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2002-288RESOLUTION NO. 2002-288 RESOLUTION APPROVING THE FY2003 CONSOLIDATED PLAN 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 $684,000 in entitlement Community Development Block Grant (CDBG) Program funds is expected to be allocated in 2003 to the City of Janesville for community development activities; approximately $273,050 is expected to be received in revolving loan fund repayments for a total of $957,050 in new CDBG funds; and $315,860 is expected to be allocated as the City of Janesville's share of the FY2003 HOME Consortium funds and $116,376 is expected to be received in HOME program income for a total of $1,389,286 in additional funds, and prior years' funds of $251,726 also anticipated to be used during FY2003; 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 FY2003 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, 2003 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 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 provision for renting to income-eligible households at affordable rents during the period of affordability. Resolution No. 2002-288 Page 2 PROPOSED ALLOCATION of FY2003 HOME FUNDS ($315,860 Available) Provision of Lots for Affordable Housing Construction Home Owner Rehabilitation Home Ownership Program Rental Rehabilitation Administration Total FY2003 Prior Year Prog. Inc. $150,000 0 0 73,500 0 40,000 60,860 54,140 4,600 0 71,224 71,776 31,500 0 0 $315,860 $125,364 $116,376 Total $150,000 113,500 119,600 143,000 31,500 $557,600 PROPOSED STATEMENT OF OBJECTIVES FY2003 CDBG PROGRAM Housing 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. Residential Blight 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. Resolution No. 2002-288 Page 3 o o ° o Neighborhood 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 Iow-moderate income youths and adults, and a neighborhood police liaison. Downtown Activities - To provide funds for a variety of blight elimination activities 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. Provides funds for the Senior Citizens Center. Also uses prior years' funds and program income. Optional Activities - To provide funds for activities which indirectly support the housing and downtown mission of the department. Activities proposed for funding in 2003 include the following: transportation assistance for low income youth, information and referral service, emergency rent assistance, play ground for income eligible day care facility, health services for income eligible persons, and self-esteem and leadership program for teen-age girls. Local Homeownership Program - 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. 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 including preparation of a preservation plan and guidelines for commercial rehabilitation projects, and to provide funds to support Historic Commission activities such as memberships, subscriptions, and resource materials. Resolution No. 2002-288 Page 4 PROPOSED BUDGET - FY2003 CDBG PROGRAM Administration General Administration Rehab. Services Delivery Administration Subtotal Funding Sources 2003 Prog. Inc./ Prior Grant Rev. Loan Years Total 170,121 0 738 175,459 182,154 p 2,215 184,369 352,275 0 2,953 359,828 Program Services Neighborhood Activities Nbhd Police Liaison Neighborhood Livability Neighborhood Subtotal 38,584 0 0 38,584 20,000 0 0 20,000 58,584 0 0 58,584 Downtown Activities Blight Elimination Senior Citizens Center Downtown Subtotal 132,500 0 0 132,500 60,541 0 5,959 66,500 193,041 0 5,959 199,000 Housing Activities Housing Rehabilitation Rental Rehabilitation Home Ownership Housing Subtotal 3,550 175,000 0 178,550 800 0 50,000 50,800 1,000 98,050 67,450 166,500 5,350 273,050 117,450 395,850 Historic Preservation 750 0 0 750 Optional Activities Partners in Prevention Healthnet Girl Scouts First Call ECHO Community Day Care Optional Subtotal 720 0 0 720 13,125 0 0 13,125 6,625 0 0 6,625 5,000 0 0 5,000 40,625 0 0 40,625 7,905 0 0 7,905 74,000 0 0 74,000 Unallocated 0 0 0 0 Grand Total $684,000 $273,050 $126,362 $1,088,012 Resolution No. 2002-288 Page 5 WHEREAS, the CDA further recommends to the Common Council that it authorize and direct the City Manager to execute the FY2003 Consolidated Plan 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 FY2003 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 FY2003 budget document to reflect the receipt of the FY2003 Community Development Block Grant Program and HOME program funds and the expenditure as reflected in this resolution. ADOPTED: November 25, 2002 APPROVED: Steven E. Sheiffer, City Manager ATTEST: Jeltt('Ann ~ulf, ~[t37Clerk-Treasure-r/ APPROVED AS TO FORM: C itl A-tt6{.ne~,d- (,, ' MOTION BY: Williams SECOND BY: Steeber COUNCILMEMBER AYE NAY PASS ABSENT STEEBER MURPHY X DAMRON X WILLIAMS X DEGARMO X BRIEN X O'LEARY X [ Proposed by: Community Development Authority Prepared by: Community Development Planner