Title
Consider and take action on approval of the Program Year 2016 Annual Action Plan related to the Community Development Block Grant Program (Director of Planning and Development)
Background:
Approval of the Annual Action Plan will authorize the City’s planned expenditure of $775,120 in federal Community Development Block Grant (CDBG) funds.
Program Timeline:
March 28, 2016 - Published notice of the public hearing for the Annual Action Plan in the newspaper and on the City’s website.
June 28, 2016 - Proposed Annual Action Plan posted on the City’s website, in the City Secretary’s Office, and the City Library. Public hearing for the Annual Action Plan held at the Parks and Recreation Office within the Neighborhood Revitalization Strategy Area (NRSA). Thirty-day public comment period begins.
July 29, 2016 - Public comment period ends.
August 9, 2016 - Council to consider request for action on the PY2016 Annual Action Plan.
August 15, 2016 - Deadline to submit finalized PY2016 Annual Action Plan to the Department of Housing and Urban Development (HUD).
Summary:
The 5-year Consolidated Plan, approved by City Council on August 14, 2012 and amended on August 27, 2013, indicates needs facing the community and areas in which the City proposes to focus CDBG funds over a five-year period. The Annual Action Plan indicates how funds received at the beginning of a program year and carry-over funds from prior years will be spent toward meeting the needs established in the Consolidated Plan.
Each year to receive its allotment of CDBG funds, the City must develop an Annual Action Plan that reports activities to be funded, with the process including a public hearing and a 30-day public comment period on the proposed recommendations. The City's public comment period began on June 28, 2016 including a public hearing held June 28, 2016 at League Park in the CDBG Target Area. The draft plan has been made available for review at the Helen Hall Library, City Hall, and online at www.leaguecity.com. <http://www.leaguecity.com/>The public comment period ended on Friday, July 29, 2016.
In October 2016, the City expects to receive $318,372 in funds from HUD in accordance with a formula that considers the number of low- and moderate- income residents in the community, the age of the housing stock and a number of other variables. By law, CDBG funds must only be spent on activities that benefit low- and moderate-income persons, address slum or blight conditions, or meet a particularly urgent community development need (such as a natural disaster). Additionally, the funds have certain limitations such as a maximum of 15 percent of the annual funds for allocation towards public services, which include education, counseling, or support to people in need, and a maximum of 20 percent of the annual funds toward administration costs. Infrastructure and public facilities activities must occur in an area that is recognized by HUD for its concentration of low- to moderate- income residents while housing activities, if proposed, must be provided directly to low- to moderate-income residents.
In PY 2013, the City amended its Consolidated Plan to include a Neighborhood Revitalization Strategy Area (NRSA) plan. The focus of the vast majority of area-based projects will be conducted in the Main Street/Park Avenue NRSA to achieve the Main Street initiatives of the city.
Staff proposes to combine the $318,372 expected to be available from PY2016 (The “program year” 2016 begins October 1, similar to the City’s fiscal year for 2017) with $456,748 in prior year funds that have been unspent for total funding availability of $775,120. Staff proposes the following with PY2016 funds and the remaining funds from previous years:
Public Services
• Communities In Schools - $14,000 for counseling and mentorship for at-risk League City students
• Interfaith Caring Ministries (Rent & Utility Assistance) - $23,555 for short-term rent and/or utility assistance for low/moderate income League City residents
• Interfaith Caring Ministries (Food Pantry) - $10,200 to fund a pantry that serves people in need throughout League City
Infrastructure & Facility Improvement
• Park Avenue/Main Street implementation - $663,691 for the design, engineering and construction of street, sidewalk, streestscaping, and stormwater improvements. This is a continuation of the implementation of the Main Street Improvement Plan, with the design and engineering having begun in PY 2014.
•
Improvements along Park Avenue originally proposed in the PY2013 Annual Action Plan, and begun in PY 2014, are a component of overall improvements that could be made in the Main Street area over the course of the next four years as part of the Neighborhood Revitalization Strategy Area (NRSA). Designation of an area as an NRSA allows for CDBG funds to be focused in an area of need to assist in revitalization. Further, NRSA projects enjoy additional flexibility in meeting federal requirements, including reduced documentation. Staff is proposing that CDBG funds be directed toward implementation of some components of the Main Street Implementation Plan, as well as other area improvements in the area, including:
• Sidewalk and streetscape improvements
• Pedestrian crossings at intersections
• Flood control improvements in and around League Park
• Increased on-street parking along Park Avenue
Administration - $63,674
Total - $775,120 (includes $456,748 in prior year funds)
In order to expedite all of the work planned for the NRSA, including the Main Street/Park Avenue improvements and improvements to League Park, the City will be submitting an application for a Section 108 loan. The funding from the Section 108 Loan will be $1,591,860.
Attachments:
1. Data Sheet
2. PY 2016 Annual Action Plan
CONTRACT ORIGINATION:
Planning and Development Department
FUNDING
{X } NOT APPLICABLE
{ } Funds are available from Account #___________________________
{ } Requires Budget Amendment to transfer from Account #____________to Account # ___________________