Title
RESOLUTION AUTHORIZING AGREEMENTS WITH APPROPRIATE AGENCIES FOR THE HUD HOME (AMERICAN RESCUE PLAN) ARP FUNDS.
Body
CITY PROPOSAL:
WHEREAS, City Council Resolution No., 22-077R adopted September 26, 2022, amended the 2021 Annual Action Plan to include $1,986,658 on new HOME-ARP funds from the US Department of Housing and Urban Development and Adopting the HOME-ARP Allocation Plan as a substantial Amendment to the 2021 Action Plan; and
WHEREAS, the HUD reviewed and approved the HOME-ARP plan on July 10, 2024; and
WHEREAS, City Staff held an open application process for the HOME-ARP Funds; and
WHEREAS, the Community Development Committee held a Public Hearing and made recommendations for allocation of funds to agencies;
NOW, THEREFORE, BE IT RESOLVED, that the proper city officials are hereby authorized to make and submit appropriate documentation to HUD for those projects and corresponding funding levels as set forth below:
2021 HOME PROGRAM - FUND 260, AGENCY 020, OBJECT 5434, PROJECT CD21HM
SUB
PROJECT ACTIVITY PROJECTS AMOUNT
GN21 6915 One Roof- Brae View Apartments $ 725,000
GN21 1226 Center City-Welch Place Apartments $ 610,000
GN21 10389 Divine Konnections-Annie’s House Expansion $ 103,660
GN21 10338 Union Gospel Mission-Mission Engagement Center $ 250,000
ADMC AD HMARP Program Administration $ 297,998 Total $ 1,986,658
BE IT FURTHER RESOLVED, the following are hereby designated as the financial sources for the above program:
Year 2021 HOME ARP Grant $ 1,986,658
BE IT FURTHER RESOLVED, that the city of Duluth and its officials are authorized and directed to assume full responsibility for assuring that its community development program is carried out in full compliance with the provisions of the acts implementing the programs and all regulations of HUD issued pursuant thereto. This authorization shall also apply to existing programs with the city and HUD under the HUD HOME ARP, CDBG, HOME and ESG programs.
BE IT FURTHER RESOLVED, that the appropriate city officials are authorized to execute the appropriate agreements with these agencies upon receipt of approval of HUD funds.
Statement of Purpose
STATEMENT OF PURPOSE: This resolution reflects the recommendations of the Community Development Committee (CD committee) with concurrence of the Planning and Development manager. The CD committee solicited comments from organizations and citizens as related to the proposed HOME ARP. The recommendations contained in this resolution were developed based on consideration of citizen comments during the HOME ARP plan formation and the public hearing held on January 27, 2025, and the deliberations of the CD committee on January 27, 2025. There was a 15-day public comment period from January 11, 2025, to January 27, 2025, on the draft funding recommendations.
Source of Funds:
$1,986,658 in new HUD HOME ARP Funds
The resolution, in addition to authorizing application for grant funds and administration of same when received, also takes the following actions:
(a) Allocates funds by project for HOME ARP Program.
(b) Authorizes contracts for the activities upon receipt of the funding contract and completion of the environmental review process.
HM ARP-01
Project Name: One Roof Community Housing - Brae View Apartments
Project Summary: One Roof will construct 72-unit affordable housing structure for seniors (55 and up); 15 units will be for households below 30% AMI, 32 units will be for households below 50% AMI, 25 units will be for households below 60% AMI, 8 units will be for permanent supportive housing for High Priority Homeless individuals and 15 units will have project-based vouchers
Goal: 72 Housing Units
Amount Recommended: $725,000
HM ARP-02
Project Name: Center City - Welch Place Apartments
Project Summary: Center City will construct a 30-unit rental building that will provide housing for people experiencing homelessness
Goal: 30 Housing Units
Amount Recommended: $610,000
HM ARP-03
Project Name: Divine Konnections - Annie’s House Expansion
Project Summary: Adding a room to an existing 4 room shelter facility
Goal: 1 Shelter unit
Amount Recommended: $103,660
HM ARP-04
Project Name: Union Gospel Mission - Mission Engagement Center and Housing
Project Summary: Replaces current location, part of the new supportive center that will provide an engagement center for people experiencing homelessness and rental units. The engagement center will provide meals, on-site laundry, hygiene, social and health services. This project will add 20 new units to the existing 20 units already in existence for people who have experienced homelessness or at risk of becoming homeless.
Goal: 40 Housing units
Amount Recommended: $250,000