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Council OKs $250,000 state demolition funds; Hotel O demolition underway amid asbestos, remediation concerns

2966716 · February 25, 2025
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Summary

The council authorized a $250,000 MOU from the Mississippi Department of Finance and Administration for demolition and removal of blight along the Highway 80 corridor. Members discussed ongoing work to remove the Hotel O and a separate rubble pile that requires hazardous-material remediation, raising potential additional costs.

The Jackson City Council authorized Feb. 25, 2025 the mayor to execute a memorandum of understanding with the Mississippi Department of Finance and Administration for $250,000 to remove blight and demolish vacant structures along Highway 80 and adjacent areas (recorded on the floor as passing 6–0).

Council and city staff detailed ongoing demolition work at the Hotel O property and described differing remediation circumstances among multiple commercial blight sites. City Attorney Drew Martin explained that the Hotel O being demolished had negative asbestos tests and was cleared to proceed, while a separate abandoned hotel / rubble pile off Bobby Rush Boulevard (the council referenced the site by corridor) lacked required asbestos testing and therefore carries a higher remediation and hazardous-waste disposal cost. That second site could require significantly more funding for proper hazardous-material removal; the attorney described a potential exposure of a roughly $600,000 tab depending on remediation needs.

Council members thanked planning, legal, and staff for coordinating demolition efforts, and several members urged continued outreach to state legislators for additional funding to cover commercial demolition and hazardous-waste disposal costs. Council Member Banks noted the budget provision of $1.3 million set aside during the prior budget process for commercial demolition, and members described the $250,000 MOU as an additional resource targeted to Highway 80 corridor properties.

Ending: The MOU was approved and staff were directed to continue coordination with state agencies, MDEQ and legal counsel to ensure proper remediation and to pursue additional funding where necessary.