#05 Authorize acquisition and demolition of 1909 Joseph Street (File Res. #2011-777)
NEIGHBORHOOD SERVICES MEMORANDUM
March 30, 2011
TO: City Council
FROM: Kelly Lee, Neighborhood Development Specialist
SUBJECT: Action on a proposed Resolution Authorizing the Acquisition and
Demolition of Real Property Located at 1909 Joseph Street for
Open Green Space. (File Resolution 2011-777)
Summary
In November of 2009, the City Council authorized the administration to submit an
amendment to the Community Development Block Grant-Emergency Assistance
(CDBG-EAP) Grant to include the acquisition of the properties that were
damaged by the 2008 flood, but were not eligible for the Hazard Mitigation Grant
Program or the first round of the CDBG-EAP Grant. The City of Janesville
currently has a contract with the State of Wisconsin Department of Commerce for
administration of this grant. Staff has negotiated an offer to purchase for the
property located at 1909 Joseph Street.
Department Recommendation
The Plan Commission and the Neighborhood Services Department recommend
that the City Council support a motion to approve Resolution 2011-777
authorizing the acquisition and demolition of real property located at 1909 Joseph
Street.
City Manager Recommendation
The City Manager concurs with the Plan Commission and Neighborhood
Services Department.
Suggested Motion
I move to approve file resolution 201-777 authorizing the acquisition and
demolition of real property located at 1909 Joseph Street for open green space at
a price not to exceed $90,000 through the Community Development Block Grant-
Emergency Assistance Program.
Background
In June of 2008, the City of Janesville experienced a flood level greater than the
Intermediate Regional Flood (100 year event). The 2008 event was the largest
flood event on record in the City of Janesville. Hundreds of residents were
evacuated, city buildings and infrastructure were damaged and dozens of
businesses were forced to close their doors.
1
Following the June 2008 flood, the City of Janesville submitted a grant
application for the potential acquisition of 11 substantially damaged properties in
Mole & Sadler’s Addition under the Federal Hazard Mitigation Grant Program.
Grant funding was approved by FEMA for the acquisition and demolition of 8 of
those properties. Three properties included in the grant were removed from the
application by Wisconsin Emergency Management due to environmental
concerns related to groundwater contamination on the sites. Those properties
have since been acquired through the Community Development Block Grant-
Emergency Assistance Program (CDBG-EAP) and the structures have been
demolished.
In September of 2010, the City of Janesville was awarded an additional $300,000
in CDBG-EAP funding to be used to acquire residential properties located within
the floodplain that did not qualify for any previous grant program because they
were not substantially damaged. The property located at 1909 Joseph Street is
one such property. During the 2008 flood event, this property was not declared
substantially damaged, but it did sustain some damage and the occupants
needed to be vacated from the property due to lack of sewer and water and
access to the property. Staff anticipates this to be the last property that the City
of Janesville will acquire under this program.
Similar to the Hazard Mitigation Grant Program rules, offers to purchase are
based on a pre-flood appraisal minus any duplication of benefits including
insurance and FEMA assistance. Using this formula, the offer to purchase for
1909 Joseph Street is $90,000.
The participation in this “Buy-Out” is completely voluntary and the citizens could
choose to terminate negotiations with the city at any time. The grant requires that
acquired properties be demolished and left in open green space in perpetuity. As
with the rest of the properties that have been acquired from the floodplain
through these programs, prairie grass will be planted as a way to reduce ongoing
maintenance of the area.
For health and safety reasons the Grant prohibits a structure, or any part of the
structure, which has incurred flood damages be salvaged.
The Community Development Block Grant-Emergency Assistance Program does
not have a local match requirement for acquisition, demolition or site restoration.
Analysis
A. The properties are located in a flood plain
B. The structures are currently vacant.
C. The properties are considered unbuildable at this time.
D. The acquisition and demolition is funded by the Community Development
Block Grant-Emergency Assistance Program (CDBG-EAP)
2
E. The City Council approved the amendment to the CDBG-EAP at the
November 23, 2009 meeting.
F. The properties will be left as permanent open green space and under City
Ownership.
G. The acquisition and demolition projects are consistent with the City of
Janesville’s Comprehensive Plan.
PLAN COMMISSION MINUTES
Duane Cherek, Manager of Planning Services, presented the written staff report.
There was no discussion.
There was a motion by Commissioner Adams with a second by Commissioner
Perrotto to forward the proposed acquisition to the City Council with a favorable
recommendation noting that the Plan Commission has not reviewed the financial
aspects of this transaction.
The motion carried on a 6-0-0 vote.
cc: Eric Levitt, City Manager
Jay Winzenz, Director of Administration
Jennifer Petruzzello, Neighborhood Services Director
3
RESOLUTION NO. 2011-777
A RESOLUTION AUTHORIZING THE ACQUISITION AND DEMOLITION OF REAL PROPERTY
LOCATED AT 1909 JOSEPH STREET.
WHEREAS
, Wis. Stats. §§ 62.22 (1), 62.23 (17) (a), 62.23 (17) (b), 66.0101, 62.11(5) and Chapter 32
and other pertinent Wisconsin Statutes permit the City of Janesville’s acquisition, development,
improvement, ownership, protection, and conservation of parkland, open space, green space,
riverfront properties, and development properties; and
WHEREAS,
the City of Janesville has applied for and been awarded funding through the Community
Development Block Grant (CDBG-EAP) grant to acquire and demolish properties that were not
substantially damaged in the 2008 Flood Event (Disaster Declaration FEMA-1768-DR-WI) yet are
located within the flood plain; and
WHEREAS
, the Community Development Block Grant-Emergency Assistance Program (CDBG-EAP)
grant may be used for the acquisition, demolition, razing, and removal of the improvements upon the
property located at 1909 Joseph Street; and
WHEREAS
, Wisconsin Department of Commerce has accepted the Emergency Management
approved pre-flood property appraisals and has calculated the offer to purchase amounts based on
pre-flood property values minus any duplication of benefits including FEMA assistance, insurance,
and other assistance programs; and
WHEREAS
, the City of Janesville has received a binding offer to sell contingent upon City Council
approval of Ninety Thousand and 00/100 Dollars ($90,000.00) for the property located at 1909
Joseph Street; and
WHEREAS
, the Community Development Block Grant-Emergency Assistance Program requires that
acquired properties remain in open green space and under City ownership in perpetuity; and
WHEREAS
, the Janesville Plan Commission has reviewed this proposed acquisition on April 4, 2011
and found it to be consistent with long range City plans, but not commenting upon the financial
aspects of the transaction; and
WHEREAS
, the Common Council hereby find this acquisition is in the best interest of the public and
for the benefit of the community; and
WHEREAS
, the funding source for the acquisition and demolition is Community Development Block
Grant-Emergency Assistance (CDBG-EAP) funds:
NOW, THEREFORE, BE IT RESOLVED
by the Common Council of the City of Janesville that they
hereby approve and authorize the City Manager and/or his designee(s), on behalf of the City of
Janesville, to acquire and close upon the City’s purchase of this Property from the owner(s) for the
purchase price and otherwise in the manner set forth in the above recitals, and to then use in
perpetuity the acquired property as open green spaces and otherwise in accord with all Program
rules; and
BE IT FURTHER RESOLVED
, that the City Manager and/or his designee(s) on behalf of the City of
Janesville is/are hereby authorized and empowered to negotiate, draft, modify, review, execute, and
enter into additional agreements, record, file and/or make minor modifications and/or amendments to
any and all documents, papers, forms, and agreements, and to take whatever other actions as the
City Manager may determine, from time to time and at any time, necessary and/or desirable to
effectuate the intent of this resolution and/or the public good.
ADOPTED: Motion by:
Second by:
APPROVED:
Councilmember Aye Nay Pass Absent
Brunner
McDonald
Eric J. Levitt, City Manager
Perrotto
Rashkin
ATTEST:
Steeber
Truman
Voskuil
Jean Ann Wulf, City Clerk-Treasurer
APPROVED AS TO FORM:
City Attorney, Wald Klimczyk
Proposed by: Neighborhood Services
Prepared by: Neighborhood Services and City
Attorney
α½µ 窻®
ïçðç
q
Ô»¹»²¼
Í«¾¶»½¬ Í·¬»
Ü¿¬»æ îñïìñïï
ͽ¿´»æ ïþã ïððù
Ó¿° ݱ±®¼·²¿¬»æ Õóïè
ÔÑÝßÌ×ÑÒ ÓßÐ
Ý×ÌÇ ÑÚ ÖßÒÛÍÊ×ÔÔÛ
ÓßÐ ï
ïçðç Ö±»°¸ ͬ®»»¬
ÐÔßÒÒ×ÒÙ ÍÛÎÊ×ÝÛÍ
ÍæЮ±¶»½¬Äд¿²²·²¹ÄÝ¿»ÄÝ¿»óîðïðÄÕóïèÁïçðçóÖ±»°¸
1909 Joseph Street