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FY08 Annual Action Plan_Amendments 2 and 3rxE cmr of Dubuque -... ~IJB E All-An~icaCinl 4 A Masterpiece on the Mississippi H a 2007 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Fiscal Year 2008 Annual Action Plan -Amendments 2 and 3 DATE: January 16, 2008 Housing and Community Development Department Director David Harris is recommending approval of Amendments 2 and 3 for the Fiscal Year 2008 Annual Action Plan for the City's Community Development Block Grant program. The proposed amendments to the Fiscal Year 2008 plan combine the allocations from the previous year with the current program year. The Community Development Advisory Commission held public hearings on November 23, 2007 and January 9, 2008. At that time, the Commission approved changes, which included carryovers and encumbrances from Fiscal Year 2007 and reallocated funding to existing programs. Significant new changes to the plan include: • The Multicultural Family Center at 1340 White Street has been funded the past two years with Community Partnership funds. Additional funding of $180,000 is now being proposed to convert space at a new location for expansion of the center. There will be a companion recommendation during the City budgeting process to recommend additional dollars should a new facility be located. • The Commission approved a request from the Dubuque Rescue Mission to create a job readiness program, Breaking Employment Barriers and Getting Ahead in aJust-Getting By-World, with $4,622. • The City Council recently approved the creation of a new full-time Housing Inspector position to work exclusively in the downtown neighborhoods. A portion of the salary, $6,747, will be funded with CDBG in Fiscal Year 2008, which increases the Housing Code Enforcement activity to $145,415 and decreases the Rental Unit Rehabilitation program to $186,220. I concur with the recommendation and respectfully request Mayor and City Council approval. z /~ C~ ~. ~~~~ M' hael C. Van Milligen MCVM/jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager David Harris, Housing and Community Development Department Director THE CITY OF Dubuque DUB E Masterpiece on tl2e Mississippi ~~ ~. 2007 TO: Mich `Van Milligen, City Manager Ct FROM: David arns, Housing and Community Development SUBJECT: FY 2008 Annual Action Plan -Amendments 2 & 3 DATE: January 10, 2008 INTRODUCTION The purpose of this memorandum is to request the City Council's approval of the attached resolution approving an Amendments 2 & 3 for the Fiscal Year 2008 Annual Action Plan for the City's Community Development Block Grant (CDBG) program. 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 2008. Since the funds from FY 2007 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 amendments to the FY 2008 plan combine the allocations from the previous year with the current program year. Attached is a summary of the funds available for reprogramming. The existing FY 08 Annual Plan allocates $1,745,033 to CDBG programs. The CDBG balance as of July 1 2007 as per the CAPER report was $1,318,130, creating a total of $3,063,163. CDBG Entitlement FY 2008 1,252,136 Projected Program Income 454,725 ED Revolving Loan Funds 30,659 Health Insurance Savings 7,513 FY 07 Annual Plan (Adopted) 1,745,033 Prior Year Funds 1.318,130 Available Funds 3,063,163 The Community Development Advisory Commission held a public hearing on November 28, 2007. At that time the Commission approved changes which included carryovers and encumbrances from FY 2007 and reallocated funding to existing programs. A contingency of $214,622 was available for reallocation and a public hearing was held on January 9th to approve the activities as described below. An announcement by HUD in October stated Dubuque had been awarded a $2.9 million dollar grant to fund Lead-Based Paint Hazard Control. The Commission had endorsed $60,000 for FY 2008 but due to the mid-year award, $30,000 is now proposed for the Lead Paint Hazard Abatement program for FY 2008. The Multicultural Family Center at 1340 White has been funded the past two years with Community Partnership (cp2) funds. Additional funding of $180,000 is now being proposed to convert space at a new location for expansion of the center. The proposed amendment will also reflect the City Council's approval on November 5th of an amendment to the FY 2007 Annual Action Plan for a forgivable loan to Cottingham and Butler to provide for demolition and construction of a building at 803 Main. The FY08 Plan amendment will change the program from `CommerciaUlndustrial Building Rehab loans/Cottingham and Butler' to "Demolition and Construction/ Cottingham & Butler" with the same $320,000 in funding. The Commission approved a request from the Dubuque Rescue Mission to create a job readiness program, Breaking Employment Barriers and Getting Ahead in a Just- Getting By- World, with $4,622 funding in the FY 2008 Plan amendment. In addition, the City Council recently approved the creation of a new full-time Housing Inspector position to work exclusively in the downtown neighborhoods. A portion of the salary, $6,747, will be funded with CDBG in FY 2008, which increases the Housing Code Enforcement activity to $145,415 and decreases the Rental Unit Rehabilitation program to $186,220. A Shelter Plus Care grant was received by the City of Dubuque in the amount of $536,520. The grant is administered by Project Concern and provides subsidized rental housing assistance for disabled individuals and families with supportive services. Reference to this grant is now included in the FY 2008 Annual Action Plan since it assists in meeting the City's Strategic Plan objective "T1G3.31ncrease opportunities for the elderly, disabled and persons with special needs to maintain an independent lifestyle." Public notices regarding the proposed changes were published in the Telegraph Herald, Dubuque Advertiser, on Channel 8 and the City of Dubuque website. These notices advised the public of the intent of the amendment and invited comment at or before the public hearing. This initiated the 30-day public comment periods as required in the Citizen Participation Plana At the public hearings, the Commission heard the request from the Dubuque Rescue Mission to fund their program. The Commission voted to approve the amendments and forvvard to the City Council. RECOMMENDATION It is recommended that the City Council approve the FY 2008 Annual Plan - Amendments 2 and 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 a Fiscal Year 2008 Annual Action Plan-Amendments 2 & 3 for Community Development Block Grant activities. Prepared by Aggie Tauke, Community Development Specialist F:\USERS\ATAUKE\CDBG\AnnualPlan\FY 08\FY08 Amd3 Council. mvm.doc FY 2008 ANNUAL PLAN - Amendments 2 & 3 First Time Homebuyer Program Historic Preservation Rehab Grant Homeowner Rehab Program Housing Administration Housing Code Enforcement Housing Rehabilitation Services and Staff Housing Trust Lead Paint Hazard Abatement Project Purchase/Rehab/Resale DREAMS Rental Unit Rehabilitation Total: Economic Development Programs: Commercial/Industrial Building Rehab Loans &RLF CommerciaUlndustrial Building Rehab (Cottingham & But Demolition & Construction (Cottingham & Butler) E.D. Financial Assistance Program 8 RLF Economic Development Services and Staff Economic Development Totals Neighbornood antl community Development Progran Accessible Curb Ramps Child Care Resource/Referral-Project Concern Community Partnership Program (CP2)' Dubuque Dispute Resolution Center Dubuque Rescue Mission Job Readiness Program Information & Referral - Project Concern Leadership Training Multicultural Center- Public Facility Improvement Neighborhood Development Services and Staff Neighborhood Infrastructure Improvements Neighbofiood Recreation Program Neighborhood Support Grants Senior Center Washington Tool Library Washington Neighborhood Park Zoning Inspection/Enforcement Neighborhood & Comm. Develop. Totals Planning 8 Administration Programs: CDBG Admin. Services and Staff Finance City Planning Services and Staff Planning Administration Planning City Planning Planning and Administration Totals SHELTER PLUS CARE GRANT $536,520 OBTAINED FOR HOUSING ASSISTANCE, WITH SUPPORTIVE SERVICES, FOR DISABLED PERSONS & FAMILIES. PROJECTED SOURCES FY 2008 CDBG Entitlement 1,252,136 Projected Program Income 454,725 ED Revolving Loan Funds 30,659 Health Ins Savings 7,513 FY 08 Subtotal 1,745,033 F'rlor Year C:UBCi Balance 1,252,729 Lump Sum Balance 65,401 FY U/Subtotal 1,318,130 Available Funds 3,063,163 FY 08 Amended Annual Plan Amendment 2 Amendment 3 FY08 Plan 100,000.00 130,000 130,000 5,000.00 29,918 29,918 290,000.00 408,813 408,813 58,840.00 58,954 58,954 121,416.00 138,668 145,415 145,415 289,035.00 347,371 347,371 96,173 96,173 30,000 30,000 10,000.00 67,336 67,336 60,000.00 192,967 186,220 186,220 c 934,291.00 1,470,200 361,635 1,500,200 14,660.00 14,660 14,660 ler) 320,000 0 0 320,000 320,000 14,659.00 183,959 183,959 88,109.00 88,970 88,970 ~ 117,428.00 607,589 320,000 607,589 ~s: 64,982.00 90,000 90,000 9,098.00 9,834 9,834 49,348.00 59,894 59,894 1,000.00 2,000 2,000 4,622 4,622 25,821.00 27,910 27,910 2,177.00 2,177 2,177 180,000 180,040 84,145.00 84,145 84,145 50,000.00 52,056 52,056 121,185.00 121,185 121,185 30,000.00 40,444 40,444 25,000.00 27,116 27,116 15,500.00 17,060 17,060 21,873 21,873 13,000.00 13,000 13,000 491,256.00 668,695 184,622 7b3,317 99,829.00 99,829 99,829 4,277.00 4,277 4,277 15,898.00 15,898 15,898 82,054.00 82,054 82,054 202,058.00 202,058 202,058 214,622 0 0 1,745,033.00 3,063,163 866,257 3,063,'163 F:\USERS\ATAUKE\CDBGVInnualPlan\FV OS\]FY OB Annual Plan.xls]OS CDAC Amtl 3 Wksht RESOLUTION NO. 18-2008 (18-08) RESOLUTION APPROVING THE FISCAL YEAR 2008 (PROGRAM' YEAR 2007) ANNUAL ACTION PLAN -AMENDMENTS 2 & 3 FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS. Whereas, the City of Dubuque prepared and filed Annual Action Plans for Fiscal Years 2007 and 2008; 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 30 day public comment period; and Whereas, the Community Development Advisory Commission reviewed the proposed amendments at a public hearing on November 28, 2007 and January 9, 2008, and has voted to approve said amendments 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 is incorporated into a Fiscal Year 2008 (Program Year 2007) Annual Action Plan- Amendments 2 & 3 attached hereto as Exhibit A. Section 2. That said Fiscal Year 2008 (Program Year 2007) Annual Action Plan- Amendments 2 & 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. Passed, approved and adopted this 22nd day of January, 2008. Ric W. Jones, Mayor Pro-tem Attest: Jeanne F. Schneider, City Clerk F:W SERSWTAUKEICDBGWnnuaIPWMFY OB~OB Amd 2 8 3.Resdutbn.doc FY 2008 ANNUAL PLAN - Amendments 2 & 3 Exhibit A PROJECTED SOURCES FY 2008 CDBG Entitlement 1,252,136 Projected Program Income 454,725 ED Revolving Loan Funds 30,659 Health Ins Savings 7,513 FY 08 Subtotal 1,745,033 Prior Year CDBG Balance 1,252,729 Lump Sum Balance s5,ao1 FY 07Subtotal 1,318,130 Available Funds 3,063,163 Approved by CDAC 11128/07 and 1/9/08 Amended Housing Development Programs: FY08 Plan First Time Homebuyer Program 130,000 Historic Preservation Rehab Grant 29,918 Homeowner Rehab Program 408,813 Housing Administration 58,954 Housing Code Enforcement 145,415 Housing Rehabilitation Services and Staff 347,371 Housing Trust 96,173 Lead Paint Hazard Abatement Project 30,000 Purchase/RehablResale DREAMS 67,336 Rental Unit Rehabilitation 186.220 Housing Totals 1,500,200 Economic Development Programs: Commercial/Industrial Building Rehab Loans &RLF 14,660 Commercial/Industrial Building Rehab (Cottingham & Butler) 0 Demolition & Construction (Cottingham 8 Butler) 320,000 E.D. Financial Assistance Program &RLF 183,959 Economic Development Services and Staff 88,970 Economic Development Totals 607,589 Neighborhood and Community Development Programs: Accessible Curb Ramps 90,000 Bishop Block Community Room 0 Child Care Resource/Referral-Project Concern 9,834 Community Partnership Program (CP2)* 59,894 Dubuque Dispute Resolution Center 2,000 Dubuque Rescue Mission Job Readiness Program 4,622 Information & Referral - Project Concern 27,910 Leadership Training 2,177 Multicultural Center- Public Facility Improvement 180,000 Neighborhood Development Services and Staff 84,145 Neighborhood infrastructure Improvements 52,056 Neighborhood Recreation Program 121,185 Neighborhood Support Grants 40,444 Senior Center 27,116 St Mark Community Center Rehab 0 Washington Tool Library 17,060 Washington Neighborhood Park 21,873 Zoning Inspection/Enforcement 13.000 Neighborhood & Comm. Develop. Totals 753,316 Planning 8 Administration Programs: CDBG Admin. Services and Staff 99,829 Finance 4,277 City Planning Services and Staff Planning Administration 15,898 Planning City Planning 82.054 Planning and Administration Totals 202,058 Contingency (Uncommitted funds) 0 Totals 3,063,163 SHELTER PLUS CARE GRANT $536,520 OBTAINED FOR HOUSING ASSISTANCE, WITH SUPPORTIVE SERVICES, FOR DISABLED PERSONS & FAMI FWSERSWTAUKE\CDBGWnnualPlanlFY OB\[FY 08 Annual Plan.xls]OB CDAC Amd 21