HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 07/06/2010 - ITEMS RELATING TO THE COMPLETION OF THE 2010 SPRIN DATE: July 6, 2010 AGENDA ITEM SUMMARYD
STAFF: Ken Waido FORT COLLINSCOUNCIL
Items Relating to the Completion of the 2010 Spring Cycle of the Competitive Process for Allocating City Financial
Resources to Affordable Housing and Community Development Activities Utilizing the Federal Community
Development Block Grant (CDBG) Program, the Home Investment-Partnership (HOME) Program, and the City's
Human Services Program.
A. Second Reading of Ordinance No. 073, 2010, Appropriating Unanticipated Revenue and Authorizing the
Transfer of Appropriations Between Program Years in the Community Development Block Grant Fund.
B. Second Reading of Ordinance No. 074,2010,Appropriating Unanticipated Revenue in the Home Investment
Partnerships Fund.
EXECUTIVE SUMMARY
Ordinance No. 073,2010,appropriates the City's FY 2010 CDBG Entitlement Grant from the Department of Housing
and Urban Development (HUD). Ordinance No. 074, 2010, appropriates the City's FY 2010 HOME Participating
Jurisdiction Grant from HUD. Both Ordinances were unanimously adopted on First Reading on June 15, 2010.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on Second Reading.
ATTACHMENTS
1. Copy of First Reading Agenda Item Summary-June 15, 2010
(w/o attachments)
ATTACHMENT
DATE: June 15, 2010 AGENDA ITEM SUMMARY
STAFF: Ken Waido FORT COLLINSCOUNCIL
SUBJECT
Items Relating to the Completion of the 2010 Spring Cycle of the Competitive Process for Allocating City Financial
Resources to Affordable Housing and Community Development Activities Utilizing the Federal Community
Development Block Grant (CDBG) Program, the Home Investment Partnership (HOME) Program, and the City's
Human Services Program.
A. Public Hearing and Resolution 20A:0 033�Approvin�g the:P_rog`ams ands rojects That Will Receive Funds from
the Federal Community Development Block Grant(CDBG)Program and the City's Human Services Program.
B. First Reading of Ordinance No.073,2010 A*ppropriai;i}g Unanticipated Revenue and Authorizing the Transfer
of Appropriations Between Program Years-in-the Community Development Block Grant Fund.
C. Public Hearing and Resolution 2010-034 Approving the Fiscal Year 2010 Home Investment Partnerships
(HOME) Program for the City of Fort Collins.
D. First Reading of Ordinance No. 074, 2010, Appropriating Unanticipated Revenue in the Home Investment
Partnerships Fund.
EXECUTIVE SUMMARY
Resolution 2010-033 will complete the 2010 spring cycle of the pewve process for allocating City financial
resources to affordable housing programs/projects and;/community development activities by listing the specific
programs/projects that will receive fundi�starting.cto er L 2010.
Ordinance No. 073, 2010, appropriates the City's FY 2010 CDBG Entitlement Grant from the Department of Housing
and Urban Development(HUD).
Resolution 2010-034 establishes the major funding categories within the HOME Program for the FY 2010 program
year, which also starts on October 1, 2010. Specific projects for the use of HOME funds will be determined in
November as a result of the 2010 fall cycle of the competitive process.
Ordinance No. 074, 2010, appropriates
sthe
�City's FY 2010 HOME Participating Jurisdiction Grant from HUD.
BACKGROUND / DISCUSSION/! I F 7\\/�7
�l 1 li
Resolution 2010-033 establishes which•progranms«:and,projiectsI wdl receive•funding with CDBG funds for the FY 2010
program year(including funds from the Entitlement Grant and Program Income),which starts on October 1,2010,and
which programs will receive funding from the City's 2010 Human Services Program. The CDBG Commission presents
to the City Council a list of recommendations as to which programs and projects should receive funding. The following
table summarizes the total amount and sources of all available CDBG and City funds for distribution during the spring
cycle of the competitive process:
Available Funding
AMOUNT SOURCE
$1,104,431 Fj1 20;1,0 CDBGEntitlement=Grant\ %J
84,623 IFY 2010 CDBG Progra'',o ncome \V/
56,430 �F\Y 2009 CDBG Unq/ogrammed Funds
389,601 2010-Giiy Hurnan Services Program
$1,635,085 Total Funding Available
June 15, 2010 -2- ITEM 15
The FY 2010 CDBG Entitlement Grant and Program Income totals$1,189,054. HUD regulations limit a maximum of
20%of these funds,or$237,811,for planning and program administrative purposes. The following table summarizes
the amount and sources of available funds for planning projects and CDBG Program administrative costs:
Funding for Planning and CDBG Program Administration
AMOUNT SOURCE
$220,886 20% of the FY 2010 CDBG Entitlement Grant
16,925 20% of FY 2010 CDBG Program Income
$237,811 Total.Funding,Available_for-Planning and,CDBG Program Administration
(l \ I I jl \\
HUD regulations limit a maximum of(�%of the`FY 2011CDBG funds and Program Income, or$178,358,for use in
the Public Services category. The City Human Services Program adds$389,601 for use in the category, for a total
of $567,959 of available funding. Th64ollowing table su'� ma mnzes the amount and sources of available funds for
public/human service proposals:
Funding for Public/Human Services
AMOUNT SOURCE
$165,665 15% of the FY 2010 CDBG Entitlement Grant
12,693 15% of FY 2010 CDBG Program Income
389,601 2009 City Human Services Program
$567,959 Totaj-Funding Available'for-Publib/Human Services Proposals
(( (( �7 �--� \V
Considering the set-asides for Plann\ng and Administration and Public S*ces presented above,the balance of the
FY 2010 CDBG Entitlement Grant and�Rrogram In\me�amounts, plus $56,430 of unprogrammed FY 2009 CDBG
funds, provide an amount of$829,315 available for allocation to affordable housing proposals. The following table
summarizes the amount and sources of available funds for affordable housing proposals:
Funding for Affordable Housing
AMOUNT SOURCE
$717,880 FY 2010 CDBG Entitlement Grant
55,005 FY 2010 CDBG Program Income
56,430 FY-2009 CDBG-Unprogrammed ,-,
$829,315 /Total Funding A416ble7for Afford`able,Housing Proposals
�1 t� I.11` . ��
The City received 25 applications for`u`ing%s1 arrtt of tl e 2010 spring cycle of the competitive process requesting
a total of$1,455,726. The total amount&4unds available from all sources is about$1,635,085. While the total of
application requests is$179,359 less than the amount of available funds, HUD regulation limitations within the Public
Services category results in a total of $235,491 more in requests than available funds for the category. Unfortunately,
the excess funds in the Planning and Administration and Affordable Housing categories can not be used to fund any
Public Service applications. The following table summarizes the amount of funding requests compared to the amount
of funding available for each of the major funding categories.
Number of Requested Available Request-Available
Category Applications Funding Funding Difference
Affordable Housing -�2 A r$450,00,0 . ,$829,315 $379,315
Public Services // 22� (� � �$803;45b�, �f$567,959 $235,491
Administration ( 1 '$202?276 l ( $237,811 $35,535
Totals 2$� \\ _,/,/ $.il,455,726 11 $1,635,085 $179,359
June 15, 2010 1 -3- ITEM 15
Community Development Block Grant(CDBG) Commission Recommendations
The CDBG Commission presents recommendations as to which programs and projects should receive funding from
the available funding sources presented above,including CDBG funds and the Human Services program(HSP). The
following tables present the allocations recommended by the Commission to the City Council within each major
category:
Administration
Applicant Funding Commission's Unfunded Percent of
Project/Program Request Recommendation Balance Re uest Funded
AD-1 City of Fort �" �� $202276�
Collins CDBG $202,27,6�- FY 2010 O&G $0 100%
Administration i ( Entitlement Grant
Affordable Housing
Applicant Funding Commission's Unfunded Percent of
Project/Program Request Recommendation Balance Re uest Funded
HO-1 City of Fort Collins $200,000 $200,000 $0 100%
Home Buyer Assistance FY 2010 CDBG
Program Entitlement Grant
HO-2 Care: $250,000 $138,565 $0 100%
Provincetowne (FY 2010 CDBG
Infrastructure ^EFttitlemerSfGrant)
Incom
$55,005 �'��)
FY 201�0 Programe)
�$56;430
(FY 2009
Unprogrammed
CDBG Funds)
All funding recommendations in the Affordable Housing category are in the form of a "Due on Sale
Loan + 5% Simple Interest."
Public Service
Applicant Funding ,Comm fissions\ Unfunded Percent of
Project/Program Request / Recommendation //�Balance Request Funded
PS-1 B.A.S.E. Camp: $63,000 f $54}200:::,/ $8,800 86%
Sliding Scale Fee Tuition ` �DBG,grant) I.
and Transportation LJJ
Assistance
PS-2 Boys &Girls Club: $21,036 $17,458 $3,578 83%
After-school and School- (HSP grant)
break Child Care and
Youth Activities
PS-3 Catholic Charities $10,000 $7,000 $3,000 70%
Northern: Senior Services (HSP grant)
PS-4 Catholic Charities $65;.000� / " >$�29)500" r$251500 54%
Northern: Shelter and (CDBG grant)
Supportive Services `�
June 15, 2010 -4- ITEM 15
Applicant Funding Commission's Unfunded Percent of
Project/Program Request Recommendation Balance Re uest Funded
PS-5 Crossroads $99,216 $51,042 $48,174 51%
Safehouse: Advocacy (HSP grant)
Program
PS-6 Disabled Resource $27,884 $22,010 $5,874 79%
Services: Access to (HSP grant)
Independence Program
PS-7 Elderhaus: Mindset $23,592 $20,142 $3,450 85%
Therapy Center Program (CDBG grant)
PS-8 Education and Life $20;0001v U(CDBC-
7!500�. `�, / $2,500 88%
Training Center: grant•)
Employment Skills '
Training
PS-9 Food Bank for $27,052 $21,667 $5,385 80%
Larimer County: Kids Cafe (HSP grant)
Program
PS-10 Homelessness $45,000 $28,516 $5,000 89%
Prevention Initiative: (CDBG grant)
Emergency Rent $11,484
Assistance (HSP grant)
PS-11 Live the Victory $29,120 $0 $29,120 0%
(Mathews House): (( ✓ I i I FED,
Program for At-risk Youth
PS-12 Northern Colorado $29•,500 � ,$24!000 $5,000 83%
AIDS Project: Client (HSP grant)
Services and
Homelessness Prevention
Program
PS-13 Neighbor to $68,500 $39,415 $29,085 58%
Neighbor(N2N): (HSP grant)
Comprehensive Housing
Counseling
PS-14 N2N: $23,000 $20,200 $2,800 88%
Emergency Rent (H`SP I
Assistance
PS-15 Project Self- $33,000 "� �$281500 ( J $4,500 86%
Sufficiency: Services for �/ =(CDBG.grant) [JJ
Single-Parent families
PS-16 Respite Care: $25,000 $22,500 $2,500 90%
Sliding Scale Fee Tuition (HSP grant)
Assistance
PS-17 Rehabilitation and $38,000 $26,100 $11,900 69%
Visiting Nurse Association: (HSP grant)
Home Health Care
Scholarship Assistance
PS-18 Family Center: $25;000 '$201500 $4,500 82%
Sliding Scale Fee Tuition (HSP'grant) 1,
rt , r-
PS-19 Turning Point: $1,0;000/ $0� U $10,000 0%
Emergency Mental Health
Assistance
June 15, 2010 -5- ITEM 15
Applicant Funding Commission's Unfunded Percent of
Project/Program Request Recommendation Balance Re uest Funded
PS-20 United Day Care $60,000 $51,500 $8,500 86%
Center/learning Tree: (HSP grant)
Sliding Scale Fee Tuition `
Assistance
PS-21 Volunteers of $29,108 $19,500 $9,608 67%
America: Home Delivered (HSP grant)
Meal Program
PS-22 Women's Resource $41,442 $34,725 $6,717 84%
Center: Dental Care �—(HSP gl�ant)l
Assistance Program rh—J� �:v�
A summary of the Commission's fundi g-recommendatos Lyi category is' presented in the following table:
Recommended Funding % of Total Category
$450,000 36.9% Affordable Housing
$567,959 46.5%' Public Services .
$202,276 16.6% CDBG Administration
$1,220,235 100.0% Total
The CDBG Commission has recommended $1,220,235 (74.6%) of the available funding amount of$1,635,085 be
allocated. The Commission recommendstl5at all,of--the available'-funds from 2010 City Human Services Program be
�! c `� i
used. An amount of$706,506 (63.9%) of the FiYr2010 CDBG En�itlement�Grant, $67;698 (79.9%) of-the FY 2010
Program Income, and$56,430(100%)from the Fl 2009 CDBG-Unprogrammed Funds are also recommended to be
allocated. A total of $414,850 will Oe�c` arried overraanUwill le available for allocation in the 2010 fall cycle of the
competitive process.
HOME Program
Resolution 2010-034 establishes the major funding categories within the HOME Program for the FY 2010 Program
year, which starts on October 1, 2010. Specific projects for the use of HOME funds will be determined in November
as a result of the 2010 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 FY 2010 HOME Grant totals
$682,541. HUD regulations allow a maximum of 10%for administrative purposes,or$68,254,and require a 15%set-
aside, or$102,381, for Community Housing Development Organizations(CHDO). The following table summarizes
the distribution of HOME funding. r / I.
M \V�
Recommended Funding % of Tot_alil` Category',(-- f,
$511,006 '-7.5:09/d `;Affordable Housing Projects
$102,381 15.0% Community Housing Development Projects
$68,254 10.0% HOME Program Administration
$682,541 100.0% Total
FINANCIAL / ECONOMIC IMPACTS
The Community Development Block Grant,(CDBG),Rf6gram,andah&Home Investment Partnership(HOME)Program
provide federal funds from the Department ofiFiousing and Urban Development(HUD)to the City of Fort Collins which
can be allocated to housing and community developmentlrelated programs and projects, thereby, reducing the
demand on the City's General Fund Budget,to address such;.needs. The`total amount of CDBG funds available for
allocation during FY 2010 is$1,245,484-while the tot I amount of HOME funds for FY 2010 is$682,541. Together,
the CDBG and HOME programs provide $1,928,025 of federal funds to the City. The City's General Fund does
contribute$389,601 in the Human Services Program for allocation during the competitive process.
June 15, 2010 -6- ITEM 15
Through the provision of affordable housing, more of Fort Collins'work force can reside within the community. This
means there is an available labor pool within the city, which is a positive benefit to economic sustainability.
Public/human service programs contribute to economic sustainability by providing such programs as job training and
child care, so workers can maintain their employment.
ENVIRONMENTAL IMPACTS
Affordable housing programs help provide for a healthy environment. By offering affordable housing options for lower
income people, more of Fort Collins'workforce can-live in the-community instead of being forced to live outside the
community and commute into the city for ork. This red cu a traffic\congestion and, thus, improves air quality.
Affordable housing developers, including for zprofiit
ed and/non-profit agencies, are utilizing green building practices.
Green building practices are being us -in5both new_construetion and major rehabilitation of existing unit projects.
These practices include geo-thermal applications and other energy saving techniques.
All affordable housing projects utilizing CDBG funds are required to pass a HUD environmental review which covers
such items as noise impacts, floodplains, hazardous materials, etc.
STAFF RECOMMENDATION
Staff recommends adoption of the Resolutions and:ttfe-.Ordinances on-FirstReading.
�\ n ( '
BOARD / COMMISSION RECOMMENDATION
The CDBG Commission recommends adoption of its funding recommendations.
PUBLIC OUTREACH
HUD regulations require a 30-day public comment period on the proposed allocation of CDBG and HOME funds as
recommended by the CDBG Commission. Staff placed an ad in the Coloradoan newspaper presenting the list of
recommended funding for programs/prdjects�and,indica`ed the—public Tommerit'period would start on April 18,2010,
and end on May 18, 2010. One applicant forrC�DBBG funnd's fora public service program has sent a letter to the City
Council. L5�9
�\-✓ 1
ATTACHMENTS
1. Background and Summary of the CDBG Commission's Recommendations for Funding
2. Background Information on the Competitive Process
3. Affordable Housing Board's Comments
4. Background Information on the CDBG and HOME Federal Programs
5. CDBG Commission's Funding Recommendations, Meeting Minutes April 15, 2010
6. Focus Questions for CDBG Commission Decision Making
7. Formulation of Funding Recommendations'Session
ORDINANCE NO. 073, 2010
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING UNANTICIPATED REVENUE AND
AUTHORIZING THE TRANSFER OF APPROPRIATIONS BETWEEN
PROGRAM YEARS N THE COMMUNITY DEVELOPMENT BLOCK GRANT FUND
WHEREAS, Article V, Section 9, of the Charter of the City of Fort Collins ("Charter")
permits City Council to make supplemental appropriations by ordinance at any time during the fiscal
year, provided that the total amount of such supplemental appropriations, in combination with all
previous appropriations for that fiscal year, does not exceed the current estimate of actual and
anticipated revenues to be received during the fiscal year; and
WHEREAS,Article V, Section 10,of the Charter authorizes the City Council to transfer by
ordinance any unexpected and unencumbered amount or portion thereof from one fund or capital
project to another fund or capital project, provided that the purpose for which the funds"were
initially appropriated no longer exists; and
WHEREAS,Article V, Section 11, of the Charter provides that federal grant appropriations
shall not lapse if unexpended at the end of the budget year until the expiration of the federal grant;
and
WHEREAS, the City will receive in federal fiscal year 2010-2011 unanticipated revenue in
the form of federal Community Development Block Grant ("CDBG") funds totaling $1,104,411,
constituting a new revenue source; and
WHEREAS, the City will receive unanticipated CDBG Program income in the 2010-2011
federal fiscal year in the amount of$84,263; and
WHEREAS,unexpended funds are also available from the CDBG Program from prior fiscal
years in the amount of$56,430; and
WHEREAS,City staffhas determined that the appropriation of all unanticipated CDBG grant
and program revenue as described herein will not result in total appropriations in excess of the
current estimate of actual and anticipated revenues for fiscal year 2010; and
WHEREAS, by adoption of Resolution 2010-033 City Council'approved the 2010
Community Development Block Grant Program; and
WHEREAS,by adoption of Resolution 2010-034 City Council authorized the City Manager
to transmit for approval the 2010 Fort Collins Consolidated Annual Action Plan to HUD as required
to receive the grant funds.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS as follows:
Section 1. That there is hereby appropriated for expenditure from unanticipated revenue
in the federal fiscal year 2009-2010 into the Community Development Block Grant Fund, the sum
of ONE MILLION ONE HUNDRED FOUR THOUSAND FOUR HUNDRED THIRTY-ONE
DOLLARS ($1,104,431), upon receipt thereof from federal fiscal year 2010-2011 Community
Development Block Grant Funds.
Section 2. That there is hereby appropriated for expenditure from unanticipated program
income revenue,upon receipt thereof into the Community Development Block Grant Fund,the sum
of EIGHTY-FOUR THOUSAND SIX HUNDRED TWENTY-THREE DOLLARS ($84,623), for
approved Community Development Block Grant projects.
Section 3. That the unexpended and unencumbered amount ofFIFTY-SIX THOUSAND
FOUR HUNDRED THIRTY DOLLARS($56,430)is hereby authorized for transfer from the 2009-
2010 Community Development Block Grant Program to the 2010-2011 Community Development
Block Grant Program and appropriated therein.
Introduced, considered favorably on first reading, and ordered published this 15th day of
June, A.D. 2010, and to be presented for final passage on the 6 a of July, A.D. 2010.
i
Mayor
ATTEST:
City Clerk
Passed and adopted on final reading on the 6th day of July, A.D. 2010.
Mayor
ATTEST:
City Clerk
ORDINANCE NO. 074, 2010
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING UNANTICIPATED REVENUE IN THE HOME
INVESTMENT PARTNERSHIPS FUND
WHEREAS, the HOME Investment Partnership Program (the "HOME Program") was
authorized by the National Affordable Housing Act of 1990 to provide funds in the form of
Participating Jurisdiction Grants for a variety of housing-related activities which would increase the
supply of decent, safe, and affordable housing; and
WHEREAS, on March 1, 1994, the City Council adopted Resolution 1994-92 authorizing
the Mayor to submit to the Department of Housing and Urban Development(`'HUD")a notification
of intent to participate in the HOME Program; and
WHEREAS, on May 26, 1994, HUD designated the City as a Participating Jurisdiction in
the HOME Program, allowing the City to receive an allocation of HOME Program funds as long as
Congress re-authorizes and continues to fund the program; and
WHEREAS, the City has been notified by HUD that the City's HOME Participating
Jurisdiction Grant for the federal fiscal year 2010-2011 is $682,541, constituting a new revenue
source; and
WHEREAS, Article V, Section 9, of the City Charter permits the City Council to make
supplemental appropriations by ordinance at any time during the fiscal year, provided that the total
amount of such supplemental appropriations,in combination with all previous appropriations for that
fiscal year,do not exceed the then current estimate of actual and anticipated revenues to be received
during the fiscal year; and
WHEREAS, City staff has determined that the appropriation of the HOME Program funds
as described herein will not cause the total amount appropriated in the HOME Fund to exceed the
current estimate of actual and anticipated revenues to be received in that fund during the 2010 fiscal
year; and
WHEREAS, Article V, Section 11, of the City Charter provides that federal grant
appropriations shall not lapse if unexpended at the end of the fiscal year until the expiration of the
federal grant.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that there is hereby appropriated for expenditure from unanticipated revenue in the
HOME Program Fund the sum of SIX HUNDRED EIGHTY TWO THOUSAND FIVE HUNDRED
FORTY ONE DOLLARS ($682,541), upon receipt from federal fiscal year 2010-2011 HOME
Participating Jurisdiction Grant Funds.
Introduced, considered favorably on first reading, and ordered published this 15th day of
June, A.D. 2010, and to be presented for final passage on the 6 a/y of Jul A.D. 2010.
r
Mayor
ATTEST:
-4u'A `
City Clerk
Passed and adopted on final reading on the 6th day of July, A.D. 2010.
Mayor
ATTEST:
City Clerk