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HomeMy WebLinkAbout6.v. Resolution of Approval for CDBG ApplicationAGENDA ITEM: Resolution of Approval for CDBG Application AGENDA SECTION: Consent PREPARED BY: Kim Lindquist, Community Development Director AGENDA NO. b. V. ATTACHMENTS: Resolution APPROVED BY: RECOMMENDED ACTION: Motion to Approve Draft Resolution. ROSEMOUNT CITY COUNCIL City Council Regular Meeting: December 16, 2008 EXECUTIVE SUMMARY BACKGROUND Every year the City is required to apply for CDBG funds. The allocation is set by a formula that was adopted by the County and is subject to the funding allocation at the Federal level. Last year the City allocation was designated for special assessment assistance relating to the 2008 pavement management project. There is money left over from the 2008 allocation to provide assistance for the 2009 pavement management program for those residents who qualify under the income eligibility rules. 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. In previous conversations with the CAC, they have indicated a desire to upgrade portions of the City -owned building they lease. Additionally, the park surrounding the building is used by the CAC for their programming and also heavily used by the residents of the adjoining housing development projects. Enhancements to the park, including play equipment, are an eligible expense, so long as the City can prove low /mod income benefit. In discussions with the CDA it appears that the area would qualify and the CDA staff will be assisting the City to document meeting the income eligibility requirements. At this time staff would like the City Council to approve the resolution for the use of the funds in this manner. There has not been an approved allocation for the City but the estimate is approximately $64,000. CONCLUSION Motion to approve the attached resolution. CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOLUTION 2008- A RESOLUTION APPROVING THE APPLICATION OF THE CITY OF ROSEMOUNT FOR FISCAL YEAR 2009 DAKOTA COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDING WHEREAS, the City of Rosemount is a participating jurisdiction with the Dakota County CDBG Entitlement Program for Fiscal Year 2009 (ending June 30, 2010); 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 2009 CDBG applications to be submitted by December 15, 2008, 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: 1. The Fiscal Year 2009 CDBG application 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. ADOPTED this 16th day of December, 2008, by the City Council of the City of Rosemount. ATTEST: Amy Domeier, City Clerk William H. Droste, Mayor RESOLUTION 2008 Motion by: Second by: Voted in favor: Voted against: Member absent: 2 Applicant Name: City of Rosemount CD District: Contact Name: Kim Lindquist Applicant Address: 2875 145 Street 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 CDBG Request: $64,000 #2 Title: CDBG Request: #3 Title: CDBG Request: #4 Title: CDBG Request: #5 Title: CDBG Request: PLEASE NOTE: AT LEAST 50% of the proposed Total Request: fundina must aualifv as a LOW /MOD benefit and APPLICATION FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS Application must be received by the Dakota County Community Development Agency NO LATER THAN DECEMBER 15, 2008 (for Program Year 2009, 7/01/09- 6/30/10) General Information ►Di p rojects /►cti 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 need to be decreased once all applications are submitted and reviewed by CDA staff. 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 notification from the Dakota County CDA based on HUD's issuance of a Release of Funds Notice. Signature of Authorized Official Title of Authorized Official Date PLEASE ATTACH THE RESOLUTION OF THE GOVERNING BODY SHOWING APPROVAL OF THE REQUEST FOR CDBG FUNDS 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 1 upgrades to park and adjoining public building Project/Activity Title: Low /Mod Information Describe the proposed project/activity. The City leases a public building to the Community Action Council which provides services to the low and moderate income neighborhood immediately adjacent to the building. Improvements are proposed to the building to enhance the services provided in the structure. The park surrounding the building is used by the CAC for their programming and also heavily used by the residents of the adjoining housing development projects. Enhancements to the park, including play equipment will be made with CDBG funds Has this Project/Activity received CDBG funding before? Yes Acquisition /Disposition: Vacant or undeveloped property Commercial property Residential property Demolition /Clearance Economic Development Rehabilitation Owner occupied housing Rental housing Commercial General Administration Relocation Describe the project/activity schedule: Proposed Project/Activity Start Date: January 2008 Proposed Project/Activity Completion Date: June 2008 1 No Check the eligible activity category of the proposed project/activity: (See attached definitions) Public Facilities /Improvements: X Buildings Infrastructure Assessment abatement Public Services (Le. child care, recreation programs) Planning Homeownership Assistance: Support services (i.e. counseling) Downpayment assistance Other types of purchase financing Other (please describe): 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. Low /Mod Area Benefit Low /Mod Housing Benefit Slum /Blight Area Benefit Urgent Need (extremely rare; used only for emergencies): Low /Mod Limited Clientele Benefit Low /Mod Jobs Benefit Slum /Blight Spot Benefit 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) Census Tract 610.05 How many residents live in this area? 2,702 people lived in Census Tract 610.05 during the 2000 Census; 636 people lived in Blocks 1000, 1001, and 1002. What is the percentage of low and moderate income beneficiaries? The Citv will work with Dakota County CDA to conduct a survey of housing assistance vouchers for Blocks 1000, 1001, and 1002 of Census Tract 610.05 How was this documented? HUD Data (See enclosed map) X 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? Households (Income eligibility must be verified by written documentation) Where will this project/activity be available? (Address of property, neighborhood, city -wide) If you checked the Low /Mod Limited Clientele Benefit box, please answer the following: How many Low /Mod People or Households will benefit? People /Households (Please choose either people or households for each project.) How will income be verified? Income Verification Request Forms 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) Presumed benefit (HUD presumes the following to be low and moderate income: abused children, battered 2 Objective #1 Suitable Living Environment Outcome #1 Availability /Accessibility 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 .1 Accessibility for the purpose of creating a suitable living environment Objective #2 Decent Housing Accessibility for the purpose of providing decent housing Affordability for the purpose of providing decent housing Sustainability for the purpose of providing decent housing Objective #3 Economic Opportunity Accessibility for the purpose of creating economic opportunities Affordability for the purpose of creating economic opportunities Sustainability for the purpose of creating economic opportunities spouses, elderly persons, severely disabled persons, homeless persons, persons living with AIDS, migrant farm workers) 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 For jobs) 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? Yes 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? oe Objectives an com 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 Public Facilities Jobs Businesses Organizations Check the priority need from the Consolidated Plan for which the CDBG funds will be used: High Priority Needs Housing 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 X Parks, Recreational Facilities Water /Sewer Improvements Street Improvements Sidewalks Clearance and Demolition Clean -up of Contaminated Site Senior Services X 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 X Youth Centers Solid Waste Disposal Improvements Flood Plain Improvements Handicapped Services Transportation Services X 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 Services Tenant/Landlord Counseling 4 Itemized Use of Funds /Expenses Costs Requested Rosemount Family Resource Center Building Improvements $5,000 $5,000 City Park Improvements $59,000 $59,000 Total: $64,000 $64,000 Source of Funds Amount Committed Pending CDBG $64,000 X VI. Project Budget Provide the total project cost and CDBG request. Total Project Cost: $64,000 Total CDBG Request: $64 „000 Describe all other funding sources. 5 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 Please review each section for completeness, Each project /activity should have separate Sections I through VI, 6 The following are summary definitions of Community Development Block Grant Eligible Activities: Please Note: Although an activity may be deemed eligible for CDBG funding, it does not guarantee funding. The Community Development Needs for the CDBG Program in the Comprehensive Plan sets forth the priority of needs and as such, dictates which types of eligible activities may be funded in a given year. CDBG funds may NOT be used for costs attributable to a building used for the general conduct of govemment or used for political activities. Acquisition /Disposition: The use of CDBG funds to acquire real property, in whole or in part, by purchase, long -term lease, donation, or otherwise, for any public purpose. Real property to be acquired may include: land, air rights, easements, water rights, right -of -ways, buildings and other property improvements, or other interests in real property. Demolition /Clearance: Clearance, demolition, and removal of buildings and improvements including movement of structures to other sites. Economic Development Activities: Economic development activities may include, but are not limited to: (1) Construction by the grantee or subrecipient of a business incubator designed to provide inexpensive space and assistance to new firms to help them become viable businesses, (2) Loans to pay for the expansion of a factory or commercial business, and (3) Providing training needed by persons on welfare to enable them to qualify for jobs created by CDBG- assisted special economic development activities. The level of public benefit to be derived from the economic development activity must be appropriate given the amount of CDBG assistance. Rehabilitation: Rehabilitation related activities may include single family rehabilitation, multi- family rehabilitation, energy efficiency improvements, public housing modemization, and rehabilitation of commercial properties. General Administration: CDBG funds may be used for the general administration costs incurred by a Subrecipient to administer their CDBG program. Administration costs directly associated with a CDBG activity should be part of the activity as project administration. Relocation: CDBG funds may be used for relocation payments and assistance to displaced persons, including individuals, families, businesses, non- profits, and farms, where required under section 570.606 of the regulations (pursuant to the Uniform Relocation Act). Public Facilities /Improvements: CDBG funds may be used by the grantee or other public or private nonprofit entities for the acquisition (including long term leases for periods of 15 years or more), construction, reconstruction, rehabilitation (including removal of architectural barriers to accessibility), or installation, of public improvements or facilities. Buildings for the general conduct of govemment cannot be acquired or improved with CDBG funds. This includes neighborhood facilities, firehouses, public schools, and libraries, as well as water and /or sewer treatment plants. The regulations further specify that facilities that are designed for use in providing shelter for persons having special needs are considered to be public facilities. Public Services: CDBG funds may be used to provide public services (including labor, supplies, and materials), provided that each of the following criteria is met: 1) The public service must be either a new service or a quantifiable increase in the level of service; and 2) The amount of CDBG funds obligated within a program year to support public service activities under this category may not exceed 40% of the City's allocation and the total public services of all Subrecipients may not exceed 15% of the total grant awarded to Dakota County for that year. Planning: Includes studies, analysis, data gathering, preparation of plans, and identification of actions that will implement plans. The types of plans which may be paid for with CDBG funds include, but are not limited to: Comprehensive plans; Individual project plans; Community development plans, Capital improvement programs; Small area and neighborhood plans; Environmental and historic preservation studies; and Functional plans (such as plans for housing, land use, energy conservation, or economic development). Homeownership Assistance: Homeownership assistance activities may include financial assistance for downpayments, closing costs or other part of the purchase process and counseling for pre purchase, post- purchase or foreclosure prevention. 7