Title
RESOLUTION AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR THE 2017 PROGRAM YEAR, AUTH-ORIZING AGREEMENTS WITH APPROPRIATE AGENCIES, AND AUTHORIZING REPROGRAMMING OF $100,232.47 IN 2013, 2014, AND 2015 CDBG FUNDS AND TRANSFERRING TO 2017 CDBG PROJECTS.
Body
CITY PROPOSAL:
WHEREAS, City Council Resolution No. 16-0885R, adopted December 12, 2016, approved FY 2017 annual Action Plan portion of the 2015-2019 Consolidated Plan; and
WHEREAS, the secretary of HUD is authorized to make grants to cities and/or counties to finance local community development programs, approved in accordance with the provisions of Title I of said Act, as well as grants under the Cranston-Gonzales National Affordable Housing Act of 1990, as amended, (the HOME program) and the Stewart B. McKinney Homeless Assistance Act of 1987, as amended (the Emergency Solutions Grant - ESG - program);
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:
2017 CITY OF DULUTH COMMUNITY DEVELOPMENT BLOCK
GRANT (CDBG) PROGRAM-FUND 262, AGENCY 020, OBJECT 5434 PROJECT CD17CD
SUB
PROJECT ACTIVITY AMOUNT PROJECTS
HOUSING PROJECTS
HOUS 1734 $ 581,500 Duluth Property Rehab Prog. - HRA/One Roof
HOUS 6787 $ 45,000 Giving Comfort at Home - Ecolibrium3
HOUS 6915 $ 147,500 Multi-Family Acquisition - One Roof
ECONOMIC DEVELOPMENT PROJECTS
ECDV 2412 $ 272,000 SOAR Duluth at Work Collaborative - SOAR
Career Solutions
ECDV 2264 $ 56,000 Growing Neighborhood Businesses - Northeast Entrepreneur Fund, Inc.
PUBLIC FACILITY IMPROVEMENT PROJECTS
PFAC 1929 $ 28,000 Replacement of Dental Chairs - LSCHC
PFAC 1244 $ 181,400 Shelter/Food Shelf Improvements - CHUM
PFAC PF03 $ 50,000 Irving Park - Duluth Parks Division
PFAC 1168 $ 150,000 Life House Annex & Commons - Life House
PUBLIC SERVICE PROJECTS
PSVC 1244 $ 75,000 Duluth Hunger Project - CHUM
PSVC Undesignated $ 34,380.47
PSVC 2805 $ 25,000 JET Food Program- NYS
PSVC 1974 $ 30,000 Basic Needs Center for Homeless Youth - Life House
PSVC 6915 $ 30,000 Tenant Landlord Connection - One Roof
PSVC 124A $ 40,000 Emergency Shelter Program - CHUM
PSVC 1168 $ 10,000 Early Childhood Support - YWCA of Duluth
PSVC 2109 $ 9,150 Homeless and At-Risk Vets Stabilization/ Outreach - MACV
PSVC 2511 $ 5,250 Family Transitional Housing Program - Salvation Army
PSVC 1226 $ 30,000 Supportive Housing Programs - Center City
PSVC 2509 $ 5,800 DV Shelter Operations - Safe Haven Shelter
PSVC 1050 $ 18,252 Gimaajii Permanent Housing Services - AICHO
PSVC 1734 $ 12,000 Coordinated Entry and Assessment * - HRA
* Grantees to receive services under the joint agreement for Coordinated Entry and Assessment include Churches United in Ministry, American Indian Community Housing Organization, Minnesota Assistance Council for Veterans, The Salvation Army, Center City Housing Corporation, Safe Haven Shelter for Battered Women, and Life House Incorporated.
PLANNING/PROGRAM ADMINISTRATION
ADMC AD01 $ 420,000 CDBG Program Administration
ADMC AD02 $ 14,000 Neighborhood Revitalization Planning
BE IT FURTHER RESOLVED, that the following are hereby designated as the financial resources for the above program:
SOURCE OF FUNDING
Year 2017 CDBG Grant - city $2,170,000
Reprogramming Prior year CDBG $100,232.47
______________________________________________________________________ Total $2,270,232.47
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 CDBG, HOME and ESG programs.
BE IT FURTHER RESOLVED, that the city of Duluth and its officials are authorized and directed to reprogram $100,232,47 of 2013, 2014, and 2015 Community Development Block Grant Funds and transfer funds to the 2017 CDBG Program, as follows:
2013 CDBG Program
Fund 262, Agency 020, Object 5434, Project CD13CD
Project Activity Original Budget New Grant Difference
ECDV-1291 Cmty Action-Circle Prog. $48,000 $33,534.82 ($14,465.18)
ECDV-2264 NE Ent Fund $64,000 $59,700 ($4,300)
2014 CDBG Program
Fund 262, Agency 020, Object 5434, Project CD14CD
Project Activity Original Budget New Grant Difference
HOUS-1734 HRC-HRA/OneRoof $861,662 $803,617.37 ($58,044.63)
PFAC-PF07 UDAC Bldg Accessibility $302,510 $297,587.34 ($4,922.66)
PFAC-2511 Salvation Army-Coord.Ent. $13,500 $12,000 ($1,500)
2015 CDBG Program
Fund 262, Agency 020, Object 5434, Project CD15CD
Project Activity Original Budget New Grant Difference
PSVC-1734 HRA-Coord. Entry $37,000 $20,000 ($17,000)
BE IT FURTHER RESOLVED, that the appropriate city officials are authorized to execute the appropriate agreements with these agencies upon receipt 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 Community Planning manager. The CD committee solicited comments from organizations and citizens as related to the proposed FY 2017 funding for the Community Development Block Grant (CDBG). The recommendations contained in this resolution were developed based on consideration of citizen comments, the public hearing held on November 29th, 2016, surveys, and the deliberations of the CD committee. There was a 30-day public comment period from October 25, 2016, to November 29, 2016, on the draft 2017 annual action plan portion of the 2015-2019 consolidated plan, which also includes recommended funding for the 2017 CDBG, HOME and ESG programs. The CD committee held a public hearing on November 29, 2016, to hear comments on the funding recommendations and then modified, if necessary, its initial amounts to reflect those comments. The CD committee’s recommendations were adopted on November 29, 2016 and December 12, 2016, with the concurrence of the Community Planning manager. This resolution also increases the Fiscal Year 2017 CDBG program amount by $100,232.47 by reprogramming unspent funding from completed projects from prior CDBG program years.
Source of Funds:
$2,170,000 in new 2017 HUD CDBG Funds
$100,232.47 in reprogrammed CDBG 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 2017 CDBG Program.
(b) Authorizes contracts for the activities upon receipt of the funding contract and completion of the environmental review process. Housing contracts will include addendums that require affordability restrictions in accordance with HUD regulations.
HOUSING
17-HS-01
Project Name: Duluth Property Rehabilitation Program - Duluth Housing & Redevelopment Authority (HRA)/Fiscal Agent
Project Summary: The Duluth Property Rehab Program (Housing Resource Connection) will provide low interest and deferred loans for rehabilitation assistance to eligible homeowners and rental property owners within the city of Duluth. Homeowners can apply for up to $25,000 in loans to address code deficiencies and lead paint hazards. Rental owners can apply for a 2% interest loan to renovate their properties, which then must serve low to moderate income tenants.
Goal: 125 units of rental and owner-occupied housing. 100% LMI.
Amount Recommended: $581,500
17-HS-02
Project Name: Giving Comfort at Home - Ecolibrium3
Project Summary: Ecolibrium3’s Giving Comfort at Home program reduces energy poverty by working with volunteers to assist LMI families with energy efficiency improvements and providing case management for those that need additional assistance to access services and/or fall through current housing program gaps.
Goal: 30 Households
Amount Recommended: $45,000
17-HS-03
Project Name: Multi-family Acquisition - One Roof Community Housing
Project Summary: Funds from this proposal will be used for acquisition of property for the development and/or redevelopment of 20 to 40 units of affordable multi-family housing to be developed by One Roof. The location of the acquisition is to be determined.
Goal: 20-40 households earning 60% or less than AMI.
Amount Recommended: $147,500
ECONOMIC DEVELOPMENT
17-ED-01
Project Name: Duluth At Work Collaborative- SOAR Career Solutions
Project Summary: SOAR Career Solutions, a community based development organization, will work with the Duluth At Work Collaborative to provide job skills training, case management, job placement and job retention support to assist 41 Duluth residents at or below 50% of Area Median Income to complete training and reach employment benchmarks.
Goal: 41 Jobs
Amount Recommended: $272,000
17-ED-02
Project Name: Growing Neighborhood Businesses - Entrepreneur Fund
Project Summary: The Northeast Entrepreneur Fund’s Growing Neighborhood Businesses program will provide technical assistance and peer support for 7 existing small business owners in CDBG target neighborhoods to help grow their business revenue by at least 25% within 3 years.
Goal: 7 LMI neighborhood small business owners grow their business revenue by 25% within 2 years.
Amount Recommended: $56,000
PUBLIC FACILITY IMPROVEMENTS
17-PF-01
Project Name: Replacement of Dental Chairs - Lake Superior Comm. Health Center
Project Summary: LSCHC provides access to affordable dental care for low and moderate income uninsured and under-insured community members. New dental chairs are needed to maintain a clinical environment that conveys dignity and respect.
Goal: 4 dental chairs
Amount Recommended: $28,000
17-PF-02
Project Name: Shelter & Food Shelf Improvements - CHUM
Project Summary: CHUM proposes health and safety improvements to the CHUM Emergency Shelter, Drop-In Center, business office and Food Shelf that will provide a better experience for shelter and food shelf guests and greater accessibility, especially to those with disabilities.
Goal: 1 facility
Amount Recommended: $181,400
17-PF-03
Project Name: Irving Park - City of Duluth Parks Division
Project Summary: The flood of 2012 destroyed most of Irving Park, an important community asset in this small isolated neighborhood. Revitalization efforts will replace the playground and picnic area, connect the park with the community, and ensure equitable access and ADA compliance.
Goal: 1 facility
Amount Recommended: $50,000
17-PF-04
Project Name: Life House Annex & Commons - Life House
Project Summary: Life House will acquire the Cooper Building at 21 N 1st Ave W for future expansion of the Futures Program (employment and education), address critically-needed maintenance, and convert the existing parking lot into an enclosed, secure greenspace for youth recreation.
Goal: 1 facility
Amount Recommended: $150,000
PUBLIC SERVICES
Public Services - Standard
17-PS-01
Project Name: Duluth Hunger Project - Churches United in Ministry (CHUM)/Fiscal Agent
Project Summary: The Duluth Hunger Project is a coalition of three agencies (CHUM, The Salvation Army, and The Damiano Center) working together to prevent and alleviate chronic hunger and malnutrition among the lowest income of Duluth’s residents, through congregate meal sites and emergency food shelf programs.
Goal: 14,000 individuals
Amount Recommended: $75,000
17-PS-02
Project Name: JET Food Project- Neighborhood Youth Services (NYS)
Project Summary: The JET Food Project at Neighborhood Youth Services will provide access to daily meals and snacks for 500+ youth ages 6-18 while providing nationally-recognized job training skills that prepare teens for employment in the food service industry.
Goal: 500 individuals
Amount Recommended: $25,000
17-PS-03
Project Name: Basic Needs Center for Homeless Youth - Life House
Project Summary: Life House’s Basic Needs Center for Homeless Youth provides basic human necessities, referrals to internal and external services, site-based outreach, assistance obtaining and maintaining stable housing, and independent living skills classes for homeless, at-risk and street youth ages 14-24.
Goal: 625 individuals
Amount Recommended: $30,000
17-PS-04
Project Name: Tenant Landlord Connection - One Roof Community Housing
Project Summary: The TLC will help ensure stable rental housing exists by educating existing and potential landlords and tenants regarding rights and responsibilities as well as mediating disputes between landlords and tenants to reduce the number of evictions in our community.
Goal: 500 households
Amount Recommended: $30,000
17-PS-05
Project Name: Early Childhood Support - YWCA of Duluth
Project Summary: YWCA will provide childcare and transportation scholarships to families who lose state childcare subsidies (Child Care Assistance Program or CCAP) due circumstances beyond their control. Loss of childcare puts employment, schooling, and healthy child development at risk.
Goal: 75 families
Amount Recommended: $10,000
Public Services - Homelessness
17-PH-01
Project Name: Emergency Shelter Program - CHUM
Project Summary: CHUM will work to provide shelter, outreach, referral, prevention and rapid rehousing services to homeless living on the streets and other places not meant for human habitation.
Goal: 950 Individuals (CDBG & ESG)
Amount Recommended: $40,000
17-PH-02
Project Name: MACV Duluth Services - MACV-Duluth
Project Summary: MACV will work to provide shelter, outreach, referral, prevention, and rapid-rehousing services to veterans living on the streets and other places not meant for human habitation.
Goal: 80 individuals
Amount Recommended: $9,150
17-PH-03
Project Name: Family Transitional Housing Program - Salvation Army
Project Summary: Salvation Army will provide transitional housing and support services to assist homeless families (100 persons) move toward greater housing stability.
Goal: 100 individuals (CDBG & ESG)
Amount Recommended: $5,250
17-PH-04
Project Name: CCHC Housing Programs- Center City Housing Corporation
Project Summary: CCHC will operate and provide supportive services for transitional and permanent housing units.
Goal: Transitional Housing (61 beds, 91 individuals), Permanent Supportive (43 beds, 40 individuals).
Amount Recommended: $30,000
17-PH-05
Project Name: Domestic Violence Shelter - Safe Haven
Project Summary: Safe Haven Shelter is a 39-bed emergency shelter for women and their children who are fleeing domestic violence. Safe Haven provides shelter stabilization services, advocacy, and support to those in the shelter.
Goal: Shelter (39 beds, 500 individuals) (ESG & CDBG)
Amount Recommended: $5,800
17-PH-06
Project Name: Gimaajii Mino-Bimaadiziimin Permanent Supportive Housing - AICHO (American Indian Community Housing Organization)
Project Summary: Gimaajii Min-Bimaadiziimin provides supportive housing to individuals and families who are chronically homeless with mental health issues, disabilities, and who are very low income.
Goal: Permanent Supportive Housing (29 units, 75 individuals)
Amount Recommended: $18,252
17-PH-07
Project Name: Coordinated Assessment
Project Summary: The city of Duluth will work with the St. Louis County Continuum of Care, the Duluth HRA, and homeless providers to implement the coordinated entry system to ensure homeless persons have access to services.
Amount Recommended: $12,000