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File #: 15-0859R    Name:
Type: Resolution Status: Passed
File created: 12/4/2015 In control: Planning and Economic Development
On agenda: 12/14/2015 Final action: 12/14/2015
Enactment date: Enactment #:
Title: RESOLUTION AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR THE 2016 PROGRAM YEAR AND AUTHORIZING AGREEMENTS WITH APPROPRIATE AGENCIES.
Attachments: 1. Attachment 1, 2. Attachment 2, 3. Attachment 3, 4. Attachement 4, 5. Amendment to 15-0859

Title

RESOLUTION AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR THE 2016 PROGRAM YEAR AND AUTH-ORIZING AGREEMENTS WITH APPROPRIATE AGENCIES.

 

Body

CITY PROPOSAL:

                     WHEREAS, City Council Resolution No. 15-0858R, adopted December 14, 2015, approved FY 2016 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:

2016 CITY OF DULUTH COMMUNITY DEVELOPMENT BLOCK

GRANT (CDBG) PROGRAM-FUND 262, AGENCY 020, OBJECT 5434 PROJECT CD16CD

SUB

PROJECT                     ACTIVITY   AMOUNT                                                               PROJECTS

                                                                    HOUSING PROJECTS

HOUS                                          1734                                          $ 614,500                     Housing Resource Connection - One Roof/HRA

HOUS                                          6915                                          $ 200,000                     Gateway Multi-family Development - One Roof

HOUS                                          6787                                          $  30,000                     Energy Services & Vol Coord - Ecolibrium3

                                                                    ECONOMIC DEVELOPMENT PROJECTS

ECDV                                          2412                                          $ 272,000                     SOAR Duluth At Work Collaborative - SOAR

                                                                                                                              Career Solutions                     

ECDV                                          2264                                          $  64,000                     Growing Neighborhood Businesses - Northeast Entrepreneur Fund, Inc.

                                                                    PUBLIC FACILITY IMPROVEMENT PROJECTS

PFAC                                          1974                                          $ 153,000                     Homeless Youth Building Rehab- Life House

PFAC                                          1050                                          $ 150,500                     Trepanier Hall/Gimaajii Improve- AICHO

                                                                    PUBLIC SERVICE PROJECTS

PSVC                                          1244                                          $  70,000                     Duluth Hunger Project - CHUM

PSVC                                          1929                                          $  30,000                     Access to Dental Health Services - Lake Superior Community Health Center

PSVC                                          2805                                          $  20,000                     JET Food Program- Neighb Youth Services

PSVC                                          1974                                          $  28,000                     Basic Needs Center for Homeless Youth - Life House

PSVC                                          1226                                          $  19,550                     Supportive Housing Programs - Center City

PSVC                                          2509                                          $   7,800                     Battered Women’s Shelter Program - Safe Haven Shelter

PSVC                                          2511                                          $   5,250                     Family Transitional Housing Program - Salvation Army

PSVC                                          2109                                          $   9,150                     Homeless and At-Risk Vets Stabilization/ Outreach - MACV

PSVC                                          1050                                          $  18,250                     Transitional and Permanent Housing Services - AICHO

PSVC                                          1244                                          $  36,800                     Duluth Shelter Project - CHUM

PSVC                                          HO07                                          $  12,000                     Coordinated Assessment*

PSVC                                          6915                                          $  27,368                     Tenant Landlord Connection - One Roof

 

PLANNING/PROGRAM ADMINISTRATION

ADMC                                          AD01                                          $ 422,042                     CDBG Program Administration

ADMC                                          AD02                                          $  20,000                     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 2016                                          CDBG Grant - city                                                               $2,210,210

                                          Total                                                                                                                                                   $2,210,210

                     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 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 comments from organizations and citizens as related to the fund for the Community Development Block Grant (CDBG). In addition to citizens, the Community Forums and the community development committee (cd committee) each played a role in the recommendations contained in this resolution.  There was a 30-day public comment period from October 30- November 30, 2015, on the draft FY 2016 Annual Action Plan portion of the 2015-2019 Consolidated Plan, which includes recommended funding for the 2016 CDBG, HOME and ESG programs.  The cd committee held a public hearing on December 1, 2015 to hear comments on the funding recommendations and then modified the initial recommendations to reflect the comments and the final grant amounts.  These recommendations were approved on December 1, 2015, and December 14, 2015, with the concurrence of the Community Development Manager.

 

Source of Funds:

$2,210,210 in new 2016 HUD 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 2016 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

 

16-HS-01

Project Name:  Housing Resource Connection - Duluth Housing & Redevelopment Authority (HRA)/Fiscal Agent

Project Summary:  The 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 $20,000 in loans to address code deficiencies and lead paint hazards. Also, the Center will complete up to 11 acquisition-rehabs for homeownership.  Rental owners can apply for a 2% interest loan to renovate their properties, which then must serve low to moderate income tenants. 

Goal:  132 units (57 Single-family and 75 Rental Rehab)

Amount Recommended:  $614,500

 

16-HS-03

Project Name: Gateway Multi-family Development- One Roof Community Housing

Project Summary: One Roof and Center City Housing will acquire, renovate, and preserve the affordability of Gateway Tower for continued occupancy of the building by existing low income tenants many of whom are disabled and /or elderly.

Goal: 150 Households

Amount Recommended: $200,000

 

16-HS-04

Project Name: Energy Services Case Management & Volunteer Coordinator- Ecolibrium3

Project Summary: Ecolibrium3 will provide case management and a Giving Comfort at Home volunteer program to assist LMI residents with completion of energy efficiency retrofits, serving those that need additional assistance to access services and/or fall through housing program gaps.

Goal: 20 Households

Amount Recommended: $30,000

 

 

ECONOMIC DEVELOPMENT

 

16-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

 

16-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 8 existing small business owners in Duluth Target Neighborhoods to help them grow their business revenue by at least 25% within 2 years.

Goal:  8 LMI neighborhood small business owners grow their business revenue by 25% within 2 years. 

Amount Recommended:  $64,000

 

 

PUBLIC FACILITY IMPROVEMENTS

 

16-PF-02

Project Name: Homeless Youth Building Improvements- Life House

Project Summary: Life House will make improvements to the Life House Building, a non-profit owned facility, located in a CDBG target area.  The improvements will improve the accessibility and delivery of vital services for homeless youth.

Goal: 1 facility

Amount Recommended: $153,000

 

16-PF-03

Project Name: Trepanier Hall/Gimaajii Improvements- AICHO

Project Summary: AICHO will make improvements to the American Indian Center that provides services, events, and meeting space to the neighborhood.  Improvements include making the building accessible, upgrading mechanical systems, and other improvements.

Goal: 1 facility

Amount Recommended: $150,500

 

PUBLIC SERVICES

 

16-PS-01

Project Name:  Duluth Hunger Project - Churches United in Ministry (CHUM)

Project Summary:  The Duluth Hunger Project is a coalition of three agencies 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:  12,000 people

Amount Recommended:  $70,000   

 

16-PS-02

Project Name:  Dental Health Care Services - Lake Superior Community Health Center

Project Summary:  Support the provision of affordable, primary health care, including dental care, for uninsured and underinsured low and moderate income individuals and families in accessible locations within the City.

Goal:  3,000

Amount Recommended:  $30,000

 

16-PS-03

Project Name: JET Food Project- Neighborhood Youth Services

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 youth

Amount Recommended: $20,000

 

16-PS-04

Project Name: Basic Needs Center for Homeless Youth - Life House

Project Summary:  Life House will assist 600 at-risk and/or homeless youth annually, ages 14-20, in Duluth, to address basic needs (food, clothing, shelter) and connect with on-site support services that help with stabilization.

Goal:  600 Persons

Amount Recommended:  $28,000

 

16-HO-01

Project Name: Duluth Shelter Project - CHUM

Project Summary: CHUM will work to provide outreach, referral, prevention and rapid rehousing services to homeless living on the streets and other places not meant for human habitation.

Goal: Shelter (10 beds, 1,000 households), Family Shelter (30 beds, 70 households), and 44 permanent supportive units at Steve O’Neil Apartments.

Amount Recommended: $36,800

 

16-HO-02

Project Name:  Housing Services Program - AICHO (American Indian Community Housing Organization)

Project Summary:  AICHO will provide transitional housing and support services to assist homeless families and single women move toward greater housing stability.

Goal: Shelter (10 beds, 144 households), Transitional Housing (5 units, 8 households), Permanent Supportive (29 units, 32 households).

Amount Recommended:  $18,250

 

16-HO-03

Project Name: MACV Duluth Services - MACV-Duluth

Project Summary: MACV will work to provide outreach, referral, prevention, and rapid-rehousing services to veterans living on the streets and other places not meant for human habitation.

Goal: Transitional Housing (9 units, 15 households), Permanent Supportive (12 units, 12 households).

Amount Recommended: $9,150

 

16-HO-04

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: Transitional Housing (15 units, 24 households).

Amount Recommended:  $5,250

 

16-HO-05

Project Name: CCHC Housing Programs- Center City Housing Corporation

Project Summary: CCHC will operate and provide supportive services for 21 units of family transitional housing. CDBG funds will be used to provide supportive services.

Goal: Transitional Housing (33 units, 37 households), Permanent Supportive (16 units, 16 households).

Amount Recommended: $19,550

 

16-HO-06

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 stabilization services, advocacy, and support to those in the shelter.

Goal: Shelter (39 beds, 269 households).

Amount Recommended: $7,800

 

16-HO-07

Project Name: Coordinated Assessment

Project Summary: The city of Duluth will work with the St. Louis County Continuum of Care and homeless providers to develop a coordinated access system to ensure all homeless persons have access to services.

Amount Recommended: $12,000

 

Project Name: Housing and Stabilization Benchmarks

Project Summary: Housing and Stabilization Services Fund-Benchmarks will be established for rapid re-housing and housing placement for homeless singles, families and youth exiting out of the CHUM congregate and family shelters, Safe Haven and Dabinool’gan DV Shelters, from transitional housing facilities in Duluth, including Center City Family Transitional Housing, American Indian Community Housing Organization Transitional Housing for Native American Women & Women with Children, Salvation Army Family Transitional Housing, Life House Teen Transitional Housing and MN Assistance Council for Veterans Transitional Housing.  Activities will be developed in coordination with the development of a Coordinated Assessment system for the St. Louis County Continuum of Care. 

Amount Recommended: $27,368