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#4 Public Hearing and Action on Consolidated P NEIGHBORHOOD SERVICES MEMORANDUM October 9, 2009 TO: Community Development Authority FROM: Jennifer Petruzzello, Neighborhood Services Director SUBJECT: Agenda Item 4: Public Hearing and Recommendation to City Council on the 5 Year Consolidated Plan and 2010 Annual Action Plan for Receipt of Community Development Block Grant Program and HOME Investment Partnership (HOME) Program Funds. Background: The City of Janesville is an entitlement community under the Community Development Block Grant (CDBG) Program. This means that the City receives an annual allocation of funds based on community need and the federal budget. The City is also a partner and lead agency in the Rock County Consortium for the receipt of HOME Investment Partnership (HOME) Program funds. In order to receive funds from both of these programs, a Five-Year Consolidated Plan is prepared along with an Annual Action Plan. This year, both a Five-Year and Annual Action Plan were to be completed. A Steering Committee, focus groups, and open houses, were added to the required public hearings, in an effort to obtain significant and meaningful public input. A public hearing was held on September 16, 2009. At this time, a second and final public hearing is scheduled. Objectives & Priorities The primary objective for the use of Community Development Block Grant (CDBG) funds is to promote the revitalization of Janesville’s central city neighborhoods and downtown, resulting in vibrant and healthy residential areas with affordable housing. This goal is met through the promotion of the following objectives: efficient and effective program administration, elimination of slums and blight, facilitation of redevelopment projects, increasing home ownership for low and moderate income families, and promotion of maintenance and rehabilitation of existing housing through housing rehabilitation programs and the enforcement of housing and nuisance codes. The primary objective for the use of HOME funds is to provide decent housing. In order to accomplish this objective, the Janesville CDA will use HOME funds to provide funding for affordable housing development, rehabilitation of owner- occupied units, renter-occupied units and down payment and closing cost assistance loans to first-time homebuyers. 1 The CDA has developed three priorities to be addressed through the CDBG and HOME programs over the next five years: ? To create affordable, quality, housing stock for low to moderate income families. ? To improve the existing housing stock. ? To increase homeownership opportunities. Budget The City of Janesville is anticipating receiving $540,713 in 2010 Community Development Block Grant (CDBG) Program funds, $403,788 in Neighborhood Stabilization Funding, $116,028 in CDBG-Recovery and $73,000 in revolving loan fund repayments for a total of $1,133,000 in new CDBG funds. Prior year’s funds in the amount of $255,878 will also be spent for a total of $1,389,409 in CDBG funds. The City of Janesville expects to receive $220,000 in 2010 HOME Consortium funds and $72,000 in HOME program income for a total of $292,000 in new HOME funds. Prior year’s funds in the amount of $200,000 will be used for a total of $492,000 in home ownership and affordable housing activities. The proposed budget has been prepared to address the stated goals and objectives. The budget reflects the addition of the Neighborhood Stabilization Grant, the CDBG-Recovery Grant, the Energy Efficiency and Conservation Block Grant, and a second Lead Hazard Reduction Grant that were awarded in 2009. In addition, the proposed budget includes funding for the following public service activities: Boys and Girl’s Club (Lincoln After School Program) $ 3,000 Emergency Rent Asst (ECHO) $38,000 HealthNet $38,000 The Literacy Connection $ 2,000 Neighborhood Activities (Neighborhood Action Teams) $ 8,000 Neighborhood Livability (Camp Scholarships) $ 3,000 YWCA (Women’s Empowerment Program $ 3,000 Total $95,000 Recommendation: This is the time for public comment on the Consolidated Plan documents. Any written comments received by October 26, 2009 will be included in the final document submitted to the U.S. Department of Housing and Urban Development. 2 Following the public hearing, the Community Development Authority is asked to approve a motion to recommend that the City Council adopt Resolution 2009-647 approving the 2010-2014 Consolidated Plan and 2010 Annual Action Plan. Attachments: Proposed City Council Resolution 2009-647 Draft 2010-2014 Consolidated Plan and 2010 Annual Action Plan 3