Title
Conduct a Public Hearing to Consider/Discuss/Act on a Resolution Approving a Chapter 380 Economic Development Agreement and Project Plan Implementation Agreement with Harbor Insurance and Financial Services, LLC, for the 115 W Virginia Street Façade Improvement Project
Summary
COUNCIL GOAL: Enhance the Quality of Life in McKinney by promoting reinvestment activities and ordinance changes in Historic Downtown McKinney that balance preservation of historic character and current market needs
MEETING DATE: May 7, 2024
DEPARTMENT: Development Services - Planning Department
CONTACT: Cameron Christie, Planner I
Jennifer Arnold, AICP, Director of Planning
RECOMMENDED CITY COUNCIL ACTION:
• Staff recommends approval of the Chapter 380 Economic Development agreement and Project Plan Implementation Agreement.
ITEM SUMMARY:
• The applicant is requesting an economic development grant from Reinvestment Zone Number One in support of the street façade improvement project at 115 West Virginia Street (Harbor Insurance). The request is to assist specifically with the following TIRZ-One eligible activities under the Vacant/Underutilized Site/Buildings category of the project plan:
• Façade rehabilitation
o Restoration of historic façade
o Installation work of new Brick Veneer using Metal Lath and Scratch Coat Cement and Exterior Insulation Finishing System (EIFS) molding design on the storefront
o Installation of new doors and windows, including restoration of original transom windows
o The applicant will repair existing brick as possible, but may have to replace brick that has been damaged
• The total cost for the rehabilitation at 115 West Virginia Street is estimated to be between $53,800 and $60,812.
• The applicant is requesting $25,000.
BACKGROUND INFORMATION:
• Under Chapter 311 of the Texas Tax Code and Chapter 380 of the Texas Local Government Code, the TIRZ Board has the authority to make loans or grants of TIRZ funds for the purpose of promoting local economic development and stimulating businesses and commercial activity within the reinvestment zone.
• These projects are eligible projects in the TIRZ Project Plan under the category of Vacant/Underutilized Sites/Buildings, which is defined as “relatively smaller projects (under $5.0 million) for the incremental redevelopment of vacant/underutilized Town Center sites or buildings.” Such sites are limited to the area shown as Vacant/Underutilized Building Improvement Area shown on Figure 3 of the TIRZ Project Plan. Specific activities eligible for TIRZ No. 1 funding under the Vacant/Underutilized Sites/Buildings category include:
• Environmental Remediation and associated Interior/Exterior Demolition
• Historic Façade Restoration Improvements/Easements
• Acquisition and Restoration of Historic Sites (public projects)
• Street, Utility, and Streetscape Improvements
• Municipal Land Acquisition
• Critical Maintenance
• Fire Suppression
FINANCIAL SUMMARY:
• The FY23-24 annual budget for TIRZ No. 1 includes funding for Vacant/Underutilized Sites/Building.
o The current available funds in this account for FY24 are $350,000.
• Reimbursement and/or grant requests are funded on a first-come, first-serve basis until the maximum fiscal year allotment has been reached. To date for FY24, no façade improvement grants have been requested and only one 50/50 matching reimbursement or grant request has been approved.
• A full summary of projects that have received TIRZ No. 1 Category II funding is attached to this staff report for your reference.