AGENDA REPORT
TO:
VIA:
FROM:
DATE:
Placentia City Council
CITY COUNCIL
CITY ADMINISTRATOR
DEPUTY CITY ADMINISTRATOR/ PUBLIC SERVICES & INFRASTRUCTURE SEPTEMBER 5, 2023
SUBJECT: FACADE IMPROVEMENT PROGRAM REIMBURSEMENT AGREEMENT FOR PHASE 2 OF THE 101 W. SANTA FE AVENUE FACADE IMPROVEMENT
PROJECT
FISCAL
IMPACT: EXPENSE: $ 168,300 GRANT AWARD
BUDGETED: $ 190,291 COMMUNITY DEVELOPMENT BLOCK
GRANT FUND (302535-6401 JL# 232501)
SUMMARY:
On December 5, 2017, the City Council approved the Old Town Placentia Facade Improvement Program (Program) to create an incentive for property owners in Old Town to improve their buildings by using Community Development Block Grant (CDBG) funds for eligible facade improvements, which is within the eligible census tracts for CDBG funds. The Program provides financial assistance in the form of a grant to commercial property and/or business owners to make facade improvements to the exterior of their commercial buildings. The City Council Housing, Community and Economic Development Ad -Hoc Committee (Committee) previously worked with Staff to develop a facade improvement program with the overall goal of promoting historic Old Town Placentia as an ideal location for quality business, incentivize property and business improvements and attraction to enhance local economic growth. In addition, the Committee emphasized consolidating funds to facilitate worthwhile improvements on commercial corners, which have a key visual impact to attracting visitors to Old Town.
The Program to date has funded a total of five (5) facade improvement projects three of which include new murals painted on buildings that serve as bookends to the historic core of Old Town.
On December 6, 2022, the City Council approved the fifth project to renovate the corner facade of the commercial building located at 101 W. Santa Fe Avenue. This recommended action is to approve a Facade Improvement Program Agreement with the property owners of 101 W. Santa Fe Avenue to provide grant funding on reimbursement basis to complete Phase 2 of the project.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Approve a Facade Improvement Program Agreement for Phase 2 of the Old Town Placentia Facade Improvement Project at 101 W. Santa Fe Avenue; and
1.g.
Sept. 05, 2023
City Council Agenda
September 5, 2023
2. Authorize the City Administrator and/or his designee to execute all necessary documents including the Old Town Placentia Facade Program documents, in a form approved by the City Attorney.
STRATEGIC PLAN STATEMENT:
This item is consistent with the City Council approved 5 -Year Strategic Goal #6 to Improve City Beautification under Objective #6.3, which is to allocate more funding for facade improvement projects within eligible census tracts.
DISCUSSION:
The City Council Housing, Community and Economic Development Ad -Hoc Committee (the "Committee") worked with Staff on developing a new facade improvement program funded with Federal Community Development Block Grant Funds in the Old Town Placentia District (OTPD).
The overall goal of this program is to promote the OTPD as an ideal location for quality business, incentivize property and business improvements and attraction to enhance local economic growth.
On December 5, 2017, the City Council formally approved the Old Town Placentia Facade Improvement Program (the "Program"). The Program provides financial assistance in the form of a grant to commercial property and/or business owners to make facade improvements to the exterior of their commercial buildings located within the OTPD. The Program to date has funded a total of five (5) facade improvement projects within the OTPD, three of which included new murals on buildings which serve as the bookends to the core Historic portion of Old Town. The Program includes the following criteria for prioritizing applications:
1) Properties or areas that historically have been targeted for graffiti and/or are prone to blight.
2) Projects that provide significant value to the Old Town Area or Placentia Metrolink Station.
3) Properties or areas adjacent to new public facilities such as the Parking Structure. 4) Projects that involve a historical restoration/renovation of a building. Specifically, properties facing Santa Fe Avenue and/or Bradford Avenue.
As such, the program has initially focused on corner properties as they are located at busy intersections that will generate the most views by the public and which serve as gateways to the Old Town area.
The most recent project funded under the Program renovated the corner facade of the commercial property located at 101 W Santa Fe Avenue. This scope of work for this project included:
• Replacement of existing windows, frame, and hardware with new storefront windows and awning treatments.
• Replacement of existing lighting with new LED Tight fixtures at exterior. • New architectural and decorative foam and cast concrete. • New painting of exterior walls and decorative facade elements.
City Council Agenda
September 5, 2023
The project application consisted of renovating of the entire facade of the commercial building at 101 W Santa Fe Avenue. Due to increased construction costs and limited CDBG funding for the Program, this project was divided into two phases.
On December 6, 2022, the City Council awarded a construction contract for the improvements of Phase 1 of the project. Phase 1 of the project was completed in July 2023. Staff is recommending the approval of a Facade Improvement Program Agreement with the property owners of 101 W.
Santa Fe Avenue to provide grant funding on reimbursement basis to complete Phase 2 of the project. The total cost for the facade improvements for Phase 2 amount to $187,700. Of this amount, the City will provide the property owner with a matching grant of 90% of the total project cost. The property owners will be responsible for 10% of the total project cost. If approved, the total grant amount will be $168,300. The recommended actions will result in the completion of the improvements to the remaining facade of the property, thus enhancing the Old Town Placentia District. The City will be able to continue achieving the goals of the Program, as well as general new retail interest, thereby generating additional interest from other property owners in the area to participate in the Program.
If approved, grant funds will be released to the applicant throughout the duration of the project until the project is complete under the following conditions:
1. Providing proof of progress work for completed by the contractor for the project by submitting contractor invoices with description and cost of eligible works.
2. Staff conducts progress building/site inspection of completed work (as necessary).
3. Staff checks to ensure that all program and grant agreement requirements have been met.
4. Payment of invoices per approved grant amount is made out to the applicant.
5. Project is monitored to ensure that all program and grant agreement requirements continue to be met.
FISCAL IMPACT:
The FY 2023-24 Operating Budget includes CDBG funds for the Program. As such, there is sufficient funds for the recommended actions. This CDBG funding is required to be expended by June 30, 2024.
Prepared by:
Reviewed and approved:
r
Isa Robinson Jenni er Lampman
Senior Management Analyst Director of Finance
City Council Agenda
September 5, 2023
Reviewed and approved: Reviewed and approved:
Jeannette Ortega
Deputy Director of Administrative Services
Reviewed and approved:
Damien R. Arrula
City Administrator
Attachment:
Facade Improvement Program Agreement
(Ais f sfwwy
Luis Estevez
Deputy City Administrator