Annual Action Plan FY 06 Amend 3 CDBG
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MEMORANDUM
January 21, 2006
TO:
The Honorable Mayor and City Council Members
FROM:
Michael C. Van Milligen, City Manager
SUBJECT: Fiscal Year 2006 Annual Action Plan - Amendment 3
Historic Preservation Homeowner Grant Program
Housing and Community Development Department Director David Harris is
recommending City Council approval of changes in the City's Community Development
Block Grant (CDBG) Fiscal Year 2006 Annual Action Plan. These changes provide for
expanding the Historic Preservation Homeowner Grant Program to include non-profit
organizations providing residential facilities to HUD income-eligible tenants.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
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Micha'el C. Van Milligen
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Attachment
cc: Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
David Harris, Housing and Community Development Department Director
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MEMORANDUM
January 18, 2006
FROM:
Michael Van Milligan, City Manager
David ~~iS, Housing and Community Development Department
TO:
SUBJECT:
FY 2006 Annual Action Plan - Amendment 3
Historic Preservation Homeowner Grant Program
INTRODUCTION
This memorandum presents for City Council consideration proposed changes in the
City's Community Development Block Grant (CDBG) FY 2006 Annual Action Plan.
These changes provide for expanding the Historic Preservation Homeowner Grant
Program to include non-profit organizations providing residential facilities to HUD
income-eligible tenants.
SUBSTANTIAL AMENDMENT
At the suggestion of Housing and Community Development Director David Harris, the
Historic Preservation Commission has discussed expanding the Historic Preservation
Homeowner Grant Program to include non-profit organizations providing residential
facilities to HUD income-eligible tenants. This amendment would allow non-profit
organizations to apply for a $5000 forgivable loan to rehab residential buildings in
Historic Preservation Districts for low/moderate income tenants. The program is funded
with Community Development Block Grant (CDBG) funds in the FY 2006 Annual Action
Plan. As such, an amendment to the Plan was required.
The Citizen Participation Plan defines this program change as a substantial
amendment since it will change the beneficiaries and scope of an activity. Therefore,
the required 30-day comment period was held, commencing with the publication of a
notice in the Telegraph Herald on December 8,2005.
The Community Development Advisory Commission held a public hearing on January
11, 2006. There were no public comments regarding the request. The Commission
voted to approve the proposed amendment and recommend City Council approval of
the amendment to the Historic Preservation Homeowner Grant Program.
RECOMMENDATION
I recommend that the City Council approve the above-described Amendment 3 to the
City's FY 2006 (Program Year 2005) 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
Cc: Historic Preservation Commission
F:\Users\AT AUKE\CDBG\AnnualPlan\Amendments\HP Housing grant 06.mvm memo.doc
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RESOLUTION NO. 36-2006
RESOLUTION APPROVING THE FISCAL YEAR 2006 (PROGRAM
YEAR 2005) ANNUAL PLAN - AMENDMENT 3 FOR COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) FUNDS.
Whereas, the City of Dubuque prepared and filed a Fiscal Year 2006 Annual
Action Plan; and
Whereas, the City of Dubuque now desires to amend said FY 2006 Annual
Action Plan by expanding the eligible applicants for the Historic Preservation
Homeowner Grant Program, 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 the public comment period beginning December 8,
2005; and
Whereas, the Community Development Advisory Commission reviewed the
proposed amendment at a public hearing on January 11, 2006, 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 said Fiscal Year 2006 (Program Year 2005) Annual Plan -
Amendment 3 as shown in the attached 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.
Roy D. Buol, Mayor
Attest: Jeanne F. Schneider, City Clerk
Passed, approved and adopted this 6th day of Febru
F:\Users\ATAUKE\CDBG\AnnuaIPlan\Amendments\HP Housing Grant 06amend3.res.doc
Exhibit A
FY 2006 Annual Action Plan
Amendment 3
HISTORIC PRESERVATION HOUSING GRANT PROGRAM
Purpose
Preservation grants (in the form of a forgivable loan) are available on a competitive
basis to income-qualifying owner-occupants and to qualified non-profit organizations in
any local historic district or City-designated landmark for specific rehabilitation projects
that preserve the original building materials and character-defining features of the
home. These grants provide financial incentives to homeowners and non-profit
organizations to maintain and improve their own neighborhood's historic building
inventory.
Applicant Eligibility
Owner-occupant of single-family, duplex or 3-unit property. HUD income-eligible
(80% of median family income).
Qualified non-profit organizations providing residential facilities to HUD income-eligible
tenants.
Eligible Property
located in a Historic Preservation District or designated as a City landmark and at least
50 years old.
Grant Amount
Owner-Occupants: Up to $5,000 forgivable loan, fully forgiven after 5 years if applicant
remains in the home. If applicant moves within the five-year period, then 100% of the
grant must be re-paid.
Non-Profit Organizations: Up to $5,000 forgivable loan, fully forgiven after 5 years if
applicant continues to provide residential facilities to HUD income-eligible tenants. If
applicant ceases to provide these services within the five-year period, then 100% of the
grant must be re-paid.
Limit one grant per property.
Security
Preferably at least a 2nd mortgage position and promissory note, or an amount not to
exceed 100% loan-to-value. The property value will be based on the assessed value,
or on the appraised value after improvements, if the assessed value is not a good
indicator.
Terms
Work must be initiated with three (3) months and completed with six (6) months from
date of Historic Preservation Commission approval. The Commission may grant
additional time, if needed.
Eligible Improvements
Exterior work to repair or restore: porches, wood windows, wood doors, wood siding,
character-defining features, and chimneys. Exterior painting and historic colors paint
projects.
Work must meet the Secretary of the Interior's Standards and Guidelines for
Rehabilitation and any specific design standards established for the pertinent Historic
Preservation District.
Highest priority will be given to projects that result in saving, restoring or reconstructing
original building elements, using original materials that reflect the architectural character
or significance of the property.
Second priority will be given to projects that use preservation alternatives, such as
different materials, techniques or methods for rehabilitation of historic buildings.
Application Period
Applications will be accepted until all funds are committed.
Review and Approval
Applications will be accepted during regular business hours at the Housing and
Community Development Department, 1805 Central Avenue, Dubuque, Iowa.
All applications must include required information on income, specified work proposed
and at least two estimates received from full-time contractors licensed and insured by
the State of Iowa. Homeowners may do the work themselves; written quotes on costs
of materials must be provided. Labor by homeowners is not covered. Incomplete
applications will not be processed.
Assistance with the design review portion of the application is available during regular
business hours by appointment at the Planning Services Department, 50 W. 13th
Street, Dubuque (City Hall).
A grant review committee of City staff will review eligible applications, and then make
recommendations relative to compliance with City Housing, Building and Historic
Preservation Codes, and with Section 106 of the Code of Federal Regulations.
The Historic Preservation Commission will review the grant applications, the proposed
work, and the committee's recommendations.
The Historic Preservation Commission must approve a Certificate of Appropriateness
for all proposed work prior to issuance of permits or awards of grants.
All applicable City review and permits must be completed; e.g., building permits, before
any work begins. Work begun prior to obtaining a required permit, review or approval
will not be eligible for grant assistance.
F:\Users\ATAUKE\CDBG\AnnuaIPlan\Amendments\HP Housing Grant ExhA.06.doc
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Planning Services Department
City Hall
50 West 13th Street
Dubuque, Iowa 52001 ~4864
(563) 589-4210 office
(563) 589-4221 fax
(563) 690-6678 TDD
planning@cityofdubuque.org
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January 20, 2006
The Honorable Mayor and City Council
City of Dubuque
50 W. 13th Street
Dubuque, IA 52001
RE: Recommended Changes -- Historic Preservation Homeowner Grant Program
Dear Mayor and City Council Members:
The Historic Preservation Commission has discussed expanding the Historic
Preservation Homeowner Grant Program to include non-profit organizations providing
residential facilities to U.S. Department of Housing and Urban Development (HUD)
income-eligible tenants in the City's historic districts. The funding for this grant
program is from the federal Community Development Block Grant (CDBG) program.
The Historic Preservation Commission supports the creation of a Historic Preservation
Housing Grant Program, as recommended by the Community Development Advisory
Commission and Housing and Community Development Director David Harris. The
recommended changes are shown on the enclosed program guidelines.
The current program has been a great resource for low- and moderate-income
homeowners in the City's historic districts. Extending this rehabilitation incentive to
non-profit providers of housing for HUD income-eligible tenants further supports the
City's goals for neighborhood revitalization, affordable housing, and historic
preservation.
By a vote of 5 to 0, the Historic Preservation Commission recommends that the City
Council approve the proposed changes to create the Historic Preservation Housing
Grant Program.
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Sincerely,
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David Stuart, Chairperson
Historic Preservation Commission
Enclosure
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cc David Harris, Housing and Community Development Director
Service
People
Integrity
Responsibility
Innovation
Teamwork
HISTORIC PRESERVATION HOMIiiO'.~NER ~ GRANT PROGRAM
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Purpose
Preservation grants (in the form of a forgivable I~t,~~~~}},=~==~ig .
basis to income-qualifying owner-occupants and !iii;g~1!\;!ii;'WMm;~_m;;_~ In
any local historic district or City-designated Landmark for specific rehabilitation projects
that preserve the original building materials and character-definingfeaturesofthe
home. These grants provide financial incentives to homeowners ___
.~ to maintain and improve their own neighborhood's historic building
inventory.
Applicant Eligibility
Owner-occupant of single-family, duplex or 3-unit property. HUD income-eligible
(80% of median family income).
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Eligible Property
Located in a Historic Preservation District or designated as a City Landmark and at least
50 years old.
Grant Amount
~ Up to $5,000 forgivable loan, fully forgiven after 5 years if applicant
remains in the home. If applicant moves within the five-year period, then 100% of the
grant must be re-paid.
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Security
Preferably at least a 2nd mortgage position and promissory note, or an amount not to
exceed 100% loan-to-value. The property value will be based on the assessed value,
or on the appraised value after improvements, if the assessed value is not a good
indicator.
Terms
Work must be initiated with three (3) months and completed with six (6) months from
date of Historic Preservation Commission approval. The Commission may grant
additional time, if needed.
Eligible Improvements
Exterior work to repair or restore: porches, wood windows, wood doors, wood siding,
character-defining features, and chimneys. Exterior painting and historic colors paint
projects.
Work must meet the Secretary of the Interior's Standards and Guidelines for
Rehabilitation and any specific design standards established for the pertinent Historic
Preservation District.
Highest priority will be given to projects that result in saving, restoring or reconstructing
original building elements, using original materials that reflect the architectural
character or significance of the property.
Second priority will be given to projects that use preservation alternatives, such as
different materials, techniques or methods for rehabilitation of historic buildings.
Application Period
Applications will be accepted until all funds are committed.
Review and Approval
Applications will be accepted during regular business hours at the Housing and
Community Development Department, 1805 Central Avenue, Dubuque, Iowa.
All applications must include required information on income, specified work proposed
and at least two estimates received from full-time contractors licensed and insured by
the State of Iowa. Homeowners may do the work themselves; written quotes on costs
of materials must be provided. Labor by homeowners is not covered. Incomplete
applications will not be processed.
Assistance with the design review portion of the application is available during regular
business hours by appointment at the Planning Services Department, 50 W. 13th
Street, Dubuque (City Hall).
A grant review committee of City staff will review eligible applications, and then make
recommendations relative to compliance with City Housing, Building and Historic
Preservation Codes, and with Section 106 of the Code of Federal Regulations.
The Historic Preservation Commission will review the grant applications, the proposed
work, and the committee's recommendations.
The Historic Preservation Commission must approve a Certificate of Appropriateness
for all proposed work prior to issuance of permits or awards of grants.
All applicable City review and permits must be completed; e.g., building permits, before
any work begins. Work begun prior to obtaining a required permit, review or approval
will not be eligible for grant assistance.