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Amended & Restated FY09 Annual Action Plan - Amendment 3THE CTTY OF DU~UgU@ -~~ DUB E 1 Masterpiece on the Mississippi 1 e 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Amended and Restated FY09 Annual Action Plan -Amendment 3 DATE: November 20, 2008 Housing and Community Development Department Director David Harris is recommending approval of the Amended and Restated Fiscal Year 2009 Community Development Block Grant Annual Action Plan -Amendment #3. These changes will allow CDBG funds to be used to meet citizen needs and facilitate the timely expenditure of funds, as required by the U.S. Department of Housing and Urban Development. I concur with the recommendation and respectfully request Mayor and City Council approval. Michael C. Van Milligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager David Harris, Housing and Community Development Department Director ~xECrrYOF .Dubuque -""' - DUB E u-~~, Masterpiece on the Mississippi s 2007 TO: Michael~n Milligen, City Manager FROM: David H~ s, Housing and Community Development SUBJECT: Amended and Restated FY 09 Annual Action Plan- Amendment 3 DATE: November 19, 2008 INTRODUCTION The purpose of this memorandum is to request the City Council's approval of the attached resolution approving an Amended and Restated FY 09 Annual Action Plan Amendment 3 for the City's Community Development Block Grant (CDBG) program. This is a draft pending final Community Development Advisory Commission review and approval at their meeting on Thursday, November 20th at 5 pm. BACKGROUND Housing and Urban Development (HUD) regulations require that each year a city must prepare and file an Annual Plan prior to receipt of its CDBG entitlement. The Annual Plan is adopted following a public participation process that includes a published notice, a public comment period, and a public hearing. A city must follow its adopted plan as it expends entitlement funds. If its revenues or activities change, the city must amend. This requirement applies to plans for previous years as well as the current year. The City of Dubuque has been allocated CDBG funds that have been programmed for specific uses as per the adopted Annual Plan for Fiscal Year 2009. Since the funds from FY 2008 have not been completely expended, the previously adopted plan remains in effect unless amended to reflect the change in projects, activities or funding needs. DISCUSSION The proposed amendment to the FY 2009 plan combines the allocations from the previous year with the current program year and reprograms funds. Attached is a summary of the funds available for reprogramming. The existing FY 09 Annual Plan allocates $1,669,214 to CDBG programs. The CDBG balance as of July 1 2008 as per the CAPER report was $1,444,398, creating a total of $3,113,612. CDBG Entitlement FY 2009 1,209,427 Projected Program Income 434,595 ED Revolving Loan Funds 25,192 Prior Year CDBG Balance 1,345,319 FY08 Lump Sum Balance 99.079 Available Funds 3,113,612 The Community Development Advisory Commission held a public hearing on November 20, 2008. At that time the Commission approved the proposed amendment, which included carryovers and encumbrances from FY 2008 and reallocated funding for the following significant changes: - Reduce Rental Unit Rehabilitation by $80,000 ($90,666) - Move $265,500 from the Five Points Building Relocation project, which was cancelled by the developer, to the Economic Development Financial Assistance program to provide assistance for the relocation of Sliver, a call center located in the Technology Park, to downtown to retain and create jobs for low/moderate income persons. ($375,000) - Increase funding for the Multicultural Center by $170,000 ($350,000). - Increase funding for the Neighborhood Infrastructure Improvements program by $100,000 for additional street overlays in low/moderate income areas ($163, 046). - A contingency of $12,363 remains. Public notices regarding the proposed changes were published in the Telegraph Herald, Dubuque Advertiser, and the City of Dubuque website. These notices advised the public of the intent of the amendments and invited comment at or before the public hearing. This initiated the 30-day public comment periods as required in the Citizen Participation Plan. At the public hearing, no comments were received from the public. The Commission voted to approve the amendment and forward to the City Council. RECOMMENDATION It is recommended that the City Council approve the Amended and Restated FY 09 Annual Action Plan-Amendment 3 as shown in Exhibit A for the use of Community Development Block Grant funds. These changes will allow CDBG funds to be used to meet citizens' needs and facilitate the timely expenditure of funds as required by HUD. ACTION STEP The action requested of the City Council is to approve the Mayor's execution of the attached resolution, approving an Amended and Restated FY 09 Annual Ac#ion Plan- Amendment 3 for Community Development Block Grant activities. Prepared by Aggie Tauke, Community Development Specialist F:\USERSIATAUKE\CDBG1AnnualPlan\FY 091FY09 Amd3 Council. mvm.doc RESOLUTION NO. 409 -2008 (409-08) RESOLUTION APPROVING AN AMENDED AND RESTATED FISCAL YEAR 2009 (PROGRAM YEAR 2008) ANNUAL ACTION PLAN- AMENDMENT 3 FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS. Whereas, the City of Dubuque prepared and filed Annual Action Plans for Fiscal Years 2008 and 2009; and Whereas, the City of Dubuque now desires to amend said Annual Plans by incorporating them into one amended and restated plan as per the attached Exhibit A; and Whereas, said amendment is a substantial amendment as provided in the City's Citizen Participation Plan and must therefore be approved by resolution of the City Council after a public hearing by the Community Development Advisory Commission; and Whereas, the City advertised a public comment period beginning October 17, 2008; and Whereas, the Community Development Advisory Commission reviewed the proposed amendment at a public hearing on November 20, 2008, and has voted to approve said amendment and to recommend approval by the City Council. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the Annual Action Plans for Fiscal Years 2007 and 2008 are hereby rescinded and the balance of funds from these plans are incorporated into an Amended and Restated Fiscal Year 2009 (Program Year 2008) Annual Action Plan- Amendment 3, attached hereto as Exhibit A. Section 2. That said Amended and Restated Fiscal Year 2009 (Program Year 2008) Annual Action Plan- Amendment 3 attached hereto as Exhibit A is hereby approved. Section 3. That the City Manager is hereby authorized and directed to submit a copy of this resolution and Plan to the U. S. Department of Housing and Urban Development. 21st Passed, approved and adopted this 21st day of Novmber, 2008. Roy D. Buol, Mayor Jeanne F. Schneider, City Clerk F:\USERS\ATAUKE\CDBG\AnnualPlan\FY 09\09Amd3.res.doc AMENDED AND RESTATED FY 2009 CDBG ANNUAL ACTION PLAN AMENDMENT 3 FY 2009 ACTION PROJECTED SOURCES PLAN Estimated Entitlement 1,209,427 Program Income 434,595 ED Revolving Loan Fund 25,192 Prior Year CDBG Balance 1,345,319 FY 08 Lump Sum Balance 99.079 Total Sources 3,113,612 Exhibit A FY 2009 Housing Development Programs: Amend 3 First Time Homebuyer Program 70,000 Historic Preservation Rehab Grant 25,418 Homeowner Rehab Program 479,847 Housing Administration 61,226 Housing Code Enforcement 150,831 Housing Rehabilitation Services and Staff 345,737 Housing Trust 84,548 Lead Paint Hazard Abatement Project 90,000 Purchase/Rehab/Resale DREAMS 71,798 Rental Unit Rehabilitation 80,666 Housing Totals 1,470,071 Economic Development Programs: Commercial/industrial Building Rehab Loans & Revolving Loan Fund 69,160 E.D. Financial Assistance Program & Revolving Loan Fund 375,000 Economic Development Totals 444,160 Neighborhood and Community Development Programs Accessible Curb Ramps 84,162 Child Care Resource/Referral-Project Concern 9,856 Community Partnership Program (CP2)* 40,287 Dubuque Dispute Resolution Center 1,000 Dubuque Rescue Mission 4,622 Information & Referral - Project Concern 28,091 Leadership Training 2,000 Multicultural Center 350,000 Neighborhood Development Services and Staff 84,919 Neighborhood Infrastructure Improvements 163,046 Neighborhood Recreation Program 128,160 Neighborhood Support Grants 45,680 Senior Center 29,197 Washington Tool Library 16,695 Zoning Inspection/Enforcement 13.000 Neighborhood & Community Development Totals 1,000,715 Planning and Administration CDBG Admin. Services and Staff 105,328 Finance 4,528 City Planning 76.447 Planning and Administration Totals 186,303 Contingency ~ 12.363 TOTAL CDBG 3,113,612