Explanation
BACKGROUND: In response to the housing mortgage crisis, the city of Columbus was awarded $22,845,495.00 of Neighborhood Stabilization Program (NSP) grant funds from the U.S. Department of Housing and Urban Development (HUD). The funds will provide for the purchase of foreclosed or abandoned properties, redevelopment, rehabilitation or demolition of these properties in order to stabilize neighborhoods and stem the decline of house values of neighboring homes.
This legislation will increase and extend contracts with Watson General Contracting, LLC and Ransom Company to provide demolition services on blighted vacant structures. Watson General and the Ransom Company were selected from a pool of five companies that responded to the request for bids. The companies were selected based on lowest bid, prior experience, and qualifications. Ordinance 0833-2009 authorized the original contracts with Watson General and Ransom Company.
Watson General Contracting, LLC, Contract Compliance #31-1429409 (Expires 5/07/11)
Ransom Company, Contract Compliance #269401266 (Expires 2/26/12)
FISCAL IMPACT: Funding is available from a $22,845,495.00 Neighborhood Stabilization Program (NSP) grant from the U.S. Department of Housing and Urban Development (HUD).
EMERGENCY JUSTIFICATION: Emergency action is requested in order to remove blighted vacant structures in City neighborhoods as soon as possible.
Title
To authorize the Director of the Department of Development to increase and extend contracts with Watson General Contracting, LLC and Ransom Company for the provision of demolition services on vacant structures within the municipal boundaries of the City of Columbus; to authorize the expenditure of up to $390,000.00 from the General Government Grant Fund; and to declare an emergency ($390,000.00)
Body
WHEREAS, ordinance 1860-2008 adopted the City's Neighborhood Stabilization Program, authorized the filing of the Neighborhood Stabilization Program application with HUD, and made a substantial amendment to the Consolidated Plan's 2008 Action Plan; and
WHEREAS, the City's NSP application specified the expenditure of funds to demolish properties that meet the program's requirements as established in Title III of the Housing and Economic Recovery Act of 2008; and
WHEREAS, the Land Redevelopment Office is expecting to demolish more structures than originally estimated under the National Stabilization Program and needs to increase the contracts with two contractors to perform the work; and
WHEREAS, an emergency exists in the Department of Development in that it is immediately necessary to increase and extend said contracts to remove vacant structures in order to avoid delaying implementation of the program, all for the preservation of the public health, peace, property, safety and welfare; and NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Director of the Department of Development is hereby authorized to increase and extend the contracts with Watson General Contracting, LLC and Ransom Company to demolish blighted structures as follows:
Watson General Contracting increase of $140,000.00
Total Contract Amount $440,000.00
Ransom Company increase of $250,000.00
Total Contract Amount $550,000.00
Section 2. That for the purpose stated in Section 1, the expenditure of $390,000.00 or so much thereof as may be necessary, the Department of Development, General Government Grant Fund, Fund 220, Grant Number 440500, Division No. 44-01, Object Level One 01, Object Level Three 3292, OCA Code 440502 for the aforesaid purpose is hereby authorized.
Section 3. That these contract amendments are awarded in accordance with Chapter 329.16 of the Columbus City Codes, 1959.
Section 4. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.