2013-1032 RESOLUTION NO. 2013 -1032
A RESOLUTION APPROVING A REVISED 2013 RENT ASSISTANCE AND STATE
AND FEDERAL GRANTS BUDGET
WHEREAS, the Janesville Community Development Authority (CDA) administers
the federally funded Section 8 Rent Assistance Program for the U.S. Department of
Housing and Urban Development (HUD); and
WHEREAS, due to the 2013 Federal sequestration order canceling approximately
$85 billion in budgetary resources across the Federal government, across - the -board
budget reductions went into affect for the Rent Assistance Program; and
WHEREAS, as a result of these reductions, the City of Janesville will receive
$2,479,163 in program funding (HAP), which is $214,837 Tower than originally budgeted;
and
WHEREAS, the City anticipates receiving an additional $8,980 in Set Aside funding
from HUD due to the higher costs we have incurred due to participants moving to higher
cost areas; and
WHEREAS, the CDA has reviewed the Section 8 Rent Assistance Program budget
and is recommending a budget amendment, which reduces the anticipated revenue by
$205,857 to $2,488,143 and reduces program expenditures (HAP) by $164,000 to
$2,622,000 utilizing an additional $41,857in net restricted fund balance to help minimize
the full impact of the federal funding reduction; and
WHEREAS, the City of Janesville is an entitlement community under the Community
Development Block Grant Program which is administered by the U. S. Department of
Housing and Urban Development; and
WHEREAS, in preparing the 2013 budget, the City of Janesville anticipated that
$409,455 in new Community Development Block Grant (CDBG) funds would be available
in 2013; and
WHEREAS, with the recent adoption of the 2013 Federal Budget, the City of
Janesville will receive $471,443 in new grant dollars through the CDBG program, which is
an increase of $61,988 over the adopted budget; and
WHEREAS, the CDA has reviewed the State and Federal Grants Program budget
and is recommending a budget amendment, which revises the anticipated CDBG formula
revenue to $471,443 and increases program expenditures for owner occupied rehabilitation
projects by $53,988 to $153,988; for ECHO by $3,000 to $43,000; for HealthNet of Rock
County, Inc. by $3,000 to $33,000; and for The Literacy Connection by $2,000 to $9,000;
and
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Resolution No. 2013 -1032
Page 2
WHEREAS, the Community Development Authority has recommended to the
Common Council that it approve the revised budget, which is consistent with the 2013
Annual Action Plan; and
WHEREAS, the budget will be revised as follows:
Section 8 Rent Assistance Program
1. Reduce Rent Assistance Voucher Program Revenue by $205,837 from $2,694,000
to $2,488,143.
2. Reduce Housing Assistance Payments Expenditures by $164,000 from $2,786,000
to $2,622,000.
State and Federal Grants Program - Community Development Block Grant
1. Increase CDBG Housing Rehabilitation Revenue by $53,988 from $50,890 to
$104,878.
2. Increase CDBG Public Service Revenue by $8,000 from $77,000 to $85,000.
3. Increase CDBG Owner Rehabilitation Expenditures by $53,988 from $100,000 to
$153,988.
4. Increase CDBG Public Service Activities Expenditures by $8,000 from $77,000 to
$85,000 to be allocated to the following agencies: ECHO, Inc. ($44,000); HealthNet
of Rock County, Inc. ($33,000); and The Literacy Connection ($8,000).
WHEREAS, the Common Council finds that it is in the community's best interest to
revise the 2013 Rent Assistance and State and Federal Grants budget to reflect the
changes in federal funding allocations;
NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of
Janesville, that it authorizes and directs the City Manager to administer the 2013 Rent
Assistance and State and Federal Grants Budget as recommended;
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 FY2013 budget as
reflected in this resolution.
Resolution No. 2013 -1032
Page 3
ADOPTED: July 8, 2013 Motion by: Voskuil
Second by: Marklein
APPROVED: Councilmember Aye Nay Pass Absent
Farrell X
�• — Fitzgerald X
Jac• • J. Winze z, Actin - • -ger Kealy X
Liebert X
ATTEST: Marklein X
/ / Severson X
41Li�ii .1.1411 4r.41/ 4 J'4 Voskuil X
J- - n Ann Wulf, City Clerk -Tress er
APPROVED AS TO FORM: 1
City Attorney
Proposed by Community Development Authority
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Prepared by: Neighborhood Services Director
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