2006-347
RESOLUTION NO. 2006-347
RESOLUTION APPROVING THE FY2007 ACTION PLAN FOR THE COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM
AND ROCK COUNTY HOME CONSORTIUM SUBMISSION
WHEREAS, the City of Janesville is an entitlement community under the
Community Development Block Grant Program and is the lead agency for the Rock
County Consortium under the HOME Investment Partnership (HOME) Program, both of
which are administered by the U. S. Department of Housing and Urban Development;
and
WHEREAS, approximately $545,000 in entitlement Community Development
Block Grant (CDBG) Program funds is expected to be allocated in 2007 to the City of
Janesville for community development activities; approximately $234,000 is expected to
be received in revolving loan fund repayments for a total of $779,000 in new CDBG
funds and includes the use of $203,518 in prior years funds for a total CDBG budget of
$982,518; and
WHEREAS, $207,125 is expected to be allocated as the City of Janesville's
share of the FY2007 HOME Consortium funds and $120,400 is expected to be received
in HOME program income for a total of $327,525 in new HOME funds, and prior years'
funds of $192,875 is also anticipated to be used during FY2007 for a total proposed
HOME budget of $520,400; and
WHEREAS, the Community Development Authority (CDA) has held the required
public hearings and evaluated the citizen comments concerning potential activities for
the City of Janesville's FY2007 Community Development Block Grant and HOME
Program submissions and thereafter considered the various alternative allocations for
activities; and
WHEREAS, the Community Development Authority has recommended to the
Common Council that it approve the following Final Statement of Objectives and
Budget to be included in the City of Janesville Consolidated Plan, 2007 Action Plan:
HOME Investment Partnership Program (HOME)
HOME funds are to be used to provide affordable housing including assistance for new
construction of housing to be occupied by income eligible households, down payment
and closing cost assistance, and owner- and renter-occupied rehabilitation loans.
Down payment assistance loans will include a provision for recapture of the funds
during the period of affordability. Rental rehabilitation loans will include a requirement
to rent to income-eligible households at affordable rents during the period of
affordability. The home ownership and rehabilitation programs will use program income
first before drawing on new HOME funds.
Resolution No. 2006-347
Page 2
PROPOSED ALLOCATION of FY2007 HOME FUNDS
($207,125 available in new funds)
FY2006
Affordable Housing Development $ 40,000
Home Ownership/Rental Rehabilitation 148,510
Administration 18.615
Total $207,125
Prior Year
o
175,372
17.503
$192,875
Prog. Inc.
o
115,000
5.400
$120,400
Total
$ 40,000
438,882
41.518
$520,400
PROPOSED STATEMENT OF OBJECTIVES FY2007 CDBG PROGRAM
1. HousinQ Rehabilitation - To rehabilitate owner-occupied and investor-owned
housing occupied by low and moderate income households primarily in the
Central City Area through the use of deferred payment and low interest
installment loans and partially forgivable loans. Funds may also be used to
support Homeownership Program activities; to provide loans and/or grants for
acquisition of property by non-profit agencies for rehabilitation and sale to low
/moderate income occupants; for acquisition, demolition, and provision of a
vacant lot for new housing construction by non-profit agencies for sale to
low/moderate income families; or for acquisition and/or rehabilitation of property
by a non profit for transitional housing or other housing programs. Using these
funds, the City may also acquire, rehabilitate and resell housing to low and
moderate income families. Funds are also provided for encouraging the
reduction in density of multi-family units in the central city area in connection with
the rehabilitation work, for the provision of information and training on the
hazards of lead-based paint and other housing rehabilitation-related hazards and
abatement of such hazards. Also uses prior years' funds and program income.
2. Residential BliQht Elimination - To fund the acquisition and demolition of blighted
properties in residential areas primarily in the Central City Area. Also funds the
acquisition of residential property not feasible for rehabilitation and making the
site available for an appropriate re-use such as parking, tot lot, or new housing
construction. Also uses prior years' funds and program income.
3. NeiQhborhood Activities - To fund a variety of programs aimed at reconnecting
families in low-moderate income residential areas with their neighborhoods and
the community as a whole. Funds may be used to support youth recreation
programs, teaching English as a Second Language (ESL) to low-moderate
income youths and adults, summer camp scholarships. neighborhood clean-up
and maintenance programs, and a coordinator of neighborhood programs. Also
uses prior years funds.
4. Downtown Activities - To provide funds for a variety of blight elimination activities
Resolution No. 2006-347
Page 3
in the Central Business District including repair of public facilities such as the
river walkway, rehabilitation including design work of downtown buildings,
downtown planning and management, construction or reconstruction of parks
and parking facilities, and acquisition, relocation, and demolition of blighted
properties in Census Tract 1. Property acquired and cleared of blight to be used
for activities such as parks and open space, parking, redevelopment, or as
authorized by the City Council. Also uses prior years' funds and program
income.
5. Optional Activities - To provide funds for activities which indirectly support the
housing and downtown mission of the department. Activities proposed for
funding in 2007 include the following: Healthnet and ECHO emergency rent
assistance.
6. Local Homeownership ProQram - To provide funds for the City Homeownership
Program including Down Payment and Closing Cost forgivable loans, Duplex As
a Starter Home Program loans, fix-up loans, "recently purchased" Home
Improvement Program loans, and other homeownership programs. Also uses
prior years' funds and program income.
7. Administration and Planning - To provide overhead and administrative support
necessary to carry out the Community Development Block Grant Program
including compliance with program regulations and planning for downtown and
central city revitalization, and to provide funds to support Historic Commission
activities such as memberships, subscriptions, and resource materials. Also
uses prior years' funds.
PROPOSED BUDGET - FY2007 CDBG PROGRAM
Funding Sou rces
2007 Prog. Inc./ Prior
Grant Rev. Loan Years Total
Administration
General Administration $115,050 $0 $0 $115,050
Rehab. Services Delivery 183.028 0 10.000 193.028
Administration Subtotal 298,078 0 10,000 308,078
Program Services
Neighborhood Activities
Neighborhood Block Grant 38,000 0 0 38,000
Residential Blight Elimination 0 0 10,000 10,000
Neighborhood Livability 12.500 º º 12.500
Neighborhood Subtotal 50,500 0 10,000 60.500
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Downtown Activities
Downtown Projects 30,000 0 0 30,000
Downtown Coordinator 40,000 0 0 40,000
Revitalization Projects 58.422 º 0 58.422
Downtown Subtotal 128,422 0 0 128,422
Housing Activities
Emergency Rent Assist. (ECHO)17,250 0 0 17,250
Buy/Rehab/Sell Project 0 0 150,000 150,000
Housing Rehabilitation 0 198,550 0 198,550
Rental Rehabilitation 0 25,000 0 25,000
Home Ownership 0 10.450 33.518 43.968
Housing Subtotal 17,250 234,000 183,518 434,768
Historic Preservation 750 0 0 750
Optional Activities
Healthnet 50.000 º º 50.000
Optional Subtotal 50,000 0 0 50,000
Unallocated -º º -º º
Grand Total $545.000 $234.000 $203,518 $982.518
WHEREAS, the CDA further recommends to the Common Council that it
authorize and direct the City Manager to execute the FY2007 Action Plan for the CDBG
and HOME programs, including the various certifications for these funds; and
WHEREAS, the Common Council finds that it is in the community's best interest
to fulfill the requirements to secure the FY2007 CDBG and HOME funds for the eligible
activities in the City of Janesville;
NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of
Janesville, that it authorized and directs the City Manager to submit the Consolidated
Plan Action Plan including the above statement of objectives and budget as
recommended, including assurances contained therein and to provide any other
information requested by HUD;
BE IT FURTHER RESOLVED, that the City Manager, and his designees, are hereby
authorized to negotiate, draft, prepare, execute, file and modify such other documents,
papers and agreements ancillary and/or pertaining thereto and, from time to time, to
take and/or make whatever other minor actions and/or minor modifications to the above
described agreements as the City Manager and/or his designee may deem necessary
and/or desirable to effectuate the purposes of such agreements and the intent of this
resolution. The City Manager is also hereby authorized to revise the FY2007 budget
Resolution No. 2006-347
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document to reflect the receipt of the FY2007 Community Development Block Grant
Program and HOME program funds and the expenditure as reflected in this resolution.
ADOPTED:
November 13, 2006
Motion by: Brunner
Second by: Williams
Councilmember Aye Nay Pass Absent
Brien X
Wellnitz, Tom X
Williams X
Brunner X
Wellnitz, Tim X
DeGarmo X
Addie X
A~D
- - if4&;
Steven E. Sheiffer, City an ger
APPROVED AS TO FORM.;,
14/ø;ft¿¡/
City Attorney
Proposed by: Community Development Authority
Prepared by: Community Development Planner