Minutes 09/13/2011 - Laserfiche WebLink

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September 13. 2011 BE IT FURTHER RESOLVED that the City Clerk is directed to mail a copy of this resolution to the Portsmouth delegation to the Virginia General Assembly and to the Virginia Department of Budget and Planning." Ayes: Cherry, Edmonds, Heretick, Moody, Randall, Whitehurst, Wright Nays: None 11 - 383 - Adoption of a resolution authorizing a grant application under the Virginia Department of Housing and Community Development Industrial Revitalization Fund Program to fund a portion of the cost of rehabilitation of property at 3116 South Street belonging to the Portsmouth Redevelopment and Housing Authority. Vision Principle: A Robust and Prospering Economy. Background: . The PRHA owns a vacant 9,982 square foot building at 3116 South Street situated on 1.168 acres and commonly referred to as the former Virginia Employment Commission building. . The PRHA plans to renovate and expand the property to serve as its administrative headquarters. The property is zoned for General Mixed Use (GMU) which allows for office and retail uses. . IRF grant monies are available to local governments for the redevelopment of vacant and deteriorated industrial and commercial properties. The PRHA wishes to pursue a grant in the amount of $600,000 and will provide a required 1: 1 match. . The PRHA cannot apply directly for the grant. The application must be made by the City which can designate the PRHA as the designated agent for implementation and administration of activities. Discussion: . It is proposed that the City submit the application on behalf of the PRHA. The IRF grant funding will allow the vacant property to be rehabilitated, will increase City revenues, and will further the physical and economic revitalization of the Midtown Corridor. Financial impact: . The building has an assessed value of $914,980 and is currently not taxed. The PRHA plans to invest $1,200,000 in the renovation of the property thereby increasing its value. The PRHA has pledged to pay real estate taxes on the property upon completion of rehabilitation which will be generated according to the assessed value post rehabilitation. . A grant award will save PRHA $600,000 which it would otherwise invest in the structure. Recommended Action: . Authorize the application to IRF Program and designate the PRHA as designated agent for implementation and administration of the grant. Vision principle: A Robust and Prospering Economy. Next Steps Following Council Action: . Submission of application for funding to DCHD. Motion by Mr. Whitehurst, and seconded by Ms. Randall, to adopt the following resolution, and was adopted by the following vote: "RESOLUTION AUTHORIZING THE CITY MANAGER TO APPLY FOR A GRANT UNDER THE VIRGINIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT INDUSTRIAL REVITALIZATION FUND PROGRAM. WHEREAS, the Virginia Department of Housing and Community Development Industrial Revitalization Grant Program (the "Program") provides grants for the revitalization of large-scale non-residential structures; and