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Main St. Grant App IDEDMEMORANDUM August 1, 2002 TO: FROM: SUBJECT: The Honorable Mayor and City Council Members Michael C. Van Milligen, City Manager Dubuque Main Street Ltd. Grant Application Dubuque Main Street Ltd. Executive Director Dan LoBianco has asked for City support of a $50,000 State grant application to support redevelopment of downtown buildings. The grant will either be used for the redevelopment of the Vi's Nutrition/Betty Jane's buildings in the 900 block of Main and/or the Chalmers Block Buildings in the 1000 block of Main. I respectfully recommend Mayor and City Council approval of the request. MCVM/jh Attachment cc: Barry Lindahl, Corporation Counsel Cindy Steinhauser, Assistant City Manager Dan LoBianco, Executive Director, Dubuque Main Street Ltd. '.-- 0 ~ '"' CITY OF DUBUQUE, IOWA MEMORANDUM July 31, 2002 TO: FROM: SUBJECT: Michael C. Van Miiligen, City Manager Rich Russell, Building Services Manager Endorsement of Dubuque Main Street Grant Application INTRODUCTION The purpose of this memo is to recommend that the City Council approved the endorsement of the Dubuque Main Street, Ltd. Main Street Iowa (through IDED) Challenge Grant application, with proceeds to be used for the rehabilitation of a series of buildings in the downtown Upper Main Street District for use as a mixed income residential development. DISCUSSION Main Street Iowa has been awarded $500,000 in HUD funds to be used only in Main Street Iowa communities for upper story rehabilitation and other development projects. Dubuque Main Street is a sponsor for this project and application. The maximum dollar amount to be awarded will be $50,000 with a minimum award of $20,000 per project. A 100%, dollar for dollar, cash match is required and has been secured from private funds. Main Street organizations may apply on behalf of multiple projects or property owners within the designated district with $5,000 being the minimum award per identified project. A maximum of $400,000 will be awarded to eligible applicants with the remaining funds reserved for training and technical assistance that benefit Main Street Iowa communities. Although Dubuque Main Street & the principals involved with this project are working with various City departments for other funding opportunities, no cash commitment commitment is necessary for this application. IDED does ask the City to promise attendance at a future Main Street Iowa training session on Alternative Building Codes, a commitment I am willing to make, although it may not be required of us, with recent initiatives the council recently passed. RECOMMENDATION I recommend that the City Council authorize the Mayor to sign the endorsement letter for this application. Attachment Main Street Challenge Grant A $500,000 economic development grant was awarded to the Iowa Department of Economic Development for the Main Street Program to assist participating cities improve downtown. This funding is provided from the Department of Housing and Urban Development (HUD), Economic Development Initiative (EDI) account for special projects, pursuant to the VA-HUD Independent Agencies Appropriations Act of 2002 (PL 107-73). This grant is to be administered by the Iowa Department of Economic Development. Iowa Main Street communities with current contracts and who are meeting ail contractual obligations will be considered eligible for the Main Street Challenge Grant funds. Eligible projects must be within the identified Main Street project area. Only the Main Street organization in participating communities may submit applications on behalf of local projects, properties and businesses. Awards will be made to theoappllcant Main Street organization for disbursements to locally designated grant beneficiaries. The maximum dollar amount to be awarded will be $50,000 with a minimum award of $20,000 per project. A 100%, dollar for dollar, cash match is required. Other federal or state Grant program awards may not be used to satisfy the cash match. However, the same match may be used to satisfy match requirements of other grant programs. Main Street organizations may apply on behalf of multiple projects or property owners within the designated district with $5,000 being the minimum award per identified project. The match requirement may include necessary project costs for professional service i.e. architectural or engineering studies. A maximum of $400,000 will be awarded to eligible applicants with the remaining funds reserved for training and technical assistance that benefit Main Street Iowa communities. Remaining funds, if any, will be awarded in a future grant round. In the event that additional grant funds are awarded, only those communities who at that time are meeting the eleven criteria established by the National Main Street Center will be eligible to apply. Main Street Iowa staff will review all applications for eligibility, project impact on downtown, design appropriateness and innovation. Successful applicants will be notified in writing of the awards with fund disbursement for completed work at six and/or nine month intervals with final payment upon project completion and subsequent fund clearance by Housing and Urban Development (HUD). For more information contact: Main Street Iowa Downtown Resource Center Iowa Department of Economic Development PH. 515.242.4756 iane.seaton @ided.state.ia.us T~F/~$ ELIGIBILITY: GRANT AMOUNTS: GRANT CRITERIA: REHAB/CONSTRUCTION STANDARDS: Main Street Challenge Grant Iowa Main Street communities with current contracts and who are fulfilling all conn'actual obligations will be considered eligible for the Main Street Grant funds. Eligible projects must be within the identified Main Street project area. Only the Main Street organization in participating communities may submit applications on behalf of local projects, properties and businesses. Awards will be made to the applicant Main Street organization for disbursements to locally designated grant beneficiaries. Max[mm Grant awards under this program will be $50,000 per commercial project. Minimum grants will be $20,000 with no less than $5000 per local project award for specified projects. (Ex. $5,000 grant award would equal a $10,000 project total.) No community shall receive more than one award. Grantee must show community support evidenced by the local contributing effort. Grantee or the grant beneficiary(s) must invest at a minimum a dollar for dollar cash match and must supply requested financial information to show that the match requirement is being satisfied. Grantee and all Grant Beneficiaries agree to complete designated projects within a period of 18 months from the date of award notification. No previous expenditures will be considered as suitable project match. Grantee agrees to comply with applicable federal regulations as defined by HUD in the following areas: · Environmental Review - contractor to be designated by Main Street Iowa with costs to be borne by the grantor, Main Street Iowa, Il)ED, to a maximum of 5% of the grant award. Any additional costs relevant to the review will be the responsibility of the grant beneficiary. · Reporting as requested. · Grant to be spent on grant eligible projects only. Plans must meet all code requirements. Main Street Iowa staff will review plans. building plans and specifications for design appropriateness. The City of Dubuque supports Dubuque Main Street's application to the Iowa Department of Economic Development for a Main Street Challenge Grant. We further agree that a representative of local building and fire code officials who may be responsible for inspection of project properties will attend training on the interpretation of Alternative Building Codes for Historic Properties to be presented by Main Street Iowa in fiscal year 2003. Signature of Mayor Date Si.qnature of President of Applicant Organization Date The City of Dubuque supports Dubuque Main Street's application to the Iowa Department of Economic Development for a Main Street Challenge Grant. We further agree that a representative of local building and fire code officials who may be responsible for inspection of project properties will attend training on the interpretation of Alternative Building Codes for Historic Properties to be presented by Main Street Iowa in fiscal year 2003. 5 Date Signatu g savor Signature of President of Applicant Organization Date