With a unanimous vote Tuesday afternoon, city council decided to spend $300,000 in federal grant funds on a series of projects, including the demolition of two properties on the 200 block of Second Street, Pottsville.
In early 2014, the city will give the Pottsville Area Parking Authority $25,000 in federal Community Development Block Grant funds to knock down vacant homes at 213 and 215 N. Second St. From there, the authority will develop a new parking lot, City Administrator Thomas A. Palamar said at a special council meeting at City Hall Tuesday.
"Is that going to be paid parking? Or community parking?" asked Michael P. Halcovage, head of the city finance committee.
Once the parking lot is developed, it will be the property of the parking authority, Palamar said.
"For CDBG money to be brought into it, there has to be a benefit to the low-income neighborhood. And, of course, removing the blight there is a partial benefit. I believe it's going to be a combination of paid and community parking, but the ball will be in the court of the parking authority, which we're actively involved in. They'll manage it. They'll complete the project," Palamar said.
The city is required to have two public hearings on the proposed spending of the CDBG grant funding. The first hearing was held Aug. 20. The second was held Tuesday before the council's special meeting.
A group of local businessmen who are an integral part of the parking authority demolition/Second Street Parking project were present at the Aug. 20 hearing. Partners in a group called North Second Rehabilitation Project LLC, Pottsville, are Patrick J. Murphy, a Pottsville jeweler and president of the Pottsville Parking Authority; Carmen DiCello, owner of Towne Drugs and Yorkville Drugs and a member of the parking authority; A. Matthew Dudish, Schuylkill County recorder of deeds; Mickey Palles, owner of The Coney Island at 2290 W. Market St., Pottsville; Stephen R. Buzalko, owner of Buzalko Properties and Buzalko Woodworking, Pottsville; and Bill Jones, president of Jones & Co., Pottsville.
The group was established in 2005. It's goal is to improve the neighborhood and bring more parking to downtown, Murphy said previously.
NSRP bought 215 N. Second St. from Michael J. Javorka in December 2005 for $25,000, according to the online Schuylkill Parcel Locator.
Meanwhile, 213 N. Second St. is owned by Constantin and Rodica M. Tanjala. The Tanjalas bought the property from Elwood R. Jr. and Joanne M. Henne in December 2003 for $32,000, according to the parcel locator.
On Aug. 20, Murphy said the Tanjalas are willing to sell it for $25,000, if the city goes along with NSRP's plan. And if the funding from the city's 2013 federal Community Development Block Grant project is made available, the group will sell two vacant properties - 213 and 215 N. Second St. - to the Pottsville Parking Authority.
"They're going to take the project over from the building owners?" Halcovage asked, referring to the parking authority.
"Yes. It's really their responsibility, probably with our input, to say 'what type of parking is most needed? Is it completely residential? Is it a combination of residential and monthly parking that would be by permit? Is it for a downtown business which would, maybe, take 10 spots or five spots and say it's overflow parking for them?' " said Palamar.
Amy S. Burkhart, executive director of the Pottsville Parking Authority, was present at the Aug. 20 hearing, but not at Tuesday's meeting.
"It will be up to Amy and the parking authority to identify what's the best use or need of the parking there. But there has to be a benefit for the low-income community, which I think it's pretty clear that it is," Palamar said.
The city proposed using the $300,000 from the 2013 CDBG program for the following projects:
- Sidewalk improvements on Market Street from Centre Street to Second Street, $66,000
- Housing rehabilitation, $75,000
- Demolition, $55,000
- Administration, $54,000
- Code enforcement, $25,000
In other matters at the council's special meeting, the council voted to borrow $64,000 from the Pottsville Area Development Corporation at a rate of 2.99 percent for a 60-month term.
The funding will be used for the installation of new software, Palamar said.
On June 10, the city hired Edmunds & Associates: Software Solutions for Local Government, Northfield, N.J. to install new software, link city offices and develop a stronger data center.
The council also voted to transfer $71,000 from the city's 2012 CDBG program dedicated for electrical work at the city's JFK Recreation Complex to replace lighting at the tennis courts.