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HomeMy WebLinkAboutPACKET SEPT 24 2002 �Z IL Cite o eau nt REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS SEPTEMBER 24, 2002 1:30 P.M. AGENDA CALL TO ORDER * Invocation Pledge Roll Call * Presentations and Recognition * Public Comment: Persons may speak on scheduled agenda items 4-7 * Consent Agenda GENERAL BUSINESS 1. Consider a request for a zone change from LI (Light Industrial) to GC-MD (General Commercial-Multiple Family Dwelling) District for property on 12th Street east of Sam's Wholesale Club 2. Consider a request to amend a specific use permit to allow office space, counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an LI (Light Industrial) and RCR(Residential Conservation and Revitalization) District at 702-754 College Street and 852-860 Trinity Street 3. Consider a request for a specific use permit to allow a parking lot in a GC-MD-2 (General Commercial-Multiple Family Dwelling-2) District on property located on W. Lucas, behind Novrozsky's Restaurant 4. Consider a request to abandon 150' of the 20' alley between Lots 5-7, Bryan Addition and Tracts C, J and K, Plat S,N. Tevis Survey, located at 1320 Pennsylvania Avenue 5. Consider approval of an annual contract for office supplies through the Texas Local Government Purchasing Cooperative's BuyBoard contract with Corporate Express 6. Consider approving an amendment to the Lease Agreement with the Art Museum of Southeast Texas 7. Consider approving a contract for the purchase of one (1) paratransit vehicle 8. PUBLIC HEARING: Dilapidated Structures Consider an ordinance declaring certain dilapidated structures to be public nuisances and ordering their repair or removal by the owners and authorizing the removal of certain other structures whose owners failed to comply with condemnation orders WORKSESSION * Receive report from Chandler, Brooks&Donahoe, Inc. related to the City's tourism and marketing efforts * Review proposed changes to the City's Health Insurance Program COMMENTS * Councilmembers comment on various matter * Public Comment (Persons are limited to three minutes) EXECUTIVE SESSION * Consider matters related to contemplated or pending litigation in accordance with Section 551.071 of the Government Code: Columbus Broussard v City of Beaumont., et al Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Pat Buehrl at 880-3725 a day prior to the meeting. I September 24,2002 Consider a request for a zone change from LI (Light Industrial) to GC-MD (General Commercial- Multiple Family Dwelling) District for property on 12'Street east of Sam's Wholesale Club City of Beaumont Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Stephen C. Richardson, Planning Manager MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider a request for a zone change from LI(Light Industrial) to GC-MD(General Commercial-Multiple Family Dwelling)District for property on 12t''Street east of Sam's Wholesale Club. RECOMMENDATION The Administration recommends approval of a zone change from LI(Light Industrial) to GC-MD (General Commercial-Multiple Family Dwelling)District for property on 12t'Street east of Sam's Wholesale Club. BACKGROUND Sam Parigi is making application to rezone a 12.505 acre tract of land east of Sam's Wholesale Club from LI (Light Industrial) to GC-MD (General Commercial-Multiple Family Dwelling) for the purpose of building a senior housing complex. Since residential development is not permitted in an LI District, the applicant is requesting the zone change. The property is surrounded by LI and A-R(Agricultural-Residential)zoning. However,the proposed zone change is compatible with the development on nearby properties and would not be detrimental to surrounding properties. The A-R zoning coincides with a pipeline that cuts through the area.The neighboring properties that are developed and zoned LI are developed with commercial uses permitted in the GC-MD District. Therefore,this zone change would not be considered spot zoning. BUDGETARY IMPACT None. PREVIOUS ACTION At a joint Public Hearing with City Council held September 16, 2002, the Planning Commission voted 7:0 to approve a zone change from LI (Light Industrial) to GC-MD (General Commercial- Multiple Family Dwelling) District for property on 12th Street east of Sam's Wholesale Club. SUBSEQUENT ACTION None. RECOMMENDED BY Planning Commission, City Manager, Public Works Director and the Planning Manager. RECOMMENDED MOTION Approve/Deny a request for a zone change from LI (Light Industrial) to GC-MD (General Commercial-Multiple Family Dwelling)District for property on 12th Street east of Sam's Wholesale Club. ORDINANCE NO. ENTITLED AN ORDINANCE AMENDING CHAPTER 30 OF THE CODE OF ORDINANCES OF BEAUMONT, TEXAS, AND IN PARTICULAR THE BOUNDARIES OF THE ZONING DISTRICTS, AS INDICATED UPON THE ZONING MAP OF BEAUMONT, TEXAS, BY CHANGING THE ZONING OF PROPERTY PRESENTLY ZONED AS LI (LIGHT INDUSTRIAL) DISTRICT TO GC-MD (GENERAL COMMERCIAL-MULTIPLE FAMILY DWELLING) DISTRICT FOR PROPERTY LOCATED ON 12TH STREET EAST OF SAM'S WHOLESALE CLUB, BEAUMONT, JEFFERSON COUNTY, TEXAS; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEAL AND PROVIDING A PENALTY. BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That Chapter 30 of the Code of Ordinances of Beaumont, Texas, and in particular the boundaries of the zoning districts, as indicated upon the Zoning Map of the City of Beaumont, referred to in Section 30-513 thereof, is hereby amended by changing the zoning of property presently zoned as LI (Light Industrial) District to GC-MD (General Commercial-Multiple Family Dwelling) District for property located on 12th Street east of Sam's Wholesale Club as described below: Tract 1 Being a 8.869 acre tract or parcel of land out of and part of Lots 1-12, Block 33A and out of and part of an abandoned portion of Roberts Avenue, College Acres Extension Addition,Volume 5, Page 102, Map Records, David Brown League, Abstract No. 5, City of Beaumont, Jefferson County, Texas, containing 8.869 acres, more or less. Tract 2 Being all of Lots 11 and 12, Block 32A, College Acres Extension Addition, Volume 5, Page 102, Map Records, City of Beaumont, Jefferson County, Texas, containing 1.818 acres, more or less. Tract 3 Being a 1.818 acre tract or parcel of land out of and part of Lots 1-4, Block 33A and out of and part of an abandoned portion of Roberts Avenue, College Acres Extension Addition,Volume 5, Page 102, Map Records, David Brown League, Abstract No. 5, City of Beaumont, Jefferson County, containing 1.818 acres, more or less as shown on Exhibit "A" attached hereto and made a part hereof for all purposes, and the official zoning map of the City of Beaumont is hereby amended to reflect such changes. Section 2. That, in all other respects, the use of the property herein above described shall be subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended. Section 3. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances, should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end, the various portions and provisions of this ordinance are declared to be severable. Section 4. That all ordinances or parts of ordinances in conflict herewith are repealed to the extent of the conflict only. Section 5. That any person who violates any provision of this ordinance shall, upon conviction, be punished, as provided in Section 1-8 of the Code of Ordinances of Beaumont, Texas. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 24th day of September, 2002. - Mayor Evelyn M. Lord tea: FILE 1635-Z.- Reauest for 2 zone change from LI (Light Industrial) to GC-MD NORTH (General Commercial- Multiple Family Dwelling) District. Location: 12' St. east of Sam's Wholesale Club A Applicant: Sam C. Parigi, Jr. SCALE 1 11=200' 20 VON. 0 01 2 September 24,2002 Consider a request to amend a specific use permit to allow office space, counseling, coffee shop, -bookstore, food pantry and storage for a church ministry in an LI (Light Industrial) and RCR (Residential Conservation and Revitalization)District at 702-754 College Street and 852-860 Trinity Street A.. Cit y of Beaumont •�• Council Agenda Item � c TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Stephen C. Richardson, Planning Manager MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider a request for an amended specific use permit to allow office space, counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an LI(Light Industrial)and RCR(Residential Conservation and Revitalization)District at 702-754 College Street and 852-860 Trinity Street. RECOMMENDATION The Administration recommends approval of an amended specific use permit to allow office space, counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an LI (Light Industrial)and RCR(Residential Conservation and Revitalization)District at 702-754 College Street and 852-860 Trinity Street. BACKGROUND In March,2002,the City Council approved a specific use permit to allow office and counseling space at 860 Trinity for Ebenezer Missionary Baptist Church. The church,which is across the street from the subject property, is now requesting an expansion of permitted uses in the same building. 860 Trinity is a former doctor's office that has long been vacant. In 1999, House of Praise Deliverance Ministries received a specific use permit to allow the operation of a church education facility at this location. Ebenezer Missionary Baptist Church is wishing to expand the use of the building to better serve those in need of counseling. BUDGETARYIMPACT None. PREVIOUS ACTION At a joint Public Hearing with City Council held September 16, 2002, the Planning Commission voted 7:0 to approve an amended specific use permit to allow office space,counseling,coffee shop, bookstore, food pantry and storage for a church ministry in an LI (Light Industrial) and RCR (Residential Conservation and Revitalization)District at 702-754 College Street and 852-860 Trinity Street. SUBSEQUENT ACTION None. RECOMMENDED BY Planning Commission, City Manager, Public Works Director and the Planning Manager. RECOMMENDED MOTION Approve/Deny a request for a specific use permit to allow office space, counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an LI (Light Industrial) and RCR (Residential Conservation and Revitalization)District at 702-754 College Street and 852-860 Trinity Street. ORDINANCE NO. ENTITLED AN ORDINANCE AMENDING ORDINANCE 02- 013, GRANTING A SPECIAL USE PERMIT TO ALLOW OFFICE SPACE, COUNSELING, COFFEE SHOP, BOOKSTORE, FOOD PANTRY AND STORAGE FOR A CHURCH MINISTRY IN AN LI (LIGHT INDUSTRIAL) AND RCR (RESIDENTIAL CONSERVATION AND REVITALIZATION) DISTRICT LOCATED AT 702-754 COLLEGE STREET AND 852-860 TRINITY STREET. BE IT ORDAINED BY THE CITY OF BEAUMONT: THAT Ordinance 02-013 passed on March 5, 2002 by the City Council of the City of Beaumont is hereby amended as follows: Section 1. That a specific use permit to allow office space, counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an LI (Light Industrial) and RCR (Residential Conservation and Revitalization) District located at 702-754 College Street and 852-860 Trinity Street, being Lots 409, 500, 501 and 510, Block 65, Beaumont Townsite, City of Beaumont, Jefferson County, Texas, containing 0.702 acres, more or less, and as shown on Exhibit "A" attached hereto, is hereby granted to Ebenezer Missionary Baptist Church of Beaumont, Inc., it's legal representatives, successors and assigns. Section 2. That the specific use permit herein granted is expressly issued for and in accordance with each particular and detail of the site plan attached hereto as Exhibit "B" and made a part hereof for all purposes. Section 3. Notwithstanding the site plan attached hereto, the use of the property hereinabove described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 24th day of September, 2002. - Mayor Evelyn M. Lord FILE 1634-P: Request for an amended specific use permit to allow office space, NORTH \ counseling, coffee shop, bookstore, food pantry and storage for a church ministry in an RCR (Residential Conservation Revitalization) and LI (Light Industrial) District. Location: 702-754 College St. and 852-860 Trinity Street. SCALE �s Applicant: Ebenezer Missionary Baptist Church of Beaumont, Inc. 1"=200' , 00, ,tv Q . .s• h lb 0 ` •�' ° '+ C AN ft 0 w� o° UBJECT 060 O • • ON •p� .s 0 42 qP e � �\ lb • L . .,�'. EXHIBIT "All TREE ) TREE r - sN R u —u4' - � I PnRRI,NG way co nI D (n c. tu tit a , m N^►�D Y CAP T+R I M 1 TY 3 September 24,2002 Consider a request for a specific use permit to allow a parking lot in a GC-MD-2 (General Commercial-Multiple Family Dwelling-2) District on property located on W. Lucas, behind Novrozsky's Restaurant City of Beaumont � c Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Stephen C. Richardson, Planning Manager MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider a request for a specific use permit to allow a parking lot in a GC-MD-2(General Commercial-Multiple Family Dwelling-2)District on property located on W. Lucas, behind Novrozsky's Restaurant. RECOMMENDATION The Administration recommends approval of a specific use permit to allow a parking lot in a GC- MD-2(General Commercial-Multiple Family Dwelling-2)District on property located on W.Lucas, behind Novrozsky's Restaurant subject to the installation of a stormwater collection system and that the landscaping along W. Lucas meet ordinance requirements. BACKGROUND David Jones,with Novrozsky's,has leased the property behind the Novrozsky's Restaurant at 4230 Calder for an auxiliary parking lot. The lot was paved without any permits and Mr. Jones was notified of the need to obtain the necessary permits. In April, 2002, the City Council approved a specific use permit for a sno-cone stand on the property immediately to the north of the subject property. The parking lot accommodates 9 parking spaces. Any lighting will be directed away from adjacent properties. No signage is proposed for the parking lot. BUDGETARY IMPACT None. PREVIOUS ACTION At a joint Public Hearing with City Council held September 16, 2002, the Planning Commission voted 5:2 to approve a specific use permit to allow a parking lot in a GC-MD-2 District on property located on W. Lucas, behind Novrozsky's Restaurant, subject to not requiring the stormwater collection system as recommended by the City,but require that the landscaping along W.Lucas meet ordinance requirements. However, City staff feels that it is very important to address the drainage needs of the parking lot. If the parking lot had gotten the necessary permits before construction, a stormwater collection system would have been required. Staff has concerns over what effects water coming off the parking lot will have on the drainage on W. Lucas and the precedent that will be set by not requiring a stormwater collection system for this parking lot. SUBSEQUENT ACTION None. RECOMMENDED BY Planning Commission, City Manager, Public Works Director and the Planning Manager. RECOMMENDED MOTION Approve/Deny a request for a specific use permit to allow a parking lot in a GC-MD-2 District on property located on W. Lucas,behind Novrozsky's Restaurant, subject to requiring the stormwater collection system as recommended by the City,and require that the landscaping along W.Lucas meet ordinance requirements. INTER-OFFICE MEMORANDUM City of Beaumont,Texas Engineering Division Date: September 18, 2002 To: Steve Richardson, Planning Director From: Joris P. Colbert, City Engineer J�� Subject: Specific Use Permit Review, Calder and Lucas COMMENTS The Engineering Division received and reviewed the Specific Use Permit for the location at Calder and Lucas. It was stated in the review that a stormwater collection system would be required for approval. The parking lot is existing and instead of requiring the construction of drainage inlets in the parking lot it would be acceptable to construct a single inlet in the gutter line of the driveway. This method would prevent the newly constructed pavement from being disturbed. ORDINANCE NO. ENTITLED AN ORDINANCE GRANTING A SPECIFIC USE PERMIT TO ALLOW A PARKING LOT IN A GC-MD-2 (GENERAL COMMERCIAL-MULTIPLE FAMILY DWELLING-2) DISTRICT LOCATED ON W. LUCAS, BEHIND NOVROZSKY'S RESTAURANT IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS. WHEREAS, the City Council for the City of Beaumont desires to issue a specific use permit to David Jones to allow a parking lot in a GC-MD-2 (General Commercial- Multiple Family Dwelling-2) District located on W. Lucas, behind Novrozsky's Restaurant, being Lot 8, Block 1, Tract 2 and Lot 9, Block 1, Tract 1, Calder Highlands Addition, City of Beaumont, Jefferson County, Texas, containing 0.247 acres, more or less, as shown on Exhibit "A" attached hereto; and, WHEREAS, the City Council is of the opinion that the issuance of such specific use permit is in the best interest of the City of Beaumont and its citizens, subject to the hereinafter described conditions; NOW, THEREFORE, BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That a specific use permit to allow a parking lot in a GC-MD-2 (General Commercial-Multiple Family Dwelling-2) District located on W. Lucas, behind Novrozsky's Restaurant, being Lot 8, Block 1, Tract 2 and Lot 9, Block 1, Tract 1, Calder Highlands Addition, City of Beaumont, Jefferson County,Texas, containing 0.247 acres, more or less, as shown on Exhibit "A' attached hereto, is hereby granted to David Jones, his legal representatives, successors and assigns, subject to the following conditions: ► Requirement that the stormwater collection system be installed as recommended by the City. ► Requirement that the landscaping along W. Lucas meet ordinance requirements. Section 2. That the specific use permit herein granted is expressly issued for and in accordance with each particular and detail of the site plan attached hereto as Exhibit "B" and made a part hereof for all purposes. Section 3. Notwithstanding the site plan attached hereto, the use of the property herein above described shall be in all other respects subject to all of the applicable regulations contained in Chapter 30 of the Code of Ordinances of Beaumont, Texas, as amended. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 24th day of September, 2002. - Mayor Evelyn M. Lord +1 FILE 1637-P: Request for a specific use permit to allow a parking lot in a GC-MD-2 NORTH ^ (General Commercial- Multiple Family Dwelling -2) District Location: W. Lucas, behind Novrosky's Restaurant VP y Applicant: David Jones SCALE 1-=200' t t - J /I r _ � • a i • i I N It2 !f • • I EAST - _• , NORTH ► � ' s - ? Orr ,• U t «�. I n -j 13 U V ECT Ord ra sco ���Er - s y !► �v N Q4/ •L� e .�17 r� 9 AVE. � n` ar 19E ws tab �u�o 27 ma 60" &W 60 is h O e v , ., 617 eo -M ' !'' Y. .es . a $ ( 0 g WEST BROADWAY N � � s Z m s • r r A a e / r a r $ • i � C � . �' ere —"r ei7 eye s�i rr �ru^+ PHEL4N BLVD. •�C/� .� ao "a n av ab so i rim.sr ate.•• �4 PH£L.4N BLVD !J . EXHIBIT tt A s, " C_ l r.. n 1`tto`� k ff th � m •O- TQrrS-t3�sNEs x x L UC A S_ 1 *Approval subject to requiring the stormwater collection a....w w -system as recommended by the City, and require that the -•-- landscaping along W. Lucas meet ordinance requirements. 4230 CALDER 4 September 24,2002 Consider a request to abandon 150'of the 20'alley between Lots 5-7,Bryan Addition and Tracts C, J and K, Plat S,N. Tevis Survey, located at 1320 Pennsylvania.Avenue City of Beaumont ads Council Agenda Item O g TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Stephen C. Richardson, Planning Manager MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider a request to abandon 150' of the 20' alley between Lots 5-7, Bryan Addition and Tracts C, J and K, Plat S, N. Tevis Survey, located at 1320 Pennsylvania Avenue. RECOMMENDATION The Administration recommends approval of the request to abandon 150' of the 20' alley between Lots 5-7, Bryan Addition and Tracts C, J and K, Plat S, N. Tevis Survey, located at 1320 Pennsylvania Avenue. BACKGROUND Michael J.Trahan,Commander of American Legion Beaumont Post#33,is requesting on behalf of the American Legion,abandonment of the 20'alley at the rear of their property at 1320 Pennsylvania. The American Legion has plans to expand its post to better serve its members. Mr. Trahan states that the alley has not been in use for over 50 years. The request was sent to all interested public and private utilities. No negative comments were received. BUDGETARYIMPACT None. PREVIOUS ACTION At a Regular Meeting held September 17,2002,the Planning Commission voted 5:0 to approve the request to abandon 150'of the 20'alley between Lots 5-7,Bryan Addition and Tracts C,J and K,Plat S, N. Tevis Survey, located at 1320 Pennsylvania Avenue. SUBSEQUENT ACTION None. RECOMMENDED BY Planning Commission, City Manager, Public Works Director and the Planning Manager. RECOMMENDED MOTION Approve/Deny a request to abandon 150' of the 20' alley between Lots 5-7, Bryan Addition and Tracts C, J and K, Plat S, N. Tevis Survey, located at 1320 Pennsylvania Avenue. ORDINANCE NO. ENTITLED AN ORDINANCE ABANDONING 150' OF THE 20' ALLEY BETWEEN LOTS 5 - 7, LOCATED AT 1320 PENNSYLVANIA AVENUE IN THE CITY OF BEAUMONT, JEFFERSON COUNTY, TEXAS; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR REPEAL. BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. THAT 150' of the 20' alley between Lots 5 -7, Bryan Addition and Tracts C. J. and K., Plat S. N.Tevis Survey, located at 1320 Pennsylvania Avenue, in Beaumont, Jefferson County, Texas as shown on Exhibit "A" attached hereto, be and the same is hereby abandoned. Section 2. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end the various portions and provisions of this ordinance are declared to be severable. Section 3. That all ordinances or parts of ordinances in conflict herewith are repealed to the extent of the conflict only. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 24th day of September, 2002. - Mayor Evelyn M. Lord • FILE 636-OB: Request to abandon approximately 130' of the 20' alley between Lots NORTH 5-7,Bryan Addition and Tracts C,J and K,Plat S,N. Tevis Survey - Location: 1320 Pennsylvania Ave. Applicant: American Legion Post#33 SCALE 1"=100' 20 r t e� L P �O G 4 E FT h 5 AMERICAN LEGION #E33 K ` \ .0000 � : C \ \� / LL, e 9 • O 140 /O a \ NZ CO) Y Z PIPKIN PARK Z Ui 40 IL � e u L T ' 3 S —� 4 - 2 /QO °;`EMMETT h 8D 2 AVE —EMMETT AVE NOAH TEV/S o NORTH LINE DAV ID BROWN r - — Cam' - 55 >5i I 60 ! EXHIBIT "A" 5 September 24,2002 Consider approval of an annual contract for office supplies from Corporate Express through BuyBoard- A Texas Local Government Purchasing Cooperative N~ City of Beaumont �• Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider participation in a BuyBoard contract for the purchase of office supplies. RECOMMENDATION Administration recommends authorization for City participation in the Texas Local Government Purchasing Cooperative's BuyBoard contract with Corporate Express for the purchase of office supplies for various City departments at the contracted discount pricing. BACKGROUND The Texas Local Government Purchasing Cooperative's BuyBoard offers products and services that have been submitted for competitive bidding as outlined by state statute. Corporate Express is currently contracted with BuyBoard to provide office supplies to members of the purchasing cooperative. Membership in the BuyBoard is open to school districts, municipalities, counties, and nonprofits throughout Texas. The City of Beaumont's membership in the purchasing cooperative was previously approved by City Council. By participating in the cooperative, members can reduce the number of bids processed as well as take advantage of volume discounts. The City of Beaumont currently has an annual office supply contract with Corporate Express which is the result of the City's bidding process in compliance with state statute. Under the terms of this local contract, the City receives discounted pricing on a list of specific items as well as a percentage discount on all items offered for sale by the vendor. The City's current discount price for office supplies, excluding electronics and furniture, is 52% of the List Price published in Corporate Express' Sourcebook. A comprehensive list of all office supply purchases made by the City from Corporate Express for a twelve (12) month period indicated an estimated annual expense of $111,587 for office supplies excluding electronics and furniture. Annual Contract for Office Supplies September 17, 2002 Page 2 The locally contracted pricing on the comprehensive list of items purchased was thoroughly compared to all known state and national office supply contracts available to the City. The contract that appears to represent the greatest potential cost savings for the City is the BuyBoard's statewide contract with Corporate Express. The list of items costing $111,587 through the local contract would cost approximately $88,153 through the BuyBoard. The City's discount price for office supplies, excluding electronics and furniture, through the BuyBoard would be 63% of the List Price published in Corporate Express' Sourcebook. BUDGETARY IMPACT Funds for office supplies are budgeted in each department's operating budget. The annual estimated cost if$88,153. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Central Services Director. RECOMMENDED ACTION Approve/Deny authorization for City participation in the Texas Local Government Purchasing Cooperative's BuyBoard contract with Corporate Express for the purchase of office supplies for various City departments at the contracted discount pricing. 6 September 24,2002 Consider approving an amendment to the Lease Agreement with the Art Museum of Southeast Texas City of Beaumont Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 18, 2002 REQUESTED ACTION: City Council is requested to consider authorizing the City Manager to execute an amendment to the Lease Agreement with the Art Museum of Southeast Texas. RECOMMENDATION Administration recommends authorizing the City Manager to execute an amendment to the Lease Agreement with the Art Museum of Southeast Texas to facilitate the installation of a new building roof system. BACKGROUND On April 1, 1986,the City entered into a development agreement with the Beaumont Art Museum, now known as the Art Museum of Southeast Texas (AMSET), under which the museum agreed to acquire real property and construct an art museum of approximately 15,000 square feet. The agreement provided that after the property was acquired, the City would accept it as a donation to be leased for the operation of the completed facility. Upon acquisition of the real property,it was donated to the City and a lease agreement was executed between the two parties. AMSET completed construction of the new building during July 1987,and began promoting the arts and other related artistic activities from the downtown facility. Since the structure was built, AMSET has experienced problems with the building's roof system. For the past few years, crews from the City's Building Services Division have worked to assist the museum in repairing deteriorated roof components to stop water infiltration. Water intrusion has become such a problem that a roofing consultant was engaged to evaluate the roof's condition, and to determine the best solution for resolving the deficiencies. Art Museum of Southeast Texas September 18, 2002 Page 2 Affiliated Facility Consultants, Ltd. (AFC), from Houston, Texas, performed a survey of the building's roof system to identify sources of moisture entry, and to recommend repairs or replacement. As stated in the consultant's final report,the roofing membranes on all roof areas and levels are brittle and delaminating,and have reached the end of their effective service life. In AFC's opinion,any potential future roof repairs may not prove effective due to the membrane's deteriorated condition. Also, as repairs may be performed,there exists the possibility of further damage to the membrane as work is done directly to the roofing membrane. The investigation also indicated that the predominance of moisture entry is the result of improper tie-ins of the sheet metal coping cap with the field of roof,unsealed base flashing top terminations, and deteriorated sheet metal joints along the base of the sky light. Roof replacement was recommended as the most viable solution to AMSET's water infiltration issue. Total estimated cost to recover the roof is $150,000, including design service fees. In 1996, the City executed an amended lease with AMSET. This agreement clarified the maintenance responsibilities of the art museum building. It states, "Tenant (AMSET) shall be responsible for all maintenance,both building and grounds,of the leased premises." In effect,this relieves the City of any obligation to fund the replacement of the roof system. However,due to the financial condition of the museum and their inability to fund such an extensive endeavor, the City has budgeted to provide the required funds to complete the roof replacement project. If the City does not fund the project, the structure will deteriorate at an accelerated rate, potentially causing major structural damage. Leaks have already damaged interior ceiling systems and wall finishes. AMSET has agreed to making all interior repairs associated with the water damage. Also, AMSET has explored a number of potential funding sources but has not been successful. The proposed lease amendment clarifies the maintenance responsibilities associated with the roofing system project. AMSET will retain both building and grounds maintenance responsibilities for the leased facilities. However,the City will replace the roof on a one time only basis. Upon completion of the roof installation, the City has no other maintenance responsibility. All other terms and conditions of the original lease agreement remain the same. It is anticipated that the new roof system design would be completed within sixty(60)days. Upon completion of the design phase, the project's plans and specifications would be submitted for bids. BUDGETARY IMPACT Funds are budgeted in the FY2003 Capital Improvement Program. Art Museum of Southeast Texas September 18, 2002 Page 3 PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Central Services Director. RECOMMENDED MOTION Approve/deny authorizing the City Manager to execute an amendment to the Lease Agreement with the Art Museum of Southeast Texas. AMENDMENT TO LEASE WHEREAS, the City of Beaumont and the Beaumont Art Museum are currently operating under a ninety-nine (99)year lease wherein the City is Landlord and has leased to the Beaumont Art Museum as Tenant land and building currently being used as an art museum; and WHEREAS, said lease at Article 17 requires that the Tenant be responsible for all maintenance of both building and grounds of the leased premises; and WHEREAS,the parties desire to amend Article 17 to provide thatthe Citywill re-roof the art museum building in the year 2002 and, to that end, Landlord and Tenant desire to amend Article 17 of such lease to read as follows: "Article 17 - Maintenance During the term of this lease agreement, Tenant shall be responsible for all maintenance, both building and grounds, of the leased premises except that Landlord shall repair and/or replace the roof of the building one time only to be carried out in 2002." Landlord and Tenant reaffirm all other provisions of the lease agreement currently existing between Landlord and Tenant. EXECUTED this day of , 2002. CITY OF BEAUMONT By: BEAUMONT ART MUSEUM By: G:RLWAGREEMENTMBMT ART MUS-AMD TO LSE 7 September 24, 2002 Consider approving a contract for the purchase of one (1) paratransit vehicle V~ ...... City of Beaumont Council Agenda Item O g TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council approval to award a bid for the purchase of one (1) paratransit vehicle. RECOMMENDATION Administration recommends award of a bid in the amount of$70,224 to National Bus Sales and Leasing, Inc. of Marietta, Georgia for the purchase of one (1) alternative fuel paratransit vehicle. BACKGROUND Paratransit vehicles are utilized to transport citizens with medical conditions which limit their mobility and/or capacity to ride the fixed route bus system. The units are equipped with lift aids and anchoring positions for wheelchairs. The service is limited to those persons qualifying per guidelines of the Americans with Disabilities Act (ADA). This vehicle is an addition to the current fleet of eight (8) paratransit vehicles. The unit is powered by propane gas, which creates fewer emissions than conventional diesel fuel. The vehicle may be refueled at any of several local vendors qualified to refill propane tanks. The bus has a range of approximately 300 miles per tankful. Bid notices were provided to twenty-eight(28) vendors, with two (2) responding with bids. The bids received are reflected in the tabulation below. Vendor Manufac�knrer, Delivery Time Total Bid Amonnf National Bus Sales&Leasing Goshen Coach 120 days $70,224 Marietta,Georgia Purchase of One(1)Paratransit Vehicle September 17, 2002 Page 2 Ven�ilpr 1Vlanufacturer. I?eliery T1m TotatBid Am4iunt Tri-State Van and Bus Starcraft 90 days $72,806 Denton,Texas BUDGETARY IMPACT Funds for the full amount of this expenditure are provided by a grant from the Texas Department of Transportation under a program designed to encourage the utilization of alternative fuel vehicles. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, Central Services Director and Public Works Director. RECOMMENDED MOTION Approve/Deny accepting a bid from National Bus Sales and Leasing,Inc. in the amount of$70,224 for the purchase of one (1) paratransit vehicle. 8 September 24,2002 PUBLIC HEARING: Dilapidated Structures Consider an ordinance declaring certain dilapidated structures to be public nuisances and ordering their repair or removal by the owners and authorizing the removal of certain other structures whose owners failed to comply with condemnation orders t79f Ca t Y of Beaumont Council Agenda Item ,a K,TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: John Labrie, Clean Community Department Director 9 MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 17, 2002 REQUESTED ACTION: Council consider after public hearing to declare the following twenty-eight (28) structures to be dangerous structures and order the owners to raze said structures within ten (10) days. If the property owner fails to comply within ten (10) days, staff is requesting City Council authorization to demolish these structures without further notification to the property owner or City Council action. 1. 2360 Beatrice 12. 4142 Highland Avenue (Garage) 2. 1050 Center (Garage) 13. 2665 Hoover Drive (Barn) 3. 1075 Center 14. 1767 Irving 4. 3275 Charles 15. 7425 Lawrence Drive (Commercial) 5. 240 E. Church (Duplex) 16. 1360 Liberty 6. 2985 Concord 17. 3360 Maida Road 7. 2991 Concord 18. 3835 Maida Road (Rear Structure) 8. 2997 Concord 19. 1495 Park (Commercial) 9. 2440 Delaware (Shed) 20. 1693 Pennsylvania 10. 1586 Doucette 21. 1015 Prince 11. 3495 Edmonds 22. 2270 Rockwell 23. 5029 Shelley Drive 26. 2125 Southerland 24. 3605 Smythe 27. 4250 Usan 25. 2355 South 28. 3437 Washington Blvd. N Indicates number of times structure has been enrolled in work program. RECOMMENDATION That City Council condemn these twenty-eight (28) structures and order owner to raze within ten (10) days. BACKGROUND It has been determined that these structures meet the definition of a dangerous structure because they have deteriorated such that they are no longer considered suitable for repair. BUDGETARY IMPACT City may incur the cost of demolition. PREVIOUS ACTION These structures have been inspected by the Clean Community Department and found to be dangerous structures as defined by the City of Beaumont's Code of Ordinances, Article III, Dangerous Structures, Section 14-50. SUBSEQUENT ACTION Clean Community Department will demolish or cause to be demolished said structures. RECOMMENDED BY City Manager and Clean Community Department Director. RECOMMENDED MOTION Approve/Deny the authorization to condemn and raze the above listed dangerous structures. REQUESTED ACTION: Council consider after public hearing a raze or repair order on the following four (4) structures. If the property owner fails to comply within the allotted time ordered by City Council, staff is requesting City Council authorization to demolish these structures without further notification to the property owner or City Council action. 29. 2910 Avenue E & Garage Apartment) 31. 2260 Hazel (Multi-Dwelling Units) 30. 2745 Brooklyn 32. 1842 Liberty (*) Indicates number of times structure has been enrolled in work program. RECOMMENDATION Owner to be issued an order to raze or repair structure within a specified time. Owner must immediately enroll in a work program following Council's specified order of time for compliance. BACKGROUND These structures were inspected and found to be substandard and not meeting City code requirements, but could be rehabilitated. BUDGETARY IMPACT None at this time. PREVIOUS ACTION The above structures were issued notification of being substandard as defined by the City of Beaumont's Code of Ordinances, Article I11, Dangerous Structures, Section 14-50. SUBSEQUENT ACTION Staff will enroll owner in a work program and monitor work for allotted time granted by Council. RECOMMENDED BY City Manager and Clean Community Department Director. RECOMMENDED MOTION Approve/Deny the authorization to enroll in a work program and make repairs to structure within time period allotted by Council. ORDINANCE NO. ENTITLED AN ORDINANCE FINDING CERTAIN STRUCTURES TO BE PUBLIC NUISANCES AND ORDERING THEIR DEMOLITION AND/OR REPAIR; PROVIDING FOR SEVERABILITY AND PROVIDING FOR A PENALTY. BE IT ORDAINED BY THE CITY OF BEAUMONT: Section 1. That the City Council of the City of Beaumont hereby finds and declares the buildings located at: 1. 2360 Beatrice 12. 4142 Highland Avenue (Garage) 2. 1050 Center (Garage) 13. 2665 Hoover Drive Barn 3. 1075 Center 14. 1767 Irvin 4. 3275 Charles 15. 7425 Lawrence Drive Commercial 5. 240 E. Church (Duplex) 16. 1360 Liberty 6. 2985 Concord 17. 3360 Maida Road 7. 2991 Concord 18. 3835 Maida Road Rear Structure 8. 2997 Concord 19. 1495 Park Commercial 9. 2440 Delaware Shed 0. 1693 Pennsylvania 10. 1586 Doucette 21. 1015 Prince 11. 3495 Edmonds 22. 2270 Rockwell 3. 5029 Shelley Drive 26. 2125 Southerland 4. 3605 Smythe k7. 4250 Usan 5. 2355 South 8. 3437 Washington Blvd. to be public nuisances in that said buildings violate Chapter 14, Section 14-50 of the Code of Ordinances of the City of Beaumont and are for want of repairs, or by reason of age or dilapidated condition, likely to cause or promote fires that would endanger persons or property. Section 2. In accordance with Article XVII, Section 2, of the Charter of the City of Beaumont, Section 10-2 and 14-52 of the Code of Ordinances of Beaumont, Texas, and Section 103.4 of the Standard Building Code, it is hereby ordered that the owner or owners of the following described buildings demolish and remove said structures within ten (10) days of the effective date of this ordinance: 1. 2360 Beatrice 12. 4142 Highland Avenue (Garage) 2. 1050 Center (Garage) 13. 2665 Hoover Drive Barn 3. 1075 Center 14. 1767 Irvin 4. 3275 Charles 15. 7425 Lawrence Drive Commercial 5. 240 E. Church (Duplex) 16. 1360 Liberty 6. 2985 Concord 17. 3360 Maida Road 7. 2991 Concord 18. 3835 Maida Road Rear Structure 8. 2997 Concord 19. 1495 Park Commercial 9. 2440 Delaware Shed 0. 1693 Pennsylvania 10. 1586 Doucette 21. 1015 Prince 11. 3495 Edmonds 22. 2270 Rockwell 3. 5029 Shelley Drive 26. 2125 Southerland 4. 3605 Smythe 7. 4250 Usan 5. 2355 South 8. 3437 Washington Blvd. If the property owners fail to comply within ten (10) days, Council orders that the property be demolished without further notification to the property owners or City Council action. Section 3. In accordance with Article XVII, Section 2, of the Charter of the City of Beaumont, Section 10-2 and 14-52 of the Code of Ordinances of Beaumont, Texas and Section 103.4 of the Standard Building Code, it is hereby ordered that the owner or owners of the following described buildings execute a work program with the City immediately and either demolish or repair the structures within days after the date of this ordinance: 9. 2910 Avenue E & Garage Apartment) 31. 2260 Hazel (Multi-Dwelling Units 30. 2745 Brooklyn 7152. 1842 Liberty If the property owner(s) fail(s) to comply within days, Council orders that the property be demolished without further notification to the property owner(s) or City Council action. Section 4. That if any section, subsection, sentence, clause or phrase of this ordinance, or the application of same to a particular set of persons or circumstances should for any reason be held to be invalid, such invalidity shall not affect the remaining portions of this ordinance, and to such end the various portions and provisions of this ordinance are declared to be severable. Section 5. That any person who violated any provision of this ordinance shall, upon conviction, be punished as provided in Section 1-8 of the Code of Ordinances of Beaumont, Texas. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 24th day of September, 2002. - Mayor Evelyn M. Lord ' : .1UWJ IL City of Beaumont REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS SEPTEMBER 24, 2002 1:30 P.M. CONSENT AGENDA Approval of minutes * Confirmation of committee appointments The following would be appointed to the Construction Board of Adjustment and Appeals. The current term would commence September 24, 2002 and expire September 23, 2004. (Mayor Evelyn M. Lord): Greg Wall, Lee Acevedo, Paul Hay, Tom Neild, Sina Nejad, David Goodell, Janette Dupuis, Gene VanMeter-Alternate, Ronnie Walker-Alternate A) Approve the renewal of an annual maintenance agreement for International Business Machines Corporation(IBM) equipment B) Approve the renewal of an annual maintenance agreement for HTE, Inc. software support C) Approve a resolution requesting a change in signatories for a Cash Bond at Hibernia National Bank D) Approve a resolution certifying that the Small Business Revolving Loan fund (RLF)plan is consistent with and supportive of the area's current economic adjustment strategy A ... f Cat of Beaumont Y �• Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 16, 2002 REQUESTED ACTION: Council consider the renewal of an annual maintenance agreement for International Business Machines Corporation equipment. RECOMMENDATION Administration recommends payment of an invoice to International Business Machines Corporation (IBM) for the renewal of an annual maintenance agreement in the amount of $54,624.08. BACKGROUND The maintenance contract provides service for the mainframe computers (AS/400) and peripheral equipment located in City Hall and the Police Department. Competitive bids are not required because parts used to repair these units are captive replacement parts available only from one source. State law provides for the exemption of competitive bids when captive replacement parts can be purchased from only one source. IBM will maintain seventy-six(76)pieces of equipment that include display stations, magnetic tape units, printers, remote location controllers, modems, local control units, token ring equipment, processors, scanners, and disk drives. IBM furnishes 24 hours, 7 days a week service on the equipment and provides replacement parts on the processors. In addition, IBM replaces outdated peripheral equipment with new equipment when repairs are needed. Annual Maintenance Agreement for IBM Hardware September 16, 2002 Page 2 This agreement excludes the maintenance of micro computers, small micro AS/400 printers, and laptop computers. The agreement is for an annual period beginning October 1, 2002 and ending September 30, 2003. Last year, the annual maintenance agreement was $57,651.25 for 122 pieces of IBM equipment. The decrease can be attributed to the removal of antiquated equipment that would cost less to replace than maintain. BUDGETARY IMPACT Funds are available in the Information Services Division's fiscal year 2003 budget. PREVIOUS ACTION None SUBSEQUENT ACTION None RECOMMENDED BY City Manager and Central Services Director. RECOMMENDED MOTION Approve/Deny renewal of an annual hardware maintenance agreement with International Business Machines Corporation in the amount of$54,624.08. B City of Beaumont 7ei7W Council Agenda Item 1.TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Central Services Director MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 16, 2002 REQUESTED ACTION: Council consider renewal of an annual maintenance agreement for HTE, Inc. software support. RECOMMENDATION Administration recommends payment of an invoice to HTE, Inc. for the renewal of an annual maintenance agreement for software support in the amount of$49,735. BACKGROUND HTE, Inc. software is used by various City departments. This purchase is exempt from competitive bidding since it is available from only one (1) source having exclusive rights to modify and maintain the software. The software maintenance agreement provides for unlimited telephone support and up to three (3) software updates during the annual term. The maintenance agreement includes service for the following fifteen (15) applications: SOFTWARE APPLICATION CONTRACT AMOUNT Building Codes / Building Permits $4,950 EMS / Billing $2,650 Finance / Accounts Receivable $2,950 Finance / Asset Management $2,700 Finance / Cash Receipts $2,200 Annual Agreement for HTE Software Support September 16, 2002 Page 2 SOFTWARE APPLICATION CONTRACT AMOUNT Finance / GMBA Accounting System $8,000 Finance / Imaging System $2,310 Finance / Loan Module $1,200 Finance / Occupational Licenses $2,050 Finance / Retrofit Custom Software $3,700 Human Resources / Applicant Tracking $2,225 Imaging / Document Management Services $ 900 Payroll / Personnel $6,950 Public Works / Land Management $1,550 Purchasing / Inventory $5,400 TOTAL $49,735 Last year, thirteen (13) applications were maintained at a cost of$40,200. BUDGETARY IMPACT Funds are available in the Information Services Division's fiscal year 2003 budget. PREVIOUS ACTION None SUBSEQUENT ACTION None RECOMMENDED BY: City Manager and Central Services Director. RECOMMENDED MOTION: Approve/Deny renewal of an annual maintenance agreement with HTE, Inc. for software support in the amount of$49,735. Cit of Beaumont y Council Agenda Item A g TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kandy Daniel, Treasurer MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 18, 2002 REQUESTED ACTION: Council consider a resolution requesting a change in signatories for the Cash Bond Account No. 5007019292 at Hibernia National Bank. RECOMMENDATION The administration requests approval of Debora Guillory, Geneva Gordon, Sheryl Duvall,Patricia Franklin and Jeanine Wynkoop as authorized signatories on the above listed account. Signatories on all other City of Beaumont accounts for banking or investment purposes shall remain unchanged. BACKGROUND Municipal Court Staff uses the Cash Bond Account to issue refunds on posted bonds. Janice Jones needs to be deleted and Jeanine Wynkoop added as an authorized signer on the account. BUDGETARY IMPACT None. PREVIOUS ACTION Debora Guillory, Geneva Gordon, Sheryl Duvall, Patricia Franklin and Janice Jones were approved as signatories to the Cash Bond Account on March 7, 2000. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Treasurer. RECOMMENDED MOTION Approve/Deny a resolution requesting approval of Debora Guillory, Geneva Gordon, Sheryl Duvall, Patricia Franklin and Jeanine Wynkoop as authorized signatories on Cash Bond Account No. 5007019292 at Hibernia National Bank. D ...... City of Beaumont Council Agenda Item � c TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kandy Daniel, Treasurer MEETING DATE: September 24, 2002 AGENDA MEMO DATE: September 18, 2002 REQUESTED ACTION: Council consider a resolution certifying that the Small Business Revolving Loan fund(RLF)plan, as reviewed and approved by the Small Business Loan Advisory Board, is consistent with and supportive of the area's current economic adjustment strategy; and the RLF is being operated in accordance with the policies and procedures contained in the RLF Plan and the loan portfolio meets the standards contained therein. RECOMMENDATION The administration requests approval of a resolution certifying that the Small Business Revolving Loan fund (RLF) plan, as reviewed and approved by the Small Business Loan Advisory Board, is consistent with and supportive of the area's current economic adjustment strategy; and the RLF is being operated in accordance with the policies and procedures contained in the RLF Plan and the loan portfolio meets the standards contained therein. BACKGROUND The Small Business Revolving Loan Program was created with an initial grant from EDA of $500,000 with matching funds from CDBG of$250,000. To be approved for the grant, the city was required to develop a plan to support the area's economic development strategy and to create policies and procedures to administer the program. The original City of Beaumont RLF Plan was adopted by the City Council on February 24, 1987 and re-certified of April 12, 1994. Since the plan had not been revised since this time, it was necessary to update both the program element and the administrative element of the plan. The Small Business Loan Advisory Board reviewed the updates and approved the attached RLF Plan at their regular monthly meeting held on September 18, 2002. Future certifications of the RLF plan will be made on an annual basis. BUDGETARY IMPACT None. PREVIOUS ACTION The RLF Plan was re-certified on April 12, 1994. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Treasurer. RECOMMENDED MOTION Approve/Deny a resolution certifying that the Small Business Revolving Loan fund (RLF) plan, as reviewed and approved by the Small Business Loan Advisory Board, is consistent with and supportive of the area's current economic adjustment strategy; and the RLF is being operated in accordance with the policies and procedures contained in the RLF Plan and the loan portfolio meets the standards contained therein. I. PROGRAM ELEMENT TO THE PLAN A. Goals and Objectives 1. COMMITMENT TO ECONOMIC DEVELOPMENT: The Economic Development Policy Plan consists of goals, objectives, policies, and proposals for guiding Beaumont's future economic growth and development. Outside assistance is provided through a contact with the Beaumont Chamber of Commerce for various economic development activities such as marketing analysis, business retention efforts and working with business prospects. 2. GOAL: INCREASE THE NUMBER OF PERMANENT JOBS AVAILABLE TO CITIZENS OF BEAUMONT AND SOUTHEAST TEXAS Emphasis should be placed on value added jobs which are most likely to lead to further job creation. Jobs in "export" industries bring money into the region through production of goods or services that are exported outside of Beaumont. These jobs, which are generally highly paid, create spendable household income, thus generating new jobs in sales and services. Beaumont also needs jobs which can be filled by workers who were previously employed in shipyards, refineries, and chemical plants. These skilled workers are among Beaumont's most valuable economic resources and will leave the area if new job opportunities are not developed. Because of an especially high unemployment rate among Beaumont's sizable minority population, entry level jobs with on-the-job training are needed to bring unskilled workers from low-income backgrounds into the work force. WHERE WILL THESE JOBS COME FROM? New jobs come from three sources: 1) expansion of existing businesses 2) creation of new, entrepreneurial enterprises 3) attraction of plants or businesses from outside the community Research indicates that expansion of existing businesses and creation of entrepreneurial enterprises account for 80 to 90% of all new jobs. 1 OBJECTIVE NO 1: MAINTAIN AN EFFECTIVE ROLE FOR THE CITY OF BEAUMONT ECONOMIC DEVELOPMENT PROCESS Policy 1.1 Role of the City The City will continue to serve in a leadership role in the following areas of economic development: A. Strategic Planning - analyzing Beaumont's competitive strengths and weaknesses in the world economy and then taking aggressive action to capitalize on the strengths and overcome the weaknesses. B. Legislative Advocacy - working closely with Jefferson County, The Port of Beaumont, Drainage District #6, the Jefferson County Navigation District, BISD, other municipalities in the region, and other State and Federal elected officials to secure major funding assistance and to enact or change laws to increase the strategic competitiveness of the local/regional economy. C. Leveraging and Public/Private Partnerships - using the limited resources available to the City government, such as grants, development incentives, infrastructure, land, and staff to attract private sector investments which will create or retain jobs and/or increase the tax base. D. Develop and Communicate a Vision of the Future - the City's elected officials and staff must motivate the community to set its sights on the goal of becoming a first- class medium-sized city with a quality of life capable of attracting new private investment and population. The City will serve in a leadership and cooperative role in the following areas, participating actively and lending whatever support is needed to other members of the economic development network: 2 A. Promotion: assisting the Chamber of Commerce, the Convention and Visitors Bureau, BUILD, Inc./Beaumont Main Street, Entergy, and other promotional groups in marketing Beaumont as a business location, tourist, destination, etc. B. Business Attraction: working cooperatively with the Chamber/Economic Development Council in attracting new industry. Policy 1.2 The City's Commitment The City will commit the assets it has available--staff, incentives, land, taxing authority, infrastructure, tax- exempt bonding authority, and access to State and Federal grants--to the local and regional economic development efforts. The City will also strive for excellence in conducting its basic responsibilities of providing public services and infrastructure, recognizing that an efficient, competent and responsive city government is one of the prerequisites for economic growth of a community. Allocation of resources for construction of new or the repair or extension of existing city infrastructure and new or revised city services will be implemented on the basis of need; however, the impact of such actions on the economic development of the City as a whole will be considered of overriding importance when deciding where to allocate the City's resources among areas which are of equal need. Policy 1.3 Public Return on Investment The City will examine the potential return on the public's investment when determining where and how its limited resources will be committed. Return on public investment will be measured in terms of jobs created, jobs retained, and broadening of the tax base. OBJECTIVE NO. 2 ENCOURAGE A CLIMATE WHICH FACILITATES BUSINESS GROWTH AND SUSTAIN ABILITY Policy 2.1 The City of Beaumont recognizes that the degree of cooperation and support of local government plays a major role in business location and expansion decisions. The City resolves to improve both its efficiency and effectiveness in providing assistance and services to business. Policy 2.2 The City of Beaumont will be committed to improving the quality of life for current and future residents. In recognition of the connection between economic development, the qualify of life or livability of a city, and the development of a favorable sense of place among residents and non-residents alike, the City supports the inclusion of "quality of life" and "environmental quality" considerations in making planning and development decisions. Visual community appearance considerations in the city's planning and development efforts are to be considered important economic development actions which will improve Beaumont's ability to attract new businesses and employment opportunities. In realization of the fact that investing in the overall improvement in the quality of life or livability of the City is not a goal which can be achieved overnight, the City will concentrate its resources on the cleanup and rehabilitation of selected neighborhoods and on the development and implementation of urban design plans for selected open space, street corridor, and city entrance or gateway areas. OBJECTIVE NO 3: ATTRACT NEW BUSINESSES AND INDUSTRIES TO THE BEAUMONT AREA Policy 3.1 The City will work with the Chamber of Commerce and other economic development groups in a team effort to bring new businesses and industries to the Beaumont area. Policy 3.2 Efforts to attract new business and industry will be targeted on industries whose locational needs are consistent with the Beaumont area's locational attributes. 4 Policy 3.3 Continue to promote the Beaumont area's resources and quality of life factors through the efforts of the Beaumont Convention and Visitors Bureau. OBJECTIVE NO 4: RETAIN AND EXPAND EXISTING BUSINESSES AND INDUSTRIES, Policy 4.1 The City of Beaumont Recognizes that existing businesses and industries are the community's most important economic resources and will support the efforts of existing businesses to expand and improve operations. Policy 4.2 An "outreach" program to foster open lines of communication between the city government and existing businesses and industries will continue. OBJECTIVE NO 5: STIMULATE THE CREATION OF NEW BUSINESSES Policy 5.1 Continue the City's Small Business Revolving Loan Fund which provides financing assistance for new businesses having difficulty in obtaining conventional financing. Policy 5.2 Continue work with the Small Business Development Center at Lamar University, which assists start up businesses and processes applications for the City's Small Business Revolving Loan Fund. OBJECTIVE NO. 6 IMPROVE THE COMPETITIVE ADVANTAGES OF THE BEAUMONT AREA ECONOMY Policy 6.1 The City of Beaumont will assume a role of partnership with local business and industry in competing with producers in other regions, states and countries. This means city actions involving taxes, infrastructure, regulations and development incentives will focus on making it easier, more efficient and more advantageous for doing business in Beaumont. Policy 6.2 Expand the scope of Beaumont's market area by capitalizing on its role as a regional center of trade, professional services, entertainment, distribution, and medical services. 5 B. Identification of the Area's Financing Problems A review of Beaumont's capital market and discussions with local small business persons indicate the local capital market has the following characteristics. 1. Beaumont banks typically follow conservative policies and practices regarding allocation of deposits for lending purposes. While this is not unique to Beaumont or the region, the adverse effect of the local and statewide economy has even further reduced the availability of the banks capital in Beaumont. Beaumont banks are looking for additional outside capital projects as a cushion for their loans. 2. There is reluctance to provide financing to younger or higher risk companies or to companies located in blighted or depressed areas of the community. 3. There is a shortage of long term reasonably priced commercial financing available to small businesses located in Beaumont. 4. Local banks appear to be reluctant to make loans smaller than $75,000.00 5. There is a lack of capital for minority businesses. The Revolving Loan Fund (RLF) will serve a critical function in the City's economic development program by providing assistance in financing small business that will provide jobs primarily for persons of low and moderate income, the unemployed, and the underemployed, and projects which will diversify and strengthen Beaumont's economic base. Specific Objectives of the Revolving Loan Fund: The Revolving Loan Fund will promote economic development by: 1. Creating New Employment Opportunities: The Revolving Loan Fund will be utilized to assist in expansion or creation of small business enterprises, owned or operated by minorities, women, or the economically disadvantaged. 2. Increasing Private Financing Availability: Revolving loan fund monies will be used to leverage private financing for small business, availability 6 of financing for small business enterprises owned or operated by minorities, women or the economically disadvantaged and to provide incentives to the financial institutions to make loans to small businesses. C. Targeting Criteria The Revolving Loan Fund will target small businesses which can best assist the City in achieving economic development objectives. The order or priority will be: 1. Small businesses which will create the greatest number of jobs available to the unemployed, underemployed, or low or moderate income persons at the least cost to the Revolving Loan Fund; 2. Small businesses which are owned and operated by minorities, women, or the economically disadvantaged; 3. Small businesses that are located within Beaumont's Community Development and Housing Neighborhood Strategy Areas. D. Standards for the Revolving Loan Fund Portfolios To ensure the effectiveness of the Revolving Loan Fund as an economic development tool, the following standards will serve as guidelines for Revolving Loan Fund participation: 1. It is the objective of the Revolving Loan Fund to leverage each dollar three to four times through participation with private sector lending institutions, the SBA and other government loan programs and private investors. For each$10,000 of total investment, one job will be generated. The Revolving Loan Fund will leverage two private sector dollars for every one RFL dollar at a minimum. 2. Revolving Loan Fund monies will be available to finance the expansion and start-up needs of small businesses. Financing will be available for fixed assets (plant and equipment) and for working capital. The Revolving Loan fund will give priority to the businesses that create the maximum number of new jobs. 7 All Revolving Loan Fund applicants will be screened for potential use of vacant facilities located in blighted areas of the community. 2. Other economic development objectives and standards include the following: The Revolving Loan Fund borrower will be required to have a 10% equity in the project. Minorities and females will be encouraged to participate in the Revolving Loan fund. To prevent displacement of existing capital, all applicants must have written evidence of the need for the RLF funds. E. Financing Policies: The Revolving Loan Fund will include the following goals: 1. The Revolving Loan Fund loans are expected to range between $10,000 and $100,000. 2. No more than 20% of the total SBRLF contributed capital shall be loaned to any one borrower during any one time period. 3. Terms and Conditions of the Loans The expected amortization period for Revolving Loan Fund loans will be as follows: Working capital loans: Negotiated within normal commercial financing range Machinery and Equipment: Based upon the useful life of equipment financed Land and Building: 15 - 25 years 4. Interest Rates: Interest rates for all Revolving Loan Fund loans will be variable depending on the needs and financial condition of the applicant. Interest rate floors and ceiling will be established. The minimum interest rate will be four percent. 8 5. Special Financing Techniques: Revolving Loan Fund staff and administration will employ flexible financing techniques designed to meet the needs of the borrowers and to maximize the effectiveness of the Revolving Loan Fund program. The special financing techniques that may be utilized include: Lower than market rates. Extended amortization period for loans. Moratoriums on loan payments for a specified period of time. 6. Collateral and Equity requirements: Fixed asset financing will be secured by the fixed assets financed with other assets included if required. Collateral for working capital loans will include inventory, accounts receivable, fixed assets, cash and personal guarantees. The Revolving Loan Fund will mandate the contribution of equity by the borrower, requiring not less than 10%. 7. Restructuring Loans: The Revolving Loan Fund will not be involved in restructuring loans or in refinancing projects. 8. Use of repaid recaptured Revolving Loan Fund interest and principal funds: Repayments of interest and principal will be used for additional loans. Revolving Loan Fund administrative staff will be paid by the City of Beaumont or Community Development Block Grant Funds. Origination fees and other fees earned by the Revolving Loan Fund will be used in the administration of the loan program. These administrative costs will be exclusive to the loan program. 9. Participation with other loan programs: To accomplish the stated goals of the Revolving Loan Fund, participation on loans with the following financial institutions is anticipated: • Banks throughout the City. • Small Business Administration. • Farmer's Home Administration. • SBA Certified Development Corporation (504's). • SBA Small Business Investment Corporation (MESBIC). 9 • Savings and Loan Associations. • Local equity capital funds. F. Related Activities: 1. Loan Packaging and Referral Service: The Revolving Loan Fund loans will be packaged by the staff in cooperation with the loan officer and staff of the participating financial organization. Those applicants who do not qualify for Revolving Loan Fund loans but are viable applicants for other financing-assistance will be referred to the local office of the Small Business Administration, the Southeast Texas Economic Development Foundation (A SBA 504), and other commercial banks or savings and loans in the community. 2. Linking Jobs to the Long-Term Unemployed: Should the borrowers need assistance in recruiting the long-term unemployed and low-income persons, the company will be referred to agencies capable of providing assistance. Those agencies include: • Texas Workforce Center • Local Employment Agencies • Advertisement in Local Newspapers 10 II. Administrative Element of the Plan F. Loan Administration Board The Mayor and City Council establishes citizen advisory boards, committees and commissions and appoints citizens within the community to serve on these various committees by approval of City Council. A Loan Administration Board will be formed with the membership as follows: 1. Members will be drawn from local financial institutions. 2. Other members will be appointed from the Small Business Development Center at Lamar University. 3. One member will be appointed representing the City of Beaumont. 4. The remaining members will be appointed from small and minority businesses or community organizations. Provisions will be made to assure strong representation among women and minorities. At least one member with financing experience must be present for each loan decision. Board members will be appointed to two year terms, which will be staggered to assure continuity on the board. The board will include members from both the public and private sectors. B. Staff The City's Finance Department, Cash Management Division, will provide support staff to the Revolving Loan Fund. The Cash Management staff has experience in analysis of business operations and financial statements and substantial billing and collection experience. The RLF staff will work closely with the particular commercial lending officers of the private financial institution(s) involved in the leveraging of each loan. The loan packages will be prepared to provide adequate loan security and allow maximum operating flexibility to the borrowers. C. Conflict of Interest 2. RLF funds shall not be available to a business entity if the owner of such entity or any owner of an interest in such entity is related by blood, marriage, law or business arrangement to an employee of the City of Beaumont or any member of the City Council, or a member of the SBRLF Loan Advisory Board unless the person(s) affected first discloses in writing to the Loan Advisory Board the potential benefit and the Loan 11 Advisory Board determines that the benefit involved is not so substantial as to affect the integrity of the Board's decision process. 3. An officer, employee or board member of the SBRLF shall not solicit or accept, directly or indirectly, any gift, gratuity, favor, entertainment or any other thing of monetary value for himself or for another person, from any person or organization seeking to obtain a loan. 4. Former Loan Advisory Board members and/or officers are ineligible to apply for or receive loan funds for a period of one year from the date of termination of his/her service. D. Loan Selection and Approval Process 2. Marketing The Finance Department will have a coordinative managerial role in the areas of capital formation and supporting the existing network of economic development groups active in the area. The staff will also continue its ongoing contacts with the SBA and financial institutions. Presentations will be made to the Chamber of Commerce, Minority Business Development Organizations and other potential sources of applicants. 3. Screening Potential applicants for the RLF will be screened by the staff at the Small Business Development Center (SBDC) at Lamar University and participating financial institutions. Preliminary screening by the (SBDC) will include, but will not be limited to the following: • Eligibility criteria • Ownership and organizational structure • Potential for job creation • Funding requirements If the preliminary screening process indicates that the potential applicant is appropriate for the RLF, the applicant will be invited to make full application. The RLF staff and the Small Business Development Center will provide technical assistance to help applicants with the preparation of necessary documents. Applicants that are ineligible will be referred to 12 other sources which may be appropriate including the SBA, the local 504 Corporation or other programs which may fit the needs of the applicant. 3. Applications At this phase of the process, the following information may be requested from the applicant and his/her financial institution: • Application Form • Summary description of business and the project being financed • Financial Statement(3 years) • Projection(3 years) Assumption (2 years existing) New Company (3 years) Profit and Loss Statements; Balance Sheets; Cash Flow Analysis • Personal Financial Statements • Cost Summary • Listing of Collateral • Commitment Letter • Appraisal (Financing Real Estate) • Jobs Form • Resume on Principals • Business Plans New (detailed description of the business to include the market, competition, location, management, personnel, and purpose of loan) Existing (one page document describing plans to grow or expand) • Certification of Cost — Architectural estimates; equipment vendor quotes; construction cost estimates 4. Evaluations Once all materials requested from the applicant have been submitted, an analysis of the loan request will occur. • Staff assembles the information into a complete package and submits to the Loan Advisory Board for review. A decision is based upon factors including, but not limited to: • the ability of the applicant to repay the loan, 13 • the applicant's managerial capabilities, • the long term retention of jobs that will be provided. 5. Considerations All loans shall be presented to the Loan Advisory Board for consideration. Applicants will be afforded an opportunity to address the Board and to answer questions. 6. Loan Closing Once final approval has been authorized by the board, staff will assist in preparation of loan closing documents in conjunction with the financial institution, including necessary deeds of trust, liens, mortgage instruments and loan agreements. 7. Disbursement Prior to closing, a schedule of loan disbursements will have been negotiated. 8. Monitoring Monitoring of the implementation of the project will begin after the initial disbursement. Continuing technical assistance will be provided as needed by RLF staff. The Grant's Administration Division will provide assistance with environmental impact and Davis-Bacon wage requirement issues. E. Loan Servicing The loan will be serviced in house by RLF staff who will institute a portfolio management system which monitors each loan on an ongoing basis for timely payment. A servicing agreement may be established with an outside agency to service the loans for the city, if cost effective, where funds will be returned to the Revolving Loan Fund by the private financial institutions on at least a quarterly basis. If a default appears eminent, the staff of the RLF will work with the financial institution to avert such an occurrence. When default cannot be averted, the staff will commence foreclosure proceedings as mandated by State Law. 14 F. Administrative Costs Administrative costs will be provided by city funds or Community Development Block Grant funds. The City will allocate funds from the interest paid to the RLF and program fees if such funding sources become necessary. G. Recapitalization Strategy Capitalization of the RLF will be accomplished through program income funds from the CDBG program. H. Other Requirements 1. Compliance with Civil Rights Laws. Applicants for RLF assistance will be required to pledge not to discriminate against employment applicants. They will be required to sign an affidavit to that effect at the loan closing. Any proven instance of discrimination proven against the loan applicant shall be grounds for calling the loan. Compliance will be monitored on an annual basis. Active loans will be reviewed at least annually. Borrowers will be required to submit personnel data concerning the status of jobs which were created under the RLF, including pay scales, sex, and ethnicity. 2. Environmental Impact: Staff will consider the environmental impact of all proposed projects. (See Environmental Review Record Appendix III.) 3. Access for the Handicapped: All buildings involved in the proposed project must be made accessible for persons with impaired mobility. 4. Insurance: Key man insurance, flood hazard insurance, liability insurance, or other types may be required of the applicant. 5. Davis-Bacon: Construction financed in whole or in part by the RLF will meet the requirement of the Davis-Bacon Act, as amended (40 U.S.C. 276a-5). 15 6. Relocation: The location of loan projects will be located within the city limits of Beaumont. The City of Beaumont assures that loans will be recalled if the project and/or business activity move from the area. Businesses relocating jobs from another labor area are not eligible borrowers. 16 PART Y ' Approval Ezplre• Januu7 31, 1967 ASSURANCES The applicant hereby assures and certifies that it will comply with the regulations, policies, guidelines and re- quirements, including Executive Order 12372, OMB Circu- 10. It will complyy with the rrquirements of Title iI and Title lars No. A-21, A-87, A-102, and A-110 as they relate to III of the Uniform ilelocation Assistance and Real the application, acceptance and use of Federal funds for Property Acquisitions Act of 1970 (P.L. 91-646) -hich this federally assisted project. Also, the Applicant gives provides for fair and •quitrible treatment of Persons assurance and certifies with respect to the grant that: displaced as a result of Federal and federally assisted programs. 1. it possesses legal authority to apply for the grant, and to finance and construct the proposed facilities; that a 11. It will insure that the facilities under its ownership, resolution, motion or similar action has been duly lease or supervison which shell be utilized in the adopted or passed as an official act of the applicant's accomplishment of the project are. not listed on the Foveming body, authorizing the filing of the application, Environmental Protection Agency's (EPA) List of Including all understandings and assurances contained Violating Facilities and that it will notify the Federal therein, and directing and authorizing the person gqrantor agency of the receipt of any communication from identified as the official representative of the applicant tlae Director of the EPA Office of Environmental Review to act in connection with the application and to provide indicating that a facility to be utilized in the project such additional information as may be required. is under consideration for listing by the EPA. 2. It will give the sponsoring agency and the Comptroller 12. It will comply Willi the flood insurance purchase rreuire- General through any authorized representative access to meats of Section 102(x) of the Flood Disaster Protection and the right to examine all records, books,papers, or Act of 1973, Public Law 93-234, 87 Scat. 975, approved documents related to the grant. December 31, 1976. Section 102(a) requires, on and 3. it will comply with all requirements imposed by FDA after March 2, 1975, the purchase of flood insurance to concerning special requirements of law, program require- communities where such insurance is available as a ments, and other administrative reyirements approved condition for the receipt of any. Federal financial in accordance with OhiB Circular A-102. assistance for construction or ncq"'s' t'on purposes for use in any area that has been identified by the Secretary 4. The pro'ect will be properly and efficiently administered, of the Department of Housing and Urban Development operetej and maintained. as an area having special flood hazards. The p1hrese 5. It will establish safegwards to prohibit employees from "Federal financial assistance" includes any form of using their positions for a purpose that is or gives the loan, grant, guaranty, insurance payment, rebate, sub- appearance of being motivated by a desire for private sidy, disaster assistance loan or grant, or any other gain for themselves or others, particularly those with form of direct or.indirect Federal assistance. whom they have family, business, or other ties. 13. It will assist FDA in its compliance with Section 106 of 6. It will comply with the provisions of the (latch Act the National Historic Preservation Act of 1966 as which limit the political activity of employees. amended (16 U.S.C. 470), Executive Order 11593, and 7. It will comply with the minimum wage and maximum hours the Archeolo 'cal and historic Preservation Act of 1966 provisions of the Federal Fnir Labor Standards Act, as (16 U.S.C. f69a-1 et seq.) by (a) consulting with the they apply to hospital and educational institution State Historic Preservation Officer on the conduct of employees of State and local govemments. investigations, as necessary, to identify properties 8. it will comply with Title VI of the Civil fiiglits Act of listed in or eli ible for inclusion in the National Reeister 1964 (P.L. 88-352) and in accordance with Title VI of n( llistoric Paces that are subject to adverse effects that Act, . person n the United States shall, on the (sce 36 CIF Part 800.8) by the activity, and notifying ggund of race, color, or national origin, be excluded FDA of the existence of any such properties, ano by frroom ( participation in, be denied the benefits of, or be b) comply in voi or m EDA to ad with i all requirements established by tigate adverse effects upon such otherwise subjected to discrimination under any program properties. or activity for which the applicant receives Federal financial assistance and will immediately take any measures necessary to effectuate this agreement. If any real property or structure thereon is provided or improved with the aid of Federal financial assistance extended to the Applicant, this assurance shall obligate the Appli- If the project involves the acquisition or development of land cant, or in the case of any transfer of such property, or the acquisition, construction, rehnhilitntion, alteration, any transferee, for the period (luring which the real expansion or improvement of n facility, the Applicant further property or structure is used for a purpose or for assures and certifies that: another purpose involving the provision of similar 14, it will cause work on the project s to be commenced ,services or benefits. within n rensonahle time after receipt of notifirntion 9. It will comply with Title VI of the Civil Rights Act from FDA indicating that funds have been ❑pprnv,d and of 1964 (42 USC 2000d) prohibiting,• employment d'a- that the project will be prosecuted to completion with crimination where (1) the ((2+r'mnry purpose of n grant 's reasonable, diligence. to provide employment or (2) disc iminator employment r y l�. It will comply with t Ie PrOVi, inns of F"Cutivr t�r,irr practires will result in une uul trratmrnt of persons who 11988, rrinting to 11 Irinin of: F,ecuti.e are or should be Irrnefiling from the grant-nided activity. Order 11296, rrinting to evaluation of flood haeardr; ,Ie applieatilon oftthetsie lawslisr'described and explained F•xrrutivr Onlin I I^(121, rintrr to hr prr. ntion, f rnnlrol and ahnt aim rnl of wn rr Pollution: Exz (move in FDA's Civil Rights Guidelines. Drd,r I1-M relating to prntrcrion of wrtlnnds, and 13 a. Section 112 of Public i,aw 92-6`•i (42 U.S.C. 312.3). CFR 309.15(x), rrinting to rxposure of the, project to Prohibits sex discrimination in assistance providril undue risk of fluoal. under the Public Works and Economic Development Act of 1965, as amended. 16. It will pal lisposr of or rnruroker its title or nthrr inter- ,s1, in the sit, +in i larilitirs ,lorin :hr "nou 'f b. Section 504 of the Itrliabilitalion Act of 1973 (26 f rdrral interest or ,hilt- the Co, rr.inent holds ;onss, 791). (inhibits discriminntitin against the wltichevrr is the longer. ban dirnpried in any program or activity receiving Federal financial assistance. 17. Construction ('named in Pvhnlr ,r ;n art v ' (Provided under I itlr I .,f the Public fiotkc and FcenPom,e c. Age Uisrrimination Art of 197`i (42 U.S.C. 0102). I)rvrlopmrnt Art nl 1t n P, as .Pmrnur j, -ill n.-t all Prohibits discrimination on the basis of :age in any rrirrmrnts of the Dav'n-llacon Act, ac amrna'o ( ;0 propram or activ'ty receiving Federal assistance• lI.S.C. o76a-27(,;i_;a), MN ED-540 (5-6S) I� Approval Expires January 31, 1987 ASSURANCES — Continued 18. It will have sufficient funds available to meet the non- 20. It will provide and mnintnin Amperes[ and Adequate Federal share of the case for construction projects, Architectural engineering nuperviston and inspection at Sufficient funds will be available when construction is the construction Hite to insure tint the completed .York completed to assure effective operation and maintenance conforms with the Approved plans And spcctficstions; Of the facility for the purposes constructed, tint it will furnish progress reports And such other 19. It will obtain approval by EDA of the final working information as EDA may require. drawings and specifications before the project is 21. It will operate and maintain the facility in accordance advertised or placed on the market for bidding; that it with the minimum stnndards as may be rrnutred or pre- will construct the project, or cause it to be constructed, scribed by the Applicable Federal, State and local to final completion in accordance with the Application agencies for the maintenance and operation of such and approved plans and specifications; that it will submit to EDA for prior Approval Changes that niter the facilities. costs of the project, use of space, or functional layout; 2L II will require the facility to he deriened to CC1D1v with that it will not enter into a construction contracts) for the "American Standard Specifications ;or ',lakinq the pro11'ect or undertake other activities until the condi- Buildings and Fncilities Accessible in, ano I'sable ' -, tions of the construction grant program(s) have been met. the Physically Ilandicapped," Yumher A-11--1-1961, As modified (:1 (-,Fn 101-17-703). Pie applicant wtil be responsible for conducting inspections to insure compliance with these specifications by the contractor. f�}i 510 (S-85) 17 Approval Ezpirea January 31, 1961 Part VI Section B Environmental Information For All Projects Item I. Are any facilities under your ownership, lease or supervision to be utilized in the accomplishment of this project, either listed or under consideration for listing on the Environmental Agency's List of Violating.Facilities? i ❑Yes ®No For Adjustment Implementation Projects N/A Item 2. (a) Provide a flood plain map as EXHIBIT V[-132 in accord with Item 3(b}(iii), regardless of whether an Environmental � Impact Statement has been or must be prepared. (b) Is the project safe from flooding? [] Yes ❑ No (c) Is the flood insurance available? [❑Yes ❑ No (d) Has flood insurance ever been purchased? ❑ Yes ❑No FOR ADJUSTMENT IMPLEMENTATION GRANTS ONLY (Omit if previously submitted) Item 3. (a) Has a Federal, State or Local Environmental Impact Statement or Analysis been prepared involving this property or its site? ❑Yes ❑No ❑Copy attached as EXHIBIT VI-B3 (b) If "NO," provide the information requested in Instructions as EXHIBIT VI-133 Item 4. (a) The State Historic Preservation Officer(SHPO) has been provided a detailed project description and has been requested to submit comments to the appropriate EDA Regional Office on 02/25/87 (date) (b) Attach a copy of material submitted to SHPO and any comments received from SHPO as EXHIBIT V1-84. (c) If a building is involved in the project, is it over 50 years old? []Yes ® No Item 5. Is the project site(s) located within or adjacent to any of the following areas? Check appropriate box for every item of the following checklist: YES NO UNKNOWN YES NO UNKNOWN j (1) ❑ ❑ ❑ Industrial (14) E { ❑ ❑ ❑ Estuary (2) ❑ ❑ ❑ Commercial (15) (❑ ❑ ❑ Wetlands (3) ❑ ❑ ❑ Residential (16) ❑ ❑ ❑ Flood plain (4) ❑ ❑ ❑ Agricultural (11) ❑ ❑ ❑ Wilderness(designated or proposed under the Wilderness (5) ❑ ❑ ❑ Mining, Quailing Act) (6) ❑ ❑ ❑ Forests (18) ❑ ❑ ❑ Wild or Scenic river(proposed or I designated under the Wild and (1) F7 F-] Recreational Scenic Rivers Act) (8) [] ❑ ❑ Parks (19) ❑ ❑ ❑ iiisloncol, Archeological S,tes _ (Listed -n the "13tf"3i Re�;S!er (9) ❑ L] [] Hospitals M li s;�nc Places or +hick ray be eligible for listing) (10) ❑ ❑ ❑ Schools (20) ❑ ❑ ❑ CrlllCal flObitafs endongerea/ threatened species (11) ❑ ❑ ❑ Aquifer Recharge Area (21) ❑ ❑ L� flan-otl,i 7enl o ea fir (12) ❑ ❑ E] Steep Slopes ou quinty (13) ❑ ❑ �� Wildlife Refuge u '!Oise s,,is t,ve 3re3s �Ours.r•,g `ones, ! vanes, etc.; I. PROGRAM ELEMENT TO THE PLAN A. Goals and Objectives 1. COMMITMENT TO ECONOMIC DEVELOPMENT: The Economic Development Policy Plan consists of goals, objectives, policies, and proposals for guiding Beaumont's future economic growth and development. Outside assistance is provided through a contact with the Beaumont Chamber of Commerce for various economic development activities such as marketing analysis, business retention efforts and working with business prospects. 2. GOAL: INCREASE THE NUMBER OF PERMANENT JOBS AVAILABLE TO CITIZENS OF BEAUMONT AND SOUTHEAST TEXAS Emphasis should be placed on value added jobs which are most likely to lead to further job creation. Jobs in "export" industries bring money into the region through production of goods or services that are exported outside of Beaumont. These jobs, which are generally highly paid, create spendable household income, thus generating new jobs in sales and services. Beaumont also needs jobs which can be filled by workers who were previously employed in shipyards, refineries, and chemical plants. These skilled workers are among Beaumont's most valuable economic resources and will leave the area if new job opportunities are not developed. Because of an especially high unemployment rate among Beaumont's sizable minority population, entry level jobs with on-the-job training are needed to bring unskilled workers from low-income backgrounds into the work force. WHERE WILL THESE JOBS COME FROM? New jobs come from three sources: 1) expansion of existing businesses 2) creation of new, entrepreneurial enterprises 3) attraction of plants or businesses from outside the community Research indicates that expansion of existing businesses and creation of entrepreneurial enterprises account for 80 to 90% of all new jobs. 1 OBJECTIVE NO 1: MAINTAIN AN EFFECTIVE ROLE FOR THE CITY OF BEAUMONT ECONOMIC DEVELOPMENT PROCESS Policy 1.1 Role of the City The City will continue to serve in a leadership role in the following areas of economic development: A. Strategic Planning - analyzing Beaumont's competitive strengths and weaknesses in the world economy and then taking aggressive action to capitalize on the strengths and overcome the weaknesses. B. Legislative Advocacy - working closely with Jefferson County, The Port of Beaumont, Drainage District #6, the Jefferson County Navigation District, BISD, other municipalities in the region, and other State and Federal elected officials to secure major funding assistance and to enact or change laws to increase the strategic competitiveness of the local/regional economy. C. Leveraging and Public/Private Partnerships - using the limited resources available to the City government, such as grants, development incentives, infrastructure, land, and staff to attract private sector investments which will create or retain jobs and/or increase the tax base. D. Develop and Communicate a Vision of the Future - the City's elected officials and staff must motivate the community to set its sights on the goal of becoming a first- class medium-sized city with a quality of life capable of attracting new private investment and population. The City will serve in a leadership and cooperative role in the following areas, participating actively and lending whatever support is needed to other members of the economic development network: 2 A. Promotion: assisting the Chamber of Commerce, the Convention and Visitors Bureau, BUILD, Inc.Beaumont Main Street, Entergy, and other promotional groups in marketing Beaumont as a business location, tourist, destination, etc. B. Business Attraction: working cooperatively with the Chamber/Economic Development Council in attracting new industry. Policy 1.2 The City's Commitment The City will commit the assets it has available--staff, incentives, land, taxing authority, infrastructure, tax- exempt bonding authority, and access to State and Federal grants--to the local and regional economic development efforts. The City will also strive for excellence in conducting its basic responsibilities of providing public services and infrastructure, recognizing that an efficient, competent and responsive city government is one of the prerequisites for economic growth of a community. Allocation of resources for construction of new or the repair or extension of existing city infrastructure and new or revised city services will be implemented on the basis of need; however, the impact of such actions on the economic development of the City as a whole will be considered of overriding importance when deciding where to allocate the City's resources among areas which are of equal need. Policy 1.3 Public Return on Investment The City will examine the potential return on the public's investment when determining where and how its limited resources will be committed. Return on public investment will be measured in terms of jobs created, jobs retained, and broadening of the tax base. OBJECTIVE NO. 2 ENCOURAGE A CLIMATE WHICH FACILITATES BUSINESS GROWTH AND SUSTAIN ABILITY Policy 2.1 The City of Beaumont recognizes that the degree of cooperation and support of local government plays a major role in business location and expansion decisions. The City resolves to improve both its efficiency and effectiveness in providing assistance and services to business. Policy 2.2 The City of Beaumont will be committed to improving the quality of life for current and future residents. In recognition of the connection between economic development, the qualify of life or livability of a city, and the development of a favorable sense of place among residents and non-residents alike, the City supports the inclusion of "quality of life" and "environmental quality" considerations in making planning and development decisions. Visual community appearance considerations in the city's planning and development efforts are to be considered important economic development actions which will improve Beaumont's ability to attract new businesses and employment opportunities. In realization of the fact that investing in the overall improvement in the quality of life or livability of the City is not a goal which can be achieved overnight, the City will concentrate its resources on the cleanup and rehabilitation of selected neighborhoods and on the development and implementation of urban design plans for selected open space, street corridor, and city entrance or gateway areas. OBJECTIVE NO 3: ATTRACT NEW BUSINESSES AND INDUSTRIES TO THE BEAUMONT AREA Policy 3.1 The City will work with the Chamber of Commerce and other economic development groups in a team effort to bring new businesses and industries to the Beaumont area. Policy 3.2 Efforts to attract new business and industry will be targeted on industries whose locational needs are consistent with the Beaumont area's locational attributes. 4 Policy 3.3 Continue to promote the Beaumont area's resources and quality of life factors through the efforts of the Beaumont Convention and Visitors Bureau. OBJECTIVE NO 4: RETAIN AND EXPAND EXISTING BUSINESSES AND INDUSTRIES Policy 4.1 The City of Beaumont Recognizes that existing businesses and industries are the community's most important economic resources and will support the efforts of existing businesses to expand and improve operations. Policy 4.2 An "outreach" program to foster open lines of communication between the city government and existing businesses and industries will continue. OBJECTIVE NO 5: STIMULATE THE CREATION OF NEW BUSINESSES Policy 5.1 Continue the City's Small Business Revolving Loan Fund which provides financing assistance for new businesses having difficulty in obtaining conventional financing. Policy 5.2 Continue work with the Small Business Development Center at Lamar University, which assists start up businesses and processes applications for the City's Small Business Revolving Loan Fund. OBJECTIVE NO. 6 IMPROVE THE COMPETITIVE ADVANTAGES OF THE BEAUMONT AREA ECONOMY Policy 6.1 The City of Beaumont will assume a role of partnership with local business and industry in competing with producers in other regions, states and countries. This means city actions involving taxes, infrastructure, regulations and development incentives will focus on making it easier, more efficient and more advantageous for doing business in Beaumont. Policy 6.2 Expand the scope of Beaumont's market area by capitalizing on its role as a regional center of trade, professional services, entertainment, distribution, and medical services. 5 B. Identification of the Area's Financing Problems A review of Beaumont's capital market and discussions with local small business persons indicate the local capital market has the following characteristics. 1. Beaumont banks typically follow conservative policies and practices regarding allocation of deposits for lending purposes. While this is not unique to Beaumont or the region, the adverse effect of the local and statewide economy has even further reduced the availability of the banks capital in Beaumont. Beaumont banks are looking for additional outside capital projects as a cushion for their loans. 2. There is reluctance to provide financing to younger or higher risk companies or to companies located in blighted or depressed areas of the community. 3. There is a shortage of long term reasonably priced commercial financing available to small businesses located in Beaumont. 4. Local banks appear to be reluctant to make loans smaller than $75,000.00 5. There is a lack of capital for minority businesses. The Revolving Loan Fund (RLF) will serve a critical function in the City's economic development program by providing assistance in financing small business that will provide jobs primarily for persons of low and moderate income, the unemployed, and the underemployed, and projects which will diversify and strengthen Beaumont's economic base. Specific Objectives of the Revolving Loan Fund: The Revolving Loan Fund will promote economic development by: 1. Creating New Employment Opportunities: The Revolving Loan Fund will be utilized to assist in expansion or creation of small business enterprises, owned or operated by minorities, women, or the economically disadvantaged. 2. Increasing Private Financing Availability: Revolving loan fund monies will be used to leverage private financing for small business, availability 6 of financing for small business enterprises owned or operated by minorities, women or the economically disadvantaged and to provide incentives to the financial institutions to make loans to small businesses. C. Targeting Criteria The Revolving Loan Fund will target small businesses which can best assist the City in achieving economic development objectives. The order or priority will be: 1. Small businesses which will create the greatest number of jobs available to the unemployed, underemployed, or low or moderate income persons at the least cost to the Revolving Loan Fund; 2. Small businesses which are owned and operated by minorities, women, or the economically disadvantaged; 3. Small businesses that are located within Beaumont's Community Development and Housing Neighborhood Strategy Areas. D. Standards for the Revolving Loan Fund Portfolios To ensure the effectiveness of the Revolving Loan Fund as an economic development tool, the following standards will serve as guidelines for Revolving Loan Fund participation: 1. It is the objective of the Revolving Loan Fund to leverage each dollar three to four times through participation with private sector lending institutions, the SBA and other government loan programs and private investors. For each$10,000 of total investment, one job will be generated. The Revolving Loan Fund will leverage two private sector dollars for every one RFL dollar at a minimum. 2. Revolving Loan Fund monies will be available to finance the expansion and start-up needs of small businesses. Financing will be available for fixed assets (plant and equipment) and for working capital. The Revolving Loan fund will give priority to the businesses that create the maximum number of new jobs. 7 All Revolving Loan Fund applicants will be screened for potential use of vacant facilities located in blighted areas of the community. 2. Other economic development objectives and standards include the following: The Revolving Loan Fund borrower will be required to have a 10% equity in the project. Minorities and females will be encouraged to participate in the Revolving Loan fund. To prevent displacement of existing capital, all applicants must have written evidence of the need for the RLF funds. E. Financing Policies: The Revolving Loan Fund will include the following goals: 1. The Revolving Loan Fund loans are expected to range between $10,000 and $100,000. 2. No more than 20% of the total SBRLF contributed capital shall be loaned to any one borrower during any one time period. 3. Terms and Conditions of the Loans The expected amortization period for Revolving Loan Fund loans will be as follows: Working capital loans: Negotiated within normal commercial financing range Machinery and Equipment: Based upon the useful life of equipment financed Land and Building: 15 - 25 years 4. Interest Rates: Interest rates for all Revolving Loan Fund loans will be variable depending on the needs and financial condition of the applicant. Interest rate floors and ceiling will be established. The minimum interest rate will be four percent. 8 5. Special Financing Techniques: Revolving Loan Fund staff and administration will employ flexible financing techniques designed to meet the needs of the borrowers and to maximize the effectiveness of the Revolving Loan Fund program. The special financing techniques that may be utilized include: Lower than market rates. Extended amortization period for loans. Moratoriums on loan payments for a specified period of time. 6. Collateral and Equity requirements: Fixed asset financing will be secured by the fixed assets financed with other assets included if required. Collateral for working capital loans will include inventory, accounts receivable, fixed assets, cash and personal guarantees. The Revolving Loan Fund will mandate the contribution of equity by the borrower, requiring not less than 10%. 7. Restructuring Loans: The Revolving Loan Fund will not be involved in restructuring loans or in refinancing projects. 8. Use of repaid recaptured Revolving Loan Fund interest and principal funds: Repayments of interest and principal will be used for additional loans. Revolving Loan Fund administrative staff will be paid by the City of Beaumont or Community Development Block Grant Funds. Origination fees and other fees earned by the Revolving Loan Fund will be used in the administration of the loan program. These administrative costs will be exclusive to the loan program. 9. Participation with other loan programs: To accomplish the stated goals of the Revolving Loan Fund, participation on loans with the following financial institutions is anticipated: • Banks throughout the City. • Small Business Administration. • Farmer's Home Administration. • SBA Certified Development Corporation (504's). • SBA Small Business Investment Corporation (MESBIC). 9 • Savings and Loan Associations. • Local equity capital funds. F. Related Activities: 1. Loan Packaging and Referral Service: The Revolving Loan Fund loans will be packaged by the staff in cooperation with the loan officer and staff of the participating financial organization. Those applicants who do not qualify for Revolving Loan Fund loans but are viable applicants for other financing assistance will be referred to the local office of the Small Business Administration, the Southeast Texas Economic Development Foundation (A SBA 504), and other commercial banks or savings and loans in the community. 2. Linking Jobs to the Long-Term Unemployed: Should the borrowers need assistance in recruiting the long-term unemployed and low-income persons, the company will be referred to agencies capable of providing assistance. Those agencies include: • Texas Workforce Center • Local Employment Agencies • Advertisement in Local Newspapers 10 II. Administrative Element of the Plan F. Loan Administration Board The Mayor and City Council establishes citizen advisory boards, committees and commissions and appoints citizens within the community to serve on these various committees by approval of City Council. A Loan Administration Board will be formed with the membership as follows: 1. Members will be drawn from local financial institutions. 2. Other members will be appointed from the Small Business Development Center at Lamar University. 3. One member will be appointed representing the City of Beaumont. 4. The remaining members will be appointed from small and minority businesses or community organizations. Provisions will be made to assure strong representation among women and minorities. At least one member with financing experience must be present for each loan decision. Board members will be appointed to two year terms, which will be staggered to assure continuity on the board. The board will include members from both the public and private sectors. B. Staff The City's Finance Department, Cash Management Division, will provide support staff to the Revolving Loan Fund. The Cash Management staff has experience in analysis of business operations and financial statements and substantial billing and collection experience. The RLF staff will work closely with the particular commercial lending officers of the private financial institution(s) involved in the leveraging of each loan. The loan packages will be prepared to provide adequate loan security and allow maximum operating flexibility to the borrowers. C. Conflict of Interest 2. RLF funds shall not be available to a business entity if the owner of such entity or any owner of an interest in such entity is related by blood, marriage, law or business arrangement to an employee of the City of Beaumont or any member of the City Council, or a member of the SBRLF Loan Advisory Board unless the person(s) affected first discloses in writing to the Loan Advisory Board the potential benefit and the Loan 11 Advisory Board determines that the benefit involved is not so substantial as to affect the integrity of the Board's decision process. 3. An officer, employee or board member of the SBRLF shall not solicit or accept, directly or indirectly, any gift, gratuity, favor, entertainment or any other thing of monetary value for himself or for another person, from any person or organization seeking to obtain a loan. 4. Former Loan Advisory Board members and/or officers are ineligible to apply for or receive loan funds for a period of one year from the date of termination of his/her service. D. Loan Selection and Approval Process 2. Marketing The Finance Department will have a coordinative managerial role in the areas of capital formation and supporting the existing network of economic development groups active in the area. The staff will also continue its ongoing contacts with the SBA and financial institutions. Presentations will be made to the Chamber of Commerce, Minority Business Development Organizations and other potential sources of applicants. 3. Screening Potential applicants for the RLF will be screened by the staff at the Small Business Development Center (SBDC) at Lamar University and participating financial institutions. Preliminary screening by the (SBDC) will include, but will not be limited to the following: • Eligibility criteria • Ownership and organizational structure • Potential for job creation • Funding requirements If the preliminary screening process indicates that the potential applicant is appropriate for the RLF, the applicant will be invited to make full application. The RLF staff and the Small Business Development Center will provide technical assistance to help applicants with the preparation of necessary documents. Applicants that are ineligible will be referred to 12 other sources which may be appropriate including the SBA, the local 504 Corporation or other programs which may fit the needs of the applicant. 3. Applications At this phase of the process, the following information may be requested from the applicant and his/her financial institution: • Application Form • Summary description of business and the project being financed • Financial Statement(3 years) • Projection(3 years) Assumption (2 years existing) New Company (3 years) Profit and Loss Statements; Balance Sheets; Cash Flow Analysis • Personal Financial Statements • Cost Summary • Listing of Collateral • Commitment Letter • Appraisal (Financing Real Estate) • Jobs Form • Resume on Principals • Business Plans New (detailed description of the business to include the market, competition, location, management, personnel, and purpose of loan) Existing (one page document describing plans to grow or expand) • Certification of Cost — Architectural estimates; equipment vendor quotes; construction cost estimates 4. Evaluations Once all materials requested from the applicant have been submitted, an analysis of the loan request will occur. • Staff assembles the information into a complete package and submits to the Loan Advisory Board for review. A decision is based upon factors including, but not limited to: • the ability of the applicant to repay the loan, 13 • the applicant's managerial capabilities, • the long term retention of jobs that will be provided. 5. Considerations All loans shall be presented to the Loan Advisory Board for consideration. Applicants will be afforded an opportunity to address the Board and to answer questions. 6. Loan Closing Once final approval has been authorized by the board, staff will assist in preparation of loan closing documents in conjunction with the financial institution, including necessary deeds of trust, liens, mortgage instruments and loan agreements. 7. Disbursement Prior to closing, a schedule of loan disbursements will have been negotiated. 8. Monitoring Monitoring of the implementation of the project will begin after the initial disbursement. Continuing technical assistance will be provided as needed by RLF staff. The Grant's Administration Division will provide assistance with environmental impact and Davis-Bacon wage requirement issues. E. Loan Servicing The loan will be serviced in house by RLF staff who will institute a portfolio management system which monitors each loan on an ongoing basis for timely payment. A servicing agreement may be established with an outside agency to service the loans for the city, if cost effective, where funds will be returned to the Revolving Loan Fund by the private financial institutions on at least a quarterly basis. If a default appears eminent, the staff of the RLF will work with the financial institution to avert such an occurrence. When default cannot be averted, the staff will commence foreclosure proceedings as mandated by State Law. 14 F. Administrative Costs Administrative costs will be provided by city funds or Community Development Block Grant funds. The City will allocate funds from the interest paid to the RLF and program fees if such funding sources become necessary. G. Recapitalization Strategy Capitalization of the RLF will be accomplished through program income funds from the CDBG program. H. Other Requirements 1. Compliance with Civil Rights Laws: Applicants for RLF assistance will be required to pledge not to discriminate against employment applicants. They will be required to sign an affidavit to that effect at the loan closing. Any proven instance of discrimination proven against the loan applicant shall be grounds for calling the loan. Compliance will be monitored on an annual basis. Active loans will be reviewed at least annually. Borrowers will be required to submit personnel data concerning the status of jobs which were created under the RLF, including pay scales, sex, and ethnicity. 2. Environmental Impact: Staff will consider the environmental impact of all proposed projects. (See Environmental Review Record Appendix III.) 3. Access for the Handicapped: All buildings involved in the proposed project must be made accessible for persons with impaired mobility. 4. Insurance: Key man insurance, flood hazard insurance, liability insurance, or other types may be required of the applicant. 5. Davis-Bacon: Construction financed in whole or in part by the RLF will meet the requirement of the Davis-Bacon Act, as amended (40 U.S.C. 276a-5). 15 6. Relocation: The location of loan projects will be located within the city limits of Beaumont. The City of Beaumont assures that loans will be recalled if the project and/or business activity move from the area. Businesses relocating jobs from another labor area are not eligible borrowers. 16 PART V Approval Expires January 31, 1987 ASSURANCES The applicant hereby assures and certifies that it will comply with the regulations, policies, guidelines and re- uirements, including Executive Order 12372, OMB Circu- 10. it will complyy with the requirements of Title 11 rind Title .ars No. A-21, A-87, A-102, and A-110 as they relate to III of the lJni(orm Relocation lssisunce and Heal the application, acceptance and use of Federal funds for Property Acquisitions Act of 1970 (P.1.. 91-6-16) which this federally assisted project. Also, the Applicant gives provides for fnir rind f•quitable treatment of persons assurance and certifies with respect to the grant that: displaced as a result of Federal rind federally assisted programs. 1. it possesses legal authority to apply for the grant, and to finance and construct the proposed facilities; that a 11. It will insure that the facilities under its ownership, resolution, motion or similar action has been duly lease or supervison which shall be utilized in the adopted or passed as an official act of the applicant's accomplishment of the project are not listed on the governing body, authorizing the filing of the application, Environmental Protection Agencv's (F.PA) List of including all understnndings and assurances contained Violating Facilities rind that it will notify the Federal therein, and directing and authorizing the person 5�rantor agency of the receippt of any communication from identified as the official representative of the applicant tic Director of the EPA Mice of Environmental Review to act in connection with the application and to provide indicating that a facility to be utilized in the project such additional information as may be required, is under consideration for listing by the EPA. 2. )t will give the sponsoring agency and the Comptroller 12. It will comply with the flood insurance purchase rrauire- General through any authorized representative access to ments of Section 102(a) of the Flood Disaster Protection and the right to examine all records, books,papers, or Act of 1973, Public Law 93-234, 3' Stet. 975, approved documents related to the grant. December 31, 1976. Section 102(x) requires, on and 3. it will comply with all requirements imposed by FDA after March 2, 1975, the purchase of flood insurance in concerning special requirements of law, program require- communities where such insurance is available as a ments, and other administrative r7�Jtirements approved condition for the receipt of any Federal financial in accordance with OMB Circular A-l02. assistance for construction or ncquisition purposes for use in any area that has been identified by the Secretary 4. The project will be properly and efficiently administered, of Elie Department of Housing and Urban' Develorment operated and maintained. as an area having special flood hazards. The phrase 5. It will establish safeguards to prohibit employees from 'Federal financial assistance" includes anv form of using their positions for a purpose that is or gives the loan, grant, guaranty, insurance payment, rebate, sub- appearance of being motivated by a desire for private sidy, disaster assistance loan or grant, or any other gain for themselves or others, particularly those with form of direct or.indirect Federal assistance. whom they have family, business, or other ties. 13. It will assist EDA in its compliance with Section 106 of 6. It will comply with the provisions of the Hatch Act the National Historic Preservation Act of 1966 as which limit the political activity of employees. amended (16 U.S.C. •170). Executive Order 11593, and 7. it will comply with the minimum wage and maximum hours the Archeolo teal and Historic Preservation Act of 1966 provisions of the Federal Fair Labor Standards Act, as (16 U.S.C. f69a-1 et seq.) by (a) consulting with the they apply to hospital and educational institution State Historic Preservation Officer on the conduct of employees of State and local governments. investigations, as necessary, to identify properties listed in or eli ible for inclusion in the National Register 8. It will comply with Title VI of the Civil Rights Act of of Ilistoric Paces that nre subject to adverse effects 1964 (P.L. 88-352) and in accordance with Title V1 of (sce 36 CFR Part 800.8) by the activity, and notifying that Act, no person in the United States shall, on the EDA of the existence of any such properties, and by ground of race, color, or national origin, be excluded (b) complying with all requirements established by from participation in, be denied the benefits of, or be EDA to avoid or mitigate adverse effects upon such otherwise subjected to discrimination under any program properties. or activity for which the applicant receives Federal financial assistance and will immediately take any measures necessary to effectuate this agreement. If any real property or structure thereon is provided or improved with the aid of Federal financial assistance extended to the Applicant, this assurance shall obligate the Appli- If the project involves the acquisition or development of land cant, or in the case of any transfer of such property, or the acquisition, construction, rehabilitation, alteration, any transferee, for the period during which the real expansion or improvement of a facility, the Applicant further property or structure is used for n purpose or for assures and certifies that. another purpose involving the provision of similar 14. It will cause work on the project to be commenced services or benefits. within a rensonnhle time after receipt of notification 9. It will comply with Title VI of the Civil Rights Act from FDA indicating that (units have been approved and of 1964 (42 USC 2000d) prohibiting employment (]is- that the project will be prosecuted to completion with crimination where (1) the ((2�rimnry purpose of a grant is reasonable, diligence. to provide employment or (2) discriminatory employment 15. It will comply with the provisions of: F� cutivr grater pea CIICP9 will result in unerluul treatment of persons who 119118, rrl n(in q to Ilaor frinin in nnngrm rat; F,xrcuti.e tire or should be benefiting from thgge grant-nided activity. Order 112!)0, relating in evnln.ition of I!„rid hazards; The alpplir'atilon o(tlhc'stc IawsiisridrtscriLed and explained Executive Order 11^-88, rrinuug to the rrr.rntion, f control and ai,menrent ail ,�ntrr pollution; F:zrcutive in FDA's Civil flights Guidelinrs. Order II000 relating to protection of wrthinds, and 13 a. Section 112 of Public. Law 92-65 (42 U.S.C. 3123). CFR 309.15(a), relating to rxposure of the project to Prohibits sex discrimination in nssistance provided uuduc risk of flood. under the Public R'orks and Economic Development I6. 11 will Tint dis 'i e of or encumber its title or other inter- Act of 1965, its amended, ( esls in the site .roil 1.11 ilitir. ,limn :Sr retail 'f b. Section 504 of the, Rehabilitation Act of 1973 (26 1 eeleral iuterrst .,r s , hilr llic (;oernment `.olIJ.S.(;. 794). Prohibits discrimination ngaint tier on s, whichever is the longer. hnn Iiraf,priI in any program or activity recriving Federal financial assistance. 17. Constar tion financed in whole ,r in i•nrt v 'rnr,• [irovided under I ill, I\ nl the I'ul•lic R'orkv and Fr^none c. Age Discrimination Art of 197`•i (42 11°9.(;. 6102). I)rveloprnrnt Act oil liJnS, a9 .,mrnUrd, mill nr-t all Prohibits lisrriminatnm on the basis n( n`r in any rrr ❑irrments nl the program or activity reccivin F rdrral assistance. Davis-!{seen \ct, a. .tmrnard ( t0 R I, ,C. _r6a-276.,-:r). C ?i LD-540 (S-65) J� Approval Expires January 31. 1987 ASSURANCES — Continued 18. It will have sufficient funds nvnilable to meet the non- 20. It will provide and mntninin r•nmpelent and adequate Federal share of the coat for construction projects, nrchitecturnl engineering supervinlon and in�pectlon at Sufficient funds will be available when construction is lite construction Site to insure [tint the completed work completed to assure effective operation and maintenance conforms with the approved plans nod spccuficntions; of the facility for the purposes constructed. that it will furnish progress reports nod such other 19. It will obtain approval by EDA of the final working information as EDA may require. drawings and specifications before the project is 21. It will operate and maintain the facility in accordance advertised or placed on the market for bidding; that it with the minimum stnndards as may be rroulred or pre- will construct the project, or cause it to be constructed, scribed by file applicable Federal, State and local to final completion in accordance with the application arencies for the maintenance and operation of such and approved plans and specifications; that it will facilities. submit to EDA for prior approval chanPes that niter the costs of the project, use of space, or functional layout; 22• It will require the facility to be designed to c='-,olv with that it will not enter into a construction contracts) for the "American Standard Specifications or {akin¢ the projject or undertake other activities until the condi- Ruildings and Fnrilltlrs Ac essible to, ano I'sahle Cv, tions of the construction grant program(s) have been met. the I'hysicolly flandicanped," Number A-117-1-e 61. ns modified (:1 (-FR 10)-17-703). The applicant will be rrsponsible for conducting inspections to insure compliance with these specifications by the contractor. 17 Approval Expires January J1, 1987 Part YI Section B Environmental Information For All Projects Item 1. Are any facilities under your ownership, lease or supervision to be utilized in the accomplishment of this project, either listed or under consideration for listing on the Environmental Agency's List of Violating.Facilities? ❑Yes ®No I For Adjustment Implementation Projects N/A Item 2. (a) Provide a flood plain map as EXHIBIT VI-132 in accord with Item 3(b)(iii), regardless of whether an Environmental Impact Statement has been or must be prepared. (b) is the project safe from flooding? [�yes ❑ No (c) Is the flood insurance available? ❑Yes ❑ No (d) Has flood insurance ever been purchased? ❑ Yes ❑No FOR ADJUSTMENT IMPLEMENTATION GRANTS ONLY (Omit if previously submitted) Item 3. (a) Has a Federal, State or Local Environmental Impact Statement or Analysis been prepared Involving this property or its site? ❑ Yes ❑ No ❑Copy attached as EXHIBIT VI-B3 (b) If "NO," provide the information requested in Instructions as EXHIBIT VI-133 Item 4. (a) The State Historic Preservation Officer(SHPO) has been provided a detailed project description and has been requested to submit comments to the appropriate EDA Regional Office on 02/25/87 (date) (b) Attach a copy of material submitted to SHPO and any comments received from SHPO as EXHIBIT VI-134. (c) If a building is involved in the project, is it over 50 years old? ❑Yes [_Xl No Item 5. Is the project site(s) located within or adjacent to any of the following areas? Check appropriate box for every item of the following checklist: YES NO UNKNOWN YES No UNKNOWN (1) ❑ ❑ ❑ Industrial (14) ❑ ❑ ❑ Estuary (Z) ❑ ❑ ❑ Commercial (15) ❑ ❑ ❑ Wetlands (3) ❑ ❑ ❑ Residential (16) ❑ ❑ ❑ Flood plain i (4) ❑ ❑ ❑ Agricultural (17) ❑ ❑ ❑ ' Wilderness(designated or � proposed under Lhe Wilderness (5) ❑ ❑ ❑ Mining, Quarring Act) (6) ❑ ❑ ❑ Forests (18) ❑ ❑ ❑ Wild or Scenic river(pr000sed or designated under the 'Wild and (7) ❑ ❑ ❑ Recreational Scenic Rivers Act) (8) [] ❑ ❑ Parks (19) ❑ ❑ ❑ tiisloncil, Archeoloq cal S,tes _ (Listed in the 'iahenal Revster (9) ❑ L] [] Hospitals of fl s:�nc Places or fihich cay be eligible for list mg) (10) ❑j ❑ ❑ Schools (20) ❑ ❑ ❑ Critical linbitats endangere;/ threatened species (11) ❑ ❑ ❑ Aquifer Recharge Area (12) [ 1 Sleep Slopes (21) ❑ ❑ ❑ 'Inn at(,un^enI cea fr � ❑ sir qUJ i;y (13) ❑ ❑ %� Wildlife Refuge (22) ❑ r—, u 'Joise sr,s Lve �feas �%fs.7? P'?1 F.D-S13 (c-BS) jg