Title
RESOLUTION APPROVING THE REVISED 2020 ANNUAL ACTION PLAN AND AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG), HOME PROGRAM (HOME), AND EMERGENCY SOLUTIONS GRANT PROGRAM (ESG) PROGRAM FUNDS.
Body
CITY PROPOSAL:
WHEREAS, Regulation 24 CFR Part 91 issued by the U.S. Department of Housing and Urban Development (HUD) requires the city to submit and receive HUD approval of an annual action plan as part of a HUD-approved five-year consolidated plan for the city of Duluth; and
WHEREAS, Title 1 of the Housing and Community Development Act of 1974, as amended, establishes a community development block grant (CDBG) program for the purpose of developing viable urban communities by providing decent housing and suitable living environment and expanding economic opportunities and preventing and/or eliminating conditions of slum and blight, principally for persons of low and moderate income; and
WHEREAS, the city of Duluth desires to continue to carry out HUD-funded programs;
NOW, THEREFORE, BE IT RESOLVED, that the FY 2020 action plan portion of FY 2020-2024 city of Duluth consolidated plan for housing and community development required by HUD federal legislation are hereby adopted and approved.
BE IT FURTHER RESOLVED, that the City of Duluth hereby makes a finding that expenditures as set forth in Resolution 20-0074R and further revised in 20-0431R are necessary and appropriate and, further, that said expenditures for the CDBG program will serve to assist low- and moderate-income individuals/families (no less than 70 percent as described in federal regulations) and/or serve to prevent or eliminate conditions of slum or blight in the community.
BE IT FURTHER RESOLVED, that the city of Duluth hereby makes a finding that expenditures as set forth in Resolutions 20-0075R, further revised 20-0432R, and Resolution 20-0076R, further revised 20-0433R, are necessary and appropriate and, further, that said expenditures for the HOME and ESG programs will serve to assist low- and moderate-income people.
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 and authorizing appropriate city officials to execute any documents with HUD to implement the program. This authorization shall also apply to existing programs with the city and HUD under the HUD CDBG, HOME and ESG programs.
Statement of Purpose
STATEMENT OF PURPOSE: This resolution approves the revised annual Action Plan portion of the 2020-2024 consolidated plan for the city. The action plan was approved based on estimates by council on January 27, 2020 with Resolution 20-0073R. The action plan sets forth FY 2020 funding and allows opportunity for comments from organizations and citizens as related to said funding for three HUD-funded programs: the community development block grant program (CDBG), the HOME program (HOME), and the emergency solutions grants program (ESG). The recommendations contained in this resolution were developed based on consideration of citizen comments, the public hearing held on December 3, 2019, surveys, and the deliberations of the community development committee (CD committee).
The original funding amounts were based on funding estimates. HUD officially notified the city of the FY 2020 funding amounts on February 18, 2020 which was an overall increase of $67,986 from the original estimate. In addition to the 30-day public comment period from October 26, 2019 to November 25, 2019 and public hearing on December 3, 2019, the city held a second hearing on May 05, 2020 and public comment period from April 05, 2020 - May 04, 2020 to hear comments on the revised funding recommendations. The resolution, in addition to authorizing application for grant funds and administration of same when received, also takes the following actions:
(a) Approves a 2020 annual action plan portion of the 2020-2024 consolidated plan under HUD regulations;
(b) Allocates funds to the projects as listed for the 2020 CDBG program;
(c) Allocates funds for the 2020 HOME and ESG Programs; and
(d) Authorizes execution of documents with HUD.
Source of funds:
$2,426,497 in new 2020 CDBG funds
549,739 in new 2020 HOME funds
208,704 in new 2020 ESG funds
$3,184,940 2020 community development program total