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City Owned Property at 945 Bluff Street - Request DeconstructionCity of Dubuque Special Meeting - No Broadcast I nfo Action Items # 01. Copyrighted April 22, 2024 ITEM TITLE: City Owned Property at 945 Bluff Street— Request Deconstruction SUMMARY: City Manager recommending City Council approval to deconstruct 945 Bluff Street. RESOLUTION Approving the demolition of historic and city owned property at 945 Bluff Street due to deterioration beyond repair SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Type MVM Memo City Manager Memo Staff Memo Staff Memo Resolution Approving Demolition Historic Preservation Commission Notice of Decision Historic Preservation Commission Minutes Resolutions Supporting Documentation Supporting Documentation THE C Dubuque DUjIBQTE WAWca 914 Masterpiece on the Mississippi YP pp aoo�•o 13 zai7*20*�oi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: City Owned Property at 945 Bluff Street — Request Deconstruction DATE: April 18, 2024 Housing & Community Development Director Alexis Steger is recommending City Council approval to deconstruct 945 Bluff Street. I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment CC' Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Alexis Steger, Housing & Community Development Director Wally Wernimont, Planning Services Director THE CITY OF Dubuque DUB E AII•Ameriea Eiiy 1�I�I®r iece on the Mississippi Masterpiece pp z°°'"Z°i 2-2013 zoi7*2019at9 TO: Michael C. Van Milligen, City Manager FROM: Alexis M. Steger, Housing and Community Development Director DATE: April 18, 2024 SUBJECT: City Owned Property at 945 Bluff Street — Request Deconstruction Background: The Housing and Community Development Department became aware of the property at 945 Bluff Street when the front porch became so deteriorated that it was a threat to public safety. After several attempts to work with the owner to stabilize the porch, with no response, the City filed a petition to be awarded ownership of the structure as vacant/abandoned property. The city then removed and stabilized the front porch in a way it could be restored to retain its historic fagade. Kyle Fitzgerald was the contractor who removed the porch. He retained the re -usable brick components for future rebuild. The City issued a request for proposals to give the property to a developer capable of restoring the historic property. This was released in April 2023. Unfortunately, this request resulted in no responses. Feedback received showed some community interest in rehabilitation but with barriers like lack of funding available and lack of parking. Upon consultation with the planning department and Duane Hagerty of Heritage Works, the housing department sent out another request for proposals and targeted interested investors by directly supplying them with the RFP. This new RFP offered parking options in a neighboring city parking lot and additional city funding of $20,000 plus any existing grants and tax incentives the city traditionally offers. The structure continued to deteriorate during the process of trying to find a developer capable and able to financially rehabilitate the structure. After a nonviable proposal from Kyle Fitzgerald, due to financial inability to complete the project, the City moved to release an RFP for the deconstruction of the property. Discussion: The Housing and Community Development Department inadvertently failed to apply for deconstruction to the Historic Preservation Commission. This was an oversight that city staff has updated procedures to make sure this does not happen again in the future. The Housing Department immediately halted any work on the property until the Historic Preservation Commission could place the deconstruction of the property on the Commission Agenda for consideration. 945 Bluff Street was the first historic property petitioned for that was on the cusp of being able to save, so the Department put in extra efforts to find someone willing and able to take a loss on the investment for the good of the community. Unfortunately, the loss is too great for any developer to undertake the rehabilitation of the structure, even with Federal and State Historic Tax Credits and all other incentives offered to try to restore the property. Additionally, the Housing Department missed a step that has not been required with other similar properties because they were safety hazards, and 945 Bluff had been stabilized from the immediate hazard to the public (by the City). The Historic Preservation Commission met on April 18t", 2024, and by a majority vote agreed that the structure was historic. By a majority vote the commission also agreed that the property is no longer economically viable. Please see the conditions photos and full packet submitted to the Historic Preservation Commission for their consideration. The City Council must now weigh all governmental interests and determine whether the structure at 945 Bluff should be deconstructed in the best interest and safety of the public. Recommendation: I respectfully request City Council approval to deconstruct 945 Bluff Street in the best interest of the public. CC: Michael Belmont, Assistant Director of Housing & Community Development Maddy Haverland, Urban Development Rehabilitation Project Manager Prepared by Alexis Steger, Housing & Community Devel., 350 W. 611 St., Suite 312,(563) 690-6072 Return to Adrienne N. Breiitfolder, City Clerk, 50 W. 13L' St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 103 - 24 APPROVING THE DEMOLITION OF HISTORIC AND CITY OWNED PROPERTY AT 945 BLUFF STREET DUE TO DETERIORATION BEYOND REPAIR WHEREAS, the City of Dubuque Historic Preservation Commission recognized by majority vote that the property at 945 Bluff Street is Architecturally and Historically Significant; and WHEREAS, the City of Dubuque Historic Preservation Commission issued a certificate of economic non -viability to allow demolition of a structure by majority vote on April 18, 2024; and WHEREAS, the City of Dubuque Housing & Community Development Department released two rounds of requests for proposals trying to save the structure to no avail; and WHEREAS, for the safety of the public, the Housing & Community Development Department is recommending demolition in a timely manner to prevent collapse. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, AS FOLLOWS: Section 1. The demolition of 945 Bluff Street is hereby approved. Passed, approved and adopted this 22nd day of April, 2024. rad . Cavanagh, Mayor Attest: Adrienne N. Breitfelder, City Clerk Planning Services Department City Hall 50 West 13th Street Dubuque, IA 52001-4805 (563) 589-4210 phone (563) 589-4221 fax (563) 690-6678 TDD planning@ci!yofdubuque.org Dubuque All -America city THE CITY OF 1I111► DUB E 2007-2012.2013 2017*2019 Masterpiece on the Mississippi HISTORIC PRESERVATION COMMISSION NOTICE OF DECISION TO APPLICANT DEMOLITION REVIEW; ECONOMIC NON -VIABILITY APPLICANT: City of Dubuque, Housing and Community Development OWNER: City of Dubuque LOCATION: 945 Bluff Street DISTRICT: Jackson Park Historic District DATE OF PUBLIC MEETING/DECISION: April 18, 2024 The Historic Preservation Commission of the City of Dubuque, Iowa hereby renders and gives notice of its decision on the above -cited application in conformance with Title 16, Chapter 10 of the Unified Development Code. APPLICATION: The applicant submitted an application for demolition review, and economic non - viability for the property at 945 Bluff Street. PUBLIC MEETING: After notice, as required by law, a Public Meeting was held on April 18, 2024. Minutes of the meeting and copies of materials submitted in evidence and this notice of decision are on file in the Office of Planning Services, City Hall, Dubuque, Iowa. FINDINGS: Based on the specific information presented at the Public Meeting and contained in the application, and in accordance with the applicable standards in the Unified Development Code, the Commission has determined that the application will the meet the standards for granting a demolition permit and a certificate of Economic Non -Viability, as required by Section 16-10-5 of the Unified Development Code. DECISIONS: The Historic Preservation Commission voted unanimously to deny the request for Demolition as submitted, due to the finding that the property is architecturally or historically significant. However, by a vote of 6-0, as indicated in the minutes, the Historic Preservation Commission approved a certificate of Economic Non -Viability to allow the demolition of the structure. Filed in the Office of Planning Services Department on the 19th day of April, 2024. T ea Dement, Acting Chairperson Historic Preservation Commission cc: Alexis Steger, Housing and Community Development Director Mike Belmont, Building Official Service People Integrity Responsibility Innovation Teamwork Dubuque THE CITY OFF 10mig lll-Mulm Cllp DiUBE 1'1I�1'j.► 2007+20122013 Masterpiece on the Mississippi 2017*2019 MINUTES HISTORIC PRESERVATION COMMISSION REGULAR SESSION 5:30 p.m. Thursday, April 18, 2024 City Council Chambers, Historic Federal Building Commissioners Present: Acting Chairperson Thea Dement; Commissioners Bill Doyle, Janice Esser, Tim Gau, Christina Monk, and Heidi Pettitt. Commissioners Excused: Rick Stuter and Melissa Daykin Cassill Commissioners Unexcused: None Staff Members Present: Chris Happ Olson and Travis Schrobilgen CALL TO ORDER: The meeting was called to order by Chairperson Dement at 5:32 p.m. MINUTES: Motion by Gau, seconded by Pettitt, to approve the minutes of the March 21, 2024 meeting as submitted. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Monk, Pettitt, and Gau; Nay — none. ACTION ITEMS: DEMOLITION PERMIT Applicant- Dan Reavis Owner: Dan Reavis Properties LLC Address- 2327 Central Avenue Project: Demolish rear section District: Broadway Place Conservation District Staff Member Happ Olson presented the staff report noting the previously established levels of significance for the property, the structural history of the property, reviewed a number of images, and described the state of the structure currently. Happ Olson also discussed the proposed partial demolition. She found that the 1979 Kriviskey survey noted city/state/national significance and the 2005 Jacobsen survey noted the building was National Register eligible. She noted that the front portion of the building was the former beer hall and has historic significance. The portion to be demolished is located at the rear of the structure and appeared to be in poor condition. Staff also reminded the Commission of their role which is to review the information and decide as to the following: Minutes — Historic Preservation Commission 4-18-24 Page 2 1. Whether the building proposed for demolition has historic or architectural significance to the community; if so 2. Whether denial of the proposed demolition permit would prevent the property owner from earning a reasonable economic return on the property. Staff concluded that the owner is requesting demolition only and has not submitted an Economic Nonviability application for this portion of the structure. Dan Revis, 16755 Budd Road, spoke in favor of the request. He said the rear portion of the building is in terrible shape, that it does not look nice, that none of the windows are original. He said it would cost a fortune to repair the rear portion but said the front is salvageable. He said the retaining wall which is crumbling onto the neighboring property will also need to be replaced. Staff noted that the entire rear of the property was parged and it is difficult to determine the condition of the structure underneath. She pointed to the corner of the building where it appeared a damaged downspout had led to severe water damage. The commissioners discussed the proposal noting that the property owner inherited some of the damage by neglect. Esser noted that the entire rear of the building is in poor condition and the amount of damage on the corner is significant. Doyle noted that the beer hall at the front of the building is clearly historic, and the rear would likely have its own importance but noted removal of the rear would not damage the integrity of the front portion. Monk concurred with previous statements relating to history and function. Pettitt concurred and stated the front portion of the building stands on its own as a historic structure. The Commission discussed whether an approval could be granted to demolish the rear given there is general agreement that the front portion is historic. Staff member Happ Olson noted that the review is an interpretation and that they have the option to view the two portions separately and then determine if the demolition would impact the historic property. Motion by Monk, seconded by Esser, to approve the application as submitted noting that demolition of the rear portion of the structure would not detract from the historic front portion of the structure. Motion carried by the following vote: Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. DESIGN REVIEW Applicant: Mike Stickley, Stickley Morton Architects Owner: Bridgewater Advisors Real Estate Address: 340 W. 5t" Street Project: Remove frame addition, add larger frame addition District: Cathedral Historic District Minutes — Historic Preservation Commission 4-18-24 Page 3 Staff Member Happ Olson presented the staff report noting that the applicant is requesting a Certificate of Appropriateness (COA) for alterations including the removal of all frame additions that date between 1909-1936 at the south and west sides of the structure. They propose replacement with a similarly design structure utilizing largely the same materials as is present, with a request for aluminum clad wood windows on the new section. She detailed information regarding the previously established levels of significance for the property, the structural history of the property, reviewed a number of images, and described the proposed project. Happ Olson also discussed the proposal as it relates to the Architectural Guidelines. Mike Stickley, 206 Bluff Street, spoke in favor of the request. He described the project noting that the impetus to move forward with the project is to add an ADA approved bathroom, remove the exterior stairs and to expand the office area for additional staff. He said they aimed to meet the state guidelines for the project but are requesting a few alternative materials. He said they intend to rebuild with a similarly design structure utilizing largely the same materials as is present, with a request for aluminum clad wood windows on the new section. Commissioners discussed the proposal. Commissioner Monk noted the removal of the stairs is preferred and that the alternate materials are ok given this is replacing an addition. Commissioner Doyle noted that it was a shame to see older material removed but thought the project makes sense. Commissioner Gau concurred with all the previous comments. Motion by Gau, seconded by Esser, to approve the application as submitted. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. DESIGN REVIEW Applicant: Lynn Lampe Owner: Jeffrey Schmitt Address: 508-510 Chestnut Street Project: Replace existing non -historic window with smaller window District: West 11t" Street Historic District Staff Member Happ Olson presented the staff report noting that the structure is a contributing building within the West 11th Historic District. The applicant is requesting a Certificate of Appropriateness (COA) for alterations to a single window: replace the window with the same style and width but with a different smaller height, requesting a vinyl replacement for use in a humid room. The applicant has other windows in similar locations that have been modified for this purpose. It is at the rear of the property and the applicant will infill the void with in -kind brick, reusing the limestone sill and maintaining the window width. The property is not in a highly visible area but is still visible from two public rights of way. Minutes — Historic Preservation Commission 4-18-24 Page 4 Lynn Lampe, 11898 Kennedy Road, spoke in favor of the request. He described the proposal to install a smaller window in hopes of getting it up and away from a bath. The replacement would also help with privacy for the resident and would be constructed with old similar brick and reusing the stone sill. The Commission discussed the proposal. Dement asked if staff was aware of whether the previously approved windows were approved by the Commission? Staff Member Happ Olson noted that she had not researched whether they were previously approved. Commissioner Monk noted that the window would not be on a primary fagade. The commission asked a couple of clarifying questions, ultimately, finding it appropriate. Motion by Gau, seconded by Pettitt, to approve the application as submitted. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. Applicant: Adam Riegler Owner: Aaron Healy Address: 190 Main Street Project: Add two shed roofs to rear 2nd and 3rd decks District: Old Main Street Historic District Staff Member Happ Olson presented the staff report noting that the structure is a supporting structure within the Old Main Historic District. The roof structure(s) are at the rear of the building along a secondary frontage. The applicant is requesting a Certificate of Appropriateness (COA) to construct two shed roofs to rear 2nd and 3rd decks. This is a functional change for residential use and is also intended to shed water for better stormwater management for better protection of the structure. The project will be a new feature and should be treated as such in evaluation. The rear of the property is not historically accurate due to the removal of sections at the rear and the step backs on the second and third floors. Aaron Healey, 15192 Wood Wind Court, spoke in favor of the request. He noted that the primary impetus was to help manage stormwater since they found water damage under the existing decks. The Commission discussed the proposal and asked clarifying questions regarding the overall dimensions and proposed finishes. The applicant noted that he was open to any suggestions regarding finishes. The Commission noted something dark would be acceptable. Monk noted that the area is already altered so the request seemed appropriate. The commission discussed the slope of the roof and noted that it may be difficult to avoid water issues at 2/12 slope using shingles. They discussed alternatives. Motion by Monk, seconded by Doyle, to approve the application as submitted and with the ability for staff to sign off on an alternate roofing material, either dark matte metal or Minutes — Historic Preservation Commission 4-18-24 Page 5 dark membrane. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. DESIGN REVIEW Applicant: Julie Lott Owner: Julie and David Lott Address: 653-655 Chestnut Street Project: Removal of rear decks and doors, siding on secondary facades, new handrail District: West 11th Street Historic District Staff Member Happ Olson presented the staff report noting that the structure is a contributing building within the West 11th Historic District, although a number of changes have modified its integrity, including the deck additions at the rear and slate shingle siding. She describe the request for a Certificate of Appropriateness (COA) for alterations including, removal of rear porch and upper deck, residing rear wall with vinyl siding, removal and siding over doors at second and third floor rear, reroofing upper roof at rear with EPDM rubber roofing, creating a new eave/soffit cornice across the rear, residing east facing side wall siding with vinyl, and replacement of mid-20th Century metal handrail with new painted wood handrail. Julie Lott, P.O. Box 1314, spoke in favor of the request. She described the proposed changes and noted that the existing porch and wood siding is difficult to maintain as she doesn't have room on that side of the property to maneuver equipment. She said she had about 20 contractors back out of the project due to lack of accessibility. She thought that vinyl would allow more people to do the work and said the cost of slate siding is very high. She said she wanted to get the house all one color and have all the different siding materials at least the same color. The Commission discussed the request. There was concern that the profile and reveal is going to be hard to match, that the unoriginal deck can be removed, and that the same color siding throughout would be preferred. The commission deliberated on alternative materials ultimately finding the applicants proposal acceptable due to the limitations of the property and the cost of slate siding. Motion by Doyle, seconded by Gau, to approve the application as with the condition that vinyl is only used in the location indicated, that they be finished in the same color as the remainder of the house, and as close to the same profile as the adjacent siding. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. DEMOLITION PERMIT Applicant: Alexis Steger, Housing & Community Development Director Owner: City of Dubuque, Housing & Community Development Minutes — Historic Preservation Commission 4-18-24 Page 6 Address: 945 Bluff Street Project: Demolish of Structure District: Jackson Park Historic District Staff Member Happ Olson presented the staff report noting that while the loss of the porch, which was not original, detracts from the integrity a small degree, the structure has been evaluated a number of times and remains contributing to the Jackson Park local and National Register historic districts, as well as the West 11t" Street Neighborhood Conservation District. Happ Olson also reminded the Commission of their role stating that it should be looked at as any other property, owned by any other individual or entity. She also noted: The Role of the Historic Preservation Commission is to review the information and decide as to the following: 1. Whether the building proposed for demolition has historic or architectural significance to the community; if so 2. Whether denial of the proposed demolition permit would prevent the property owner from earning a reasonable economic return on the property. Please note, the owner is requesting demolition, and has also submitted an Economic Non -Viability application for review. Alexis Steger, Housing and Community Development Director, spoke on behalf of the owner. She said that she had missed a step in the demolition process and that she was aware the building was historic as they required the previous owner to remove a front porch which was not safe in 2021-2022. She stated that they had sent out an RFP to renovate the property but did not receive a response. She said the RFP was updated to include designated parking in a nearby lot and $20,000 in incentives. They then received one RFP response which indicated that an additional $100,000 in incentives would be necessary to rehab the structure. She said they looked for money in the current budget but could not find adequate funds and that it would take more than a year to get the funding included in a future budget. She said the cost was so high because of the condition of the foundation and floor joists. She noted there was a sag of about 4" in the floor. She stated the demo process started but upon being notified, demolition was halted to go through the demolition of historic structures process. Commissioner Monk expressed disappointment and noted that the City has acquired and demolished three properties along Bluff Street. Ms. Steger stated that yes, it has been unfortunate. She said the state of those structures was severe. She said this property appeared to be salvageable initially, but upon inspection of the foundation and joists, it became impractical. Commissioner Monk stated that the optics of the situation are not great. Commissioner Dement asked why the demo was started. Steger said she had treated it as a standard demolition and moved straight to an RFP. She said the RFP process does Minutes — Historic Preservation Commission 4-18-24 Page 7 not notify all staff until late into that process. Commissioner Dement asked for clarification on why the interested party was not accepted. Steger noted that the City could not meet the additional $100,000. Dement noted that the gap is a lot of money, but in the historic preservation world, money can often be found. Dement stated that investors should have been notified of the RFP and was confident that amount of money could be found. Steger noted that the RFP was out for 8 months. Commissioner Esser asked if the RFPs are posted publicly and Steger said yes and stated that they also sent the RFP to people or companies that showed interest in rehabbing the property. Commissioner Esser asked how that process could be more visible to the public. Commissioner Doyle asked about the proposed number of units and if there is a list of these types of properties in this situation. Steger said that the previous owner had attempted three units, but the City had planned two. She said the City maintains a list of Vacant and Abandoned buildings and noted that they have implemented an ordinance change that would allow the City to issue higher fines or acquire properties sooner to help these types of situations. Doyle noted that it is unfortunate to see rotten teeth along a historic block and later noted that a standing structure would be preferential to greenspace. Doyle asked what changes have taken place so that this situation is avoided in the future. Steger said that Planning Services and Historic Preservation will be notified immediately upon acquiring a property in the future. Dement asked if there were future plans for the property. Ms. Steger said that there are no plans currently stating that required setbacks are an issue for redevelopment. Staff Member Schrobilgen clarified to the Commission that there is a process through the Zoning Board of Adjustment to request exceptions for setbacks and other zoning regulations. Ms. Steger concluded by saying that the property may be sold off to adjacent property owners or to a developer. DEMOLITION PERMIT: Motion by Pettitt, seconded by Gau, to approve the application as submitted. Motion denied by the following vote: Aye — None; Nay — Dement, Doyle, Esser, Gau, Monk, and Pettitt. Motion by Monk, seconded by Gau, to approve the certificate of Economic Non -Viability and therefore to allow the demolition of the structure by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. ITEMS FROM PUBLIC: None. ITEMS FROM COMMISSION: Commissioner Monk reminded all commissioners that the Sustainable Dubuque Conference was next month. ITEMS FROM STAFF: Dubuque Brewing & Malting — Inspection and Construction Services Staff Member Ben Pothoff updated the Commission on the status of the work being Minutes — Historic Preservation Commission 4-18-24 done at 3000 Jackson Street. He noted that demolition equipment is on site and that everything south of the arch is planned to be demolished. Commissioner Monk asked if there were any fines issued. Mr. Pothoff stated that there were no fines issued. The property owner had until Monday to have equipment on -site in preparation for the demolition and that upon inspection they appeared to have met that requirement. - 324 Lowell Street Garage — Inspection and Construction Services Staff Member Ben Pothoff informed the commission of its upcoming demolition. The subject garage was deemed a public safety hazard and a demolition order was issued by the Building Official. He said the structure will be demolished next Friday. He pointed to images and stated the inspector thought it looked even worse in person. Commissioners noted the terrible condition of the garage, and that demolition is appropriate but expressed regret that the garage was not better maintained. - Ken Kringle Awards — Staff member Happ Olson reminded the commission of the ceremony. Arrival time needs to be confirmed but commissioners should plan on attending at 5:45 pm. All six commissioners noted they would like to attend, and Happ Olson noted that they could each introduce and present an award to the recipients. - Eagle Point Park Historic Structure Report Update - Staff Member Happ Olson discussed what the Historic Report entails, where they are at in the process and some of the difficulties that have come up. She noted that the grantor was very interested in Eagle Point Park and finding a way to help it begin. ADJOURNMENT: Motion by Dement, seconded by Esser to adjourn the April 18, 2024 Commission meeting. Motion carried by the following vote: Aye — Dement, Doyle, Esser, Gau, Monk, and Pettitt; Nay — none. The meeting adjourned at 8.10 p.m. Respectfully submitted, Chris Happ Olson, Assistant Planner Adopted City of Dubuque Special Meeting I nfo ITEM TITLE SUMMARY: SUGGESTED DISPOSITION: Copyrighted April 22, 2024 No Broadcast Closed Session - Bottom # 0 Purchase or Sale of Real Estate — Chapter 21.5(1)0) Code of Iowa