HomeMy WebLinkAbout[05b] Consideration of Deomotion Grant ProgramDATE: June 15, 2011
MEMO TO: Economic Development Authority
FROM: Cynthia Smith-Strack Municipal Development Group
RE: BFA Updates
Background:
At a previous meeting the EDA received a suggestion for implementing a demolition grant
program. The EDA agreed to address a potential program in conjunction with the 2012 CIP
consideration.
Please find draft guidelines attached. They are based on language contained in a draft
demolition program being requested by Mn. Department of Employment & Economic
Development, our existing BFA program process, and similar demolition programs active in
similar sized communities.
Action:
Consideration of new grant program and guidelines is kindly requested. If comfortable with the
revisions, a MOTION to recommend program to the City Council and inclusion in the 2012 CIP
is kindly requested.
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ST. JOSEPH BUSINESS DISTRICT
DEMOLITION GRANT PROGRAM
PURPOSE
The St. Joseph Economic Development Authority finds the creation of recognizable development
sites in previously built-up urban areas will act as a catalyst for redevelopment in infill areas. The
purpose of the Demolition Grant Program is to provide an incentive for razing of structures in a
manner targeting lots with existing structures that have passed there useful life and which are
located within or adjacent to concentrated business areas.
The intent of the St. Joseph Business District Demolition Grant Program is to create vacant,
principal structures
buildable parcels in existing St. Joseph business districts by removing from
previously built-up lots in urban areas.
$1,000
The program provides a matching reimbursement grant for actual demolition costs, up to
per calendar year“Demolition Costs” means the costs of demolition,
per property address, .
destruction, removal, and clearance of all structures and other improvements on the
subject site, including interior remedial activities, and proper disposal thereof. Eligible
demolition costs up to the matching amount will be reimbursed following submission of
invoices from a licensed contractor and inspection by the Building Official for compliance
with demolition permit standards.
Demolition grant priorities include projects that:
Remove structures that threaten public safety
Have been vacant for a time
Have development potential
Are close in proximity to existing sufficient public infrastructure
Have identifiable potential commercial or institutional reuses
The aforementioned priorities are not listed in a rank order or priority, rather each project should
be compared to the standards. The EDA may weigh each factor, depending on the facts and
circumstances, as the EDA considers appropriate. The EDA may consider other factors that
affect the net return of public investment.
ELIGIBILITY
1. All work must be done on existing principal structures but may also be used for demolition of
accessory structures provided a principal structure is included in the demolition.
2. All work done must be in accordance with the City of St. Joseph Code of Ordinances, the
Downtown Revitalization Plan and the building code. All required permits must be obtained.
3. Work in progress or performed prior to project approval will typically not be eligible for funding
unless the EDA finds significant underlying purposes for work beginning prior to project
approval.
4. The following types of property are not eligible:
Tax delinquent
Special Assessment delinquent
Property in litigation
Property in condemnation or receivership
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Tax exempt properties
Exclusively residential buildings
Properties zoned industrial
New construction projects on lots previously undeveloped (redevelopment and/or
rehabilitation projects remain eligible)
Property considered non-conforming to the City’s Code of Ordinances, unless the
proposed improvements are intended to correct all the non-conforming issues.
PROJECT APPROVAL GUIDELINES
Program oversight and authority for grant approval is delegated to the City of St. Joseph
Economic Development Authority. The Economic Development Authority will review and approve
all grants based on the following guidelines:
1. A project for which an application has been received will only be reviewed if it is filled out
completely.
2. Multiple property owners must submit separate applications for each property/project.
3. Any business owner under a lease who submits and application must obtain and provide
written consent of the property owner.
4. Projects must be completed within a timely manner from date of official project approval (i.e.
one year with a maximum extension of an additional six months). As indicated, dollars are
limited and reimbursement will be made after project improvements are completed, and
reimbursement requested.
PROPERTY OWNER REQUIREMENTS
Upon the application submittal for a project, the Applicant will play an important role in a
partnership that includes the City of St. Joseph and the Economic Development Authority. The
following may be required to review plans depending on the scope of the project: City staff, the
Planning Commission, the EDA and the City Council. Below are items that may be required of as
part of completing your project.
1. Attendance at an informational meeting with staff which will outline the entire project
procedure.
2. Attendance at various meetings, reviews etc. with representatives of either the City or EDA to
expedite various stages of the project.
3. All work to be done on the project shall be the sole responsibility of the property owner. The
City of St. Joseph/EDA administers the grant program herein and the City/EDA is not
responsible for any work undertaken as a result of the grant. The owner hereby holds the City
and EDA harmless for any and all liability commencing out of any work constructed and paid
for the design grant herein.
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APPLICATION FOR
ST. JOSEPH BUSINESS DISTRICT
DEMOLITION GRANT PROGRAM
** Please read attached program criteria carefully before completing the application **
** Please remember to include photos of your building(s) and/or property as they relate
to the types of improvements indicated on this application. **
Business Name (if applicable):
Property Address:
Property Owner(s):
Mailing Address:
Phone Number:
Fax Number:
E-Mail Address:
1. On the attached page, please identify the specific demolition actions you are proposing for
the building(s) and/or property.
2. Based on the proposed demolition, please provide your best estimate of the project cost:
$
3. If the project cost comes in at, or exceeds your estimate, do you have private funds readily
available to complete the proposed the project? YesNo
If No, by what means will you secure funding and still complete the project within a timely manner
4. If your project is approved, does completing the project timely pose any concerns for you?
Yes No
If yes, Please list those concerns:
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PROJECT DESCRIPTION
Please provide an accurate and thorough summary of your demolition project.
Photographs taken of your building(s) and property will assist in a visual manner to
further support your written project description.
Please consult the Building Official prior to completing this application to discuss
demolition permitting process and potential extenuating circumstances (e.g. asbestos,
lead paint).
The information on this application is accurate. I have read, understand, and agree to comply with
the program criteria for the St. Joseph Business District Demolition Grant Program.
Date:
Authorized Agent:
Title:
Mail or Deliver to:
St. Joseph Business District Demolition Grant Program,
City of St. Joseph Economic Development Authority
25 College Avenue North, P.O. Box 668 St. Joseph MN 56374
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