Four Mounds Foundation Funding ApplicationMasterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: City Support of Four Mound Foundation Funding Application
DATE: September 1, 2011
Dubuque
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2007
Housing and Community Development Department Director David Harris recommends
City Council support of an application from the Four Mounds Foundation to the
Community Foundation of Greater Dubuque.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Michael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
Masterpiece on the Mississippi
Dubuque
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All- AmaicaClty
2007
TO: Michael Van Mil en, City Manager
FROM: David Hai , Housing and Community Development Department
SUBJECT: City Support of Four Mounds Foundation Funding Application
DATE: 18 August 2011
Introduction
The purpose of this memorandum is to request the City Council's endorsement of a
letter of support for an application from the Four Mounds Foundation to the Community
Foundation of Greater Dubuque.
Discussion
Four Mounds has submitted an application to the Community Foundation for a feasibility
study of an historic, abandoned property located at 400 East 22 "d Street. This property
is located at the corner of 22 "d, Washington and Elm Streets, a masonry structure
originally built as a storefront with residential above, constructed circa 1880. It has
fallen into disrepair in recent years. Its elderly owner recently passed away and no
family relative has been identified to initiate probate proceedings.
It is significant to the development of the Bee Branch Creek Realignment Project, as it is
a highly visible and historic vestige of the type of neighborhood commercial uses that
existed in this area more than 100 years ago. Its restoration and re -use would
complement the Realignment and anchor an important corner at the north end of the
Washington Neighborhood.
The Four Mounds application proposes formation of a partnership to determine a
feasible re -use of the property. This will be a challenging project, given significant costs
of historic restoration and an unknown market for uses for the building. The study will
include development of architectural drawings and engineering analysis, as well as
costs for stabilization and preservation of the structure during the holding period needed
to assemble funding and identify a buyer.
Action Step
The action requested of the City Council is to approve submittal'of the attached letter of
support from the Housing and Community Development Department. The Four Mounds
application is also attached.
att
Masterpiece on the Mississippi
18 August 2011
Dubuque
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2007
To: Community Foundation of Greater Dubuque
RE: Four Mounds Application for Funding
H &CD
Housing and Community
Development Department
350 West 6th Street, Suite 312
Dubuque, Iowa 52001 -4648
Office (563) 5894230
Fax (563) 589 -4244
TTY (563) 5894230
housing@cityofdubuque.org
www.cityofdubuque.org
The City of Dubuque Housing and Community Development Department expresses its
support for the Four Mounds Foundation's recent grant application to the Community
Foundation for a reuse plan and feasibility study for 400 E. 22nd Street.
In the context of the neighborhood, this is an important property for Dubuque. This
building is on a critical corner at the axis of the Bee Branch, the Heritage Trail and the
Washington Neighborhood. However, the challenges for redevelopment are daunting.
Due to many years of deferred maintenance, the building will require an extensive
interior and exterior restoration, with costs exceeding completed value.
Finding solutions for productive reuse of our distressed neighborhoods, their
infrastructure, and obsolete, but character - defining historic buildings can be a challenge.
This feasibility study and reuse plan are necessary to save this structure., We believe
the model proposed by Four Mounds and the partnership could be used as a template
as we identify other challenging downtown properties with multiple barriers for reuse.
This project is important to the City of Dubuque because its end use and projected
method focus on a number of different City priorities, including:
Washington. Neighborhood Revitalization: this property is an excellent example of
vernacular, mixed use structures that originally populated this residential neighborhood.
With its recent listing on the National Register of Historic Places, being a corner
property on a major street, and its proximity adjacent to Salvia House, the Heritage
Trail, and the Bee Branch, this structure is a high priority for the Washington
Neighborhood._ The HEART program, Manasseh House and the Washington
Neighborhood Development Corporation are all organizations focusing resources on
and in the Washington Neighborhood.
Sustainable Dubuque: The embodied energy saved in reusing this structure aligns
with the goals of Sustainable Dubuque (Environmental /Ecological integrity). Its historic
restoration will result in' the training of at -risk youth in the green economy and the
possible end -use by Manasseh House/ Project Empower supports the empowerment of
an at -risk, adult female population in Dubuque (Economic /Prosperity). The restoration of
this key historic structure contributes to the revitalization of the Washington
Neighborhood and supports the entire community as an asset along the Bee Branch
Creek and Heritage Trail (Social /Cultural Vibrancy).
Service
People Integrity Responsibility Innovation Teamwork
Project HOPE: Both the HEART Program and Manasseh House/ Project Empower
work toward supporting, preparing and training young people and adults for a healthy
adulthood and self-sufficiency. This collaboration helps each organization focus on its
area of expertise, with Four Mounds and HEART focused on the restoration,
redevelopment and job training, while Manasseh House expands its operations through
the creation of housing and supportive services.
Bee Branch Creek Restoration: This building is a key, but problem property that
currently lacks ownership, a sponsor or a reasonable plan for reuse. Left to the open
market, it will likely be purchased by company outside of Iowa after the two year waiting
period for tax delinquency. This approach can result in a reasonable plan for putting it
back into use and making it an asset along the Bee Branch Creek.
Every Child Every Promise: The redevelopment of the property will convert a liability
into an asset for the neighborhood, helping to make the Washington Neighborhood a
safer place for families and children. The HEART program continues its work helping to
meet the five promises in the following ways:
1) Healthy Start: Builds a foundation for success in adulthood, helping youth
move toward high school graduation, armed with soft and hard work skills,
opening doors to higher education, providing supportive service, teaching
financial literacy and personal health.
2) Safe Places: Teaches the value of safe places and empowers youth to
transform blighted, substandard properties into quality single family homes,
making a positive impact for the future residents as well as the neighborhood
around the property.
3) Caring Adults: HEART surrounds youth with caring adults, engages them in
community events and service where they can be appreciated by community
adults, and whenever possible, engages parents in programming.
4) Effective Education: HEART students boast 92% graduation rate since 2003
(students who enter the program identified as at-risk of dropping out by
Dubuque Community Schools). The effective approach uses applied learning
in real -life training opportunities.
5) Opportunity to serve: Our program is focused around service back to the
community. Students put in over 500 hours of service each year.
We support Four Mounds Foundation's application for development of a partnership and
reuse plan for this property and look forward to providing input and seeking relevant
roles for the City as the project moves forward. This is an ideal role for the City to
support several non - profit organizations in a partnership to save this property. We will
use the tools and staffing expertise as deemed necessary and available as this
partnership works to develop a viable plan for reuse.
Inc rely
vi • Harris
Department Director
COMMUNITY FOUNDATION
of Greater- IIubuyue
YOUR COMMUNITY. YOUR FOUNDATION.
700 Locust Street, Suite 195, Dubuque, Iowa 52001 • (563) 588 -2700 • www.dbqfoundation.org
Mail 1 original to:
700 Locust Street, Suite 195
Dubuque, Iowa 52001
And
1 electronic copy to:
office@dbgfoundation.org
Date of Application: 8 -12 -11
2011 GRANT APPLICATION
For Requests up to $15,000
Name of Agency:
(should be same as on IRS determination letter)
Cover Sheet
Four Mounds Foundation
Deadline for Submission:
August 15, 2011 by 4:00 p.m.
Executive Director: Chris Olson
Contact Person (if different from above): Chris Olson
Agency Address: (Street) 4900 Peru Road
Phone: 563 -557 -7292
(City, State, ZIP) Dubuque, IA 52001 Fax:
(County) Dubuque
Website: www.fourmounds.org
Email: chris @fourmounds.org
501(c)(3)? ® Yes, Tax ID# 42- 1265303
❑ No (If no, a Fiscal Sponsor may be used). The sponsoring organization must be a 501(c)(3).
Name of Fiscal Sponsor:
Sponsor Address: (Street)
(City, State, ZIP)
Tax ID #:
Phone:
Email:
Purpose of Grant:(one sentence)
Amount Requested: $ 5,000
To stabilize the historic, but threatened 400 E. 22nd Street property in the
Washington /Bee Branch Neighborhood and develop a feasibility and reuse plan
for the structure, through partnership of the City of Dubuque, Four Mounds
Foundation and Manasseh House /Operation Empower.
Page I of 7 Revised 7 /6/11
Mail 1 original to: 2011 GRANT APPLICATION Deadline for Submission:
700 Locust Street, Suite 195 For Requests up to $15,000 August 15, 2011 by 4:00 p.m.
Dubuque, Iowa 52001
And
1 electronic copy to:
of ice(d'dbgfoundation.org
Project Information Sheet
Agency: Four Mounds Foundation
Current Operating Budget: $ 484,559
Date Founded (mm /dd /yyyy): 04 -02 -85
Service to approx 500 youth
Number of people served by agency:
14,000 total for foundation
Project/Program Name: Restoration and Reuse Plan for 400 E. 22nd Street
Location Address: (Street) 4900 Peru Road
(City, State, ZIP) Dubuque, IA 52001
(County) Dubuque
Project/Program Timeline: Fall 2011
Date funding is needed: December 2011
If the Community Foundation does not fully fund your request, what alternative plan would you follow?
We would need to seek other funding to support the process and couldn't move forward without it.
Number of people served by the Project/Program:
1) Manasseh House /Operation Empower clients, 2) Neighbors
in the Washington Neighborhood, 3) 15 HEART full -time
students
Project/Program Description
Include the following in your description:
(1) Goals and Outcomes; (2) Need for the Project/Program;
(3) How Does this Project/Program Work with At -risk Populations; (4) Geographic Area Served;
(5) Identify How this Project/Program is Specifically Related to Neighborhood Development;
(6) Identify How this Project/Program Addresses the Five Promises;
(7) List the Major Outcomes that You Hope to Achieve Through this Project/Program; and
8) Explain Plan to Sustain this Project/Program in the Future
(Please type in the appropriate spaces below. Try to limit answers to the space provided. Attach additional sheets if needed)
Page 2 of 7
Revised 7/6/11
1) Goals and Uses:
This project seeks to develop a relevant and viable feasibility and reuse plan for 400 E. 22nd Street in Dubuque's
Washington Neighborhood (the Property). Funding would support the stabilization and planning process for the reuse of this
threatened but significant community structure. The planning process seeks to incorporate the HEART students in the
Property's redevelopment plan, as a way to reduce costs in the development phase and provide the students with an
important role in the continued redevelopment of the Washington Neighborhood. The process also seeks a viable end use
for the project, likely as owned and operated by Manasseh House /Operation Empower (501c3), to house, employ, educate
and offer supportive services to the needy women of the tri- states in a sustainable manner.
This planning process will not guarantee that this building will be a HEART project, or that it will occupied /owned by
Manasseh House /Operation Empower, or that funding sources will exist at the end of the process. The planning process
will vet all likely and possible reuses with the goal of bringing the property back into positive use for the neighborhood. Work
on the project by any entity will require a viable funding & redevelopment plan, resources and an end -user. Manasseh
House would like to this property used as a positive component of their program, but necessarily must to address the
challenges of redevelopment in order to move forward. Manasseh House believes this property would be suitable for either
housing expansion and possibly empowerment operations, but a planning process will help them assess how this building
will fit their needs and the funding opportunities available to make their goal achievable.
Use of funds will support the stabilization of the property and the planning process, including the development of a reuse
plan and drawings that can be used in seeking support and providing guidance for the Property's redevelopment.
(2) Need for the Project/Program:
400 E. 22nd Street (the Property) is one of those character defining, neighborhood properties that poses a challenge: what
happens when we want to preserve our community's history and fabric, but multiple barriers make the goal seem
impossible? This project brings relevant community partners together to work toward a solution to restore the property to
positive, productive use for the neighborhood, while benefiting multiple at -risk populations. The building is a small (2400
square feet), brick vernacular commercial/residential structure that was once typical in Dubuque- the kind of building that
filled the corners of primarily residential neighborhoods, giving neighbors access to groceries and other goods within
walking distance of their homes. It sits at the axis of two intersecting street grids between the Rhomberg and Washington
neighborhoods, with the small building actually fronted by three different streets. It stands on its own island of sorts, with its
only adjacent neighbor being Salvia House to the south. The Heritage Trail and Bee Branch park (future) are to its east.
(See "Context" supplement).
Earlier this year, its elderly owner and resident died. The community discovered approximately 60 cats on premises,
making the reuse that more challenging due to the significantly compromised interior. The cats were relocated by the
Humane Society, but no heirs or entities with property rights have since come forward to claim the Property. Four Mounds
was contacted, upon recommendation of the City, by Liberty Bank, who was anticipating that they may eventually hold title,
due to a mortgage they hold. This summer's investigation by Four Mounds has unearthed a host of challenges for the
Property's redevelopment, due to its physical condition and the complexity of the restrictions on the property and the
potential funding sources involved. The project warrants development of a planning process which will result in a feasibility
study and reuse plan for the property. Four Mounds has coordinated the relevant partners and developed a summary of
issues at hand. This is the beginning of the planning process, which would continue under a grant supported project. (For
more, see Funding Programs & Restrictions Summary chart and Summary of the Issues and Project Partnership white
paper)
Four Mounds and the City are always an the lookout for the next HEART project. This project has been percolating this
year, but needs attention and planning if any entity is going to try to redevelop the property. Manasseh House is interested
in expanding and also desires to positively address this adjacent property. Manasseh expressed a strong interest in
obtaining design expertise to be able to plan for the reuse of this property, with likely a small office on the ground floor at
the front and residential toward the rear and above. This project seeks to address multiple community problems and needs
through partnership and planning.
Page 3 of 7
Revised 7/6/11
(3) How Does this Project Work with At -risk Populations: This project will work with three at -risk populations: 1) HEART
students, who are some of the most at -risk young people enrolled as juniors and seniors in Dubuque Community Schools,
2) clients of Manasseh House /Operation Empower, who are women with significant barriers to gainful employment and self -
sufficiency, and 3) the citizens of the Washington Neighborhood (the most economically distressed neighborhood in
Dubuque). For HEART students, the project provides them with an unusual opportunity to help bring this lost structure back
into viable use for the community, as well as providing Manasseh House with a valuable service to its clients. For
Manasseh House, the project lays the groundwork to comfortably move forward with development of another structure next
to Salvia House. Currently the structure is a nuisance and a concern... this project helps convert it from a liability into an
asset. For this low income neighborhood, it helps reclaim this structure and make it a benefit to the citizens and neighbors
and an asset along the Heritage Trail and new Bee Branch park.
(4) Geographic Area Served: The property itself is located in a residential area on the northeast corner of the Washington
Neighborhood, in the heart of Dubuque's northend, adjacent to Salvia House and the Bee Branch, and within two blocks of
Five Points and Sacred Heart Church. The HEART Program primarily focuses on improving the Washington Neighborhood.
Manasseh House /Operation Empower has operations next door at Salvia House and one block away at Manasseh House
proper. The participants of HEART primarily hail from the downtown and northend lower income neighborhoods of
Dubuque, as well as the surrounding bluff neighborhoods. The residents of Manasseh live in the Washington
Neighborhood, but primarily hail from those same downtown neighborhoods of Dubuque.
(5) Identify How this Project/Program is Specifically Related to Neighborhood Development:
This project is a challenging neighborhood development project for a key property for multiple layering neighborhoods and
areas, including: the Bee Branch, Heritage Trail, Washington Neighborhood and Rhomberg Neighborhood. The level of
complexity of issues warrants the reuse plan, as the property is too challenging for any individual, organization or corporate
entity to take on by itself. We have gathered what we believe are the right partners for the planning process, with an use -
goal in sight of making it available to Manasseh House for their needs.
City Housing & Community Development Director David Harris summed up a larger issues that this project illustrates. He
said that Dubuque is challenged by multiple properties throughout its downtown and historic neighborhoods, ones where
absentee owners, restrictions in use and development, and challenging physical constraints make redevelopment difficult.
David welcomed a planned approach where resources are focused on bringing the right partners and expertise together
and developing a plan that can be used to seek funding and carry out a redevelopment project. We also hope this process
can be a model for other challenging, key properties.
The HEART program focus has been on the development of housing in the Washington Neighborhood, providing our
students with relevant training opportunities to complement their educational focus as they earn high school diplomas and
prepare for adulthood. The students have helped turn 28 substandard rentals into 20 owner occupied homes, with 100%
located in the Washington Neighborhood. This project will provide new opportunities for providing service to those most in
need.
Page 4 of 7
Revised 7/6/11
(6) Identify How this Project]Program Addresses the Five Promises (Healthy Start, Safe Places, Caring Adult,
Marketable Skills and Opportunities to Serve):
The development of this plan helps put in place a blueprint to convert this property from a vacant, challenging structure to
an asset for the neighborhood, helping to contribute to safe places.
The HEART Program addresses the five promises in the following ways:
1) Healthy Start: Our program helps our students build a foundation for success in adulthood, helping them move toward
high school graduation, arming them with soft and hard work skills, opening doors to higher education, providing supportive
service, teaching financial literacy and personal health. 2) Safe Places: We teach the value of safe places to our students
and empower them to transform blighted, substandard rental properties into quality single family homes, making a positive
impact for the new homeowner as well as the neighborhood around the property. 3) Caring Adults: We surround our
students with caring adults (teacher, site supervisor, and paraeducators), engage them in community events and service
where they can be appreciated by community adults, and whenever possible, engage their parents in the program. 4)
Marketable Skills /Effective Education: We have crafted an educational program that actively engages students in learning,
with a 92% graduation rate for these students who enter our program identified as at -risk of dropping out. The work is
challenging, positive, exciting, relevant, and achieves the goal of earning a high school diploma. 5) Our program is focused
around service back to the community. Our students put in over 500 hours of service each year.
(7) List the Major Outcomes that You Hope to Achieve Through this Project'Program:
1) Clear Property of debris, including furniture, carpeting and trash. Compost, recycle and dispose of debris. Fall 2011
2) Stabilize and mothball structure, in preparation for the waiting time necessary to plan, obtain funding, and rid the
Property of its flood plain status (as planned for the Bee Branch). Stabilization will include working with the Housing
Department to gain access and obtaining permission to make minimal alterations to protect the building from further
decay. This may include window protection and ventilation. Gronen Restoration will consult with in -kind services.
Fall 2011
3) Assemble partnership for feasibility and reuse plan. Hold bi- monthly meetings to look at viable reuses, vet funding,
and address strategic issues for the Property's redevelopment. Assist Manasseh House with the development of
the feasibility study to ensure project success, incorporating relevant parts into the final plan. Start Fall 2011, end
Summer 2012.
4) Through the planning process, identify the viable interim and end -user owner and secure property. Work with the
County /City Assessor's office and the County Treasurer's Office to ensure taxes are paid and the property isn't lost
to another outside entity. Needs to be secured prior to March 2013.
5) Final printing and electronic delivery of feasibility and reuse plan to City of Dubuque, Washington Neighborhood
Development Corporation, Community Foundation of Greater Dubuque, Manasseh House /Operation Empower,
and any other end users identified in the process. One set of original drawings and electronic files to be delivered to
end -user, paper (bound booklet) and electronic copies to all partners. Summer 2012.
(8) Explain Plan to Sustain this Projec/Program in the Future:
This one -time request is to develop a feasibility and reuse plan is Phase I of a two phase project, with the redevelopment of
the property as Phase II. The project sets the groundwork (through planning) and stabilizes the building so Phase II can
proceed. Phase l's plan will help the new end -user, likely Manasseh House, to move forward with fundraising and carry out
the reuse plan. The result of the planning process will guide the role for the HEART program's involvement.
This planning process may serve as a model for other challenging properties in Dubuque's downtown neighborhoods and
we're willing to share the end results with others.
Page 5 of 7
Revised 7/6111
Project/Program Budget
List all expenses (including those already incurred) associated with your proposed project/program.
If applicable, please include in -kind donations /non -cash support.
Prolecd/Program Expenses: Include the description and amount of all costs associated with your project/program.
Be as specific as possible.
Description of Expense
1. Chris Olson, Four Mounds Foundation, project leadership, 65 hrs @ $27.5/hr $ 1,925
2. Stabilization / mothball costs (materials & labor estimate) $ 1,500-
3. Debris removal (removal, hauling, & tipping fees) $ 1,400
4. Jeff Morton, architectural planning ($90 /hr x 12 hrs) (offered up to 9 hrs in -kind) $ 1,080
5. Blueprint printing, plan printing (estimate) $ 100
6. John Gronen, Gronen Restoration, in -kind service hours (10 hrs @ $90 /hr) $ 900
7. Engineering fees for structural issues (estimated $90 /hr x 5 hrs) $450
Not included in the project
Amount
Property acquisition, redevelopment costs, tax payment, ownership Outside this scope
Other In -Kind Assistance:
Michelle Mihalakis, Manasseh House, in -kind planning hours
Dean Beresford, Liberty Bank, in -kind planning hours, as needed
City of Dubuque staff, in -kind planning hours, as needed
Request of fee waiver, City of Dubuque, Vacant & Abandoned Buildings ($300)
in -kind
in -kind
in -kind
in -kind
Total Project/Program Expenses (sum of lines 1 -15) $ 7,355
Grant Ask Amount for Project/Program: $ 3,000
Page 6 of 7 Revised 7/6/11
Board of Directors
NAME ROLE HOME ADDRESS EMAIL ADDRESS
1.
John Freund
Chair
jdfreund @jdfreundlaw.com
2.
Mary Gronen
Vice -Chair
1766 Plymouth Ct.
maryq(a.gronenproperties.com
3.
Trish McDonald
Secretary
480 Arlington
Eieio62 @hotmail.com
4.
Renee Hesselman
Treausurer
189 Julien Dubuque Dr.
Rhesselman @honkamp.com
5.
John Gronen
President
1766 Plymouth Ct.
6.
Liz Adams
Family class appointee
Estes Park, CO
7.
Jayne Banfield
At -large
999 S. Grandview
Serv7hills @mchsi.com
8.
Karla Braig
City council appointee
1795 Loras Blvd.
kbraig @cityofdubuque.org
g.
Scott Dittmer
At -large
10.
Jim Gronen
Family class appointee
Boulder, CO
11.
Pat O'Neill
At -large
2045 Jeffey Dr.
Abd_patoneill @yahoo.com
12.
Heather Trees
At -large
13578 Burton's Furn. Rd.
Heather.trees @gmail.com
13.
Dick Weber
At -large
1036 Bonnie Ct.
14.
15.
16.
17.
18.
19.
20.
® Attachment A
Current Federal IRS determination letter indicating non - profit status (or listing from The Official Catholic Directory)
® Attachment B
Organization operating budget for current year covering both income and expenses. (Limited to one page)
ATTACHMENTS:
*Original should include A & B *Copies should include B only
Board of Directors Chair — Signature
Executive Director/President — Signature Fiscal Sponsor (if applicable) - Signature
_Christine Happ Olson
Board of Directors Chair — Printed Name Executive Director /President — Printed Name Fiscal Sponsor (if applicable) — Printed Name
Date
Date
Page 7 of 7
Date
Revised 7/6/11
400 E. 22nd Street Neighborhood Context
With Salvia House (above right) and the Bee Branch (below left)
Turn over 4