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CR 96-176 Termination Of Sign Grant Program40 October 29, 1996 Proposed Action • Primary Issues to Consider Y O TERMINATION OF' SIGN GRANT PROGRAM Staff recommends adoption of the following motion: Move to discontinue the Sign Chant Program. With this action, the Sign Grant Program would be terminated. There would be the ability to reinstate the program at some future date . Overview The Signage Improvement & Maintenance Grant Program started in 1986. Earlier this year, the Council discussed modifying the program to include the following: o Expand the boundaries to include other areas of the City o Provide funding totaling 25 percent instead of 50 percent o Change eligibility requirements o Did the Sign Grant Program achieve its goals? Staff feels the quality of signage has not improved since the Sign Grant Program was implemented. It is felt that most of the signs would have been financed whether or not the Sign Grant Program existed. Council Report 96 -176 During a work session on October 8, 1996, the majority of the City Council expressed an interest in terminating the Sign Grant Program. The HBCA was informed of the Council's interest in terminating the program. o Are there other sources of funding available for signs? Yes, most signs qualify for funding through the Facade Grant Program, with the exception of pylon and pole signs. Supporting Documents o Proposed revisions from Council Report 96 -127, dated August 6, 1996 Alternatives The City Council has the following alternatives regarding this matter: Approve the action as recommended by staff. Continue the Sign Grant Program. Under this alternative the Council needs to decide on the revisions Continue the item for additional information. ator Following are proposed revisions from Council Report 96 -127, dated August 6, 1996: o Provide funding totaling 25 percent, rather than 50 percent, of the total cost of signage improvements. Staff and FIBCA 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. • The following would be ineligible improvements under the revised sign grant program - 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.