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FY 2016 Community Development Block Grant (CDBG) Annual Action Plan Copyright 2014 City of Dubuque Items to be set for Public Hearing # 1. ITEM TITLE: FY 2016 Community Development Block Grant (CDBG) Annual Action Plan SUMMARY: City Manager recommending that a public hearing be set for February 10, 2015 in conjunction with the Housing & Community Development Department's budget hearing, regarding the review of the Community Development Block Grant Annual Action Plan. RESOLUTION Setting a Public Hearing on the fiscal year 2016 (program year 2015) Community Development Block Grant (CDBG) Annual Action Plan. SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s), Set Public Hearing for 2/10/15 ATTACHMENTS: Description Type ❑ FY2016 CDBG Annual Action Plan-MVM Memo City Manager Memo ❑ Staff Memo Staff Memo ❑ FY 2016 Annual Action Plan Supporting Documentation ❑ Resolution Resolutions THE CITY OF Dubuque UBE I erica .i Masterpiece on the Mississippi 2007-2012-2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: FY 2016 Annual Action Plan Public Hearing DATE: January 13, 2015 Housing and Community Development Director Alvin Nash is recommending City Council set a public hearing for review of the Community Development Block Grant Annual Action Plan on February 10, 2015 in conjunction with the Housing & Community Development Department's budget hearing. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:sv Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Alvin Nash, Housing and Community Development Director THE CITY OF Dubuque DU B E 1114merica City 1111.1 Masterpiece on the Mississippi 2007-2012-2013 To: Michael Van Milligen, City Manager From: Alvin Nash, Housing and Community Development Department Subject: FY 2016 Annual Action Plan Public Hearing Date: January 12, 2015 INTRODUCTION The attached Fiscal Year 2016 Annual Action Plan is being submitted for inclusion in the annual City budget. The Community Development Advisory Commission will review the attached Annual Action Plan at the January 21, 2015 meeting. This memorandum requests a public hearing be set by City Council for review of the Action Plan on February 10, 2015, in conjunction with the Housing & Community Development Department's budget hearing. DISCUSSION The attached FY 2016 Annual Action Plan provides for use of Community Development Block Grant (CDBG) funds for the anticipated entitlement of $954,448, with anticipated revenues of$291,629 in program income for a total of$1,246,077. The City has not received notice from HUD of the FY 2016 entitlement amount. The Action Plan will be revised when the city receives notification of the proposed FY 2016 CDBG entitlement. Due to the timing for the City budget process and the need for Commission review the Plan, it is proposed that the Council set a public hearing for February 10th on the attached FY16 Annual Plan which will be reviewed by the Community Development Commission in January and, if necessary, revised to reflect the actual FY 2016 funding allocation. The City Council public hearing would be on the same day as the Housing and Community Development Department budget hearing. On January 21, the Community Development Advisory Commission will review the staff recommended FY 2016 Annual Plan, and will be asked to make a recommendation to Council. This request is for Council to hold a public hearing on February 10, 2016 in conjunction with the department's budget hearing. A thirty day public comment period is required prior to this meeting. The attached plan has been available for public review since January 10th, 2014. Commission's recommendation will then be forwarded to the City Council for the Council's February 10th public hearing. Final approval of the FY2016 Annual Plan will occur in conjunction with the FY 2016-2020 Consolidated Plan for the use of CDBG funds in March. Page 1 of 2 RECOMMENDED ACTION I recommend that the attached FY 2016 Annual Action Plans be included in the City budget and a public hearing be scheduled with the Housing and Community Development Department budget session on February 10th. Prepared by Erica Haugen, Community Development Specialist Cc: Jenny Larson, Budget Services Manager F:\USERS\CDBG\CDBG\Annual Plan\FY 16\FY16 Plan Council Pub Hrg.mvm memo.doc Page 2 of 2 RESOLUTION NO. 18-15 A RESOLUTION SETTING A PUBLIC HEARING ON THE FISCAL YEAR 2016 (PROGRAM YEAR 2015) COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ANNUAL ACTION PLAN. Whereas, the City of Dubuque has, through a series of public meetings and hearings, finalized a Fiscal Year 2016 (Program Year 2015) Community Development Block Grant Annual Action Plan addressing both housing and non- housing needs in the community; and Whereas, copies of the draft Fiscal Year 2016 (Program Year 2015) CDBG Annual Action Plan will be available for public comment for 30 days prior to City Council action; and Whereas, the City's Community Development Advisory Commission has reviewed and recommended adoption of the Annual Action Plan. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. That the City Council will meet in the Historic Federal Building, Council Chambers, 2nd Floor, 350 West 6th Street, Dubuque, Iowa at 6:30 p.m. on February 10, 2015 for the purpose of holding a public hearing and taking action on the Fiscal Year 2016 (Program Year 2015) Community Development Block Grant Annual Action Plan. Section 2. That the City Clerk be and he is hereby authorized and directed to publish a notice of such public hearing and the City Council's intent to review and take action on the Fiscal Year 2016 (Program Year 2015) Community Development Block Grant Annual Plan. Passed, approved and adopted this 20th day of January, 2015. Attest: Kevin 8. t irnstahl, City Cler Karla A. Braig, Ma THE CITY OF E Dubuque AII-Am erica Ciry DUB 1IIII®' Masterpiece on the Mississippi 2007.2012.2015 FY 2016 ANNUAL PLAN FOR USE OF PROGRAM YEAR 2014 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS Exhibit A PREPARED BY THE HOUSING AND COMMUNITY DEVELOPMENT DEPARTMENT 1 CITY OF DUBUQUE, IOWA FY 2016 ANNUAL ACTION PLAN FOR THE USE OF PROGRAM YEAR 2014 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 2015 Annual Action Plan with the use of CDBG funds: HOUSING DEVELOPMENT PROGRAMS First Time Home Buyer Program $40,000 This program 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: 8 Households Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Homeowner Rehabilitation $159,234 1)Residential Rehabilitation Loan Program (7 Housing Units) An on-going program to provide low-interest loans to qualified low and moderate-income homeowners for the rehabilitation of substandard housing units. 2)Home Repair Program Zero%loans to improve conditions of property for income-eligible homeowners National Objective: Low and Moderate Income Housing Location: Citywide Proposed Accomplishments: See above Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Housing Code Enforcement $88,140 Intensive inspection program of rental units within low and moderate-income neighborhoods to ensure safe and sanitary housing. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 400 Housing units Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Housing Rehabilitation Services and Staff $358,852 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(DHD 2 Rental Unit Repair $50,817 1) Emergency Code Enforcement Loan Program This program provides for loans to correct code deficiencies and, in particular, emergency or health and safety corrections, for rental properties. The program aims at preventing the displacement of economically disadvantaged tenants as a result of code enforcement actions. 3) Accessibility Rehab This program provides forgivable loans to disabled tenants to make rental units accessible to the physically disabled. National Objective: Low and Moderate Income Housing Location: Citywide Proposed Accomplishments: 10 Housing units Priority: High Objective/Outcome: Decent Housing/Affordability(DH2) Total Housing Programs $697,043 3 ECONOMIC DEVELOPMENT PROGRAM Commercial/Industrial Building Rehab Loan Program and Revolving Loan $0 This program provides low interest and forgivable loans/grants for rehabilitation of commercial and industrial buildings in the City's older neighborhoods and downtown. Rehabilitation assistance is limited to improvements to the exterior of the building and to the correction of code violations. On-going revolving loan fund established. National Objective: Removal of Slum and Blight Location: Slum and Blight Area Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Economic Development Financial Assistance Program and Revolving Loan $0 This program provides both large and small businesses with attractive low-interest and forgivable loan packages or grants to support local economic development efforts, including projects to create or retain jobs, enhance the tax base and strengthen the local economy. To the greatest extent possible,these investment capital funds are used to benefit low and moderate income citizens, address slum and blight problems, leverage additional funding from state, federal and private sources and to assist in the retention and expansion of existing local businesses. On-going revolving loan fund established. National Objective: Low and Moderate Income Jobs Location: Citywide Priority: High Objective/Outcome: Economic Opportunity/Sustainability(E03) Total Economic Development Programs $0 NEIGHBORHOOD and COMMUNITY DEVELOPMENT PROGRAMS Accessible Curb Ramps $12,600 Replace curbs at intersections throughout the City with accessible ramps to make public sidewalks accessible to persons with disabilities. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 4 Accessible ramps Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) 4 Four Mounds HEART Program $10,000 Youth education program where youth experience hands-on learning while promoting neighborhood revitalization and earning high school diploma. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 20 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL I) Neighborhood Infrastructure Improvements $13,400 National Objective: Low and Moderate Income Benefit Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) 1)Neighborhood Street Overlays Provides for pavement overlays in income eligible neighborhoods. Location: Low/Moderate Income Areas Proposed Accomplishments: 3 streets 2)Neighborhood Sidewalk Program Grant program to income eligible homeowners, on a case-by-case basis,to pay a maximum of 75% of the cost to repair public sidewalks in front of their home. Grant amount varies based on percentage of area median income. Location: City Wide Proposed Accomplishments: 7 sidewalks 3)Neighborhood Step/Wall Repair An on-going program to renovate or remove steps and walls that are public safety problems In low-income areas. Location: Low/Moderate Income Areas Neighborhood Recreation Programs $114,124 An enhanced recreation program is 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. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas or City wide Proposed Accomplishments: 5730 persons Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SLI) Neighborhood Support Grants $14,560 This grant program provides resources for organized neighborhoods in low/mod income areas to encourage self-initiated revitalization efforts including physical improvements, clean-ups,communication efforts or other special projects. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 2000 People Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) 5 Purchase of Services Grant $21,820 Local non-profits may apply for funding that meets the City Council Goals and Priorities for FY 2016. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: To be determined Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Senior Center $16,380 Education and recreation services provided to elderly citizens at the Hills&Dales Lifetime Center. National Objective: Low and Moderate Income Benefit Location: Citywide Proposed Accomplishments: 600 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SLI) Washington Tool Library $11,284 An on-going free tool loan program operated by the Washington Neighborhood Tool Library, A non-profit organization staffed by volunteers. Funds are used to buy and repair tools and operating costs. Income eligible residents borrow tools at no charge for home repairs and improvements National Objective: Low and Moderate Income Benefit Location: City Wide Proposed Accomplishments: 450 People Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SLI) Zoning Inspection/Enforcement $8,710 This project provides funding for inspection/enforcement staff services to low/mod income areas for zoning ordinance infractions and to provide support for neighborhood clean up efforts. National Objective: Low and Moderate Income Benefit Location: Low/Moderate Income Areas Proposed Accomplishments: 45 Housing Units Objective/Outcome: Decent Housing/Sustainability (DH3) Total Neighborhood and Community Development Programs $222,878 PLANNING AND ADMINISTRATION Housing Planning/Administration Services and Staff $70,945 On-going staff support for general housing planning activities,including Consolidated Plan, and department administration. Priority: High Objective/Outcome: Decent Housing/Accessibility(DHI) Neighborhood Development Services&Staff $60,185 The Neighborhood Development Specialist coordinates the City's neighborhood Development programs and provides technical assistance to organizations and residents to improve Dubuque's neighborhoods. Priority: High Objective/Outcome: Suitable Living Environment/Accessibility(SL1) CDBG Administration Services and Staff $97,801 Staff support for general management. Oversight and coordination of the Community Development Block Grant program;assures compliance with federal regulations and reporting requirements. Includes$30,000 for consultant for Consolidated Plan and Analysis of Impediments. 6 Priority: High Objective/Outcome: Suitable Living Environment/Sustainability(SL3) Total Planning and Administration $247,065 Contingency $79,091 Grand Total: CDBG Funding Proposed for FY 2016 $1,246,077 7 COMMUNITY DEVELOPMENT BLOCK GRANT FY 2015 CDBG AN N UAL ACTION PLAN FOR THE PERIOD EN DI NG June 30, 2016 PROJECTED SOURCES FY2016 Entitlement 954,448 Program Income 291 ,629 Unexpended Funds Total Sources 1,246,077 Housing Development Programs: FY 2016 First Time Homebuyer Program 40,000 Homeowner Rehab Program 159,234 Housing Code Enforcement 88,140 Housing Rehabilitation Services and Staff 358,852 Rental Unit Rehabilitation 50,817 Housing Totals 697,043 Economic Development Programs: E.D. Financial Assistance Program Harvest Kitchen & Bar Microenterprise Assistance Program Economic Development Totals Neighborhood and Community Development Programs Accessible Curb Ramps 12,600 Neighborhood Infrastructure Improvements 13,400 Neighborhood Recreation Program 114,124 Neighborhood Support Grants 14,560 Four Mounds HEART 10,000 Senior Center 16,380 Washington Tool Library 11,284 Purchase of Services 21,820 Zoning Inspection/Enforcement 8,710 Neighborhood & Comm. Develop. Totals 222,878 Administration Neighborhood Development Services and Staff 78,319 Housing Administration 70,945 CDBG Admin. Services and Staff 97,801 Administration Totals 247,065 Contingenc 79,091 TOTAL CDBG 1,246,077 8 COMMUNITY DEVELOPMENT BLOCK GRANT- FY 2015 ANNUAL ACTION PLAN: CAPS 20% ADMINISTRATIVE CAP 15% PUBLIC SERVICE CAP Estimated FY 16 CDBG Allocation 954,448 954,448 FY 16 CDBG Allocation Current Year Program Income 291,629 361,469 Previous Year Program Income Total Available 1,246,077 1,315,917 Total Available Cap% 20% 15% Public SeMce Cap Maximum allowed 249,215 197,388 Maximum allowed ADMIN PUB SERVICE UNCAPPED FY15 Amd FY16 AP FY15 Amd FY16 AP FY15 Am FY1 First Tim e H om ebuyer Program 41,784 40,000 Homeowner Rehab Progarm 157,450 159,234 Housing Administration 70,416 70,945 Housing Code Enforcement 188,424 88,140 Housing Rehabilitation Services and Staff 356,727 358,852 Lead Hazard Control Program 50,816 0 Rental Unit Rehabilitation 0 50,817 Microenterprise Assistance Program 10,806 0 Harvest Kitchen and Bar 175,000 0 Accessible Curb Ramps 12,600 12,600 Information&Referral- ProjectConcern 10,000 0 10,000 0 Multicultural Center 76,259 0 Neighborhood Development Services and Staff 60,185 78,319 Neighborhood Infrastructure Improvements 13,400 13,400 Neighborhood Recreation Program 109,838 114,124 Neighborhood Support Grants 14,560 14,560 Purchase of Services 21,820 Four Mounds HEART 10,000 Opening Doors 13,005 0 Senior Center 18,200 16,380 Washington Tool Library 11,284 11,284 Zoning Inspection/Enforcement 8,710 8,710 CDBGAdmin.Services and Staff 121,281 97,801 Contingency7g,p91 TOTALS 251,882 247,065 176,887 188,168 1,101,976 810,844 9