CITY COUNCIL AGENDA ITEM
Memo Date: June 25, 2021
Agenda Date: July 13, 2021
Prepared By: Ibis S. Berardi, Housing Program Manager
Through: Charlene Neuterman, Interim Community Services Director
Requested Action:
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Conduct a Public Hearing to amend the FY 2019/2020 CDBG Action Plan to allocate Community Development Block Grant Coronavirus (CDBG-CV) funds and add activities in accordance with the City’s CDBG Citizen Participation Plan; authorize submission of the substantial amendment to the U.S. Department of Housing and Urban Development (HUD); and authorize the Mayor to sign all subsequent certifications and agreements related to CDBG-CV.
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BACKGROUND:
On March 27, 2020 the United States Congress passed The Coronavirus Aid, Relief, and Economic Security Act (H.R. 748). The bill provided $5 billion for Community Development Block Grant to rapidly respond to COVID-19 impacts like economic and housing hardships, to include the expansion of public services.
On September 11, 2020 the U.S. Department of Housing & Urban Development (HUD) announced the City of Cocoa was eligible to receive a special allocation through Community Development Block Grant Coronavirus (CDBG-CV) funds of $133,363 (Exhibit “A”).
In order to receive CDBG-CV funds, local grantees must notify HUD of the “Use of Waiver Flexibility for Consolidated Planning Requirements- HOME & CDBG- Citizen Participation Reasonable Notice and Opportunity to Comment.”
A Substantial Amendment to the Fiscal Year 2019/2020 Action Plan and a thirty (30) day public comment period is required. However, HUD waived this requirement provided that no less than five (5) days are provided for public comments for substantial amendments.
The Substantial Amendment will allocate CDBG-CV program funding for current CDBG Public Services in order to prevent the Spread of COVID19 and Mitigate Economic Impacts Caused by COVID19. Funded projects are required to primarily benefit low- and moderate-income residents.
Staff is proposing the following substantial amendments to the FY2019/2020 Action Plan:
Add Activity; Allocate FY2019/2020 Community Development Block Grant Coronavirus (CDBG-CV) funds of $133,363 from the U.S. Department of Housing & Urban Development (HUD). These funds will be used to expand currently funded Public Services agencies, with already identified eligible activities through CDBG. A portion of the funding would assist and be used for housing activities by providing Rental and Mortgage Assistance, benefiting low- and moderate-income persons, that are vulnerable or at risk of homelessness.
The Action Plan, which identifies community development projects that shall be undertaken between October 1, 2019 and September 30, 2020, would be modified as the funding deadline has been extended. The deadline to expend CDBG-CV funding has been announced by HUD. CDBG-CV has a six (6) year period of performance, however 80% of the funds must be expended by the end of the third year.
The City’s Citizen Participation Plan is in effect. An ad was placed in the Florida Today newspaper summarizing the Substantial Amendment thus meeting the 5-day public comment period requirement. Public comment period began July 1, 2021 and ended on July 13, 2021. To date no comments have been received (Exhibit “B”).
PROPOSED FINAL STATEMENT OF CDBG PROJECTS FOR FY 2019/2020
PUBLIC SERVICES:
Community Services Council (Stable Home Program) $66,600.00
Family Promise of Brevard (Rental & Mortgage Assistance) $40,090.40
CDBG Administration and Operational funds 20% of Allocation $26,672.60
TOTAL CDBG FUNDS: $133,363
Staff followed HUD Guidance in the use of eligible funds per the “CDBG-and-CDBG-CV-Subsistence-Payments-Arrearages” dated March 30, 2021 (Exhibit “C”). Staff is requesting Council approve the substantial amendment for submission to HUD; and authorize the Mayor to sign all subsequent certifications and agreements as related to CDBG-CV.
STRATEGIC PLAN CONNECTION:
Community Development (Redevelopment of the City’s Core) - Supporting these projects in the City will raise the quality of life for its residents, especially those underserved and disadvantaged.
BUDGETARY IMPACT:
The CDBG-CV funds have not been received yet. A budget amendment will be completed at the time the City receives the CDBG-CV funds.
PREVIOUS ACTION:
Final Public Hearing on May 13, 2020, to amend the FY 2019/2020 CDBG Action Plan to allocate CDBG-CV funds and add activities in accordance with the City’s CDBG Citizen participation plan; authorize submission of the substantial amendment to the U.S. Department of Housing and Urban Development (HUD); and authorize the Mayor to sign all subsequent certifications and agreements related to CDBG-CV (20-242). (Exhibit “D”).
RECOMMENDED MOTION:
Recommendation
Conduct a Public Hearing to amend the FY 2019/2020 CDBG Action Plan to allocate Community Development Block Grant Coronavirus (CDBG-CV) funds and add activities in accordance with the City’s CDBG Citizen Participation Plan; authorize submission of the substantial amendment to the U.S. Department of Housing and Urban Development (HUD); and authorize the Mayor to sign all subsequent certifications and agreements related to CDBG-CV.