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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. п¹» ïê ±º íè 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 п¹» ïé ±º íè 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. п¹» ïè ±º íè 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: п¹» ïç ±º íè 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 п¹» î𠱺 íè