AGENDA #5b

 

MEMORANDUM

 

TO:

Roger L. Stancil, Town Manager

FROM:

J.B. Culpepper, Planning Director

Gene Poveromo, Development Coordinator

SUBJECT:

Response to Petition Requesting Town Assistance with National Register Historic District Expansion in the Franklin-Rosemary Street Local Historic District

DATE:

November 19, 2007

 

PURPOSE

 

The purpose of this memorandum is to respond to a petition received on June 11, 2007 (attached) requesting that the Town provide funding for a consultant to obtain approval from the State to expand the National Register District in the area of the Franklin-Rosemary Street Local Historic District. 

 

No funds are currently appropriated in the fiscal 2006-2007 budget for this purpose.  We recommend that the Council take no action on this petition.

 

BACKGROUND

 

An  application to expand the  National Register District boundary to reflect the boundary of the local Franklin-Rosemary Historic District was submitted by the petitioner to the State Historic Preservation Office by the petitioners in May 2006.  On September 27, 2006, the petitioner asked the Council to provide staff assistance and funding with a proposal to obtain a grant to fund an application for National Register District expansion (attached).

 

On November 6, 2006, the Council adopted a resolution to authorize the Town Manager to apply for a grant from the State on behalf of the petitioners. At that time, according to the petitioners, the anticipated cost of a consultant was $10,000; the Town committed to provide matching funds of $4,000, assuming that the State awarded a grant of $6,000.  A copy of the November 6, 2006 item is available at: /agendas/2006/11/06/4d/

 

On April 2, 2007, the Town received a letter (attached) from the State Historic Preservation Office, informing the Town that the grant application to expand the National Register District had been denied.  In denying the request, the letter from the Preservation Offices stated:

 

“…we would like nothing better than to be able to award grants to all of the applicants. However, the level of federal allocation and continued state budget constraints make that impossible this year. As a result, your project was not among those that were selected to receive grant assistance in 2007.”

 

On May 10, 2007, the petitioners approached the Chapel Hill Historic District Commission.  The petitioners informed the Commission that the grant to expand the National Register District had been denied and asked the Commission to support a request that the Town pay the consultant fee in full.  The Historic District Commission voted unanimously to recommend that the Town provide funding for the National Register District expansion (attachment).

 

On June 11, 2007, the Council received the petition requesting that the Town provide full funding for a consultant.

 

NATIONAL REGISTER DISTRICT

 

National Register districts are overseen by the State on behalf of the federal government. They are not locally regulated.

 

Benefits to Properties: Benefits to properties located within a National Register District are briefly described below:

 

Recognition and Protection: The National Register recognizes the significance of a property to a community, state, and/or nation. National Register properties are afforded some protection from adverse effects of federally-assisted projects; and, through automatic inclusion in the State Register of Historic Places, some protection from state actions.

 

Tax Incentives: National Register listing allows property owners certain state and federal tax incentives for substantial rehabilitation according to standards set by the Department of Interior. There are no local tax incentives that would impact the local Town of Chapel Hill tax base.

 

The “Chapel Hill Historic District” National Register district, which encompasses a portion of the local Franklin-Rosemary Historic District, was the first National Register district in Chapel Hill, listed in October 1971. Since then, the State Historic Preservation Office has listed three additional districts in Chapel Hill – “West Chapel Hill,” “Gimghoul,” and “Rocky Ridge Farm.”  Maps of the existing National Register and local districts as well as proposed expansion are attached.

 

Benefits to the Town: Benefits to the Town are indirect, and include that National Register properties increase recognition, and presumably the tax base (from higher property values).

 

Rocky Ridge Farm National Register District:  Recently, the Council reviewed a memorandum concerning a neighborhood’s request to expand the Rocky Ridge Farm National Register District.  We understand that the consultant’s fee ($5,000) associated with the Rocky Ridge Farm expansion was paid for by the Rocky Ridge neighborhood.   A copy of this memorandum may be viewed at the following link: /agendas/2007/09/24/5d

 

DISCUSSION

 

The attached petition is seeking Town funds to expand the National Register District in the Franklin-Rosemary Street Local Historic District.  Based on past discussions with the petitioners, we understand that the funding for a consultant could be between $6,000 and $10,000.  The petition is asking the Town to fund the total cost associated with the consultant.  We understand that the petitioner is not proposing supplemental private funding or funding from State grants.

 

We recommend that the petitioners attempt to seek private funding and/or re-apply for a grant from the State.  As noted, the recent expansion of the Rocky Ridge Farm National Register District was achieved with private funding.  If the Council wishes to consider funding this request absent a State grant, we recommend that the Council discuss funding options during the upcoming budget workshops for fiscal year 2008-2009.

 

RECOMMENDATIONS

 

Historic District Commission’s Recommendation:  On May 10, 2007, the Historic District Commission unanimously voted to recommend that the Town provide full funding for the expansion of the “Chapel Hill Historic District” National Register District.

 

Staff Recommendation: That the Council direct the applicant to continue to seek funding via the State grants and once obtained return to the Town for discussion of any associated or matching funding requirements. 

 

ATTACHMENTS

 

  1. Applicant’s May 29, 2007 petition and associated materials (presented to the Council on June 11, 2007 (p. 4).
  2. April 2, 2007 Letter from the State Historic Preservation Office (p. 7).
  3. Historic District Summary of Action May 10, 2007 (p. 9).
  4. Map of existing Local Historic Districts (p. 10).
  5. Map of existing National Register Districts (p. 11).