AGENDA #4m
MEMORANDUM
TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: North Carolina Flood Mitigation Grant Agreement Regarding Acquisition of Dickerson Court Properties
DATE: August 27, 2001
The attached resolution would authorize the Manager to sign a Flood Mitigation Assistance Grant (FMA) agreement for the purchase and demolition of three residential properties located on Dickerson Court.
After the flood of July 2000, four residential structures on Dickerson Court and located within the regulatory floodway were damaged and temporarily vacated. This was not the first occasion of damages due to flooding on these properties, and these damages have thus been determined to be “repetitive” by the NC Division of Emergency Management (NCDEM) and the Federal Emergency Management Agency (FEMA). Three of the four structures are also covered by flood insurance through the National Flood Insurance Program.
Due to these factors, three of the four Dickerson Court properties qualified for the Flood Mitigation Assistance Grant program. At the September 25, 2000 meeting, the Council authorized the Manager to submit an application for an FMA Grant to purchase properties on Dickerson Court and authorized the use of up to $150,000 of 1996 Open Space Bond funds as the local match. The Town subsequently applied for and was recently awarded an FMA Grant for the purchase of three properties addressed as: 106, 107, and 108/109 Dickerson Court.
A fourth property, 105 Dickerson Court, does not qualify for federal funding because it does not carry flood insurance through the NFIP. The Town hopes to negotiate a purchase of the property using Open Space Bond funds. This is still being negotiated with the property owner. This parcel is located adjacent to the Community Center and, with the acquisition of this parcel, the greenway and trail from Franklin Street to the Community Center would be continuous. We will return to Council if and when we successfully negotiate an acceptable agreement for purchase of this property.
The attached FMA Grant Agreement provides for $207,416 of federal funds (75%) with a local match of $69,224 (25%), for an estimated project cost of $276, 640. The final total cost of the project will depend on actual costs such as closing, legal, asbestos abatement and demolition. The following is the estimated budget for this grant agreement:
Federal funds will be reimbursed to the Town upon the submittal of closing documents and other documents related to project expenditures. It is anticipated that within a month of the Town’s signing of the grant agreement, the property closings could be scheduled. Town staff will conduct a Phase 1 Environmental Assessment of the properties prior to closing.
Once acquired by the Town, interest has been expressed in utilizing the structures for training and other purposes by the Police and Fire Departments, and by the Orange County Solid Waste Department which could extract building materials for re-use or re-cycling purposes. This would minimize the demolished materials hauled to the landfill. The final use of the property would be as Bolin Creek greenway corridor and open space.
The Town has been awarded a Flood Mitigation Assistance Grant for the purchase and demolition of three properties on Dickerson Court. The 75% federal share is $207,416 and the 25% local match is $69,224. The local matching funds are available from 1996 Open Space bonds, and the Council has authorized use of up to $150,000 of those funds for this project.
The attached resolution would authorize is the Manager to sign a grant agreement between the State of North Carolina, the Department of Crime Control and Public Safety, the Division of Emergency Management, and the Town of Chapel Hill for purchase of three properties on Dickerson Court.
Attachments
1. North Carolina Flood Mitigation Assistance Grant Agreement (begin new page 1).
A RESOLUTION AUTHORIZING THE MANAGER TO SIGN A NORTH CAROLINA FLOOD MITIGATION ASSISTANCE GRANT AGREEMENT BETWEEN THE STATE OF NORTH CAROLINA, THE DEPARTMENT OF CRIME CONTROL AND PUBLIC SAFETY, THE DIVISION OF EMERGENCY MANAGEMENT AND THE TOWN OF CHAPEL HILL FOR PURCHASE OF PROPERTY AT DICKERSON COURT(2001-08-27/R-9)
WHEREAS, Chapel Hill voters authorized the expenditure of $3,000,000 in Open Space bonds in 1996; and
WHEREAS, the Federal Emergency Management Agency provides Flood Mitigation Assistance Grants to communities for the purchase flood prone properties; and
WHEREAS, land purchased using Flood Mitigation Assistance Grant funds must revert to open space; and
WHEREAS, three properties on Dickerson Court, adjacent to Bolin Creek near East Franklin Street in Chapel Hill, have been approved for purchase and demolition by NC Division of Emergency Management and the Federal Emergency Management Agency; and
WHEREAS, the Dickerson Court area would benefit the Town as open space and greenway corridor.
NOW, THEREFORE, BE IT RESOLVED by the Council of the Town of Chapel Hill that the Manager is authorized to sign a North Carolina Flood Mitigation Grant Agreement between the North Carolina Division of Emergency Management and the Town of Chapel Hill for the purchase and demolition of 106, 107, & 108/109 Dickerson Court, using 1996 Open Space bond funds for the 25% local match.
BE IT FURTHER RESOLVED that the Manager is authorized to purchase the property at 106, 107 & 108/109 Dickerson Court.
This is the 27th day of August, 2001.