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HomeMy WebLinkAboutMinutes - 07/31/1989 - City CouncilSPECIAL MEETING MONDAY, JULY 31, 1989 7:30 P.M. The Special Meeting of the McHenry City Council was called to order by Mayor Busse on Monday, July 31, 1989 at 7:30 P.M. at City Hall. At roll call the following Aldermen were present: Bolger, Donahue, Lieder, Smith, McClatchey, Serritella. Teta arrived at 7:38 P.M. and Patterson arrived at 7:49 P.M. Absent: None. Plan Commission Members in attendance were: Sheppard, Wilson, Guitterez, Swierk, Toole. Absent: Buhrman, Osmon. City staff in attendance were Attorney Narusis, Assistant to City Clerk Marth and Director of Development Greenwood. John Gann of Gann and Associates was also in attendance. Mayor Busse announced that the purpose of the meeting was to discuss the next phase of the Comprehensive Plan update, which was the Downtown Development Plan and accordingly, a most important phase, one which the Council should devote a major amount of time and study on. Busse stated that the agenda for the evening was for Gann to give an overview of the report, answer questions and then the Council would basically outline which items of the report were acceptable or not acceptable. John Gann began by pointing out one of the things they had learned in working with communities in downtown areas was that the downtown retailers had a lot to learn from shopping centers. He said they could improve themselves and be more competative if they looked at what shopping centers were doing right and then emulate it. Turning to the report itself, Gann stated that the one fundamental idea that was basic in the report was that downtown McHenry (as broadly defined in the report to extend from Main Street on the West to Riverside Drive and the River on the east) would change whether or not the City, Chamber or EDC tried to make it change or even wanted it changed. The basic fact was that change was not an option. The downtown area will be different 5, 10 and 20 years from now. There is nothing that can be done to keep it the way it is now. So, assuming that, then the only options are the different ways that it might change and how we want it to change. Gann said that some of the ideas in the report may appear to be far-fetched but going back only eight years to 1981 when the City adopted a Comprehensive Plan, it stated that the downtown area was and would continue to be in the future a dominant retail center in the City of McHenry. In just that short period what seemed to be a reality at the time now seems far-fetched with the current development of retail centers at the City's outskirts. He said that whatever kind of downtown plan the City adopted, it wouldn't happen overnight. It could take decades and there would be no need to go back to the zoning map and change all the zoning in the downtown area to correspond with a long range land use plan. Zoning changes are better, if phased -in in increments rather than changed all at once. Referring to the report. Gann explained that they made recommendations in five areas. Those being: Organizing Concepts - Trying to get an idea of a role or unction or eac of the downtown business areas. 2. Activity Development - Expanding on activities that people want to take par in and will come downtown to avail themselves of. 3. Physical Development - Recommendations on land use, intensity, zoning policies. 4. Circulation & Parking - A very important factor. 5. Retail Area Management - If the future of downtown McHenry is re ai en management is necessary, not exactly like shopping center management but taking pointers from them. Since downtown McHenry is one of the oldest sections in town with possibly some historic significance, the City may want to preserve those portions and Gann suggested the Council might want to incorporate some preservation regulations either as part of the zoning ordinance or separately. These regulations would not be incompatible with any of the concepts contained within the plan and would give the City a greater Monday, July 31, 1989 Page 2. degree of management capabilities in the area. The plan does indicate that based on experience, historic preservation in and of itself can not revitalize a downtown area economically. Other things have to be done along with it. Gann then reviewed the following six downtown enhancement options that would be policy choices but would also have to include commitment, both monetarily and long term, by the City and the private sector: 1. Maintenance tmiL' t �ntown development efforts to routine maintenance functions, such as street resurfacing, sidewalk repair, etc. and allow unaided market forces to determine future character of present retail areas. This would be the low-cost, non -controversial status quo option letting the areas remain essentially as they are and possibly lead to greater deterioration. 2. Beautification Plan to enhance the physical appearance of present downtown retail areas through facade restoration, awnings, new signage and street furniture, but do not otherwise attempt to preserve or enhance the economic viability and competitiveness of these areas. 3. Conversion Plan to convert all of downtown from a largely retail area into an office/services/institutional center. Under this option, no special effort would be made to preserve existing retail uses or add new retail development. This is the direction many downtowns have been moving over the last decade and those that are successful tend to be in the larger cities. Smaller communities, like McHenry, do not have a significant number of national or regional office -based businesses and are less attractive as office locations and thus less successful. 4. Triage 7Tainto preserve only Green Street as a retail area, concentrate revitalization efforts there, and allow Main Street and Riverside Drive to become office, semi -industrial, or non -consumer areas, as market forces may determine. This option would have the advantage of focusing revitalization efforts on a single location, but would probably mean the eventual decline of the other two traditional retail districts on Main Street and Riverside Drive. 5. Specialization Plan each existing downtown business district as a specializing retail area focusing on a segment of the market rather than as general retail areas in direct competition with shopping centers. This option would allot: retention and even growth in all three retail areas through the strategy of devoting each area to a different use serving different customer bases. 6. Consolidation an>s n t mmerge present downtown business areas into a single larger general retail area with enough of a critical mass of stores to attract shoppers and survive a viable retail center. A larger downtown retail district in a single location could have greater attraction for shoppers than the three small districts have at present. Combining Green Street and Riverside Drive by encouraging more retail development along Route 120 could provide one solid retail area. High traffic on Route 120 would, however, remain a barrier dividing such a center. Monday, July 31, 1989 Page 3. In conclusion, based on information and experience of other downtowns with problems similar to McHenry, Gann suggested the following options preference order: 1. Option 5 - Specialization 2. Option 6 - Consolidation 3. Option 4 - Triage 4. Option 3 - Conversion 5. Option 2 - Beautification 6. Option 1 - Maintenance Gann ended his report by recommending that the City and downtown business community not give up on retail in the downtown area but take deliberate action to preserve this function and develop a separate specialized identity for each one. Building on what is there now Main Street could become sort of an "old town" entertainment district; Riverside Drive with its proximity to the Fox River could be a water -based recreation center and Green Street has the greatest potential as more of the general retail area with development along Boone Creek of shops and restaurants. He also recommended re -development of surrounding areas and tieing them into the three present retail districts which would create one retail area that is bigger and more attractive then what is there today. The redeveloped sections could also contain multi -family and/or office areas which do bring people downtown and sort of create a captive market with its convenience. Mayor Busse thanked John Gann for his excellent presentation and stated he felt the report identified the problems that had to be dealt with - mainly a lack of space - the low rent image - traffic circulation and parking. He also felt that like the report recommended, the downtown areas had to be preserved with the individualized character that each possessed. Lastly, Busse felt that a trade area study needed to be done to determine what will "sell" in these downdown areas. Gann made one more comment and that was that the report was intentionally vague on whose responsibility it would be to implement any or some of the options recommended. Obviously, Gann said, some things only City government can do and some only the private sector, Chamber of Commerce or a Downtown Development Corporation can best do. If the decision is made that some of these options are worth doing, how the responsibility and labor is divided is a matter on how well the different groups can work together. Busse asked the Council and Plan Commission members for their impressions. Plan Commission member Bill Wilson felt it would take a great deal of "fresh" money to accomplish a plan of revitalization and wasn't sure whose responsibility - government or private sector - it was to see that money was made available for it or how it would be used. He also felt that the specialization of each area was the best option, but wondered how you could tell an owner of a building that what he wanted to do with the ground floor of that building wasn't allowed. Answering Wilson's question of not allowing a particular use for a ground floor in a building of a "specialized" zone, Gann said that the first priority was that at least a majority of the property owners and businesses had to commit to the idea. If there is a unifying concept they will all do better, but this will take educating and selling and can be difficult. If you do get them to subscribe, you can then work with them on a persuasive, voluntary basis and then either the City, Chamber, EDC or all, can help find the right kind of tenant. The trade area survey will help tell you what will sell there and then you actively go after that type of business. Your zoning ordinance can also help reinforce the concept, Gann said. Patterson felt that the businesses in these areas were under -capitalized and were not willing to put money into the buildings. He liked the idea of specialization but felt it had to go hand in hand with the beautification concept with the key to it being the investment of some serious dollars - probably millions. He stated that a TIF District could provide those dollars and that the Council had better start selling the positive values to counteract the negative ones being circulated about TIF. Monday, July 31, 1989 Page 4. Teta responded favorably to the Downtown Land Use Plan shown on page 27 and specifically liked the General Retail Centers and walkways along Boone Creek. He mentioned seeing an artist's concept plan that Bolger once showed him envisioning just this idea. Teta said that Boone Creek was a natural resource that should be utilized and could become a major commercial draw. He felt certain that something like this plan could revitalize the downtown area especially if joining all three areas together with walkways was done. Bolger stated that the Boone Creek concept was about 30 years old and volunteered to go get copies of the plan he had at home. All agreed that they would like to see it, whereupon Bolger left to get them. Lieder felt that in order for any plan to be viable you had to offer something that people want and to keep in mind that just making the outside attractive would not make it generate business. He also felt it was up to the private sector to take the leadership role with the City assisting and not overstepping the Council's bounds. Lieder asked Gann if limiting the rezoning of land to commercial and retail districts outside the downtown area might help revitalize the downtown areas. Gann responded that there would be virtually no chance a Wall -Mart or K-Mart would come into the downtown area if you did that. Their land requirements are such that there would not be enough space for them to use. Keeping them out of an outlying area would not bring them downtown. Also, Gann said, chances are if you refuse to rezone for a supermarket or convenience store, they would not come downtown either, because that's not where the customers are. Certain kinds of uses may come into the downtown areas if you keep them out of the outlying areas, but then they could also go to the County to get zoning and frustrate your efforts. Generally, he explained, it was not good strategy to zone with a view to what might be called "preventing competition" and is certainly not the purpose of zoning. You can't protect people from competition, he said. The better idea is to take the downtown areas and make them competitive and bring them up to the standards of a shopping center. Gann recommended helping the retailers to compete, but not keeping out someone else. Bolger returned to the meeting and passed out copies of the Boone Creek Shopping Center concept drawn by Stanton & Rockwell, City Planners at the time. Everyone present was enthused by the concept. (Copy is attached at the end of the minutes). Busse said he believed that the City should take the leadership role, but some Aldermen feared in order to implement the Specialization Option, certain businesses would be displaced. Gann said that the City should not try to displace any existing businesses. The report was founded on the idea that even in the healthiest and best business areas there are periodic vacancies and turnovers. It is something you work toward as the opportunities arise and over a period of time in the normal course of events. This is when the opportunity is created to put in that speciality shop. Mayor Busse called for a recess at 9:08 p.m. The :^-cting reconvened at 9:20 p.m. with all, except Ald. McClatchey, still in attendance. McClatchey left during the break. Bolger believed the number one priority was for the City to provide more off-street parking on Main and Riverside. He said some businesses have already spent considerable money upgrading their property and felt that Riverside Drive had revitalized on its own and that the other two areas were beginning to revitalize. He felt that they could compete with the malls by maintaining what is there now, adding off street parking, a beautification program and being open longer hours. Bolger said we have to do more to help the small businesses. Taxing them or telling them what kind of business they can have is not the answer. Monday, July 31, 1989 Page 5. Gann commented on the concerns some had on regulating or dictating to owners on the type of business they could have. He believed that zoning regulations or other regulations would not have a very big part. Making specialization happen is not largely done in the area of regulations because you can't regulate yourself into a good downtown, he said. Specialization is something the Chamber or a private downtown development corporation should do because maybe the building owners would trust them more than City government to give them advice in this area. He said you would have to find a way that works best for McHenry and maybe a combination of the options would work. Even in cities that have specialized areas where certain uses are permitted or prohibited, there is an escape clause that gives an exception if the ground floor space is vacant for a specific length of time. The escape clause allows some other use to go in there because evidently there is not a market for the specific use and some use is better than none. Comments from the remaining attendees were generally favorable on the report and especially on the Specialization Option, but they felt the merchants involved would have to totally support it by taking an active role and providing a substantial investment of time and money to make it work. They also felt the trade study had to be completed before any further action was taken. Gann emphasized that in the City's effort to get support from the private sector, in addition to the merchants, to also involve the property owners and financial institutions. In closing, Busse said that the City had many untapped resources and if you believe in something strong enough and make a commitment, it can happen, but it has to be realistic, achievable and agreed upon. He believed the alternative of doing nothing would be catastrophic for the City. Motion by Smith, seconded by Teta, to adjourn. Voting Aye: Bolger, Donahue, Lieder, Patterson Serritella, Smith, Teta. Voting Nay: None. Absent: McClatchey. Motion carried. Meeting adjourned at 10:30 p.m. sis an to i y er ayor