TO: Mayor Thomas J. Weisner
FROM: Karen Zilly, Development Coordinator
DATE: 8/2/13
SUBJECT: title
Resolution Authorizing an Annual Action Plan Substantial Amendment (2013 - #1) to Reflect Funding Allocations for the Community Development Block Grant and HOME Investment Partnerships Programs
body
PURPOSE:
Staff requests authorization of an Annual Action Plan Substantial Amendment (2013 - #1) to provide grant funding for the projects listed below. The Block Grant Working Committee (BGWC) met on July 24, 2013 and made the following recommendations for funding allocation:
CDBG PROJECT |
Funding Source |
Comments |
Amount |
City of Aurora Neighborhood Redevelopment Division - CDBG Administration |
2013 - Unallocated Funds |
Unallocated Entitlement |
$59,226 |
Illinois Small Business Development Center - NRSA Small Business Support Project |
2013 - Unallocated Funds |
Unallocated Entitlement |
$44,000 |
Rebuilding Together Aurora - Insulation Program |
2013 - Unallocated Funds |
Unallocated Entitlement |
$75,000 |
City of Aurora Neighborhood Redevelopment Division - NRSA Housing Façade Program |
2013 - Unallocated Funds |
Unallocated Entitlement |
$50,000 |
City of Aurora Neighborhood Redevelopment Division - NRSA Downpayment Assistance Program |
2013 - Unallocated Funds |
Unallocated Entitlement |
$50,000 |
City of Aurora - Ash Tree Replacement Program |
2013 - Unallocated Funds |
Unallocated Entitlement |
$17,900 |
Total CDBG: |
$296,126 |
HOME PROJECT |
Funding Source |
Comments |
Prior funded amount (2013 AAP) |
Proposed Funding Amount |
City of Aurora Neighborhood Redevelopment Division - HOME Administration (10%) |
2013 - Unallocated Funds |
Entitlement |
$40,951.60 |
$49,909.50 |
CHDO Direct Project Activities (15%) |
2013 - Entitlement Funds |
Entitlement |
$368,564.40 |
$74,864.25 |
Direct Project Activities (75%) |
2013 - Unallocated Funds + CHDO Direct activity prior allocation |
Unallocated/ Entitlement |
$0 |
$374,321.25 |
Total HOME: |
$409,516 |
$499,095 |
The BGWC chose the above items for funding as they represent new initiatives to offer business support, beautification, and housing assistance in the City's Neighborhood Revitalization Strategy Area. The BGWC will hold a Public Hearing on the recommendations on Monday August 12, 2013, 5:00 PM in the City Hall Council Chambers.
BACKGROUND:
For the 2013 Program Year, HUD has allocated CDBG and HOME funds in an amount that exceeds the amount estimated by the City when the Annual Action Plan was approved/submitted in November 2012. The City was awarded an additional $296,126 in CDBG Program entitlement and $89,579 in HOME Program entitlement dollars. The additional $89,579 HOME dollars brings the total HOME allocation to $499,095. We are requesting the maximum of 10% for administrative support. 15% is the minimum for Community Housing Development Organization support and the actual project is yet to be determined. The remaining 75% will be earmarked for a future affordable housing project. By federal law, the City must allocate CDBG and HOME funds to eligible projects in order to insure the funds are spent in a timely and efficient manner. Although specific projects are not known at this time, we are designating the funds by category.
DISCUSSION:
Each year during the budget process funding to be received from HUD through the entitlement programs is estimated since the amounts are generally not known or available until late spring or summer. Account numbers have been set up for 2013 CDBG and HOME program receipts and expenditures and upon approval of any additional funds allocated from HUD; the accounts are amended to reflect any increased amounts. Funds are then programmed into eligible projects/programs.
IMPACT STATEMENT:
No additional staff or equipment resources will be required for this request.
RECOMMENDATIONS:
Staff recommends approval of a Resolution authorizing an Annual Action Plan Substantial Amendment (2013 - #1) to reflect funding allocations for the Community Development Block Grant and HOME Investment Partnerships programs.
cc: Alderman Saville, Chairman
Alderman Irvin
Alderman Donnell
Alderman Hart-Burns, Alternate