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HomeMy WebLinkAbout03-24-2001 Workshop Meeting• • 'a it- .a o r �k,:'-, 0 1,"-, P 0 Martha Gillett • • 0 MARCH 24 COUNCIL RETREAT AGENDA 8:15- 9:00am I. Receive report on Major Transportation Projects. 9:00 - 9:30 am I1. Discuss proposal from Port of Houston on Beatititication Plan for BarbOLlrs Cut Blvd. 9:30 - 9:40 Break 9:40 — 11:00 III. Northside Comprehensive Plan Discussion A. Empowerment Zones B. Neighborhood Community Development Corporation C. Residential lot development (SETT I. 1labitat for Humanity) 11:10 — 12:30 IV. Discuss Hotel Conference Center proposal for Sylvan Beach. Break for Lunch 1:1--5 to 1:45 pm V. Discuss rental of old library by Nei,,hborhood Centers 2:00 — 3:01) pm VI. A. Sister City Program B. Youth attending National Conference COUNCIL WORKSHOP 0 MARCH 24, 2001 TABLE OF CONTENTS 1. MAJOR TRANSPORTATION PLAN Pa<�e • Background and Terminoloov • State Highway 146 South of Fairmont Parkway 1-4 • State Highway 146 MIS Study — Schedule of Events 1-� Fairmont Parkway Grade Separation at Union Pacific Railroad 1-7 Special Concerns: Fairmont Parkway Overpass Project 1-9 • Special Concerns: Fairmont Parkway Improvements From 1-1 State Highway 146 to 16"' Street • Special Concerns: Fairmont Parkway Rcfu��e/Turnin(, Lanes 1-14 • Special Concerns: Bay Area Boulevard From Fairmont Park%yav1-17 To West Main (Spencer) • Other Thoroughfares Often Discussed 1--)0 • Summary ?. PORT OF' HOUSTON BEAUTIFICATION PLAN • Overview ?-1 • Map-4 • Cost Estimate ?-> • Landscape Development Cover Letter 2-7 • Landscaping Installation and Maintenance Agreement (Draft) --8 3. NORTHSIDE COMPREFIFNSIVE PLAN Empowerment Zones: • Northside Community Neighborhood Plan 3-1 • Northside Nei�ohborhood Plan Actions 3-3 Neighborhood Community Development Corporation • Letter from the Chairman and President 3-8 • IIouston Chronicle Article —Terrific Investment..." 3-13 • Houston Chronicle Article "Business" 3-14 • Local Initiatives Support Corporation (LISC) 3-1 Residential Lot Development (SETH. Habitat for Humanity) • Overview 3-18 Delinquent Tax Property List 3-19 • Map of Northside Area 3-- I TABLE OF CONTENTS Page 2 4. HOTEL CONFERENCE CENTER PROPOSAI. • Executive Summary prepared by Ilorwath Horizons 4-1 5. NEIGHBORHOOD CENTERS. INC. • Discussion of Rental of Old Library (Exhibits) ;-1 • Letter of Agreement to Any; ela Blanchard-1 1 • Notice of Termination of Lease Agreement Letter ;-16 • Letter from Linda Barley - Request for Usc of Vacated Clinic Space ;-17 • Letter to Mr. Herrera - Use of l--ditli 'A llson Library BuildinI-I 5-118 • Letter tiom Mayor and Council to Mr. Tom Sanders ;-20 6. SISTER CITY PROGRAM • Memo from Martha Gillett 6-1 Memo and Overview of Sister City Pro(-Yram 611, - • 0 • fit • March 24, 2001 Presentation to City Council Current Activity City of La Porte Thoroughfares 0 • Background a Terminninav, � Many major transportation projects use Federal � funds. � Federal transportation funds are passed to the regional/local level through Metropolitan Planning Organizations (MPO's). � The MPO for the Houston -Galveston region is the Houston Galveston Area Council (HGAC). vM • • r -I Ll ti � HGAC's Transportation Policy Council (TPC) is responsible for selection of projects using Federal funds. � To accomplish this, HGAC prepares a Metropolitan Transportation Plan. � This plan is further broken down into 3 sub areas ❑ 3-Year Transportation Improvement Plan (TIP 2000-2002) ❑ Short Range Projects (2002-2008) ❑ Long Range Projects (2008-2020) • 0 • FAIRMONT PARKWAY TURNING LANES EASTBOUND - LEFT TURN 1. LUELLA BLVD. 2. BROOKWOOD DR. 3. WILLMONT 4. FARRINGTON BLVD. 5. DRIFTWOOD --------------------------- -------------- D --------------- N. 16th ST. ------------------------------- r I N T.S. LEGEND OVERPASS TURNING LANE ACTIVE PROJECTS: PRELIMINARY INVESTIGATION/ ENGINEERING NO DEFINITIVE ACTIVITY/ SCHEDULE PRESENTATION TO LA PORTE CITY COUNCIL MARCH 24, 2001 CURRENT ACTIVITY CITY OF LA PORTE THOROUGHFARES WESTBOUND - RIGHT TURN BAYPARK R:`,C1 Y MAPS\OFFICIAL CITY MAPSVCITY-MAP-CRY=TAL.DVJG 0 • • State Highway 146 youth o ::) Is currently in HGAC's long-range plan (2008-2020). :z Area cities requested TxDOT to accelerate the planning • for improvements to SH146. TOOT agreed to and authorized a Major Investment Study (MIS) (required before additional spending by TOOT). :z The MIS will evaluate transportation options for SH146 from Fairmont Parkway to 1-45 and; • � Provide an opportunity for TOOT and participating agencies to determine the most cost efficient solutions for addressing long-term needs. • SH 146 MIS StudyPr Schedule of Events � August 2000 — Study purpose, process, and • objectives. � Fall 2000 — Results of screening process and alternatives that will advance into further analysis. • :) Spring 2001 — Detailed analysis results and locally preferred alternative. SH146 MIS Study :)The last SH146 MIS Steering Committee meeting 0 was January 10, 2001 in the La Porte City Hall Council Chambers. :) TxIDOT Website: www.dot.state.tx.us Look for SH146 under Major Investment Studies updates on public meeting schedules and locations. • Fairmont Parkway Grade Separation at Union Pacific Railroad �z This project is in HGAC's 3-year 2000-2002 TIP. :z Presently, $4 million dollars in Federal funds are � programmed for this project. � Prior to April 2000, the City of La Porte was the sponsor (at HGAC) of this project. � At Harris County I s request (Precinct 2), the City agreed that Harris County would take over as project sponsor at HGAC. • Note: Harris County was already planning roadway improvements to Fairmont Parkway. It was felt that with Harris County as sponsor of the grade separation, the two projects could be more efficiently J planned. • • :) Harris County authorized the engineering firm of T.S. Chang (already retained for the Fairmont Parkway project) to prepare a preliminary cost estimate for the overpass. � Special concerns are drainage, pipeline relocations, and the overpass configuration. � Cost expectations are between $5 and $11 million dollars and are heavily dependent on necessary drainage improvements. • Special Concerns Fairmont Pkwy. Overpass Project. � City has expressed to Harris County the need to accelerate this project so the access to Federal funds ($4 million) will not be lost. We met with Harris County on February 13 to reiterate these concerns. � Harris County had reservations about TxDOT's approval of the overpass configuration (number of lanes, limits of the project, etc.) �z City met with TxDOT and Harris County on February 22 to resolve these issues. • 0 • � Harris County is also concerned with their consultant's report that the three current roadway projects (Fairmont Parkway, the overpass, and Bay Area Boulevard) along with future Sens Road improvements will require additional detention (estimated 20 acres at $3.5 million)to drain the roadway. � Staff recently learned of this concern and is scheduling meetings with Harris County Flood Control District and Harris County to review the consultant's findings and look for alternatives. 9 a 0 0 0 � To some degree, this drainage issue is keeping • Harris County from viewing the overpass as a stand along project. We are encouraging the County to move forward with the Preliminary Engineering Report which requires TxDOT's approval of the scope of work. 1] • • Fairmont Parkway Improvements from SH146 to 16th Street � Harris County's bond program proposed improvements to Fairmont Parkway from SH146 west to 16t" Street. � Under the County I s plan, Fairmont Parkway remained a 4-lane divided roadway with intersection improvements. � Because of increased commercial development in the area, the City has agreed to participate in upgrading Fairmont Parkway to 6 lanes between SH146 and 16t" Street. 7 :)The preliminary engineering report has been completed. The estimated cost of improvements are: ❑ Harris County ❑ City of La Porte ❑ Total $2.96 million $ .27 million $3.23 million � Further progress on this project has been delayed until key decisions are made regarding the proposed Fairmont Parkway grade separation at Union Pacific Railroad. • • � Fairillo"I arkwnv � Refuge/Turning Lanes � La Porte requested Harris County to consider installation of turning lanes at various locations on Fairmont Parkway. � Harris County retained a traffic engineering firm to evaluate the � need for the turning lanes. � The consultant recommended turning lanes at the following locations. ❑ Eastbound at Luella, left turn ❑ Eastbound at Brookwood, left turn ❑ Eastbound at Wilmont, left turn ❑ Eastbound at Farrington, left turn ❑ Eastbound at Driftwood, left turn ❑ Westbound at Baypark, left turn � Harris County and La Porte agreed to fund these improvements on a 50/50 basis, with the exception of Luella Boulevard. � La Porte has asked the County to fund the � turning lane at Luella Boulevard. � The City's share was previously estimated to be $2001000. :)A recent preliminary engineering report provided cost estimates for the proposed turning lanes, � which were substantially higher than originally projected. The City's share is now projected to be $400,000. 0 0 0 ::) The City responded to Harris County on January 10, requesting the turning lane at Bay Park Road be deleted. � This reduces the City's estimated participation to approximately $262,000. :) Final design will proceed once the City Council and Harris County execute the interagency agreement covering the level of funding and the intersections to be included. • • s 0 Bay Area Boulevard from Fairmont Parkway to West Main [Spencer Highway) :) Harris County and the City have agreed to fund this project on a 50/50 basis. � Harris County plans to use bond funds and the City will use proceeds from the voter approved 4B sales tax fund. � A preliminary watershed study, important for future improvements to Bay Area Boulevard, Sens Road and Fairmont Parkway was completed in December 1998. 0 • • • � Harris County has retained Wayne Smith and Associates to prepare a preliminary engineering report. � The report estimates the roadway improvements to cost between $5.3 million & $7.8 million (excluding right-of-way) depending on the amount of drainage improvements programmed into the project. :z La Porte needs to secure additional right-of-way from landowners (PPG, Bryan and David Moore, and DuPont La Porte Employees Federal Credit Union). :: Commissioner's Court will consider authorizing the consultant to proceed with the final design at their .- March meeting. • • ---------------------------- i �--- S• N z2s N.T.5. \` N . 16th ST. i o-- '------- -- r-------------------- w- w f� SENS ROAD LEGEND '. (26th ST.) h --= �IIi ■ OVERPASS i ,- ;�-? j; .•' \� TURNING LANE l= t - - t ! II.,�,. x a' ACTIVE PROJECTS: - PRELIMINARY INVESTIGATION FAIRMONT�� ENGINEERING / BAY AREA BLVD. PARKWAY' ._ .` - NO DEFINITIVE ACTIVITY/ id SCHEDULE qqlp =17 CANADA ROAD S. BROADWAY FAIRMONT PARKWAY OVERPASS i TURNING LANES ' /� GAL`JFSTCN BAY EASTBOUND -LEFT TURN --' POWELL ROAD 1. LUELLA BLVD. PRESENTATION TO LA PORTE 2. BROOKWOOD DR. S. 16th ST.) CITY COUNCIL MARCH 24, 2001 3. WILLMONT e_1+l, CURRENT ACTIVITY 4. FARRINGTON BLVD. CITY OF LA PORTE THOROUGHFARES 5. DRIFTWOOD S.H. 146 WESTBOUND - RIGHT TURN BAYPARK tom:=iZ'.j, R:ACITY MAPSVOFFIQAL CITY MAPS \UTY-MAP-CRYSTAL.DWG F-' Other Thoroughfares Often Discussed � The following roads (and others) are also part of La Porte's Thoroughfare Plan. They do not have � a defined approach, schedule, or identified funding source at this time. ❑Sens Road (26th Street) from West Main (Spencer Highway) to SH225 • —Preliminary Drainage Recommendations are complete. —This project is on HGAC's Long Range Plan (2008-2020). ❑ Powell Road (So. 16th Street) from Fairmont Parkway South, then East to Weems Boulevard and SH146 —Activity could be accelerated depending on � success of La Porte TIRZ #1. ❑ South Broadway from Fairmont Parkway to Weems Boulevard � —This project is on HGAC's Long Range Plan (2008-2020). —Activity could be accelerated depending on success of La Porte TIRZ #1. Canada Road from West Main (Spencer Highway) to Fairmont Parkway — Right-of-way to align this intersection with East Boulevard has been acquired, additional right-of-way is necessary. • — City Council has funds budgeted to review right-of- way needs and design intersection improvements. — Staff has negotiated an agreement with Walsh/Freese and Nichols to prepare a summary report with cost estimates for this project. • ❑ North 16th from Barbour's Cut to SH 146 — Previous negotiations with SPRR (now UPRR) provided for a realignment of North 16t" Street. — The new alignment will connect with SH146 feeder , road at a proposed crossover. • Active Projects Preliminary Summary nvestigation/Engineering Est. Cost (millions) :) SH 146 south of Fmt. Pkwy. (MIS) :) Fmt. Pkwy. (SH146 to 16t" St.) Fmt. Pkwy. grade separation @ UPRR Bay Area Blvd. ::� Fmt. Pkwy. turning lanes Total Future Projects No Definitive Activity/Schedule 11 $201 million Sens Road from W. Main to SH225 � Powell Road from Fairmont Parkway south, then east to $3.23 million Weems Boulevard and SH146 :z So. Broadway from Fairmont $5-11 million Parkway to Weems Boulevard � � Canada Road from West Main to $5.3- 7.8 million Fairmont Parkway $.8 million � No. 16'h from Barbour's Cut to SH146 $220+ million • • L_J FAIRMONT PARKWAY TURNING LANES EASTBOUND - LEFT TURN 1. LUELLA BLVD. 2. BROOKWOOD DR. 3. WILLMONT 4. FARRINGTON BLVD. 5. DRIFTWOOD WESTBOUND - RIGHT TURN BAYPARK --------------------------- i -----� '/l "I-- - - -- - - - - - - - - - - - - SN. 16th ST. ------------------ i i i LEGEND (�f ■ OVERPASS TURNING LANE ACTIVE PROJECTS' PRELIMINARY INVESTIGATION/ ENGINEERING NO DEFINITIVE ACTIVITY/ SCHEDULE err GALVESTON BAY 41, PRESENTATION TO LA PORTE CITY COUNCIL MARCH 24, 2001 CURRENT ACTIVITY CITY OF LA PORTE THOROUGHFARES P.,.,C1 Y t4AP-')Ml-;GL CM MAos`;CITY-MAP-CRYSTAL.CWG 0 E • Port of Houston Beautification Plan 0 Port of Houston Beautification Plan for Barbour's Cut Boulevard Overview The Port of Houston has authorized the firm of Vernon Henry and Associates to prepare a Beautification Plan for Barbour's Cut Boulevard (see attached map). Note: a larger plan will be available at the workshop. > The proposed project limits are from SH146 easterly to the turn -a -round at the Portof Houston. > In general, the plan features the following: Two rows of palm trees along Barbour's Cut Boulevard. Special signage areas at SH146 and North Broadway. > Areas of special emphasis which will receive additional plantings at SH146, North Broadway, and entrance to Port facilities. A beamed area along the north right -of --way line of Barbour's Cut Boulevard with plantings and shrubs. (Where the adjacent Port property provides additional depth for berms and landscaping). Additionally, a walking trail within the city limits of Morgan's Point. (If built, the ownership and ongoing maintenance will be responsibility of Ivtorgan's Point.) > The consultant's current estimate for the project is $906,930. Prior to moving forward with this project, the Port of Houston has asked La Porte and Morgan's Point to consider a joint agreement for the installation and ongoing maintenance of the landscaping (letter attached). The draft agreement states that the Port of Houston will fund up to $1,000,000 for the project. If the costs exceed $1,000,000 the cities are to share the excess amount equally. It has been suggested that one maintenance contract providing the ongoing care of the landscaping would be preferable to the three entities providing different levels of maintenance at different times. 0 2-1 0 0 0 Proposed Maintenance Agreement Prior to requesting the Port Commission's authorization to proceed, the Fort statt has requested La Porte and Morgan's Point to participate in the annual maintenance costs. ➢ The Port of Houston has asked La Porte and Morgan's Point to consider splitting the annual maintenance costs in the following manner: Port of Houston 40% City of La Porte 30% City of Morgan's Point 30% To test the reasonableness of the proposed split, staff estimated the "project area" within each entity and found the following percentages. Port of Houston 40% City of La Porte 30% City of Morgan's Point 30% > The table below estimates the annual maintenance costs for each entity using 1) The Port of Houston's proposal and 2) using the above calculated percentages. ➢ Per the proposed agreement, the actual maintenance costs will be determined by an annual competitive bid plus a 15% contingency. Additionally, if the Port determines this amount is insufficient, the cities will deposit additional funds. Barbour's Cut Landscaping Project Estimated Annual Costs Estimated Annual Maintenance Cost $169,020. t Port of Houston Request Based on Area within each entity2 Port of Houston 40% $ 67,608 Port of Houston 40% $ 67,608 City of La Porte 30% $ 50,706 City of La Porte 24% $ 40,565 City of Morgan's Point 30% $ 50,706 City of Morgan's Point 36% $ 60.847 100% $169,020 100% $169,020 ' The estimated annual maintenance cost is based on information provided by the Port's consultant, Vernon, Henry, and Associates. 2 Where a street right-of-way line is the city limits, the city (or Port of Houston) that is beyond the right-of-way line was apportioned the landscaped area. Other Considerations If Council is interested in agreeing to an annual maintenance fee, staff suggests amendments to the proposal regarding irrigation water. 0 ➢ Of the projected $169,020 in annual maintenance $17,000 of that is for water. ➢ Currently, the Port of Houston has a multi -year (thru December 31, 2016) take or pay water contract with Morgan's Point. The Port pays for 200,000 gal/day (6 million gal/month) of water whether they use it or not. 2-2 0 0 Q➢ According to Morgan's Point the Port does not come close to using this amount of water. The average monthly usage for the past 2 years is 2.5 million. Therefore, we could request the Port of Houston absorb this cost since they are not using their contracted amount. ➢ For the long term, we suggest that consideration be given to using effluent from the Morgan's Point sanitary sewer treatment facility. 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'�,` t'�a�--• - 't' - �,'.- :•\ �<d .- r � .t♦ <M-.,y'... . � L �M Y p _ -- 8$ ri LEGEND . ,• !«.♦ �,'`i ti i` i, '+lq'f!`.��ii t:!® -P. .c'.>``. 1 - ri ,,'� -,y X ,i:� •.+� .:. �,.• ,� i \\ AREA i CITY LIMIT LINE SCAPED , a_ ra do F "rlt "`:•+ i „ '!� - -.P ,-��: � + MAR-08-2001 08:50 FROM:VERNON H INC 1 0 713 627 7666 TO: 071716e P.002/002 0 0 46 Romove m&t a!!Rhalt & base Uio" Wit concrete & bass Omove exist. trees & shrubs '%M js laike tips w/ heiWc1de Site moWim & edKint berm & in 11t trees after to COST Is- IT, I ESTIMATE I BARMOURS OUT ML.-V13p Final - Revised 112/20100 $2,000.00 $4,400.00 $6,000.00 $1,500.00 $800.00 2 6 $20,000.60 $11800.00 $40,000.00 PUMA 12,682 3,791 $10.00 $15.00 $126,820.00 $56'865.00 1,000 CY $12.00 $12,000.00 �0476. $1.05 $74,880.60 30 gallon -420 Rall 45 on a .... - 12 -of $150.00 -073,06 $250.00 $1,206.00 $74,900.60 $3,000.00 5 pHon 57 ^ $20,00. $1,140-00 Ytrk 1 $100.00 $100.00 5' trk 60 -$200.-00 $12,000.00 6' A —7 $240.00 $1,680.00 8' trk 433 $320-00 $138,560-00 10'trk 5. $500.00 A2,50.06 IX trk 3 $580.00 $1,740600 14'trk 5 gallon 2 1,310 -i, $66Q.00 $18.04 $1,32*0100- $24,894-00 1 gallon 7 14— - $5.5,0 $20,427.00- 4" pot 41' Pot--Z652 =4 $2.00 $1.85 $4,568.00 $4,006,16' 25-0,000 of $0,04 $10,000-00 " 6 ---� 57,975 365 --.?- af cy $7$.00 $0,01 $30-00 $450.00 $570.75 $10,950.00 ------------- Daduct'TiDOT cast sharing: n . g: Continaency,p 5% TOTAL; $904,930-08 q. Henry And Amclm.!", Inc. aig Post Oak Blvd., Sub 20$ Houston. Tome 77027 , I 2-5 GRAND TOTAL WIT PTION #2: $893,272.97 Annual seasonal flower replacement cost 2 changes 5,400 _ $1.85 $9,990.00 Annual maintenance cost: mow, edge, trim, etc. 998,260 sfly $0.12 $119,791.20 Annual mulching (first several years) _ $15,000.00 Sub -total - Maintenance (including 5% contingency): $152,020.26 Annual water cost: 30gallonslsflyr Area within City of La Porte ® city rates _ $5,000.00 Area within Morgan's Point @ city rates $12,000.00 Total Continuing Annual Costs: $169,020.26 Vernon G. Henry And Associates, Inc. ° ° 515 Post Oak Blvd., Suite 205 ° ° ° Houston, Texas 77027 - 2 /`11A 0 i L dArl Cf- DRdw/;Ke, Fr/ed �7 i/ uw'% �. �hl�lKy f.QSSoC, Slir PLC- MEASU-Idc --rj�_C/Yd1 Q)t S� -rife. FoL-L.dw)k) IS A u � ST j I✓1 �� T IdJ.I 6i= Tlf r— a) 5-p_j 807 /aj OF /rAIlJ-1;A FF A 0 — y0� 6F T,QL /PRoJE_C-r 608 Z-A �O�Tt= -- `' �� Td L 2 � � � T E P>zo � c.-r -�-yo� s6 / 6F TTQL pKaJf- �7 �0 91Y 7 f_STJmA-Tf- /s��%�'AL i'►')AJ,,J,-E>JA�.If� GvfrS • 2-6 • • EXECUTIVE OFFICES: I I EAST LOOP NORTH • HOUSTON, TEXAS 77029-4327 MAILING ADDRESS: P.O. BOX 2562 • HOUSTON, TEXAS 77252-2562 TELEPHONE: (713) 670-2400 • FAX: (713) 670.2448 STEVEN H. DEWOLF, P.E. Chief Engineer (713) 670-2466 BY MESSENGER February 1, 2001 Mr. Robert T. Herrera City Manager City of La Porte 604 West Fairmont Parkway La Porte, TX 77571 �aoUsron,gGy r A y �7'0N.ZE�P File No: 2000-0033 Subject: Landscape Development of Barbours Cut Boulevard Dear Mr. Herrera: Transmitted herewith is a draft (90 percent complete) set of Plans and Specifications along with the draft of the Landscaping Installation and Maintenance Agreement for the above subject project for your review and comments. Please note that the work will require an agreement or permission from the property owner at the northeast quadrant of the Barbours Cut Boulevard/SH 146 intersection. Your prompt review and comments will be appreciated so that the Plans and Specification and the Installation and Maintenance Agreement can be finalized so that the project can move to the bidding phase. If you have any questions on this matter, please feel free to contact Mr. Rashid Neyaz, P.E. of my staff at (713) 670-2470. Yours very truly, 4�0 d' 0 14 Chief Engineer SHD/kd:rj Attachment c: Mr. James Carroll Kell - Vernon G. Henry Associates Mr. Jimmy Jamison - Port Authority Mr. Rashid Neyaz, P.E. - Port Authority 2-7 • R0 • DRAFT January 25, 2001 LANDSCAPING INSTALLATION AND MAINTENANCE AGREEMENT This Landscaping Installation and Maintenance Agreement (the "Agreement") is entered into and is effective as of this day of , 2001 by and between the PORT OF HOUSTON AUTHORITY OF HARRIS COUNTY, TEXAS ("PHA"), a political subdivision of the State of Texas created by the Texas Legislature and operating pursuant to special statute, Acts of the 55th Legislative Regular Session, Chapter 117, the CITY OF LA PORTE ("La Porte"), a home -rule municipality, and the CITY OF MORGANS POINT ("Morgans Point"), a home -rule municipality (La Porte and Morgans Point are collectively referred to as the "Cities"). RECITALS PHA is the owner and operator of the Barbours Cut Terminal facility located within the corporate limits of Morgans Point and adjacent to the corporate limits of La Porte. State Highway 146 and Barbours Cut Boulevard provide the entrance to the Barbours Cut Terminal facility, and State Highway 146 and a portion of Barbours Cut Boulevard are within the corporate limits of La Porte. The Barbours Cut Terminal and a portion of Barbours Cut Boulevard are within the corporate limits of Morgans Point. The Parties desire to install landscaping and a related irrigation system on State Highway 146 and Barbours Cut Boulevard to provide for the general beautification of the Cities' streets and boulevards and the Barbours Cut Terminal. PHA is willing to install the landscaping and irrigation facilities at a cost not to exceed $1,000,000 and the Parties are willing to be jointly responsible for the maintenance of the landscaping and operation and maintenance of the irrigation facilities. AGREEMENT For and in consideration of the premises and the mutual obligations, covenants, and benefits set forth in this Agreement, PHA, Morgans Point and La Porte agree as follows: ARTICLE I PROJECT DESIGN AND INSTALLATION Section 1.1: The Proiect. The "Project" consists of the design and installation of the Landscaping (the "Landscaping") and the Irrigation Facilities (the "Irrigation Facilities") as described in the plans and specifications attached to this Agreement as Exhibit A and incorporated herein for all purposes and including the installation of two signs as depicted in Exhibit A. Section 1.2: Design of the Proiect. (a) PHA has designed the Project after consultation with the Cities and has incorporated the Cities' preferences with respect to the Project in the plans arld specifications set forth in Exhibit A. (b) Prior to PHA's final approval of the Project design, PHA will present the plans and specifications to the Cities for final review and comment. 2-8 (c) After each Cities' review and comment on the final Project design, PHA will approve the plans and specifications for the Project and prepare all appropriate documents and notices to solicit competitive bids for the construction of the Project. (d) PHA will bear all costs associated with the design and competitive bidding of the Project. Section 1.3: Installation of the Proiect. (a) The Cities will dedicate, if necessary, landscape and sign easements to PHA on any right-of-way that the Cities own. (b) PHA will administer the contract for the installation of the Project (the "Installation Contract") in accordance with the approved Project plans and specifications. PHA shall provide supervision of the Project installation through completion. (c) PHA will bear all costs associated with the Installation Contract up to $1,000,000. If the Installation Contract costs exceed $1,000,000, the Cities will reimburse PHA the amount in excess of $1,000,000. Any reimbursement will be paid not later than 45 days after PHA finally accepts the Installation Contract as complete. As between the Cities, any excess amount will be shared equally. ARTICLE II MAINTENANCE AND OPERATION Section 2.1: Landscaping and Irrigation Facilities Maintenance Costs. (a) The Parties will share the maintenance and operation costs of the Landscaping and Irrigation Facilities jointly in the following proportions: (i) PHA=40%; (ii) Morgans Point=30%; and (iii) La Porte= 30%. (b) Within 30 days after the final completion of the Installation Contract, PHA will competitively bid a contract for the maintenance of the Landscaping and Irrigation Facilities for the remainder of the calendar year. Upon receipt of the bids, PHA will provide notice of the successful bid to the Cities. The -bid amount plus 15% contingency will be the "Annual Budget" for the remainder of the calendar year. (c) On or before each September 1, 2001 and each September 1 thereafter, PHA will competitively bid a contract for the maintenance of the Landscaping and irrigation Facilities for the subsequent calendar year. Upon receipt of bids each year, PHA will provide notice of the successful bid to the Cities. The bid amount plus 15% contingency will be the "Annual Budget" for the subsequent calendar year. (d) After the Annual Budget for any year is established, and after PHA provides notice of the Annual Budget to the Cities, the Cities shall pay to PHA their pro-rata share of the Annual Budget not later than the December 31st prior to the beginning of that calendar year. (e) PHA will deposit its pro-rata share of the Annual Budget and the Cities' pro-rata share of the Annual Budget in an account called the "Barbours Cut Landscaping Account" and will separately maintain this account solely for the purposes of maintaining the Landscaping and Irrigation Facilities. PHA will provide the Cities with an annual accounting of the'expenditures from the account. ' (f) If during the calendar year, PHA determines that the amount deposited in the account is insufficient to meet PHA's obligation to maintain the Landscaping and Irrigation Facilities, PHA shall give the Cities notice of such deficiency and the estimated amount required to maintain the Landscaping and 2-9 . Irrigation Facilities through the end of the calendar year. Within 30 days of the receipt of such notice, the Cities will deposit their pro-rata share of that amount with PHA. (g) If any party fails to timely tender any monies due under this Agreement, an interest penalty of 12% shall apply from the date such payment was due. Section 2.2: Maintenance of the Landscaping. PHA shall be responsible for contracting for the maintenance and upkeep of the Landscaping in all regards, including, but not limited to, fertilizing, trimming, mulching, weeding, insect control, and pruning. PHA shall exercise reasonable care for maintaining the Landscaping. Section 2.3: Operation and Maintenance of the Irrigation Facilities. (a) PHA shall be responsible contracting for the operation and maintenance of the Irrigation Facilities in all regards. The contractor for the PHA shall operate and maintain the Irrigation Facilities in good condition and shall promptly repair any leaks or breaks in the Irrigation Facilities. (b) Ordinary repairs to the Irrigation Facilities (defined as any repair costing not more than $5,000) will be paid from the Annual Budget. (c) Extraordinary repairs to the Irrigation Facilities (defined as any repair costing in excess of $5,000) will be invoiced directly to the Parties and will not be paid for from the Annual Budget. The Cities shall pay PHA their pro-rata share of extraordinary repairs within 30 days of such invoice. PHA shall not undertake any extraordinary repairs without first providing written notice to the Cities. Section 2.4: Water Supoly. (a) During the Term of this Agreement, Morgans Point shall provide water to PHA solely for use in the portion of the Irrigation System within Morgans Point's corporate limits. Morgans Point will supply this water without charge and at a pressure not less than 50 psi. (b) During the Term of this Agreement, La Porte shall provide water to PHA solely for use in the portion of the Irrigation System within La Porte's corporate limits. La Porte will supply this water without charge and at a pressure not less than 50 psi. ARTICLE III HIKE AND BIKE TRAIL Section 3.1: Hike and Bike Trail. The "Hike and Bike Trail" consists of the design and installation of an all -asphalt, general purpose hike and bike trail as described in Exhibit A. Section 3.2: Design of the Hike and Bike Trail. (a) PHA has designed the Hike and Bike Trail after consultation with Morgans Point and has incorporated Morgans Point's preferences with respect to the Hike and Bike Trail into the plans and specifications set forth in Exhibit A. (b) Prior to PHA's final approval of the Hike and Bike Trail design, PHA will present the plans and specifications to Morgans Point for final review and comment. (c) After Morgans Point reviews and comments on the final Hike and Bike Trail design, PHA will approve the plans and specifications for the Hike and Bike Trail and prepare all appropriate documents and notices to solicit competitive bids for the construction of the Hike and Bike Trail. (d) PHA will bear all costs associated with the design and competitive bidding of the Hike and Bike Trail. 2-10 Section 3.3: Installation of the Hike and Bike Trail. Morgans Point will dedicate if necessary, (a) Mor g a temporary access easement for the Hike and Bike Trail to PHA on any right-of-way that Morgans Point owns. (b) PHA will administer the contract for the installation of the Hike and Bike Trail in accordance with the approved Hike and Bike Trail plans and specifications. PHA shall provide supervision of the Hike and Bike Trail installation through completion. (c) PHA will bear all costs to install the Hike and Bike Trail up to $80,000. If the installation costs exceed $80,000, Morgans Point will reimburse PHA the amount in excess of $80,000. Any reimbursement will be paid not later than 45 days after PHA finally accepts the Hike and Bike Trail as complete. Section 3.4: Ownership: Maintenance of the Hike and Bike Trail. (a) Upon PHA's final acceptance of the Hike and Bike Trail, ownership of the Hike and Bike Trail will transfer to Morgans Point. (b) Upon transfer of ownership, Morgans Point will be solely responsible for the operation and maintenance of the Hike and Bike Trail and PHA shall have no further duties and obligations for the Hike and Bike Trail. ARTICLE IV MISCELLANEOUS PROVISIONS Section 4.1: Term. Unless sooner terminated pursuant to Section 3.2 or by mutual agreement of the Parties, this Agreement shall continue in force and effect until December 31, 2011. After the initial term, this Agreement shall automatically renew each January 1, for successive one-year terms. After the initial term, any party may terminate this Agreement by providing notice to the other Parties on or before July 1 of the year prior to termination. Termination shall be effective January 1 of the following year. Upon termination of this Agreement, ownership of all Landscaping and Irrigation Facilities located within La Porte's corporate limits will transfer to La Porte and ownership of all Landscaping and Irrigation Facilities within Morgans Point's corporate limits will transfer to Morgans Point. Ownership of all Landscaping and Irrigation Facilities within PHA's property will transfer to PHA. Upon termination of this Agreement, PHA will have no further obligation for the operation and maintenance of the Landscaping and Irrigation Facilities. Section 4.2: Default, Notice, Cure. Should any of the Parties fail to perform any obligation under this Agreement, written notice shall be given to the non -performing party as to the details of such non-performance. If the allegedly non -performing party does not perform its obligations within 30 days of receipt of said notice, or commence performance of its obligations with 30 days and diligently continue to complete such obligation, the notifying party may terminate this Agreement or may seek any other remedy at law or in equity. Section 4.3: Applicable Law. This Agreement shall be subject to all applicable, local, state, and federal laws and regulations. The provisions of this Agreement shall be construed in accordance with the laws of the State of Texas. Section 4.4: Modification. This Agreement shall be subject to change or modification only with the mutual written consent of the Parties. Section 4.5: Construction of Agreement. Construction of Agreement shall not be construed in favor of or against any party on the basis that the party did or did not author this Agreement. 2-11 0 • Section 4.6: Addresses and Notices. 10 (a) The addresses of the Parties are as follows: • Port of Houston Authority of Harris County, Texas P.O. Box 2562 Houston, Texas 77252-2562 Attn: Barbours Cut Terminal Operation Manager and the Chief Engineer, Engineering Department City of La Porte P.O. Box 1115 La Porte, Texas 77252-1115; and Attn: City Manager City of Morgans Point P.O. Box 839 Morgans Point, Texas 77252-0839 Attn: City Manager (b) All notices required or permitted to be given under this Agreement from one party to the other shall be given in writing and shall be served by depositing the notice in the United States mail, postage prepaid, addressed to the party to be notified or manual delivery of the notice, or by facsimile. Notice given by mail shall be effective three (3) days after deposit in the mail; notice given by any other manner shall be effective upon receipt. The Parties have the right from time to time and at any time to change their respective addresses, and each shall have the right to specify any other addresses by providing at least fifteen (15) days' written notice to the other party. [EXECUTION PAGES FOLLOW] 2-12 • IN WITNESS WHEREOF, the Parties to this Agreement have caused this Agreement to be duly executed in multiple copies, each of equal dignity as of the date on the first page of this Agreement. PORT OF HOUSTON AUTHORITY OF HARRIS COUNTY, TEXAS ATTEST: Martha T. Williams General Counsel Pursuant to Minute No. (SEAL) ATTEST: By: Name: Martha Gillett Title: City Secretary (SEAL) ATTEST: Name: Jenny Key Title: City Secretary By: Name: H. T. Kornegay Title: Executive Director THE CITY OF LA PORTE, a home -rule municipality By: Name: Norman Malone Title: Mayor THE CITY OF MORGANS POINT, a home -rule municipality Bv: Name: Russell Applebe Title: Mayor 2-13 0 • EXHIBIT A LANDSCAPING AND IRRIGATION C • 2-14 • • • Northside Comprehensive Qm • • • 0 Empowerment Zones Northside Community Neighborhood Plan On November 13, 2000, Council approved the Northside Community Neighborhood Plan. ➢ Since then, staff met with civic club leaders and shared an outline (attached) that gave a status report on plan recommendations that were underway. The outline also suggested some follow-up actions by both the City and civic club. ➢ Two specific recommendations that will ultimately require policy direction from Council are: o Discuss creation of an empowerment zone. o Discuss the creation of a Community Development Corporation. ➢ An empowerment zone is a recent economic development tool offered by the State (bill is attached). ➢ The major actions/activities offered by an empowerment zone are: o Waive or adopt fees related to the construction or inspection of buildings in the zone (for La Porte - estimated at approximately $1,630/site) o Sales tax refunds/abatements of municipal sales tax on sales made in the zone (less than 10 year period) o Abating municipal property taxes (subject to duration limits) o Establish performance standards that encourage the use of alternative building materials that address the environment, building costs, maintenance/energy consumption. ➢ We have asked Hawes, Hill, and Associates if they know of any active empowerment zones. Unfortunately, being such a new law they aren't aware of any. However, we are still looking for cities with experience in this area. ➢ Creation of a Community Development Corporation was also a recommendation contained in the plan (see attachment) 3-1 • • Since we have no experience in this area, we have invited Marshall Tyndall and Carolyn Semones of LISC (Local Initiative Support Corporation) to the workshop as a resource with experience in working with CDC's. Included in your package is some background information and articles about LISC. ➢ After a short presentation by L.I.S.C. we suggest an open discussion of CDC's. ➢ Staff will invite members of the Northside Plan Steering Committee to attend and participate in this discussion. • 3-2 • Northside Neighbodkd Plan Actions Februar*01 Status of Actions Already Initiated Recommendation Status Level 1 - Priority 4 Install street lighting !Street lighting plan developed 40 additional streetlights HL&P given authority to proceed on October 13, 2000 HL& P began work on or about January 17, 2-001 Expected completion March 16, 2001 Priority 6 Secure "no trespassing" affadavits i Mailing list developed using tax rolls Letters mailed on October 18, 2000 - 14 affidavits have been received (see attached map) - - - - - -- - _ - Provide affidavits to Police Department I Develop a follow up plan for securing more affidavits (Civic Club & City) Priority 9 +Reward people who keep their property clean & tidy Only recognition in place is the Northside Annual Clean up Develop a follow up plan (Civic Club) Other Actions Underway Level 2 1st Preference Fill vacant positions in Police Department All positions are filled Priority 6 8 are in Field Training Officer program 3 out in February 1 out in March 1 out in April 2 out in May - - 1 is in Police Academy Level 3rd Preference (Funds for park improvements are in FY 00-01 Budget Priority 1 Attactive low fencing to children's park at Tyler/4th St 7Develop action plan (City) and visit/share with Civic Club Level 2 3rd Preference - Priority 5 Beautify Barbours Cut Boulevard Port's consultant is 90% complete with drawings Port's legal department is working on maintenance agreement City will have to workshop this project Level 2 w 4th Preference w Priority 3 I Install fire hydrants where required 5 fire hydrants were budgeted in FY 00-01 budget - Locations were selected by La Porte Fire Department - IFire hydrants ordered and received in January 2001 Installation began January 31 - finish in 2 weeks weather permitting r 1 U • • Northside Neighboad Plan Actions FebruarW01 Moving_ Forward February 1, 2001 Level 1 Priority 1 'Promote repair of deteriorating residences-, seek financial assistance Initial Action Plan Meet with SETH and Harris County Community Development Agency Find out what programs are in place Secure handouts, brochures etc. that explain their programs and standards for qualifications 'Circulate information around community !Invite SETH and Harris County Community Development Agency to present their programs at a community meeting Learn more about other outreach programs and how to qualify and obtain services (Some industries have community outreach (programs) Note: If a CDC is organized they could take on these activities Level Priority 3 Promote through City's Dangerous Buildings Program (and other means) removal of dilapitated, unoccupied structure Initial Action Plan City to have Dangerous Building Committee focus on review of unoccupied structures on the Northside I If buildings qualify, City and Civic Club help secure owner's permission for demolition (required until legal issues regarding Idangerous building programs are resolved) - - Develop an action plan for voluntary removal (and funding) for dilapidated structures that don't qualify for City's dangerous building program ]Consider Harris County Community Development Agency as a potential funding source (Grant) Level 1 - Priority 5 ----------- ----- Promote "E" Street as a buffer between residential and commercial zoning districts - City Initial Action Plan Civic Club requests City's consideration/action (optional) City staff provide Planning & Zoning with recommendation and ask that their future actions consider the desire to buffer the residential areas City staff to prepare for Council's consideration an ordinance (or resolution) that promotes"E" Street as a buffer and protects it from street closing requests. Civic Club may ask City to consider overtime developing plans for other uses (i.e. walking trail, etc.) Level 1 Priority 7 ]Draft a plan for sidewalk locations Note: The City does not have a new sidewalk installation program. There is a sidewalk replacement program). Council would need to provide policy direction and authorization. • • Northside Neighboad Plan Actions Februa4V01 Level 1 Priority 8 J Consider creation of a CDC to work on jobs, training, housing business development etc. Initial Action Plan Ask City Council to participate in a discussion with La Porte Community Civic Club and other interested community leaders regarding CDC's _ Their purpose/mission How to create and fund How to sustain Invite active sucessful CDC's and other recognized experts in this field to make presentations and participate in the meeting Potential Invitees CDC Association of Greater Houston Fifth Ward CDC Gulf Coast Community Development, Inc. Other/Miscellaneous Get on list of United Way and Community Development Block Grant for grant announcements In advance, consider topics for grant application (City, Civic Club) Ask City of La Porte to consider creation of an Empowerment Zone (Civic Club, Main Street Association) Invite homebuilders to consider building programs (City, Civic Club) Meet with representative at PSI Homesavers (formally) Private Sector Initiatives - See article in Houston Chronicle INote: If a CDC is organized they could take on these activities Get and circulate copies of the Winnable War to City, Civic Club, community leaders w u� u / 6(R) HB 313 Enrolled versio*111 Text Pagel of 2 1-1 AN ACT 1-2 relating to the creation and powers of a neighborhood empowerment 1-3 zone. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subtitle A, Title 12, Local Government Code, is 1-6 amended by adding Chapter 378 to read as follows: 1-7 CHAPTER 378. NEIGHBORHOOD EMPOWERMENT ZONE 1-8 Sec. 378.001. DEFINITION. In this chapter, "zone" means a 1-9 neighborhood empowerment zone created by a municipality under this 1-10 chapter. 1-11 Sec. 378.002. CREATION OF ZONE. A municipality may create a 1-12 neighborhood empowerment zone covering a part of the municipality 1-13 if the municipality determines the creation of the zone would 1-14 promote: 1-15 (1) the creation of affordable housing, including 1-16 manufactured housing, in the zone; 1-17 (2) an increase in economic development in the zone; 1-18 (3) an increase in the quality of social services, 1-19 education, or public safety provided to residents of the zone; or 1-20 (4) the rehabilitation of affordable housing in the 1-21 zone. 1-22 Sec. 378,003. ADOPTION OF ZONE. (a) A municipality may 1-23 create a zone if the governing body of the municipality adopts a 1-24 _resolution containing: 2-1 (1) the determination described by Section 378.002; 2-2 (2) a description of the boundaries of the zone; 2-3 (3) a finding by the governing body that the creation 2-4 of the zone benefits and is for the public purpose of increasina 2-5 the public health, safety, and welfare of the persons in the 2-6 municipality; and 2-7 (4) a findinq_by the governing body that the creation 2-8 of the zone satisfies the requirements of Section 312.202, Tax 2-9 Code. 2-10 (b) A municipality may create more than one zone and may 2-11 include an area in more than one zone. 2-12 Sec. 378.004. MUNICIPAL POWERS. In addition to other powers 2-13 that a municipality may exercise, a municipality may: 2-14 (1) waive or adopt fees related to the construction of 2-15 buildings in the zone, including fees related to the inspection of 2-16 buildings and impact fees; 2-17 (2) enter into agreements, for a period of not more 2-18 than 10 years, for the purpose of benefiting the zone, for sales 2-19 tax refunds or abatements of municipal sales tax on sales made in 2-20 the zone; 2-21 (3) enter into agreements abating municipal property 2-22 taxes on property in the zone subject to the duration limits of 2-23 Section 312.204, Tax Code; and 2-24 (4) set baseline performance standards, such as the 2-25 Energy Star Program as developed by the Department of Energy, to 2-26 encourage the use of alternative building materials that address 2-27 concerns relating to the environment or to the building costs, 3-1 maintenance, or energy consumption. 3-2 SECTION 2. The importance of this legislation and the 3-3 crowded condition of the calendars in both houses create an 3-4 emergency and an imperative public necessity that the 3-5 constitutional rule requiring bills to be read on three several 3-6 days in each house be suspended, and this rule is hereby suspended, 3-7 and that this Act take effect and be in force from and after its 3-8 passage, and it is so enacted. President of the Senate Speaker of the House I certify that H.B. No. 313 was passed by the House on April 3-6 • • 76(R) HB 313 Enrolled versio•Bill Text • Page 2 of 2 21, 1119, by the following vote: Yeas 131, Nays 1, 1 present, not voting. Chief Clerk of the House I certify that H.B. No. 313 was passed by the Senate on May 17, 1999, by the following vote: Yeas 30, Nays 0. Secretary of the Senate APPROVED: Date Governor :. 3-7 • 0 Neighborhood Community Development Corporation 11 Ll • � Letter from the Chairman and President • • Robert E. Rubin, Michael Rubinger It isn't often that philanthropy and government come up with a fundamentally new and better way of meeting some public challenge. Land-grant colleges were one example in the 19th century; Head Start and early childhood develop- ment programs were among those of the 20th. That sort of breakthrough isn't just rare, it's subtle: Most of the time, the inventors have only the vaguest idea what they have set in motion, and the real potential of their idea takes decades, or longer, to prove itself. Former Secretary of the Treasury So with community Robert E. Rubin became Chairman development corporations — a joint creation of ordinary of the LISC board in September people in lower -income and 1999, the fourth since LISC was distressed communities, founded 20 years .ago. In July alongside local and national institutions of philanthropy, 1999, Michael Rubinger became business, and government. LISC's third President and CEO, It was only after a dozen or having served as chief operating so years of experimentation (and a few memorable officer since June 199Z mistakes along thg�way) that major foundations and corporations and the Federal government recognized the extraordinary potential that the first handful of CDCs represented. What had once seemed like the inexorable decline of older neighborhoods and isolated poor communities was instead promising to be surprisingly reversible — with economic and social benefits for wider regions an the country as a whole. LISC was born, two decades ago, because of that recognition. And LISC, in turn, has spent its first two decades steadily testing and widening the boundaries of what its early architects barely suspected might be ' possible. The result has been an explosion in new investment, confidence, and vitality in places once despairingly cordoned off as "the Other America." In 1979 few fully grasped the idea that LISC — a national intermediary pooling financial and technical resources for local development — might make a real difference in the way American neighborhoods and rural communities redevelop. Fewer still imagined that LISC and CDCs could tap national markets, enlist leadership and investment from private industry, and help change the way whole business sectors deal with lower -income communities. At the time, maybe a few hundred people across the country — in Los Angeles, Boston, and Chicago, in th, Mississippi Delta and coastal Maine, and a very few other places — were 3-8 • 0 - Wing to suggest, place by place, that These things were possible. B;. were regarded as exceptional, the inspiring but isolated stories of a few remarkable people. Today, the remarkable people number in the high thousands — the great majority of them working with capital 11 finical support from LISC. A: neir work is no longer t hypothetical and speculative. Community development constitutes specialty disciplines in public policy, finance, architecture, management, even the arts. Leaders from every -it study and replicate it. The point is not just that we've e a long way. The point is that meaning not just LISC, but community developers of every kind in every part of the national map — ',ave done something fundamentally nt, and almost wholly unfore- seen. Together, we've revitalized places that the wider market had written off as lost (as a few contrarians continue to do, to this day). We've done it well. We're constantly finding ways to do it better, and at greater scale. And none of this, or almost none of it, seemed all that likely when LISC took its first small steps 20 years ago. One reason such phenomenal growth has been possible has been a surge of private capital: the formation of huge national investment pools for housing development, and more recently, a return to lower -income communities by some industries (notably retail and € nancial services) opening new stores and offices on a scale not seen in decades. The visible effects of this capital infusion are now everywhere, and the ripple effect is transforming whole areas at a pace that once seemed impossible. But just as important to the effective- ness of this industry has been a body of sustained work that has not attracted that kind of large-scale investment, at least so far. Community development has thrived not on development alone, but on community, and on the kinds of community -building that encourage people to take a stake, and contribute personal effort, as well as capital, in local revitalization. Block clubs and crime -watch programs; schools, youth activities, and recreation: child care and employment services — the mortar of social cohesion — have been indispensable to CDCs _ and to LISC since our earliest days. You don't read nearly as much about this as you do about new houses, stores, and buildings. That's partly because it's largely intangible: How do you measure (or photograph, or broadcast) the fact that residents increasingly care whether there's graffiti on Main Street walls, tall weeds in the local park, or kids hanging out idly on street corners? Yet a growing body of experience 3-9 0 • • • and scholarship increasingly confirm what CDCs knew from the outset: That degree of caring and involve- ment will save neighborhoods — and without that, nothing else will save them. LISC's mission has always included helping communities shore up that so-called "social capital" But our financial success in bricks -and - mortar activities has sometimes overshadowed our work in helping to build the other fundamentals of community. As a result, too many observers of CDCs (including many enthusiastic supporters) continue to believe that their success somehow derives from construction alone. Our greatest challenge in the next 20 years — right along with sustaining and growing the housing investment engines of the 1990s — will be finding a way to create and sustain a corresponding boom in economic and social investment. That will be harder, almost certainly. But it's strategically indispensable to the community revitalization industry. The strong national economy of recent years has made this economic and social environment particularly timely, and has opened opportunities that seemed merely speculative a decade ago. A resurgence of retail investment in inner cities and lower - income communities, for example, is no longer a matter of economic theory. It's a tangible reality on Main Streets and commercial areas that previous economic booms had passed by without so much as a nod. Why is this suddenly happening now, rather than 10 or 20 years ago? The sustained effort of CDCs, in rebuilding neighborhoods and restoring public order and community cohesion, is surely one big part of the explanation. The challenge for CDCs, and for LISC along with them, will be to sustain that achievement through the inevitable eco- nomic downturns ahead. The activities that round out the full community development agenda — public safety, business assistance and promotion, child care and youth development, employment training, welfare -to -work services, and the rest — don't yet offer financial incentives for private d investment remotely !� comparable to those for housing. That can change, with some smart public policy and continued innovation by us and our CDC partners. But for a long while, at least, it will continue to require substantial grants and favorable lending from the founda- tions and corporations that have built and sustained us so far. Fortunately, this industry has a great deal to show for our supporters' confidence in us, and we have yet to test the limits of what CDCs can do with additional resources and technical support. We remain confident that the cautious, modest idea born two decades ago can continue producing benefits that are yet many multiples of what we've accomplished thus far. -7A_f _�. (��, Robert E. Rubin Chairman w4yP4`11 Michael Rubinger President 3-10 Who We Are, What We Do LISC channels grants, investments, and loans to community development corporations (CI)Cs) across the United Stales — the non- profit local organizations that develop housing; and bring; in new businesses, strengthen the local economy, perform essential neighborhood services, and assemble whole communities out of the individual energies of residents, entrepreneurs, volunteers, and government agencies. Through hundreds of CI)Cs in 38 program areas, plus 66 rural communities, LISC helps communities create safe, attractive environ- ments where markets can function effectively, and families find the goods and services they need close to housing they can afford. LISC is an intermediary — it pipeline through which corporations, foundations, individual investors, and government deliver capital and technical expertise to CI)Cs and their communities. Its programs and affiliates collectively ensure that resources go efficiently to the organizations and projects where tile\, are needed and where they will produce community assets of lasting value -- homes and shops, safe sheets and parks, credit and employment programs. and durable inslilLit ions that preserve and enhance the local environment. Several affiliated organizations supplement LISC's work by attracting additional private capital for CI)C.,. tailored to particular investment goals: • The National Equity Fund organizes limited partnerships to purchase equity in community - based housing; development that qualify investors for the Low-income Housint; Tax Credit. • The Community Development Trust is a Real Estate Investment Trust that channels private capital into affordable housing and other community development projects. F1 Am A A • The Local Initiatives Managed Assets Corporation is a national secondary market for affordable -housing and economic - development loans. • The Retail Initiative manages it commercial equity fund to help CI)Cs develop large-scale retail developments, anchored by major super- markets, in which those funds can he invested. "Through each of its local program offices, and with the concentrated effort of several national initiatives. LISC targets particular resources toward critical elements of the community development process. These include: Program Areas A Rural Program Areas A A r - A e AtA Economic Development: The 38 local programs and Rural LISC help CDCs develop their local economy, train and place neighborhood residents in jobs, and develop child-care options for work- ins; parents. The national ~lain Streets program and the Community Investment Collaborative for Kids reinforce these efforts with additional financial and technical resources. Neighborhood Safety: LISC programs, hacked by I national Community Security initiative, help communities organize anti -crime efforts and form more effective relationships with local police. Community -Building: LISC helps CRCs tackle a broad range of human issues at the community level - enhancing the Ioc;ll tlualitV of lilC with 11CHcr hellth Cal C, hark;, and youth dCyell)p- lnellt pro�rdlll�, thl"IIU��}1 pl"o�'ralll; sUill ,l; the Nltional Fnuthall LeagUCs Cumnitlnity Foolhall Fields PI-01—ra111. Organizational Development: I;yLV prugrinl. IIIcII Ind national, ainl; 111011V .It shcngthenin0 the productiVC clpacitV Of CI)Cs. Our Ord;,mizational I>eyclllpm�nt Illitl:ltlyC,;IklllllOf hull;i mall;l�`Clllint consulting team. supports that mission with training Intl prohlenl-solyin_; 1e;M1rcc; ® ;lyail;Ihle nalionwidc. Rural Development: The five -veal -old Rurll AL LISC program has led I national nlohiliiatiun ® of capital and technical support to tits 1 ur;11 CI)Cs in 37 states. home Ownership: Much of thr Ill(wdahlc housing till -It CDCs develop with HSC•s hcli) is for sale, helping residents Ill rCot eyL'lopin are,u htlild their MVI1 Issets sold invest in their comnulnity's "YOWlh. LISC; 110V Ccntcr for Iconic Ownership adv.ulcc; th;il agenda with national 1e;ource; :Intl technical assistance. Public Housing Reform: CDC: and LISC are taking -ul c\panding role in ihr Illst;)l Ii turn (round of PUNK Ilnusing \ulhurities acre<; the countl_V.:A nelV I lousing .Authority 1 .. 1 Resource Centel- helps erclliye managrr; of Puhlic housing cooperale wiIII IW Y surroundinlo ncighhorhoods in proiccls t1;11 improve file whole conununity. Cultivating New Leadership: HSC• niter training Ind Iclrnin!.l (Ipportunilies to the stiff Ind leadership of CI)Cs nitionwidr. .And its:Amcricorps proglaln. I p;u-tncl-dhip with the Corporation for �aliunll Service. places .AmcriCorps nlenlhcl-s in challrn in positions throughout the connnunil� development industry. • • • • Houston Chronicle Sunday, May 9, 1999 Terrific investment for boomtown Houston OUSTON loves being a boom- town. By and large, its citizens love everything about a boom. They love seeing money flowing, big build- ings filling, wheeling and dealing and all kinds of develop- ment. That makes it a special shame so few Houstonians know about an ab- solutely, flat-out ex-3 citing kind of devel- opment going on about town. That is the community building being done under the auspices of the Local Initia- Jane tives Support Corp. Ely To your average citizen, something named LISC hardly sounds exciting. And the eyes of most folk almost in- stantly glaze over at the mere mention of quote community development un- quote. Indeed, LISC's own defined mis- sion can seem pretty boring if you see only its words, and not its results. Those words read: "LISC has as its mission to assist nonprofit Community Development Corporations (CDCs) in their efforts to transform distressed neighborhoods into healthy commum- ties by providing CDCs with organiza- tional development assistance, techni- cal assistance for projects and project funding." To simply list the accomplishments of LISC during its 10 years in Houston can sound equally dull. So what if there now are 30 or so active CDCs in a dozen -plus neighborhoods? So what that LISC has invested more than $21 million in those neighborhoods? So what if, beyond 2,500 new and af- fordable homes, LISC-supported CDCs have built everything from clinics to schools to shopping centers to finan- cial centers to a conference center? So what? So, more than ever can be described on paper. Listing the accomplishments almost demeans them. They are not items to be recorded. They are lives to be better lived. They are more pros- perous neighborhoods, new businesses that grow from the days they open. They are people building and doing what they want - not what some grand organization or charity or gov- ernment thinks would be best. They are CDCs, which are as good as the neighbors in them make them - with the aid and'guidance of LISC. LISC does not exist to build build- ings. It exists to help CDCs do what needs to be done - to build capabili- ties and confidence and resources so neighborhoods can meet their goals. As a matter of fact, LISC is so good at organizing and arranging, it has worked with the city to create the Neighborhood Impact Program, a new, integrated process to target city re- sources for community revitalization and redevelopment. In other words - and to his credit - Mayor Lee Brown told all the city departments to get their acts together, figuratively and lit- erally, to aid and abet CDCs. Houston's LISC-supported CDCs are so many things of worthwhile merit. But of all they have built, all they have the plans to build and all the many projects they dream of building, prob- ably their greatest accomplishments are the houses they build so the poor, too, can own their homes. Most of these homes wouldn't begin to fill the square footage of most Houston houses. They are small, but they are affordable - not only in ini- tial price, but in upkeep. They may not have many rooms, but these houses contribute to the pride of ownership, the general upgrading of their neighborhoods and, most of all, to making home ownership a reality for some who once only could dream. The CDC projects are built to reflect the architectural style of the usually inner-city neighborhoods around them. If most of the area houses are frame, so are the new ones. If brick, brick Marshall Tyndall, the former bank executive who now is Houston LISC's senior program director - and pretty much its heart and soul - notes with low-key pride that already some who got the financing for the first little houses are thinking bigger. That, says Tyndall, is part of the LISC design. It is Tyndall's generally fulfilled in- tent that LISC will stay in the back- ground. It exists to help the CDCs and the neighborhoods in and for which they are established. It may be one heck of a support organization, but LISC and Tyndall seek no credit - only results. When you figure how significantly some of these programs already have upgraded the neighborhoods they serve and you see the pride of those associated with these developments, it sounds like a terrific investment for boomtown Houston. How about this: "Corporate and foundation support is the critical link for Houston LISC to ensure CDCs con- tinue in their healthy community transformation quest. The value of this support is evidenced by the fact each dollar invested through LISC in Hous- ton CDC projects by our funders is be- ing leveraged 39 times." Clearly, that was written by a banker. It also, however, was written by a guy who drives through neighbor- hoods which LISC has supported and trades waves with most he passes. No matter how background modest LISC in the form of Tyndall tries to be, that manner does not change the ter- rific excitement of this special kind of self -generated and self -supported com- munity development. Sly is a Houston Chronicle columnist. Qane.ely@chron.com) 3-13 BUSINESS Real Estate & Energy Houston Chronicle It's the merged effort of two groups — Seetion D ** the national Local Initiatives Support Cor Sunday, Oct. 11, 1998 poration, which operates in 42 cities, and a local group, New Foundations for Neigh- borhoods, which was started by Houston's United Way. The combined group known as LISC helps neighborhood organizations in -�-. eluding many churches — set up non- profit Community Development Corpora- J i m bons. There are 30 active development ' Barlow corpwrations operating in Houston today. LISC delivers expertise, advises about seeking government grants, provides loans and seed capital, and helps the community corporations market federal income tax credits they generate. The community corporation is in turn funded by corporate donations. The ma - Two groups lead jority of help comes from financial institu- tions — which are under pressure from inner city revival the federal Community Reinvestment Act to serve poor neighborhoods. Since 1992, LISC has put $23 million into Houston neighborhoods. It has seen OUSTON, LIKE every other big 1,914 units of affordable housing com- city, has seen its inner city mi- pleted, 2,088 more units in the construc- nority areas decline. tion pipeline and a number of small and In the days of segregation, those neigh- large commercial buildings built or refur- borhoods saw city funds for streets, sew- bished by the community corporations. ers and other infrastructure go to where the power was — in white neighborhoods. Homeowners inspired The end of segregation and the rise of Stephen A- Fairfield, the executive di - minority voting largely solved that prob- rector of the Fifth Ward community corpo- lem, while bringing another. Segregated ration, says on average for each new housing had kept African Americans — house his nonprofit corporation builds, and to a lesser extent Hispanics — living thr-ee other homeowners are inspired to together in the same neighborhoods, re- fix up their homes. gardless of income levels. Its end meant The community corporations do more the majority of the middle-class blacks than build houses. They locate potential and Hispanics who could afford to move to better housing did, usually in the sub homeowners, and help low-income people urbs qualify for loans to build and remodel That movement was intensified by houses. Houston's real estate bust in the 1980s. And while these groups are nonprofit, Suburban housing become more afford- they are a training ground for minority able. Left behind were the old and the entrepreneurs. Fairfield says the Fifth very poor. Ward group has launched tlu-ee people That movement especially hit black into the for -profit home building business. neighborhoods. In Hispanic ones, continu- The slowly revitalizing neighborhoods ing immigration from Mexico brought in are attracting members of the minority new life. In black neighborhoods, the exo- middle class to move back to areas where dus of the middle class set off a spiral of they still have ties — usually through lower property values. membership in churches. The loss of the middle class and the Neighborhoods that look better also at - ending of segregation also caused the tract businesses. While overall incomes in death of many businesses located in those these neighborhoods are low, that doesn't neighborhoods -- accelerating their de- mean people don't have money to spend. clines and increasing depopulation. Aban- Ask Erwin McGowan. He worked for doned housing brought further problems. years as a claims adjuster for State Farm Insurance. Several years ago he set up a Changing neighborhoods State Farm sales center on Lyons Avenue in the Fifth Ward in a building the com- But things are changing. City spending munity corporation constructed to house on infrastructure is bringing more neigh- neighborhood financial services. borhoods to standard. Large projects such In only a few years, McGowan found as the one in the Fourth Ward to build enough demand there to make his office hmndreds of houses are on the verge of one of State Farm's top 50 producers. takeoff after years of assembling property Of course, the community corporations and overcoming bureaucratic delays. will not solve all of the problems of the Almost unnoticed, a privately backed ini- inner city. But they are, in the words of tiative is quietly transforming many of the old hymn, brightening the corner Houston's inner city neighborhoods. It where they are. doesn't seek a single grand solution to all To voice comments, telephone 713-220- problems. Instead, it's eating its elephant 2000 and dial in code 1000. Send e-mail to one bite at a time. jim.barlow@chron.com. 3-14 0 • LOCAL INITIATIVES SUPPORT CORPORATION 0 HOUSTON • DID YOU KNOW .......... • That Local Initiatives Support Corporation (LISC) is a national nonprofit organization that has a dream of revitalizing distressed neighborhoods and transforming them into thriving communities. It is a dream of giving a person what we often take for granted ... a home to return to when the day is done, a safe environment for our children to play in, and the ability to walk the streets of our neighborhood at night without fear. It is a dream of replacing drug houses with day care facilities. It is a dream of bringing back something as simple as a supermarket to an area where commercial development has long since fled? And we are here in Houston.......... • That "today, LISC is perhaps the most powerful force in America shaping the future of inner cities". Governing magazine, July 2000 And we are here in Houston......... • That former Treasury Secretary Robert Rubin's "first decision when I returned to private life was to become chairman of LISC's board of directors". And we are here in Houston ....... • That at the heart of most of the serious revitalization efforts are effective grass -roots organizations. Nonprofit Community Development Corporations '(CDCs) succeed where others have failed because CDCs earn the confidence of residents and outside partners, they do what works, they have a long-term commitment, and they strengthen the community's social fabric. And they are here in Houston ............. • That there are more that 2,500 nonprofit Community Development Corporations nationally that have created nearly 500,000 affordable homes`? That the nonprofit Houston Local Initiatives Support Corporation has worked successfully to transform Houston, the fourth largest city in the United States, from an environment where CDCs were nonexistent just a decade ago to one where there is a vibrant CDC community today? • That the Houston nonprofit Local Initiatives Support Corporation helps nonprofit, community -based Community Development Corporations work to change their neighborhoods from the "inside -out" and the results have been quite phenomenal? That in the "Bloody Fifth" Ward, for example, total crime decreased by 27% between 1997 and 1999, and violent crime decreased by 34% between 1996 and 1999? 3-15 0 • • That today, there are nonprofit Community Development Corporations (CDCs) actively working in all of the most distressed neighborhoods throughout Houston? That these CDCs have completed more than 3,150 affordable single-family and multi- family homes throughout the city? That CDC projects extend far beyond affordable housing? That the total investment created by tangible CDC real estate projects in their distressed Houston communities exceeds $143 million? That in support of this effort, the nonprofit Houston Local Initiatives Support Corporation has committed more than $23 million in area CDCs and the neighborhoods in which they work? • That in addition to quality affordable housing, the nonprofit Houston Local Initiatives Support Corporation supported nonprofit Community Development Corporations (CDCs) projects range from two charter schools, health clinics, a CDC owned shopping center to a 100,000 square foot multi -faceted commercial/healthcare/educational complex. CDC projects also include early childhood centers with PreK & K classes through a partnership with the Houston Independent School District, child care and child abuse centers, a commercial/financial center, a mixed use residential/retail village, and a community nature center? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Community Development Corporation, Tejano Center for Community Concerns has established and runs a charter school with 600 "high risk" students that has a 97% attendance rate and where 95% of the parents volunteer a minimum of 36 hours per year? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit AAMA Community Development Corporation created and owns the first new affordable apartment complex developed in the East End in 40 years? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Fifth Ward Community Redevelopment Corporation and the Pleasant Hill Community Development Corporation have created and own a commercial/financial center with State Farm as the lead tenant, a 165 unit complex for seniors, and 24 four bedroom townhomes with 10,000 square feet of retail space along Lyons Avenue in what was known as the "Bloody Fifth" Ward? That the Fifth Ward Community Redevelopment Corporation also has built 167 homes for new homeowners in that neighborhood? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Self Sufficiency Thru Housing & Economic Development turned an abandoned motel used by drug addicts into a renovated 120 unit transitional housing complex for the homeless? 0 3-16 9 • • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Avenue Community Development Corporation takes homes that are about to be torn down in Montrose, Bellaire, and West University moves them to the First Ward and Near Northside areas of Houston, renovates them and then makes them available as affordable housing to new homeowners? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Hispanic Housing & Education Corporation has created a partnership with the Houston Independent School District to create early childhood development centers on the premises of two affordable apartment complexes, totaling 602 units, owned by the nonprofit organization? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Uplift 4`" Ward Community Development Corporation has turned an abandoned, historic boarding house into a renovated eight unit complex for Fourth Ward seniors? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Neighborhood Recovery Community Development Corporation and MacGregor Area Community Development Corporation acquired and renovated a shopping center in the Third Ward that now has a very successful HEB grocery store as its lead tenant? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Third Ward Community Development Corporation acquired and renovated an abandoned 72 unit apartment complex right across the street form Jack Yates High School? That these vacant buildings across from the high school had broken windows and, while surrounded by barbed wire, provided an open invitation for the undesirable? • That the Houston nonprofit Local Initiatives Support Corporation supported nonprofit Pyramid Community Development Corporation is creating a new mixed income 450 home subdivision in the South Post Oak Road area of Houston where 80% of the homes to be acquired by new home owners will be in the affordable range for low and moderate income families? 0 3-17 0 E • 0 Residential Lot Development 0 0 • Ll • Residential Lot Development (SETH, Habitat for Humanity) ➢ The attached list and map reference tax delinquent properties that are available in the Northside area and are zoned residential. ➢ The Northside Neighborhood Plan noted that citizens are eager to attract new affordable housing for the community. It was suggested that the City look at properties with delinquent taxes as an opportunity for "matching up" with builders, SETH, or Habitat for Humanity, etc. In conversation with SETH, staff learned that they are applying for funds to acquire and construct affordable housing. If they are successful, they would be able to also utilize previously approved grant funds for down payment assistance. 3-18 0 r� • • Delinquent Tax Properties Available - Northside La Porte/Zoned Residential P028 HCAD Account Number — 023-209-000-0027 Suit #98-29647 Legal Description — Lots 27-28, Block 90, La Porte Description — This property vacant land located at 423 N Fifth Street HCAD Appraised Amount — $5,000 Minimum Bid: $5,000 HCAD Map Facet # 6254-C P033 HCAD Account Number—023-208-088-0009 Legal Description — Lots 9 — 12, Block 88 La Porte Description — This property is vacant land located in the 400 block of N fourth HCAD Appraised Amount — $10,000 Minimum Bid: $10,000 Cause # 98-29654 P053 HCAD Account Number — 023-208-088-0008 Legal Description — Lot 8 Block 88 Town of La Porte Description — Vacant property in the 400 block of N Fourth Street HCAD Appraised Amount — $3,800 HCAD Map Facet #6254-C Minimum Bid: $3,800 Cause # 98-29662 P056 HCAD Account Number — 024-044-075-0008 Legal Description — Lots 8-9, Block 375 Town of La Porte Description — Vacant property at 908 N First Street HCAD Appraised Amount — $1,600 HCAD Map Facet 46254-B Minimum Bid: $1,600 Cause # 98-29655 P062 HCAD Account Number — 023-196-063-0030 & 023-196-063-0022 Legal Description — Lots 21-23, Block 63 La Porte Description — 207 N. Second Street HCAD Appraised Amount — $20,700 I M P R HCAD Map Facet 96254-C Minimum Bid: $20,700 Cause # 97-21647 P083 HCAD Account Number — 023-195-000-0003 Legal Description — Lots 3 & 4 Block 62 Town of La Porte Description — Vacant property at 216 N Second Street HCAD Appraised Amount — $5,000 HCAD Map Facet 96254-C Minimum Bid: $5,000 Cause 91998-33068 3-19 0 0 P088 HCAD Account Number — 023-169-031-0010 Legal Description — Lots 9 & 10 Block 31 Town of La Porte Description — 213 S Sixth Street HCAD Appraised Amount — $6,100 HCAD Map Facet #6253-A Minimum Bid: $6,100 Cause # 1998-29648 P 105 HCAD Account Number — 023-206-084-0009 Legal Description — Lot 9 & 10 Block 84 La Porte Description — Vacant property located at 312 North First Street HCAD Appraised Amount — $5,000 HCAD Map Facet 46254D Minimum Bid: $5,000 Cause #1999-24575 PI 10 HCAD Account Number — 023-208-089-0017 Legal Description — Lot 17 & 18 Block 89 La Porte Description — Vacant property located in the 400 Block of North Fourth Street HCAD Appraised Amount — $5,000 HCAD Map Facet 46254C Minimum Bid: $5,000 Cause # 1999-35127 PI 12 HCAD Account Number — 023-202-077-0029 41 Legal Description — Lots 29 & 30 Block 77 La Porte Description — Vacant Property located in the 300 Block of North Seventh Street HCAD Appraised Amount — $3,100 HCAD Map Facet 96254C Minimum Bid: $3,100 Cause 91999-13136 Pill HCAD Account Number — 023-170-000-0021 Legal Description — Lots 21 & 22 Block 33 La Porte Description — Vacant property located at 218 North Third Street HCAD Appraised Amount — $6,300 HCAD Map Facet #6253A Minimum Bid: $6,300 Cause 41999-03271 • A_ it .. ! 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Y v� fF .t * Lo • �� 7 �1 .. �aT a ` � i. ,�Y �� ' ,( , J Q141 •I �� :. � `r.w. . is .' _. • 7. .?` I �� 5...•— "i°I 16 � r * J N.T.•� �t �� 1� `I • _ r r j r ti� u t \ • Ik Y'�•.�1 ,k.na r r I 00 >+ r+ •� �� 0, : � �. •� •••-. '`,; `ter � r• t. 4 ^r A I 4� • .A • dli 1 `7a1�" �•yr� • I �, • El • Hotel Conference Center Proposal • CITY OF LA PORTE INTEROFFICEM MEMORANDUM 0 November 29, 2000 ✓��� w� l mY` TO: Mayor and City Council FROM: Robert T. Herrera, City Manager SUBJECT: Hotel Study — Executive Summary For vour review, I have attached a draft copy of a findings report prepared by Horwath Horizon, Hospitality Advisors, LLC. Please read this positive report when you have an opportunity. I will forward a copy of the completed report when I receive it. I would like to schedule a workshop in January 2001 on this topic, and I will invite Benchmark Corporation to participate. Depending on the direction received from Council, I will meet with Commissioner Fonteno and other Hams County officials. RTH: cjb Attachment c John Joerns Burt Cabanas 4-1 11 -d%00 WED 14:43 FkX 70- -19982 • Zoo] • • FAX TRANSMITTAL Date: November 29. 2000 To: Bob Herrera Company: City of La Porte Fax Number: (281) 470-7650 From: Geoff Kirkland Subject: Project Executive Summary Pages: 12 (including cover page) HORWATH HORIZON HOSPITALITY ADVISORS, LLC Charlotte OtIIce: Bannington Place, Suite 100 6408 Bannington Drive Charlotte, North Carolina 28226 Telephone: (704)752-9661 Telefax: (704) 752-9982 E-Mail: norwatnciteact.com Bob, The attached Executive Summary will give a comprehensive picture of our conclusions and recommendations. I anticipate that the full report will be completed by tomorrow. I look forward to your comments and questions. Best regards, Geoff If there are any problems with this transmission, please call (704) 752-9661. 4-2 11 _, 00 WED 14:43 FAX 704-529982 � 2002 0 • DRAFT EXECUTIVE SUMMARY The proposed Sylvan Beach Hotel and Conference Center {the Resort} represents a significant opportunity to provide a first-class, dedicated conference facility in an attractive, resort -suburban setting. This should provide the City of La Porte with a top-quality hotel and meeting facility. This venture would provide the City with the full service, up -scale hotel accommodations that have been lacking in the past. This, in turn, will support the City's efforts to present an attractive meeting facility to draw groups from outside the city's confines to La Porte, thus creating significant positive economic impact. The Hotel & Conference Center is expected to attract a balanced set of market segments, with the two most significant market segments being the meetings segment and the leisure segment. The commercial segment will likely provide a modest additional source of demand. This overall balance should provide a level of economic security against the potential that a significant economic downturn affecting any one market segment would have an extraordinary impact on the performance of the Hotel. The market dynamics that will affect the success of this project include the significant local presence of the petrochemical industry, an industry whose profitability, and therefore its proclivity • 4-3 I I: 29; 00 WFD 14:44 FAX 729982 � 200,3 EXECUTIVE SUMMARY II-2 DRAFT to use outside facilities for meetings, is heavily dependent on fluctuations in world oil prices. Fortunately for the La Porte conference center project, the potential cyclical nature of the petrochemical industry can be offset by the extensive and much more diverse economy of the nearby Greater Houston market area. Based on the extensive effort to update prior market studies conducted for this and similar initiatives at Sylvan Beach, it is clear that there are a set of circumstances and/or conditions that must be assumed in order to justify the project from an economic perspective. Among these factors are the following key issues: • Access on a preferred basis for the guests of the resort project to the City -owned Bay Forest Golf Course and the City -owned community recreation facilities, including the recreation center, the snorts fields and wave pool; • inclusion of a resort shuttle system to provide ease of access for the resort guests to these off -site facilities; • Significant upgrading of the Sylvan Beach infrastructure, including the development of an attractive sand beach (on the hotel site), upgrading of the waterfront in general and upgrading of the arrival experience at Sylvan Beach Park; • Inclusion of an appropriately sized marina, with the possible need for initial funding of the infrastructure for this project element by the City of La Porte; • Provision of a water -taxi service from the Resort to the popular retail facilities and restaurants of Kemah, approximately eight miles south by water from Sylvan Beach. • Implementation of the City's plan to expand the golf course to 27 holes; - • Inclusion of all back -of -house food and beverage facilities (kitchen facilities and storage) in the conference center portion of the project; and 4-4 HORWATH HORIZON HOSPITALITY ADVISORS 1 MARKET STUDY FOR A PROPOSED HOTEL AND CONFERENCE CENTER AT SYLVAN BEACH LA PORTE, TEXAS NOVEMBER 2000 INTRODUCTION AND EXECUTIVE SUMMARY 1 Proposed and C • 1 1 1 INTRODUCTION ' Horwath Horizon Hospitality Advisors, LLC was retained jointly by the City of La Porte, Texas and Benchmark Hospitality to update the market study for a proposed resort hotel and conference ' center ("the Center") as part of a community development to be located at Sylvan Beach Park on the shore of Galveston Bay in La Porte, Texas. Due to the historical significance of Sylvan Beach, ' in appropriate places throughout this report, the term "Sylvan Beach Hotel and Conference Center' is used to refer to the overall project. Our conclusions and recommendations have been prepared based on a survey of potential users including corporations, associations and government agencies, interviews with meeting planners and competitive facility representatives, our evaluation of the area's ability to attract different types ' of group meetings and the current trends in the meetings market. Two focus groups conducted at the La Porte City Hall that included tours of the Sylvan Beach Park and Pavilion, the Lake Forest ' Golf Club and the other recreational facilities of the City of La Porte played an important role in the development of our conclusions. and Co • ction The scope of this study included, but was not necessarily limited to, the following: ' A market demand analysis, including an investigation of the local and regional meetings market and identification of the markets that offer the greatest potential use of the Center; • Surveys of associations, corporations and government agencies that were considered ' representative of major users of existing meeting facilities; ' • Development of a summary of the characteristics of the meetings market in terms of size, frequency, duration, occupancy characteristics, purpose, cost considerations, timing and services required. This also included indications of preferences for external and internal amenities of both the meeting center and lodging accommodations, service requirements, 1 standards requirements and demand for additional services. I In addition to the above major tasks, the following activities were accomplished: ' an evaluation of directly and indirectly competitive properties in terms of rate structure, size and scope of facilities and services, occupancy characteristics and degree of success ' in the market; • an analysis of the site and surrounding area with regard to appropriate resort hotel/conference center location criteria; • an evaluation of the transportation systems in the region to determine the degree to which transportation access may affect marketability of the proposed facility; and • an analysis of facilities and services which would be required to attract and accommodate identified demand sources. ' Additionally, we developed estimates of overall occupancy and market mix for the first five full years of operation. Included are recommended rate structures for the various elements of the ' demand. Finally, we have prepared a detailed prospective financial analysis for the first five years of operation. 1 1-2 Proposed Sylvan Beach Hill and Conference Center 0 Introduction 0 P On the basis of this study, we arrived at the conclusions and recommendations as summarized on the following pages and detailed in various sections of this report. Major Assumptions Our findings, conclusions and recommendations are based, in part, on the following assumptions: • The proposed resort hotel and conference center will be developed in time to enable commencement of operations in January 2003; • The Center will be operated in a competent, professional manner by Benchmark Hospitality, an experienced resort conference center operating company which has the ability to capitalize on the marketing strength of multiple properties; • A significant renovation program will be undertaken for the Sylvan Beach Pavilion to be completed prior to or in conjunction with the opening of the Center; • An aggressive program of advertising and promotion will be instituted at least one year prior to the Center's opening and maintained throughout the period of the estimates; • The Center's physical plant and appointments will be of high quality, and an adequate program of periodic maintenance and replacement of property and equipment will be instituted to assure the presentation of quality guest facilities at all times; and • Our assessment of the economic environment within the market area and anticipated growth in demand for conference and meeting facilities will be realized. Other key assumptions that are incorporated into our analysis and conclusions are listed in the Executive Summary of the report. 1 1-3 Proposed Sylvan Beach All and Conference Center • LI P 1 EXECUTIVE SUMMARY The proposed Sylvan Beach Hotel and Conference Center (the Resort) represents a significant opportunity to provide a first-class, dedicated conference facility in an attractive, resort -suburban setting. This should provide the City of La Porte with a top-quality hotel and meeting facility. This venture would provide the City with the full service, upscale hotel accommodations that have been lacking in the past. This, in turn, will support the City's efforts to present an attractive meeting facility to draw groups from outside the city's confines to La Porte, thus creating significant positive economic impact. The Hotel and Conference Center are expected to attract a balanced set of market segments, with the two most significant market segments being the meetings segment and the leisure segment. The commercial segment will likely provide a modest additional source of demand. This overall balance should provide a level of economic security against the potential that a significant economic downturn affecting any one market segment would have an extraordinary impact on the performance of the Hotel. The market dynamics that will affect the success of this project include the significant local presence of the petrochemical industry, an industry whose profitability, and therefore its proclivity IProposed Sylvan Beach H111 and Conference Center • Executive Summary ' to use outside facilities for meetings, is heavily dependent on fluctuations in world oil prices. Fortunately for the La Porte conference center project, the potential cyclical nature of the petrochemical industry can be offset by the extensive and much more diverse economy of the nearby Greater Houston market area. Based on the extensive effort to update prior market studies conducted for this and similar ' initiatives at Sylvan Beach, it is clear that there is a set of circumstances and/or conditions that must be assumed in order to justify the project from an economic perspective. Among these ' factors are the following key items: • Access on a preferred basis for the guests of the resort project to the City -owned Bay Forest Golf Course and the City -owned community recreation facilities, including the ' recreation center, the sports fields and wave pool; 1 • Inclusion of a resort shuttle system to provide ease of access for the resort guests to these off -site facilities; • Significant upgrading of the Sylvan Beach infrastructure, including the development of an attractive sand beach (on the hotel site), upgrading of the waterfront in general and ' upgrading of the arrival experience at Sylvan Beach Park; • Inclusion of an appropriately sized marina, with the possible need for initial funding of the infrastructure for this project element by the City of La Porte in order to attract desirable ' private -sector developers and tenants; • Provision of a water -taxi service from the Resort to the popular retail facilities and restaurants of Kemah, approximately eight miles south by water from Sylvan Beach; '• Implementation of the Cit's plan to expand the golf course to 27 holes; ' Inclusion of all back -of -house food and beverage facilities (kitchen facilities and storage) in ' the conference center portion of the project; and 11-2 ed Sylvan Beach Hi • P 1 • Inclusion of an upgraded Sylvan Beach Pavilion as part of the facilities of the Conference Center. It is reasonable to assume that the inclusion of all the recommended upgrades of existing facilities and the development of a new hotel and conference center will provide a major catalyst for additional private sector development in the immediate area of the Resort. With the bay front resort location, we believe the most likely new businesses to be attracted include resort -oriented retail businesses, in particular restaurants and other food and beverage outlets, similar to what has occurred in Kemah. The likely primary target market for the Hotel and Conference Center from a segmentation standpoint is the group meeting segment. This is a result of a substantial number of Fortune 1000 corporations in the greater Houston area and more specifically along the Houston Ship Channel and within the two major business parks located in La Porte. It is also reflective of the potential to attract state association meetings to a new resort complex that offers very attractive price options, compared to the majority of meetings -oriented resort properties in the State of Texas. The other two significant target markets are expected to be the commercial transient segment and the leisure segment. The commercial segment will be attracted primarily from the major businesses in the two business parks in La Porte, and secondarily from the eastern/southeastern sector of Houston extending from the Houston Hobby Airport to Galveston Bay. The lack of a first class, full -service hotel in this sector of the metropolitan area away from the Hobby Airport provides a situation where the proposed hotel will be able to capture a substantial portion of the ' existing and projected commercial demand, especially that which is location -sensitive to the eastern edge of the market sector. The leisure segment will likely consist of a combination of weekend get -away vacations, golf outings and other social demand related to family reunions, weddings, bar mitzvah, Latin debuts, etc. I The anticipated rims market for the Conference Center is determined by the reach of the P primary ' marketing programs aimed at the various potential user groups and the overall scope and nature of the recommended facilities at the Center. For corporate demand, the primary market area is ' expected to be the greater Houston metropolitan area, with an emphasis on the eastern and ' Proposed Sylvan Beach A and Conference Center 0 Executive Summary southeastern sectors of the city. A moderate secondary market is expected to come from the remaining parts of the state and the surrounding states. The competitive environment for the hotel portion of the Project will consist of a combination of full -service hotels in the identified primary market area of east/southeast Houston from Houston Hobby Airport eastward. Another significant element of the competitive environment will come ' from the conference/resort oriented facilities in the region surrounding Houston, extending from Lake Conroe and The Woodlands to the north, to the Southshore Harbor/Kemah area to the ' southeast. The operational success of these hotels and conference centers and the overall size of the competitive market suggests a significant opportunity for the proposed hotel and ' conference center. ' The competitive hotels are primarily those with significant amounts of reasonable quality meeting space. These hotels currently accommodate the great majority of off -premise corporate and ' association meetings held in the defined market. The Sylvan Beach Hotel and Conference Center should have both a local and a near -in regional competitive advantage compared to these hotels ' based on its planned facilities, pricing and resort environment. This should enable its positioning as one of only two bona fide conference centers to the southeast of Houston. The anticipated result is the presentation of a high quality meeting center within the City of La Porte, which should attract substantial demand from outside of the local area. This in turn will support the operations of the hotel, thereby justifying a more comprehensive and higher quality overall facility, and justifying additional City investment in infrastructure that will support the ' project. ' Interviews and survey research of executives and full-time meeting planners of potential corporate and state association demand sources were conducted for this engagement, with a strong focus ' on organizations located in or near the La Porte area and southeastern Houston for corporate demand, and within Houston for state association demand. ' Amon the identified sources of demand the following are the rims findings, many of which g 9 primary 9 I support similar findings in prior market studies of this project: • Frequent lack of exposure to and understanding of the conference center concept; IProposed Sylvan Beach Ifel and Conference Center 0 Executive Summary I • A heavy reliance on the use of standard full -service hotel meeting facilities for off -premise meetings, because of their availability; ' Variations in the level of meetings activity from year-to-year based on economic conditions and other internal factors, with a general long-term trend to increasing demand for meeting ' space; 1 Meeting groups ranging from small (i.e., less than 15 persons) to over 300 persons. Although many organizations conduct meetings for much larger groups, such groups were not considered in our analysis. Typical group sizes ranged from 25 to 60 persons and generally required an adequate number of breakout rooms to divide general sessions into I smaller groups of 10 to 15 persons. IAdditional key findings of this updated study include the following: • The Greater Houston meeting planning community in general has a perception that La Porte has little to offer in the way of ease of access and high quality options for a resort and/or meeting destination. In the case of accessibility, this is a significant mis-perception. A unanimous conclusion of the participants in two focus groups, who actually visited the site and the available recreation opportunities offered by the City of La Porte, was that this ' location and bayfront site was easy to reach and is a hidden jewel. Further, these groups concluded that the Resort would be very attractive to the meetings industry, if properly developed, marketed and operated. 1 • There is a reportedly wide -spread notion among meeting attendees at resort -oriented sites in eastern Texas that they are tired of going to the same places all the time and are eager ' to have new options. This collective opinion, in concert with the indicated attractive ease of access to La Porte from inside the Houston beltways should provide a relatively strong competitive position for the Sylvan Beach Resort. 1 The selected site on Sylvan Beach, adjacent to the Sylvan Beach Pavilion, should provide an outstanding location for the planned project. The immediate surrounding environment is excellent ' for the establishment of a suburban resort, semi -retreat -like atmosphere that has proven to be Proposed Sylvan Beach Rel and Conference Center 0 Executive Summary 11 1 0 1 attractive to meeting planners and attendees. This assumes the improvements to the beachfront site mentioned above. At the same time, the site is sufficiently convenient to the recently significantly improved and excellent highway system that provides access to the market area, so that it should not be perceived by the market place as being remote. The availability of the nearby Bay Forest Golf Course, with which the Center reportedly will be able to establish a strategic alliance for the provision of golf packages, significantly enhances the marketing potential of the Center as a resort, thus providing support for the weekend periods which are typically the slowest periods of demand in the competitive hotel market. Based on our analysis of the various factors affecting the project, considered in conjunction with site attributes provided by the tie-in with Sylvan Beach Park, we recommend and upscale full - service hotel with approximately 250 guestrooms and suites. A concierge or executive level floor should be considered which provides an additional level of ambiance for the less price -sensitive elements of the different market segments. The meeting facilities in the table on the following page are recommended, encompassing a total of approximately 20,000 square feet of net usable meeting space, over and above the facilities at the Sylvan Beach Pavilion. In support of the non -banquet aspects of the market, a full -service restaurant with approximately 250 seats should be included in the hotel, preferably with a waterfront location. In addition a lobby lounge and a recreation pub are recommended. Additional recreational facilities on site should include two hotel -exclusive tennis courts (in addition to the tennis courts at Sylvan Beach Park) and an indoor/outdoor swimming pool, including a surrounding outdoor reception area with a tropical landscape theme. 11-6 ' Proposed Sylvan Beach Nei and Conference Center • Executive Summary Sylvan Beach Hotel and Conference Center Recommended Conference Facilities Approximate Approximate Capacity Square Feet ' Quantity/Space (Classroom Style) Total 1 Ballroom, divisible into ' three to four sections 250 - 300 5,000 1 Large conference room ' divisible into two sections 100 - 120 seats 2,400 1 Amphitheater 85 seats 2,600 1 Conference room 75 - 80 seats 1,800 2 Medium-sized meeting rooms 50 - 60 seats each 2,700 2 Meeting rooms 30 - 40 seats each 1,600 ' 8 Breakout rooms 12 - 18 seats each 3,000 1 Boardroom �'� 25 - 30 seats 900 ' Total 20}000 Note 1. Space includes an anteroom of approximately 200 square feet. It is assumed that the Conference Center will be operated in conjunction with the Sylvan Beach ' Park Pavilion, with the same operating company having responsibility for the entire complex. The Pavilion, which is scheduled for renovation, will provide the necessary large ballroom space required by the market, therefore eliminating the necessity to duplicate this space within the Conference Center. Based on the above factors and recommended facilities, and assuming the execution of a well - funded, professional marketing and sales effort, combined with a Complete Meeting Package pricing approach for the conference demand segment, the operating results presented below have been estimated for the Center based on an assumed opening date in January of 2003: J 11-7 n • I H Sylvan Beach Hotel and Conference Center Estimated Occupancy Ill and Market Mix Total Occupied Rooms Occupied Occupancy Year Group Leisure Commercial Rooms Percent 2003 28,000 19,600 8,400 56,100 62% 2004 35,300 19,500 6,100 60,800 67% 2005 39,200 19,600 6,500 65,300 72% 2006 40,300 20,200 6,700 67,200 74% 2007 40,300 20,200 6,700 67,200 74% Notes: 1. All occupied room figures rounded to nearest hundred. 2. The comments and assumptions contained in this report are an integral part of these estimated results. Sylvan Beach Hotel and Conference Center Estimated Averaae Room Rates Ill Combined Avg Combined Avg Segment Average Room Rates Room Rate Room Rate Year Conference Leisure Commercial 2000 Dollars Inflated Dollars 2003 $116.75 $100.00 $81.25 $ 98.00 $107.00 2004 $124.25 $108.75 $88.25 $106.25 $119.50 2005 $126.75 $111.00 $90.00 $108.50 $125.75 2006 $126.75 $111.00 $90.00 $108.50 $129.50 2007 $126.75 $111.00 $90.00 $108.50 $133.25 Notes: 1. Rounded to the nearest $.25. 2. The comments and assumptions contained in this report are an integral part of these estimated results. Based on the above operating results, the following are the estimated cash flows from operations before debt service for the Sylvan Beach Hotel and Conference Center for the first five years of operation. 11 11-8 7 el and Confer, 40 r� Sylvan Beach Hotel and Conference Center Estimated Cash Flow before Debt Service and Income Taxes Expressed in Thousands of 2000 and Inflated Dollars Cash Flow Year 2000 Dollars Inflated Dollars 2003 $ 675 $ 738 2004 $2,129 $2,397 2005 $2,824 $3,273 2006 $3,090 $3,690 2007 $3,090 $3,800 Note: The comments and assumptions and conditions contained in the full report are an integral part of these estimated results. 11-9 1 L 1 H 11 PROPOSED SYLVAN BEACH HOTEL AND CONFERENCE CENTER Exhibit A LA PORTE, TEXAS ESTIMATED STATEMENTS OF CASH FLOW FROM OPERATIONS BEFORE DEBT SERVICE AND TAXES ON INCOME (expressed in thousands of 2000 dollars) 2003 2004 2005 2006 2007 Occupancy 61% 67% 72% 74% 74% Average Rate $88.53 $99.33 $101.29 $101.30 $101.30 Amount Percent Amount Percent Amount Percent Amount Percent Amount Percent Revenues: Rooms $5,392 43.7% $6,614 45.0% $7,258 45.3% $7,475 45.3% $7,475 45.3% Food 3,717 30.1% 4,243 28.9% 4,590 28.6% 4,719 28.6% 4,719 28.6% Beverage 949 7.7% 1,052 7.2% 1,128 7.0% 1,159 7.0% 1,159 7.0% Conference 1,366 11.1% 1,718 11.7% 1,907 11.9% 1,964 11.9% 1,964 11.9% Telephone 159 1.3% 170 1.2% 180 1.1% 186 1.1% 186 1.1% Minor Operated 209 1.7% 242 1.6% 261 1.6% 268 1.6% 268 1.6% Other M 4.4% 00 4A% 712 4.4% Lu 4.41a M 4A% Total 12,334 100.0% 14,690 100.0% 16,037 100.0% 16,504 100.0% 16,504 100.0% Department expenses: Rooms 1,648 30.6% 1,714 25.9% 1,776 24.5% 1,804 24.1% 1,804 24.1% Food & beverage 3,613 77.4% 3,913 73.9% 4,089 71.5% 4,175 71.0% 4,175 71.0% Conference 888 65.0% 945 55.0% 992 52.0% 982 50.0% 982 50.0% Telephone 105 66.0% 109 64.0% 114 63.0% 117 63.0% 117 63.0% Minor operated 178 85.0% 206 85.0% 221 85.0% 228 85.0% 228 85.0% Other LN 23.9% 141 21.7% 154 21.1% 15A 21.1% 15A 21.1% Total department expenses 6,561 53.2% 7,029 47.8% 7,342 45.8% 7,460 45.2% 7,460 45.2% Department profit 5,773 46.8% 7,661 52.2% 8,695 54.2% 9,044 54.8% 9,044 54.8% Undistributed operating expenses: Administrative and general 1,289 10.4% 1,317 9.0% 1,334 8.3% 1,339 8.1% 1,339 8.1% Marketing 1,168 9.5% 1,176 8.0% 1,181 7.4% 1,182 7.2% 1,182 7.2% Energy 475 3.8% 489 3.3% 498 3.1 % 521 3.2% 521 3.2% Property operations & maintenance BN 5.6% 712 4.8% 723 4.5% M 4.4% 725 4.4% Total undistributed expenses 3,628 29.4% 3,694 25.1% 3,735 23.3% 3,768 22.8% 3,768 22.8% Gross operating profit 2JO 17.4% 3" 27.0% 4" 30.9% 5an 32.0% 5 277 32.0% Fixed charges: Property taxes 598 4.8% 598 4.1% 598 3.7% 598 3.6% 598 3.6% Insurance 88 0.7% 88 0.6% 88 0.5% 88 0.5% 88 0.5% Management fees 416 3A% 566 3.9% 649 4.0% 676 4AJ*A Sib 4A% Total fixed charges 1,101 8.9% 1,251 8.5% 1,334 8.3% 1,362 8.2% 1,362 8.2% Net operating income before replacement reserve 1,045 8.5% 2,717 18.5% 3,626 22.6% 3,915 23.7% 3,915 23.7% Replacement reserve 374 3.0% 588 4.0% 802 5.0% 825 5.0% 825 5.0% Cash flow from operations before debt service j5 5.5°/ 2 t 14.5%,$ 17.6 Notes: Department expenses and profits are shown as percentages of appropriate department revenues; all other items are stated as percentages of total revenues. The comments and assumptions contained in this report are an integral part of these estimated statements. 1 u 1 Occupancy Average Rate Revenues: Rooms Food Beverage Conference Telephone Minor Operated Other Total Department expenses: Rooms Food & beverage Conference Telephone Minor operated Other Total department expenses Department profit Undistributed operating expenses: Administrative and general Marketing Energy Property operations & maintenance Total undistributed expenses Gross operating profit Fixed charges: Property taxes Insurance Management fees Total fixed charges Net operating income before replacement reserve Replacement reserve Cash flow from operations before debt service PROPOSED SYLVAN BEACH HOTEL AND CONFERENCE CENTER Exhibit B LA PORTE, TEXAS ESTIMATED STATEMENTS OF CASH FLOW FROM OPERATIONS BEFORE DEBT SERVICE AND TAXES ON INCOME (expressed in thousands of inflated dollars) 2003 2004 2005 2006 2007 61% 67% 72% 74% 74% $96.73 $111.79 $117.43 $120.96 $124.59 Amount Percent Amount Percent Amount Percent Amount Percent Amount Percent $5,892 43.7% $7,444 45.0% $8,414 45.3% $8,926 45.3% $9,194 45.3% 4,062 30.1% 4,775 28.9% 5,321 28.6% 5,634 28.6% 5,803 28.6% 1,037 7.7% 1,184 7.2% 1,308 7.0% 1,384 7.0% 1,425 7.0% 1,493 11.1% 1,934 11.7% 2,211 11.9% 2,345 11.9% 2,416 11.9% 174 1.3% 192 1.2% 209 1.1 % 222 1.1 % 229 1.1 % 228 1.7% 272 1.6% 302 1.6% 320 1.6% 330 1.6% 50 4A% Lu 4.4% an 4.4% M 4.4% 9.42 4.4% 13,478 100.0% 16,534 100.0% 18,591 100.0% 19,707 100.0% 20,298 100.0% 1,801 30.6% 3,948 77.4% 970 65.0% 115 66.0% 194 85.0% IQ 23.9% 7,169 53.2% 6,309 46.8% 1,408 10.4% 1,276 9.5% 519 3.8% zu 5.6% 3,964 29.4% 2,345 17.4% 1,929 25.9% 2,059 24.5% 2,154 24.1% 2,218 24.1% 4,404 73.9% 4,740 71.5% 4,985 71.0% 5,134 71.0% 1,064 55.0% 1,150 52.0% 1,173 50.0% 1,208 50.0% 123 64.0% 132 63.0% 140 63.0% 144 63.0% 232 85.0% 257 85.0% 272 85.0% 281 85.0% JU 21.7% 1M 21.1% JH 21.1% tW 21.1% 7,911 47.8% 8,512 45.8% 8,908 45.2% 9,175 45.2% 8,623 52.2% 10,079 54.2% 10,799 54.8% 11,123 54.8% 1,482 9.0% 1,547 8.3% 1,599 8.1% 1,647 8.1% 1,323 8.0% 1,369 7.4% 1,412 7.2% 1,454 7.2% 550 3.3% 577 3.1% 622 3.2% 641 3.2% 842 41% an 4,5% M 4.4% D2 4A% 4,157 25.1% 4,330 23.3% 4,499 22.8% 4,634 22.8% 4,466 27.0% 5,749 30.9% 6,301 32.0% 6,490 32.0% 653 4.8% 673 4.1% 693 3.7% 714 3.6% 735 3.6% 96 0.7% 98 0.6% 101 0.5% 104 0.5% 108 0.5% 454 3.4% fin 3106 yu 41% M 4A% $32 4.1% 1,203 8.9% 1,408 8.5% 1,546 8.3% 1,626 8.2% 1,675 8.2% 1,142 8.5% 3,058 18.5% 4,203 22.6% 4,675 23.7% 4,815 23.7% 404 0% M 4.0% M um 90 I-Q% tm 5.11% &M 5.5% Notes: Department expenses and profits are shown as percentages of appropriate department revenues; all other items are stated as percentages of total revenues. The comments and assumptions contained in this report are an integral part of these estimated statements. 00 WED 14:45 FAX 7047529982 � �004 • a EXECUTIVE SUMMARY II-3 DRAFT • Inclusion of an up -graded Sylvan Beach Pavilion as part of the facilities of the Conference Center. It is reasonable to assume that the inclusion of all the recommended upgrades of existing facilities and the development of a new hotel and conference center will provide a major catalyst for additional private sector development in the immediate area of the Resort. With the bay front resort location, we believe the most likely new businesses to be attracted inciude resort -oriented retail businesses, in particular restaurants and other food and beverage outlets, similar to what has occurred in Kemah. The likely primary target market for the Hotel and Conference Center from a segmentation standpoint is the group meeting segment. This is a result of a substantial array of Fortune 1000 corporations in the greater Houston area and more specifically along the Houston Ship Channel and within the two major business parks located in La Porte. It is also reflective of the potential to attract state association meetings to a new resort complex that offers very attractive price options, compared to the majority of meetings -oriented resort properties in the State of Texas. The other two significant target markets are expected to be the commercial transient segment and the leisure segment. The commercial segment will be attracted primarily from the major businesses in the two business parks in La Porte, and secondarily from the eastemisoutheastern sector of Houston extending from the Houston Hobby Airport to Galveston Bay. The lack of a first class, full -service hotel in this sector of the metropolitan area away from the Hobby Airport provides a situation where the proposed hotel will be able to capture a substantial portion of the existing and projected commercial demand, especially that which is location -sensitive to the eastern edge of the market sector. The leisure segment will likely consist of a combination of weekend get -away vacations, golf outings and other social demand related to family reunions, weddings, bar mitzvah, etc. The anticipated primary market for the Conference Center is determined by the reach of the marketing programs aimed at the various potential user groups and the overall scope and nature • 4-S 11 29;00 IVED 14:46 FAX 7047529982 Oo'5 • EXECUTIVE SUMMARY II-4 0 DRAFT of the recommended facilities at the Center. For corporate demand, the primary market area is expected to be the greater Houston metropolitan area, with an emphasis on the eastern and southeastern sectors of the city. A moderate secondary market is expected to come from the remaining parts of the state and the surrounding states. The competitive environment for the hotel portion of the Project will consist of a combination of full -service hotels in the identified primary market area of east/southeast Houston from Houston Hobby Airport eastward. Another significant element of the competitive environment will come from the conference/resort oriented facilities in the region surrounding Houston, extending from Lake Conroe and The Woodlands to the north, to the Scuthshore Harbor/Kemah area to the southeast. The operational success of these hotels and ccnference centers and the overall size of the competitive market suggests a significant occortunity for the proposed hotel and conference center. The competitive hotels are primarily those with significant amounts of reasonable quality meeting space. These hotels currently accommodate the great majority of off -premise corporate and association meetings held in the defined market. The Sylvan Beach Hotel and Conference Center should have both a local and a near -in recional competitive advantage compared to these hotels based on its planned facilities, pricing and resort environment. This should enable its positioning as one of only two bona fide conference centers to the southeast of Houston. The anticipated result is the presentation of a high quality meefing center within the City of La Porte, which should attract substantial demand from outside of the local area. This in turn will support the operations of the hotel, thereby justifying a more comprehensive and higher quality overall facility. Interviews and survey research of executives and full-time meeting planners of potential corporate and state association demand sources were conducted for this engagement, with a strong focus on organizations located in or near the La Porte area and southeastern Houston for corporate demand and within Houston for state association demand. • 4-6 11 29,'00 wED 14:47 FAX 7047-,99982 • 2006 EXECUTIVE SUMMARY II-5 DRAFT Among the identified sources of demand, the following are the primary findings, many of which support similar findings in prior market studies of this project: • Frequent lack of exposure to and understanding of the conference center concept; • A heavy reliance on the use of standard full -service hotel meeting facilities for off - premise meetings, because of their availability; • Variations in the level of meetings activity from year-to-year based on economic conditions and other internal factors, with a general long-term trend to increasing demand for meeting space; • Meeting groups ranging from small (i.e., less than 15 persons) to over 300 persors. Although many organizations conduct meetings for much larger groups, such groups were not considered in our analysis. Typical group sizes ranged from 25 to c0 persons and generally required an adequate number of breakout rooms to divide general sessions into smaller groups of 10 to 15 persons. Additional key findings of this updated study include the following: • The Greater Houston meeting planning community in general has a perception that !-a Porte has little to offer in the way of ease of access and high quality options for a resort and/or meeting destination. In the case of accessibility, this is a significant mis- perception. A unanimous conclusion of the participants in two focus groups, who actually visited the site and the available recreation opportunities offered by the City of La Porte, was that this location and bay -front site was a hidden jewel. Further that would be very attractive to the meetings industry, if properly developed, marketed and operated. • There is a reportedly wide -spread notion among meeting attendees at rescrt-oriented sites in eastern Texas that they are tired of going to the same places all the time and 0 4-7 11. 29,'00 WED 14:48 FAX 7047582 • �J0 0 EXECUTIVE SUMMARY II-6 DRAFT are eager to have new options. This collective opinion, in concert with the indicated attractive ease of access to La Porte from inside the Houston beltways should provide a relatively strong competitive position for the Sylvan Beach Resort. The selected site on Sylvan Beach, adjacent to the Sylvan Beach Pavilion, should provide an outstanding location for the planned project. The immediate surrounding environment is excellent for the establishment of a suburban resort, semi -retreat -like atmosphere that has proven to be attractive to meeting planners and attendees. This assumes the improvements to the beach -front site mentioned above. At the same time, the site is sufficiently convenient to the recently significantly improved and excellent highway system that provides access to the market area, so that it should not be perceived by the market place as being remote. The availability of the nearby Bay Forest Golf Course, with which the Center reportedly will be able to establish a strategic alliance for the provision of golf packages, significantly enhances the marketing potential of the Center as a resort, thus providing support for the weekend periods which are typically the slowest periods of demand in the competitive hotel market. Based on our analysis of the various factors affecting the project, considered in conjuncticn with site attributes provided by the tie-in with Sylvan Beach Park, we recommend and upscale full - service hotel with approximately 250 guestrooms and suites. A concierge or executive level floor should be considered which provides an additional level of ambiance for the less price -sensitive elements of the different market segments. The meeting facilities in the table on the following page are recommended, encompassing a total of approximately 20,000 square feet of net usable meeting space. In support of the non -banquet aspects of the market, a full -service restaurant with approximately 250 seats should be included in the hotel, preferably with a waterfront location. In addition a lobby lounge and a recreation pub are recommended. 0 11, 29,'00 WED 14:49 FAX 70471299S2 i zoos • • EXECUTIVE SUMMARY 11-7 DRAFT Additional recreational facilities on site should include two tennis courts (in addition to the tennis courts at Sylvan Beach Park) and an indoor/outdoor swimming pool with a surrounding outdoor reception area with a tropical landscape theme. Recommended Conference Facilities Proposed Sylvan Beach Hotel and Conference Center Approximate Approximate Capacity Square Feet Quantitv/Space (Classroom Style) Total 1 Ballroom, divisible into three to four sections 250 - 300 5,000 1 Large conference room divisible into two sections 1 Amphitheater 1 Conference room 2 Medium-sized meeting 100 - 120 seats 2,4CC 85 seats 2,600 75 - 80 seats 1,800 rooms 50 - 60 seats each 2,700 2 Meeting rooms 30 - 40 seats each 1,600 8 Breakout rooms 12 - 18 seats each 3,000 1 Boardroom 03 25 - 30 seats 900 Total 20.000 Note 1. Space includes an anteroom of approximately 200 square feet. It is assumed that the Conference Center will be operated in conjunction with the Sylvan Beach Park Pavilion, with the same operating company having responsibility for the entire complex. The Pavilion, which is scheduled for renovation, will provide the necessary large ballroom space required by the market, therefore eliminating the necessity to duplicate this space within the Conference Center. Based on the above factors and recommended facilities, and assuming the execution of a well - funded, professional marketing and sales effort, combined with a Complete Meeting Package 11 29,00 WED 14:49 FAX 7047529952 • Zoo9 EXECUTIVE SUMMARY I1-8 DRAFT pricing approach for the conference demand segment, the operating results presented below have been estimated for the Center based on an assumed opening date in January of 2003: Sylvan Beach Hotel and Conference Center Estimated Occupancy 1'1 and Market Mix Total Occupied Rooms Occupied Occupancy Year Group Leisure Commercial Rooms Percent 2003 28,000 19,100 38,100 56,100 62% 2004 35,300 18.700 41,100 60,800 67% 2005 39,200 18,4C0 42,900 65,300 7 2 % 2006 40,300 18,200 43,500 67,200 74% 2007 40,300 18,200 43,500 67,200 740,,o Notes: 1. All occupied room figures rounded to nearest hundred. 2. Includes leisure and commercial segments. 3. The comments and assumptions contained in this report are an integral part of these estimated results. Sylvan Beach Hotel and Conference Center Estimated Average Room Rates 01 Combined Avg Combined Avg Segment Average Room Rates Room Rate Room Rate Year Conference Leisure Commercial 2000 Dollars Inflated Dollars 2003 $116.75 $100.00 $81.25 $ 98.00 $107.00 2004 $124.25 $108.75 $88.25 $106.25 $119.50 2005 $126.75 $111.00 $90.00 $108.50 $125.75 2006 $126.75 $111.00 $90.00 $108.50 $129.50 2007 $126.75 $111.00 $90.00 $108.50 $133.25 Notes: 1. Rounded to the nearest $.25. 2. The comments and assumptions contained in this report are an integral part of these estimated results. • 4-10 11 29, 00 wFD 14:50 FAX 7047529982 • �010 • 0 EXECUTIVE SUMMARY II-9 DRAFT Based on the above operating results, the following are the estimated cash flows from operations before debt service for the Corporate Education and Conference Center for the first five years of operation. Sylvan Beach Hotel and Conference Center Estimated Cash Flow before Debt Service and Income Taxes Expressed in Thousands of 2000 and Inflated Dollars Cash Flow Year 2000 Dollars Inflated Dollars 2003 $ 675 $ 738 2CC4 $2,129 $2,397 2005 $2,824 $3,273 2006 $3,090 $3,690 2CC7 $3,090 $3,800 Note: The comments and assumptions contained in this report are an integral part of these estimated results. • • 4-11 11 2s; 00 IVFD 14: 51 FAX 70475299 2 • zoll • • DRAFT PROPOSED SYLVAN BEACH HOTEL AND CONFERENCE CENTER LA PORTE, TEXAS ESTIMATED STATEMENTS OF CASH FLOW FROM OPERATIONS BEFORE DEBT SERVICE AND TAXES ON INCOME (expressed In thousands of 2000 dollars) Exhibit A 2003 2004 2005 2006 2007 Occupancy 61% 67/e 72% 74%. 74%< Average Rate $88.53 $99.33 $101.29 $101.30 $101.30 Amount Percent Amount Percent Amount Percent Amount Percent Amount Percent Revenues: Rooms 55,392 43.7% $6,614 45.0%. $7,258 45.3%. $7,475 45.3% $7,475 45.3% Food 3,717 30.1%, 4,243 28.3% 4,590 28.6% 4,719 28.6% 4,719 28.6% Beverage 949 7.7/, 1,052 7.2% 1,128 7.0% 1,159 7.0% 1,159 7.0% Conference 1,366 11.1 % 1,718 11.7%, 1,907 11.9% 1,964 11.9% 1,964 11.9% Telephone 159 1.3°/ 170 1.2% 180 1.1 % 186 1.1 % 186 1.1 Minor Operated 209 1.7 % 242 1.6 % 261 1.6% 268 1.6 % 268 1.6°: Other 543 4.4% 65.4 4 4% 711 4.3 a 733 AA!la LU 4,4-% Total 12,334 1C0.0°/ 14,690 100.0% 16,037 100.0% 16,504 100.0% 16,504 100.0% Department expenses: Rooms 1,643 30.5% 1,714 25.9% 1,776 24.5% 1,804 24.1% 1,804 24.1;0 Food & beverage 3,613 77.4%. 3,913 73.9% 4,C89 71.5% 4,175 71.0% 4,175 71.0': Conference ass 65.0% 945 55.0% 992 52.0 % 982 50.0 % 982 50.0°1: Telephone 105 66.0% 109 64.0% 114 63.0% 117 63.0% 117 63.01,e Minor operated 173 85.0% 206 85.0% 221 85.0% 228 $5.0% 228 35.0? o Other LU 23.9% 1AJ 21.7% 154 21.1% 1,54 21.1% i54 21.1% Total department expenses 6,561 53.2% 7,029 47.8%, 7,342 45.3%, 7,460 45.2% 7,460 45.2!4 Department profit 5,773 46.8%, 7,661 52.2% 8,695 54.2% 9,044 54.8% 9,044 54.3`0 Undistributed operating expenses: Administrative and general 1.289 10.4% 1,317 9.0% 1,334 8.3%, 1,339 8.1%, 1,339 8.1% Marketing 1,168 9.5% 1,176 8.0% 1,181 7.4% 1,182 7.2% 1,182 7.2% Energy 475 3.8% 489 3.3% 498 3.1 % 521 3.2% 521 Property operations & maintenance 616 5.5%, zi2 4.3% M 4.5 % 725 4.4% Z 4.4% Total undistributed expanses 3,828 29.4% 3,694 25.1% 3,735 23.31/ 3,768 22.8% 3,768 22.3`-e Gross operating profit 2.145 17.4% 3368 27.0%, 4.364 30.9% 5.2ZZ 32.0% 5.277 32.0% Fixed charges: Property taxes 598 4.8 % 598 4.1% 598 3.7% 598 3.6% 598 3.6% Insurance 88 0.7%. 88 0.6% 8s 0.5 % 88 0.5 % 88 0.5 % Management fees 416 3.4%, 566 i91, M 4S.L/r UE 4-IN 5111 3yn Total fixed charges 1,101 8.9% 1,251 8.5% 1,334 8.3% 1,362 8.2%, 1,362 8.2% Net operating income before replacement reserve 1,045 8.5% 2,717 18.5% 3,626 22.6% 3,915 23.7% 3,915 23.7% Replacement reserve M 3.0% Sas 4.0% 892 5.0% s25 S.C% 825 5.01/1 Cash flow from operations before debt service 5675 c;.,� �1.51A s 14.5% C2 R74 176°, sn Q9Q 18.71. 0,090 19_'D; Notes: Department expenses and profits are shown as percentages of appropriate department revenues; all other Items are stated as percentages of total revenues. The comments and assumptions contained in this report are an integral part of these estimated statements. 4-12 99%00 WFD 14:52 FAX 70475�83 • Z 0 1 2 • • • PROPOSED SYLVAN BEACH HOTEL AND CONFERENCE CENTER Exhibit B LA PORTE, TEXAS ESTIMATED STATEMENTS OF CASH FLOW FROM OPERATIONS BEFORE DEBT SERVICE AND TAXES ON INCOME (expressed in thousands of inflated dollars) 2003 2004 2005 2006 2007 Occupancy 61% 671e 72% 74% 74% $96.73 $111.79 $117.43 $120.96 $124.59 Average Rate Amount Percent Amount Percent Amount I Percent Amount Percent Amount Percent Revenues: Rooms $5,892 43.7%. $T,444 45.0°6 $8,414 45.3 % b8,926 45.3% S9,194 45.3% k Food 4,062 30.1% 4,775 28.9 % 5,321 28.6% 5,634 28.6% 5,803 28.6% Beverage 1,037 7.7% 1,184 7.2% 11308 7.0% 1,384 7.0% 1,425 7.0% Conference 1,493 11.1 % 1,934 11.7 % 2,211 11.9 % 2,345 11.9% 2,416 11.9% Telephone 174 1.3% 192 1.211. 209 1.1% 222 1.1% 229 1.1% Minor Operated 229 1.7 /e 272 1.6% 302 1.6% 320 1.6% 330 1.6% Other 593 4-4Yq M 4.4y', U6 9 4% M 4AN 342 4 4°!' Total 13.478 100.0% 16,534 100.0% 18,591 100.0% 19,707 100.0% 20,298 100.0% Department expenses: Rooms 1,301 30.6 % 1,929 25.9% 2,059 24.5 % 2.154 24.1 % 2,218 24.1 N Food & beverage 3,943 77.4% 4,404 73 9% 4,740 71.5% 4,985 71.0% 5,134 71.0'14 Conference 910 65.0% 1,064 55.0% 1,150 52.0% 1,173 50.0% 1,208 50.01/. Telephone 115 66.0% 123 64.01,1u 132 63.0 % 140 63.0 % 144 63.0", Minor operated 194 85.0% 232 85.0% Z57 85.0% 272 8S.0 % 281 85.01.11 Other 142 23.9 % M 21.7% 1Z4 21.1 % 1E4 21.1 % 194 2 1. 1 °6 Total department expenses 7,169 53.2'/ 7,911 47.3% 8,512 45.8% 8,908 45.2 % 9,175 45.2% Department profit 6,3D9 46.3% 8.623 52.2% 10,079 54.2% 10,799 64.3% 11,123 54.3% Undistributed operating expenses: Administrative and general 1,408 10.4% 1,482 9.0% 1,547 8.3% 1,599 8.1% 1,647 8.1% Marketing 1,276 9.5% 1,323 8.0% 1,369 7.4% 1,412 7.2% 1.454 7.2% Energy 519 3.8 % 550 3.3 % 577 3.1 % 622 3.21,: 641 3.2% Property operations & maintenance M LEN 892 41% 818 4.51a U& 4.4% 32Z 4.3°G Total undistributed expenses 3,964 29.4% 4,157 25.1 % 4,330 23.3% 4,499 22.8% 4.634 22.31/6 Gross operating profit 2,345 17.4% 4,466 27.0 % 5,749 30.9% 6,301 32.0% 6,490 32.0% Fixed charges: Property taxes 653 4.8 % 673 4.1% 693 3.7% 114 3.61,16 735 3.6% Insurance 96 0.7 % 98 0.6% 101 0.5% 104 0.5% 108 0.5% Management fees 454 3.4% fl3Z 3.2% LU 40% 848 4.1.lc 932 4-1-!/1 Total fixed charges 1,203 8.9% 1,408 8.5% 1,546 8.3% 1,626 8.2% 1,675 3.2% Not operating income before replacement reserve 1,142 8.5% 3.058 18.5% 4,203 22.6 % 4,675 23.7% 4,815 23.7 /o Replacement reserve 40A aim 651 4.0% 930 sa% MA SS. ye 1.015 5.712 Cash flow from operations before debt service S2.337 14.5 S3.273 17.5% 53.529 d11<7°a S3 900 18 =a Notes: Department expenses and profits are shown as percentages of appropriate department revenues, all other items are stated as percentages of total revenues. The comments and assumptions contained In this report are an integral part of these estimated statements. 4-13 BENCHMARK H O S P I T A L I T Y BURT CABANAS Chairman and Chief Executive Officer March 22, 2001 Mr. Robert T. Herrera City Manager City of La Porte 604 West Fairmont Parkway La Porte, Texas 77571 VIA FEDERAL EXPRESS Dear Bob: I am sorry that my schedule will not allow me to attend the City Council meeting this Saturday. The annual conference of the International Association of Conference Centers begins Saturday here in The Woodlands, and my time is committed to that through next Tuesday. With the revised market demand study from Geoff Kirkland of Horwath Horizon Hospitality Advisors, the outlook is still good for the conference center/hotel project we have been working on for Sylvan Beach. Everyone at Benchmark is proud that you have chosen us as your partner in this endeavor, and we are committed to assisting the City in every way possible to make this dream become a reality. Bob, I would appreciate your having Geoff Kirkland speak about the market situations today as it relates to the financing of conference hotels. Conditions are changing daily, and I am sure the City Council members would appreciate the update. During the latter part of next week I will call you to set up a time for you, Jeff, Dennis and I to address our next step in the development plan. Sincerely, 61-7-� rt Cabanas 10 Rjm/ RESORTS • CONFERENCE CENTERS • HOTELS 2170 BUCKTHORNE PLACE THE WOODLANDS, TEXAS 77380-1719 . TEL: (281) 367-5757 • FAX: (281) 367-1407 . CITY OF LA PORTE • INTEROFFICE MEMORANDUM March 23, 2001 TO: Mayor and City Council FROM: Robert T Herrera, City Manager SUBJECT: Neighborhood Centers Inc. (NCI) — La Porte During the Saturday session, one of the items Council will discuss is establishing a rental rate for the above organization. NCI is a non-profit organization that has a long and positive history with the City. This organization provides much needed social service programs to our residents who ace less fortunate than others, due to circumstances over which they have little or no control. Currently NCI pays $.12 per square foot or $350.00 monthly. We had an appraisal performed on the proposed site. The appraisal suggested a $.65 per square foot cost. If asked, staff would recommend the following: ♦ that the rate per square foot remain the same at $.12 per square foot but that the agreement have a CPI index built into the lease. ♦ that City Council considers crediting, against the yearly lease fees, the value amount of any approved capital improvements NCI would make to the building that preserve or enhance the structure. ♦ that if improvements exceed the lease fees, a credit will be carried forward for as long as NCI leases the building. IfNCT leaves the location, any remaining credit would disappear. For example: Year 1 City leases 5,057 square feet at $.12 per square foot, which equals: $ 606.84 monthly lease fee $7,282.08 yearly lease fee Let us say that during the year NCI installs, with our approval, a new air conditioning / heating unit that costs them $10,000.00. Year 2 NCI then will receive a credit of: $2,717.92 to be applied to the following year's contract, which equals: $10,000.00 (value of improvements) minus: $7,282.08 (yearly lease fee) Thus, NCI's rent for the following year would be reduced to: $4,564.16 for their yearly lease payment ($7,282.08 yearly lease fee minus $2,717.92 credit for improvements) Staff also would recommend a 10-year lease term with 5-year options thereafter. By following this proposal. NCI would have an incentive to stay at this location if they invest funds into preserving and enhancing the building with capital improvements. RTH:cjb c John Joerns Knox Askins • Neighborhood Centers, Inc. • NEIGHBORHOOD CENTERS INC. City Council Workshop March ?-I. 2001 At the July 12, '000, City Council meeting,, Council approved a lease agreement for Neighborhood Centers Inc. (NCI) to lease additional space at their existing location, until the current library is vacated by Harris Countv for the move to the new community library Background Over the past few years. ACI Board members and representatives have approached the City of La Porte as this organization Is programs have increased, which has created a need for additional facility space. In July of 2000, the lease agreement Council approved allowed NCI to incorporate approximately I ?000 square feet of additional space (for a total of =3,000 square feet) when Harris Count, Health Clinic relocated its facility At that time. the Citv arreed not to increase the monthly lease of 53�0.00 collected from \CI As a component of this agreement. NCI would be permitted to paint and perform simple remodeling of the office space solel, at their expense. including new tile and carpet in various areas, changing doorways. Staff Follow up As a follow- up to the approved lease agreement. City staff met with \CI staff to discuss NCI's current and future needs for program space. and \CFs possible relocation to the building occupied by Harris County Public Library. A letter was sent to NCI outlining proposed responsibilities of NCI and the City (Exhibit "D"). The Cite then hired a professional appraiser to provide an appropriate lease value for the existing library building, ygiven current market conditions. Based on current market rates in La Porte. the appraiser recommended a lease amount of 5.65 per square foot (Exhibit "B"). The recommended lease amount of S 65 per square foot (S31_287 per month for =�.000 square feet of space) appears high, but is not out of order. However, it would be difficult to recommend that Council establish this market rate for \CI's lease because of its history with the community. Council may wish to consider a value less than 5.65 per square foot but `Treater than the current rate of S.12 per square foot. Currently, NCI is leasing their present location for S 1, per square foot (5350.00 per month for =3.000 square feet of space). Exhibits. Exhibit -Aaerial map of the library area Exhibit "B" Rent Study from Consolidated .-appraisal Services. Inc. Exhibit "C Demographics of local \CI service area Exhibit '-D" Letter of proposed responsibilities for NCI and City of La Porte Exhibit "E" General correspondence between the \CI and City of La Porte 5-1 • 0 Exhibit "B" Consolidated Appraisal Services, Inc. Real Estate appraisers and Consultants v1ti V.HntIstnfls.tnPruis,?r.COM 14200 Gulf Freewav, Suite 102 Houston, Texas 77034 t2811 0„-0000 December 5. 2000 %lr. Robert T. Herrera City Llana2er Cite of La Porte P.O. Box 1 1 15 La Porte. Texas 775 72- 1115 Re: Rental Study of the library facility located at 526 San Jacinto Street. La Pore. Countv, Texas. (Juh :;-88) Dear Herrera: [n accordance with your request I visited the abo%e referenced propert-, and stud-, of rental rates in the La Porte market. The subject is the existing library facility, which is comprised of a 2-5.000 square foot tract of land (Lots 11-14 and 15-13, Block 242, Town of La Porte) which is improved with a single story, brick building containing approximately 5.057 square feet of rentable area. An asphalt paved parking area that is sufficient in which to accommodate 9 vehicle -parking spaces serves the building. This provides for a parking ratio of 1.78 cars per 1.000 square foot of area. which is minimally adequate. According to the Planning Department. the buddtna should have approximately 19 spaces. While shared parking presentl-, accommodates parking across the street: I have considered the subject as a separate units to itself. 5-3 Rent Study Report • The Highest and Best Use of the subject is for professional offices. Rental Rates of offices in the La Porte market commonly range from $0.50 to $1.15 per square foot. Considering the age, location and limitation on parkin`, I have estimated market rent at $0.65 on an industrial gross lease scenario. Based on the building size. this would equate to a monthly rental rate of $3.287 per month with the tenant paying utilities and interior maintenance and the landlord paying structural maintenance. real estate taxes and property insurance. Lender a industrial gross lease scenario, the tenant would pay any increases in real estate taxes and property insurance after year one. CERTIFICATION I herebv certih- that. 1. The statements of fact contained in this report are believed to be true and correct. The reported analyses. opinions, and conclusions are limited only by the reports] assumptions and limiting conditions. and is our personal. unbiased professional analyses. opinions and conclusions. I have no present or prospective interest in the propert% that is the subject of tills report, and I have no personal interest or bias with respect to the parties involved. 4. My fee is not contingent on an action or event resulting from the analyses. opinions. or conclusions in. or the use of this report. Additionally, neither this appraisal assignrrient nor my employment was based on a requested minimum valuation, a specific valuation or the approval of a loan. 5. My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional .-appraisal Practice. 6. I have personally visited and viewed the subject property. 7. No one provided significant professional assistance to the person(s) signing this report. S. '.1vIv analyses. opinions, and conclusions were developed. and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standard of Professional Practice of the Appraisal Institute and the National Association of Real Estate Appraisers. 9. The use of this report is subject to the requirements of the Appraisal Institute and the National Association of Real Estate Appraisers relating to review of its duly authorized representatives. 10. The values expressed in this report are not based in whole or part upon race, color, or national origin of the current; prospective owners or occupants, or upon the race. S-4 Rent Study Report • • color, or national origin of the present owners of the property or properties bein`a appraised. Special assumptions/Limiting Conditions The value estimates within this appraisal are contingent upon the subject property. as well as the adjoining properties, being free and clear of anv toxic or hazardous waste materials. It should be noted, a potential purchaser of a property with hazardous waste or dangerous materials may assume financial liability for removal of such materials. The appraisers inspected the subject property: however, hazardous waste products or dangerous materials may not be found by a visual inspection. The appraisers hiuhi% recommend an inspection by qualified professionals to ensure there are no hazardous waste materials on the subject. The values assume the site to be free of any soil contamination. also the values contained herein do not include anv value conclusion for inventory, personal proper^,. or equipment unless specifically stated. This letter is to transmit the attached report, which reflects m,, reasor in,-, for the value conclusions reached. Please call if I may be of further assistance, in this matter. ry Truly Yours Lames %lcFer,)n. Presi�ent C ONSCLIDATED .-\PPR.A[S.AL SERV ICES. IM-. State Certified General Real Estate .-appraiser Environmental assessment Consultant 5-5 Rent Study Report General Assumptions and Limiting Conditions Proprietorship: This appraisal report was prepared at the request of and for the exclusive use of the client to whom the appraisal is addressed. No third part- shall have any right to use or rely upon this appraisal for any purpose. Neither all nor part of the contents of this report, or cope thereof. shall be convened to the public through advertising, public relations. news. sales or any other media without .kritten consent and approval of the appraiser. Nor shall the appraiser. Firm or professional organization of which the appraiser is a member be identified without the consent of the appraiser. Possession of this report, or a coPy thereof, does not carry with it the right of publication. Use of the :appraisal Report: Use of this appraisal is for no other purpose than property yaivation ar,d the appraisers are not attempting to go beyond that narrow scope. Before making any decision based .gin the information and analysis contained in this report. it is critically important to read this entire section to understand these limitations. Also, the distribution of the total valuation in this report between land and improvements applies only under the reported highest and best use of the proper,,. The a!locatiens o value for land and improvements must not be used in conjunction with am other appraisal and ire in%illd �t so used. Legal Description and Survey: The legal description used in this report is assumed t,, be :,,rre.:_ T !�e appraiser has made no survey of the property and no responsiblhty is assumed in connection with such matters. In situations when current staked surveys have not been Dro%ided to the appraiser, a reas�,nabie inquiry is made of maps and other records to obtain estimates of the dimensions of the property bcun�ar% and area, however, these are estimates only and should not be construed as a survey. It is assumed that the utilization of the land and improvements is within the boundaries or property lines described and that there is no encroachment or trespass unless noted in the report. Title: No responsibility is assumed for the legal description provided or for matters pertaining_ to tit!e or title considerations. No responsibility is assumed for matters of a legal nature effecting title to the subiec; property nor is an opinion of title rendered. Title to the subject is assumed to be good and marketabie. Drawinas and Sketches: Any sketches in this report are included onl% to assist the reader in visua!1zim_ the property and should not be construed for their exactness unless otherwise stated. Property Inspection: In conducting our appraisal, any inspection of building improvements is made under a cursory method only. Some items such as conditions behind walls, above ceilings, behind locked doors, or under the _round are not exposed to casual vie%and were therefore, not inspected. This appraisal should not be considered as a report on the physical items that are a part of the property. .Although the appraisal may contain information about the ph%sical items being appraised (including their adequacy and/or condition), it should be clearly understood that the information should be used onl.. as a general guide for property valuation. Property Condition: The values are based on all mechanical equipment being in good working order. Latent Defects: It is assumed that there are no hidden or imperceptible conditions of the propert,, sub- soil. or structures. which could render it more or less valuable. No responsibility is assumed for such conditions or for engineering, which may be required to discover them. Data Reliability: The information obtained from others is assumed to be true, correct, complete and reliable. A reasonable effort has been made to veritti such information: however, the appraiser assumes no responsibility for its accuracv. 5-6 • 0' Rent Study Report • • Environmental: An incidental inspection of the subject was made by the a raisers unless �w P J PP �) ss othe. I_.. noted. This incidental screening is based on a cursory inspection and is not in an investigative format. In the event that environmental issues are of siumficant concern. it is necessary to understand that our inspection is in no way performed as an environmental investigation and should not. in anL fashion. be construed as such. Unless otherwise stated. the value estimates within this appraisal are contingent upon the subject property. as well as the adjoining properties, being free and clear of anv toxic or hazardous waste materials. It should be noted that a potential purchaser of a property with hazardous waste . r dangerous materials may assume financial liability for removal of such materials. The values assume t;~e site to be free of any soil contamination. Title and Survev: Unless otherwise noted. we have not been provided .Lith a title report or surve'. .) "--: subject property and the value conclusions are based on the absence of anv adverse restrict ,-,' -r easements effecting the subject properties. Wetlands: The values herein contained are based on the premise that none of the subject prope--.. been determined as wetlands. The Arm% Corps of En`71neers and the Fish and `.L i!dlue Vie- ice primarily establishes the determination of wetlands. In the event am concerns exist. we hip*hi% recor--re-,d the en_a�--ement of a wetlands consultant. Americans with Disabilities act: The %clues herein contained are ako subject "'C anL improvement being_ in compliance with the terms and condui"ns Ai-rerican, D IADAI which was enacted on July 26. 1990, and am, amendments thereto. 5-7 0 Rent Study Report E • E • Professional Licenses: Texas Real Estate Broker - ? 192960 Association titembershi National Assn. of Real Estate Appraisers Qualifications of James 1NI. McFeron Texas Certified General Real Estate appraiser - TX-1 1741 National Soeiet% of Environmental Consultants Desianations CREA (Certified Real Estate Appraiser) Member ?44688. National association of Real Estate ,appraisers. EAC (Environmental Assessment Consultant) =2507. National Soeiet- of Environmental Consultants. Frinc-atinn L niyersity of Houston (Continuing Education Center Real Estate Principle and Practices. Real Estate BrokeraLze. Real Estate Law, Real Estate appraisal. Real Estate Finance. Real Estate ManaLement National Association of Realtors Certified Commercial Investment Member - C-Io I Graduate of the Realtors Institute -10 =: American Institute of Real Estate Appraisers Capitalization Theory& Techniques Part A (8y) Appraisal Institute Basic Valuation Procedures (92) Advanced Income Capitalization Part B Condemnation: Legal Rules and Appraisal Practices (u2 ) Wetlands Analysis (94) Highest and Best Use and Market Analysis (98) Standards of Professional Practice Pt A (9(-)) Experience Present - 1991 President Consolidated .appraisal Services Inc. 1990 - 1991 Michael J. Urban Real Estate Appraisers & Consultants........... Real Estate appraiser 1989 - 1990 Rutherford & Smitherman. Inc .................................................. Real Estate appraiser 1986 - 1989 Decker McKim Inc. Realtors ..........Commercial & industrial sales. & residential dvlmt. 1983 - I985 James McFeron Inc.. Realtors .............. Development of retail & commercial properties. 1981 - 1983 Sun Realty Corporation..................................................... Land sales to developers. 1980 - 1981 U.S. Home Corporation . .............................................. Construction superintendent . 1980 - 19 -1 Decker eKim. Inc. Commercial sales manager. 1977 - 1973 Criss% McFeron and Associates . ..................... Residential sales in southeast Houston. Clients have included the following: Bank One Citizens National Bank First Bank Fulbright & Jaworski L.L.P. Lone Star Bank NCNB Texas PPG Industries Texas Commerce Bank Wells Fargo Bank Banc Plus City of LaPorte First Community Bank Harris Count% Right -of -Way Merchants Bank Park National Bank Resolution Trust Corp. Texas Dept of Trans. Velasco Land Company Chase Mortgage FDIC V First Interstate Bank Lockwood Bank NationsBank Trust Dept Prime Bank Sterling Bank University Savings Woodforest National Bank Ml 0 0 • C, J 0 TEXAS APPRAISER LICENSING AND CERTIFICATION BOARD BE IT KVO WV TK4 T JANIES NIONROE MCFERON H,VVI.VG PROVIDED SATISFACTORYEVIDEVCE OFTI?E CUALIFICATIO.',S REQUIR-D 3". THE T E.YAS APPR 41SER LICENSING .4.ND CERTIFi C; `i 0.`. .:C7, ARTICLE 6573a.2, VER.VO,V'S T C4S C11,77— S!'A S. IS AUTHORIZED TO USE 7WE T17ZE STATE CERTIFIED GENERAL REAL ESTATE APPRAISER Debra S. Runyan, Chair Benjamin E. Barnett L. W. (Wayne) Mayo Number: TX- 13217.11-G Date of Issue: December 15. 1999 Date of Expiration: Dec=m -,cr 3 1, 'On I In Witness Thereof James M. S,,naerske, V;ce-Chair Jactiuelme G. Hu:nphre . David Gloier Eduardo A. Lopez Roben A. Seale, Jr. Aneie V. Whtte S—g • 1-1 Exhibit "C" DEMOGRAPHICS OF LOCAL NCI SERVICE AREA YE,aR 2000 Accordin-, to Linda Barley of NCI, some client numbers are duplicated as NCl serves the same clients on a daily, weekly. and monthly basis. Total Clients 30.747 Total Families 7.800 Total Families living within La Porte 7,644 981 o of total Total Families living in other cities 156 —o of total (approximate) 5-10 • • Exhibit "D" are i 1 j I LJ December 11. ?GUO GIs. Linda Barlev La Pone Neiuhborhood Centers Inc. 91 1 South 8` Street La Porte. Texas -� 7' City of La Porte RE Request for Use off"acated Space - E-:istin J ibrar FaciiitV Dear Ms Bar!el✓ This letter responds to issues discussed at the September 'OCO. meeting attended vcu. Kay Barbour of tiCL Counciimember Peter Grirfiths. and Carol Buttler. The meetings purpose was to discuss Neighborhood Center's (NCI, current and iu ure needs `er program space. and NCI's possible relccatic'n to the buiidina Currently occupied b� the Har.;s CcLrr-, Public Librar- :after meeting with staff, I propose the following: 1) The City of La Pone will offer NCI the option to lease the library faclity once it is connpietei vacated by Harris Countv Library (possible mid to late Mav) The contractor has re,.ised t o anticipated completion date for the new librar: s construction. ,I tiCI would be responsible for any remodeling of the interior required to accommodate ICI programs, and any painting or preparation to make the space usabie to NCI staff. Eti-,ensiye renovation and expansion of the restrooms will be necessary to compiv with _-DA requirements. 3) NCI would be responsible for obtaining any permits and meeting all codes required by the City. The City would waive permit fees. 9 N,ts. Barley December 11, 2000 Pa_e 'I of, -4) NCI would be responsible for any and all maintenance and repairs to the interior of the buiidinu. The City would remain respensibie for anv grounds maintenance and maintenance of structural as well as cosmetic repairs for the exterior of the building ( Including roof. windows). The City also will be respensibie `or repairs to the HVAC system. �) NCI would be responsible for payment of all utility bills. (eie ric, uas. vvater. and phures;. "vIonthly use averages approximately So'OO.Oi) for electricir✓. S60.00 forgas. 560.00 for water. and S3 5.00 to S45.00 for phones. 6) NCI .vould be responsible for payment of the cur-ent security system. �,,hich is connected :c the La Porte Police Department. titenthiv use costs of this s�.stem are approximately per year The City would be responsible for rrepairs :elated tc the 5zcur,t�: S, stem ') Currently, the City owns the phone system. which includes three(3) drones with^•�o (one is a rollover) but no maintenance a(greement. 9) NCI would continue to be responsible for aritorial services 9) The Citv anticipates negotiating a monthly rental rate based on current per -square -foot market rates for commercial buildings. _ki`ter you have revie�,ved the above proposai, please respond to me in wr,ting within :he nest thirty (30) days, notifying the City whether or not NCI intends to proceed with arrangements to lease the existin« library facility. Please note that a lease aureement bet,.veen the Cite and NCI wiil require a presentation to City Council for consideration and approval. Sincerely. Robert T. Herrera City Manager RTH: cib c '*vIavor and City Council John Joerns, :assistant City Manager Aritzela Blanchard, CEO - NCI 5-12 • • • • Exhibit "E" rM NEIGHBORHOOD CENTERS INC. LaPorte/ Bays hore July 26. 1999 Mr. Pobert Herrera. City ManaQer V♦ "ty La Porte �.11� P.O. Box 1115 Dear Mr. Herrera and City Council members. On behalf of Nelaahborhood Centers Inc. %�C'.could life 'ur appre .at �r. a�. thanl;� for your consideration and decision to grant us use of additional sr,ace of the forn:er Harris Countv Clinic facility. 'Vlth the addition of expanded space. tieighborhood Centers Inc. «ill be better equ=ed to ser< our community with training classes and other needed services. tiel2hborhood Centers Inc. recognizes your commitment and because of this generosity. is abie to invest their own resources at the La Porte,,Bayshore Center location. We also look forward to additional expansion in the future vyhen the present Libra-. building_ becomes available at the completion of the new librar}- building_. Thanks for all you do to make La Porte a better place to lire. , ork and play. Sincerely, Linda Barley. Program Coordinator Susan Parastar. Advison- Board Chair c: An,ela Blanchard. President and CEO 911 South 8th Street LaPorte, Texas 77571 (281) 471-18Z4 (281) 471.1850 A United Wav Agencv 5-13 • 17-� E • 0 CITY OF LA PORT E July 1, 1999 Ms. Angela Blanchard President/CEO Neighborhood Centers, Inc. P.O. Box 271389 Houston, TX 77277-1339 Dear Ms. Blanchard: CCnf?rming our recent d'_-cuss _CnS, t.e r'_tl%c f La pr pcseS amend the existing lease between the C_ ,:•r of La Porte and Neighborhood Centers, Inc., on the lease space at 91- Street, as follows: 1. The lease space would be expanded to include approximate'_% 2,500 square feet of floor space, on t."_e first story of the building at 911 South 8t:: Street, La Porte, Texas, which space is currently occupied by the Harris County Health Department facilities. 2. The monthly rental of $350.00 per month, would remain unchanged. 3. Neighborhood Centers, Inc., may make whatever improvements it desires, to the lease space, at its sole cost and expenSe. These improvements would include such matters as painting, cleaning, and changing of doorways. 4. The ter::: of the lease shall continue until the City of La Porte has completed its move to its planned new library building building on South Broadway Street in La Porte, and vacated the present Edith Wilson Library bui ldin�-- on San Jacinto Street in La Porte. The Citv of La Porte and Neighborhood Centers, Inc., wi'_1 enter into negotiations at that time, as to the terms and provisions of a lease agreement between the City cf La Porte and Neighborhood Centers, Inc., on the San Jacin'zo Street library building. This move should take place by January 2001. If the move has not occurred, this lease will be extended at that time. 5-14 • • • Neighborhood Centers, Inc. July 1, 1999 Page 2 If this letter accurately states your understanding of the agreement between the City of La Porte and Neighborhood Centers, Inc., please sign and return a copy of this letter, retaining a copy for your files. I will then present this letter agreement to the La Porte Cit-v Council and ask for their approval. Yours very truly, CITY Or LA PORTE 7-. Robert T. Herrera Manager ACCEPTED AND AGREED: NEIGHBORHOOD CENTERS, INC. By: Ange a Blanchard President/CEO RTH: sw "' MICHAEL YANCEY, AIA ,,T T� 1310 Prairie. Suite 1330 Houston. Texas 77002 Director (713) 7� - 091 Facilities & Properw Management June ?8, 1999 Mr. Robert T. Herrera City Manager, City of La Porte - P.O. Box I I 1 La Porte, Texas 77572-1 11 Re911 South 8 ;1 Street, rtLa Poe Texas; 'notice of Te—rination of Lease a n2te :ent between Hams County and the City of La Porte; Precinct Dear fir. Herrera: Harris County (County) currently leases from the City of La Porte approximate'.y '_ 5C"O square feet of office space at 911 South 8`h Street that is used as a Harris Counts Health Clinic. The current lease has expired and the County has been occupying the space on a day to da,; tenanc,:. which could be terminated by either pa ty at am' time. The County has recently located an alternative site for this clinic and is preparing for the relocation of these offices. Mr. Jason Hall of the Facilities and Property Management Department has been coordinating with Mr. Jim Stanley of the Public Health & Environmental Services Department to begin the move on the second weekend in July. Mr. Hall has also been corresponding by phone with Is. Carol Butler of your office and keeping her updated on the plan to relocate the clinic. Please let this letter serve as official notice of termination of the current day to day tenancy agreement between the County and the City of La Porte for the office space mentioned above effective July 15, 1999. Thank you for your assistance with this matter. If you have any questions or if more information is needed, please contact 'Mr. Jason Hall at (713) 7; 5-8184. Sincerely, Michael Yancey, AIA Director MWD R.'J gh PC- Commissioner Jim Fonteno, Precinct Dr. Thomas Hyslop, NI.D., NI.P.H., PHES fir. Jim Stanley, PHES Mr. Dan Reissig, FP%I 5-16 Fax.Vumbers: Administration (-13) '5j-8802 0Real Estate (71:) `- 804 F L • • M City of La Porte TEXA9 May 26, 1999 Ms. Linda Barley La Porte Neighborhood Centers Inc. 911 South O Street LaPorte, Texas 77571 RE: Request for Use of Vacated Space - Harris County Ciini Dear %Is Barley - I am in receipt of your Llay 13, 1999, letter asking the City of La Porte to allow your organization use of the space currently allotted to the Hams County Clinic. The City has not been advised, formally, that the Harris Count,; Clinic is scheduled to move. However, if they do I would propose, in lieu of an increase in rental rates for that additional space, that Neighborhood Centers, Inc. in La Porte be allowed to use the vacated space as is, and that your organization agree to clean, paint, and make the necessary improvements you may require with this additional space. If this proposal meets with your agreement, please let me know so I can have the current lease agreement amended to include this concept. Once the agreement is rewritten, I will then need to take the entire proposal to City Council and seek their approval. When this occurs, I would like your attendance at the Council meeting. Sincerely, Robert T. Herrera City tifanager 5-17 RTH:cib c Mayor and City Council Angela Blanchard, CEO, NCI P.O. Box I I t5 • La Pore, Texas 1 I ,� • ('�'. )-"'t-;o10 6_1 rM NEIGHBORHOOD CENTERS INC. LaPorte/Bayshore Mav 13. 1999 Mr. Robert Herrera. Clty Manager City, of La Porte P.O. Box 1 11 La Porte. TX 7 7 � _ l 11 Dear Mr. Herrera: Thank you for our response re, ardin�g our re iuest tc us th.e 1 !... `�� il��'a L'cr _ once it becomes vacant. It has come to our attention that the space adjacent to our present facility %gill become a,. al'! very soon with the planned move of the Harr.s Count, Clinic. would like t0 re: west theis ase of that adjacent space without increase in rental rates during the interim time until the Librar, building becomes available. • The use of this space (in addition to our present location) would instantl% relleV e ;'ur cro .vded classrooms and client assistance programs. It would be very handy and accessible to our pr�_sent location during this interim time. Neivhborhood Centers Inc. strives to provide services that will enhance the development and null potential of local clients of our community. NVz- appreciate your support and interest and look forward to your reply. Sincerely, Li a Barley Program Coordinator. NCI cc: Mayor and City Council Angela Blanchard, CEO, NCI Susan Parastar Advisory Board President 5-18 911 South 8th Street LaPorte, Texas "7571 (281) 471•I824 (281) 47 1-18 40 A Urured Way agency City,, of La -"Porte April 28, 1999 Ms. Susan Parastar La Porte Advisory Board Chair Neighborhood Centers Inc. 911 South 8" Street LaPorte, Texas 77571 RE: Edith Wilson Library Building Dear Ms. Parastar: Thank you for sharing with me your thoughts about werlcing out a partnership with the City for use of the Edith Wilson Library building, once it becomes vacant. Neighborhood Centers certainly is an asset to the La Porte community. The public service you provide is greatly needed and appreciated. A decision permitting your organization to use the Edith Wilson building is a policy dew sien t,`mt can be made only by the La Porte City Council. I support your organization and will recommend to the City Council that they look faverabiv at your request. If I can be of further service, please do not hesitate to call on me. Sincer elv, Robert T. Herrera City Manager RTH: cjb c Mayor and City Council John Joems Jeff Litchr eld 5-19 CJ • • C NEIG14BORHOCD CEti ERS INC. LaPorte/ Bayshore April 8, 1999 Mr. Robert Herrera. City %Ianauer City of La Porte P.O. Box 1 1 1 La Porte. TX _ -11 1 Dear Mr. Herrera: r\ On behalf of the La Porte .advisory Board of Neighborhood Centers Inc., the Executive Committee would like to request that the Ciry grant us the use of the existing Edith Wilson Library buildin`, upon completion of the new library facility, which is now in the planning stage. If. in the interim. the Harris County clinic space adjacent to our present location is vacated. we would certainly appreciate the opportunity to expand into that until such time as the library facilit-. becomes available. As you ,know. we have sigmiticanti% increased our program structure this past .ear to include such Lire Skills classes as GED Preparatory. English as a Second Language. Conversational Spanish. Computer Job Skills. Parenting. Women's Support Group and the (JTPA) Job Training Partnership :-act trainin , "or youth. ages 16-21. This increase in our agenda has been dictated b: the needs of our community, but it has not been .� ithout difficulty'. Because of the sparseness of available space in our current location, we have relied on corporate entities and neighbors to house some or our expanded activities. The abilin to douse our activities under one roof would certainly provide a more efficient operation for our communit- as bell as allow continued arowth of our program. Upon a favorable reply b% the eat`, we will be happy to meet with you and discuss necessary details. Sincerely, 1 /Susan Parastar Board Chair v� Cherie Black Se � tarp Bob Pizzitola Ex Officio Chair cc: Angela Blanchard. CEO. NC( %lavor Norman Malone. Cir, of La Porte E%eI%n Ke6ned,, L Board ice Cl air Bill Love Treasurer Linda Barley Program Coordinator. NCI (La Porte) !o Carcedo. Senior Vice Pres.. `Cl Council Members. Cir. of La Porte 911 Souch 8rh-Street LaPorte, Ta-czs 77571 (281) 47, 1-1824 ('-81) 4; 1.18; 5-20 A I,:niced Wiv Agene: r NEIGHBORHOCD CENTER` INC. LaPorte/ Bays hore September S. 1998 Mr. Robert Herrera. City Mariaiitr Cite of La Porte P.O. Box 1115 La Porte. TX 7- 7 7 1 Dear Bob: Since :,our last mec[ln-_ %\ ILli E% el� 11 'L\_1I:n11ed" belm-, used L)% the Harris Count% Health Department. our 10C,111 Ad% ISOF. heard 'I.S101-I'l that I Co r,, i I- % OU to lall% request that upon the I far-'s Count,. I he .zranted the use of their present raci I Ii 'L', at)! 1 South F1'='i I ril La Porte Nel�_Yhborhood Center is in desperate Ficeu, '_ ) i"Id'Liltio (ILI! space. Our 1,0t, i. Early Childhood Center did not materialize and our need f,)r lif-, Skills class ;pace and programs space is uruentl, needed. Our board would like to me -It %%Ith vou to discuss :1'.e Specific< of the space before nneetinL, %pIth Neighborhood Centers Inc main office. We �%ould aprrecine a repl% to tI-ii< request no later than Septs�-nher '5. 11)0. -- Please fe 1 free to Col"ILLICI me at',our Cal'I"Iest comel.ience at (-I " 1, -)54-0,11- Robert C. Pizzitola RCP:lb 0 911 South Sch street LiPorte, Texas 7757 1 (Z 8 1 , 4 71 1 '4 471 jizC A United %kav Agencv 5-21 C� City of La Porte ra X A5 July 17. 1997 Nei_,hhorhood Centers, Inc. Tom Sanders, Chair NCI Board of Directory P.J. Box 271389 Houston, Texas 771- 7 7-1389 Dear fir. Sanders: The Citv of La Porte is wntin_ on hchalt of Nci_hFvrhood Ccntcrs [nc. �,r La P,)rtc. C!nzcns i)f L-i have henctited from this program since I9�Z'. �L:In" fami!ie, in Lhe mlm:nit. n 'he programs and servics provided by the Center. City Council "Vi.1 tr, kccP the La P>r'c facility open due to the communities limited resource, to provide the mein- <er. ice< Lur entl.: r,ricred this a ,cncv. The City has no mean, of i-rplacin_ thC:c <cr,; <. If the La Porte Center closes, the community would he ne_arlve!v Impacted in mane sreas inc udin_ Crime, drtP' ahuse and financial ,CrVICe,. The de'.:I.,ion 'Lo .:I,»e mils t '.gill als,; impac' enCr�: 6av Area. Local Churches and :1vic leaders are arcu'L this ,T;a t'C; and in,: ukI life for our citizen, without the social scr-,,'iccs prodded by the La P�,rte fac!ht'.. Pri,_rarri� fro %'ided reach all a, -,es in our community. If the,.-- ,ervlces are Z:11mimitcd, mangy' . iriz--ns v.,itl have no resour.es to meet their daily need, to survive. The community has hacked The Nci_hhorhrod Centcrs from it, It i, our understandin_ that throughout the years, the local Communiti, has prinid:d _encrnu, ,h�nation, an 1 to the \C; Board for further dc%z lopmcnt. City Council strc,scs the importance of the pro_,ram> in La P,>rte and 'hc need ri,r :cncinucd �'Urri)r' tr the citizens of La Porte and the Bay Area .:ommunitics. Ncighhorhood Centcr In.. of La Porte is a vital link to our uOMMUnity', well heing. Sincerely. Jj N rinan L. Malone. JMayor A -,%)h MCI- 4n. At-Larve, P�.�. A!ton Portcr. At-Lar_e. P.,,. B. �., —`. Ge —it her Di<trict I Chuck En_cik�:n. Dottie: C/ Howard Ehow. District Dei,n, Gay. Di,tnet 1 ck Maxwcll. D . irict 5 District b NL�1/ucl� I • • 0 Sister City Program • 0 • C� CITY OF LA PORTE CITY SECRETARY'S OFFICE INTEROFFICE MEMORANDUM March 8, 2001 TO: Robert T. Herrera, City Manager FROM: Martha A. Gillett, City Secretary',,, SUBJECT: Sister City Program Per your request, I have researched the Sister City Program through the Texas Municipal Clerks Association (TMCA), City of McAllen and City of Pasadena. TMCA referred me to the City of McAllen because they have had a successful program in place for several years. The City of McAllen and the City of Pasadena offered the following information: BUDGET: McAllen - the City and Chamber share in a total annual cost per Sister City of $2,500. They currently have thirteen (13) sister cities. Pasadena - the City budgets from $10,000 to $20,000 per year depending on travel for that year. They currently have two (2) sister cities. Citizen committee members traveling to visit a sister city pay for their own travel expenses. The City pays for elected officials and staff members. GUIDELINES: McAllen - the City, Chamber and Sister City share in setting the guidelines and adopt by Resolution. Once adopted the City program is in place forever unless agreed upon to cancel. Pasadena — the City and a citizen committee of 15-20 people oversee their program. AUTHORITY: McAllen - the program is shared with the Chamber spearheading and working closely with Mayor, Council and City staff members. Citizens from the community serve on an International Committee and often are part of the group visiting another City. Pasadena — the City and a citizen committee of 15 — 20 people handle the program. CRITERIA: both cities based their program on the same criteria and objectives. The program consists of exchanging ideas and cultures with other countries such as China, Mexico and Canada. 6-1 0 Sister City Program — Page 2 PROGRAM AGENDA: both cities programs were similar. When the City visits they take a tour of the City including City buildings and programs. They are provided with lunch, dinner, banquets and goodie bags. Some Cities request to attend Council meetings as part of their visit. The visits can last from one to five days. Gifts exchanges are very popular with foreign countries. POSITIVE POINTS: Great way for Cities to share ideas and learn about new cultures and business ventures of other parts of the world. Some citizens serving on the committees have benefited by marketing their business products to other countries. NEGATIVE POINTS: Large number of requests by other Cities to add them as a Sister City. The City of McAllen has had to stop adding cities because they were up to thirteen. It is a very time consuming program on the part of the Chamber of Commerce, citizen committees and the cities. There has been some criticism that this is a way for people to get trips paid for to visit other countries. /mg • 11 6-2 • • • 0 Sister City Program 0 CITY OF LA PORTE • • 0 • INTEROFFICE MEMORANDUM January 22, 2001 TO: Peter Griffiths, Councilmember FROM: Robert T. Herrera, City Manager G�� SUBJECT: Sister Cities Attached for your overview is some information on the above subject you requested. Call me after you have received it. RTH:cr Attachments (2) 1. Overview of Sister Cities Program 2. Sister Cities International Newsletter -Dec 2000 Cc: City Council John Joerns Martha Gillett c A Millennium Opportunity for SCI Members Sister Cities International anti the World Scholar-,4thlete Games are delighted to announce their cooperative partnership, and invite the entire SCI network to participate in the World Scholar -Athlete Games, June 22 — July 1, 2001. The Partnership Sister Cities International (SCI) and the World Scholar -athlete Games (WSAG) share the same goals of building international bridges throu`_h cultural and educational programs. To support these joint objectives. SCI and the % SAG have joined in a cooperati\ e partnership to promote the 22001 World Scholar -athlete Games. Conceived by the Institute for International Sport in 1990, and first administered in 1993. the World Scholar athlete Games utilizes sport and the arts as a means for fostering international understanding and friendship. The suC,:ess of two previous World Scholar -athlete Games has proven that academics. athletics and culture can be uniting forces. thus enabling these young participants to become ambassadors of goodwill and sportsmanship. The Games More than 2.000 of the %wrld's future leaders kkill come together in Rhode [sland. June 22 — Jul' 1. 200 i. fCr the third %Lorld Scholar -Athlete Games. one of the most unique international youth events in the �korld. Y0un11 people. ages 15-19 (h, Jul% I. _'001.. ), from oer 160 :ountrie, and ;tit 50 states %%ill participate in otic of spoils iBaseball. Basketball. Chess. Field Hocke%, Golf. Lacrosse. Ru`gb%. Soc.-cr. Softball. S%%iminin *. Tennis. Track Field j and Volleyball). or in one of seven cultural -arts programs (.art. Choir. Clllinar% arts. Dance. S%mphon�. Theater. i `kvritin_ Poetr%I. In a�,Jdition. the scholars %kill take part in educational -ii�eme Dais on Ethics and Sportsmanship. jiiii-&Lobal En\, ironment. 'A orld Peace and %\ orld Health. Homier and \utr111011. TTi e In vitation SCI and the %k SAG inv ite all sister city partnerships to participate in the 2001 World Scholar -Athlete Games. Coml7lllnities should consider incorporating the World Scholar .athlete Games into their 2001 %oath exchange program schedule, and are encouraged to sponsor scholar -athletes and scliolar-artists from their American city as \�ell as their international sister city. Be a part of histor,, and make a special statement about the strength of "Sister Cities Scholars." To Learn :llore Complete and fax back this form. Call the WSAG enrollment office at (800) THE-WSAG or (401 1 8-4-5088 and ask to speak with Trac% Jones. ❑ Visit the 2001 IVSAG %%ebsite at «wlv.international sport.com. ❑ Write to the WSAG c o International Scholar -Athlete Hall of Fame: The Feinstein Building; University of Rhode Island: 304; Kingsto%�n Road: P.O. Pox 104: Kingston. RI 02881-010-t. I \yould like to recei,-e a phone call from someone with the WSAG. Please call me at the number belov,. Z Yes, I would like to be a part of the 2001 World Scholar -Athlete Games! Fair this form to (401) 4-4-4334 Please send general information to the address below regarding hov, I can participate in the -'001 World Scholar athlete Games as a scholar athlete. coach. instructor or volunteer. `rime Sweet A,kire)s Sister City Pro .-im Suter Cla Affiirattonts) C ia, State Zip Countn Telephone E-mail MW �IMl A ILJ Illll lll.11lUI1�11. IL�� :11rUUl Jl I 1"J�,l rn i Welcome guest! join group I lug m j Web Pages Homepage Aj otil t ; I Sister -Cities Directory Programs Seeking Sister Cities Contact Information Membership Supporting and Sponsor Site Map News Announcements Calendar Networking Discussion board Chat Newsletters & Press Re Resources Publications Links 04 Marketplace Classifieds & lobs Group mall View About SCI Palle; t-Back to all pages POWERED BY WEGOCOM a ii4.11, . 1i:1= Ilt LII I Iw"..Ci, ABOUT SCI Mission Statement and Goals I History I Official Community Links I The Network I The National Program I Global 40 Municipal Cooperation I Affiliations Policy I Affiliations Procedures I SCI Facts at a Glance Iuli!".J0 1i SCI Mission Statement Sister Cities International (ti(:l) is :I nc>n-I�r�,lit citiien diI111�nIac� netwllrh creating; and slivilgthcnin}; pm-tnerships bcI%%'ccI) I l.S. and international et>mnlunilies in all c•ffI)rt ro incre:Isc global cc,(lleratM11 :1t the IIlunicil):II 1C%TI, to I�romote cultur:Il understanding and to stimulate economic dcvclopnlcnt. S(A Ic•;Icls IIIe nlovenlc nl for Ioc;ll conullunity cicvclopIlu•nl and volunteer action, (�� nloti�atin, and enipmcrin,) IlrivAc cillxcns, nlullicilml oflicials and business leaders to conduct ion,; l(rnl Ilro, rams o! mntu:Il 1lcnelit. Goals of Sister Cities International 0 I )ovh)p nmm( 11m] p:Irn tcrships how ccn s l I.�, cities countie, stales :Ind similar jurisdictions III of Iler n:It i1)ns I'lw vdc c,I,IlorluIII ics joy c-iIN• c,tiicials :Intl citiicns to (Al)crience :Intl ()diet cultures 1111(nw,l) I()u,' term 0)1111nLIII II I�artn ISI11l)s (.ir-rl� an atnlosl�liere in \vllicll e0>n(011W and cOIIII nu1111V ( Icvclol)nlent can Inc lillplenu•nted and slrcnt�tllencd S/iii�ii/�r/r ens ire �nnlents 1111(m1p,1) vv Ills It I will crc:lllvcIN Ie;Irn worl: ;Ind solve htth://www.sislet-cities.orb/go/wcgu.Irlges.page?grouhld= I0-I-I2&vicw- IXI9c&liildcrld 10-165&,l)ii cId- 10466 1 / 16/2001 Jtstcr 'Ics 1111cruauonaL VIC\V AN)[It s 1* 6 2 ol' 2 .) Chapters SCI Members Only Generic Chapter for Si... State Coordinators SCI Affiliates United States --template All chapters Search Web pages prt�hlenls rt>l;ethcr thrt>u;h reciprt>c;►1 Cultural, Celt-►Catitnr►l, municipal, business, pr<►fessiunal and technical eschan);cs and prt�jccts . C.'011abojrrlt, with in the Unite(l states anal Other ctluntries which share similar goals Copyright CD 1999 Wego coil) Incorporated. All rights reserved Contact Us i htth://www.sister-cities.org/go/wego.pages.page'.'brouhlcl= l O442&v1cvw pa�c�t li>I�IcI )rl I U 1(t>�tpa cl�i 1 t)-1611 1 / 16/2001 ra SISTER C I T I E S INTERNATIONAL. e:. _.,non• rottzen ,.ttdip lomaGynetwork.:,,�'t Welcome guest! Join group I log ui J Web Pages Homepage About SCI Sister -Cities Directory Programs Contact Information Membership Supporting and Sponsor Site Map News Announcements Calendar Networking Discussion board Chat Newsletters & Press Re... J Resources Publications Links tD Marketplace rn Classifieds & jobs Group mall Vic;vv Seeking C;itieb Flatles f Back to all pages li, 11. �. I<.. I It '' 11 l ofS-."..h SEEKING SISTER CITIES Sister City, County, or State Relationships l Difference Between Sister and Friendship City l Developing a Partnership l Non US Cities Developing a Partnership l What Makes a Successful Program? l SCI Affiliations Policy I SCI Requirements and Procedures lrVl)�,r is It Sr:t,:r tally, county Ur ,iriti :", I.i;I,,,i: I,,I, What is a Sister City, County or State Relationship? A sister cite, county ur stale rclati(nshil) is .t b-oad-hasrd, o/%<<i'erllp app-olvd, luu� /��ii�r ��nl�t�urhef� 1)cl\vCcI1 IWu cunu»unitics, cOunlics ur Stales in Iwo r�)uniries. :A sister cilY, C(unt)' (r StatC relationshil) becomes ulGcial wilh a ut thc IOp-elected Officials c)(thc tw() local juriscliclimis b) the l(wal ciry CO LHICIIS (cuunt�, Cutllil11SSums ()I- State le1,,islaturcS), as ahl�rul�riatc. Sister crib' l)arincrships have the hulenlial I()carry Oul /A, n4de.r! �o.r.;rhlr �ltt,cr1:ri4 a/ acfiltliO, o/'trlrl� t»l,��it,rliou�i/�,ro��i�ui�, incItidilIg c ILTN' IN'l)c O municil)al, b[I51nCSS, pI-Ofcssi))nal, cclucatiunal and cultural Or pr()jrct. SiStel" ciIN, pI-(q)rams arc As() unicluC in Ih;tt Ihcy inhcrcnily Illv(lvc the three lImIll scClurs in ;t Cunu»nnily: local �,ai,,rolmcirl, and I 7CI)' o/ 1Y11.ril (ancl (-Iv11 ),(w1 I)r nun-l)rOfit (wgiiniiati)II S). htth://sister-cities.wepo.com/�c)/wc�u.ha�cs.hale'? ruuhlci 10, 42 view- li)Icicrlci-171SM,pageld--1T22; 1/16/2001 Welcome guest! Join group I lug III J Web Pages Hornepage About SCI Sister -Cities Directory Programs Seeking Sister Cities Contact Information l"It I11wi:>I111) Supporting and Sponsor... Site Map News Announcements Calendar J Networking Discussion board Chat Newsletters & Press Re. . .,J Resources Publications Links t! MMarketplace rn Classifieds & jobs I CO Group mall View Mernisr>r:-:hip Pzgli»s +-Back to all pages Abell Mem1wi:"Iill, POWERED BY WEGO.COM AD 41) a MEMBERSHIP About Membership 1 Membership Benefits li How t0 Join Sister Cities International SISIC1' Cities cuuutics, stales alid Icrtlt(ll-lcs, intcrnatiunal c W1 1-a11u1 Is, insIIt( liuIs, ur,),anlx;lI Puns, ;In(I individwtis to juju tltc SCI nci\vurk. Membership categories are: . l i.�. (:itics (:uuntics, �t;ltcs ;1n�1 "I'crritlnics (inrluLlin, towns v'1111,cs, ()I. i1c11rP1>r;IICd mv;ts ul, ;u>>' siic) ('()rlu,I-mc "Icutl)(.rs 111divIdtI;11 ,\I(.n1hcrs Sistcr ('itics Inlcrnati)n;ll \vdcun1cs n()n l t.�. � Im", h) )()IIIAs ntL�lnlx�rs, hill L1ucs nut rcLluirc nuCmlxCrSl111) St;1tuS lur FCCCI -in,; tltc sl)cci;11 IIIIL'rn;1II(M;11 Dcic,1;lic I'ML, fur SCI ;lnnual crcnccs. http://��ww.sister-cities.orf;/�o/wego.hages.pa�;e'' rrtuhlL1=10 1?cS virw- h�t�c�tli�lrllrlLi l2;��6�Lp�1 clLl—Ili2?2ih:JsL�rvScssiunlLl... 1/16/2001 I ` C- 0 4) Chapters SCI Members Only Generic Chapter for Si... State Coordinators SCI Affiliates United States --template All chapters (Search Web pages • Annual Dues DLICS f<)r U.S. Citics, C unties, StatCS Al-C 1)asCd On pupulati011 (in US $) Population Dues NIOrc than 1,(I0(I,(I00 $1,20II 51111,I II IU l ,(II )I I,1 II 11 I ;� 1,U511 100,000 50II,000 t$780 100,000 300,000 $O()O 51111(I(1 I1101)O11 $48O S,(I(III 5(111(Ill $38() 5,( Ion I (I I IUI I ti$?(111 Undcr 50II0 $13(1 (;urp„rafc' $1,U()O I1)(11viduals $5O ,Ili( ludcs I:u}Ic and vnall businesses, N(;( )s, PV( ),, edueu,iu,:d u)>uiuwnu, Iu,aln,al., nu,urun)s SmaII, u,)I 111[ I)rufi, mp,muzalauns nrat be clgt'Ihlc Im in kind ,uc,nl,c,>IuI, ,cn it e, l' - of _) • TAX a(lv:ulla;'c (,I tllc OI)I)Ortunities lister ( hies hIwI-naliOr)al (I(Crs - 1)cCOnu• a nlelnl)cr Ol II1c w(,rl(I's leadiu� COn)nluniIN, part ncrsllil) nelwOrk. TO till out a SCI Membership Application Form, please click heiv. If I IrtvC an`t' (lucsti)nS Or nccd 111Orc inlOr111MIOI1 al)Out m(.11)1)Crsl)ip, please COntaC1: Sider (;dies Intcrn:ltiOn:Il vi;I cnl;lil at in(O(rr;i�lcr IClel)III)Iiu )2-3-17-863O,:u1(I laX 11u1111)cr corpol%lte Membership (:Orl)Orate n1(-.1111wi-Ships are inll)( )rtanl IO sister ( :dies InteruatiOnal. l�Or nu)rc inlOrnlati(11n alx)ur cOrpOratr mCn11)Crsllil)s, 111C;ISC Cl )r11:ICt SISier l :dies International l)v cn1ail at inf�)((r�sisrer- rn Cilies.Or,� Or I)�' iclel)I1On( at 202-3-(7 ?i(,3I. • hall://www.sistcr-cities.org/go/wego.pages.page'?grOul)I(I=IO442b;:vicw=papc(tJ'Adcrl(F-18220&1)M CId- I8228&JSc;rvSessionl(I... 1/16/2001 SISTER C '9\1TE R N A T � e1_L' 1bC7 2 � �� IVIES 1 Q N A L 61'ws BUILDLNG ALLIANCES, ONE REGION AT A TDAE Sister Cities International (SCI) recogni:es the growing interest in regional and ouncn•-specific alliances of sister cities. During the upcoming SCI annual Conference, '.lh''7-2S, 'CC I, many of these associations will convene to creatively addre;; the is;Ue; entral to specific geographic areas. Sister cin• volunteers are committed to ;upportin, region-ba;,:] and aitiacives. These coalitions build upon SCI'; fundamental ubjectil c . while pro idin, a _eeper regional focus through cListomi:ed project; and �onfeCCflec;. L.L�R.i bClt�l� ,lCc samples of the active and rowing SCI regional a;;ocnuions. U.S.-Africa Sister Cities Foundation FowlLil:d, Inicic [L:J: Conceived in 199C; incorrorated ,n _CCC. ;erg es as un advocare ur,ani_atiun addre;sin, the must pressim, issues affective African communities. includin; health, edL -acion, economics and rechnologv. s.Cunjerenc,:s: Annualh', with fuurrh hell in :-Erica. Washington. D.C. — + 25-'S, '-001. A tiiiations: lC3 U.S. and 97 African. Cunt,zet: Shirlev Rivens Smith at 'o4-3336 or srs-usascC rcn.com. 1.Y'6sire: www.usasc.org L.S.-Mexico Sister Cities :association F 10ZL1cl 111MLttc1(: lob_ NIl: sinti: L.S-NI:NIU' opt `rt humanitarian and vouth proicccs and ;erves as a clearinghouse for information. `Ic:caCl�S i. onf rcliccs: Three annLlalk. Santa Barbara. CA C1; i Oxnard. CA — I C 1: YLicar,in. Mexico — i 4 Cl. �,itiiicuiuns: l i 3 U.S. and 13C %lexicLin. C11?1tL1cc: Ed Halstead ar ISC31 ba' ' C� or ent761 @ cs.com. U.S.-Korea and U.S.-Japan — .ire nra forililn__ Cxp10ra10n cominiuee;. Pie:i,e contact Dou,la; Henkc (bored) at (13C D i 39-6954 or dhenke@qci.aurora.co.us: and Su;.in Radcliffe (Japan) at (31C) 519-1 5 _4 or izitkoL earthlink.net for more ultornwcion. conunucJ on pa""! DULUTH EARNS PRAISE FOR GRASS -ROOTS SISTER CITIES EFFORTS Nlav or Gary Dote traveled co ?ecru:avodsk earlier this year and was -novel ro tears. At an orphana;e in this Russian town, where children are waiting '.n mostly futile hope for families to adopt ,hem. 11-year-old Nadia caught Mavor Don'; eve. As he hu;ged her goodbye, she ;aid, without uttering a word, "Please help ,is. And so, without hesitation, Mayor Dun. said. "Yes.'. In cooperation with the Duluth Ninnesoca) Sister Cities Commission, Mavor Don, and his wife, Marcia, helped establish the "aunties and Uncles" ^. %vherebv Northlanders (including and ;urroundin- towns in northern ,Minnesota and Wisconsin) can "adopt" an orphan, wes 5- t 1 , in one of four orphanages in Pecro=avudsk. Duluth's sister cin•. By sending a small amount of money D,,tN Itcipnt, iris 'nta \.;.i;.t.:1� : "t tect hair I Jt, o :n .t oj,n,;:- (S60 a year or 1`5 a month), as well as exchangine letters, a discernible difference will be made in these orphans' lives. More rhan 170 people have ;it,ned up to be a part of the pro;ram, with a ,oal of reachin, all 4CC orphans in Perro:avodsk. "[This prouani] gives people in the re,ional area the opportunity' cis experience international exchanges," says Am% - Weidman, director of the Duluth Sister Cities Commission. "The.• can extend their warnith and conipassion ro a child in another countn•." DLIILI[11'; ston- is not only about the Perro=avodsk orphanages. Ic is about a perceptive mayor and a dedicared group of volunteers who have joined together to make their CUn1nlUllin and world a better place. "True undersrandin, berween people continual un PLt,e 6 6-10 SISTER CITIES 1 NTE R NATIONALO �771 s FRavf CHL� STOKKE, PRESIDENT, BOAR OF DIRECTORS Published by Sister Cities International r6 (The Tuwn Affiliation .Assn ctanun or the U.S.. Inc.`, Direct comments, .Iue<tions. arricle. phow suhmission and address changes us: Sister Cities International 14'4 K Street. NW: Suite 6CC Washingrnn. DC 20CC5 Telephone: (_C') 347•663C Facsimile: (_'C_r) 393-o5'4 into<d.sister-cities.org www.sister-cities.org Suter Cities Internattnnai (SCI) is the national menthersiup associarion which officially certgies links between U.S. :tries, :nunues and states with mternarumal )urudictunu. SCI's miss; m is to n.aease giohal :ooperarion ar the municipal ietel. by promoting cultural LLnderstandiu, and stimulaung ecnnonttc ,letelopment. The SCI nettt-ork inuolt'eS ?•5CC:0rtlln:LT11tLeS in 13T L:nuntries woridwide. SCI is a non-profit ,,rQur.Lzaunn. !xenipt;rnm ;rderal inanru: taxes un,i<:r Sec:lon =C1(c)(3) of the Internal Revenue :ode. Edirjr Juliette'Iarchicli Creative Service; `lark -worth Crearne Arhn,rrn, VA ?CC l promises to be a great year for Sister Cities International and the incredible network of communiry volunteers who turn their vision into realinv through innovative sister ciry programs. \Ye have accomplished a great deal within the past \•ear, and the best is vet to come. One of the most exciting events of 'CC I will be our .-annual Conference in Atlanta. We want this year's conference to be trul\ international in scope, and we have a practical suggestion to help accomplish tilts goal. Consider asking \Our Cin; Council or Councv Commission to declare the week or Jule ? 1-'S. 'CC I as "International Sister Cities Week." InVIte \our sister cities co visit your community, and then attend the conference togerher in Atlanta. "International Sister Cities Week- and the proclamation announcing, it i�, an excellent way to focus attention upt,n the growing importance of rile sister :Inc, mU\'enienC in ROur Q`Rimunit\'. and I� a positive torte for bnn_tn,, in tie.\ volunteers. For more lilhorniatlon on Chi initiative, contact Deanira H,,1Lir.i ar (_C') 347-8635 or dhollandCsister- cities.org. The theme of this year's AIlnital Conference is "Sister Cities International — YOUr Communitv's Pissporr to the The re,,ional ruruni�, and workshop \\ill be practical and hands-on. and will t*icu• uron three substantive ,areas — Parnlersruli• Innot•ettion and Execilence — which are the guiding principles or SCI. Please mark the dares of the conterence itself. Jui\ _3 - 'S, _:CI, in \Our calendar. Included with tills newsletter a conrerence bn,ci ire which rrter� ConsiJeraHe <av in_- Jri VOLIr reL'i•i'„C, n tee. Please re;isrer n,nt ro,r this iniptr _u:r and valuaHc ev env. Oil behalt of �ard, "Ir Execuu e Direcn,r an.l staff. I w;,i. ,cur I11CI11bCr�, �uppor-Cr- avid rriell,:> a r vv,gr.�!ernli ri,,li�iav5�:,<g,n. .-�n�I [want .all r ;I r,: •.ce!c. me ... I \e% r ,11,1>es uniimire i , rp, rrur.Ines trr he `1`7Cr CIC% raililk and CRC inC.- .JIblC lc riA'iri e� which bCCaU,e of %our ertrrs and �upprrr. 0 FROM TLvf HONEY, EXECUTI`'E DIRECTOR The most important factor in strengthening the sister city network around the world is communication. Timelv, accurate, relevant and accessible information must be available to the thousands of community volunteers who form the foundation of the sister cities program. Too many of our volunteers do not have the most current information about successful fundraising techniques, innovative programming, successful partnerships between city hall and Citizen committees, and more. SCI's primary goal for 2CC1 will be to significantly enhance the sister city communications network to ensure that the best possible information is easily accessible to our dedicated community volunteers and to the local government officials who support their efforts. Our database is our link to you. We must have current information about kev i­ hviduals who should be receiving the *p"blications. This must include the , city manager chief administrative officer, the president of the local sister city or,ani_ation, the chairs of each or the surer cit<: committees, and the protession:il Mart who work with the sister cite progsisterram. Please ask the president chair of %our city program to e-mail or fax the most current and accurate information to the national office. Please do this as soon as possible, and direct your correspondence via e-mail to infoC sister- cities .org, or via fax to (202) 393-6524. 15 The information contained in our publications should also be communicated to the volunteers who serve on the various sister city Committees. If your community has nor established a method for distributing this information, please consider one of the following: inserting important SCI information in your own newsletters; providing additional copies of SCI publications for members at your meetings; reminding \•our members that for 330,year, an SCI individual membership ensures that publications will be sent directly to the member's address; or visiting our website and downloading our publications directly. y�e are doing our best co keep ,or members inturnied Chrorl,h a %wrier of inn,,\•,u,\ e techntylie,, :ind are <rri\ in_t t,, broaden our communication channels co Include rile rhoucands of sister cary volunteers who -Ire nut currenrlv connected with the SCI network. We _i>k for \Our help, and \our suggestions in achieving our goal. lour mission at SCI Is to provide our members with the best pussible information and services, and therebv help strengthen the capacit\ within your own communin- Co achieve \our sister city goals. Final[\', we ask that g:ou keep its infunied regarding \•our sister city activities. Wlien You sign a new sister can• agreement. fax us a copy; when %ou'\e created a parriculark innovative project, send us \-our newspaper articles and photographs. Through greater communication, the national office serves its role as a national clearinghouse or Information. and keers the entire network current on rile \ ariet< and scope of sister city activities. 6-11 SCI PIONEER RicBew OAnAi-N-D: ROLE MAL FOR US ALL Richard "Dick" Oakland, SCI supporter and resident historian, has over the years aced his heart and soul to Sister Cities national (SCI). In the words of Board e President, Thelma Press, "Dick has been, and remains, the 'glue' rhat holds SCI together." On the I Cth anna,ersare „f :he cuter Lutes program. Septemi•er l:-I». lU60 (L-Rl: Patrick Heai.. Exeautre Direc:or, \',irl"Mil Lea;tte ^t Cities: Prest,!ent Dttt,itt D E.)enhtnter: \lark i3„rtnaut. C,iuta,, Calc C mntar_ People-tn•Peopie: Rtchari Oak!anj. Drcector ,f Tact Arpih mats („r the \',aiorui i,I C ;tie.5. Dick's involvement with SCI coincides with its beginnings in the mitt 1950's, when he was working for the National League of Cities and the Town affiliation association kofficial name) was just one of its Civic mittee5. Dick became SCI's first staff member in 1961 and served in a variety of positions, including Director of Member Services and associate Director until his retirement in 1993. Above and beyond his "official" roles. Dick served as SCI's photographer and reporter (covering White House conferences, in which the back of his head was featured quite prominently on the evening news) and publications editor (producing the finest of newsletters and public relations campaigns for SCI). Even after his retirement, Dick's dedication to SCI has remained steadfast, through his regular contributions to SCI publications, involvement as South Dakota's State Coordinator, and his sustained graciousness while guiding SCI staff and membership through the wonderful, and sometimes perplexing world of sister cities. Ray Schult_, himself a sister cities legend, having served as SCI Board Vice President for over :.0 years, refers to Dick as the "mainstay of SCL" He goes on to say, "I remember Dick as the quiet, humble man behind the scenes; the one who was always very calmly and brilliantly getting all the work done and never taking the credit." "I can personally arrest that the success of manv sister city programs was due entirely to Dick's guidance and advice. It has been my pleasure and honor to be a friend of Dick's for 35 years." Former SCI Director of Lfernber Services, Carol Hardman, remembers Dick as a "menial archaeologist who could recall every person and cite ever involve, with SCI. He has an inescapably contagious laugh, is deeply compassionate and highly intuitive. Dick taught me all I know about what the 'customer' considers valuable in terms of services from a national association, and most of all, he taught me about the value of volunteers and how important they are to the success of sister city programs." Peter Loan, former Director of Grant Programs at SCI, has fond memories of Dick as a "terrific mentor, someone who has an extraordinary commitment and belief in the potential for SCI to promote a real peace that is routed in friendships among people." He recalls Dick's "wonderfully wry wit which he uses to teach valuable lessons of life." Dick's devotion to SCI, and the wealth of knowledge he shares with enormous enthusiasm, continues to enlighten members of the sister cities network. In particuiar. SCI's history, captured in countless publications, press clippings and photo2raehs. has been preserved through Dick's service as SCI's unofficial archivist. In addinon. Dick compiled an historic epic for SCFs 4Crh anniversan- in 1996; his "Four Decades of Progress and achievement" is as-ailable at the national office .ir.d on our websire. Dick new resides in Rapid Cin, Dak.Ita «ith his w ate. Treva, and is „nick to ins foe friends to visit the beautiful Black Hills close by. Still active in Rapid Cin-'s sister city programs, slowed only slightly ]ue to a recent illness, he continues to share his wisdom with all who ask. Thank you, Dick, for all that you have done and continue to do. SCI and its extraordinan- network would not be where it is today without you. We wish you all the best. South Building :alliances, One Region � r at a Time... cnnanuea front page 1 1 U.S.-Cuba Sister Cities association L.S.-Poland Sister Cities Council F d a I 1 149Q F i' I ,1 P d 1900. L.S.-China Sister Cities Council Foun,lted.Initzated: Conceived in 1995; official -:,Cl affiliate in 1995. Minion: The China Council addresses important issues of concern among local assvci:uiuns, and strengthens support for current and future u.S. China sister Lin- proizrams. Me.tvi,s Ctm,rerences: annualh, at the 0 Conference. liations: l 66 U.S. and 13C Chinese. i Loritact: Sandra Mamnnev at (2C6) 3_9- 9494 or sandymarC u.washington.edu. W,!bsiw: www•.sci-chinacouncil.we;o.com Oltll e : Tllnate.. - Lfission: To help L.S. and Cuban communities build sustainable sister city relationships that transcend politics. Meerings/Conferences: Several each year. ,-affiliations: 9, with many pending. Contact: Lisa Valanti at (412) 563-1519 or uscscala aol.com. Website: w%vw.uscsca.org `Note: Satcc SCI ,noes riot recognize affiliations torh countries wirhnut 1pinntatic ties to the L.S.. tune of the L.S.•Lllba sister city agreements are fornnalk, recognized by SCI. However, in the spirit of the sister cz.ry movement. it is hoped that such agreentairs will lead to ,greater internalunnal tuttlentanding. 01011 L! ! Mtla[C' . ropose Memoranduni of understanding j pending with the national office. ij Mission: To provide a Polish -focused nerworking organisation to strengthen Iocal pn ;rams and their relationships with their Palish counterparts. �leetins Con/�renct:s: annualh, at the SCI Conference. Affiliations: 3b U.S. and 35 Polish. Column::: Jeffrey Portko at (blb) 456- 5 353 or adwokatCaa hotmail.com. We ,ore hf 'periti char SCI mentt,ers goal supporters tctil cep ;ortcanl to help these groups grow. if there are am ''It emerging region -specific associations, please iet as knuu so tce can Mjllde -YOU nl the rlautta C: MJerenee. 6-12 Tempe, Arizona Assists in Reforestation and Water Supply 0 jects in Timbuktu, Mali empe Sister Cities Corporation has .mplemented an environmental project ,vith its sister city', Timbuktu, Mali. Severe droughts in recent vears prompted the "Garden of Peace" project, which will zoncribute to the reforestation effort through the donation of trees by Tempe citi_ens. In addition, Tempe has assisted in the construction of four wells in and around Timbuktu, and is currencIv working to secure the donation of the funds necessan- to build a fifth at a local school. Contacr. Site Lofo en Telephone: (48C 96i -C 181 Facsimile: (480) 736-Z868 E mail: slofgrenCearthlink.net `X'ebsite: www.tempe.gov/sister Recogaze-NationaIly Marilyn Brain . has been 'named a regional winner in the "Women at Their Best Awards," a nation-wide competition sponsored by Saturn and Glamour magazine. Ms. Braun directs the Cincinnati-Kharkiv (Ukraine) Sister City Project's "Community Connections" program, a State Department -funded initiative which brings visitors from Kharkiv to study how their professional fields function in free enterprise and democracy. ,Ms. Braun is listed as an award winner in the December 2000 issue of Glamour. She received a donation in her name to the Cincinnati- Kharkiv Sister Cir: Project. Contact: Jan Sherbin Telephone: (513) 231-3590 E-mail: glasnostCa worldnet.art.net �Xebsite: www.queencity.corn/kharkir Bloomington, Indiana Heals Hearts and Rebuilds Homes in Posoltega, Nicaragua More than one hundred people of all ages have traveled from Bloomington, Indiana Oltega, Nicaragua since 1988, building a sister city relationship that has enriched res of those in both communities in extraordinary ways.. The Bloomington Committee supports the efforts of the _ Nicaraguan people to realize sustainable development in healthcare, nutrition and _ education, and focuses principally on the needs of children in Posoltega. _ In the past two years alone, the Committee has contributed $150,000 in aid to assist Posoltega as it heals and rebuilds following the devastation wrought by Hurricane Mitch in A child carrying home a bucket of prmsions, 1998. The relief efforts have included (powdered rink, sardines, pass, cooking oil, nutritional assistance for malnourished children, cof fee, sugar, soap and ble=h). monthly supplies of food and other provisions, instruction in stress reduction techniques, and the purchase of forty acres of the total 180 needed for the development of Santa Maria, a survivor's resettlement community. In addition, the Committee sponsors a university scholarship program which recently graduated its first four Posoltegan students from Nicaraguan universities. The students earned degrees in mathematics and pediatric nursing, and 30 more students are currently enrolled in a variety of academic programs under the joint auspices of Nicaraguan universities and the Bloomington- Posoltega Committee. Bloomington continues many support activities, including ongoing programs in health awareness, literacy and sewing instruction. Jikse visit Bloomington's website at .bloomington.in.us/--sci-pos for more ormation. Contact: Barbara Seitz de Martinez Telephone: (812) 335-0851 Barbara Se= de Mar6vz working? with children E-malt: seitzb@indiana.edu on a literacy project. Chicago, Illinois Conducts Biotechnology Trade Mission to Paris, France V y �p$wCh mwwn 4s,:rrc hi,,,'d plum,, r :uL 'It V11 nnr. The Chicago Sinitr Cities International Program rCcentl conducte_l a fig e da trade mission t,, Parr ,%ith leaden of Chicag��s biotechn,�lo,�mdurtn. Tnis trip %%,Ii made F,:aib!c 'r.. public and prig ace tundin., tram the Illinois Departn;Cnt , tG. n,merc: ind �ttairs, DCloltte and Touche, L"niced .airliner and \ lL:Dunnell i , Chnen HulbCrt & Ber;hott, and sou;ht to promote Chicago as a major in North America. The dele,acion, comprised of representatives of 13 area companies. connected indusm- leaders with access to European markets, 2loh:il partnering and necnsorlking opportunities, and the latest innovauons in research, cechnolom and international biotechnology facilities. "The impact of this trade mission will be to increase jobs, growth and economic development for the Cin of Chicago," said Mayor Richard '\,l. Dale:. "It is just One example of our successful sister cities etfores chat are spearheading economic benetics for the arhole cirC' Chic.i_o and Paris ha%e been sister cities since 190b, and conduct cultural, educational and municipal exchanges, in an effort co stimulate economic growth in both ,:icier. Coruacc: Elizabeth Ha;er Telephone: (312) 744-9181 Facsimile: (31 _') 144-' 1,,78 E-mail: ehagerCeityofchicago.org \X�bsire: www.cityofchicago.org/ cevsisterCities 6-13 SPOTLIGHT ON ... 10 THE PORTLAND-KHABAROVSK SISTER CITY ASSOCIATION'S SOLID WASTE NIANAGEMENT INITIATIVE In the Soviet era, citi=ens of Khabarovsk, Russia were required co recover precious recvclables whenever possible, an environmental ethic practiced for decades. But when Russia opened her doors to free market economies, recycling and many other social programs in Khabarovsk crumbled. As a result, the garbage generated by the city's growing population has threatened to overwhelm the cin•'s solid waste collection and disposal systems. Russian ream ar P,rrLmd -Icrrn Transfer Stannn. Ocrnher ' (LR). Tnn Wart. St mwi ManaZI!r: Tau,au *,theta. Rus>ian fnt,:rpraer: kalenrina Si,lnn,t.t. Vic. ,r, Khaharnt'sk Terrirnm Cmin,::I of Narun Cr, [ClariniC .Anau'IN Oss,»k,,c. Kh,ihan,t,k Ca% Communal Seruccs. Khabarovsk's sister city, Portland, Oregon is itself a recogni:ed leader in community recvcling. Beginning in 1997, uth` oor the oral ate, sect' esc scientists, environmental educators and city officials first traveled berveen both cities under the 5cace Deparrmenc-funded "Communin- Conncccions" program for a first hand look at how both manage land, air and water safer• issues. In 1999 the Portland -Khabarovsk Sister City Associarion (PKSCA) was invited by SCI co propose a joint project under the Municipal and Commun)n Problem Solvin, Program (.\ICPSP) II. Khabarovsk•s Mayor, Pavel Filippov identified his cir', most urgenr need as support for their Target Program on Solid Waste. Four members „f the Portland SCA Board of Directors, fed by Donna Seirer, President, and Thomas Benke, Managing Member of The Ent irn.,nmencal Compliance Organi_am,n, fornied a t,:am to develop whar has beconie the PKSCA Solid Waste Management Inmacive. This team will develop a comprehensive solid waste management program t.cr the Cir" of Khabarovsk with emphasis on cirywide recycling programs and improving solid waste collection and disposal methods. The PKSCA Initiative has leveraged funding from SCI to generate more than 14 times that amount in in -kind contributions t�mtuiti46e for partnerships chat serve the 'weeds of the schools. - EARN will work closely with the network of U.S.-China sister cities programs and other partners to recruit, select and rank 25 U.S.-China secondary school partnerships that, pending additional Federal funding, will conduct reciprocal thematic student and educator exchanges. The pilot exchange will involve 22 U.S. and Chinese students and educators from -two high schools in Phoenix, Arizona -, and Chengdu, China, sister cities since from government and environmental consulting firms in Russia and the L:.5. Ti, L New p;lrrne7shic, are R`r ill:i „ . i1[-k between the A n_,ciacion Or Oregon Rccvclen and the Kha'r:lr, y k Terrlt,,n' CounCil or implc:ncnc neichb,`rilo�`d rec.",;!in� pro ;rams in Khabarovsk. Far.ire es ;z.,eces will address issues such as nuisance abatement at the cin landfill. plannin for material recover flciliries in Khabar�`t"sk, and market development for recyclable commodities including ,lass, metal. cardboard, textiles, pager and plastic. Please visit the PKSCA websice at www.pksca.org for more information. suburban . and aura racaland ethnic'mi of varying levels competition ' wiE & schools with:: e5d partnerships community "support, chance of bein. '1 eia February Z0d summer For moirr' David Porter with i] 2693, (2 T2) 870. dpotter@iearn.org. 6-14 Duluth Earns Praise... continued from page I and nations is nur sonie[him; rhat can h brokered by utficials or legislated b 16liricians. It begins with individua \olvement, iays Ma\ r Dan'. "[Oil sister cin•l relationships treat opportunities hir gras,roots citi_e pnr[icipants - people like us - co experienc and explore other cultures. and tasters a atmosphere in which economi development, trade, tourism, educaciu art, hisron% foreign languages, internariona relations and global understanding ca flourish." Indeed, Dulu[h's partnerships with i blur sister cities have genernced more tha 310 million in direct revenue for the cif over the last few Fears. a scary that h captured national acclaim and was feature recently in The Nete Y'Ork Times. Reflecti\ of sister cities' roles in the ,lubal econonl these relariomships, which bean as Pure cultural links, are shifting more prod centered enterprises. while [l programs with Perro=av�udsk and Thund Ba\�, Canada rennlin largel\ culniral, ti g n Eli I 4axjo, Sweden and Ohara. Japan models e now also business -oriented. The relationship with Vaxjo, in an ettort e to brink_ investment opportnities to the y region, has led to the creation of 'Soft I Center Duluth. It is a "school -to -\work" r paradigm for the information-rechnolog, e indusrnv, which will brin_ ro,ether tOC n high-[echnolo, v businesses, branches of m e t1CadelC institultlUnS, profe!,sor5 w'orkiR`, aJ n research and development consultants, and c students Elkin,- classes and ;erving n, intermhip�, all under one roof. I %lodeled afrer the :original campus in n Ronneb\, weden. loft Center Duluth has atrracred \ isicor• and potentialn ceanrs is front the n L'K, France. \o\,i\", W'e c Arica.n n Canada and man\ Parrs of the L*. . With \ an initial im esrnienc of 5:4 million, the as hope is that this cenrer %\ill enc.`url_e Che d deyelopnlent of DUIUrh into a m.ijor part e city of information rechnulo n. \. The Ohara parrner<hip. mc1 nsi,ler n_ a vsimilar b urine<t� cup. i• nrvy exr hrr._ -Ile [- Idea of arkCltl_ e'dt'lnll, Aac,lri� •n�. The 1e tie, lar_el\ cultural un[il recenrf, dare er back Co chc Anik:rican in [he LO_L , s %\hell ,1 :nc iiC%.11 le ,ong was "claimed" by Amerilarl rs, and Chen after lengthy ne'uciacions, returned to its ri_hrfuil owners in 1951. In ,ritirude. [he Japanese delivered a full- scale replica of the _un_ to Duluth, which now sits in Enger Park. The Duluth sister cities pro_ram continuel- tl1 s[llnd as a �Iunin_ eN,Unple Alt how 'iscer cin relationships can brin,, Illeasllrable belleflrs Cl) the C0111111r1111C1Cs invoked- While pnividin_ a deeper underncandin_ of new :LlIIUres and promoring economic developnienr opportunule,, these P lrrnrrships al o unite ,:in. hall 111,1 ClCI=eR iroUn l a Cominon C,WU e, Chin per\'ill_ .,s .l CCsCilllenC C,, the SCreIL`'CIl ��t Ci`Innlrlllir'�-��C1Ci1GL'd i'C��IeCt�. To learn more ab ut DuIlICl1 • :11an� pro_rinls. Please Tit rile C_IluCil ww•w•. duluthsistercities.org, or contact Am\- %Veidnlan at (2 l �) 7 = i i 7 1_� i. ('_IS) 723-3o37 It;lx) or aw•eidnaan(u ci.duluth.mn.us. To read more stories speciticatIv about [Ile ".-unties and Uncles' pri _r:ull, please visit [he BiiJ1­,2r,: r \ :r \e!- to at ww-w.duluth.com. 044 STONES AC ITACROSS THE OCEAN" SCULPTURE UNITES DULUTH AND OHARA Talented sculptor Louis Detilartinu *embarked on the project of a lifetime, a project to create a lasting symbol of [he vibrant sister city partnership between Duluth, Nlinnesora and Ohara, Japan. In a Collaborative venture between the Duluth 'Sister Cities Commission and the Duluth Public :arts Commission. an international colllpeticion was held to choose a sculptor Co create an artwork as a specl,ll ,Ift for Ohara. Mr. De`lartino's sculpture proposal of symbolical)\ unifin; the n\o cities with one indigenous stone fruna each countn' was the winning enm. Working with black granite tram Llinnesoca, and native green marble from Japan, Mr. DeMartino cut and titred the two lar,e scones togerher in a circle of stainless steel rings, and then bound them by a large :vlindrical pin that pierced both of the stones. The stones were chosen to represent the Japanese concept of LikaruSa (friendliness and cheerfulness) and the rings cu represent k\oochoosei (cooperation). Mr. DeNlartino describes "Harmony" as his favorite commission, and is currentiv extending his "Stones .cross the Ocean" sculpture series to other sister city partnerships. The work3 of art are designed to symbolix coupera[iun and international friendship, and are a rangible symbol of the special bond the communities share. If \our ciC\" L Interested in coniniis>ionin,.' a sculp(ure, please conclCr Mr. DeNt,irinic at 1`"1��) 16)-1315, l9C9) 1(3-236_ )fax) or louis((-t louisdemartino.com. This page, which will become a re,tlar feature in Sister Cities News, is dedicated to You, oter members, to help ,ou learn more about international exchanges and vour sister city parrners. \X� will provide practical information on protocol, special member benefits, and general "tips and tools" CO building international bridges. ........................................ Protocol When traveling on a sister city exchange, it is always appropriate to : bring a gift for your host. : International gift giving protocol : varies greatly from country to country, and the importance of : actually exchanging gifts varies among cultures. For instance, Asians place high importance on gift giving, which : serves to communicate respect, : friendship and appreciation; however, gift exchange in Australia, : Canada, Europe and the U.S. is seen as a nice gesture, but is rarely expected. Regional gifts, such as handmade : products and food, are always a thoughtful option. For example, Native American arts and crafts are always popular; or if Wisconsin is your home state, you might bring some cheese - unless, of course, you're going to China, where cheese is not a pan of the diet! In addition: *In Asia, always offer your wrapped : gift with two hands, giving special consideration to the color of the paper (some Asian cultures consider brightly colored paper too flashy). *In Western Europe, bring flowers or chocolate to your host, but never lilies, chrysanthemums or a wreath, which signify death. *Consider gifts of silver, precious : : stones, cashmere, crystal or porcelain : in the Middle East, but never alcohol = or leather products made of pigskin, which are offensive to Muslims. *At business meetings in Australia or Canada, small items with your company's logo are usually sufficient. *Fine liquors, wine, candies and jeans (only in some countries) are appropriate gifts in Latin America, as are flowers, but not red roses, which are a symbol of courtship. ..........................................: Featured Member Benefit International secondan- school students, when traveling to the U.S. for academic study, must have a J- I visa in order to enroll in their designated high .school and complete t_' months of study. SCI continues to process IAP-66 applications, which are the forms required for approval and issuance of the J-I visa. The cost is S_CC, a rate Of K"o less than other companies. This benefit is only open to dues -paving members of SCI. "Cl requires a minimum of 60 days for full processing of applications. This alloys enough time to process the forms and send them to the student, as well as for the student to apply in person at the American Embassy;Consulate before traveling co the U.S. for their exchange. It is important to note that possession of the IAP-66 forms .foes not aucoma ticalk guarantee that the U.S. Embassy. Consulate will issue the J-1 visa, and unfortunate(,: there is nothing SCI can do to reverse this decision. However, SCI reviews all applications for program mer:r and viability• before issuing the fAP-66 forms, and has "A Guide ror Youth Exchange," which can help your sister city committee understand the responsil ilitie� and requirements of this R•pe of exchange. Please direct sour quesrion> ro HerE Th,,n ,as at i'C_1 34 -663-2 or hthomasCsister- cities. org. The `Visa Story SCI has a detailed list or the mane different visa categories. This analysis was compiled by David L'Heureux, President of the Rockville (Maryland) Sister Cities Program and a 44- year State Department veteran. Please visa our website or contact the national office for your copy. Keeping In Touch With Your Embassies NViether you're traveling on a grant -related exchange, or simply making a friendly visit to your sister city friends, keeping your U.S. embassy informed of your sister city program activities is important, and can be very valuable in the success of your relationship. All embassies appreciate information regarding what work is being done in their area, and telling them about the creative programs your sister city partnerships are involved in is a great way to maintain the sister cities reputation. Embassies are a tremendous source of information and can offer: ✓ Details about other organizations working in the area ✓ Help in coordinating efforts and resources ✓ Funding opportunities ✓ The latest political, cultural and economic news ✓ Assistance in the event of an emergency or disaster All government agencies encourage non -profits to keep in contact with their embassies. If possible, try to arrange meetings at the embassy during the time of your stay. Please visit www.usembassy.state.gov for embassy contact information. 6-16 NEWOf ILLENNIUM PASSPORT PA*I'NERS As of December 15, 2000 CITIZEN AMBASSADORS ($2,500 OR ;MORE) Robert & Martha Atherton - Des Plaines, IL M The Adams Ltark Hotel - Denver, CO Bidgov.com - Des Muines, IA Northern States Power Compam• - Eau Claire, W'I Pitnev Bowes, Inc. - Shelton, CT The University of Wisconsin -Stour - Menomonie, W'I The City of Menomonie, WI CITIZEN DIPLOMATS ($1,000 - $2,500) National League of Cities - Washington, DC United States Conference of Mavors - W'ashingron. DC National Association of Counties - W'ashington, DC International Ciry/County Management .-association - W'ashington, DC All Nippon Airways, Inc. - Tokco, Japan Cedar Corporation - Menomonie, W'I Gunderson Lutheran Hospital - LaCrosse, WI Horizons Unlimited - Rockville, MD Institute for International Sport - Kingston, RI NORCAL Sister Cities - Northern CA Ketrerina Sister Cities Association - Kettering, OH City of New York, NY City of San Antonio, TX Nancy Eidam - Santa Cruz. CA Dr. Stelle Feuers - Los Angeles, CA Jim & Parky Forrester - Bellevue, WA John Henry Fullen - Toledo, OH Roxana Goin - Santa Cruz, CA ercer Island. WA Pleasant Hill, Ci ion -(es -Gains, France Mem, fon, Turks; Austin, TX Culver City, C2 Orin, Nigeria Yanji Cry, Chute Seattle, WA :a State of Iota-' wukville, Cambodia Uertero Region, Im Gary, IN Pittsburgh, PA Lagos, Nigeria Donetsk, Ukrain Cleburne, TX Irving, TX vnfor Gu_ajuato` - Espoo, Finland' Glenn Gray - Juneau, AK Patricia Simonson Hale - Bellevue, WA The Honev Family - Takoma Park, MD David Lisk - Roanoke, VA Thelma & Lou Press - San Bernardino. CA Frederick & Javne Quellmal: - Des Plaines, IL Ethelda Singer - Los Angeles, CA Brian Smith & Kim McClain - Glastonhun CT Chuck & Lu Stokke - Menomonie, WI Michael & Sue Srokke - Eden Prairie, MN Tom & Su:anne Ten Hoeve - Holland, MI jean Van Buskirk - Baltimore, NtD Paula West - Phoenix, AZ PARTNERS FOR EXCELLENCE (UNDER S1,000) %'RR Environmental Services. Co. - Eau Claire, W-I Friends of Sister Cities (FSC) - Santa Cruz, CA Organization Promoting Everlasting Neighhur< (OPEN) Newton, [A Bellevue Sister Cities Asscciarntn - Bellevue, WA Hilde Berg - RocktCrJ, IL Georgiana McLeod - Hunringam Beach, CA The Honorable Charles Nckon - W'asllin_t,`n, LAC Florine Postell - Cincinnati. OH Crispin A. Simonsen - Bellevue. WA Brian Smith - Glastonhun•. CT Steve & Rosie Vassallo - Madison. MS Dorothy' & Arthur Webb - Bellevue. WA R'11-11 C 11su1 Ka<prn k. \Lip„r Tern Lucer(I and cirt. otticiak frrnl Bri,ht,n1. Colorado and Ziel-icu, PAind .ii the ie.lic.irion of r!1,: sister cities monument in Benedict P.irl. in Brighton. Ziei-`ice ar.J Bri,h[on h,n a ver% <tn0n; ,'uth �xchan;e E�n,_,r.im and are their fire-ve:ir anni%"ersan thi< %-ear. ®In support of our mission. SCI prints all newsletters on recycled paper and coordinates madhouse efforts through Central Fairf,LY Sersices (CFS), an or;anization that emplo-vs people with disabilities. Sister Cities International 141.4 K Street, Nam; Suite 6CC First Class Washington, DC 20007- _-_ _ —. - U.S. Postage PAID n II'' t = ,-- , Permit 5615 Rocer, T Herrera ,; r— Merrifield, VA C,ty Manger j 1 C;t` of La PofLeJAN U^ 60-1 West Fairmcn; P4'rk%. ay i La Pore TX '_S-'': L ,� 1 C; F;cc 6-17 0 0 • 2001 SO COtiFEBENCE REGISTRATION FOR -NI Title First Natlle rO Appear O!1 11dd'_'C Joh PO,lriOI1 Tirlc Or,aniz,lrion Ati-iliarion AdLiress Cin- Telephone )_ arrival Date and T1111e First Lan`*ua`,c Spokcn iddlc I111rlI! Las State Province Fax ( , Please contact Dc'anira Holland ar (202) ,347-86,35 ZiD PO,ral C,Ude F-n1ail 1).:rc .11!Li Tit;lc Conference Fees — Please check appropriate box: (includes all morksbops watc-7171s, eyilbits, Opt'r11111T IlCic�7r:r)11. I1t;:4ra'.' L:lrli%JCO11..l(a'.'Nl'j Rcceptton. .-llt':rr'ds LI;1L/)c011, Tolclio Reception, and Closl;iq Event) ❑ S315 - US Membcr'hlrcrnarional "Early" t expires 3 16 01 5360 - US Non Mcnlbcr "Earle" ( expires 3r 16 01) Z] S3 90 - US cillber hIM-11.lrion,ll "ALk,ulce" 1 3, 16 - _ 02 01 :1 5423 - US Non Mcmbcr "Advance" (3 ' 16 - 7, 02, 01 ) :1 S463 US Member Imcl iariollal "On -Sire" Z3 S500 - (_'S Non Member "On -Sire" ZI S295 A'_'C ] 1225 - YOUrh A_'c :1 S 123 Wednesd I Urtly Z) S 13-0 - ThUrs,11y 0711" :1 S I -3 Frid a\ Urli \urc: Day Only _Sclecriolls c117111Ur Je:07111J(JIct1 I IWI arll' orhC:- e:Cecpr 111t117'Idllal I1c�['t�il;'clltrses.! Event :attendance — Please check the events that you plan to attend tilcSc CTCWs a;'c illiluded in tLc fill) ;'c(Tistratiun fee; ❑ International ReuW11.11 Work.shop. I and Interested in the in`, Rc`,ioM s Z) Opening Rcccpriun (WCdnCsuiay) :1 I_ltllc11eO11 : Thursd \ I D avor's Receprion (Thursday) AW111s l.11I1C11COI1 Friday Z) Toledo Rcccpticm Friday? :I Closing, Event (S,1[llrd.1l') Special Dietan' Needs: ❑ Vi__,ctari.ln :1 Lusher :1 Other Individual Event Tickets for Friends/'Family — Name Z) S30 - Luncheon. Thu, July 26 :1 S3 S - awards Lunc!eon, Fri fuly _'- :1 S30 - Closin Event, Sat July 28 Payment Information (Re;Ristr•ation will not be processed rvitlwret acconrpanviirq registration payment in fit11): Ti)ral A1110unr Due S (All tees nlu.sr be in US dollars.) Method of P.1ylncnc: ❑ \Ioncv Order Z1 Check _ ( Checks money orders payable to Sister Cities International) :1 Credit Card: Number Expires_ Name on Card Cardholdcr's Si,nanire .Mail form with payment to: SCI 2001; c/o ESL'; P.O. Box 32862; Baltimore, NID 21282 Fax form with credit card information to: (410) 339-2217 Telephone Registration and other questions: (800) 937 -8-28, 9 am - 3 pm EST, IMondav through Friday Re(ister on-line with credit card payment at: www.sister-cities.org E-mail: infoC vesevents.com For hotel rescn .lrions conracr the Hyart Rc,cncy Hotel at i 404I 3 1 _'34. To receive the conference race, idenrih- yourself As an ,lrtcndcc of the Sister Cities lnrcrnarion.11 Colltel-CI1CC. lie sure co make your resenarions by June 28, 2001. 6-18 0 • 0 SCI Conference Schedule at a Glance • International Regional Forums including US, Africa, US/China, US/Japan, CSi:�Iexico, and US; Poland. These day -tong forums will im•olve participants from around the world (Wednesdav) • Concurrent workshops which focus on practical information for developing and strengthening sister cin, programs at the ;rassroots level (Thursday - Saturdavi • State Meetings • SCI Leadership S; Business Nleerings • Mayor's We!come Reception • SCI's 45d, Ariniversary Celebration • SCI Awards Luncheon • Toledo 2002 Conference Reception .Meet and work with: • Citizens and cin- and government officials from across the country who are providing leadership and global engagements for their sister rift, programs • Locall program staff members • Newcomers to Sister Cities International • International sister city colleagues who wish to strengthen the global sister cities network Return with new tools and techniques for: • Establishing partnerships with schools, colleges, businesses, service clubs and other organizations committed to building international bridges • Creating innovative sister cin, programs which promote "thinking globally and acting locally" • Fostering excellence in your entire sister cin program For additional information, please contact Deanita. Holland, Conference Director Phone: (202) 347-8630 Fax: (202) 393-6524 E-mail: dhofland@sister-cities.org Visit SCI online at wwwsistcr-cities.org SISTER CITIES INTERNATIONAL YOUR CONLNIUNITY'S PASSPORT TO THE WORLD Developing 21st Century sister city programs through Partner ship, Innovation and Ewellence The SCI Annual Conference is roar opportunin, to learn from and network with hundreds of other dedicated sister cin, Volunteers, elected officials, professionals Mid international collea1-2uCs. TAKE ADVANTAGE OF T1�E EARLY" RATE! Register by March 16, 2001 and save $100.00 ' (with conference coupon). t 6-19