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Council |
Date |
August 24, 2009 |
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Agenda
Item No. 28 Roll
Call No. 09- Communication No. 09-586 Submitted by: Chris M. Johansen, Assistant
City Manager |
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AGENDA
HEADING:
Approval of Grant Agreement with the U.S. Department of Housing and Urban
Development (HUD) for funding of the HUD Community Development Block Grant –
Recovery (CDBG-R) Program.
SYNOPSIS:
Recommend authorizing and directing the Mayor to execute the Grant
Agreement between HUD and the City for CDBG-R Program funding.
FISCAL
IMPACT:
Amount: $1,152,886
Funding Source: HUD Community Development Block Grant – Recovery
Program.
ADDITIONAL
INFORMATION:
Congress
recently enacted the American Recovery and Reinvestment Act of 2009. Title XII of that program designated
additional financial assistance and services to local governments to carry out,
on an expedited basis, eligible activities under the CDBG-R program. The City of Des Moines was allocated
$1,152,886, contingent on HUD approving a substantial amendment to the City’s
2008 HUD Consolidated Plan. On June 3,
2009, by Roll Call No. 09-939 the City Council approved the substantial
amendment, which was forwarded to HUD for review and approval.
The
purpose of the additional CDBG funding is to stimulate the economy through
measures that modernize the Nation’s infrastructure, improve energy efficiency
and expand educational opportunities and access to health care. HUD strongly urges grantees to use CDBG-R
funds for hard development costs associated with infrastructure activities that
provide basic services to residents.
The
substantial amendment approved by the City Council on June 3, 2009 allocated
$737,598 of CDBG-R funds to the Neighborhood Infrastructure Revitalization
Program (NIRP) to expand services currently being provided in low/mod-income
areas of the City that are participating in the Neighborhood Revitalization
Program. At their meeting on July 1,
2009, the Neighborhood Revitalization Board (NRB) approved a motion to support
the City Council’s recommendation that $737,598 of CDBG-R funds be allocated to
NIRP. At their meeting on July 27, 2009,
the NRB recommended that the funds be used to improve sidewalks along school
walk routes in the following chartered neighborhoods, which received little or
no funding when going through the original planning process: Woodland Heights,
Capital East, Columbus Park, River Bend, Union Park, Accent, Highland Park and
Capitol Park. The CDBG-R funding will
allow approximately $92,000 for each neighborhood. If funding is left over in any neighborhood
after sidewalks are repaired, additional work will be conducted to repair or
replace curbs or paving that meet replacement requirements previously set by
Public Works and the pavement condition index.
The City Manager agrees with this recommendation.
The NRB
also supported the City Manager’s recommendation that $300,000 of CDBG-R
funding be allocated to the Residential Demolition Program to expand the
program in low/moderate-income areas of the City that are participating in the
Neighborhood Revitalization Program.
This existing program will remove abandoned structures that reflect
negatively on neighborhood appearance and stability, and create health and
safety hazards. Infill housing can then
be constructed on cleared lots and provide affordable housing opportunities in
distressed neighborhoods.
Up to 10%
of the funds ($115,288) can be allocated for three years of administrative
costs incurred through planning, monitoring, reporting, auditing and other
fiscal activities.
On July 31,
2009, the City received notice from HUD that the substantial amendment had been
approved and also forwarded a Grant Agreement and Funding Approval.
HUD
requires that the signed Grant Agreement be returned within 30 days (August 30,
2009) of the date of the notice.
PREVIOUS
COUNCIL ACTION(S):
Date:
June 3, 2009
Roll Call
Number:
09-939
Action:
Hearing on proposed
substantial amendment to the Fourth Year (2008) Action Plan of the 2005-2009
HUD Consolidated Plan for the Community Development Block Grant Funding
(CDBG-R) under the American Recovery and Reinvestment Act of 2009. (Council Communication No. 09-352) Moved by
Hensley to adopt. Motion Carried
6-1. Absent: Cownie.
Date: May 18, 2009
Roll Call
Number: 09-852
Action: On proposed
substantial amendment to the Fourth Year (2008) Action Plan of the 2005-2009
HUD Consolidated Plan for the Community Development Block Grant Funding
(CDBG-R) under the American Recovery and Reinvestment Act of 2009, (Hearing
will be held at a special Council meeting on June 3, 2009 at 4:00 PM). Moved by Kiernan to adopt. Motion Carried 6-1. Absent:
Cownie.
BOARD/COMMISSION
ACTION(S):
Date:
July 1, 2009
Roll Call
Number: N/A
Action:
The Neighborhood Revitalization Board approved a motion to support the
recommendations for allocation of the CDBG-R funds.
ANTICIPATED
ACTIONS AND FUTURE COMMITMENTS: NONE
For more
information on this and other agenda items, please call the City Clerk’s Office
at 515-283-4209 or visit the Clerk’s Office on the second floor of City Hall,