The Henderson City Council held a meeting during its regular meeting on Monday, June 9, 2008 over a proposed application for a $1 million grant from the North Carolina Department of Community Assistance.
The grant would cover architectural drawing and initial construction of the Embassy Square Project Phase II, i.e. a performing arts center.
In prefacing remarks, Interim City Manager Ed Wyatt characterized the Embassy project as a “top priority project”. He said that Community Development Director Erris Dunston would coordinate the project, and mentioned that the city would be eligible for up to 10% of the grant for the reimbursement of administrative costs.
The grant would be for 30 months with a 36 month spend-down.
Henderson Mayor Pete O’Geary opened the public hearing by asking if anyone wished to speak against the grant application. He then asked if anyone wished to speak for the grant.
Embassy Foundation President Sam Watkins was the first to address the council. He told members that the performing arts center would be “a great indication of what this community can do”.
Watkins indicated that it would give the city a better chance of securing other grant funds in the future. He stated that each time [Henderson] pulls together and is successful, “we can point to it in Washington and Raleigh”.
Watkins also said that he thinks there is a broad basis of support in the community [for the project].
Former Henderson City Council member Elissa Yount spoke after Watkins, first distributing a copy of her remarks, a copy of questions relevant to community revitalization concerns, and a copy of questions related to concerns over publicly made comments about the project.
Yount told the council that questions needs to be answered if the city is going to use taxpayer money or credit. She also said that citizens must have the full story of the past, present, and future of the project.
The former council member noted that politicos such as Reps. Mark Basnight, Doug Berger, Jim Crawford, and Michael Wray have toured Henderson and seen its critical needs. She said that many across the state are “stakeholders” in the revitalization of Henderson.
Yount asked why the city would use up $1 million of a maximum of $1.25 million in possible grant funding for the Embassy Project when the city previously listed water and sewer as its initial priority.
Yount concluded by asking the council to endorse using Community Development Block Grant funds for housing and sewer needs in Henderson.
Former Mayor Chick Young spoke for the project, telling members that it has “been a long road”. He said that the project has been “a number one priority of the council for many years”.
Young said that the timing is right to ask for the grant, and that the people who administer grants are “looking on it favorably”.
Mark Hopper of the Henderson Community Concert Association told council members that the project isn’t about a particular agenda or a particular person’s interests but about optimism. He said that housing and infrastructure needs do not bring people to a community or put people in motels or restaurants.
Former council member Bobby Gupton spoke to the council about critical sewer needs, using a “sewer fountain” on Nethery Street as an illustration.
“When you have a front yard full of [sewage] your priorities change,” Gupton said.
After O’Geary closed the public hearing, member Garry Daeke expressed that he thought that [Yount’s] questions are “things the council needs to know to make a decision like this”. He indicated that he would have preferred to ask them “behind the scenes”, but that he thought he needed to ask them [during the meeting].
Daeke asked about the relationship between the project and the Council of Governments. He was told that the COG would assist if the city needed it.
When Daeke asked how the grant would compete with the potential for other CDBG grants, it was determined that until the grant was completely spent and the project closed would the city be able to apply for grants under the community revitalization category. It was later determined that the city would only be able to apply for $250,000 in another category (infrastructure, infrastructure hookup, etc.) until the grant was discharged, a process that has been estimated at three years.
The Orange/Breckenridge CDBG Project, for example, could not be funded because it also falls under the community revitalization category along with the proposed performing arts center.
Daeke stated that he endorses the Embassy project, but that he also supports housing and infrastructure needs.
A motion to proceed with the application passed unanimously. Daeke appeared to shake his head “no” during the vote, but when asked to confirm, he voted for the application to proceed.