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HomeMy WebLinkAbout02-10-26 PRHA MinutesPulaski Redevelopment and Housing Authority Meeting Minutes February 10, 2026 The Chairman called the meeting to order at 6:00 p.m. and asked for a roll call. Lane Penn- Aye Charles Underwood- Absent Michelle Poore- Aye Brooks Dawson- Aye Terry Hale- Aye Joseph Goodman- Aye Thomas Underwood- Aye Consideration of February 10, 2025 Minutes The motion was made by Mr. Underwood and seconded by Mr. Hale to adopt the minutes as written. Lane Penn- Aye Charles Underwood- Absent Michelle Poore- Aye Brooks Dawson- Aye Terry Hale- Aye Joseph Goodman- Aye Thomas Underwood- Aye Financial Review Manager Day noted that the Authority currently has only two active projects: the brewery and Calfee Community, with some uncertainty about whether another project may still be pending. The ending bank balance is reported as $14,475.30. He indicated limited historical knowledge but expects the balance to remain relatively steady in the near term. It was also noted by Mr. Goodman that $10,000 has been in the account since 2009. The Housing Authority is described by Mr. Goodman as functioning largely as a pass-through entity rather than operating like a traditional housing authority such as those in Roanoke or Norfolk. Funds often move through the Authority because they be legally expended by the Town before being utilized. Rather than managing large-scale housing developments, the Authority has supported local development through the sale or ownership of assets, using proceeds to assist projects in town. However, operating as a full traditional housing authority would require substantial seed funding, which is not currently available. Mr. Underwood raised a question regarding a $26,000 entry listed as “Pulaski County Treasurer” (Check No. 103). Mr. Goodman explained that this amount relates to taxes owed on a donated property. As part of the donation agreement, the taxes were forgiven. Similar tax issues may have occurred with properties such as Calfee and the building now occupied by Great Wilderness. It is clarified that the $26,000 was likely recorded for bookkeeping purposes to show the transaction as revenue neutral, rather than reflecting actual funds deposited and then paid out. The motion was made by Mr. Goodman and seconded by Mr. Dawson to adopt the Financial Review. Lane Penn- Aye Charles Underwood- Absent Michelle Poore- Aye Brooks Dawson- Aye Terry Hale- Aye Joseph Goodman- Aye Thomas Underwood- Aye Discussion(s) Calfee Community Cultural Center Update- Mickey Hickman Dr. Hickman provided a comprehensive update on the Calfee Community & Cultural Center project, beginning with historical context. The project launched in 2019 with an estimated turnkey cost of $2.5 million. However, due to COVID-19 and rising construction costs, the estimate increased to $4.5 million after initial fundraising efforts. After successfully raising $4.5 million over several years, costs rose again to $6.5 million. In response, the board divided the project into five phases to allow visible progress after years of fundraising without significant physical changes beyond acquiring the building. Phase One established the Harmon Learning Center, named after former teachers Chauncey and Lucy Harmon. This phase cost $2.5 million and converted part of the building’s long corridor into three classrooms. The Calfee building, described as T-shaped from an aerial view, now houses the childcare center in the extended corridor section. The center opened in fall 2024 and currently serves 30 children, though the original plan called for six classrooms. Phase One also included partial renovation of the kitchen. While currently functional for childcare meal service, the kitchen is only half the intended size. Phase 2B will double its size to create a commercial kitchen, with foundation work already underway and completion anticipated by summer. A $50,000 grant has been secured for new kitchen equipment. Phase 2A involves exterior improvements. Sixty percent of the building now has a new metal roof, though the large rear section (former cafeteria/auditorium) will be addressed in Phase Five. As of the previous day, new gutters and downspouts have been installed. Exterior work, weather permitting, is expected to be completed by the end of the month. Eight historically appropriate windows across the front façade will soon be installed. The total cost of replacing all building windows exceeds $500,000, and the project is utilizing historic tax credits, which require restoration consistent with the building’s original appearance. Phase Three will focus on interior renovation of the four front-facing rooms. Plans include office space (two small offices and a board meeting room), potentially for rental income and community use. The next room will house the African American Heritage Center at Calfee. Dr. Hickman emphasized that the museum will be technologically advanced, working with the consulting firm Quadrant to create interactive exhibits. Features will include immersive audio-visual elements such as a cone-shaped projection area with localized sound, and four stations with large screens where visitors can select topics, such as interviews and Calfee history, similar to using a jukebox interface. The museum will align exhibits with educational standards of learning, encouraging visits from Pulaski County as well as Montgomery and Wythe County students, ensuring educational value for school groups. Dr. Hickman continued outlining Phase Three of the Calfee project, explaining that the technology installations, storytelling components, and historical materials for the museum are nearly complete. The goal is for the museum to be operational by the summer of this year. Adjacent to the museum space, the executive director’s office and restroom facilities will be located near the entrance. On the far-left side of the building, near the creek, a digital lab will be established. This lab will house 24 computers and offer a range of programming, including after-school programs for students, certification courses, and digital literacy training for adults. The digital lab has already been wired internally as part of Phase 2A. The office space, museum, executive director’s office, and digital lab renovations, collectively costing $1.7 million, are funded and underway, with completion expected by the end of the month. Dr. Hickman noted that there was a temporary delay in accessing federal funds during a presidential administration transition, when communication with federal offices became difficult, but that issue has since been resolved and funding has been secured. Dr. Hickman explained that while significant progress has been made, additional classrooms are still needed due to strong demand for childcare services. The organization recently secured a $100,000 matching grant from the Capital Foundation and successfully matched it with another $100,000 raised from the community, bringing the total to $200,000. However, Thor Construction Company estimates that the additional classrooms will cost more than $300,000. With the help of historic tax credits and the funds raised so far, the board believes the classrooms can be completed, ideally by the end of 2026, possibly sooner. The project continues to move forward incrementally as funding allows. Phase Four includes improvements to parking and outdoor recreation areas. A new, smaller parking lot will be constructed on the right side of the building, while the existing lot near the creek will be upgraded. The new lot will also be marked for recreational use, including basketball and pickleball, with court lines and a goal installed. In addition, playground improvements are planned. A playground for daycare-aged children already exists on one side of the building. On the opposite side, near the creek, a smaller, raised playground with artificial turf will be constructed for the youngest children. Completion of Phase Four is projected for the end of 2026. Phase Five involves renovation of the large rear auditorium space into an event center, estimated to cost $1.5 million. This remains the primary area of financial uncertainty, as the full funding amount has not yet been secured. Executive Director, Jill Williams, has been actively pursuing grants, with several applications currently pending. If even one or two are approved, the goal is to complete the event center by 2026. Dr. Hickman emphasizes Ms. Williams’ exceptional grant-writing abilities, noting that she has secured funding not only for construction but also for operational costs, allowing the organization to maintain a small staff. Recent funding includes an additional $50,000 from the Melvin Foundation for historic preservation work. Some forthcoming grants have not yet been publicly announced due to executive communications. Discussion shifts to construction procurement. A question is raised by Mr. Underwood about whether Calfee is tied to Thor Construction. Dr. Hickman explained that while Thor has frequently served as a contractor, the organization is not obligated to sole-source contracts. Thor has often been the lowest bidder in a competitive process. Mr. Goodman clarified that, in compliance with the Virginia Conflict of Interest Act, bids are formally advertised and competitive procurement processes are followed. Many grants, particularly federal ones, require strict contractor qualifications and compliance certifications. Some local residential contractors lack the necessary commercial licenses and federal compliance credentials, which limits eligibility. The procurement process is described by Manager Day as rigorous, involving ARC (Appalachian Regional Commission) and CDBG (Community Development Block Grant) funds, with state and federal auditing requirements. To date, approximately $3.2 million in grant funds have passed through the Town for the project, none of which are local tax dollars. Further clarification is provided by Manager Day regarding the status of earlier grants. Some grants have been expended, though final audits and closeout processes are still pending at the state and federal levels. The delay in roof replacement is explained by Mr. Goodman, as the result of grant timing issues. Although the roof grant had been awarded, federal delays postponed the actual disbursement of funds, meaning construction had to proceed before the roof replacement could occur. Interior restoration work included removing carpet to expose and restore original flooring, which supports historic tax credit eligibility. Volunteers from the community assisted with demolition work to reduce costs. The restored floors required some patching but retained much of the original material. Manager Day also commended the New River Valley Regional Commission (NRVRC), led by Kevin Byrd, for its significant support in managing state and federal compliance. Jennifer Wilson, an NRVRC staff member, has played a central role in overseeing project management and ensuring proper handling of funds. Dr. Hickman noted that a monthly management team meeting, including representatives from the Town, the Calfee board, and other stakeholders, helps ensure accountability and coordination. Great Wilderness Brewery- Scot Rockafellow Mr. Rockafellow then addressed the board to provide an update on the long-anticipated brewery project. He acknowledged that the most common question he’s received is when the brewery will open. He explained that the project has encountered numerous complications involving the architect, structural engineer, and prior town management, which have created cascading challenges throughout the development process. Despite these setbacks, he expressed appreciation for the Town’s support and stated that they have worked through many of the issues. The brewery received its certificate of occupancy in November 2025. However, several outstanding building-related issues remain, primarily connected to the original contractor. Among these are roof leaks that have required repeated repairs; the contractor has returned five times and is scheduled to return again. A final health inspection is anticipated shortly, though minor building code issues were cited during a recent review, many of which again trace back to the original contractor’s responsibilities. Mr. Rockafellow outlined the phased opening strategy. The brewery will initially open on the first floor, with the second floor to be completed later. The second-floor space and outdoor areas are central to his long-term business model. Once fully operational, including both indoor and outdoor components, the business is projected to employ between 30 and 50 full- and part-time workers. The second floor is planned as an entertainment space featuring televisions for sporting events and pay-per-view fights, as well as recreational activities such as darts. Outside, the plans include constructing a 40-by-25-foot covered stage for live music performances. The goal is to host live music every Friday and Saturday and to organize community-focused events, including veteran outreach programs addressing mental health and suicide awareness. In addition to the stage, the outdoor area will include two cornhole pits with six lanes for league and competitive play. The stage and cornhole development alone are projected to exceed $200,000 in cost. The foundation work for the stage is tentatively planned for late spring, with hopes of having most of the structural foundation completed by fall. He reported that seven beers are currently completed, though fermentation timelines require patience. Equipment challenges have also slowed progress, particularly electrical issues preventing the compressor from functioning properly. As a temporary solution, a partnering brewery in Salem, Parkway Brewing Company, has helped by allowing Mr. Rockafellow to clean 50 kegs at their facility, a three-hour process scheduled for Friday. Tentatively, a soft opening for VIPs and special guests is targeted for the weekend of the 21st, with a grand opening planned for Friday, February 27. He cautions that this date should not yet be widely publicized, as final preparations, including filling kegs, must be completed. The kitchen has successfully undergone testing with assistance from a U.S. Foods chef, and all equipment performed properly. Additional progress includes the construction of pergolas by Mr. Rockafellow and another Marine, as well as the relocation of a concession stand building that is being converted into a beer garden facility. When fully built out, the establishment will feature approximately 20 taps downstairs, 10 taps upstairs, and 8 taps outdoors. He emphasized that the brewery is designed as more than just a beer-focused venue. It is intended to be a family-oriented establishment with offerings for non-drinkers as well. A “free-spirited” line of non-alcoholic beverages will include mocktails, homemade root beer, and other sodas, ensuring a welcoming environment for all members of the community. When asked about the completion of the second floor by Mr. Underwood, Mr. Rockafellow explained that progress depends largely on grant funding, specifically through the Virginia Department of Housing and Community Development (DHCD), working in coordination with the Town. Grant applications are expected around March, with potential awards in September. Ideally, he had hoped to complete the second floor before the fall football season, but that timeline is unlikely. Key components of the second-floor buildout include fire suppression systems, an exterior emergency staircase and door, additional bathroom construction, electrical upgrades, and HVAC installation. Mr. Rockafellow indicated that if the space is not completed by spring, he would be disappointed, noting his disciplined, organized approach shaped by his Marine background. He highlighted his 16 years of experience in the craft beer industry and noted that the brewery’s social media presence, with nearly 3,200 followers prior to opening, has drawn attention from breweries nationwide. Mr. Dawson raised concerns about contractor accountability, asking whether liability extends beyond simply repairing defective work, particularly given delays and financial losses. It is clarified that the work is under warranty and bonded, requiring the contractor to address deficiencies. Mr. Rockafellow expressed frustration over the financial impact of delays, including mounting interest costs and lost revenue from missed opening timelines. He explained that earlier project management decisions, including the removal of the architect and structural engineer, created loopholes that limited recourse against the contractor. Although certain work may have been flawed, the contractor could claim compliance with the original plans because updated blueprints were not formally issued after design changes. Numerous change orders further complicated the situation. Manager Day acknowledged the stress caused by turnover in key personnel, including multiple town managers and economic development staff during the project’s lifespan. Despite these challenges, he commended Mr. Rockafellow for his patience and willingness to work collaboratively through ongoing issues, even as the project continues to navigate the consequences of earlier management and contractual decisions. He highlighted that he was at the facility recently, approximately three weeks earlier, and has visited it several times. He emphasized how impressive it is that the town of Pulaski has such an elaborate facility. He mentioned that the project included just over $1.1 million in grant funding. Based on his background in construction and engineering, he commented that he would have handled certain aspects differently, although he acknowledged that each town manager may approach things in their own way. He specifically pointed out the importance of instruments such as performance bonds, bid bonds, and payment bonds, stating that he does not believe they were implemented in this contract, despite considering them essential for large-scale projects. He explained that he has used these types of bonds on projects ranging from $200,000 to one million dollars. He also reflected that a design-build contract would have been preferable to bidding solely from plans prepared by an architect. Without criticizing the architect, he compared the process to renovating an old house: until you physically begin work on the building, you do not know the hidden structural issues (walls out of square, windows that do not fit, etc.). Even so, he acknowledged that the project is moving forward and has been very positive for the community. Mr. Rockafellow invited members to visit the building and offered to give tours after the meeting. He noted that many local residents who have visited have expressed surprise that Pulaski is developing something of that quality. From an aesthetic standpoint, he explained that he has worked hard to ensure the building has a unique character. He described features such as exposed brick and reclaimed materials incorporated into the design. He thanked Randall from Semper Fi Design and Semper Fi Painting, who helped secure and seal the brick on the first floor and will continue working on the second floor to stabilize it and prevent debris from falling. He also referred to the use of reclaimed wood and patinated metal, which complement the exposed brick and create an attractive and cohesive atmosphere. He expressed his hope that the community will fully enjoy the space once it is in operation. An anecdote is shared by Mr. Rockafellow about the positive reaction of someone who helped clean out the building, who said that Jennifer McCarthy would have appreciated the renovation. It is explained that when she donated the property to the town, her main condition was that the building not be demolished to make way for a parking lot, but instead be used for something beneficial to the community. Mr. Rockafellow expressed that the current use fulfills that intention. 2026 Election of Officers Chairman Penn remarked that he has held the position for a long time and, although he does not mind continuing, he would be willing for someone else to take on the role. Mr. Goodman volunteered to assume the chairmanship, provided he could continue consulting the outgoing chairman for guidance. The motion was made by Mr. Underwood and seconded by Mr. Dawson. Lane Penn- Aye Charles Underwood- Absent Michelle Poore- Aye Brooks Dawson- Abstained Terry Hale- Aye Joseph Goodman- Aye Thomas Underwood- Aye Mr. Penn volunteered to assume the vice-chair. The motion was made by Mr. Goodman and seconded by Mr. Dawson. Lane Penn- Aye Charles Underwood- Absent Michelle Poore- Aye Brooks Dawson- Aye Terry Hale- Aye Joseph Goodman- Aye Thomas Underwood- Aye Board Member Comments No comments were made. Future Meeting Date Manager Day noted that an email will be sent to coordinate the date. Members briefly discuss scheduling constraints, and the possibility of meeting during the daytime is acknowledged if necessary. It is noted that the bylaws require at least one meeting per year, though additional meetings can be scheduled as needed. Several ongoing matters are mentioned, particularly related to housing and revitalization projects, some of which are being administered in-house. With no further business, Chairman Penn adjourned the meeting at 6:55 p.m.