HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 05/16/2000 - ITEMS RELATING TO THE CITYS FISCAL YEAR 2000-2001 ITEM NUMBER: 13 A-B
AGENDA ITEM SUMMARY DATE: May 16, 2000
is FORT COLLINS CITY COUNCIL STAFF:
Ken Waido
SUBJECT:
Items Relating to the City's Fiscal Year 2000-2001 Community Development Block Grant and
Home Investment Partnerships Programs.
RECOMMENDATION:
Staff recommends adoption of the Ordinances on Second Reading.
EXECUTIVE SUMMARY:
A. Second Reading of Ordinance No. 52, 2000, Appropriating Unanticipated Revenue and
Authorizing the Transfer of Appropriations Between Projects in the Community
Development Block Grant Fund.
B. Second Reading of Ordinance No. 53, 2000, Appropriating Unanticipated Revenue and
Authorizing the Transfer of Appropriations Between Projects in the Home Investment
Partnerships Fund.
Ordinance No. 52, 2000 and Ordinance No. 53, 2000,were unanimously adopted on First Reading
on May 2, 2000, and appropriate funds to be received for the CDBG and HOME programs, and
transfer into the federal 2000-2001 fiscal year programs unexpended program funds from prior year
CDBG programs.
AGENDA ITEM SUMMARY ITEM NUMBER: 24A-D
DATE: May 2, 2000
. FORT COLLINS CITY COUNCIL STAFF:
Ken Waido
SUBJECT:
Items Relating to the City's Fiscal Year 2000-2001 Community Development Block Grant and
Home Investment Partnerships Programs.
RECOMMENDATION: 4
Staff recommends adoption o e Resol ions of the Ordiri ces on First Reading. The CDBG
Commission presents a list of r G =en iA as Qthich ams and projects should receive
funding.
EXECUTIVE SUMMARY:
A. Public Hearing and Resolution 2000-66 Approving the FY 2000-2001 Community
Development Block Grant Program for the City of Fort Collins.
B. Public Hearing and Cthe
o2000 ` 7 vi e FY 2000 .Home Investment
Partnerships Programi of F C ° fins.
C. First Reading of Ordinance No. 52, 2000, Appropriating Unanticipated Revenue and
Authorizing the Transfer of Appropriations Between Projects in the Community
Development Block Grant Fund.
D. First Reading of Ordinance No. 53, 2000, Appropriating Unanticipated Revenue and
Authorizing the Transfer of Appropriations Between Projects in the Home Investment
Partnerships Fund.
The Community Developm BI an ( B gr and the Home Investment
Partnerships(HOME)Progr provide deral m th'„ epartment of Housing and Urban
Development(HUD)to the Ci of Fprt Ili h`h can be ocated to housing and community
development related programs an projects, ere y, reducingit a demand on the City's General
Fund Budget to address such needs.The City Council is being asked to consider the adoption of two
resolutions and two ordinances. The first resolution establishes which programs and projects will
receive funding with CDBG funds for the FY 2000-2001 Program year,which starts on October 1,
2000. The CDBG Commission presents a list of recommendations as to which programs and
projects should receive funding. The second resolution establishes only the major funding
categories within the HOME Program for the FY 2000-2001 Program year. Specific projects for
the use of HOME funds will be determined in November as a result of the fall funding cycle of the
competitive process for the allocation of the City's financial resources to affordable housing
. programs/projects and community development activities. The ordinances appropriate funds to be
received for the CDBG and HOME programs, and transfer into the federal 2000-2001 fiscal year
programs unexpended program funds from prior year CDBG programs.
DATE: May 2, 2000 2 ITEM NUMBER: 24 A-D
BACKGROUND:
The City Council is being asked to consider the adoption of two resolutions. The first resolution
establishes which programs and projects will receive funding with Community Development Block
Grant(CDBG) funds for the FY 2000-2001 Program year, which starts on October 1, 2000. The
second resolution establishes only the major funding categories within the Home Investment
Partnership(HOME)Program for the FY 2000-2001 Program year. Specific projects for the use of
HOME funds will be determined in November as a result of the fall funding cycle of the competitive
process for the allocation of the City's financial resources to affordable housing programs/projects
and community development activities. Additional background material about the competitive
process is included in Attachmen
X11111N.
Since early January of this ye the CD a Co is ton and m bers of the City staff's Affordable
Housing Team have conducted e s commutity development and housing needs
in Fort Collins, conducted technical assistance training workshops for applicants, and solicited
applications for CDBG funding. The City's Affordable Housing Board reviewed the written
applications for affordable housing projects and forwarded a priority ranking of proposals, as well
as comments,to the CDBG Commission. See Attachment"B"for copies of the Board's materials
sent to the CDBG Commission. The CDBG Commission, in addition to reviewing the written
applications,personally interviewed each applicant,analyzed the applications,and formulated a list
of recommendations to the City Council as to which programs and projects should receive funding.
The competitive process es ta s e e e to rmi9'priorities between proposals
received by the City. The r g crite are i o fi ajor categories. Each category is
given a total number of points at has b n we a accordin o their importance with respect to
local and federal priorities. Th maj eg '" are:
1. ImpactBenefit
2. Need/priority
3. Feasibility
4. Leveraging Resources
5. Capacity and History
The ImpactBenefit criteria prov' eate war r s t target lower income groups.
The Need/priority criteria hel sur pro al e a t City goals and priorities. The
Feasibility criteria reward proj is forti lines ent dditional funding. The leveraging
resources criteria reward prop s w ' Iwill funds to a City (loans) and for their ability
to leverage other resources. And, a Capaci and story criteria help gauge an applicant's ability
to do the project and reward applicants that have completed successful projects in the past (have
good track records).The ranking sheet used to assist the CDBG Commission and the Affordable
Housing Board is presented in Attachment"A".
The Commission also considered the funding guidelines contained in the Priority Affordable
Housing Needs and Strategies report adopted by the Council on February 2, 1999. These
guidelines include:
o CDBG funds should generally be allocated as follows: 65% for Housing projects;
10% for Program Administration; 10% for Public Facilities; and 15% for Public
Services;
0 funds allocated to housing should generally be divided as follows: 70% for rental
DATE: May 2, 2000 3 ITEM NUMBER: 24 A-D
projects and 30%for homeownership opportunities; and
• o the average subsidy should be $5,000 per unit, with relatively more funding to
projects producing housing for lower income families.
The CDBG Program is an ongoing grant administration program funded by the Department of
Housing and Urban Development (HUD). The City of Fort Collins has received CDBG Program
funds since 1975. In 1975 and FY 1976-77 the City received HUD CDBG discretionary grants.
Since FY 1977-78,the City has been an Entitlement Grant recipient of CDBG funds, meaning the
City is guaranteed a certain level of funding each year. The level of funding is dependent on the
total amount of funds allocated to the program by Congress and on a formula developed by HUD,
which includes data on total po at on, mn4 ties�as ,T ntage.of population, income levels,
housing stock conditions, et Ad i6 nal backg i rm&ion on the City s Community
Development Block Grant Pr ram is sented'of achme "C".
i
AVAILABLE FUNDS
The amount of the City's CDBG Entitlement Grant for FY 2000-2001 is $1,175,000. The
Entitlement Grant will be combined with $34,358 of CDBG Program Income and $93,544 of
Reprogrammed funds to create a total of$1,302,902 of CDBG funds available for programs and
projects during the next CDBG Program year. CDBG Program Income includes funds returned to
the City through the payment of past housing rehabilitation loans. CDBG Reprogrammed funds
include funds not expended in previously approved projects.
The following summarizes th oun 0sos f apilafds:
• CDBG Program
AMOUNT SOURCE
$1,175,000 FY 2000 CDBG Entitlement Grant
34,358 CDBG Program Income
93,544 CDBG Reprogrammed Funds
$1,302,902 CDBG Total
COPY
DATE: May 2, 2000 4 ITEM NUMBER: 24 A-D
Below is a summary of recent CDBG funding levels allocated from HUD to the City of Fort Collins:
Entitlement Reprogrammed Program
Year Grant Funds Income Total Funds
1990 645,000 50,000 30,000 725,000
1991 728,000 160,000 30,000 918,000
1992 802,000 30,000 50,000 882,000
1993 1,091,000 50,000 90,000 1,231,000
1994 1,187,000 30,000 50,000 1,267,000
1995 1,231,000 0 Y00
1,271,000
1996 1,202:000 1,242,000
1997 1,188,000 81,2P 1,419,273
1998 1,162,000 6 1,428,875
1999 1,169,000 0 50,000 1,219,000
SELECTION PROCESS
The selection process for the City's FY 2000-2001 CDBG Program began on January 13, 2000,
when the CDBG Commission held a public hearing to obtain citizen input on community
development and housing needs. The CDBG Program office placed legal advertisements in local
and regional newspapers starting in January to solicit requests for CDBG funded programs and
projects for FY 2000-2001.The ' i 1' da bruary 24. At the close of the
deadline the City received 28 , plica requ ti a tal proximately $2.5 million.
Copies of all applications were aide gh ity M er's office to the City Council on
March 2 and placed in the Council Office for review. Also on March 2 copies of the housing
applications were distributed to the Affordable Housing Board and copies of all applications were
distributed to the CDBG Commission.
On Thursday March 23,the Affordable Housing Board conducted a special meeting to review the
housing proposals and prepare a priority listing of applications to the CDBG Commission. On
Wednesday April 12, and Thursday April 13, the Commission met to hear presentations and ask
clarification questions from each applicant. The Commission then met on Wednesday April 19,for
the purpose of preparing a rec - en a ' to a '1 o which programs and projects
should be funded for the FY 0-2001 rogr y t eeting the Commission reviewed
the written applications, the a lic is rb re ntation, information provided during the
question and answer session,an r" sewed performance of encies who received FY 1999-2000
CDBG funds or funding in other previous years. The Commission then worked on the formulation
of their list of recommendations.
CDBG COMMISSION'S LIST OF RECOMMENDATIONS
HUD CDBG regulations limit the amount of available funds which can be allocated to various
generic categories. Funds for Planning and Administrative purposes are limited to 20%of the total
of the Entitlement Grant and any anticipated Program Income. This means the 20% limitation for
Planning and Administrative purposes is$260,580. CDBG funds for Public Services are limited to
15% of the total of the Entitlement Grant and anticipated Program Income, making the amount
$181,403.
DATE: May 2, 2000 5 ITEM NUMBER: 24 A-D
The Commission, thus, not only had to decide which applicants presented programs and projects
• which best fit into the City's CDBG Program, but also had to insure funding allocations were kept
within HUD regulations and follow the funding guidelines contained in the Priority Affordable
Housing Needs and Strategies report.
Listed below is a summary of each applicant's initial request for funding and the Commission's list
of recommendations.
PLANNING AND ADMINISTRATION—Maximum 20% of CDBG Funds - $260,580
City of Fort Collins CDBG Admimstritlon
Proposal covers the admini atiXecos s of{he F 2000-2 1 CDBG Program Administration
including salary, benefits and operating expenses for 2 staff positions.
Request: $139,687 Recommendation: $139,687
City of Fort Collins—BAVA Subarea (Neighborhood)Plan
Request for matching funds for a subarea (neighborhood) plan for the Buckingham,
Andersonville, and Alta Vista neighborhoods. The plan will cover topics such as land use,
redevelopment,transportatio , b 1'Mon
n, ge,
Request: $100,000 R ¢o mendati ` : $8Q000
Paradigm Development and Consulting,Inc.—Planning,Capacity Building and Admin Project
This project will identify undeveloped properties in the urban growth area for future affordable
housing development. The properties will be protected for affordable housing development by
using means such as land banking, deed restrictions, land trusts, etc.
Request: $70,900 Recommendation: $0
Acquisition
Habitat for Humanity
Request for funding for the purchase of three lots.
Request: $150,000 Recommendation: $75,000
Subsidy to be provided as deferred zero-interest
loans, due-on-sale for three housing units.
FM Fort Collins, L.P.—Fox Meadows Apartments
Request is for funding for land acquisition,however, the applicant already owns the property
DATE: May 2, 2000 6 ITEM NUMBER: 24 A-D
and CDBG funds can not be used for reimbursement payments.
Request: $250,000 The proposal was withdrawn by the applicant.
Neighbor to Neighbor,Inc.
Request for a grant to help acquire an existing apartment complex consisting of 24 units
located at 233 N. Meldrum Street.
Request: $300,000 The proposal was withdrawn by the applicant.
Brisben Companies—Park Southa cnts
Request for assistance intpayme of Ci •• Jev)opm!empact Fees.
Request: $220,000 Recommendation: $0
Housing
Elizabeth Street Senior Apartments
Request by Kaufman and Broad for funds to pay City Development Impact/Building Permit
Fees to help construct 50 se a eet.
Request: $250,000 R,, o endati $250,000
Subsidy to be provided as a 30-year loan at 3%
interest with a 10-year balloon.
CSU Habitat for Humanity—CSU House Project
Grant request to help construct a single-family home in northeast Fort Collins.
Request: $4,200 C Recommendation: $ 10,512
OD
di a grant to be used to pay City
l il ment Im: ct Fees.
DATE: May 2, 2000 7 ITEM NUMBER: 24 A-D
• Homeownership Assistance
City of Fort Collins CDBG Program—Homebuyer Assistance
CDBG funds are anticipated to be combined with and HOME($136,950) funds to continue
to provide home ownership opportunities through the Homebuyer& Closing Cost Assistance
Program. Approximately $5,000 per unit would be available to families earning less than
80% of AMI.
Request: $189,000 wRecomnd 'on: �$492,939
Uln*�'(eLllic Stances, increase assistance to
J for famiks below 50% of AMI.
Public Facilities
Respite Care Remodel Project
Grant request to remove current food storage area, add shelving, and change lighting in the
administrative area of the Respite Care facility.
Request: $12,000 R ' da $ 1.2,000
Food Bank for Larimer CouC
Grant request to help renovate the food cooler floor and add additional pallet racks and
shelving.
Request: $19,300 Recommendation: $19,300
Crossroads Safehouse, Inc.
I
Grant request to replaced oc' 00]
s a S o Shelter.
Request: $6,296 endati : $5,900
Fullana Learning Center—Renovation Project Phase II
Grant request to help develop an infant playground and support space renovations to relocate
employees.
Request: $36,161 Recommendation: $36,161
Forgivable 10-year grant with reverter clause if
building is not used for low-income day-care.
DATE: May 2,2000 8 ITEM NUMBER: 24 A-D
Buarcaire Youth Services
Grant request to help purchase a facility (total cost $650,000)to operate a halfway house for
25 youthful offenders.
Request: $200,000 Recommendation: $0
Public Service Maximum 15% of CDBG funds $ 181,403
Education and Life Trainin(eati
ntep— dult Li im
e ice
Grant request to provide ong Jenseodolt' teracy Services Program which
provides tutor training forac v ' n e READ-TJP collection,
responding to inquires, and coordinating other related adult literacy services.
Request: $12,000 Recommendation: $10,000
Disabled Resource Services- Supported Youth Employment Program
Grant request to help provide funds for the Supported Youth Employment Program that helps
disabled youth participate in summer job training experiences.
Request: $18,000 R a $15,000
Project SelfSufficiency
Grant request to provide funds for the Supportive Services for Single Parent Families
Program which assists participants in outlining steps towards accomplishment of both career
and personal/family goals.
Request: $25,000 Recommendation: $20,000
Food Bank for Larimer County
Grant request to provideCocklev(QF
Y$O
Request: $4,500 R
Neighbor to Neighbor,Inc.
Grant request to provide partial funds for the operation of the HUD certified Comprehensive
Housing Counseling and Case Management Program which provides assistance to people
along all points of the housing continuum from homelessness to home ownership to options
for older adults.
Request: $25,000 Recommendation: $22,000
i
Ma 2, 2000 9 ITEM NUMBER. 24 A-D
DATE: y
Child Care Collaborative Project
. Grant request to help provide funds for the Sliding Scale Child Care Tuition Assistance
Program. Eligibility requirements are based on income and requires adults to be working
towards economic self-sufficiency.
Request: $60,335 Recommendation: $60,335
Northern Colorado Health Network d.b.a. Northern Colorado Aids Project
Grant request to provide parrtialfu�nding--f'or thee�l�eColo�rado Aids Project which
attempts to decrease the incidence of IIIV in 1h aco . unity Ad ensure those living with
HIV are in appropriate inkical care,
y � �y
iip
Request: $20,000 Recommendation: $18,000
New Bridges,Inc.
Grant request to help provide operational expenses of a daytime shelter and service referral
center for the homeless.
Request: $35,000 Recommendation: $0
Mercy Housing- Comm uni `Resid al In fifetv
Sp' field Court Apts.
Y
Grant request to provide p 'abftuidi' for a of on-°'site resident services including
childcare,job training, life development,parenting education, and children's activities.
Request: $44,550 Recommendation: $0
Elderhaus Adult Day Care Programs
Grant request to provide partial funding for three new programs, a Multi-Cultural Day
Program, a Community Group and a Life Transitions Pro ram.
Request: $16,640 J R dati $8,568 I
i
fi
Lutheran Family Services
Grant request to provide partial funding for the Fostering Family Strengths: Prevention of
Child Abuse Program which is designed to prevent child abuse and neglect by helping
families learn to interact in healthy non-violent ways.
Request: $8,000 Recommendation: $7,500
DATE: May 2, 2000 10 ITEM NUMBER: 24 A-D
Catholic Charities Northern - Services for Seniors
Request for funds to provide services for seniors and frail and homebound elderly who are
unable to access community resources because of lack of knowledge or other barriers such as
cultural or language.
Request: $6,500 Recommendation: $0
Catholic Charities Northern—The Mission
Grant request to help provid, pe ati2_6
yheltehe Mission) and supportive
services(Hope Job Bank) r the�oRequest: $25,000 d ,000
Total amount of CDBG funding requested=$2,468,069.00
A summary of the Commission's CDBG funding recommendations by category for the total
amount of funds available is as follows:
RECOMMENDED % of
FUNDING TOTAL CATEGORY
$ 219,687 16.9 � d,., TRATION (Maximum
580 s on 20% Entitlement Grant and Program
U11
c
828,451 63.6 HOUSING
73,361 5.6 PUBLIC FACILITIES
181,403 13.9 PUBLIC SERVICES (Maximum $181,403 based on 15%
of Entitlement Grant and Program Income)
------------—--------------------------
$1,302,902 100.0 TOTAL
The total amount of CDBG funding re uests considered by the CDBG Commission was
approximately $2.5 million, h . eve o $ in io B funds are available. With the
amount of total requests faze eeding ailabl , ob sly not all applications could be
funded.Due to HUD funding 1 'tatio s, ome bl Service lications received no funds or less
funds than requested in order to p th c ca a ory wi in program maximums.
The CDBG Commission has recommended full funding for five(5)proposals. In the Commission's
opinion, the five applications recommended for full funding best fit CDBG Program national
objectives, the selection criteria, and the funding guidelines.
The Commission also has recommended increased funding, over what was initially requested, for
two (2) proposals, the CSU Habitat for Humanity and the City's Homebuyer Assistance Program
proposals. The Homebuyers Assistance Program is recommended for increased funding because,
in the Commission's opinion, there were no other proposals worthy of funding over what the
Commission has recommended.
. r
DATE: May 2, 2000 11 ITEM NUMBER: 24 A-D
Proposals,which did not receive full funding,were deemed of a lower priority and, in some cases, f
. a lack of funds,program category limitations(especially in the Public Services category),or funding
guidelines prohibited their full funding.
The Commission has recommended no funding for seven(7) proposals.
The Commission's reasons for either increased funding, full funding,partial funding,or no funding
are presented in Attachment"D".
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