01-0069R

RESOLUTION AUTHORIZING A REQUEST FOR HUD FEDERAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FOR THE 2001 PROGRAM YEAR AS WELL AS APPROVING THE REALLOCATION OF CERTAIN PRIOR CDBG FUNDS AND AUTHORIZING AGREEMENTS WITH APPROPRIATE AGENCIES.

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 an annual action plan as part of a HUD-approved five-year consolidated plan for the city of Duluth; and

        WHEREAS, City Council Resolution No. 01-0068, adopted January 29, 2001, approved the FY 2001-2005 consolidated plan and the FY 2001 action plan portion of the Duluth consolidated plan for housing and community development FY 2001-2005; and

        WHEREAS, the secretary of HUD is authorized to make grants to cities and/or counties to finance local community development programs, approved in accordance with the provisions of Title I of said act, as well as grants under the Cranston-Gonzales National Affordable Housing Act of 1990, as amended, (the HOME program) and the Stewart B. McvKinney Homeless Assistance Act of 1987, as amended, (the emergency shelter grant - ESG - program); and

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

        NOW, THEREFORE, BE IT RESOLVED, that the proper city officials are hereby authorized to make and submit appropriate documentation to HUD for those projects and corresponding funding levels as set forth below:
 

2001 CITY OF DULUTH COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM-FUND 262
ACCOUNT AMOUNT PROJECTS
HOUSING PROJECTS
6401 $  700,000 Duluth property rehabilitation program - HRA
6402 $  200,000 Property rehabilitation programs - NHS
6403 $  170,000 West Duluth Revitalization II - SVCNDA
6404 $  120,000 Duluth weatherization - AEOA
6405 $    24,000 Property acquisitions in Duluth - Habitat for Humanity
PUBLIC FACILITY IMPROVEMENT PROJECTS
6406 $    12,000 Memorial parking lot improvements
6407 $    35,400 Sacred Heart Music Center renovation
6408 $    84,000 Hillside streetscape Phase IV
6438 $  110,000 Lower Chester recreation improvements
6409 $    65,000 Damiano Center renovations
6410 $    80,000 Grant Recreation Center expansion
6411 $    43,300 13th Street improvement
6412 $    19,000 88th Avenue West street lighting
6413 $  160,000 Citywide street improvement
6414 $    67,000 Harrison Community Center improvements
6415 $  100,000 Young Mothers supportive housing
6440
-0-
Morgan Park sidewalk safety
ECONOMIC DEVELOPMENT PROJECTS
6416 $    40,000 Opportunities Cooking - Damiano Center
6417 $  265,930 North Star Community Development Corporation
6419 $    30,000 Ethnic Minority Enterprise Initiative (SEAMAA)
6420 $  416,200 Career development & self emp. trng. - Project SOAR
PUBLIC SERVICE PROJECTS
6421 $    61,000 Primary heath care for low-income people (LSCHC)
6422 $    10,900 Veteran's Outreach North-MACVP-VON
6423 $    30,900 YMCA community services
6424 $    35,900 Harbor View Youth Leadership Initiative-Copeland Cmty.
6425 $    76,000 Hunger project - CHUM
6426 $    50,900 Housing Access Center
6427 $    50,900 YWCA youth programs
6428 $    55,900 Lincoln Park youth enrichment prog.-Boys & Girls Club
6429 $    30,900 Transitional housing-WTHC
6430 $    10,900 Oshki Odaadiziwini Waaka-igan-AICHO
6431 $    30,900 Family transitional housing - Salvation Army
6432 $    39,900 Women's Coalition Advocacy
6433 $    27,000 Youth Center - Life House
6439 $      7,300 Little Treasures family time program
6434 $    30,900 Washington Activity Center - NYS
ADMINISTRATION/PLANNING/CONTINGENCY
6435 $  322,350 Program administration
6436 $  175,000 Neighborhood Planning
6437 $    15,000 Contingency
Total $3,804,380

        BE IT FURTHER RESOLVED, that the following are hereby designated as the financial resources for the above program:
 

SOURCE OF FUNDING
Year 24 (2001) CDBG grant - city - estimated $3,668,000
Year 19 (1996) CDBG grant - city 1,908
Year 20 (1997) CDBG grant - city 684
Year 21 (1998) CDBG grant - city 29,406
Year 22 (1999) CDBG grant - city 98,382
Year 23 (2000) CDBG grant - city  6,000
Total $3,804,380

        BE IT FURTHER RESOLVED, that the proper city officials are authorized to make the following transfers in prior year community development accounts:
 

Account Project Orig. Mod. Revised
Year 19 (1996) CDBG Program - 262 Fund
6913 Hillside Sport Court $ 23,000 - 1,908 $ 21,092
Year 20(1997) CDBG Program - 262 Fund
6011 Hillside Sport Court $ 79,938 - 219 $ 79,719
6036 Contingency $ 465 - 465 -0-
Year 21 (1998) CDBG Program - 262 Fund
6112 Observation Park $ 54,518 - 3,214 $ 51,304
6142 Contingency  $ 26,192 -26,192 -0-
Year 22 (1999) CDBG Program - 262 Fund
6202 SVCNDA $220,000 -17,750 $202,250
6211 Lincoln Park Goat Hill streets $172,845 -20,484 $152,361
6216 Citywide street improvement $ 85,000 - 391 $ 84,609
6221 Child care substitutes $ 30,000 -30,000 -0-
6244 Contingency  $ 29,757 -29,757 -0-
Year 23 (2000) CDBG Program - 262 Fund
6310 W.D. Memorial Rec. Center $ 5,000 - 5,000 -0-
6332 Akina Niij $ 1,000 - 1,000 -0-
$136,380 - Total amount reprogrammed

        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. This authorization shall also apply to existing programs with the city and HUD under the HUD CDBG, HOME and ESG programs.

        BE IT FURTHER RESOLVED, that the appropriate city officials are authorized to execute the appropriate agreements with these agencies upon receipt of approval of HUD funds.


STATEMENT OF PURPOSE:  This resolution reflects comments from organizations and citizens as related to funding for the community development block grant (CDBG) program. 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 FY 2001-2005 consolidated plan and draft 2001 annual action plan, which includes recommended funding for the 2001 CDBG, HOME and ESG programs. The CD committee held a public hearing on January 17 to hear comments on the funding recommendations and then modified its initial amounts to reflect those comments. The final recommendations were approved on January 17, 2001.

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

The resolution, in addition to authorizing application for grant funds and administration of same when received, also allocates funds to projects as listed for the 2001 CDBG program and authorizes appropriate city officials to execute contracts when funds are received.

Contracts for housing programs and construction activities will include addendums that require affordability restrictions and lien agreements, in accorcance with HUD regulations. Also, public facility improvement contracts will proceed through the public bidding process after completion of environmental review.

This resolution also sets the building inspection fee for owner-occupied residential permits at $50, with a penalty for re-inspections, and a $10 processing fee for weatherization activities. This fee will be reviewed annually to allow for appropriate increases.