Fiscal Year 2010 Annual Action Plan Amendment #2THE CITY OF
Du13
Masterpiece on the Mississippi
TO:
FROM:
SUBJECT:
DATE:
The Honorable Mayor and City Council Members
Michael C. Van Milligen, City Manager
FY2010 Annual Action Plan - Amendment 2
January 11, 2010
Dubuque
ketri
AMlmedcaCily
2007
Housing and Community Development Director David Harris is recommending approval
of an amendment to the Fiscal Year 2010 Annual Action Plan — Amendment 2 for the
City's Community Development Block Grant Program. This amendment provides for
an amendment to the FY2009 and FY2010 Annual Action Plans by reallocating funds
from the prior FY2009 Annual Plan into the FY2010 Annual Plan and reprogramming
funds for existing and new projects.
The existing FY2010 Annual Plan allocated $1,712,782 for approved programs and
activities. The CDBG balance as of June 30, 2009 as per the CAPER report was
$1,015,499, creating a total of $2,850,291 of CDBG funds.
In addition, the proposed amendment will carry forward the Homelessness Prevention
and Rapids Re- housing Program (HPRP) funds of $502,294 and $328,269 of
Community Development Block Grant Recovery (CDBG -R) funds.
The proposed Amendment 2 incorporates obligated funds and remaining FY 2009 funds
into the FY 2010 Annual Action Plan. In addition, the following changes are being
proposed to the FY 2010 Annual Plan.
The Green Alley Pilot Project used CDBG- Recovery funds for reconstruction of two
existing alleys from 11 Street to 13 Street between White Street and Jackson Street.
The FY 2009 plan proposed $246,202 for the project but it was recently completed for
$199,967. The amendment proposes $95,475 for the reconstruction of another alley
from 15 to 16 Streets between Elm Street and Washington Street, an area where
CDBG funds were used to rehab nine properties. The amendment also proposes to
increase CDBG funding by $49,240 for Homeowner Rehabilitation ($432,428).
In addition, the amendment would increase CDBG funding by $45,686 for the First Time
Homeowner ($153,136) to facilitate increased loans to first time homeowners in the
Washington Neighborhood. The narrative for the FY2010 Plan would also be amended
to remove the $5000 loan limit as shown on Exhibit B for down - payment assistance,
which will increase to $15,000.
concur with the recommendation and respectfully request Mayor and City Council
approval.
eI C. V
Mich an Milligen
MCVM:lw
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
David Harris, Housing & Community Development Director
Masterpiece on the Mississippi
To: Michael Milligen, City Manager
From: David Harr , Housing and Community Development
Subject: FY 2010 Annual Action Plan- Amendment 2
Date: January 7, 2010
CDBG Entitlement FY 2010 1,236,260
Projected Program Income 451,330
ED Revolving Loan Funds 25,192
Prior Year CDBG Balance 1,015,499
FY 08 Lump Sum Balance 122.011
Available CDBG Funds 2,850,291
HPRP 502,294
CDBG- R 328,269
Dubuque
AIWAewkalky
I
2007
200/
INTRODUCTION
The purpose of this memorandum is to request the City Council's approval of the attached
resolution approving FY 2010 Annual Action Plan- Amendment 2. This amendment
provides for an amendment to the FY 2009 and FY 2010 Annual Action Plans by
reallocating funds from the prior FY 2009 Annual Plan into the FY 2010 Annual Plan and
reprogramming funds for existing and new projects.
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.
DISCUSSION
Attached is a summary of the funds available for reprogramming. The existing FY 2010
Annual Plan allocated $1,712,782 for approved programs and activities. The CDBG
balance as of June 30, 2009 as per the CAPER report was $1,015,499, creating a total of
$2,850,291 of CDBG funds.
In addition, the proposed amendment will carry forward the Homelessness Prevention and
Rapid Re- Housing Program (HPRP) funds of $502,294 and $328,269 of Community
Development Block Grant Recovery (CDBG -R) funds.
PROPOSED AMENDMENT
The attached summary shows the reallocation of these federal funds. The proposed
Amendment 2 incorporates obligated funds and remaining FY 2009 funds into the FY
2010 Annual Action Plan. In addition, the following changes are being proposed to the FY
2010 Annual Plan.
The Green AIIey Pilot Project used CDBG- Recovery funds for reconstruction of two
existing alleys from 11 Street to 13 Street between White Street and Jackson Street.
The FY 2009 plan proposed $246,202 for the project but it was recently completed for
$199,967. Since CDBG -R funds cannot be co- mingled with existing CDBG projects, the
attached amendment therefore proposes to move the $49,240 in CDBG - Recovery funds
from Homeowner Rehabilitation (0) to Green AIIey Pilot Project ($295,442). This will
provide $95,475 for the reconstruction of another alley from 15 to 16 Streets between
Elm Street and Washington Street, an area where CDBG funds were used to rehab nine
properties. The amendment also proposes to increase CDBG funding by $49,240 for
Homeowner Rehabilitation ($432,428).
In addition, the attached amendment would increase CDBG funding by $45,686 for the
First Time Homeowner ($153,136) to facilitate increased loans to first time homeowners in
the Washington Neighborhood. The narrative for the FY2010 Plan would also be amended
to remove the $5000 loan limit as shown on Exhibit B for down - payment assistance, which
will increase to $15,000.
Public notices regarding the proposed changes were published in the Telegraph Herald,
Dubuque Advertiser, and on 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 period as required in the Citizen
Participation Plan.
At the public hearing, staff reviewed the Green AIIey Pilot project at the public's request.
The Commission voted to approve the amendment and forward to the City Council.
RECOMMENDATION
It is recommended that the City Council approve the FY 2010 Annual Action Plan -
Amendment 2 as shown in Exhibits A and B 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 FY 2010 Annual Action Plan- Amendment 2.
Prepared by Aggie Tauke, Community Development Specialist
F:\ USERS\ATAUKE \CDBG\AnnualPlan\Fy 2010 \Council FY 10 Amend2. memo.doc
RESOLUTION NO. 9 -2010 (9-10)
RESOLUTION APPROVING AN FISCAL YEAR 2010 (PROGRAM YEAR 2009) ANNUAL
ACTION PLAN - AMENDMENT 2 FOR COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG),
HOMELESSNESSS PREVENTION AND RAPID RE- HOUSING (HPRP) AND COMMUNITY
DEVELOPMENT BLOCK GRANT RECOVERY (CDBG -R) FUNDS.
Whereas, the City of Dubuque prepared and filed Annual Action Plans for Fiscal Years 2009
and 2010; and
Whereas, the City of Dubuque now desires to amend said Annual Plans by incorporating
them into one amended FY 2010 Annual Plan as per the attached Exhibit A; and
Whereas, the City of Dubuque now proposes to amend the First Time Homebuyer program
to remove the loan limit as per the attached Exhibit B; and
Whereas, said amendment is a substantial amendment as provided in the City's Citizen
Participation Plan and therefore must 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 beginning December 1
2009; and
Whereas, the Community Development Advisory Commission reviewed the proposed
amendment at a public hearing on January 6, 2010, 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 2009 and 2010 are hereby
rescinded and the balance of funds from these plans are incorporated into a Fiscal Year 2010
(Program Year 2009) Annual Action Plan- Amendment 2, attached hereto as Exhibit A.
Section 2. That the First Time Homeowner program is hereby amended as per Exhibit B.
Section 3. That said Fiscal Year 2010 (Program Year 2009) Annual Action Plan -
Amendment 2 attached hereto as Exhibit A and Exhibit B is hereby approved.
Section 4. 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 19 day of January, 2010.
Attest:
Jeanne F. Schneider, City Clerk
David T. Resnick, Mayor Pro -Tem
Housing Programs
FY2010
Annual
Plan
FY 2010
Amendment 2
CDBG HPRP CDBG -R
First Time Homebuyer Program
70,000
153,136
Historic Preservation Rehab Grant
19,467
39,384
Homeowner Rehab Progarm
225,000
432,428
-
Housing Administration
61,769
61,769
Housing Code Enforcement
153,267
154,526
Housing Rehabilitation Services and Staff
319,437
337,770
Housing Trust
69,723
Lead Paint Hazard Abatement Project
60,000
118,161
Purchase /Rehab /Resale DREAMS
69,958
Rental Unit Rehabilitation
40,000
103,159
Housing Totals
948,940
1,540,014
Economic Development Programs:
-
Commercial/Industrial Building Rehab Loans
99,080
E.D. Financial Assistance Program-
72,535
72,535
Economic Development Totals
72,535
171,615
Neighborhood /Commmunity Development Programs
-
Accessible Curb Ramps
30,000
64,553
Child Care Resource /Referral- Project Concern
9,098
9,856
Community Partnership Program (CP2)*
12,125
Dubuque Dispute Resolution Center
1,000
1,000
Green Alley Pilot Project- Washington Neighborhood
-
295,442
Information & Referral - Project Concern
25,821
27,973
Leadership Training
-
Multicultural Center
76,540
445,511
Neighborhood Development Services and Staff
89,479
89,479
Neighborhood Infrastructure Improvements
40,000
45,946
Neighborhood Recreation Program
140,561
145,551
Neighborhood Support Grants
24,000
37,663
Opening Doors
10,000
10,000
Senior Center
25,000
29,197
Washington Tool Library
15,500
15,500
Zoning Inspection /Enforcement
13,000
13,000
Neighborhood & Community Development Totals
499,999
947,354
Planning & Administration Programs:
-
CDBG Admin. Services and Staff
137,459
137,459
32,827
Finance
4,671
4,671
City Planning Services and Staff
-
City Planning
49,178
49,178
Planning and Administration Totals
191,308
191,308
CONTINGENCY BALANCE TO ALLOCATE
Homelessness Prevention and Rapid Re- Housing Program
(HPRP)
502,294
Year -to -Date Expenditures and Budget Balances 1,712,782
2,850,291
502,294
328,269
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FY 2010 ACTION PLAN
AMENDMENT 2
Exhibit A
F: \USERS\ATAUKE \CCBGWnnualPlan\Fy 2010 \(Fy10 Amd 2.xls]FY10Amd2
PROJECTED SOURCES Amend FY10
CDBG Entitlement 1,236,260
Projected Program Income 451,330
ED Revolving Loan Funds 25.192
Subtotal
Prior Year CDBG Balance 1,157,000
Payroll liability (16,842)
Lump Sum Balance 122,011
City Balance (124.659)
Subtotal
Available CDBG Funds
Available CDBG Recovery Funds
Available HPRP Funds
1,712,782
1.137.509
2,850,291
328,269
502,294
EXHIBIT A
THE CDBG -R SUBSTANTIAL AMENDMENT
Jurisdiction(s): City of Dubuque, Iowa
Jurisdiction Web Address:
www.cityofdubuque.org
• (URL where CDBG -R Substantial
Amendment materials are posted)
CDBG -R Contact Person: David Harris
Address: 350 West 6 Street, Suite 312,
Dubuque, Iowa 52001
Telephone: 563-589-4239
Fax: 563- 690 -6692
Email: dharris @cityofdubuque.org
ENSURING RESPONSIBLE SPENDING OFRECOVERYACT FUNDS
Funding available under the Recovery Act has clear purposes — to stimulate the economy through
measures that modernize the Nation's infrastructure, improve energy efficiency, and expand
educational opportunities and access to health care. HUD strongly urges grantees to use CDBG-
R funds for hard development costs associated with infrastructure activities that provide basic
services to residents or activities that promote energy efficiency and conservation through
rehabilitation or retrofitting of existing buildings. While the full range of CDBG activities is
available to grantees, the Department strongly suggests that grantees incorporate consideration of
the public perception of the intent of the Recovery Act in identifying and selecting projects for
CDBG -R funding.
A. SPREADSHEET FOR REPORTING PROPOSED CDBG -R ACTIVITIES
Grantees must provide information concerning CDBG -R assisted activities in an electronic
spreadsheet provided by HUD. The information that must be reported in the spreadsheet
includes activity name, activity description, CDBG -R dollar amount budgeted, eligibility
category, national objective citation, additional Recovery Act funds for the activity received
from other programs, and total activity budget. An electronic copy of the spreadsheet and the
format is available on HUD's recovery website at http: / /www.hud.gov /recovery.
1
B.1 CD B G- R INFORMATION BY ACTIVITY (CO MPL E T E FOR EACH ACTIVITY)
1) Activity Name: (Grantees should follow the same order that activities are listed in the Spreadsheet
for Reporting Proposed CDBG -R Activities — this will allow HUD to easily match activity narratives
with the information provided in the spreadsheet.)
Green Alley Pilot Project
2) Activity Narrative:
In addition to the Spreadsheet for Reporting Proposed CDBG -R Activities, grantees must
provide a narrative for each activity describing how the use of the grantee's CDBG -R funds will
meet the requirements of Title XII of Division A and Section 1602 of ARRA. The grantee's
narrative must also state how CDBG -R funds will be used in a manner that maximizes job creation
and economic benefit in relation to the CDBG -R funds obligated, and will address the Recovery Act,
by:
Response:
• Preserving and creating jobs and promoting economic recovery;
• Assisting those most impacted by the recession;
• Providing investment needed to increase economic efficiency;
• Investing in transportation, environmental protection, or other infrastructure that will
provide long -term economic benefits;
• Minimizing or avoiding reductions in essential services; or
• Fostering energy independence.
Green Alley Pilot Project: This project will involve the reconstruction of two
existing asphalt alleys from 11 Street to 13 Street between White Street and Jackson
Street in the Washington Neighborhood, a low- and - moderate income area as defined
by census data. Since this is a pilot project, two different pervious pavement surfaces
will be constructed to help in evaluating suitable pavement types for future alley
reconstruction projects. The engineering has been completed, with project bids to be
received in early June, a contract awarded June 15, 2009 and project completed in
August, 2009. The $246,202 will provide that over 50 percent of the CDBG -R funds
will be for activities that can be initiated by June 17, 2009. The project will create job
opportunities for the construction trades and address a sector that has been negatively
impacted by the recession.
Amendment 2009: The Green Alley Pilot Project used CDBG- Recovery funds for
reconstruction of two existing alleys from 11 Street to 13 Street between White Street
and Jackson Street, which was recently completed for $199,967. The amendment therefore
proposes to move the $49,240 in CDBG - Recovery funds from Homeowner Rehabilitation
(0) to Green Alley Pilot Project ($295,442). This will provide $95,475 for the reconstruction
of another alley from 15 to 16 Streets between Elm Street and Washington Street.
2
3) Jobs Created: (Report the number of full- and part -time jobs estimated to be created and retained by
the activity (including permanent, construction, and temporary jobs)).
Green Alley Pilot Project should create 4 full time jobs.
Amendment 2009: The addition of another alley will create or retain 3 full time
additional jobs.
4. Additional Activity Information: (A description of how the activity will promote energy
conservation, smart growth, green building technologies, or reduced pollution emissions, if applicable.)
The Green Alley Pilot Project will reconstruct alleys that are in poor condition with
pavement surfaces will allow rainfall from low- intensity storms to pass through the pavement
structure. This will recharge the water table and minimize storm water runoff.
5. Responsible Organization: (Contact information for the organization that will implement the
CDBG -R activity, including its name, location, and administrator contact information)
Jon Dienst Civil Engineer
City Hall, 50 West 13 Street
Dubuque IA 52001
Phone: 563 -589 -4270
Email: idienst @cityofdubuque.org
B.2 CDBG-R INFORMATION BY ACTIVITY (COMPLETE FOR EACH ACTIVITY)
1) Activity Name: (Grantees should follow the same order that activities are listed in the Spreadsheet
for Reporting Proposed CDBG -R Activities — this will allow HUD to easily match activity narratives
with the information provided in the spreadsheet.)
Amendment 2009: The Homeowner Rehabilitation
Activity will be deleted and funding moved to the Green Alley Pilot Project.
B.3 CDBG -R INFORMATION BY ACTIVITY (COMPLETE FOR EACH ACTIVITY)
1) Activity Name: (Grantees should follow the same order that activities are listed in the Spreadsheet
for Reporting Proposed CDBG -R Activities — this will allow HUD to easily match activity narratives
with the information provided in the spreadsheet.)
CDBG administration
2) Activity Narrative:
In addition to the Spreadsheet for Reporting Proposed CDBG -R Activities, grantees must
provide a narrative for each activity describing how the use of the grantee's CDBG -R funds will
3
meet the requirements of Title XII of Division A and Section 1602 of ARRA. The grantee's
narrative must also state how CDBG -R funds will be used in a manner that maximizes job creation
and economic benefit in relation to the CDBG -R funds obligated, and will address the Recovery Act,
by:
• Preserving and creating jobs and promoting economic recovery;
• Assisting those most impacted by the recession;
• Providing investment needed to increase economic efficiency;
• Investing in transportation, environmental protection, or other infrastructure that will
provide long -term economic benefits;
• Minimizing or avoiding reductions in essential services; or
• Fostering energy independence.
Response:
- CDBG administration: Oversight and coordination of the Community Development Block
Grant- Recovery program to assure compliance with federal regulations and reporting
requirements. This meets the allowed 10 % grant amount for administration.
3) Jobs Created: (Report the number of full- and part-time jobs estimated to be created and retained
by the activity (including permanent, construction, and temporary jobs)).
CDBG administration: No new jobs will be created since current staff wills administrator
the CDBG -R funds.
4) Additional Activity Information: (A description of how the activity will promote energy
conservation, smart growth, green building technologies, or reduced pollution emissions, if applicable.)
Not Applicable
5) Responsible Organization: (Contact information for the organization that will implement the
CDBG -R activity, including its name, location, and administrator contact information)
David Harris, Housing and Community Development Director
350 West 6 Street, Suite 312
Dubuque IA 52001
Phone: 563 -589 -4239
Fax: 563- 690 -6692
Email: dharris(a�cityofdubuque.org
4
C. PUBLIC COMMENT
Provide a summary of public comments received to the proposed CDBG -R Substantial
Amendment.
Note: A Proposed CDBG -R Substantial Amendment must be published via the usual methods
and posted on the jurisdiction's website for no less than 7 calendar days for public comment.
Response:
The proposed substantial CDBG -R amendment was posted on the City of Dubuque website
cityofdubuque.org beginning May 14, 2009. Copies of the proposed amendment were available
for public viewing at the City Clerk's Office, Carnegie Stout Public Library and City of
Dubuque's Housing and Community Development Department. The amendment was available
to persons with disabilities at these accessible locations and non - English speaking persons had
access via the City's website. A public notice was published in the Telegraph Herald on May 15,
2009.
The City of Dubuque Community Development Advisory Commission held a public hearing on
Wednesday, May 27, 2009. There was no one present to comment on the proposed amendment.
The City Council reviewed and approved the substantial amendment on June 1, 2009.
Upon review by HUD, the City revised the use of CDBG- R funds from the Multicultural Center
Director to Homeowner Rehabilitation. The Commission reviewed and approved the revised
allocation at a public hearing on September 9, 2009. The City Council will review on September
21, 2009.
Amendment 2009: The Community Development Advisory Commission reviewed the
proposed amendment at their November 18, 2009 meeting and held a public hearing on
January 6, 2009. The amendment included reallocating funds from the prior FY 2009
Annual Plan into the FY 2010 Annual Plan and reprogramming funds for existing and new
projects.
F: \USERS\ATAUKE \CDBG\ CDBG -R \CDBG -R Amendment.FY1 0 amd2.doc
5
FY 2010 CDBG ANNUAL ACTION PLAN
AMENDMENT 2
First Time Home Buyer Program
Existing
Proposed
This program provides for loans of up to
$5000 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.
This program provides for loans of i p-ie
$5000 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.
EXHIBIT B