From
Katherine Garcia-Thomson
Title
Public hearing and ordinance adopting the PY2020 CDBG and HOME Program budgets through its five year 2020-2025 Consolidated Plan and One (1) year Action Plan.
Presenter
William A. Hills, Director, Housing and Neighborhood Services
Recommended Action
Approve
Analysis
2020-2025 Consolidated Plan, (1) One year Action Plan and PY2020 CDBG/HOME Budgets
The Consolidated Plan serves as a planning document meeting the federal government statutory requirements in 24 CFR 91.200-91.230, with revisions for preparing a Consolidated Plan and guiding the use of CDBG and HOME funding based on applications to the U.S. Department of Housing and Urban Development (HUD). A copy of the Consolidated Plan is available for review in the Housing and Neighborhood Services office.
The Housing and Community Development Act of 1974, as amended, combines several previous federal programs for community development into a single block grant. CDBG activities must primarily benefit low to moderate income persons and/or neighborhoods. Community development activities must meet 1 of 3 primary CDBG objectives, decent housing, suitable living environments, or expanded economic opportunity.
Total CDBG funding has increased by $9,014, from $1,496,990 (2019) to $1,506,004 (2020). As in previous years, the number of CDBG proposals exceeded the amount of CDBG funds available. Attached is a summary of the 2020 proposed programs as Exhibit 1. The CDBG Program Development Process included neighborhood public hearings in February, Request for Proposals (RFP) and the Housing and Community Improvement Commission (HCIC) priority rating meeting in April.
Exhibit 2 includes the proposed 2020 CDBG/HOME budget which continues funding for existing CDBG/HOME programs and funding for new projects based on the HCIC priority rating and the recommendations from staff.
CDBG Program Administration is increasing by $5,566 and includes the continued funding of the Neighborhood Services Manager and 2 Senior Office Assistants positions. The program administration budget is below the 20% cap limitation that is required by law. This budget includes indirect cost allocation and Fair Housing Activity funding.
Rehabilitation, Code, Housing
Direct Delivery funds the salaries of 2 Rehabilitation Coordinators and a Neighborhood Services Specialist position. It also funds operational expenses. Housing Rehabilitation funds are utilized to rehabilitate and repair single family homes. Emergency Small Home Repair will provide emergency repairs to single family homeowners with a 24-48 hour response time. Buying Power provides down payment and closing cost assistance to low/moderate income first time home buyers.
As in the past, Public Service Activities will be capped at 15% of the total CDBG grant and will increase from last year's levels by $1,352.
Public Facility Improvements will fund a sidewalk repair and replacement program in CDBG low/moderate areas.
PROPOSED 2020 HOME
The HOME Program was created by the National Affordable Act of 1990 (NAHA) to provide decent affordable housing to low/moderate income households and to leverage private sector participation. Eligible activities are limited to homeowner rehabilitation, homebuyer activities, rental housing, and tenant-based rental assistance.
Grand Prairie is receiving $519,994, an increase of $35,175 HOME funds from last year's $484,819. Exhibit 1 also identifies the HOME funding for rehabilitation, reconstruction, and Community Housing and Development Organizations (CHDO) programs.
Financial Consideration
The 2020 CDBG and HOME Programs, funded by the U.S. Department of Housing and Urban Development (HUD), will commence on October 1, 2020, and end on September 30, 2021. The total amount estimated to be available, including reallocated funds is summarized below.
2020 INCREASE DIFFERENCE FROM LAST YEAR
CDBG Entitlement, $1,506,004, an increase of $9,014 from 2019 total.
HOME PJ Funds, $519,994, an increase of $35,175 from 2019 total.
Body
AN ORDINANCE OF THE CITY OF GRAND PRAIRIE, TEXAS, ADOPTING THE 2020-2025 CONSOLIDATED PLAN, (1) ONE YEAR ACTION PLAN AND PY2020 CDBG AND HOME BUDGETS
WHEREAS, the Consolidated Plan application provides federal funds through the U.S. Department of Housing and Urban Development (HUD); and
WHEREAS, the CDBG and HOME Programs are authorized by entitlement (Community Development Act of 1994) and participating jurisdiction (National Affordable Housing Act <NANA> of 1990) respectively as amended within the Federal Code of Regulations; and
WHEREAS, the CDBG and HOME Programs allow the City to provide various projects, activities, and programs benefiting low and moderate income persons and families as developed through a five year Consolidated Plan, a one year Action Plan; and
WHEREAS, the CDBG and HOME Programs application provides funding in the amount of $1,506,004 and $519,994 respectively through HUD; and
WHEREAS, the 2020-2025 Consolidated Plan and PY2020 budgets have been developed through public hearings and in accordance with the CDBG and HOME Program guidelines and regulations;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS:
SECTION 1. That the City Council of Grand Prairie adopts the 2020-2025 Consolidated Plan, One (1) year action plan and PY2020 Community Development Block Grant (CDBG) and HOME Program budgets as contained in the attached Exhibits 1 and 2; and
SECTION 2. That this Ordinance shall become effective upon passage and approval and it is accordingly so ordained.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAND PRAIRIE, TEXAS, ON THIS THE 16TH DAY OF JUNE, 2020.