Community Development Block Grant Recovery Close Out
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Community Development Block Grant-Recovery (CDBG-R) Closeout
DATE: September 12, 2012
Housing and Community Development Director Alvin Nash recommends City Council
authorization for the Mayor to sign documents to close out the Community Development
Block Grant Recovery (CDBG-R) grant. The City of Dubuque received the $328,269
grant from the U.S. Department of Housing and Urban Development (HUD) as part of
the American Recovery and Reinvestment Act of 2009.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
/ AAh kt1&1
Michael C. Van Milligen
MCVM:ds
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Alvin Nash, Housing and Community Development Department Director
THE CITY OF
Masterpiece on the Mississippi
Dubuque
klard
All-America City
1
2012
TO: Michael Van Milligen, City Manager
FROM: Alvin Nash, Housing and Community Development Department
SUBJECT: Community Development Block Grant - Recovery (CDBG -R) Closeout
DATE: August 21, 2012
INTRODUCTION
This memorandum requests City Council adoption of a resolution authorizing the Mayor
to sign documents to close out the Community Development Block Grant Recovery
(CDBG -R) grant. The City of Dubuque received the $328,269 grant from the U.S.
Department of Housing and Urban Development (HUD) as part of the American Recovery
and Reinvestment Act of 2009.
DISCUSSION
The City of Dubuque signed a grant agreement in August 2009 for the CDBG -R grant
funds. The CDBG -R funds were included in the City's Annual Action Plan as required by
HUD, although it was a supplemental appropriation and funds were tracked separately
from our regular CDBG funding.
CDBG -R funds were allocated to the Green Alley Pilot Project. This project involved the
reconstruction of two existing asphalt alleys from 11th Street to 13th Street between White
Street and Jackson Street and one alley from 15th and 16th between Elm and Washington
Streets, all in the Washington Neighborhood. The project reconstructed the alleys with
pervious pavement surfaces to assist in evaluating suitable pavement types for future alley
reconstruction projects. The pavement surfaces allow rainfall from low- intensity storms to
pass through the pavement structure. This, in turn, will recharge the water table and
minimize storm water runoff. The project was completed and all funds expended by June
2011. We have been waiting for HUD guidance to close out the grant.
A Grant Closeout Agreement is included for execution by the City. The City Council must
now approve execution of the agreement to facilitate submittal of closeout documentation
to HUD.
RECOMMENDATION
I recommend that the City Council approve the attached resolution authorizing execution
of the Community Development Block Grant Recovery grant closeout agreement with the
U.S. Department of Housing and Urban Development. This will allow the City to submit
necessary documentation to HUD to close the grant.
Action Step
The action requested of the City Council is to approve the attached resolution executing
the grant closeout agreement for the Community Development Block Grant - Recovery
(CDBG -R) grant.
Prepared by Aggie Tauke, Community Development Specialist
F: \USERS\ATAUKE\CDBG \CDBG- R \CDBG -R closeout.MVM memo.doc
RESOLUTION NO. 238 -2012
RESOLUTION AUTHORIZING EXECUTION OF A COMMUNITY DEVELOPMENT
BLOCK GRANT RECOVERY (CDBG -R) GRANT CLOSEOUT AGREEMENT WITH
THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT.
Whereas, the City of Dubuque has awarded a $328,269 Community
Development Block Grant Recovery (CDBG -R) grant from the U.S. Department of
Housing and Urban Development (HUD) for the in August 2009; and
Whereas, the City has completed all eligible activities for the CDBG -R program
and expended all funds; and
Whereas, a grant closeout agreement for the CDBG -R grant needs to be
transmitted to U. S. Department of Housing and Urban Development to close out the
CDBG -R grant.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. That the Grant Closeout Agreement for the Community Development
Block Grant Recovery (CDBG -R) grant in the amount of $328,269 and identified as
Grant Number B- 09 -MY -19 -0004 is hereby accepted.
Section 2. That the Mayor of the City of Dubuque be and he is hereby
authorized and directed to execute said Grant Closeout Agreement on behalf of the City
of Dubuque, Iowa as per the grant requirements.
Section 3. That the City Manager is hereby authorized and directed to submit the
Grant Closeout Agreement and related documents for the Community Development
Block Grant Recovery Grant to the U.S. Department of Housing and Urban
Development.
Attest:
Passed, approved and adopted thisl7th day o f•e tern er 2012.
Kevi Firnstahl, CI
y
C
Roy D/Buol, Mayor
F: \USERSWTAUKE \CDBG \CDBG -R \CDBG -R grant closeout agreement.doc
U.S. Department of Housing and Urban Development
Community Planning and Development
OMB Approval No. 2506 -0193 (exp 1/31/2015)
Insert as Applicable
• Any real property within the City of Dubuque 's control which was acquired or improved
in whole or part using CDBG funds in excess of $25,000 is governed by the principles
described in 24 CFR 570.505.
• If any rehabilitated property falls within a flood plain, flood insurance coverage must be
maintained for the mandatory period for affected property owners.
• Identify any closeout costs or contingent liabilities subject to payment after the closeout
agreement is signed.
• Submit to HUD a Federal Financial Report using Standard Form 425 upon the completion
of the final audit and resolution of any finding.
• A total of $ a in grant funds has been previously cancelled and returned to the
Department on OR A total of $ o in grant funds will be recaptured by HUD
upon execution of this closeout agreement. (Optional)
HUD maintains the right to conduct future monitoring of this grant, either on site or by review of
information or copies of documents requested from the City of Dubuque . The City of Dubuque
acknowledges that a finding of non - compliance resulting from such a review and failure to take
appropriate corrective action satisfactory to HUD may be taken into account by HUD as evidence
of unsatisfactory performance, in consideration of future grant awards. Further the City of Dubuque
may be required to repay HUD any disallowed costs based on the results of a future audit
or monitoring finding.
For the
Roy D. Buol, Mayor September 4, 2012
Name / le of Authorized Official /Title Date
Signatu
For the Department of Housing and Urban Development:
Typed name of CPD Director Date
Signature
Page 2
HUD Form 40158 (1/2012)
Attachment: E
U.S. Department of Housing and Urban Development
Community Planning and Development
OMB Approval No. 2506 -0193 (exp 1/31/2015)
GRANT CLOSEOUT AGREEMENT
For
Entitlement Community Development Block Grant - Recovery Program
Between
U.S. Department of Housing & Urban Development
AND
This agreement sets forth the terms and conditions associated with the closeout of HUD CDBG -R
Grant ( ) dated , and any applicable amendments. The
certifies that, to the best of its knowledge:
• All activities as authorized by this grant and any applicable amendments have been
completed as described in the grantee's final performance report dated
• During the administration of this award, no fraud, waste or mismanagement has occurred in
carrying out the approved activities.
• All grant- financed costs associated with these activities have been incurred.
• Proper provisions have been made for the payment of all unpaid costs and unsettled third -
party claims.
• The Department of Housing and Urban Development is under no obligation to make any
payment to the in excess of the amount identified in the grant agreement.
• Statements and amounts set forth in the Federal Financial Report (SF -425) are true and
accurate as of this date.
Further, the hereby acknowledges the remaining obligation(s) under the terms of
the grant agreement and agrees as follows:
• All records and documents pertaining to this grant will be maintained for a period of 4
years after execution of this closeout agreement or the period required by other applicable
laws and regulations related to affirmatively furthering fair housing -24 CFR 570.506
(g)(1), Lead -Based Paint - Poisoning Prevention Act -24 CFR 570.608, Architectural
Barriers Act and Americans with Disabilities Act 24 CFR 570.614, and the Uniform
Relocation Act — 24 CFR 570.606.
Page 1
HUD Form 40158 (1/2012)
Insert as Applicable
U.S. Department of Housing and Urban Development
Community Planning and Development
OMB Approval No. 2506 -0193 (exp 1/31/2015)
• Any real property within the 's control which was acquired or improved
in whole or part using CDBG funds in excess of $25,000 is governed by the principles
described in 24 CFR 570.505.
• If any rehabilitated property falls within a flood plain, flood insurance coverage must be
maintained for the mandatory period for affected property owners.
• Identify any closeout costs or contingent liabilities subject to payment after the closeout
agreement is signed.
• Submit to HUD a Federal Financial Report using Standard Form 425 upon the completion
of the final audit and resolution of any finding.
• A total of $ in grant funds has been previously cancelled and returned to the
Depai tment on OR A total of $ in grant funds will be recaptured by HUD
upon execution of this closeout agreement. (Optional)
HUD maintains the right to conduct future monitoring of this grant, either on site or by review of
information or copies of documents requested from the . The
acknowledges that a finding of non - compliance resulting from such a review and failure to take
appropriate corrective action satisfactory to HUD may be taken into account by HUD as evidence
of unsatisfactory performance, in consideration of future grant awards. Further the
may be required to repay HUD any disallowed costs based on the results of a future audit
or monitoring finding.
For the
Name /Title of Authorized Official /Title Date
Signature
For the Department of Housing and Urban Development:
Typed name of CPD Director Date
Signature
Page 2
HUD Form 40158 (1/2012)
CLOSEOUT CERTIFICATION
Grant # B- 09 -MY -19 -0004 Community Development Block Grant Recovery (CDBG -R)
To the best of my knowledge, all activities undertaken, or to be undertaken, with funds provided
under this agreement have been carried out, or will be carried out, in accordance with the award
agreement; that any fraud, waste, or mismanagement that may have occurred in the
administration of this award has been adequately addressed in accordance with the
recommendations and concurrence of the HUD Office of the Inspector General; that proper
provision has been made for the payment of all unpaid costs and unsettled third -party claims;
that the Department of Housing and Urban Development is under no obligation to make any
payment to the awardees in excess of the amount identified in the grant agreement; and that
every statement and amount set forth in the final quarterly, financial summary and federal cash
transaction reports is true and accurate as of this date.
I certify that all program income on hand at the time of closeout shall continue to be used in
accordance with the eligibility requirements in Title lof the Housing and Community
Development Act of 1974, as amended, [insert "24 CFR Part 570 subpart C" for Entitlement
communities or "24 CFR Part 570 subpart 1» for states],the applicable Federal Register Notices,
and all other applicable authorities including the grant agreement until it is expended. I further
certify that income received after closeout shall not be governed by the provisions of this part,
except that, 1) if at the time of closeout the recipient has another ongoing CDBG grant received
directly from HUD, funds received after closeout shall be treated as program income of the
ongoing grant program; or 2) if the recipient does not have another ongoing grant received
directly from HUD at the time of closeout, income received after closeout from the disposition of
real property or from loans outstanding at the time of closeout shall not be governed by the
provisions of this part, except that such income shall be used for activities that meet one of the
national objectives in 570.208 (for Entitlement communities) and the eligibility requirements
described in section 105 of the Housing and Community Development Act.
Real property acquired with grant funds or program income is listed in the quarterly reports or as
an attachment to this certification. At this time, program income received throughout the term of
the grant amounts to $ 0 and program income on hand amounts to $ 0
Accounting records will be kept on the use of these funds and any additional program income.
I understand that HUD may monitor compliance with the terms of this agreement at any time.
Financial records, supporting documents, statistical records and all other records pertinent to
this grant shall be retained for a period of 4years from the date of submission of the final
expenditure report. (Exceptions to this requirement for Entitlement communities are listed at 2
CFR Part 215.)
Name /Title of Authorized Official Kevin J. Lynch, Mayor Pro Tem, City of Dubuque, Iowa
Signature / Date } i ( � O t t'
Note: Any false statements knowingly or deliberately made are subject to civil or criminal
penalties under Section 1001 of Title 18 of the U.S. Code.HUD Form 40162 (1/2012)
Attachment B 0193 (exp 1/31/2015) - 25060MB Approval No. Out Procedures -Grant Close004 - 12 -CPD Notice