Larry Hilliard– Chairperson
Candida Affa- Vice Chairperson
Sara Hailstone– Secretary
Mary Ellen Koval-Treasurer
Ray O’Connell-Assistant Secretary
Tamara Dolan - Executive Director
Daniel K. McCarthy - APA Solicitor
ALLENTOWN PARKING AUTHORITY
BOARD OF DIRECTORS MINUTES
A regular meeting of the Allentown Parking Authority Board was held June 17th, 2014 at the offices of
the Allentown Parking Authority located at 603 W. Linden Street.
The following were in attendance:
Larry Hilliard-Chairperson
Candida Affa-Vice Chairperson (in attendance via speaker phone)
Sara Hailstone-Secretary
Mary Ellen Koval-Treasurer
Ray O’Connell-Assistant Secretary
Also in attendance:
Tamara Dolan-APA Executive Director
Daniel McCarthy-APA Solicitor
Connie Abercrombie-Finance Manager
George J. Grazer Jr.-Manager of On-Street Operations
Marge Hopkins- Minutes
Kevin Reid, Esq., King Spry
Todd Helmer-Tim Haas and Associates
Anthony Ganguzza-Boyle Construction
Christopher Bamber-PFM-via conference call
Larry Hilliard called the Board meeting to order at 12:00 pm
Page 1
MINUTES
Mr. Hilliard asked for a motion to approve the Minutes from the May meeting. Mary Ellen Koval made
a motion to approve the Minutes, Ray O’Connell seconded the motion, all were in favor and the Minutes
were approved.
OLD BUSINESS
Parameter Resolution
Kevin Reid addressed the Board stating that the prior resolution in the May Board meeting was a
framework resulting in the current resolution terms. The supplemental resolution will allow the APA to
retire outstanding debt through refunding and secure financing for the Community Deck. The structure
of the loan from National Penn Bank will have a ten-year fixed rate with maximum of 5%, with the tax
exempt portion of the loan projected at 3.5% and the taxable portion at 4.5%. Mr. Hilliard asked how the
rate is to be set and Christopher Bamber stated that the interest rate will be determined by the market
rate. Continuing, Mr. Reid stated that after the initial fixed rate, the loan will be reset at a variable rate
using the Wall Street Journal prime rate index with a rate cap. Mr. Hilliard asked how the rate quoted
correlated to others in the area. Mr. Bamber replied that the APA is experience different growth and the
ten year fixed period is longer then the norm of seven years; however, the rates are in line with the
current trend. Mr. Hilliard asked whether there was a penalty if the APA were to pre-pay the loan and
Mr. Bamber stated that there would not be a penalty. Mr. Bamber stated that the performance projections
and continued growth for the APA have resulted in credit worthiness for the financing from NPB. Mr.
Hilliard asked about the benefit and possible penalties for the refunding of the outstanding APA debt.
Mr. Bamber replied that the decline in interest rates from when the financing was originally secured to
the current rate will prove a savings to the APA and there will not be a penalty to refinance the debt. Mr.
Reid stated that all but the APA bond from 2005 that has a call date of November 2015 will be
refinanced. The 2005 bond, continued Mr. Bamber, will be paid using an escrow account that would be
invested in government securities. The security pledge from the bank includes a re-mortgage of surface
lots and parking decks and will be modified as the financing evolves. Mr. Hilliard stated that the APA
would appreciate the ability to be able to sell surface lots and asked that the liens be removed from the
lots. Mr. Bamber stated that the loan terms will be modified. Mr. Reid stated that there will be additional
bond provisions in the indenture and the bank will look at the picture as a whole. Furthermore, should
the APA require additional funding for future projects and has met the terms of current financing, the
bank, stated Mr. Reid, should feel comfortable extending additional monies. Tamara Dolan stated that
the bank needs to be comfortable with the lease agreement from J.B. Reilly to guarantee his use of 400
spaces at the Community Deck. The APA, Ms. Dolan stated, continues to work with Marc Feller to
define the terms of the agreement. Sara Hailstone asked what banks are involved in the financing and
Ms. Dolan stated that National Penn Bank has committed to approximately $22 million and Team
Capital and Univest will divide the remainder. Mr. Hilliard asked for a motion to authorize the signature
of the amended resolution. Candida Affa made a motion to approve, Ray O’Connell seconded the
motion and all were in favor and the motion was approved.
Spiral Renovations
Todd Helmer and Anthony Ganguzza presented the design for the improvements to the Spiral Deck.
Page 2
According to Mr. Helmer, the aesthetic improvements include new elevator towers, way finding signage,
a pedestrian walkway and connection from 9th to Lumber Street which will create convenient access to
the arena facility. All current signage is to be removed from the structure. Continuing, Mr. Helmer stated
that from a vehicular standpoint new signage will be applied to the parking garage elevation on Linden
Street. New lighting, planter boxes, and metal panel applications will create a pedestrian friendly
environment, according to Mr. Helmer. Cameras will be installed in the new South facing elevator and a
pedestrian corridor using new directional graphics and colors, as well as double doors to the facility will
create significant improvements to the garage, continued Mr. Helmer. Tony Ganguzza stated that new
walkway design is a continuation of the existing walkway. The plaza, according to Mr. Helmer will have
permeable surfaces, landscaping and lighting. The 8th street vehicular exit will also be improved to make
it more identifiable. Ms. Hailstone asked whether a wall on the building that is on APA property
adjacent to the Spiral deck can be used for a mural that the mayor has requested. Mr. Helmer confirmed
that the wall is located on APA property and can be used for a mural. Ms. Hailstone stated that they city
is trying to incorporate as much local art in the downtown development and is currently working with
the director of the art museum. Ms. Dolan stated that the APA will look into adding a mural on the site.
Regarding the steel beam and installation, Ms. Dolan stated that the steel beam is still under
consideration and many of the APA staff prefers concrete. Dan McCarthy asked why the elevator will be
a closed unit rather than a glass backed. Ms. Dolan stated that the elevator is South facing and heat is a
factor with the elevator operation and comfort of the riders. Ms. Hailstone stated that open elevators
would be preferred and Ms. Dolan stated that the temperature inside a South facing elevator shaft has
proven, through use at the ATC deck, to result in numerous break-downs of the equipment causing
parkers to use steps or wait for second elevator. The staff determined that, absent a guarantee from the
elevator company and/or the engineer that the south-facing glass-backed elevator would not result in
these consistent interruptions of service, it would be prudent to instead look at alternatives. Neither the
elevator manufacturer nor the engineer were able to provide that guarantee. Mr. Ganguzza stated that the
elevator will be complete before Thanksgiving and other then the new shaft and generator, the rest of the
improvements will be completed prior to Labor Day. Continuing the Spiral enhancements, Ms. Dolan
stated that the APA is working on a plan to light the helix; however, the cost for lighting, $250,000 may
be prohibitive to the enhancement. Continuing, Ms. Dolan stated the color of the lighting may present a
safety issues for drivers and has asked the electricians to present a better alternative. Mr. McCarthy
suggesting using advertising to subsidize the cost of lighting the helix.
Farr Lot
Ms. Dolan reported that the APA has an agreement for sale for the Farr lot. The terms of the agreement,
according to Mr. McCarthy address the reverter clause issue, presented at a prior meeting, as well as a
guarantee by Think Loud to rent 100 spaces from the APA for two years and the parkers could not be
from the APA’s system for a two-year prior. The sale price, according to Ms. Dolan is $1.4 million with
a non-refundable deposit of $10,000, $490,000 due at closing and $500,000 eighteen months from
obtaining a Certificate of Occupancy and additional $400,000 eighteen months later. NIZ credits are also
possible, according to Ms. Dolan. Continuing, Ms. Dolan stated that Think Loud will have sixty days
due diligence from the date of closing, fifteen months for groundbreaking and prior to groundbreaking,
the APA will be able to continue to park vehicles on the lot. Think Loud will give the APA a fifteen day
written notice allowing the APA to contact parkers and have them relocated. Mr. McCarthy stated that
the reverter clause will be effective April of 2016. Mr. Hilliard asked Board members to approve the
terms as explained and requested signatures for the agreement. Ms. Koval made a motion to accept the
agreement, Ms. Affa seconded the motion, all were in favor and the terms of sale were approved.
Page 3
Sweeper Camera
Ms. Dolan stated that due to an increase in price for the camera technology, the sweeper camera project
has stalled. According to Ms. Dolan the original price quoted was $93,000; however Genetec has
increased the cost of the technology to $215,000. Genetec technology interfaces with T2 technology
currently used by the APA; therefore, stated Ms. Dolan, she contacted T2 with her concerns regarding
Genetec and is also exploring alternatives.
NEW BUSINESS
Spiral Deck Contractors
Ms. Dolan stated that bids for contractors were opened June 16, 2014 and the West Side Hammer
Electrical bid of $439,000 was accepted as was the bid presented for the general contractor by CMG of
Easton which came in at $2.3 million. Mr. Hilliard asked for a motion to approve the bids. Ms. Affa
made the first motion to approve, Ms. Koval the second, all were in favor and the bids were accepted.
Deck Review
Ms. Dolan stated that every three years the APA performs a review for concrete repair and maintenance
on the parking decks. The engineer of the review, Bob Wardle, has hired Quinn Construction to perform
the maintenance on the Spiral deck and the cost of the maintenance will be $213,000. Ms. Dolan
continued stating that maintenance on the deck presents an issue as the repair will impede parking in
various areas. Ms. Hailstone suggested that Ms. Dolan contact the ANIZA board to ask whether the
APA could re-direct approximately 150 parkers to the North Garage at the arena site and Ms. Dolan
agreed to do so. Ms. Dolan asked Marge Hopkins to review the contracts in the deck to see if there was a
large group of parkers that would be able to relocate and Ms. Hopkins agreed to do so.
EXECUTIVE DIRECTOR REPORT
Sacred Heart Hospital
Ms. Dolan stated that the APA is working with Sacred Heart Hospital regarding management of their
parking structures. According to Ms. Dolan, the APA will not be assisting in a direct financial manner
but has reached out to Hospital President John Nespoli regarding current operation of the facility. Ms.
Dolan stated that she and Connie Abercrombie reviewed financial statements for the deck and noted that
the facility has an attendant 24 hours a day; however, money generated in the overnight period was
minimal. Having the gate open without an attendant would save in personnel costs, Ms. Dolan stated.
Continuing the discussion about the deck, Ms. Dolan stated that the APA had Engineers Bob Wardle and
Todd Helmer analyze the deck and an investment of $4 million should extend the life of the deck by
thirty years. The report will be presented to Mr. Nespoli.
Camera Network
Ms. Dolan stated that she has been working with Assistant Allentown Police Chief Morris regarding the
Page 4
current camera coverage within APD’s network and to identify APA properties where the addition of
cameras might be beneficial. During the discussion, several APA properties were identified and Ms.
Dolan reported that CSI had been contacted for an estimate for the camera installation.
Sponsors for the Event Night Trolley
Ms. Dolan reported that the APA has located a sponsor for a trolley that will be used on event night to
facilitate people to and from the arena and their vehicle. The trolley will take a 20 minute loop between
the various parking locations.
Event Night Traffic Planning
Dean Schwartz has been hired by the APA as the Operations Manager for Event night parking and as
such has been working with the APD to deploy a plan to coordinate parking and traffic patterns on event
nights, Ms. Dolan stated. Because of the volume of work, Mr. Schwartz will be hiring an assistant and
45 additional part time staff for events. Mr. O’Connell asked whether the fire police could assist on event
nights, and Ms. Dolan stated that the APA will be using staff that will be hired by the APA and trained
specifically for event night parking. Continuing the discussion regarding parking for event nights, Ms.
Dolan stated that Bill Grube and Myron Haydt from the Cosmopolitan Restaurant presented an issue to
Ms. Dolan regarding how to accommodate valet service at the restaurant during events and questioned
whether they would lose access to the 6th and Court Street Lot. Ms. Dolan stated that she assured them
that the lot is being operated efficiently and there aren’t any changes planned. Ms. Dolan also stated that
she suggested to Mr. Grube that he reach out to J.B. Reilly to ask about using the 600 Linden Deck for
their valet guests. Mr. Hilliard stated that the staff will be revenue dependent and as such will not impact
the budget to a great extent. Ms. Dolan asked Board members to examine the forecasted revenue report
that Ms. Abercrombie prepared and was included in the Board packet. Ms. Abercrombie stated that the
projected increase in revenue is projected to be approximately $500,000 while the expenses were
projected to be approximately $200,000 with additional capital expenses of approximately $50,000. The
projections were based on financial analysis by both Tim Haahs as well as PFM and their figures are in
line with bank projections. Discussion continued regarding the projections and financial statements and
Mr. Hilliard asked Ms. Abercrombie to adjust the financial statements with regard to the additional
resources and to send the adjustments to the Board electronically.
FINANCIAL STATEMENTS
May Financial Statements
Mr. Hilliard asked the Board for a motion to approve the May Financial Statements. Mr. O’Connell
made the first motion, Ms. Affa seconded the motion, all were in favor and the statements were
approved.
Courtesy of the Floor
None.
Adjournment
The meeting was adjourned at 1:35pm.
Page 5
THE NEXT BOARD MEETING WILL BE HELD AT 12PM ON JULY 23rd
Page 6