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Community Development Block Grant (CDBG) FY2024 Annual Action Plan Amendment #2 Non-Substantial AmendmentCity of Dubuque City Council Meeting Consent Items # 022. Copyrighted February 5, 2024 ITEM TITLE: Community Development Block Grant (CDBG) FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment SUMMARY: City Manager recommending City Council approve the FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment as recommended by the Community Development Advisory Commission. RESOLUTION Adopting the Fiscal Year 2024 (Program Year 2023) Community Development Block Grant (CDBG) Annual Action Plan Amendment #2 Non -Substantial Amendment SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Type MVM Memo City Manager Memo FY24 Annual Action Plan Amendment #2- Non- Staff Memo Substantial Amendment- Memo FY24 Annual Action Plan Amendment #2- Non- Resolutions Substantial Amendment- Resolution FY24 Annual Action Plan Amendment #2- Non- Supporting Documentation Substantial Amendment THE CITY OF Dubuque DUB TEE1. All -America City Masterpiece on the Mississippi � pp zoo�•*o 13 zoi720zoi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Community Development Block Grant (CDBG) FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment DATE: January 31, 2024 Housing & Community Development Director Alexis Steger is recommending City Council approve the FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment as recommended by the Community Development Advisory Commission. The FY2024 Annual Action Plan Amendment #2 is being amended to reflect the reallocated funding of $112,337 from the Revolving Application Fund to the Lincoln Wellness Project to make the activity viable. The total allocation for Lincoln Wellness Project in our FY2024 Annual Action Plan Amendment #2 is $586,769.28. Per our Citizen Participation Plan, this reallocation of dollars is considered a Non - Substantial Amendment. Non -Substantial Amendments shall be adopted by Resolution of the City Council after the review and recommendation of the Community Development Advisory Commission. The Community Development Advisory Commission reviewed and unanimously approved this amendment on January 17, 2024, and recommends City Council adoption of the amended changes. I concur with the recommendation and respectfully request Mayor and City Council approval. v Mic ael C. Van Milligen MCVM:sv Attachment CC' Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Alexis M. Steger, Housing and Community Development Director Dubuque THE CITYF DUijB- E AII•Ameriea City , ,. Masterpiece on the Mississippi 2017*2019 TO: Michael C. Van Milligen, City Manager FROM: Alexis M. Steger, Housing and Community Development Director SUBJECT: Community Development Block Grant (CDBG) FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment DATE: January 30, 2024 Introduction This memorandum transmits information on the Community Development Block Grant (CDBG) FY24 Annual Action Plan Amendment #2 Non -Substantial Amendment. Background In August 2021 and September 2022, the Lincoln Elementary School Administration and its parent/guardian group, PALS, requested CDBG funding to redevelop the playground. The Community Development Advisory Commission unanimously approved these requests for a total of $515,525. Throughout the planning and development process for this project, unanticipated costs were added to ensure compliance with Federal Regulations. The Dubuque Community School District (DCSD) requested bids for this project, which were due on December 12, 2023. The total project cost comes to $710,253. The dollar amount needed to complete this project is $112,337. In the CDBG FY24 Annual Action Plan, there is $151,356 available in the CDBG Revolving Application Fund to be allocated to projects. The Community Development Team is recommending that $112,337 of available funding be allocated to the Lincoln Outdoor Wellness Project. Discussion The FY2024 Annual Action Plan Amendment #2 is being amended to reflect the reallocated funding of $112,337 from the Revolving Application Fund to the Lincoln Wellness Project to make the activity viable. The total allocation for Lincoln Wellness Project in our FY2024 Annual Action Plan Amendment #2 is $586,769.28. Per our Citizen Participation Plan, this reallocation of dollars is considered a Non - Substantial Amendment. Non -Substantial Amendments shall be adopted by Resolution of the City Council after the review and recommendation of the Community Development Advisory Commission. The Community Development Advisory Commission reviewed and unanimously approved this amendment on January 17, 2024, and recommends City Council adoption of the amended changes. Recommendation I respectfully request the City Council approve the FY2024 Annual Action Plan Amendment #2 Non -Substantial Amendment as recommended by the Community Development Advisory Commission. Prepared by: Mary Bridget Corken-Deutsch, Community Development Specialist Prepared by Mary Bridget Corken Deutsch, Housing & Community Dovel., 350 W. 611 St., Suite 312,(563) 690-6072 Return to Adrienne N. Breitfelder, City Clerk, 50 W. 131h St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 22-24 A RESOLUTION ADOPTING THE FISCAL YEAR 2024 (PROGRAM YEAR 2023) COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ANNUAL ACTION PLAN AMENDMENT #2 NON -SUBSTANTIAL AMENDMENT Whereas, the City of Dubuque, through a series of public meetings and hearings, proposed a Fiscal Year 2024 (Program Year 2023) Community Development Block Grant Annual Action Plan for inclusion in the City Budget addressing housing and non - housing needs in the community; and Whereas, the Community Development Advisory Commission held a public meeting on January 17tt', 2024 to receive community input on the Second Non - Substantial Amendment to the Fiscal Year 2024 (Program Year 2023) Community Development Block Grant Annual Action Plan; and Whereas, the Community Development Advisory Commission unanimously recommended the City Council approve Amendment #2 Non -Substantial Amendment to the Fiscal Year 2024 (Program Year 2023) Community Development Block Grant Annual Action Plan on January 17, 2024. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the Community Development Block Grant Fiscal Year 2024 (Program Year 2023) Annual Action Plan Amendment #2 Non -Substantial Amendment, attached hereto and by this reference made a part hereof, is hereby approved. Section 2. That the Mayor of the City of Dubuque is hereby authorized to execute the Fiscal Year 2024 (Program Year 2023) Annual Action Plan Amendment #2 Non -Substantial Amendment for the use of Community Development Block Grant funds based on this adopted budget and execute standard contracts and agreements. Section 3. That the Mayor of the City of Dubuque is hereby authorized and directed to designate the City Manager or the Housing and Community Development Department Director to execute all related documents on behalf of the City of Dubuque, Iowa. Passed, approved, and adopted this 5th day of February 2024. i . r . Mayor Attest Adrienne Breitfelder, City Clerk THE COF+ Dubuque DUtBE All-America GiIY Masterpiece on the Mississippi � pp zoo�•*o 13 zoi720zoi9 Amendment #2 NON -SUBSTANTIAL AMENDMENT FY 24 ANNUAL PLAN FOR USE OF PROGRAM YEAR 2023 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS For Inclusion in the Fiscal Year 2024 City Budget. This document is subject to revision. PREPARED BY THE CITY OF DUBUQUE HOUSING & COMMUNITY DEVELOPMENT DEPARTMENT CITY OF DUBUQUE, IOWA FY 2024 ANNUAL ACTION PLAN FOR THE USE OF PROGRAM YEAR 2023 COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS The City of Dubuque distinguishes between four different but complementary areas of program development in its overall CDBG program: Housing Development, Economic Development, Neighborhood and Community Development and Planning & Administration. The following description of activities summarizes the projects to be completed in the FY 2024 Annual Action Plan with the use of CDBG funds. RESOURCES CDBG Entitlement FY 2024 CDBG Entitlement Unexpected Funds $1,031,452 $1,880,339 Program Income $273,222 Program income projects are based on forecast for loan repayments based on the loan portfolio and program income generated from CDBG funded programs. TOTAL RESOURCES S3,185,013 PLANNING AND ADMINISTRATION $254,000 CDBG regulations limit expenditure on planning and administrative funds to 20% of the current year program income plus the current entitlement. The proposed resources for administration support the plan's current requirements. Housing & Community Development Administration $135,000 On -going staff support for general management, oversight, and coordination of the Community Development Block Grant housing programs. Planning, Monitoring, & Budgeting $119,000 Staff support for general management. Oversight and coordination of the Community Development Block Grant program; assures compliance with federal regulations and reporting requirements. Priority: High Objective/Outcome: Suitable Living Environment/ Sustainability (SL3) ECONOMIC DEVELOPMENT PROGRAMS $50,000 Microloan Program $50,000 This project creates a microloan program that assists low- and moderate -income business owners with mentoring, professional development, and eligible business expenses. National Objective: Low and Moderate -Income Benefit Location: Citywide Proposed Accomplishments: 10 Businesses Priority: High Objective/Outcome: Economic Opportunities/Accessibility (EA1) HOUSING DEVELOPMENT PROGRAMS $1,686,818 Affordable Housing Creation: AHNI $750,000 Multifamily Rehabilitation — 90 Main $750,000 Partnership with Affordable Housing Network of Iowa to provide funds for affordable housing creation. National Objective: Low and Moderate -Income Benefit Location: 90 Main Street Proposed Accomplishment: 30 Units Priority: High Objective/Outcome: Decent Housing/Affordability (DH2) Ecumenical Tower Elevator Replacement $380,000 This project provides funding for replacing elevators in a multi -unit residential building that serves primarily low -moderate income individuals. National Objective: Low and Moderate -Income Housing Location: Ecumenical Towers Proposed Accomplishments: 88 People Priority: High Objective/Outcome: Suitable Living Environment/Sustainability (DH2) First Time Home Buyer Program $50,000 Provides for loans to assist low and moderate -income families to purchase their first homes. These funds are used to cover the "entry costs" of homeownership — down payments and closing costs. National Objective: Low and Moderate -Income Housing Location: Citywide Proposed Accomplishments: 10 Households Priority: High Objective/Outcome: Decent Housing/Affordability (DH2) Homeless Shelter Rehabilitation $41,339 Provides funding to address deterioration of needed housing for homeless populations. Funds will be used to rehabilitate existing structures providing these services. National Objective: Low and Moderate -Income Clientele Location: Citywide Proposed Accomplishment: 4 Units Priority: High Objective/Outcome: Decent Housing/Affordability (DH2) Homeowner Rehabilitation $125,000 Residential Rehabilitation Loan Program An on -going program to provide low -interest loans to qualified low -and moderate -income homeowners for the rehabilitation of substandard housing units. National Objective: Low and Moderate -Income Housing Location: Citywide Proposed Accomplishments: 10 Housing Units Priority: High Objective/Outcome: Decent Housing/Affordability (DH2) Housing Rehabilitation Services and Staff $150,578 On -going staff support, including program management, technical assistance, loan packaging and inspection, for the City's rehabilitation loan program. Priority: High Objective/Outcome: Decent Housing/Accessibility (DH1) Lead Hazard Reduction (Lead & Healthy Homes Grant Match) $171,901 Provides activities in support of efforts to reduce lead paint hazards in housing, including assessment and lead paint reduction or abatement, with forgivable loans to low -and moderate -income residents. This assistance is for the Lead and Healthy Homes grant awarded in 2021. National Objective: Low and Moderate -Income Housing Location: Citywide Proposed Accomplishments: 20 Housing units Priority: High Objective/Outcome: Decent Housing/Sustainability (DH3) Mt. Pleasant Home Men's ADA Bathroom Rehab $18,000 This project provides funding to update the Men's Bathroom to ADA compliance in a multi -unit residential building that serves primarily low -moderate income individuals. National Objective: Low and Moderate -Income Housing Location: Mt. Pleasant Home Proposed Accomplishments: 36 Units Priority: High Objective/Outcome: Suitable Living Environment/Sustainability (DH2) NEIGHBORHOOD and COMMUNITY DEVELOPMENT PROGRAMS $324,505 Public Services activities are restricted to 15% of the previous year program income and the current year entitlement. Public Service activities in this plan represent 15% of the proposed expenditures. Childcare Assistance $50,000 Planning and Engineering for expansion of a childcare center. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: 1 unit Priority: High Objective/Outcome: Suitable Living Environment/Sustainability (SL3) Food Access/Hydroponics $25,541 This project provides funding to support local food access in low- and mod- areas and a hydroponics system in CDBG census tracts. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: 3 Businesses Priority: High Objective/Outcome: Suitable Living Environment/Sustainability (SL3) Four Mounds Build Dubuque $85,000 The long-term goal with Build Dubuque is to continuously up -skill participants who have basic construction skills but are not prepared to enter the workforce. National Objective: Low and Moderate -Income Benefit Location: Citywide Proposed Accomplishments: 30 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility (SL1) Neighborhood Recreation Programs $132,754 1) Recreation Programs: $82,754 Targeted and enhanced recreation offered in the City's older low -and moderate -income neighborhoods to meet the needs of at -risk youth, promote self-esteem, and build community. Activities include expanded after -school programs, open gym, basketball league, music lessons, playtime for tots, scholarships, swim passes, summer day camp and other recreational programs. 2) Neighborhood Recreation Program Grants: $50,000 Provide funding to organizations delivering recreational and educational services aligned with the neighborhood and recreation development goals of the Leisure Services Department. National Objective: Low and Moderate -Income Benefit Location: City wide Proposed Accomplishments: 5,730 persons Priority: High Objective/Outcome: Suitable Living Environment/Accessibility (SL1) G Visiting Nurses Association: Acquisition Support $20,000 This project provides funding for acquisition and permanent equipment purchase to continue services in the neighborhood for healthcare and other social services. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: 500 People Objective/Outcome: Suitable Living Environment/Accessibility (SL1) Zoning Inspection/Enforcement $8,710 This project provides funding for inspection/enforcement staff services to low -and moderate -income areas for zoning ordinance infractions and to provide support for neighborhood clean-up efforts. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: 45 Housing Units Objective/Outcome: Decent Housing/Sustainability (DH3) Code Enforcement $2,500 This project provides funding for code enforcement staff services to low -and moderate -income areas for housing ordinance infractions and to provide support for neighborhood clean-up efforts. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: 45 Housing Units Objective/Outcome: Decent Housing/Sustainability (DH3) PUBLIC FACILITIES $718,333 Avon Park Equipment Replacement $99,995 New playground equipment at low- and moderate -income area parks based on community input. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: Park Design/Community Input Priority: High Objective/Outcome: Suitable Living Environment/Accessibility (SL1) Lincoln Wellness Project $586,769 New playground equipment at low -and moderate -income area parks based on community input. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: Park Design/Community Input Priority: High Objective/Outcome: Suitable Living Environment/Accessibility (SL1) Low -Mod Area Parks $143,906 New playground equipment at low -and moderate -income area parks based on community input. National Objective: Low and Moderate -Income Benefit Location: Low/Mod Residential Areas Proposed Accomplishments: Park Design/Community Input Priority: High Objective/Outcome: Suitable Living Environment/Accessibility (SL1) Revolving CDBG Applications $39,018 This fund is available for local nonprofits and organizations to apply for assistance to expand or increase their services or reach to benefit low -and moderate -income people, households, or businesses. National Objective: Low and Moderate -Income Benefit Location: Citywide Grand Total: CDBG Funding Proposed for FY 2024 $3,185,013 Amendment 2 (Non - Amendment 1 Substantial) ACTUAL SOURCES FY 2024 FY 2024 FY 2024 Entitlement 1,031,452.00 1,031,452.00 1,031,452.00 Recreation Various Program Fees Homeowner Loan Repayments 1 st Time Homeowner Loans Microenterprise Loans Total Program Income 273,222.00 273,222.00 273,222.00 Unexpended Funds Previous Fiscal Years 1,880,339.00 1,880,339.00 Total 1,304,674.00 3,185,013.00 3,185,013.00 . Amendment #2 (Non- FY24 AAP Carryover Re -Allocated Funds Amendment #1 Re -Allocated Funds Substantial) 254,000.00 254,000.00 254,000.00 CDBG Planning, Monitoring, & Budgeting 119,000.00 119,000.00 119,000.00 Housing and Community Development Administration 135,000.00 135,000.00 135,000.00 Neighborly Admin Costs - - - - Economic Development,000.00 000.00 Microenterprise Assistance Program 50,000.00 14,748.00 (14,748.00) 50,000.00 50,000.00 Housing Developme 1,686,818.36 AHNI - 221,900.00 528,100.00 750,000.00 750,000.00 Ecumenical Tower - 135,000.00 245,000.00 380,000.00 380,000.00 First Time Homebuyer Program 50,000.00 53,000.00 (53,000.00) 50,000.00 50,000.00 Homeless Shelter Rehabilitation 4,485.36 36,854.00 41,339.36 41,339.36 Homeowner Rehab (Small & Large) 125,000.00 139,378.23 (139,378.23) 125,000.00 125,000.00 Housing Rehabilitation Services and Staff 150,578.00 7,543.26 (7,543.26) 150,578.00 150,578.00 Lead Healthy Homes Match (2018) - 56,222.00 (44,722.00) 11,500.00 11,500.00 Lead Healthy Homes Match (2021) 100,000.00 60,401.00 160,401.00 160,401.00 Lead Service Line Replacement Program - - - - - - Mt. Pleasant Home ADA Bathroom - 18,000.00 18,000.00 18,000.00 Purchase/Rehab/Resale 295,363.00 (295,363.00) - - Rental Rehabilitation - - - - Neighborhood and Community Development 161,464.00 324,505.59 324,505.59 Childcare - 50,000.00 50,000.00 50,000.00 Food Access/Hydroponics 25,541.59 - 25,541.59 25,541.59 Four Mounds Build Dubuque - 85,000.00 85,000.00 85,000.00 Neighborhood Infrastructure Improvements - - Bus Stop Improvements - Multicultural Family Center Sidewalk Replacement Sidewalk Repair Program - Street Overlays - - - Neighborhood Recreation Program 132,754.00 36,807.35 (36,807.35) 132,754.00 132,754.00 Visiting Nurses Association 20,000.00 20,000.00 20,000.00 Zoning Inspection/Enforcement 8,710.00 - - 8,710.00 8,710.00 Code Enforcement - 2,500.00 2,500.00 2,500.00 Avon 93,901.00 6,094.00 99,995.00 99,995.00 Parks - - - - - - Lincoln Wellness Project 263,632.00 210,800.28 474,432.28 112,337.00 586,769.28 Low -Mod Income Parks 150,000.00 - (6,094.00) 143,906.00 - 143,906.00 CDBG Revolving Application Fund 151,355.77 151,355.77 (112,337.00) 39,018.77 Grand Total 1,304,674.00 1,405,091.07 475,247.93 3,185,013.00 3,185,013.00