Title
RESOLUTION AUTHORIZING AN INCREASE OF $2,496 IN COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR THE 2024 PROGRAM YEAR.
Body
CITY PROPOSAL:
RESOLVED, that the city council hereby increases the total expenditure of the 2024 CDBG Program by an amount of $2,496 due to an increase in allocation to the city by HUD from the original estimate of $2,350,000 to the final HUD award of $2,352,496 and authorizes changes to contract as set forth below:
2024 CITY OF DULUTH COMMUNITY DEVELOPMENT BLOCK
GRANT (CDBG) PROGRAM-FUND 262, AGENCY 020, OBJECT 5434 PROJECT CD24CD
Sub-Project-Activity Project/AGENCY Original New Difference
HOUS 6915 B Community Land Trust - New Construction 0 $2496 $2496
One Roof Community Housing
Statement of Purpose
STATEMENT OF PURPOSE: This resolution finalizes the 2024 Program portions of the Community Development Program. The City budgeted $ 2,350,000 for the FY 2024 HUD award to the CDBG Program in Resolution 24-0036R. The federal Department of Housing & Urban Development (HUD) officially notified the city of the FY 2024 CDBG allocation on May 18, 2024. The award letter from HUD awarded $2,352,496 to the CDBG program, which is an increase of $2,496 from the anticipated amount. This reallocation of funds is within the approved contingency plan for CDBG funds, therefore no public hearing was required. The Community Land Trust -New Construction program was recommended to received $152,000 in HOME funds, but that amount was reduced to $79,758.87 due to the City receiving a reduced amount in 2024 HOME funds. The increase in CDBG funds will help recover the gap.