CR 96-109 Sign Rehabilitation Grant ProgramJune 25, 1996
Council Report 96 -109
SIGN REHABILITATION GRANT PROGRAM MODIFICATIONS
Proposed Action
Staff recommends approval of the following motion: Move to adopt modifications to the Sign
Grant Program., as indicated within this report.
With approval of this action, staff will proceed to put together a new Sign Grant brochure and
publicize the expanded area of the program through the use of various City communication tools.
Overview
Approximately six months ago, a local resident requested that modifications be made to the City
Sign Grant Program. This suggestion was to expand the Sign Grant Program boundaries to
include other areas of the City.
Staff has within the past six months had several discussions with the HBCA Economic
Development Committee and HBCA general membership/Board of Directors, regarding these
Sign Grant Modification issues.
At the last HBCA Board meeting, a position was taken on the proposed Sign Grant modifications.
A detailed discussion of that position is included within this report.
Primary Issues to Consider
o What are the major changes being proposed?
o What was HBCA's position on the proposed changes?
o What is currently budgeted and used on an annual basis for Sign Grants?
Supporting Documents
o Sign Rehabilitation Grant Program Guidelines and Procedures/Redevelopment project
area map-- Exhibit A
o Position statement by HBCA
o Pictures of eligible/ineligible signs under these new guidelines
James D. Kerrigan
Planning & Economic Development Director
Council Report 96 -109 - Page 2
Primary Issues to Consider
o What are the major changes being proposed?
The following three major changes are being proposed to the Sign Grant Program at this
time:
o Provide funding totaling 25 percent, rather than 50 percent, of the total cost of signage
improvements. Staff and HBCA Economic Development Committee discussed that by
reducing the percentage of grant, more businesses would be able to receive the benefit
of this program.
o Change the boundaries of the program from its current area of generally First Street
North to First Street South between Shady Oak Road and Washington Avenue - -to the
area identified as the "redevelopment project area," as identified in Exhibit A, attached
to this report. A building applying for a signage improvement grant must also be
located within any of the business or industrial zoning classifications. The City's
redevelopment attorney - -Bob Deike -- indicated that the boundaries of the
redevelopment project area would be the limits of where the City could provide Sign
Grants. This relates to the funding mechanism for the program being tax increment
financing, and the regulations regarding the use of that tool to provide signage
improvement grants.
o The following would be ineligible improvements under the modified sign grant
program
- Awnings
- Pylon or pole signs (new construction)
- Plastic/Lexan panel or vacuum- formed signage (or any derivative of these types of
products) with the exception of plastic - lettered signs where each letter is individually
placed on the building
Staff is recommending that these types of signs, as listed above, be ineligible under the
new program. In support of this, staff would provide a package of alternative signage
that could be provided to a perspective applicant, which would be eligible for a Sign
Grant. This package would not include any of the ineligible signage as indicated above,
but rather provide a number of alternative types of signage.
o What was HBCA's position on the proposed changes?
HBCA supported the first two primary changes, which were the percentage of
participation by the City and the boundaries of the program HBCA did not support
making the following signs ineligible for improvement grants:
o Pylon or pole signs (new construction)
•
Council Report 96 -109 - Page 3
o Plastic/Lexan panel or vacuum- formed signage (or any derivative of these types of
products)
HBCA felt that by eliminating these types of signs, the program would be too restrictive.
They felt such a restrictive program would potentially have a negative perception rather
than positive.
o What is currently budgeted and used on an annual basis for Sign Grants?
Currently, $5,000 is being budgeted on an annual basis for the Sign Grant Program. In
recent years, approximately $5,000 to $7,000 in Sign Grants have been provided on an
annual basis. HBCA is recommending that the City provide additional funding for the
prow in light of the expansion of the g graphical area.
Funding for the Sign Grant Program has come from economic development funds and,
therefore, has been required to use the budgeted amount as a general "guideline" for
dollars to be spent on a specific program The $5,000 budgeted annually has simply been a
benchmark, the same as the $25,000 that is budgeted annually for the Facade Grant
Program.
If all types of signs are to be eligible under the modified program (including plastic), it may
be necessary to increase the budgeted amount to approximately $7,500 to $10,000 per
year, due to higher use of the program.
Alternatives
The City Council has the following alternatives regarding this matter:
1. Approve the action as recommended by staff, with the three major changes to the Sign
Grant Program.
2. Approve alternative recommendation.
3. Continue the item for additional information.
4. Deny the action.
SIGN REHABILITATION GRANT PROGRAM
GUIDELINES AND PROCEDURES
FOR THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF HOPKINS
Planning and Economic Development Department
1010 First Street South
Hopkins, Minnesota 55343
(612) 935 -8474
The purpose of this program is to provide grants for the repair
and replacement of old signage, in addition to the construction
of new signage, which will enhance a building's character and
improve the appearance of commercial /retail properties.
I. Grant Terms and Conditions: MAJOR MODIFICATION
a. The Housing and Redevelopment Authority (HRA) Grant
Program will provide funding totaling 25 percent of the
total cost of the following:
• Existing sign removal
• New sign construction /materials
• New sign installation
• Lighting and associated electrical costs
b. Grant maximum - -no grant shall exceed $1,000
c. Grant minimum- -there is no grant minimum
II. Eligibility Criteria: MAJOR MODIFICATION
a. Building /applicant eligibility
1. Building must be located within the "Redevelopment
Project Area," as identified in Exhibit A. Building
must also be within the following zoning
classifications:
• B -1
• B -2
• B -3
• I -1
• I -2
2. The building must not be one which is identified by
the HRA /City for possible acquisition as part of a
pending or proposed redevelopment /construction
project.
1
•
SIGN REHABILITATION GRANT PROGRAM - Page 2
3. The applicant's business must be a "conforming use"
under the City's existing zoning ordinance.
4. Signage improvements to the building must comply
with all applicable code, permit, and license
requirements.
5. An eligible applicant can either be the building
owner or business owner /tenant.
6. Applicants are required to wait a minimum of five
years prior to submitting a second Sign Rehabili-
tation Grant Program application.
b. Eligible costs
• Existing sign removal
• New sign construction /materials
• New sign installation
• Lighting and associated electrical work
Overall eligible projects shall include the following:
• New signage for rear entrances
• New conforming signage to replace legal,
nonconforming signs (grandfathered signs that violate
the existing zoning ordinance, but remain due to the
grandfathered clause)
• New tenants replacing existing signage
• Removal of signs no longer in use
• Repair and maintenance of existing signs (see
ineligible projects)
Window signs that are an integral part of the
business name
c. Ineligible improvements: MAJOR MODIFICATION
• semi - permanent signs
• Window signs
• Posters and /or banners
• Awnings
• Pylon or pole signs (new construction)
• Plastic /Lexan panel or vacuum - formed signage (or any
derivative of these products) w/ the exception of
plastic lettered signs where each letter is
individually placed on the building
III. Inspection of the Sign
•
SIGN REHABILITATION GRANT PROGRAM - Page 3
A final inspection will take place after the work on signage
improvements has been completed. This inspection will be
done to determine that the sign is identical to that which
was approved within the application process. The inspection
will also confirm that the sign meets all established zoning
ordinance and program guideline requirements.
IV. Payment of the Grant
No grant shall be considered by the City if a sign permit
has been issued prior to application. No work shall begin
until final approval has been granted by the City, and grant
monies will not be available for signage that was
constructed prior to such approval.
V. Zoning Requirements
All signage shall meet the City Zoning Code.
VI. Sign Review
The applicant's proposals shall be reviewed by City staff
for compliance with the zoning ordinance. Staff will also
be reviewing the sign design, based upon the guidelines of
this Program, and may provide suggestions for modifications
to the applicant's sign in order to better meet the intent
and purpose of such program.
City staff will complete its review of the applicant's
request for a Sign Grant within three days of submission,
and notify the applicant following that time period.
VII. Plans and Specifications
The following information is to be provided with the
application:
a. A front elevation drawing of the sign to scale. This
can generally be obtained from the sign company, an
architect, or a graphic arts company. The minimum
scale for such elevation is 1 inch = 1 foot.
b. A specification sheet describing sign materials,
precise letter size, and colors.
c. Signed bid from sign company.
d. Letter of acknowledgment from owner.
APPLICATION FOR SIGNAGE REHABILITATION GRANT PROGRAM
DATE:
Name: Phone:
Business Name:
Address:
Owner of Property:
TYPE OF IMPROVEMENT
New Signage: Rear Front
New signage to replace legal non - conforming signs:
Repair and maintenance of existing signs:
APPLICATION CHECKLIST
1. If tenant, letter of acknowledgment from owner.
2. Signed bid from sign company.
3. Front elevation drawing of the sign drawn to scale.
4. Drawing of the entire building indicating sign
proportion and placement.
5. Specification sheet describing sign materials.
TOTAL AMOUNT OF BID: $
TOTAL AMOUNT OF GRANT: $
25% OR $1,000 (lesser amount)
BUSINESS OWNER INFORMATION
SIGN GRANT MODIFICATIONS
Phone:
SIGNATURE: DATE:
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Jun -24 -96 08:OOA TwinWest Chamber
HOPKINS
USINESS
CIVIC
612 540 -0237
ASSOCIATION
Sign Grant Ordinance recommendation
per HBCA Board of Directors
After receiving information and reconunendations from the Hopkins Business
and Civic Association's Economic Development Council the HBCA Board of
Directors passed the following motion on 6/20/1996:
Berg moved to accept the proposed staff sign grant rehabilitation program
draft with the exception of making pylon or pole signs (new construction) and
plastic/Lexan (or any derivative of these products) panel or vacuum- formed
signage (as found under IL Eligibility Criteria; a. 2 c) ineligible and the HBCA
Board of Directors recommends that the City of Hopkins provide additional;
funding for the program in light of the expansion of the geographical area.
Motion seconded by Barth. Motion carried.
10559 Wayzata Boulevard Hopkins, Minnesota 55305 (612) 540 -0234
P.02
•
•
INELIGIBLE - Plastic panel sign
INELIGIBLE - Awn'
INELIGIBLE - 'vacuum- formed plastic sign
INELIGIBLE - Awning
•
ELIGIBLE - Painted wooden sign
ILUNr CANL$o
•
ELIGIBLE - Sandblasted sign
ELIGIBLE - Painted metal sign
a Sb
ELIGIBLE Painted wooden sign
94 . , tie.