs. This issue will be discussed at the Committee of the Whole or the next Common Council meeting for sure. CITIZEN COMMENTARY: No comments. MISCELLANEOUS BUSINESS AS AUTHORIZED BY LAW ECONOMIC DEVELOPMENT STRATEGIC PLAN STATUS Plan Director Turk stated that the Vandewalle consultants are doing their preliminary design plans for the downtown area. They will have some artist renditions, which should get people interested and excited in the process, more than a document. They will probably do the revealing in a workshop setting. This will probably occur April 29. CDA Minutes, March 12, 2003, page 4 The Taureen group gave a quality presentation at the last Mayor’s Task Force meeting. They are now back on their time schedule. NEXT MEETING: The next meeting is scheduled for Wednesday, March 26, 7:00 p.m., Muskego City Hall, to review draft project plan and take action to set public hearing date on RD#2. STATUS OF TID #8 Plan Director Turk reported that Mr. Dave Anderson had run the projections on the basis that the development activity that was projected to occur in 2001 did not occur. The earliest that it could commence realistically at this point would be late 2003 or early 2004 and wouldn’t hit the tax rolls until 2005 for collection in 2006. That delay impacted the TID by approximately $500,000 in project costs that could not be funded. The entire project was $2.8 million. Of that amount, approximately $740,000 was earmarked for developer incentives. There are other projects that cannot be eliminated. The developer incentives is the one line item that loses. This all impairs the TID viability. Mayor Slocomb has talked with the developer on the loss. The developer’s response was the City of Muskego hadn’t considered (1) the increment is going to be far larger than the original $12 million that was talked about for the site—it is going to be $20 million and (2) the interest rates are going to be different than originally projected which will have an offsetting effect. ADJOURNMENT: There being no further business, Ald. Petfalski moved to adjourn. Commissioner Lidbury seconded. Upon a voice vote, the motion carried unanimously. Meeting adjourned at 8:22 p.m. Stella Dunahee, CPS Recording Secretary CDA Minutes, March 12, 2003, page 5 Memo To: Community Development Authority From: Brian Turk, Planning Director; Dustin Wolff, Assistant Plan Director CC: Mayor Slocomb; Common Council; Plan Commission Date: March 5, 2003 Re: Determination of Blight—Proposed Redevelopment District No. 2 DESCRIPTION OF OBSERVED CONDITIONS OF THE PROJECT AREA The Planning Department is preparing the Redevelopment District #2 Project Plan at the direction of the Community Development Authority. The Project Area, located in the central portion of the City is often referred to as “downtown.” The Project Area encompasses 152 acres (including public rights-of-way) and contains 128 properties. The equalized value for the District in January 2003 was $31,400,000. The Blighted Area Law, Chapter 66.1333 of the Wisconsin Statutes authorizes municipalities to prepare redevelopment plans and undertake blight elimination and redevelopment projects. Wis. Stats. 66.1333(2m)(b) define blighted areas. Of particular concern to this proposed Plan, the Statute reads as follows: 66.1333(2m)(b)2 An area which by reason of the presence of a substantial number of substandard, slum, deteriorated or deteriorating structures, predominance of defective or inadequate street layout, faulty lot layout in relation to size, adequacy, accessibility or usefulness, unsanitary or unsafe conditions, deterioration of site or other improvements, diversity of ownership, tax or special assessment delinquency exceeding the fair value of the land, defective or unusual conditions of title, or the existence of conditions which endanger life or property by fire and other causes, or any combination of such factors, substantially impairs or arrests the sound growth of a city, retards the provision of housing accommodations or constitutes an economic or social liability and is a menace to the public health, safety, morals, or welfare in its present condition and use. The Project Area is characterized by land use and developments created in response to the transportation infrastructure in place. The 1920s began to see the influence of the automobile age, which would cast the mold for the development patterns through the Project Area. Many resorts and lake cottages emerged, lining the shores of Little Muskego Lake. In 1925, Muskego Beach Amusement Park opened on the south shore of Little Muskego Lake, and continued to be a fixture in the life of Muskego until it closed in the early 1970s. In the late-60s, wetlands east of Little Muskego Lake were filled and a suburban shopping mall was developed to become the retail and service focus of the emerging downtown center. Pioneer Drive (formerly known as Racine Avenue) acts not only as the western-most boundary to the Project Area, but also as the commercial terminus to what many residents refer to as downtown. In the 1970s Racine Avenue was relocated further west, replacing what is now Pioneer Drive as the north-south arterial in the Waukesha County Highway System Plan. This action severely reduced the importance of Pioneer Drive as a commercial corridor and shifted the commercial node further west. The commercial viability of downtown was lessened further in the 1990’s when Moorland Road was extended to intersect with Janesville Road. A significant amount of land acreage at that intersection was subsequently rezoned for commercial use. The resulting supply of commercial land at Janesville Road and Moorland Road, coupled with the shifting traffic patterns, reduces the economic viability of development and redevelopment of the Project Area. CDA Minutes, March 12, 2003, page 6 Moreover, the downtown did not benefit from a definable and continuous development plan to ensure its prominence and vitality. The two primary destinations (Muskego Beach and Parkland Mall) did not function as an impetus to newer and better developments. Today, the amusement park has been replaced by condominiums and the mall has been razed, leaving a constant reminder that the downtown area may ultimately need public intervention to assist in establishing a new focus, and ensuring it remains a catalyst to continued economic liveliness. The District is bisected by Janesville Road, a County Trunk Highway. Janesville Road was formerly a state trunk highway, but jurisdictional transfers were made as the roadway became decreasingly important in the regional transportation plan. The roadway is flanked on both sides by strip developments of marginal quality with few Traditional Neighborhood Design principals (discussed below) incorporated into their site design. The Waukesha County Department of Transportation has indicated that the roadway will be widened in approximately 2008 from two to four driving lanes with boulevards and turning lanes. The City is generally subject to the decision-making of State and County agencies for such road projects, and has little recourse to the decisions made. This increase in pavement and other design accommodations will result in the removal of viable commercial uses and residences from the district. The total value removed is unknown at this time. The County DOT will identify those properties around 2005. Moreover, the anticipated structure removals will alter the development pattern of the District and result in undersized parcels with little infill potential, thereby reducing the economic viability of development and redevelopment of the Project Area. The structure removals and remnant parcels result in faulty lot layouts in relation to size, adequacy, accessibility and usefulness. This impairs and arrests the sound growth of the community, and represents a menace to the public health, safety, and welfare. The Engineering Department has outlined a number of outstanding issues related to roadway conditions within the District. The Janesville Road pavement is in poor condition. The County has preliminarily planned reconstruction and expansion for 2008. Until such time that Janesville Road reconstruction is complete, the current roadway conditions constitute an economic liability to the City and is a menace to the public health safety and welfare. This stretch of Lannon Drive north of Janesville Road will need repair within 5 years. At minimum, a mill & overlay will be required. The average age of the housing stock—single-family, two-family, and multi-family structures—is 43 years. The average grade, evaluating the construction methods and materials of the structures as determined by the City Assessor, is C. This translates into the use of average building materials and craftsmanship, conforming to basic specifications. Typically there are minimal architectural treatments and the use of standard grade heating and plumbing materials and fixtures. The Condition, Desirability, and Usefulness (CDU) rating, also determined by the City Assessor is listed as “Average to Fair.” This is a composite rating of the capabilities and quality of the dwellings; a representation of the dwelling as it would appear in the eyes of a buyer. The CDU indicates the properties in this district are of average condition and desirability, yet declining. Indicating that the structures are generally unremarkable. Moreover, the presence of an arterial highway transportation corridor and unchecked adjacent commercial land uses and brownfields reduces the desirability of the residential properties within the district. Similarly, structures on all other lands uses—commercial, industrial, agricultural, and institutional—are rated by the City Assessor. The average age of these types of structures within the district is 39 years. The average grade, evaluating the construction methods and materials, is C. Again, this indicates into the use of average building materials and craftsmanship, conforming to basic specifications. Typically there are minimal architectural treatments and the use of standard grade heating and plumbing materials and fixtures. The condition, desirability, and usefulness rating for the Project Area is listed as “Average.” The district includes numerous non-conforming structures, non-conforming parcels, and a few non-conforming uses. The Muskego Zoning Ordinance makes specific distinctions between these types on non-conformity. Non-conforming structures are permitted to continue in existence, and may be improved, expanded, and / or enlarged provided that the value of such improvement, expansion, or enlargement does not exceed 50% of the current market value of the property, and provided that the improvement, expansion, or enlargement does not increase the degree of non- conformity. In the event that a non-conforming structure is damaged beyond 50% of its market value, the structure must be rebuilt in conformity with the zoning regulations attached to the CDA Minutes, March 12, 2003, page 7 parcel. Non-conforming parcels are permitted to continue in existence, and may be used and improved provided that any such use or improvement is developed in conformity with the zoning regulations attached to the parcel. While this zoning code provision strongly encourages reuse of non-conforming parcels, in many cases, the size, shape or orientation of non-conforming parcels do not permit new developments in conformance with modern zoning standards, and such sizes, shapes, or configurations constitute an economic liability for the parcel and arrest the sound growth and development of the parcel and Project Area. Non-conforming uses are permitted to exist provided they are not improved, expanded, or enlarged. Non-conforming uses, which cease to exist for twelve consecutive months, or eighteen accumulative months in any three-year period, are required to cease operations. Non-conforming uses may be permitted to change to another non-conforming use upon petition to and approval by the Plan Commission, provided that the proposed non-conforming use is not of a greater degree of non-conformity. Where proposed uses are of lesser intensity or degree of non-conformity, the intensity of the new use becomes the maximum permitted intensity or degree of non-conformity. Development and redevelopment opportunities for non-conforming parcels are often exacerbated by diverse ownership. It is not uncommon within the project area to have two, three, or more non-conforming parcels adjacent to one another, each with little or no opportunity to redevelop individually in light of zoning requirements, and each in separate ownership. This condition often can impair and arrest sound growth and development. Both public sanitary sewer and municipal water serves the Project Area. Mainline water main runs the length of Janesville Road. Sewer serves most of the CDA area and is in fair condition. However, the stretch of Janesville Road from Bay Lane to the northeast edge of the District does not currently have sewer. The City agreed to assume control of the existing water main within the Freedom Square System in 2002. The system has had spot failures since the City took ownership of the system. This system will need substantial repair or replacement in the immediate future. In addition, this system must be included into the City’s distribution system at two additional points. This “looping” would make for a more practical system when repairs are needed and much less fluctuation in water pressure, providing compliance with modern Fire Codes. The current reliability and repair status of the system reduces the economic viability of development and redevelopment of the Project Area and impairs and arrests the sound growth of the community. The Director of Engineering has indicated that the Project Area has a history of repeated flooding after relatively insignificant rain events. Modeling of the 10-year storm event produces overtopping of Parkland Drive and mild flooding of adjacent structures. Alleviation of periodic flooding of Parkland Drive and structures adjacent to the Freedom Square Ponds is needed. Re- development of the area must include measures to combat inundation from flooding, including the creation of additional storage and water quality measures. Lack of these measures hinders continued development and re-development within the Project Area. Lack of these measures has further prevented the Wisconsin Department of Natural Resources from issuing permits for the dredging of Schubring Bay, located immediately west of the District. The Bay, located within Little Muskego Lake, receives stormwater discharges from the Project Area. The lack of stormwater controls has resulted in substantial sedimentation of the Bay. Re-development of the area must include measures to reduce and potentially eliminate the sedimentation of Schubring Bay Moreover, the Project Area is affected by aboveground utilities for electric lines, cable television, and telephone service. The visible presence of these necessary improvements scars the landscape and contributes to the aesthetic unsightliness of the Project Area. The poor aesthetic qualities of these utilities reduce the economic viability of development and redevelopment of the Project Area. Finally, the Mayors Task Force on Economic Development is currently in the planning stages of the Community’s second Economic Development Strategic Plan. A key component of the Plan is compliance with Wisconsin’s Smart Growth planning statutes. This includes the development of architectural and site design guidelines, which follow the principals of Traditional Neighborhood Development, or TND. These principals encourage mixed use, pedestrian friendly designs which respect and accommodate the community’s dependency on the automobile, but which offer alternatives as well. The Project Area has a number of properties, which feature TND principals, but also includes a number of properties where TND principals are completely absent. The lack CDA Minutes, March 12, 2003, page 8 of TND principals in general site design reduces the economic viability of development and redevelopment of the Project Area, and impairs and arrests the sound growth and development of the Project Area. CONDITIONS OF SPECIFIC PROPERTIES WITHIN THE PROJECT AREA: In addition to the general conditions found within the Project Area, the conditions of specific properties have been reviewed. Wisconsin Statute 66.1333(2m)3(bm) defines blighted properties. The statute reads, 66.133(2m)3(bm) “Blighted property” means any property within a city, whether residential or non-residential, which by reason of dilapidation, deterioration, age or obsolescence, inadequate provisions for ventilation, light, air or sanitation, high density of population and overcrowding, or the existence of conditions which endanger life or property by fire and other causes, or any combination of such factors, is conducive to ill health, transmission of disease, infant mortality, juvenile delinquency or crime, and is detrimental to the public health, safety, morals or welfare, or any property which by reason of faulty lot layout in relation to size, adequacy, accessibility or usefulness, insanitary or unsafe conditions, deterioration or site or other improvements, diversity of ownership, tax or special assessment delinquency exceeding the fair market value of the land, defective or unusual conditions of title, or the existence of conditions which endanger life or property by fire and other causes, or any combination of such factors, substantially impairs or arrests the sound growth of a city, retards the provisions of housing accommodations or constitutes an economic or social liability and is a menace to the public health, safety, morals or welfare in its present condition or use., or any property which is predominantly open and which because of obsolete platting, diversity of ownership, deterioration of structures or of site improvements, or otherwise, substantially impairs or arrests the sound growth and development of the community. Bearing in mind the statutory definitions of blighted area and blighted property, Planning Staff has observed the following conditions of specific properties within the Project Area: S76 W17957 Janesville Road, Tax Key No. 2196.996: The Spitfire Bar & Grill, formerly Fill Ups Tavern, has a series of zoning troubles. The structure is located alarmingly close to the Pioneer Drive and Janesville Road pavement edges. The structure is located within the ultimate rights-of-way of both Janesville Road and Pioneer Drive. As such the structure is classified as legal non-conforming. It is presumed that the structure will be razed with the reconstruction of intersection as part of the County’s Janesville Road project. The structure is 103 years of age. The assessment grade is “C” and the CDA rating is “Average”. Mechanical appurtenances have been added to the exterior of the structure in recent years. These appurtenances are located within street yards, are unscreened, and are clearly visible to the public from the roadway. The interior of the structure has undergone modest renovations in 2002 and 2003. However, the exterior remains in fair to poor condition, having at least four exterior treatments of varying age and quality. The parcel itself is legal non-conforming due to insufficient area, being only 17,825 square feet in total area. On site parking is unpaved and is not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control problems from time to time. CDA Minutes, March 12, 2003, page 9 No address – Janesville Road, Tax Key No. 2196.974: This vacant parcel is located immediately east of, and in common ownership with, Tax Key No. 2196.996. The parcel is nonconforming due to lot width and lot area, being only 42 feet in width and 6,054 square feet in area. The parcel is currently used for parking for the Spitfire Bar & Grill. On site parking is unpaved and is not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control and problems and traffic hazards from time to time. Dumpsters for the Spitfire Bar & Grill are located on the property, and are unscreened. No address - Pioneer Drive, Tax Key No, 2196.995: The structure located on this parcel was razed but the foundation and concrete floor remain. The parcel is non-conforming due to insufficient width and area, being only 80 feet wide and 14,585 square feet respectively. The parcel is generally unkempt and visually displeasing, having high weeds and scrub brush throughout. This condition provides an environment suitable for vermin infestation, especially giving its proximity to the waste disposal areas of the adjacent Spitfire Bar & Grill. No address assigned – Tax Key No. 2196.972: This vacant parcel is located immediately west of, and in common ownership with, Tax Key No. 2196.971. The parcel is nonconforming due to lot width and lot area, being 51 feet wide and 7,582 square feet in area. The parcel is currently used for parking for the adjacent auto repair service. On site parking is unpaved and is not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control problems from time to time. S76 W17815 Janesville Road, Tax Key No. 2196.971: This parcel is home to an auto repair and body shop and separate residential structure occupied for single-family use. The parcel has a series of zoning troubles. The structure is located within the Janesville Road ultimate right-of-way. As such the structure is classified as non-conforming. The structure is 80 years old, and has an assessment grade of “C”. The CDU rating is “Average”. The façade has been maintained in a presentable condition. The remaining building faces are in marginal to poor condition. It is presumed that the structure will be razed with the reconstruction of intersection as part of the County’s Janesville Road project. CDA Minutes, March 12, 2003, page 10 The parcel is legal non-conforming, being only 18,267 square feet in area. County acquisition of land for right-of way will increase the degree of parcel non-conformity. Parking areas are generally unpaved and not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control problems and traffic hazards from time to time. Often, the street yard is littered with automobiles in various state of assembly or repair. Dumpster are also unscreened and located within the street yard. The residential use is non-conforming to the zoning district requirements. As with the commercial structure on the parcel, the home is non-conforming due to insufficient street yards, as it is located within the ultimate right- of-way of Janesville Road. It is presumed that the structure will be razed with the reconstruction of intersection as part of the County’s Janesville Road project. The structure is 80 years of age, and has an assessment grade of “C”. The CDU rating is “C”. As with the commercial structure, parking areas are generally unpaved and not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control problems and traffic hazards from time to time. Often, the street yard is littered with automobiles in various state of assembly or repair. No address assigned – Tax Key No. 2196.959.001: This 21,354 square foot parcel is vacant and is located immediately south of, and in common ownership with, Tax Key No. 2196.971. The parcel is nonconforming due to lack of street access. The site is used in conjunction with the adjacent auto repair operation, and is generally unkempt, being tall weeds and grasses, and scrub brush. S76 W17745 Janesville Road, Tax Key No. 2196.969: The Williams Super Club property is approximately 46,409 square feet in area. Despite being a conforming parcel, it has a series of zoning troubles. The structure is located near or within the ultimate right-of-way of Janesville Road. The main building entrances face the street and may need substantial alteration to building ingress and egress near the edge of pavement. In addition, upon County acquisition of right-of-way for roadway expansion, the structure will likely exceed the zoning code’s permitted floor area ratio, and may be classified as non-conforming in this regard. The structure is 83 years of age and has an Assessment Grade of “C”. The CDU rating is “Average”. The building shows some signs of deferred maintenance. The exterior of the building is sheathed in low quality vertical wood siding, offering a substandard appearance from places of public view. CDA Minutes, March 12, 2003, page 11 Portions of the property’s on site parking are unpaved and are not in conformance to zoning code requirements. Dirt and gravel are tracked onto adjoining roadways, presenting erosion control problems and traffic hazards from time to time. With the exception of a few planters placed around the exterior of the structure, and around the pole sign, the site has no landscaping to speak of. S75 W17536 Janesville Road, Tax Key No. 2193.123. This parcel is nonconforming due to insufficient area and width, being only 47 feet wide and 6,920 square feet in area. The parcel is of insufficient size to accommodate redevelopment after highway widening and will not significantly contribute to the economic viability of the downtown area. The parcel is currently vacant and maintained in a generally unsightly condition of scrub and brush. S75 W17524 Janesville Road, Tax Key No. 2193.124. This parcel is nonconforming due to insufficient area and width, being only 47 feet wide and 7,077 square feet in area. The parcel is of insufficient size to accommodate redevelopment after highway widening and will not significantly contribute to the economic viability of the downtown area. The parcel houses an aging 408 square foot retail structure, currently being occupied by a specialty retailer. The offers minimal improved parking. The structure is 53 years of age and has an Assessment Grade of “D”. The CDU is “Average”. The property includes a non- conforming reader board sign, which is located within the Janesville Road ultimate right-of- way. CDA Minutes, March 12, 2003, page 12 S75 W17510 Janesville Road, Tax Key No. 2193.125: The structure housing Kingdom Kare’s infant day care operations is non- conforming due to insufficient setbacks, as it is approximately 10 feet from the edge of the ultimate right-of-way of Janesville Road. The parcel is non-conforming due to area and width, being 47 feet wide and 6,962 square feet in area. A significant portion of the facility’s customer parking is provided to the south of the structure, within the ultimate right-of-way of Janesville Road. This parking area is anticipated to be lost upon County acquisition of right-of-way for roadway expansion. Upon taking of right-of-way the viability of the premises to be safely occupied as a day care center is questionable. The structure is 53 years of age and has an Assessment Grade of “C - “. The CDU of the structure is “Average”. The parcel is of insufficient size to accommodate redevelopment after highway widening and will not significantly contribute to the economic viability of the downtown area. The site is approximately 95% covered with impervious surfaces. The site conditions result in substantial stormwater discharge which are not treated for stormwater quality or quantity. S75 W17385 Janesville Road, Tax Key No. 2196.955: The tanning salon, located in a converted residential structure, is a legal non- conforming structure. It is located within the Janesville Road right-of-way, and within feet of the edge of pavement. It is presumed that the structures will be razed with the reconstruction of Janesville Road. The structure is 53 years of age and has an Assessment Grade of “C”. The CDU of the structure is “Average”. As currently operated, the property does not provide sufficient on-site parking. Customers routinely park along the edge of pavement of Janesville Road, which has not been designed using modern standards for on street parking provisions. The parcel is legal-non-conforming due to parcel area and parcel width, being only 59 feet in width and 9,098 square feet in area. The parcel is of insufficient size to accommodate redevelopment after highway widening and will not significantly contribute to the economic viability of the downtown area. CDA Minutes, March 12, 2003, page 13 S75 W17363 Janesville Road, Tax Key No. 2196.954: The existing residential structure and outbuildings are legal non-conforming structures. They are located within the Janesville Road right-of-way within feet of the edge of pavement. It is presumed that the structures will be razed with the reconstruction of Janesville Road. The structure is 73 years of age, and has an Assessment Grade of “C-“. The CDU of the structure is “Fair”. The parcel is of insufficient size to accommodate redevelopment after highway widening and will not significantly contribute to the economic viability of the Project Area. The residential use of this commercial-zoned property is non-conforming. S75 W17374 Janesville Road, Tax Key No. 2193.086: The structure housing the bait shop is classified as legal non-conforming due to setbacks, being approximately 15 feet from the edge of the ultimate right-of-way. The parcel is non-conforming due to area and width, being approximately 59 feet in width and 10,140 square feet in area. The structure is 53 years old and has an Assessment Grade of “C”. The CDU of the structure is “Average”. Customer parking is provided to the south of the structure, within the ultimate right-of-way of Janesville Road. All such parking is anticipated to be lost upon County acquisition of right-of-way for roadway expansion. S75 W17358 Janesville Road, Tax Key No. 2193.088: The Delta restaurant remains one of the few sit-down restaurants in the community. It occupies a site approximately 36,663 square feet in size, and is approximately 99% covered with impervious surfaces. The site conditions result in substantial stormwater discharges which are not treated for stormwater quality or quantity. The structure is 53 years of age and has an Assessment Grade of “B-“. The CDU of the structure is “Average”. Despite the higher than average assessment grade, the exterior of the structure utilizes low grade materials and offers little aesthetic value. The interior and fixtures have had some updates in recent years. The property includes multiple access points to Janesville Road, and will likely lose one access point at the time the roadway is reconstructed, as the existing ingress / egress layouts do not meet modern design standards. The property includes a legal non-conforming pole sign, located within the ultimate right-of-way of Janesville Road. CDA Minutes, March 12, 2003, page 14 S75 W17308 Janesville Road, Tax Key No. 2193.059: This mixed use building houses a liquor store and apartments. Although the land use exemplifies some of the desired TND design principals of “Smart Growth”, the structure is non-conforming due to setbacks, having a street yard of approximately 25 feet. The structure is 33 years of age and has an Assessment Grade of “C”. The CDU of the building is “Average”. The exterior of the structure is in a modest state of decline and represents a low grade of architectural materials and quality. A significant portion of the facility’s customer parking is provided to the south of the structure, within the ultimate right-of-way of Janesville Road. This parking area is anticipated to be lost upon County acquisition of right-of-way for roadway expansion. The site is approximately 47,670 square feet in area, and is approximately 80% covered with impervious surfaces. The site conditions result in substantial stormwater discharge which are not treated for stormwater quality or quantity. S75 W17237 Janesville Road, Tax Key No. 2196.952: The Pennzoil Gas Station located on the southwest corner of Janesville Road and Lannon Drive has environmental problems. The gas storage tanks are considered Leaking Underground Storage Tanks (LUST) and require remediation measures. It is not known if – or to what extent - the property is contaminated and in need of environmental remediation. Redevelopment of the site will require environmental testing to assure compliance with modern environmental regulations. The existing well is contaminated. The Department of Natural Resources has required that the well be abandoned and the building be connected to City water prior to occupancy of the structure. The structures are 33 years old and have an Assessment Grade of “C+”. The CDU of the structures is “Average”. The gas canopy and main structure are both classified as legal non- conforming structures. The canopy is currently in fair condition despite being located within the ultimate right-of-way of Janesville Road. The canopy will most likely be razed during reconstruction of the roadway. CDA Minutes, March 12, 2003, page 15 The principal structure has a side yard of approximately 7 feet. The structure is in poor condition, having suffered years of deferred maintenance. The parcel itself is conforming. Following County acquisition of right-of-way of highway expansion, the parcel will likely be reclassified as non-conforming due to insufficient area. Egress to the site does not conform to AASHTO standards due to proximity of drives to the signalized intersection. W171 S7260 Lannon Drive, Tax Key No. 2198.001: The Lakeview Tavern property includes lands on both sides of Lannon Drive, and offers frontage on Little Muskego Lake. The structure, located east of Lannon Drive, is a non-conforming structure as it street yard setback of approximately 9 feet. The structure is 83 years of age and has an Assessment Grade of “C”. The CDU of the structure is “Average”. The exterior is sheathed in at least three building materials, which present a disjointed and unpleasant curb appeal. The materials are in good condition at this time. The interior of structure has undergone updates and modifications and is in good condition despite other site conditions. The majority of parking spaces east of Lannon Drive are located within the Lannon Drive right-of-way. These spaces would be lost in the event of major road reconstruction. The lands west of Lannon Drive are used for overflow parking. These parking areas are unpaved, and are not in conformance to zoning code requirements. S75 W17226 Janesville Road, Tax Key No. 2193.070: The Marathon gas station located at the northwest corner of Janesville Road and Lannon Road has a series of zoning troubles. The gas canopy and main structure are both classified as legal non-conforming structures. The canopy is located within the ultimate right- of-way of Janesville Road and will most likely be razed during reconstruction of the roadway. The structure is 38 years of age and has an Assessment Grade of “C”. The CDU of the structures in “Average”. The canopy is in fair condition. The principal structure is in fair to poor condition, and is sheathed in low quality vertical wood siding. The parcel itself is legal non-conforming due to insufficient area, being only 17,390 square feet in size. CDA Minutes, March 12, 2003, page 16 The site is approximately 95% covered with impervious surfaces. The site conditions result in substantial stormwater discharge, which are not treated for stormwater quality or quantity. Egress to the site does not conform to AASHTO standards due to proximity of drives to the signalized intersection. It is not known if – or to what extent - the property is contaminated and in need of environmental remediation. Redevelopment of the site will require environmental testing to assure compliance with modern environmental regulations. W172 S7505 Lannon Road, Tax Key No. 2193.069: This commercial structure currently houses the unoccupied Bangkok Café. The structure and parcel are legal and conforming to zoning requirements. The structure is mixed use, and espouses certain favorable TND principals, having residential dwellings above the retail areas. The structure is 58 years of age and has an Assessment Grade of “C”. The CDU of the structure is “Average”. In its original form, the structure represented an architectural vernacular unique in Muskego. The structure has undergone several exterior modifications, which have removed its original character, leaving an aesthetically unpleasant building presentation from places of public view. The Café no longer maintains consistent hours of operation and does not significantly contribute to the economic viability of the downtown area. S74 W17000 Janesville Road, Tax Key No. 2198.984: This property, formerly known as the Parkland Mall, is located in the center of the Project Area. The property is 468,819 square feet (10.76 acres) in area, including lands submerged in ponds. It is believed the site is approximately 8 acres without the ponds. The parcel was the home to an early suburban shopping center built in 1973-1974. Tenants began to leave the property in the late-80s for “stand-alone” sites with greater exposure. Throughout the 1990’s, the structure began to deteriorate as maintenance was deferred. Following a change of ownership, in the later part of the 1990’s the structure sat vacant. The mall structure was razed in 2000. CDA Minutes, March 12, 2003, page 17 The site currently sits vacant. Asphalt parking has deteriorated after many years without maintenance. In many cases, deterioration is so severe as to be impassable by motor vehicle. On-site storm sewers have collapsed in some areas, resulting in on site flooding in the smallest of rain events, and the intermittent – but frequently long-term - ponding of stagnant water. Unused lighting poles and fixtures are located within the parking field and are not conforming to current zoning standards. An unused steel pole mounted sign frame stands within the parking field and is not conforming to current zoning standards. It is Stormwater retention ponds located on the north end of the property are undersized to accommodate the site’s ultimate redevelopment potential. The ponds are also a part of the Project Area’s periodic flooding problems described previously. Aerial photography provided by the Department of Agriculture dating from the 1950’s and 1960’s depict the site as a wetland. The site was filled prior to modern environmental regulations. Redevelopment of the sit may require substantial additional cost for footings, foundations, pilings, and other support structures. To the City’s knowledge, all contaminants were removed in conjunction with the razing of the structure. It is not confirmed if – or to what extent - the property is contaminated and in need of environmental remediation. Redevelopment of the site will require environmental testing to assure compliance with modern environmental regulations. Existing underground utilities traverse the site and are not located within easements. In many cases these utilities have not been “as Built”, meaning that their exact locations and structural characteristics are unknown. S74 W17005 Janesville Road,Tax Key No. 2199.999.001: The Pick N Save grocery center is the only “big box” retail structure within the Project Area. The grocery operation was built in 1987 and is a part of the strip retail center. The development has all of the characteristics of a big box suburban center of that era: It is dominated by excessive building setbacks, a large parking field with minimal landscaping, minimal pedestrian accommodations to separate foot traffic from vehicular traffic, and drab and uninspiring CDA Minutes, March 12, 2003, page 18 architectural elements. The center does not exude any design characteristics of Smart Growth or Traditional Neighborhood Development. The utilization of Smart Growth and Traditional Neighborhood Development principals is anticipated to be a key component of Project Area development and redevelopment. The structure has an Assessment Grade of “C” and a CDU of “Average” The site does not accommodate on-site stormwater management facilities. The site is 395,148 square feet (9.07) acres in area and is approximately 50% covered by impervious surface. The site conditions result in substantial stormwater discharge which are not treated for stormwater quality or quantity. Multiple tenant addresses – Janesville Road, Tax Key No. 2199.999.022: This strip retail center was built during the 1991. The center has all of the characteristics of a suburban multiple tenant retail center of that era: It is dominated by large building setbacks, a large parking field with minimal landscaping, minimal pedestrian accommodations to separate foot traffic from vehicular traffic, and drab and uninspiring architectural elements. The center does not exude any design characteristics of Smart Growth or Traditional Neighborhood Development. The utilization of Smart Growth and Traditional Neighborhood Development principals is anticipated to be a key component of Project Area development and redevelopment. Despite the lack of TND principals, the structure has an Assessment Grade of “B” and a CDU of “Average”. The site does not accommodate on-site stormwater management facilities. The site is 170,123 square feet (3.91 acres) in area and is approximately 98% covered by impervious surface. The site conditions result in substantial stormwater discharge, which are not treated for stormwater quality or quantity. No address – Janesville Road, Tax Key No. 2198.990.001: This property is an outlot of the Pick N Save strip mall. Access is afforded only through the mall parking lot. The site is currently vacant, and unkempt, being tall grasses, weeds, and scrub brush. The site is frequently littered by debris from the adjacent retail center. CDA Minutes, March 12, 2003, page 19 No address – Tax Key No.2198.985.062 This property is an outlot of the Pick N Save strip mall, and is adjacent to Tax Key No. 2198.990.001 discussed above. Access is afforded only through the adjacent outlot. The parcel is nonconforming to area and width, as it is 60 feet in width and 9,054 square feet in area. The site is currently vacant, and unkempt, being tall grasses, weeds, and scrub brush. The site is frequently littered by debris from the adjacent retail center. S74 W16834 Janesville Road, Tax Key No. 2198.981: This property possesses a number of zoning problems. The parcel is legal non- conforming due to insufficient width and area, being on 75 feet wide, and 15,206 square feet in area. The structure is non-conforming due to setbacks as it is approximately 10 feet from the ultimate right-of-way of Janesville Road. The structure is 33 years of age, and has an Assessment Class of “C”. The CDU rating of the building is “Average”. The exterior shows a minimal amount of maintenance, and is clad in low grade construction materials. The building houses multiple tenants and has insufficient on-site parking to meet zoning code requirements. Customer parking is provided to the west and south of the structure. Parking to the south is within the ultimate right-of-way of Janesville Road. All such parking is anticipated to be lost upon County acquisition of right-of-way for roadway expansion, further compounding the on-site parking problems. The parcel is approximately 95% covered with impermeable surface. The site conditions result in substantial stormwater discharge which are not treated for stormwater quality or quantity. S74 W16810 Janesville Road and S73 W16790 Janesville Road, Tax Key No. 2198.999.004 This property includes a single family residence and a commercial establishment. The parcel is legal and conforming to zoning code requirements. The commercial structure is 18 years of age. The age of the residence is not known. The structures have an Assessment Grade of “C+”, and a CDU of “Average”. The commercial structure is clad in a metal vertical seam siding, with minimal architectural enhancements. The commercial structure is non-conforming due to offsets, as it is less than 50 feet from the ordinary high water mark of the Freedom Square Ponds. CDA Minutes, March 12, 2003, page 20 The residential use is non-conforming to the zoning district requirements due to insufficient street yards, as it is located within the ultimate right-of-way of Janesville Road. It is presumed that the structure will be razed with the reconstruction of intersection as part of the County’s Janesville Road project. S73 W16750 Janesville Road, Tax Key No. 2198.984.005: This property is located between Arby’s and Pizza Hut. It is land locked and afforded access to Janesville Road via easement. The property is 30,971 square feet in area, but is approximately 50% covered by surface waters associated with the Freedom Square ponds. Since the time this parcel was platted, the US Army Corps of Engineers has declared the ponds to be navigable water of the United States, thus imposing strict setback requirements on the parcel. The property is currently vacant, and is known to have a “gap” in legal descriptions with the Arby’s property to the west. No address – Janesville Road, Tax Key No. 2198.999: These lands are located near the eastern boundaries of the District, and have been zoned for single-family residential development. The parcel is 870,648 square feet (19.99 acres) in area. The majority of the parcel has no street access, as it is severed by wetlands and environmental corridors. The environmental areas of the property have been identified as a high acquisition priority in the City’s adopted Conservation Plan. The property is vacant and has been used for agricultural purposes. S71 W16222-24 – Janesville Road, Tax Key No. 2197.998: These lands are located at the eastern boundary of the District, and have been zoned for attached single family and multiple family residential development. The property is 748,972 square feet (17.19 acres) in area, and contains a two family structure and several agricultural outbuildings. The structures are 103 years of age and have an Assessment Grade of “C”. The CDU of the structures is “Average”. However, the duplex CDA Minutes, March 12, 2003, page 21 structure is in declining state of repair, having had deferred maintenance for a number of years. The outbuildings are in an advanced state is disrepair and show a lack of basic maintenance. The parcel is currently used for agricultural purposes. A portion of the property is subject to seasonal inundation. DETERMINATION OF BLIGHTED AREA The Planning Staff concludes that the observed conditions in the Project Area include a substantial number of deteriorated or deteriorating structures; faulty lot layouts in relation to size, adequacy, accessibility and usefulness; obsolete platting; a diversity of ownership; substantial number of deteriorating structures; unsanitary and unsafe conditions; presence of predominantly open areas; and the existence of conditions which endanger life and property by fire, flood, and other causes. Planning staff finds that within the Project Area the resulting blight conditions discussed above occur both singularly or in combination. Further, the Planning Staff finds that the presence of these conditions on specific properties contribute conjunctively to substantially impair or arrest the sound growth of the community; constitutes an economic and/or social liability; and is a menace to the public health, safety, morals, and welfare in their present condition and use. DETERMINATION OF SPECIFIC BLIGHTED PROPERTIES The Planning Staff concludes that the observed conditions of specific properties in the Project Area include dilapidation, deterioration, age or obsolescence; the existence of conditions which endanger life or property by fire, flood, and other causes or any combination of such factors; properties which by reason of faulty lot layout in relation to size, adequacy, accessibility or usefulness; obsolete platting; diversity of ownership; properties which are predominantly open; insanitary or unsafe conditions, and deterioration of site or other improvements. Planning staff finds that on the specific properties described herein, the resulting blight conditions discussed above occur both singularly or in combination. Further, the Planning Staff finds that the presence of these conditions on specific properties contribute conjunctively to substantially impair or arrest the sound growth of a city, retards the provisions of housing accommodations or constitutes an economic or social liability, and is a menace to the public health, safety, morals or welfare in their present condition or use, and which because of deterioration of structures or site improvements, or otherwise, substantially impairs or arrests the sound growth and development of the community. Planning staff concludes that each of the properties described herein in a blighted property pursuant to the definitions found in Wisconsin Statutes, and that the Project Area is blighted pursuant to the definitions found in Wisconsin Statutes.