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HomeMy WebLinkAboutPR 21051: EDC, RETROFITTING OF PROPERTY AT 549 4TH STREET (FORMER PORT ARTHUR NEWS BUILDING) Interoffice MEMORANDUM To: Mayor, City Council City ger From: Floyd Batiste, CEO Date: September 17, 2019 Subject: P.R.No. 21051; Council Meeting of September 24, 2019 ATTACHED IS PROPOSED RESOLUTION NO. 21051, A RESOLUTION AUTHORIZING THE CITY OF PORT ARTHUR SECTION 4A ECONOMIC DEVELOPMENT CORPORATION TO INVEST AN ADDITIONAL $1,625,000 FOR THE RETROFITTING OF THE PROPERTY LOCATED AT 549 4TH STREET (FORMER PORT ARTHUR NEWS BUILDING) P. R. No. 21051 9/5/2019 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY OF PORT ARTHUR SECTION 4A ECONOMIC DEVELOPMENT CORPORATION TO INVEST AN ADDITIONAL $1,625,000 FOR THE RETROFITTING OF THE PROPERTY LOCATED AT 549 4TH STREET (FORMER PORT ARTHUR NEWS BUILDING) FUNDING AVAILABLE IN EDC ACCOUNT NO. 120-1429- 582.82-00 WHEREAS, the City of Port Arthur Section 4A Economic Development Corporation ("PAEDC") is a non-profit organization whose mission is to foster community revitalization; and WHEREAS, per Resolution 18-116, the City Council of the City of Port Arthur approved PAEDC's request to submit an application for grant funding to the Economic Development Administration ("EDA"); and WHEREAS to help facilitate its goals, PAEDC submitted an application for grant funding in the amount of$5,000,000 to the EDA which requires matching funds of$1,000.000; and WHEREAS, PAEDC will use the grant funds to rehabilitate an existing facility which is located in a blighted area of downtown Port Arthur to provide office lease space to small existing and expanding businesses, an Emergency Command Center and a Culinary Art Training Center. WHEREAS, the PAEDC Board of Directors, at their special Board meeting of September 9, 2019, deemed it in the best interest of the citizens of Port Arthur to request $1,625,000 of additional funding for the Port Arthur News Building for the following reasons: 1. The building consists of four additions and construction types. Each construction type will need to be modified to allow the current approved program. 2. One-third of the building is constructed with wood. The existing wood structures are badly deteriorated due to many years of moisture infiltration. Also, a primary wood structure is not allowed in accordance to the 2015 International Building Code for the proposed function of the building. A new two-story steel structure will need to be designed and installed in lieu of wood. 3. The existing foundation has many elevation changes that will need to be resolved. Over half of the foundation will need to be saw cut and replaced. 4. The existing mechanical, electrical and plumbing systems are deteriorated to the point where complete removal and new installation will be required. 5. The entire deteriorated roof system will need to be removed and replaced. 6. The current approved scope of work and occupancy increased from 60%to 100%. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR, TEXAS: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That PAEDC is herein authorized to earmark an additional $1,625,000 for cost of retrofitting the Port Arthur News Building. Section 3. That a copy of the caption of this Resolution shall be spread upon the Minutes of the City Council. READ, ADOPTED AND APPROVED on this day of A.D., 2019, at a Meeting of the City Council of the City of Port Arthur, Texas, by the following vote: AYES: Mayor Councilmembers NOES: Thurman Bartie, Mayor .16M6R Page 2 ATTEST: Sherri Bellard, City Secretary APPROVED: ...--__+ ) 1 ::)1 ,......._ Floyd Batist , PAEDC CEO APPR AS TO FORM: Go c✓se-Yr Guy N. Goodson, PAEDC Attorney APPROVED AS TO FORM: Valecia R. Tizeno, City Attorney APPROVED AS TO AVAILABILITY OF FUNDS: kou,_ QCA� Kandy Dan'el, Interim Fina ce Director 41685868 Page 3