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Date
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November 9,
2009
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Agenda
Item No. 32 Roll
Call No. 09-
Communication No.
09-798 Submitted by: Matthew A. Anderson, Economic
Development Administrator |
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AGENDA
HEADING
Resolution authorizing sponsorship of Brownfield Redevelopment Program application
and Brownfield/Grayfield Redevelopment Tax Credit
Application for Hubbell Terminal Corporation through the Iowa Department of
Economic Development (IDED).
SYNOPSIS:
Hubbell Terminal Corporation, Rick Tollakson, President & CEO,
6900 Westown Parkway, West Des Moines, Iowa 50266,
plans to submit application for the IDED sponsored programs to assist with redevelopment
of the former Pittsburgh Des Moines Steel property at 921 Murphy in the Riverpoint West development area.
FISCAL
IMPACT: NONE
These
are State of Iowa programs and have no fiscal impact on the City of Des Moines
budget.
Amount:
$344,832 Brownfield Redevelopment Program Grant; $100,000 Brownfield
Redevelopment Tax Credit
Funding
Sources: State of Iowa
ADDITIONAL
INFORMATION:
Hubbell Terminal Corporation
intends to redevelop the former Pittsburgh Des Moines Steel site in the Riverpoint West development area. An office/warehouse park
consisting of three buildings and 144,000 square feet is proposed for the site.
The City of Des Moines has worked with Hubbell Terminal Corporation to
facilitate redevelopment of the site, and to coordinate with outside agencies
to procure financing to assist with environmental remediation on the site.
Hubbell
Terminal Corporation has conducted remediation activity on the site under the
requirements provided in a work plan approved by the U.S. Environmental
Protection Agency (EPA). An EPA revolving loan fund (RLF) has been utilized for
the remediation work, under the terms of a development agreement with the City
of Des Moines. An amount not to exceed $1,007,000 was approved under the RLF. A
need for additional clean up was identified this year, which was remediated on
site, but resulted in cost overruns not covered by the EPA loan amount. The
Brownfield Redevelopment Grant and Brownfield Redevelopment Tax Credits from
the IDED will assist with the redevelopment effort and offset the cost overrun due to the additional
clean up. Resolutions
of support from the City of Des Moines are required to be submitted with the
applications.
PREVIOUS
COUNCIL ACTION (S):
Date: May 19, 2008
Roll
Call Number: 08-935
Action:
Supplemental Development Agreement with River Point West
LLC, Hubbell Realty Company and Hubbell Terminal Corporation for construction
of SW 11th and Murphy Street
improvements in conjunction with Riverpoint West and
former Pittsburgh DSM Steel redevelopment projects. (Council
Communication No. 08-304) Moved by Hensley to adopt. Motion Carried 7-0.
Date: May 18, 2009
Roll
Call Number: 09-843
Action: Approving
Declaration of Restrictive Covenants for the public rights-of-way in the former
Pittsburg-Des Moines Steel site, SW 11th and Murphy Streets. (Council Communication No. 09-302) Moved by Kiernan to adopt. Motion Carried 6-1. Absent:
Cownie.
BOARD/COMMISSION
ACTION (S): NONE
ANTICIPATED
ACTIONS AND FUTURE COMMITMENTS: NONE
For more information on this and other agenda items,
please call the City Clerk’s Office at 515-283-4209 or visit the Clerk’s Office
on the second floor of City Hall,