01-0068R

RESOLUTION APPROVING THE 2001-2005 CONSOLIDATED PLAN AND 2001 ACTION PLAN PORTION OF THE CONSOLIDATED PLAN AND AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS.

BY COUNCILOR GILBERT:

        WHEREAS, Regulation 24 CFR Part 91 issued by the U. S. Department of housing and urban development (HUD) requires the city to submit and receive HUD approval of a five-year consolidated plan and an annual action plan as part of a HUD-approved five-year consolidated plan for the city of Duluth; and

        WHEREAS, Title I of the Housing and Community Development Act of 1974, as amended, establishes a community development block grant (CDBG) program for the purpose of developing viable urban communities by providing decent housing and suitable living environment and expanding economic opportunities and preventing and/or eliminating conditions of slum and blight, principally for persons of low and moderate income; and

        WHEREAS, the city of Duluth desires to continue to carry out HUD-funded programs;

        NOW, THEREFORE, BE IT RESOLVED, that the FY 2001-2005 consolidated plan and action plan portion of the city of Duluth consolidated plan for housing and community development FY 2001-2005 required by HUD federal legislation is hereby adopted and approved.

        BE IT FURTHER RESOLVED, that the city of Duluth hereby makes a finding that expenditures as set forth in Resolution 01-0069 are necessary and appropriate and, further, that said expenditures for the CDBG program will serve to assist low- and moderate-income individuals/families (no less than 70 percent as described in federal regulations) and/or serve to prevent or eliminate conditions of slum or blight in the community.

        BE IT FURTHER RESOLVED, that the city of Duluth and its officials are authorized and directed to assume full responsibility for assuring that its community development program is carried out in full compliance with the provisions of the acts implementing the programs and all regulations of HUD issued pursuant thereto and authorizing appropriate city officials to execute any documents with HUD to implement the program. This authorization shall also apply to existing programs with the city and HUD under the HUD CDBG, HOME and emergency shelter grant programs.


STATEMENT OF PURPOSE:  This resolution reflects comments from organizations and citizens as related to funding for three HUD-funded programs; the community development block grant (CDBG) program, the HOME program, and the emergency shelter grant program (ESGP). In addition to citizens and subcommittees, five neighborhood coalitions (NCs), the neighborhood advisory council (NAC) and the community development committee (CD committee) each played a role in the recommendations contained in the resolution. There was also a 30 day public comment period from December 15, 2000, to January 15, 2001, on the draft consolidated plan and draft 2001 CDBG, HOME and ESG programs. The CD committee held a public hearing on January 17 to hear comments on the consolidated plan and funding recommendations and then modified its initial amounts to reflect those comments. The final recommendations were approved on January 17, 2001. The resolution, in addition to authorizing application for grant funds and administration of same when received, also takes the following actions:
        (a)    Approves FY 2001-2005 consolidated plan;
        (b)    Approves a FY 2001 action plan portion of the FY 2001-2005 consolidated plan under HUD regulations;
        (c)    Allocates funds to the projects as listed for the 2001 CDBG program;
        (d)    Authorizes execution of documents with HUD.

Sources of funds: $3,668,000 in new 2001 HUD CDBG funds and $136,380 reprogrammed CDBG funds (1996, 1997, 1998, 1999 and 2000 CDBG program).
 

$3,668,000 Estimated 2001 CDBG funds
    136,380 Reprogrammed CDBG funds
$3,804,380 2001 CDBG program total