HomeMy WebLinkAboutPR 13005:DEMOLITION INCENTIVEMemo
From: Lawrence Baker, Director of Community Services
CC: Mayor, City Council
Date: February 7, 2005
Re: P.R. NO. 13005 - PROPOSED DEMOLITION INCENTIVE PROGRAM
COMMENT
RECOMMENDATION: Staff recommends that the City Council adopt P. R. No. 13005, which
would allow staff to institute a demolition incentive program, with the amount of funds expended
on the program not to exceed $80,000.00, as described in the memorandum dated February 7, 2005
(marked as Exhibit "B" to P. R. No. 13005).
BACKGROUND: Th/s program would encourage citizens to allow the City of Port Arthur to
demolish and remove their substandard structures. The incentive for this program xvould be that
property owners would incur minimal or no cost for the demolition of the structure(s). The City
would absorb the major portion of the demolition cost.
In my February 7, 2005 memorandum to you, I adv/sed that the Demolition Div/sion had identified
approximately three hundred ninety (390) single-story residences and accessory buildings (i.e.
garages, sheds and garage apartments). The average cost for the demolition of garages and sheds is
approximately $800.00; the incentive program would be directed mainly at these types of structures.
The average cost for small single-story residences and garage apartments is approximately $1,900.00.
This incentive program would cover the cost of demolition of garages and sheds up to $800.00, and
up to $1,500.00 for single-family residences and garage apartments. Any cost above the stated
amounts would be paid by the property owner. Citizens would have ninety (90) days in which to
emroll in this program, which will be on a first-come, first-served basis until the allocated funds have
been depleted. Our goalis to demolish fifty (50) structures through this effort.
Any structure considered for this program must meet the criteria of a dangerous structure. The
s~actures must be located in the CDBG designated target areas, as shown on a map, which is
marked as Exhibit "A" to P. R. No. 13005.
(CONTINUED)
PR#13005-PROPOSED DEMOLITION INCENTIVE PROGRAM -' 2~7~05-PAGE 2 OF 2
BUDGET AND REVENUE IMPACT: Acceptance of this recommendation will not require a
budget amendment. Funds are available in the General Fund, Account No. 001-1401-551.59-00.
Staff is proposing to allocate $80,000.00 for this program.
STAFF LEVEL IMPACT: Acceptance of this recommendation will have no effect on current
staffing level. Staff will ensure that all property owners who participate in this program will execute
an affidavit (1) giving the City permission to demolish their structure(s); (2) releasing the City from
any future litigation or claims of damage; and (3) stipulating that the owner agrees to pay for any
cost over the specified amounts mentioned herein. Staff will advertise this incentive program in the
local newspaper, on the Governmental Information Channel, and through the m~.
· SUMMARY: Staff recommends that the City Council adopt P. R. No. 13005, thereby allowing
staff to institute a demolition incentive program with funds expended not to exceed $80,000.00, as
described in Exhibit "B" to P. R. No. 13005.
DTP
P. R. No. 13005
02/07/05 DTP
RESOLUTION NO.
A RESOLUTION APPROVING A DEMOLITION INCENTIVE
PROGRAM
WHEREAS, the City Council of the City of Port Arthur finds it to be in the best interest
of the citizens of Port Arthur to approve a demolition incentive program to allow the City of Port Arthur
to remove substandard structures located in CDBG targeted areas (see Exhibit "A'); and,
WHEREAS, the program will be funded by General Fund monies allocated for demolition;
and
WHEREAS, this program will encourage economic development as allowed under Chapter
380, Local Government Code; and
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF PORT A~THUR, TEXAS:
Section 1. That the facts and opinions in the preamble are true and correct.
Section 2. The City of Port Arthur hereby approves the demolition incentive program
as denoted in Exhibit
Section 3. That a copy of the caption of this Resolution be spread upon the Minutes of the
City Council.
READ, ADOPTED, AND APPROVED this the
at a RegularMeeting of the City Council of the City
following vote:
day of February, A.D., 2005,
of Port Arthur, Texas by the
AYES: MAYOR:
Councilmembers:
P. R. No. 13005
02/07/05 DTP
NOES:
ATTEST:
Evangeline Green
City Secretary
APPROVED FOR ADMINISTRATION:
Stephen Fitzgibbons
City Manager
MAYOR
APPROVED AS TO FORM:
Mark Sokolow
City Attorney
Director of Community Services
2
EXHIBIT ~A"
EXHIBIT ~ "
~d~ LB IT "B"
MEMORANDUM
Steve Fitzgibbons, City
Re: PROPOSED DEMOLITION INCENTIVE PROGRAM.FOR 2005
City Coundl previously approved demofition incentive programs (Resolution No. 02-250 on August 20,
2002, and Resolution No. 99-289 on December 14, 1999) for voluntary removal of dangerous structures.
This program has aided the Demolition Division in removing numerous structures. We propose the
institution of this program again. We continue to receive inquiries from dtizens interested in participating
in this program. This program defrays the cost of demolition for citizens who volunteer to have their
substandard structure(s) removed by the City of Port Arthur. The City would absorb the majority, ff not
all, of the cost of demolition, depending on the bid price and the size and type of structure(s) involved.
The public has welcomed this program in the past, and I believe it will be well received again.
We have identified 390 one-stoW residences and accessory buildings (Le. garages, garage apa.rtments, and
sheds) as being substandard and in need of demolition. The average cost for demolishing residences and
garage aparmaents is about $1,900.00. The average cost to demolish garages and sheds is about $800.00.
Char General Fund allocation foJc demolition for 2004-2005 is $200,000. We propose to allocate $80,000
for the incentive program. This is $30,000 more than our last request, because our goal this year is to
demolish fifty (50) structures through this effort (about 20 more). We would allow not more than $1,500
per residence or garage apartment and not more than $800 per garage or she& We propose a 90-day
enrollment period, which should enable all dtizens an oppommity to participate. If approved, we would
advertise in the local newspaper and on the government channel, and notify owners of identified
structures of the incentive program via regular mail. This program wood be on a first-come, first-served
basis until funds are exhausted. The owner(s) would need to provide proof of ownership, and sign a
waiver (1) giving the City pemaissiOn to demolish the structure(s); (2) holding the City ~tmless fronr
future litigation or claims of damage; and (3) agreeing to pay any- cost over the amounts Specified above.
The benefit of this type of program to the citizens is clear. The benefit to the City is a reduction in the
time required to condemn and demolish structures. We wood save on advertising, videotaping,
papenvork, postage, and photocopying. Since we never recoup the majority of ftmds expended for
demolition, there will be no loss in revenue. This program will encourage those citizens who wood not
otherwise act, and those who cannot afford the cost of demolition, to take advantage of this 90-day
window of opportunity to eradicate dangerous smactures in their neighborhoods. Our goal here, as
always, is to provide a cleaner, safer, City for the citizens of Port Arthur to live in.
If this proposal meets w/th your approval, we will prepare a resolution for Council consideration. Thank:
you for considering this proposaL