October 17, 2023

RACHEL PALMER HOOPER

VIA ELECTRONIC MAIL rhooper@bakerlaw.com
Jane Hornstein
Director, Special Applications Center
U.S. Department of Housing and Urban Development

Re: 800 Middle Street Project (also known as EaDo 800, EaDo Ltd.)

Dear Ms. Hornstein:

For the last four years, my client, Alan Atkinson, has fought for transparency and honest
dealing in relation to the City of Houston (“City”) and the Houston Housing Authority (“HHA”)
and 28.5 acres of environmentally impacted land. 1 The City and HHA, posing as EaDo 800 Ltd.
(“EaDo 800”) have deliberately schemed to purchase contaminated land with federally protected
funds, remove this land from the tax rolls, and build so-called “affordable” housing on
environmentally hazardous land known as 800 Middle Street (the “Contaminated Property”).
Houstonians are gravely concerned about the impact of the environmental hazards to the future
residents of 860 family apartment units (400 now under construction) on the Contaminated
Property.

1
Attached as Exhibit A, please see a timeline of the City and HHA’s actions regarding the Contaminated
Land.
Jane Hornstein
October 17, 2023
Page 2

Of the 28.5 acres of environmentally impacted land (Tracts One, Two, and Three), the
largest, Tract One (21.7 acres), shares a fence with an active lead smelting plant and Superfund
site (Lead Products) and lies adjacent to a severely contaminated, non-remediated trash incinerator
owned by the City (Velasco). Development of Tract One is impacted by a recognized fall hazard
from an adjacent radio tower. Additionally, Tract One cannot meet access standards through a
substandard street grid as it is located on a dead end and landlocked on three sides by Buffalo Bayou
and contaminated industrial properties.

The City and HHA used $13 million of federally managed housing funds to purchase the
Contaminated Property for tax-exempt, low-income apartments. The contaminated land is
impacted by historical environmental hazards including City-owned garbage disposal facilities
(Velasco) and an active lead smelting plant and Superfund site (Lead Products). The continued
presence of ash and nearby production of lead presents an environmental hazard that undoubtedly
“affect[s] the health and safety of occupants” in the East End.

On September 13, 2023, the Texas Commission on Environmental Quality issued four
violations to HHA related to the Tract One contaminated property:
Jane Hornstein
October 17, 2023
Page 3

On October 5, 2023, the Texas Department of Housing and Community Affairs

(“TDHCA”) raised skepticism that the environmental assessment for the Contaminated Property
is accurate (“The factual development calls into question whether the Development Site is or has
recently been exposed to hazardous materials or conditions that affect the accuracy of the
conclusions of the ESA.”). 2 The environmental assessment provided by the City (via the HHA)
clearly misrepresents the actual environmental conditions of the property and the adjoining
neighborhood.

The City and HHA submitted two separate bond applications to TDHCA with false
representations. One application for $48 million claimed that no litigation was pending, which was
a false statement. The other application for $32 million falsely claimed that no contamination was
within 300 feet of the property.

This week, after years of blocking Mr. Atkinson’s transparency efforts, the City now admits
that the Velasco incinerator site has “environmental issues” that require “environmental
remediation.” On the City Council agenda for October 17-18, 2023 (the “Agenda”) is an ordinance
approving and authorizing a transfer of 4.5574 acres of land – the Velasco incinerator site at 800
North Velasco Street (the “Velasco Incinerator Site”):

Mayor Sylvester Turner, who set the Agenda3, seeks City Council approval of an
agreement to transfer the City-owned Velasco Incinerator Site to the Houston Land Bank, a local
government corporation created by the City. 4 The stated purpose of the land transfer is to
facilitate the application for an Environmental Protection Agency grant to cover
environmental remediation costs.

This proposed title transfer does not correct the false representations made in construction
bond applications and documents, nor does it explain how and when remediation will be completed
before 400 low income families with children will be moved into the non-conforming apartments.
All properties that are used for HUD programs must “be free of hazardous materials,
contamination, toxic chemicals and gases . . . where a hazard could affect the health and safety of

2
A true and accurate copy of the October 5, 2023 correspondence is attached hereto and incorporated herein
as Exhibit B.
3
See Houston Code of Ordinances, Article I, Sec. 2-2, Rule 3.
4
A true and accurate copy of the relevant portions of the Agenda are attached hereto and incorporated
herein as Exhibit C.
Jane Hornstein
October 17, 2023
Page 4

occupants or conflict with the intended utilization of the property.” 24 CFR §58(i)(2)(i). A
proposed public housing site “shall be free from adverse environmental conditions, natural or
manmade, such as: Toxic or contaminated soils and substances.” 24 CFR §905.602(d). An
environmental impact statement must be required to protect the public.

If you have any additional questions related to this matter, please contact me at
713.646.1329.

Sincerely,

Rachel Palmer Hooper

Attachments

cc: Lorraine D. Walls, Director, Houston Field Office

U.S. Department of Housing and Urban Development

Bobby Wilkinson, Executive Director

Texas Department of Housing and Community Affairs

Beau Eccles, General Counsel and Board Secretary

Texas Department of Housing and Community Affairs

Mary Smith, General Counsel

Texas Commission on Environmental Quality

Garrett T. Arthur, Public Interest Counsel

Texas Commission on Environmental Quality
 EXHIBIT A
800 MIDDLE STREET PROJECT TIMELINE

2014 John Wallace of Pinto Realty Partners (Cockrell entity) sends email to
City of Houston Chief Development Officer Andy Icken and Tom
Davis at the City of Houston and copies Randy Wile, Kevin Ward,
and Ernie Cockrell regarding Cockrell/Pinto East End property (“We
have contracted to sell all our property in the East End . . . The
purpose of this email is to put you in touch with Randy Wile who has
28 acres at Middle Street and the Bayou under contract and is doing
his due diligence. I mentioned to Randy about our past meeting with
you and Larry Nettles to discuss the COH incinerator site.”)
2015 City of Houston Chief Development Officer Andy Icken attempts to
put together a private sale of all three tracts (28.5 acres privately
owned by Pinto East End LLC) and Velasco Incinerator site (4.5 acre)
between Randy Wile
January 1, 2016 Mayor Sylvester Turner takes office as mayor of the City of Houston
2016 Conditional Voluntary Cleanup Program Conditional Certificate of
Completion (VCP 1966) approved (requires annual inspections and
reports verifying that clay cap effective) (approved based on
representation that clay cap on 5.12 acre property was effective)
August 5, 2016 Houston Housing Authority Chairman Lance Gilliam submits
resignation to Mayor Sylvester Turner
Starting in March 2017 InControl Technologies, Inc. submits environmental reports to Texas
Commission on Environmental Quality claiming that clay cap was
effective
August 2017 Hurricane Harvey devastates Clayton Homes
November 20, 2018 NRP signs purchase and sale contract with Pinto East End LLC with
right to assign to HHA (includes all three tracts – 28.5 acres) (the
“Contract”)
April 17, 2019 First Amendment of the Contract
May 17, 2019 Second Amendment of the Contract
May 31, 2019 Third Amendment of the Contract
June 17, 2019 Houston Housing Authority (“HHA”) Resolution No. 3063 (drafted
by Coats Rose)
June 20, 2019 Fourth Amendment of the Contract (purchase price raised, broker
commission raised, closing by August 19, 2019, nonrefundable
$25,000 earnest money payment)
July 16, 2019 HHA Resolution No. 3074 (HHA accepts assignment of all three
tracts, but only includes metes and bounds description for Tract One,
not Tracts Two or Three) (MOU drafted by Coats Rose)
 August 5, 2019 Fifth Amendment of the Contract (closing on or before October 7,
2019, additional nonrefundable $100,000 earnest money payment
with second nonrefundable $50,000 earnest money payment before
August 28, 2019)
August 9, 2019 HHA CEO Tory Gunsolley sends “Clayton replacement memo for
SJL” to HHA Board Chair LaRence Snowden – a Clayton Homes
update for Congresswoman Sheila Jackson Lee
August 19, 2019 HHA CEO Tory Gunsolley sends email to HUD SAC Jane Hornstein
claiming that they need to close quickly because they have identified
a property close to Clayton Homes – First notice to HUD (“We have
identified a parcel that we now have under contract to replace a bulk
of the units that is within a half mile from the original site. The land
must be closed by October 3.”)
August 2019 HHA writes $150,000 check to NRP for reimbursement of first
earnest money payment to Pinto East End LLC
August 2019 HHA CEO Tory Gunsolley executes assignment of NRP purchase
contract with Pinto East End LLC (assignment drafted by Coats
Rose)
August 2019 HHA CEO Tory Gunsolley notifies HUD of assignment
September 10, 2019 Charter Title notifies HHA that they have received HHA’s $100,000
wire for the earnest money payment
September 26, 2019 HHA puts together meeting materials to meet with the mayor about
the EaDo 800 project
September 2019 HHA notifies HUD of funds to be received by TxDOT for Clayton
Homes sale ($70M first release) – seeking approval for release of
funds to purchase property
October 2, 2019 Mayor Turner sends letter to HUD in support of HHA’s application
for release of funds to purchase property (“it will provide our
residents greater choice and the chance to move into high-
opportunity neighborhoods with improved access to schools, jobs,
and other community resources) – no mention of environmental
hazards
October 3, 2019 Sixth Amendment of the Contract (nonrefundable $1.5 million
earnest money payment)
October 2019 HHA pays $1.5 million to Pinto East End LLC
November 15, 2019 HHA CEO Tory Gunsolley submits application to HUD (does not
include address of property, description, acreage)
November 19, 2019 Alan Atkinson raises public claim of concealment of environmental
hazards by HHA
November 22, 2019 HUD SAC received revised application to HUD
November 26, 2019 HHA ratifies Resolution Nos. 3063, 3074
November/December HHA Board Member Proler asks HHA CEO Tory Gunsolley, “How
Special Meeting large is it?” and Gunsolley responds “28.5 acres” yet the minutes
claim that the land size is “approximately 20 acres”
December 12, 2019 Alan Atkinson sends email to HUD advising about HHA’s attempt to
purchase environmentally contaminated land (“heavily contaminated
with incinerator ash up to 23 feet thick. Due to flood events over the
past five years, such incinerator ash is in direct contact with Buffalo
Bayou and comprises a daily violation of the Clean Water Act.”)
December 12, 2019 HHA CEO Tory Gunsolley sends email to HUD SAC Jane Hornstein
claiming that HHA has been up front about transferring contaminated
land to the Buffalo Bayou Partnership after HUD confronts HHA
with Alan Atkinson’s email
December 12, 2019 Seventh Amendment of the Contract
December 13, 2019 Resolution No. 3131 posted for Board review for December 17
meeting (coming clean resolution to recognize Tracts Two and
Three) – subsequently removed from notice on December 16
December 16, 2019 HHA CEO Tory Gunsolley has 23 minute telephone call with Licia
Green-Ellis; HHA Board Chair LaRence Snowden has one 15 minute
telephone call and a second five minute telephone call with Licia
Green-Ellis; Andy Icken has nine minute telephone call with Lance
Gilliam
December 19, 2019 Eighth Amendment of the Contract (closing on or before February 14,
2020, nonrefundable $25,000 closing extension fee)
January 2020 HUD reminds HHA about the rules and not to commit funds without
approval (“don’t do it again”)
January 14, 2020 City of Houston Chief Development Officer Andy Icken seeks update
on 800 Middle Street project from HHA CEO Tory Gunsolley after
receiving an email from Ernie D. Cockrell (“I just wanted to follow
up with regarding our meeting we had with HHA and Olaja [sic]. Let
me know if there is anything that I can do to assist. On another note,
it seems that Alan Atkinson has calmed down. We haven’t heard of
any more noice [sic].”)
January 16, 2020 HHA voted not to extend the contract of HHA CEO Tory Gunsolley
January 28, 2020 City of Houston Chief Development Officer Andy Icken
communicates with Houston Housing Director Tom McCasland,
Waterman Steele Group President & CEO Licia Green-Ellis, and
HHA Board Chair LaRence Snowden about the 800 Middle Street
project
January 29, 2020 HUD sends email asking HHA about funds used for Middle Street
(“How much money did you utilize for Middle Street? Where did the
funds come from? Reminder HUD has not approved purchase of this
property with federal funds.”)
January 31, 2020 City of Houston Chief Development Officer Andy Icken
communicates with Waterman Steele Group President & CEO Licia
Green-Ellis
February 1, 2020 Andy Icken communicates with Waterman Steele Group President &
CEO Licia Green-Ellis and claims that he “can likely help with ernie”
 February 3, 2020 HHA tells HUD that “the 21 acres and the 6 acres look good
environmentally”
February 4, 2020 HHA notifies HUD of earnest money payment
HHA: “Total deposited to date $1,825.000”
HUD: “Thanks thought you said 1.8 million . . . so thousand”
HHA: “Million. Total deposited to date $1,825,000.”
February 6, 2020 Alan Atkinson submits official complaint to HUD regarding 800
Middle Street project
February 13, 2020 Ninth Amendment of the Contract (closing on or before February 19,
2020 extendable to May 15, 2020, nonrefundable $400,000 second
closing extension fee payment)
February 14, 2020 Texas Commission on Environmental Quality sends notification of
complaint regarding VCP 1966
February 17, 2020 InControl Technologies, Inc. responds to Texas Commission on
Environmental Quality complaint
April 2020 HHA Board Meeting: Tract Three is removed from the contract (the
first time Tract Three reported to HHA Board)
May 15, 2020 Tenth Amendment of the Contract
June 18, 2020 HHA Board Chair LaRence Snowden sends email regarding meeting
to discuss 800 Middle Street to Tom McCasland and Andy Icken
June 19, 2020- HHA out of contract
November 10, 2020
September 30, 2020 City issues public notice on “800 EaDo Lofts Apartments” project
(“The City of Houston has determined that the project will have no
significant impact on the human environment.”)
November 10, 2020 Eleventh Amendment of the Contract (backdated to be effective June
19, 2020)
December 8, 2020 HUD letter approving release of funds to buy Tract One, but
instructions to not buy Tract Two until the Texas Commission on
Environmental Quality reinstates VCP 1966
December 31, 2020 Twelfth Amendment of the Contract (close Tract One for $48 million
(21.1 acres) but only held back $5 million in escrow even though Tract
Two was previously valued at $9.8 million and Tract Three was
previously valued at $3.1 million)
February 1, 2021 HHA closes on Tract Two
February 2, 2021 HUD reminds HHA to not take title to Tract Two until the Texas
Commission on Environmental Quality reinstates VCP 1966
September 20, 2021 Mayor Sylvester Turner fires Houston Housing Director Tom
McCasland after McCasland accused the mayor of running a
predetermined process to allocate $15 million to a favored developer
 .

TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS

www.tdhca.state.tx.us
Greg Abbott BOARD MEMBERS
GOVERNOR Leo Vasquez, Chair
Kenny Marchant, Vice Chair
Anna Maria Farías, Member
Holland Harper, Member
Ajay Thomas, Member

October 5, 2023
Writer’s direct dial: (512) 475-3296
Email: bobby.wilkinson@tdhca.state.tx.us

David A. Northern
President and CEO
Houston Housing Authority
Via email: president@housingforhouston.com

RE: 800 Middle Apartments AKA The Pointe at Bayou Bend, HTC Application #22419

Dear Mr. Northern:

On June 7, 2022, TDCHA staff administratively issued a Determination Notice for the above-
described application for 4% Housing Tax Credits. As you know, a Determination Notice is not an award
of credits, as that decision rests solely with the Internal Revenue Service, and is subject to final cost
certification review and issuance of IRS Form 8609 by the Department.

The Determination Notice on this Application was based on numerous factors and documents
submitted with the Application, including the Environmental Site Assessment (ESA) for the eight-acre
Development Site and description of the greater 21-acre tract. Several hundred feet from the
Development Site, historical environmental hazards in soil and ash deposits were identified in the ESA,
but since they were reported as having been made stable by the placement of an impermeable clay cap
or other mitigation efforts, the ESA concluded there was “no evidence of recognized environmental
conditions in connection with [the eight-acre Development Site].”

Recent public reports indicate that, in the course of performing work near to the Development
Site, mitigation previously performed on the broader 21-acre site is being reversed and is exposing
previously capped or contained ash and potentially hazardous materials. This factual development calls
into question whether the Development Site is or has recently been exposed to hazardous materials or
conditions that affect the accuracy of the conclusions of the ESA.

221 East 11th Street P.O. Box 13941 Austin, Texas 78711-3941 (800) 525-0657 (512) 475-3800
Exhibit B
800 Middle Apartments AKA The Pointe at Bayou Bend, HTC Application #22419
Page 2

By this letter, TDHCA seeks assurances that the conclusions of the ESA submitted as part of
Application #22419 remain complete and accurate in all material respects. In accordance with the terms
and conditions of the Determination Notice, and TDHCA’s statutory duty under Tex. Gov’t Code
§§2306.001 and .002 to assist local governments in providing safe, decent, and affordable housing for
individuals and families of low income, TDHCA requests you immediately commission an independent
third-party provider to conduct a Phase 2 ESA on the Development Site of 800 Middle, and promptly
report the results to the Department. It is expected that this Phase 2 ESA will be provided at no expense
to the Department, will be conducted by a different consultant than the ESA Phase 1 submitted with the
Application, and can be produced within 120 days of this letter.

Sincerely,

Bobby Wilkinson
Executive Director
Texas Dep’t of Housing and Community Affairs

copy: Nick Walsh (texasNRP@nrpgroup.com)

Dawn Brown (drbrown@nrpgroup.com)

Exhibit B
 AGENDA
CITY OF HOUSTON CITY COUNCIL
October 17 & 18, 2023
.
MAYOR CONTROLLER
SYLVESTER TURNER CHRIS B. BROWN
DISTRICT COUNCIL MEMBERS
Amy Peck Tiffany D. Thomas
District A District F

Tarsha Jackson Mary Nan Huffman

District B District G

Abbie Kamin Karla Cisneros

District C District H

Carolyn Evans-Shabazz Robert Gallegos

District D District I

Dave Martin Edward Pollard

District E District J
Martha Castex-Tatum
District K

AT-LARGE COUNCIL MEMBERS

Mike Knox Michael Kubosh
Position 1 Position 3

David W. Robinson Letitia Plummer

Position 2 Position 4

Sallie Alcorn
Position 5

Marta Crinejo, Agenda Director Pat Jefferson Daniel, City Secretary

In accordance with the Texas Open Meetings Act the agenda is posted for public information, at all times, for at least 72 hours
preceding the scheduled time of the meeting on the bulletin board located on the exterior wall of the City Hall building at 901
Bagby.

The agenda may be accessed via the Internet at http://houston.novusagenda.com/agendapublic/. Copies of the agenda are
available in the Office of the City Secretary in the City Hall Annex, Public Level at no charge. To receive the agenda by mail,
send check or money order for $52.00 for a one year subscription, made payable to the City of Houston to the attention of the
City Secretary, P.O. Box 1562, Houston, Texas 77251.

To reserve time to appear before Council call 832-393-1100, or email us at speakers@houstontx.gov or weather permitting you
may come to the Office of the City Secretary, City Hall Annex, Public Level by 3:00 pm the Monday before Public Session.

Exhibit C
 NOTE: If a translator is required, please advise when reserving time to speak

AGENDA - COUNCIL MEETING Tuesday, October 17, 2023 - 1:30 PM

City Hall - In Person Meeting
PRESENTATIONS
2:00 P.M. – INVOCATION AND PLEDGE OF ALLEGIANCE
INVOCATION AND PLEDGE OF ALLEGIANCE - Council Member Peck
ROLL CALL AND ADOPT THE MINUTES OF THE PREVIOUS MEETING

PUBLIC SPEAKERS - Pursuant to City Council Rule 8, City Council will hear
from members of the public; the names and subject matters of persons who had
requested to speak at the time of posting this Agenda are attached; the names and
subject matters of persons who subsequently request to speak may be obtained in
the City Secretary's Office.

NOTE: If a translator is required, please advise when reserving time to speak

SP10-17-2023
RECESS
RECONVENE
WEDNESDAY - OCTOBER 18, 2023 - 9:00 A. M.
DESCRIPTIONS OR CAPTIONS OF AGENDA ITEMS WILL BE READ BY
THE
CITY SECRETARY PRIOR TO COMMENCEMENT
MAYOR'S REPORT

CONSENT AGENDA NUMBERS 1 through 39

MISCELLANEOUS - NUMBERS 1 through 3

1. REQUEST from Mayor for confirmation of the reappointment of the following

individuals to the HARRIS COUNTY-HOUSTON SPORTS AUTHORITY
BOARD OF DIRECTORS, for a term to expire August 31, 2025
Position Four - MARTYE M. KENDRICK
Position Five - LAURA G. MURILLO
Position Eleven - ROBERT WOODS
2. REQUEST from Mayor for confirmation of the appointment or reappointment
of the following individuals to the PLANNING COMMISSION:
Position One - MARTHA L. “MARTY” STEIN, reappointment, for a
term to expire 6/30/2025
Position Three - ZAFAR “ZAF” TAHIR, reappointment, for a term to
expire 6/30/2025

Exhibit C
18. ORDINANCE appropriating $520,000.00 out of Equipment Acquisition
Consolidated Fund for Planned Public Printing Kiosks, New Digitalization
Lab Equipment, Public Facing Computers and Radio Frequency ID
Technology for the Houston Public Library
19. ORDINANCE approving and authorizing Professional Architectural Services
Contract between City of Houston and JOHNSTON, LLC for Holcombe Lab
Expansion Project - $1,215,220.00 - Grant Fund - DISTRICT D - EVANS-
SHABAZZ
20. ORDINANCE approving and authorizing submission of application for Grant
Assistance to the UNITED STATES DEPARTMENT OF ENERGY
(“USDOE”) for Energy Efficiency and Conservation Block Grant
Program for the General Services Department; declaring the City’s eligibility
for such Grant; authorizing the Director of the General Services Department
to act as the City’s representative in the application process, to apply for and
accept the Grant and Funds, and expend the Grant Funds, as awarded, and
to apply for and accept all subsequent awards, if any, pertaining to the Grant
21. ORDINANCE approving and authorizing Land Banking Agreement between
City of Houston, Texas, as Grantor, and HOUSTON LAND BANK, as
Grantee, transferring approximately 4.5574 acres of land, known as the
Velasco Incinerator Site, located at 800 North Velasco, Houston - Revenue -
DISTRICT H - CISNEROS
22. ORDINANCE amending Ordinance No. 2019-0915 (Passed on November
20, 2019) to increase the maximum contract amount for agreement between
City of Houston and AMERICAN MECHANICAL SERVICES OF
HOUSTON LLC for Plumbing Services - $2,300,000.00 - Maintenance
Renewal and Replacement Fund
23. ORDINANCE awarding contract to DM ELECTRICAL AND
CONSTRUCTION L.L.C. for Electrical Services for Various Departments;
providing a maximum contract amount - 3 Years with 2 one-year options -
$14,073,531.75 - General, Enterprise and Other Funds
24. ORDINANCE approving and authorizing contract between City of Houston
and CS DISCO, INC to provide Electronic Discovery Software and Services
for Houston Information Technology Services and the Legal Department;
providing a maximum contract amount - 4 Years with 2 one-year options -
$2,354,000.00 - Property & Casualty and Other Funds
25. ORDINANCE appropriating $3,131,000.00 out of Equipment Acquisition
Consolidated Fund and $900,000.00 out of Contributed Capital Project and
approving and authorizing agreement between City of Houston and
VERSATERM PUBLIC SAFETY, INC for Records Management System
for the Houston Police Department; providing a maximum contract amount - 7
Years with 3 one-year options - $26,883,011.34 - General Fund
26. ORDINANCE approving and awarding contract between City of Houston and
LANGUAGE LINE SERVICES, INC dba LANGUAGELINE
SOLUTIONS for Language Interpretation Services for Houston Emergency
Center; providing a maximum contract amount - 5 Years with 2 one-year
options - $1,421,200.00 - Houston Emergency Center Fund
27. ORDINANCE amending Ordinance No. 2018-1032 (Passed on December

Exhibit C
 CITY OF HOUSTON - CITY COUNCIL
Meeting Date: 10/17/2023
District H
Item Creation Date: 9/27/2023

25CF131 Transfer Velasco property to Houston Land Bank

Agenda Item#: 21.

Summary:
ORDINANCE approving and authorizing Land Banking Agreement between City of Houston,
Texas, as Grantor, and HOUSTON LAND BANK, as Grantee, transferring approximately 4.5574
acres of land, known as the Velasco Incinerator Site, located at 800 North Velasco, Houston -
Revenue - DISTRICT H - CISNEROS
Background:
RECOMMENDAT ION: Approve an Agreement between the City of Houston (the “City”)
and the Houston Land Bank, a Texas non-profit corporation (the “Land Bank”) for transfer
from the City to the Land Bank approximately 4.5574 acres, known as the Velasco
Incinerator Site, located at 800 North Velasco, Houston, Texas for the Solid Waste
Management Department (SWMD).

SPECIFIC EXPLANATION:
The General Services Department recommends that the City enter into an Agreement to transfer
the Velasco Incinerator Site from the City to the Land Bank. The purpose of the transfer is to
facilitate the application for an Environmental Protection Agency (EPA) grant that will cover
environmental remediation costs. There will be no revenue to City as the appraisal of the property
shows a negative value due to the environmental issues. The Velasco Incinerator Site is the
location of a former incinerator that operated from the 1930s to 1950s, is east of the Houston
central business district, south of Buffalo Bayou, and north of Navigation Boulevard, and
approximately ten minutes from central Houston.

The City shall convey the Property to the Land Bank by special warranty. A survey and appraisal
have been completed and a deed has been executed, therefore, City fees associated with the
transfer are expected to be limited to County recording fees. This Agreement shall be effective
upon countersignature by the City Controller and shall remain in effect for 60 months unless the
Property is conveyed back to City or to a partner in accordance with the Agreement conditions.
The City’s hold harmless obligations shall survive the termination of this Agreement. The City will
provide liability insurance pursuant to the City’s program during the term of this Agreement. The
City shall have the option at any time during the term of this Agreement to repurchase the Property.

The Land Bank and its partners are currently working to secure grant funding for environmental
remediation of the Property. If awarded the grant, the Land Bank will proceed with the remediation
in accordance with their normal procedures and in compliance with EPA and state requirements.
The Land Bank may then convey the Property to a Partner under the following conditions: (i) the

Exhibit C
Partner will develop a plan for the Property (the “Velasco Project”) that has tangible benefits for the
local community and enhances the community’s connection to Buffalo Bayou East Park. This may
include but is not limited to parks and recreational facilities; multimodal transportation; cultural and
public facilities or amenities; energy efficiency, sustainable building materials and resilience;
biodiversity; water management; urban agriculture; or business incubation facilities; (ii) The
purchase price that the Partner pays for the Property will be as agreed between Partner and the
Land Bank and calculated in accordance with the terms of this Agreement; (iii) Any and all right-of-
way easements required by the Velasco Project shall be conveyed by the Land Bank to the City;
and (iv) The Velasco Project and the final conveyance of the Property to a partner must be
approved by the City and such approval shall not be unreasonably withheld.

Upon conveyance of the Property to a Partner under the above conditions, the City’s right to
repurchase the Property shall permanently terminate. The Land Bank shall also have the right, at
any time within the term of this Agreement, to require the City to exercise its right of repurchase by
giving written notice of the requirement that it exercises its right to repurchase, in the amount of the
Repurchase Price. In such case, the City must exercise its right to repurchase within 60 days after
receipt of such notice. Failure of the City to exercise and close upon its right to repurchase within
such 60 days shall result in termination of all rights of repurchase with respect to the Property.

Therefore, GSD recommends the transfer of the Velasco Incinerator Site property from the City to
the Land Bank.

PROPERTY LOCATION: 800 North Velasco, Houston, Texas 77003

FISCAL NOTE: There is no impact to the fiscal budget or no additional spending authority.
Therefore, no Fiscal Note is required as stated in the Financial Policies.

DIRECTOR’S SIGNATURE / DATE:

____________________________
C. J. Messiah, Jr.
General Services Department

____________________________
Mark Wilfalk
Solid Waste Management
Amount and Source of Funding:
No Funding Required
Contact Information:
Enid M. Howard, Council Liaison
General Services Department
Phone: 832.393.8023
ATTACHMENTS:
Description Type

Exhibit C
Revised Signed Coversheet Signed Cover sheet
MAPS Backup Material

Exhibit C
DocuSign Envelope ID: DF9CFAC0-A749-4F31-8259-F011960D39A8
AD61A492-03BC-4E69-B2B9-AAF27DCCA4CD

CITY OF HOUSTON - CITY COUNCIL

Meeting Date: 10/17/2023
District H
Item Creation Date: 9/27/2023

25CF131 Transfer Velasco property to Houston Land Bank

Agenda Item#: 23.

Summary:
ORDINANCE approving and authorizing a Land Banking Agreement between the City of Houston, Texas, as Grantor, and HOUSTON
LAND BANK, as Grantee, transferring approximately 4.5574 acres of land, known as the Velasco Incinerator Site, located at 800
North Velasco, Houston

Background:
RECOMMENDATION: Approve an Agreement between the City of Houston (the “City”) and the Houston Land Bank, a Texas
non-profit corporation (the “Land Bank”) for transfer from the City to the Land Bank approximately 4.5574 acres, known as the Velasco
Incinerator Site, located at 800 North Velasco, Houston, Texas for the Solid Waste Management Department (SWMD).

SPECIFIC EXPLANATION:
The General Services Department recommends that the City enter into an Agreement to transfer the Velasco Incinerator Site from the City
to the Land Bank. The purpose of the transfer is to facilitate the application for an Environmental Protection Agency (EPA) grant that will
cover environmental remediation costs. There will be no revenue to City as the appraisal of the property shows a negative value due
to the environmental issues. The Velasco Incinerator Site is the location of a former incinerator that operated from the 1930s to 1950s,
is east of the Houston central business district, south of Buffalo Bayou, and north of Navigation Boulevard, and approximately ten
minutes from central Houston.

The City shall convey the Property to the Land Bank by special warranty. A survey and appraisal have been completed and a deed has
been executed, therefore, City fees associated with the transfer are expected to be limited to County recording fees. This Agreement
shall be effective upon countersignature by the City Controller and shall remain in effect for 60 months unless the Property is conveyed
back to City or to a partner in accordance with the Agreement conditions. The City’s hold harmless obligations shall survive the
termination of this Agreement. The City will provide liability insurance pursuant to the City’s program during the term of this Agreement.
The City shall have the option at any time during the term of this Agreement to repurchase the Property.

The Land Bank and its partners are currently working to secure grant funding for environmental remediation of the Property. If
awarded the grant, the Land Bank will proceed with the remediation in accordance with their normal procedures and in compliance
with EPA and state requirements. The Land Bank may then convey the Property to a Partner under the following conditions: (i) the
Partner will develop a plan for the Property (the “Velasco Project”) that has tangible benefits for the local community and enhances the
community’s connection to Buffalo Bayou East Park. This may include but is not limited to parks and recreational facilities; multimodal
transportation; cultural and public facilities or amenities; energy efficiency, sustainable building materials and resilience; biodiversity;
water management; urban agriculture; or business incubation facilities; (ii) The purchase price that the Partner pays for the Property
will be as agreed between Partner and the Land Bank and calculated in accordance with the terms of this Agreement; (iii) Any and all
right-of-way easements required by the Velasco Project shall be conveyed by the Land Bank to the City; and (iv) The Velasco Project
and the final conveyance of the Property to a partner must be approved by the City and such approval shall not be unreasonably
withheld.

Upon conveyance of the Property to a Partner under the above conditions, the City’s right to repurchase the Property shall
permanently terminate. The Land Bank shall also have the right, at any time within the term of this Agreement, to require the City to
exercise its right of repurchase by giving written notice of the requirement that it exercises its right to repurchase, in the amount of the
Repurchase Price. In such case, the City must exercise its right to repurchase within 60 days after receipt of such notice. Failure of the
City to exercise and close upon its right to repurchase within such 60 days shall result in termination of all rights of repurchase with
respect to the Property.

Therefore, GSD recommends the transfer of the Velasco Incinerator Site property from the City to the Land Bank.

PROPERTY LOCATION: 800 North Velasco, Houston, Texas 77003

FISCAL NOTE:
There is no impact to the fiscal budget or no additional spending authority. Therefore, no Fiscal Note is required as stated in the
Financial Policies.

Exhibit C
DocuSign Envelope ID: DF9CFAC0-A749-4F31-8259-F011960D39A8
AD61A492-03BC-4E69-B2B9-AAF27DCCA4CD

DIRECTOR’S SIGNATURE / DATE:

10/12/2023
____________________________
C. J. Messiah, Jr.
General Services Department

10/12/2023
____________________________
Mark Wilfalk
Solid Waste Management

Amount and Source of Funding:

No Funding Required

Contact Information:
Enid M. Howard, Council Liaison for
General Services Department
Phone: 832.393.8023
ATTACHMENTS:
Description Type
Signed Coversheet Signed Cover sheet
MAPS Backup Material
Caption Other

Exhibit C
 MAP

800 North Velasco, Houston, Texas

Exhibit C