#06 Action to enter agreement for Lead Hazard Reduction Demonstration Grant Program (File Res. #2010-708)
NEIGHBORHOOD SERVICES MEMORANDUM
May 15, 2010
TO: City Council
FROM: Jennifer Petruzzello, Neighborhood Services Director
SUBJECT: Action on a Proposed Resolution Authorizing an Agreement with the State
of Wisconsin Division of Public Health for the Lead Hazard Reduction
Demonstration Grant Program (File Resolution #2010-708)
Summary
The State of Wisconsin Division of Public Health applied for and received a Lead
Hazard Reduction Grant offered through the U.S. Department of Housing and Urban
Development to provide funding for lead hazard reduction activities throughout Rock
and Dane Counties. At this time, the State is extending an invitation for the City of
Janesville to participate in their program.
The proposed agreement would include the City assisting 9 dwelling units between
agreement approval and December 14, 2012 at an amount not to exceed $101,250.
The number of units assisted, could be increased by mutual agreement.
Housing staff is experienced in working to reduce lead hazards, and this new program
would be administered in a very similar manner as our current lead hazard reduction
grant. The program requires a 30% local match, which would be provided by including
the lead work within CDBG funded housing improvement projects.
Department Recommendation
The Neighborhood Services Department recommends that the City Council approve File
Resolution #2010-708 authorizing the City to enter into an Agreement with the State of
Wisconsin Division of Public Health for the Lead Hazard Demonstration Grant Program.
City Manager Recommendation
The City Manager recommends approval.
Suggested Motion
I move to approve File Resolution #2010-708 authoring an Agreement with the State of
Wisconsin Division of Public Health for the Lead Hazard Reduction Demonstration
Grant Program.
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Background
In December 2009, the State of Wisconsin Division of Public Health applied for a Lead
Hazard Reduction Grant offered through the U.S. Department of Housing and Urban
Development. The State applied for this grant to provide funding for lead hazard
reduction activities throughout Rock and Dane Counties. While the City of Janesville
was not a part of the original application process, the State has extended an invitation
for us to participate in this grant program.
The State has received funding to assist approximately 300 dwelling units throughout
Dane and Rock Counties. An average of $10,250 is budgeted for each dwelling unit. At
this time, the City’s participation would be set at 9 dwelling units between the date the
contract is signed and December 14, 2012. This number may be increased by a mutual
agreement. The contract amount would be not to exceed $101,250. The program
requires a 30% local match, which would be covered through Community Development
Block Grant Funds.
Funding would be available to reduce or eliminate lead hazards in income eligible rental
housing and owner occupied housing. Priority will be given to assist dwellings occupied
by children under six years of age with documented lead poisoning to protect them from
further lead exposure. Secondary priorities for assistance will include dwellings built
before 1950 and vacant buildings. A copy of the proposed work plan is attached for
those who are interested in the specific details of the program.
Analysis:
Participation in the Lead Hazard Reduction Grant would bring additional financial
resources to the City of Janesville to address lead hazards in our housing stock. For the
last 3 ½ years, the City has offered a lead hazard reduction program with funding
through the Rock County Consortium. The City has received additional funding under
the Rock County Lead Hazard Reduction Grant, which will allow us to complete 9 units
per year for 2010, 2011, and 2012. Funding under the Lead Hazard Demonstration
Grant would allow us to assist another 9 units during this time period, bringing the total
number of units assisted to 12 per year.
Housing staff is experienced in working to reduce lead hazards, and this new program
would be administered in a very similar manner as our current grant. There are a few
regulatory differences, including a higher local match, no Davis Bacon prevailing wage
rate requirements, and no requirement that all minimum housing quality standards have
been met.
Funding for the local match would come from the CDBG revolving loan fund, which
would be provided to the property owner in the form of a low interest loan using the
same standards as our traditional Home Improvement Program loans. Davis Bacon
prevailing wage rate requirements can limit the number of contractors interested in
bidding for a project, and as a result sometimes drive up the cost of a construction
project. Since this program does not require Davis Bacon wage rate compliance, we
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would expect property owners to obtain favorable bids on their projects. It has always
been the City’s desire to address all minimum housing quality (HQS) standards when
we work with a landlord or a homeowner on a rehabilitation project, however, that is not
a requirement for this program. We have had a few occasions over the past year, where
we have not been able to assist a homeowner because the cost of addressing both lead
hazards and HQS standards has been outside of our loan limits and/or outside of their
ability to qualify for a loan.
Addressing lead hazards is consistent with the CDBG and HOME Consolidated Plan
and the 2010 Action Plan.
The Community Development Authority will be reviewing this agreement at their May
19, 2010 meeting. Their recommendation will be presented to the City Council at your
May 24, 2010 meeting.
Attachments: Lead Hazard Reduction Demonstration Program – Work Plan
Resolution #2010-708
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RESOLUTION NO. 2010-708
RESOLUTION AUTHORIZING AN AGREEMENT WITH THE STATE OF WISCONSIN
DIVISION OF PUBLIC HEALTH FOR A LEAD HAZARD REDUCTION DEMONSTRATION
GRANT PROGRAM
WHEREAS
, in 2009, the State of Wisconsin applied for and received grant funding under the
U.S. Department of Housing and Urban Development Lead Hazard Reduction Demonstration
Grant Program to identify, evaluate and reduce lead-based paint hazards in housing occupied
by low to moderate income families throughout Rock and Dane Counties; and
WHEREAS,
through participation in this grant program, the City of Janesville will be able to
assist in identifying and controlling lead-based paint hazards in eligible privately owned rental
and owner-occupied housing units; and
WHEREAS,
housing build before 1978 is likely to have some level of lead paint hazards and the
City of Janesville has over 15,000 housing units built prior to 1978; and
WHEREAS
, lead hazard control work is required for all of the housing rehabilitation programs
offered by the City of Janesville and the receipt of Lead Hazard Reduction Demonstration grant
funds would supplement existing funding for housing rehabilitation activities; and
WHEREAS,
the State of Wisconsin is proposing an initial contract with the City of Janesville for
the reduction of lead hazards in 9 dwelling units at an amount not to exceed $101,250; and
WHEREAS,
a minimum of 30% match of local funds is required for the grant and the
Community Development Block Grant rehabilitation program funds are available and may be
used to meet the match requirement; and
WHEREAS
, programs to reduce lead hazards are consistent with the City of Janesville 2010-
2014 Consolidated Plan and 2010 Action Plan, and specifically goals to improve the existing
housing stock and promote decent affordable housing; and
WHEREAS,
the Common Council of the City of Janesville find that it is in the best interest of the
City and of benefit to the community to participate in the Lead Hazard Reduction Demonstration
Grant Program.
NOW, THEREFORE, BE IT RESOLVED
by the Common Council of the City of Janesville that
they hereby authorize and direct the City Manager to enter into a contract on behalf of the City
of Janesville with the State of Wisconsin Division of Public Health to participate in the Lead
Hazard Reduction Demonstration Program; and
BE IT FURTHER RESOLVED
, that the Community Development Block Grant Program
Revolving Loan funds are hereby committed to meet the minimum match requirement of Thirty
Percent (30%) of the City of Janesville’s share of the Lead Hazard Reduction Demonstration
Grant funding; and
BE IT FURTHER RESOLVED
, that the City Manager and/or his designee(s), on behalf of the
City of Janesville, is/are hereby authorized and empowered to negotiate, draft, amend, modify,
review, execute, and enter into additional agreements; record, file, and/or make modifications
and/or amendments to any and all documents, papers, forms, and agreements; and to take
whatever take other actions as the City Manager may determine, from time to time and at any
time, necessary and/or desirable to effectuate the intent of this Resolution and/or the public
good.
ADOPTED:
Motion by:
Second by:
APPROVED:
Councilmember Aye Nay Pass Absent
Brunner
McDonald
Eric J. Levitt, City Manager
Perrotto
Rashkin
ATTEST:
Steeber
Truman
Voskuil
Jean Ann Wulf, City Clerk-Treasurer
APPROVED AS TO FORM:
Wald Klimczyk, City Attorney
Proposed by: Neighborhood Services Department
Prepared by: Neighborhood Services Director