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HomeMy WebLinkAboutA001 - Council Action Form dated July 14, 2026ITEM #:51 DATE:07-14-26 DEPT:P&H SUBJECT:DOWNTOWN FACADE GRANTS COUNCIL ACTION FORM BACKGROUND: The Downtown Facade Grant Program was introduced in 2000 to facilitate private improvements to downtown retail and other commercial storefronts (Attachment A). City Council has modified the program requirements multiple times within the past several years, mostly recently last year to allow for a new type of grant for exterior building maintenance and rear facades of historic buildings. The program has two funding rounds with different priorities, a fall round for primarily front facade improvements and a spring round for front facades, historic rehabilitation, maintenance, and rear facades. The City Council annually budgets $75,000 as matching funds for eligible projects. The program has allowed for up to $23,000 of dollar-for-dollar matching funds per front facade and maintenance as well as up to $2,000 for additional architectural and engineering services. For the spring 2025/26 fiscal year, the remaining available funding for the Downtown Facade Grant Program is $168,290. Projects that were previously approved, but not yet started or completed are not included in the available funding amount. The program requires compliance with specified Design Guidelines that can be found on the Planning Division webpage. The program requirements include a prerequisite of a ground floor use of office or retail trade. Additionally, grant eligibility includes a requirement for proposed improvements to retain the historic facade or for the removal of non-compliant elements consistent with the guidelines or to pursue eligibility under the Other facade guidelines. The program was modified recently to allow for the rehabilitation of historically significant, character-defining features of contributing historic resources in the National Register Downtown Historic District. This work includes restoration of original windows or distinct architectural features such as parapet walls. Further program modifications made exterior walls, roofs, and foundations eligible for maintenance and allowed for rear facades to receive grant funding in compliance with the Design Guidelines. Proposed improvements are intended to have significant positive visual impact on the building and the overall district. If grant requests exceed the available funding, the program criteria for front facades includes preference for facades that have not received funding in previous rounds. Attachment B provides an overview of the intent and process for the facade grant program, and Attachment C outlines scoring criteria. Subsequent Attachments are the current applications. 1 GRANT APPLICATIONS RECEIVED : The City solicited applications for the second round of FY 2025/26 funding in the spring of 2 0 2 6 . Six complete applications are being considered for this second round: five applications are for maintenance and one is for a traditional facade grant. The traditional grant and one of the maintenance grants are for the same building. (An additional application, not included, was ineligible.) A project summary, location map, and project design illustrations are attached. Staff calculated the total request of eligible grant funding to be $137,309.73. The program has adequate funding to meet all requests. Address Business or Building Name Staff Recommended Award Total Project (applicant estimates) 118 Main Street (Traditional) Ann's Insurance, Inc. (tenant)$23,000 $53,365.09 118 Main Street (Maintenance) Ann's Insurance, Inc. (tenant)$14,509.73 $29,019.47 413 Kellogg Avenue (Maintenance) 10Fold Architecture + Engineering $25,000 $60,000 236 Main Street (Maintenance)Gilger Designs $25,000 $53,400 203, 205, & 207 Main Street (Maintenance) Tilden Store Building (Dog-Eared Books)$25,000 $62,000 226-228 Main Street (Maintenance) Moorman Clothiers $24,800 $84,868.50 TOTAL $137,309.73 $342,653.06 118 Main Street (Two Grants): The building at 118 Main Street is one in a series of shallow buildings at the east end of Main Street. The lots on which these buildings sit are small because of the curve of the railroad tracks was built close to Main Street at this location. The building was constructed in the 1900's. The tenant of the building is Ann's Insurance, Inc. Several of these buildings under the same ownership as 118 Main Street have received traditional facade grants. The proposal is to make front facade changes that will alter the building to look like its companion properties to the east. The front door out onto the Main Street sidewalk is currently setback so that when the door swings out, it does not project into the right-of-way. The applicant's proposal is to have the door flush with the front facade. Planning and Building Inspections staff do not want to see the door flush with the front facade. If the door is not recessed, it will open into the sidewalk creating a hazard for pedestrians. Staff recommends the facade design be changed to recess the door. The owner of this building has received several other grants for neighboring buildings that have the same design. These buildings contain a mix of doors that are both recessed and flush with the front facade. While it is not clear why the flush design was not caught at the time of permitting, staff 2 does not want to permit further designs where a door opens out into the street. The owner is also proposing to use a maintenance grant to make repairs to the rear of the building. Some of the work proposed, including replacing a door and sidelight and replacing a downspout, are not eligible. The applicant will need to submit receipts to demonstrate that only eligible work is requested for reimbursement. Work (Traditional)Eligible Cost Estimates Total Cost Estimates New Facade: - new masonry - new entry - labor and materials $53,365.09 $53,365.09 Total $53,365.09 $53,365.09 The City match is $23,000 for a total of $23,000. Work (Maintenance)Eligible Cost Estimates Total Cost Estimates Work: - Masonry, including repair to mortar - Roofing & flashing $29,019.47 $29,019.47 Total $29,019.47 $29,019.47 The City match is $14,509.73 for a total of $14,509.73. 413 Kellogg Avenue: The building at 413 Kellogg Avenue was built as a bank in the 1940s. It was later converted to use as a general office building, though it remains essentially unchanged since it was built. The building is home to 10Fold Architecture + Engineering. The applicant is proposing to make repairs to the brick, including spalling, on the front facade on Kellogg Avenue. This will involve making repairs to the mortar and repairs to the parapet wall at the top of the building. The repairs will help to solve moisture penetration. Work (Maintenance)Eligible Cost Estimates Total Cost Estimates Brick Demolition $6,000 $6,000 Waterproofing & Flashing $5,000 $5,000 New Face Brick $47,000 $47,000 Professional Design Fees $2,000 $2,000 Total $60,000 $60,000 The City match is $23,000 plus $2,000 in design fees for a total of $25,000. 3 236 Main Street : The building at 236 Main Street is home to Gilger Designs and was constructed in the 1900s. Although the ground level has changed since the facade was erected, the second story and the cornice remain unchanged since they were erected. The applicant is requesting grant funding for the following work: Repairing the exterior brick and stucco, including flues, flashing, and parapet The bricks on the facade are spalling in places and there cracks in the bricks and mortar. These are allowing moisture to penetrate, which the grant seeks to remedy. Work (Maintenance)Eligible Cost Estimates Total Cost Estimates North Facade Masonry Lintel Restoration $36,000 $36,000 West & South Facades masonry Repair and Parge Coat $10,000 $10,000 Electrical $1,000 Design Fees $6,400 $6,400 Total $52,400 $53,400 The City match is $23,000 plus $2,000 in design fees for a total of $25,000. 203, 205, & 207 Main Street : The building at 203, 205, and 207 Main Street is home to Dog-Eared Books. It was constructed in 1870s, although its appearance has changed since that time. The owners of Dog-Eared Books recently purchased the building. The applicants are requesting grant funding for the following work: Repair the cornice and the belt course above the first floor to make them watertight Repair the foundation, particularly the mortar in the stone walls Repair the masonry on the rear (alley) side of the building Work (Maintenance)Eligible Cost Estimates Total Cost Estimates Front Facade, Basement Foundation, & Rear (Alley) Brick $60,000 $60,000+ Professional Design Fees $2,000 $2,000 Total $62,000 $62,000+ The City match is $23,000 plus $2,000 in design fees for a total of $25,000. 226-228 Main Street : The buildings at 226-228 Main Street were both built in the 1890s. They are home to Moorman Clothiers. 4 The applicant is requesting funds to make exterior repairs to the rear walls of t he building and to the exterior of the foundation. Work (Maintenance)Eligible Cost Estimates Total Cost Estimates Lift Rental $3,500 $3,500 SW Wall Area: - Repair brick and exterior plaster $25,678.50 $25,648.50 East Wall Area: - Repair brick and exterior plaster, including foundation $30,690 $30,690 Paint Work $23,200 Design Fees $1,800 $1,800 Total $61,668.50 $84,868.50 The City match is $23,000 plus $1,800 in design fees for a total of $24,800. ALTERNATIVES: 1. Approve the Downtown Facade Improvement and Maintenance Grants as proposed by the applicants for: a. 118 Main Street (Traditional) for up to $23,000 in estimated eligible costs for facade repairs and requiring the front door to be recessed. b. 118 Main Street (Maintenance) for up to $14,509.73 in estimated eligible costs for facade and roof repairs. c. 413 Kellogg Avenue (Maintenance) for up to $23,000 in estimated eligible costs for facade repairs and $2,000 in design fees. d. 236 Main Street (Maintenance) for up to $23,000 in estimated eligible costs for facade repairs and $2,000 in design fees. e. 203, 205, and 207 Main Street (Maintenance) for up to $23,000 in estimate eligible costs for facade and foundation repairs and $2,000 in design fees. f. 226-228 Main Street (Maintenance) for up to $23,000 in estimate eligible costs for facade and foundation repairs and $1,800 in design fees. 2. Modify the award amounts, conditions, or decline to award a grant to any or all of the applicants based upon the finding that any of the proposed projects do not meet the intent of the program or its requirements. 3. Defer action and ask staff or the applicant(s) for additional information. 5 CITY MANAGER'S RECOMMENDED ACTION: The Downtown Facade Grant application solicitation has resulted in six requests for a total of $137,309.73. A seventh request was submitted for maintenance, but the building is not a contributing resource to the Ames Main Street National Register Historic District. City staff has determined that the proposed Downtown Facade Improvement projects for the buildings at 118 Main Street, 413 Kellogg Avenue, 236 Main Street, 203, 205, & 207 Main Street, and 226-228 Main Street comply with the requirements of the program. There is adequate funding available for the requests. Therefore, is it the recommendation of the City Manager that the Council approve Alternative #1, as described above. ATTACHMENT(S): Attachment A - Eligibility Maps.pdf Attachment B - Program Overview.pdf Attachment C - Scoring Criteria.pdf Attachment D - 118 Main Street (Traditional Facade Grant).pdf Attachment E - 118 Main Street (Maintenance).pdf Attachment F - 413 Kellogg Avenue (Maintenance).pdf Attachment G - 236 Main Street (Maintenance).pdf Attachment H - 203, 205, and 207 Main Street (Maintenance).pdf Attachment I - 226-228 Main Street (Maintenance).pdf 6 Attachment A Eligibility Maps & Project Locations (Starred) 7 8 Attachment B Downtown Façade Grant Overview There are two façade grants: 1. Modifications to bring façades into compliance with the Downtown Design Guidelines. 2. Rehabilitation of historically significant, character-defining features. Requirements for Downtown Design Guidelines Façade Grants ▪ The building must be located downtown within boundaries established by City Council. ▪ The ground floor must be Office Uses or Trade Uses as defined by the Ames zoning ordinance. ▪ The façade design must comply with the Downtown Design Guidelines. ▪ Improvements to historic façades shall include replacing non-compliant elements with compliant elements. Maintenance is not eligible for grant funding (see Downtown Building Maintenance Grant for possible maintenance eligibility). ▪ Residential structures and buildings owned by the government, churches, and other religious institutions are not eligible. ▪ No façade grant shall exceed $23,000. ▪ The Ames Planning Division shall administer the Grant Program and prepare eligibility requirements, terms, and application forms as necessary for effective implementation. Downtown Design Guidelines Program Logistics The following process for review of applications for façade grants provides time to inform all potential applicants of the opportunity, to work with applicants, applicants to prepare submittals and for staff to review applications and report to City Council. Two grant periods will be planned for each fiscal year. First Grant Period For this first grant period, preference for grant awards will be given to: - façades that have not received any previous grant funding - front façades Action Steps: ▪ Staff will inform all property and business owners of grant availability, process, and deadlines. ▪ Staff will work with applicants to define the project, ensure that it meets the guidelines, and assure that it is feasible and can be completed within the time frame. ▪ Applications will be accepted in the summer, as early as June. ▪ Staff will review and score applications and report to City Council in July or August for awarding grants. ▪ Projects may then start in the fall and be potentially completed before the holiday shopping season or completed the following year. Second Grant Period If the entire budget is not committed in the first grant period in each year (fall), a second grant period will begin in the spring. While façades on Main Street and façades for which no previous grants have been awarded will still receive first preference in this second grant period, all 9 downtown grant requests will be considered and potentially approved if funds remain after all first- preference proposals are awarded. Grants for façades that do not face a street are eligible in the second grant period. There are no separate design guidelines for these ‘other’ façades. Grant awards will be prioritized for those façades that are visible from public streets and the municipal parking lot north of the railroad tracks. Due to the lack of defined guidelines, each proposal will be evaluated on case-by-case basis for its visual significance and general improvement of its historic character. A final determination will be made by City Council for consistency with the intent of the program. Requirements for Rehabilitation of Historically Significant, Character-Defining Features ▪ The work must retain and restore the architectural feature related to the building’s historic significance. Examples include original windows, transoms, decorative cornices. Maintenance activities of a building are not eligible. ▪ The architectural features must relate to the front façade. ▪ The building must be a contributing structure to the National Register Ames Main Street Historic District or otherwise an individually listed Historic Resource on the National Register. Rehabilitation Program Logistics Two grant periods will be planned for each fiscal year. First Grant Period The Rehabilitation Grant may only be applied for in conjunction with work eligible for the standard grant. A property may be awarded a total of $46,000 for one façade ($23,000 for compliance with Downtown Design Guidelines and $23,000 for rehabilitation of historically significant, character- defining features). Only one Rehabilitation Grant may be approved for a property in this round. Action Steps: ▪ Staff will inform all property and business owners of grant availability, process, and deadlines. ▪ Staff will work with applicants to define the project, ensure that it meets the guidelines, and assure that it is feasible and can be completed within the time frame. ▪ Applications will be accepted in the summer, as early as June. ▪ Staff will review and score applications and report to City Council in late summer for awarding grants. ▪ Projects may then start in the fall and be potentially completed before the holiday shopping season or completed the following year. Second Grant Period A Rehabilitation Grant applies to historically significant, character-defining features by themselves, and need not be in conjunction with other work. Grants can be awarded independently for significant features, for a maximum of $23,000. Conditions of Grant Approval 10 ▪ Grantees must receive a notice to proceed from the City prior to starting work. ▪ Grantees must apply for a notice to proceed within 9 months of the approval of the grant. ▪ Construction must be completed within 1 year of issuance of the notice to proceed. ▪ Any required building code and/or safety improvements to a structure must be completed before grant work proceeds or before grant funds are paid. ▪ If a grantee does not move forward with a project consistent with the Program’s Eligibility and Terms, including the program logistics, the award will be considered forfeited. The table below outlines when funds are available for the various grant categories. The program is funded at the beginning of the fiscal year (beginning in July). The funding emphasis of the Downtown Façade Grant Program is therefore placed on the traditional grants. Grant Type Fall Spring Traditional Y Y Rehabilitation* Y (with Traditional) Y (Standalone) Other Facades* N Y Maintenance* N Y * Applies only to buildings that are contributing resources to the Ames Main Stret National Register Historic District. 11 Requirements for Downtown Building Maintenance Grants Only those buildings that are contributing resources to the Ames Main Street National Register Historic District are eligible for a Maintenance Grant. The following maintenance work is eligible for grant funding: ▪ Repair of exterior walls – external repair only. This includes the repointing of brick walls and structural repair. ▪ Foundation repairs. ▪ Roof repair/replacement – external repair only. The following work is ineligible for grant funding: ▪ Internal building activates (including plumping, electrical and HVAC systems), ▪ External work for signage, ▪ Paint, ▪ Window replacement, ▪ Lighting, external stairways, or ▪ Façade redesigns are not otherwise eligible as an improvement grant project An application requirement for a maintenance grant requires an assessment of the structural conditions of the building to ensure that an adequate scope of work is proposed to ensure the work has lasting value supporting the integrity of the building. This grant is only eligible for the second grant period in the spring. Conditions of Grant Approval ▪ Grantees must receive a notice to proceed from the City prior to starting work. ▪ Grantees must apply for a notice to proceed within 9 months of the approval of the grant. ▪ Construction must be completed within 1 year of issuance of the notice to proceed. ▪ Any required building code and/or safety improvements to a structure must be completed before grant work proceeds or before grant funds are paid. ▪ If a grantee does not move forward with a project consistent with the Program’s Eligibility and Terms, including the program logistics, the award will be considered forfeited. The table below outlines when funds are available for the various grant categories. The program is funded at the beginning of the fiscal year (beginning in July). The funding emphasis of the Downtown Façade Grant Program is therefore placed on the traditional grants. Grant Type Fall Spring Traditional Y Y Rehabilitation* Y (with Traditional) Y (Standalone) Other Facades* N Y Maintenance* N Y * Applies only to buildings that are contributing resources to the Ames Main Stret National Register Historic District. 12 Attachment C Scoring Criteria For each category, the following criteria shall be used to award points: VISUAL IMPACT Maximum Score 30 Points ▪ Improvements apply to more than one story on one façade ▪ Improvements apply to more than one 25-foot wide bay on one façade ▪ Improvements will create more visual significance because: - key, highly visual elements of the building are being improved - the building is prominently visible due to its location (E.g., it serves as a focal point from a street, is at a prominent intersection, or is larger than other buildings around it) FINANCIAL IMPACT Maximum Score 30 Points ▪ Matching funds exceed the minimum dollar-for-dollar match ▪ The project includes improvements being made to - ensure public safety, - establish or preserve the building’s structural integrity - resist water and moisture penetration - correct other serious safety issues ▪ The façade project is part of a larger project that improves other exterior or interior parts of the building ▪ The project helps to make use of space that has been unoccupied or used only for storage EXTENT OF IMPROVEMENTS Maximum Score 20 Points The number points granted in this category shall be based upon the number of elements from the Downtown Design Guidelines being improved. More improved elements deserve more points. HISTORIC FAÇADES (such as Café Diem): OTHER FAÇADES (such as Wheatsfield): ▪ Display windows ▪ Quality materials ▪ Transoms ▪ Façade modulation ▪ Masonry (includes removing cover-up) ▪ Fenestration ▪ Upper floor windows ▪ Roof ▪ Parapet and cornices ▪ Awnings ▪ Awnings and canopies ▪ Building entrances ▪ Entrance ▪ Kickplate HISTORIC DESIGN Maximum Score 20 Points ▪ Project includes historically appropriate materials and restoration techniques ▪ Project goes beyond basic rehabilitation and re-establishes a more historically accurate appearance than other projects 13 Attachment D 118 Main Street (Traditional Façade Grant) Existing Facade 14 Proposed Façade Design 15 Attachment E 118 Main Street (Maintenance Grant) * Note that the downspout and the door and sidelight are not eligible for funding. Proposed Work* 16 Attachment F 413 Kellogg Avenue (10Fold Architecture + Engineering) Repair to brick & mortar 17 18 Attachment G 236 Main Street (Gilger Designs) 19 20 Attachment H 203, 205, & 207 Main Street (Dog-Eared Books) 21 22 23 Attachment I 226-228 Main Street (Moorman Clothiers) Repair to brick & mortar Repair to brick & mortar 24 25