Staff file photo A pedestrian walks in front of the 20 Federal Place building in downtown Youngstown as remediation work there began last year.

YOUNGSTOWN – City council will consider Tuesday increasing the cost of remediation and partial demolition of 20 Federal Place by $1.4 million because more work is required for the job and to correct an error made when the legislation initially was passed.

That ordinance, approved Nov. 15, 2022, stated the project’s cost would not exceed $6.25 million at the city-owned downtown building. Council will be asked at a special Tuesday meeting to increase it to $7.65 million.

“We made an error when we asked council to approve it,” said Charles Shasho, deputy director of public works. “It slipped by. We knew we’d have to correct it. But we thought there might be additional costs so we decided to do it just one time.”

The city received a $6.96 million Ohio Brownfield Remediation grant, announced in June 2022, for the project. So the $6.25 million in the November 2022 legislation was already too low by about $750,000.

The city hired Daniel A. Terreri & Sons, a Youngstown company, in March 2023 for the work at a cost of $6.98 million. The price went up to $7.07 million in October because of the need to remove additional ceiling and floor tiles, Shasho said.

While the administration is asking council to increase the price to $7.65 million, Shasho said he expects it to cost just under $7.5 million, but he wants a little cushion in case of unforeseen issues. The $7.5 million projection adds about $500,000 in expected increases from the initial proposal.

The project, which started in April 2023, has been delayed repeatedly.

It was supposed to be done in November, then February and just a month ago, Shasho said it would be finished April 1.

Now, Shasho said the “substantial completion” date is April 15.

But demolition work to the rear of the building requires masonry work to close that space, and that won’t be finished until May 31, he said.

“The building area is exposed,” Shasho said. “They’ll put masonry material or patching and the facade work will be finished.”

In addition to the $6.96 million state grant, the city provided $2.32 million of its own money for the work at 20 Federal Place.

That includes paying a portion of the Terreri contract as well as about $500,000 in architectural designs and costs related to seeking additional grants for the building.

There were 19 tenants, taking up about 20% of the 332,000-square-foot building, before eviction notices were sent in July 2022. Some of the tenants received extensions.

Many of the former 20 Federal Place tenants found other locations while some went out of business.

Carrier Services Group, which was the building’s last tenant, is suing the city and other parties – including Shasho, Terreri and Mayor Jamael Tito Brown — for more than $500,000 claiming damage to its property and equipment when it was evicted.

Without the city’s knowledge, Desmone Architects, a Pittsburgh company involved in plans for the building, reapplied and received a $10 million state historic preservation tax credit for 20 Federal Place, announced Dec. 21. That also comes with $14 million in federal historic preservation tax credits.

Desmone’s application to the state stated an $82,137,690 project is planned at 20 Federal Place though no project has been finalized and a redeveloper hasn’t been found.

The city purchased the building at 20 W. Federal St. in November 2004 after Phar-Mor, a national retail store company, went out of business. The property was the Phar-Mor Centre, the company’s corporate headquarters. Before that, it was the flagship location of Strouss’ department store for many decades.

The city tried unsuccessfully to sell the building in the past.

STREET WORK

Meanwhile, a road project on Commerce Street, between Phelps Street and Wick Avenue, that has been stalled during the 20 Federal Place work should resume in a few weeks and be finished by the end of May, Shasho said. The 20 Federal demolition project is at the rear of the building and on that section of Commerce Street.

During the 20 Federal project, a sewer line on that section of Commerce Street collapsed, Shasho said.

Marucci & Gaffney Excavating Co., the Youngstown company doing the road improvements, also did the sewer replacement. That section of Commerce Street, which has been closed for more than a year, will be repaved with new curbs and sidewalks.

Also, street improvement work to West Federal Street in front of 20 Federal Place should be finished by July or August, Shasho said.

Work to Federal Street from Phelps to Champion streets was halted last year as part of a $27.65 million project on several downtown streets that began in July 2020 and received $10.85 million in federal funding.

The city had to pull that section of Federal from the project because several basements were discovered to be in the right of way on sidewalks, Shasho said.

The Federal Street work includes repaving, realigmnent of curbs, new crosswalks, new lighting, wider sidewalks and changes to parking.

Federal Street between Champion and Market streets was closed March 14 for about four months for street improvement work.

The work between Phelps and Market streets will begin shortly after a $443,652 underground project starts, Shasho said. The underground work is expected to be done in mid-May.

This would be the last road improvement project as part of the SMART2 (Strategic and Sustainable, Medical and Manufacturing, Academic and Arts, Residential and Recreation, and Technology and Training) Network program that began nearly four years ago.

Work has been done to Front, Commerce and South Phelps streets and Rayen and Fifth avenues.

Every street has experienced delays and drew complaints from businesses and motorists.

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