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Home My WebLink About9.b. Resolution of Approval for CDBG ApplicationAGENDA ITEM: Resolution of Approval for CDBG Application AGENDA SECTION: New Business PREPARED BY: Kim Lindquist, Deputy Director AGENDA NO. ATTACHMENTS: Resolution, CDBG Application APPROVED BY: RECOMMENDED ACTION: Motion to Approve Draft Resolution. ROSFMOUNT CITY COUNCIL City Council Regular Meeting December 5, 2006 EXECUTIVE SUMMARY BACKGROUND Every year the City is required to apply for CDBG funds. The allocation is set by a formula that was adopted in the County and is subject to the funding allocation at the Federal level. Last year the City set aside their allocation for the Downtown Rehabihtation Program After approval of the Program, staff sent out notices to all Downtown property owners and business owners Unfortunately, we have not received any inquiries DISCUSSION As has been mentioned in previous discussions about CDBG funds, there are many limitations associated with use of the funds One of the limitations is the amount of money that must be allocated to low /moderate Income benefit Because the commercial rehab program does not specifically qualify under that goal, the CDA is requesting that Rosemount's 2007 allocation be for low /mod benefit. Staff's ininal thought was to allocate funds for the Stonebndgc's Downtown project because there is an affordable component. However, to quahfy under the CDBG program 51% of the project must be affordable That is not the intent of the Stonebridge project and therefore it would not qualify for the program. Dan Rogness of the CDA suggested the City allocate FY07 CDBG funds to the single family housing rehab revolving fund Funds specifically allocated to Rosemount are depleted and we continue to have interest in the program. If there were no City allocated funds, residents would continue to be eligible for County -vnde rehab funds However, those fund balances have decreased recently due to fewer loan payoffs that replenish the county -wide revolving account County -wide funds are disbursed on a first -come first -serve basis To ensure our residents have access to the housing rehab loan program designation of the city's allocation would be appropriate Packet page 190 of 222 Maintenance and upkeep of the commumttes' neighborhoods is consistent with the goals and intent of the City Council as exemplified in the code enforcement program Recently, in an effort to promote housing rehab and maintenance, staff has direct mailed loan program information to specific neighborhoods within the community. This resulted in a slight increase in participation, prompting 15 rehabs in the last two years The CDBG allocation for 2007 is expected to support 3 -5 loans, depending upon the specifics of each application. CONCLUSION Motion to approve the attached resolution. Packet page 191 of 222 WHEREAS, the City of Rosemount is a participating jurisdiction with the Dakota County CDBG ]Entitlement Program for Fiscal Year 2007 (ending June 30, 2008), and WHEREAS, the Dakota County Community Development Agency (CDA) is a Subgrantee of Dakota County for the administration of the CDBG Program, and WHEREAS, the Dakota County CDA has requested fiscal year 2007 CDBG apphcauons to be submitted by December 15, 2006, based on a district formula allocation of funds approved in the 1984 Community Development Implementation Plan NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Rosemount hereby approves the following. ADOPTED this 5th day of December, 2006„ by the City Council of the City of Rosemount. ATTEST: Amy Domeier, City Clerk Packet page 192 of 222 CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOLUTION 2006 A RESOLUTION APPROVING THE APPLICATION OF THE CITY OF ROSEMOUNT FOR FISCAL YEAR 2007 DAKOTA COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDING 1. The Fiscal Year 2007 CDBG apphcation is approved for submission to the Dakota County CDA. 2. The Mayor for the City of Rosemount is authorized to execute the application and all agreements and documents related to receiving and using the awarded CDBG funds. 3 The Dakota County CDA is designated as the administrative entity to carry out the CDBG program on behalf of the City of Rosemount, subject to future Subrecipient Agreements that may be required for specific CDBG- funded activities William H Droste, Mayor RESOLUTION 2006 Motion by: Second by: Voted in favor: Voted against: Member absent: Packet page 193 of 222 2 Applicant Name City of Rosemount CD District. Contact Name: Kim Lindquist, Community Development Director Applicant Address 2875 145 Street West City, State, Zip Rosemount, MN 55068 Phone 651 322 -2020 Fax 651 423 -4424 Email Kim Lindquist @ci.rosemount.mn us #1 Title: Low /Mod benefit CDBG Request $64,000 #2 Title. CDBG Request #3 Title CDBG Request. #4 Title CDBG Request: #5 Title: CDBG Request Total Request APPLICATION FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS Application must be received by the Dakota County Community Development Agency NO LATER THAN DECEMBER 15, 2006 General Information Proposed Projects /Activities PLEASE NOTE: AT LEAST 50% of the proposed funding must qualify as a LOW /MOD benefit and NO MORE THAN 40% of the proposed funding can be for PUBLIC SERVICES As public services may not account for more than 15% of the County's total funding, public service requests may be decreased. Certification I certify that the information contained in this application is true and correct and that it contains no misrepresentations, falsifications, intentional omissions, or concealment of material facts I further certify that no contracts have been awarded, funds committed, or construction begun on the proposed project(s), and that none will be made prior to issuance of a Release of Funds Notice by the Program Administrator Signature of Authorized Official Title of Authorized Official PLEASE ATTACH THE RESOLUTION OF THE GOVERNING BODY SHOWING APPROVAL OF THE REQUEST FOR CDBG FUNDS Packet page 194 of 222 Date Project/Activity Title Please complete the following Sections 1 -VI for EACH proposed project/activity. (For example, if 3 projects /activities are being proposed, there will be 3 sets of the following pages.) Project/Activity Project/Activity Title: It. Project/Activity Information Describe the proposed project/activity. The City of Rosemount will contribute their CDBG allocation to an qualifying affordable housing project within the community. Has this Project/Activity received CDBG funding before? Check the eligible activity the proposed project/activity is categorized as: U Acquisition /Disposition' Vacant or undeveloped property Commercial property Residential property Demolition /Clearance Economic Development Z Rehabilitation X Owner occupied housing Rental housing Commercial General Administration Relocation Describe the project/activity schedule: Proposed Project/Activity Start Date. July 1, 2007 Proposed Project/Activity Completion Date: June 30, 2008 Packet page 195 of 222 1 Yes Other (please describe): No Public Facilities /Improvements: Buildings Infrastructure Assessment abatement Public Services 0.e. child care, recreation programs) Planning Homeownership Assistance: Support services (i e counseling) Downpayment assistance III. CDBG National Objective CDBG funded projects /activities must meet one of the program objectives. Check the objective for which the CDBG funds will be used. P1 Low /Mod Area Benefit Low /Mod Limited Clientele Benefit Low /Mod Housing Benefit Low /Mod Jobs Benefit Slum /Blight Area Benefit Slum /Blight Spot Benefit Urgent Need (extremely rare, used only for emergencies). If you checked the Low /Mod Area Benefit box, please answer the following: In what Census Tract/Block Group(s) do beneficiaries of your Project/Activity live? (Please include map) How many residents live in this area? What is the percentage of low and moderate income beneficiaries'? How was this documented? E1 HUD Data (See enclosed map) Survey (Please include a copy of survey) If you checked the Low /Mod Housing Benefit box, please answer the following: How many Low /Mod Households will benefit? 3 -5 Households (Income eligibility must be venhed by written documentation) Where will this project/activity be available? (address of property, neighborhood, city-wide) City -wide based upon eligibility If you checked the Low /Mod Limited Clientele Benefit box, please answer the following: How many Low /Mod People or Households will benefit? (Please choose either people or households for each project.) How will income be verified? Income Verification Request Forms 71 Eligibility Status for other Governmental Assistance program Self Certification (Must request source documentation of 20% of certifications and must inform beneficiary that all sources of income and assets must be included when calculating annual income) People /Households PI Presumed benefit (HUD presumes the following to be low and moderate income• abused children, battered spouses, elderly persons, severely disabled persons, homeless persons, persons living with AIDS, migrant farm workers) Packet page 196 of 222 2 If you checked the Low /Mod Jobs Benefit box, please answer the following: To meet the requirements of the "Jobs" National Objective, the business being assisted must enter into an agreement showing commitment that at lease 51% of jobs created or retained will be available to low /mod income persons The business must also be prepared to provide a list of all jobs, detailed information about the jobs being created or retained, the selection and hiring process, and demographic information about the employees Will this project/activity create or retain full time equivalencies (FTEs) Create Retain Forjob(s) that are being retained, please provide evidence that the assisted business has issued a notice to affected employees or that the business has made a public announcement to that effect, OR an analysis of relevant financial records that shows the business is likely to cut back on employment in the near future without planned intervention. Will the job(s) created or retained require a special skill? I 1 Yes fI No What percent of permanent FTEs will be held by or available to low /mod income persons? If you checked the Slum /Blight Area or Slum /Blight Spot Benefit box, please answer the following: What are the boundaries of the slum /blight area or the address of the slum /blight spot? (Please provide letter from building inspector or other documentation noting deficiencies and include photos) If Slum /Blight Area, what percent of buildings are deteriorated? What deficiency will be corrected or the public improvement be? IV. Proposed Objectives and Outcomes Indicate the proposed objective and outcome of the activity /project. Indicate how the project/activity outcome will be measured and projected number of beneficiaries. People Households Housing Units 3 -5 Packet page 197 of 222 Public Facilities Jobs 3 Businesses Organizations Outcome #1 Availability /Accessibility Accessibility for the purpose of creating a suitable living environment Outcome #2 Affordability Affordability for the purpose of creating a suitable living environment Outcome #3 Sustainability Sustainability for the purpose of creating a suitable living environment Objective #1 Suitable Living Environment Objective #2 Decent Housing Accessibility for the purpose of providing decent housing Affordability for the purpose of providing decent housing Affordability for the purpose of creating economic opportunities Sustainability for the purpose of providing decent housing Sustainability for the purpose of creating economic opportunities Objective #3 Economic Opportunity Accessibility for the purpose of creating economic opportunities If you checked the Low /Mod Jobs Benefit box, please answer the following: To meet the requirements of the "Jobs" National Objective, the business being assisted must enter into an agreement showing commitment that at lease 51% of jobs created or retained will be available to low /mod income persons The business must also be prepared to provide a list of all jobs, detailed information about the jobs being created or retained, the selection and hiring process, and demographic information about the employees Will this project/activity create or retain full time equivalencies (FTEs) Create Retain Forjob(s) that are being retained, please provide evidence that the assisted business has issued a notice to affected employees or that the business has made a public announcement to that effect, OR an analysis of relevant financial records that shows the business is likely to cut back on employment in the near future without planned intervention. Will the job(s) created or retained require a special skill? I 1 Yes fI No What percent of permanent FTEs will be held by or available to low /mod income persons? If you checked the Slum /Blight Area or Slum /Blight Spot Benefit box, please answer the following: What are the boundaries of the slum /blight area or the address of the slum /blight spot? (Please provide letter from building inspector or other documentation noting deficiencies and include photos) If Slum /Blight Area, what percent of buildings are deteriorated? What deficiency will be corrected or the public improvement be? IV. Proposed Objectives and Outcomes Indicate the proposed objective and outcome of the activity /project. Indicate how the project/activity outcome will be measured and projected number of beneficiaries. People Households Housing Units 3 -5 Packet page 197 of 222 Public Facilities Jobs 3 Businesses Organizations V. Priority Needs Check the priority need from the Consolidated Plan for which the CDBG funds will be used: High Priority Needs Housing E Renter, elderly, 0 -50% of median income Renter, small related, 0 -80% of median income Renter, all other, 0 -50% of median income Owner, 0 -80% of median income High Priority Needs Community Development Acquisition of Real Property Disposition of Real Property Parks, Recreational Facilities E Water /Sewer Improvements Street Improvements Sidewalks Clearance and Demolition Clean -up of Contaminated Site Senior Services Youth Services Rental Housing Subsidies Relocation Construction of Housing Direct Homeownership Assistance Rehabilitation of Single Unit Residential Rehabilitation of Multi -Unit Residential Rehabilitation of Commercial /Industrial Code Enforcement Commercial /Industrial Land Acq /Disposition Commercial /Industrial Infrastructure Development Commercial /Industrial Building Acq Rehab Planning Medium Priority Needs Housing Renter, elderly, 51 -80% of median income Renter, large related, 0 -80% of median income Medium Priority Needs Community Development Senior Centers Homeless Facilities Youth Centers Solid Waste Disposal Improvements Li Flood Plain Improvements Handicapped Services Transportation Services Battered and Abused Spouses Services Crime Awareness Fair Housing Activities Public Housing Modernization Rehabilitation of Other Publicly Owned Residential Residential Historic Preservation Non Residential Historic Preservation Other Commercial /Industrial Improvements Economic Development Non Profit Assistance Economic Development Technical Assistance Micro Enterprise Assistance Low Priority Needs Community Development These activities should be funded with sources other than CDBG. Privately Owned Utilities Handicapped Centers Neighborhood Facilities Child Care Centers Substance Abuse Services Employment Training Child Care Services Abused and Neglected Child S ervices Tenant/Landlord Counseh ng Packet page 198 of 222 4 Source of Funds Amount Committed Pending n Provide the total project cost and CDBG request. Total Project Cost: $64,000 Total CDBG Request. $64,000 Describe all other funding sources. CDBG Percent of Total Cost: 100% Please itemize project expenses, using the following guidance as applicable: Acquisition Improvement Costs Include purchase price, closing costs, site improvements, clearance of toxic contaminants, and other acquisition and improvement costs Construction /Rehabilitation Costs Include site improvements, construction (labor, materials, supplies), installation, permits and other construction /rehabilitation costs Professional Fees and Personnel Costs Include architectural, engineering and code inspection fees, surveys, appraisals, legal fees, hazardous materials surveys, project management, and other professional /personnel fees Other Development Costs Include relocation, financing costs, environmental reviews, environmental studies, and other development costs Eligible Costs for Planning Projects Include professional services, project management costs, and other planning costs Itemized Use of Funds /Expenses Total: Costs CDBG Funds Requested Please review each section for completeness Each project /activity should have separate Sections I through Vi Packet page 199 of 222 5