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CDBG FY 2009 Annual Action Plant Amend 1TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: CDBG Fiscal Year 2009 Annual Action Plan Amendment 1 DATE: April 15, 2008 Housing and Community Development Department Director David Harris is recommending City Council approval of changes in the City's Community Development Block Grant (CDBG) FY 2009 Annual Plan. This amendment is needed to facilitate the reduction in CDBG entitlement allocation for FY 2009 and has been approved by the Community Development Block Grant Commission. The amendment as approved by the Commission proposes the following changes: • Decrease First Time Homebuyer Program by $5,000 ($70,000) • Decrease Homeowner Rehab Program by $20,378 ($244,622) • Increase funding for the Lead Paint Hazard Abatement Project by $58,468 ($60,000) • Decrease Rental Unit Rehabilitation by $10,000 ($35,000) • Decrease Economic Development Financial Assistance by $20,378 (24,286) • Decrease Neighborhood Support Grants by $5,347 (19,653) I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael 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 1 Masterpiece on the Mississippi 2007 To: Mi I Van Milligen, City Manager From: Davi arris, Housing and Community Development Subject: CDBG FY 2009 Annual Action Plan Amendment 1 Date: March 28, 2008 INTRODUCTION The purpose of this memorandum is to request the City Council's approval of the attached resolution approving an amendment to Fiscal Year 2009 Annual Action Plan for the City's Community Development Block Grant (CDBG) program. This amendment is needed to reflect the reduction in the CDBG entitlement allocation for FY 2009. DISCUSSION The U.S. Department of 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. The City Council approved a FY 2009 Annual Action Plan on March 13, 2008 as part the City budget. Based on a final HUD allocation of $1,209,501, a $2,635 reduction resulted. In addition, the CDBG $60,000 match for the Lead Based Paint Hazard Control grant must be incorporated in the budget. The attached FY 2009 Annual Action Plan amendment reflects the proposed changes to the Plan as follows: - Decrease First Time Homebuyer Program by $5,000 ($70,000) - Decrease Homeowner Rehab Program by $20,378 ($244,622) - Increase funding for the Lead Paint Hazard Abatement Project by $58,468 ($60,000) - Decrease Rental Unit Rehabilitation by $10,000 ($35,000) - Decrease Economic Development Financial Assistance by $20,378 ($24,286) - Decrease Neighborhood Support Grants by $5,347 ($19,653) The Citizen Participation Plan defines these program changes as a substantial amendment. Therefore, the required 30-day comment period was held, commencing with the publication of a notice in the Dubuque Advertiser on February 20th, the Telegraph Herald on February 21St and on the City website. The Community Development Advisory Commission held a public hearing on March 26, 2008. No one from the public spoke in regard to the proposed amendment. The Commission reviewed and discussed the funding based on the required HUD limitations, voted to approve the attached amendment and recommended City Council approval. RECOMMENDATION I recommend that the City Council approve the above-described Amendment 1 to the FY 2009 (Program Year 2008) Annual Action Plan for the use of CDBG funds. ACTION STEP The Action Step is for the City Council to adopt the attached resolution. Prepared by Aggie Tauke, Community Development Specialist RESOLUTION NO. 117-2008 RESOLUTION APPROVING AMENDMENT 1 TO THE FISCAL YEAR 2009 (PROGRAM YEAR 2008) ANNUAL ACTION PLAN FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS. Whereas, the City of Dubuque has prepared and approved an Annual Plan for Fiscal Year 2009 (Program Year 2008), and Whereas, the City now desires to amend said Fiscal Year 2009 Annual Plan to reflect the reduced Fiscal Year 2009 CDBG allocation 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 held a public comment period beginning February 20, 2008 with publication in the Dubuque Advertiser, Telegraph Herald and on the City website; and Whereas, the Community Development Advisory Commission reviewed the proposed amendment on March 26, 2008 and 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 Amendment 1 to the Fiscal Year 2009 (Program Year 2008) Annual Plan for the Community Development Block Grant (CDBG) program hereto attached as Exhibit A is hereby approved. Section 2. That the City Manager is hereby authorized and directed to submit a copy of this resolution to the U. S. Department of Housing and Urban Development. Passed, approved and adopted this 21st day of April 2008 Roy D Buol, Mayor Attest: Jeanne F. Schneider, City Clerk FY 2009 CDBG ANNUAL ACTION PLAN AMENDMENT 1 Exhibit A FY 2009 ACTION PROJECTED SOURCES PLAN Estimated Entitlement 1,209,501 Program Income 434,595 ED Revolving Loan Fund 25,192 Total Sources 1,669,288 Proposed Housing Development Programs: FY 2009 First Time Homebuyer Program 70,000 Homeowner Rehab Program 244,622 Housing Administration 61,226 Housing Code Enforcement 148,276 Housing Rehabilitation Services and Staff 307,077 Lead Paint Hazard Abatement Project 60,000 Purchase/Rehab/Resale DREAMS 10,000 Rental Unit Rehabilitation 35,000 Housing Totals 936,201 Economic Development Programs: CommercialAndustrial Building Rehab Loans & Revolving Loan Fund - E.D. Financial Assistance Program & Revolving Loan Fund 24,286 Economic Devebpment Services and Staff 64,516 Economic Development Totals 88,802 Neighborhood and Community Development Programs Accessible Curb Ramps 35,000 Child Care Resource/Referral-Project Concern 9,098 Community Partnership Program (CP2)" 41,725 Dubuque Dispute Resolution Center 1,000 Information & Referral - Project Concern 25,821 Leadership Training 2,000 Neighborhood Development Services and Staff 84,919 Neighborhood Infrastructure Improvements 40,000 Neighborhood Recreation Program 128,160 Neighborhood Support Grants 19,653 Senior Center 25,000 Washington Tool Library 15,500 Zoning Inspection/Enforcement 13,000 Neighborhood 8< Comm. Develop. Totals 440,876 Planning and Administration CDBG Admin. Services and Staff 105,205 Finance 4,528 City Planning Services and Staff Planning Administration 16,183 Planning City Planning 77,493 Planning and Administration Totals 203.409 TOTAL CDBG 1,669,288 F:IUSERSWTAUKEICDBGVVrNiaPlan~FY 091(Couna7 FY 09 Amend 1.xts~and FY 09 Amd t