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Sparks City Council Meeting 5/14/2018

Public Hearing and Action Items Unrelated to Planning and Zoning: 10.1

Title: PUBLIC HEARING, consideration and possible approval of the Program Year 4, Fiscal Year 2018/19, Community Development Block Grant (AC-5473)($849,657.15 is available) and HOME Consortium Annual Action Plan for submittal to the U.S. Department of Housing and Urban Development.
Petitioner/Presenter: John Martini, Community Services Director/George T. Graham, Housing Specialist
Recommendation: Council approve the FY 2018/2019 Annual Action Plan.
Financial Impact: $849,657.15 (which is comprised of $717,415 in new CDBG funding allocation plus $132,242.15 of reprogrammed funds and Program Income carried forward).
Business Impact (Per NRS 237):
    
A Business Impact Statement is not required because this is not a rule.
Agenda Item Brief:

This agenda item asks the City Council to approve for submittal to the U. S. Department of Housing and Urban Development (HUD) the City’s Program Year 4, FY 2018/2019 Annual Action Plan for Community Development Block Grant and HOME Consortium activities.  The city of Sparks uses CDBG funding to support the operation of the Community Assistance Center (CAC) Homeless Shelter and  Fair Housing Activities and as capital projects funding for pedestrian improvements,  including street curb and gutter replacement and street paving in eligible low-to moderate-income Census Tracts.



Background:

The city of Sparks is categorized as an Entitlement Community under the U.S. Department of Housing and Urban Development’s (HUD) Community Development Block Grant (CDBG) Program.  As an Entitlement Community, the City receives a direct allocation of CDBG funding each Program Year (PY) of the approved Five Year Consolidated Plan of 2015 – 2019.  This application represents PY 4 of the Five Year Consolidated Plan.  In addition to the CDBG program, the city of Sparks partners with the city of Reno and Washoe County in the Washoe County HOME Consortium (WCHC).  Via the WCHC, the three jurisdictions receive an annual allocation of HOME Investment Partnerships (HOME) funding, which is used to assist in the development of affordable housing.  The guidelines for these formula grant programs outline three basic goals:

  1. Decent housing,
  2. Suitable living environment and
  3. Expanded economic opportunities. 

The city of Sparks has prepared an Annual Action Plan (AAP) as part of the annual Federal application process for CDBG funds.  This Action Plan includes information provided by the city of Reno with CDBG and HOME Partnership dollars (the city of Reno is the Lead Agency of the WCHC and the city of Sparks is a Participating Jurisdiction).  The Annual Action Plan (AAP) also identifies the process through which the jurisdictions, along with Washoe County, allocate and distribute funding, along with information regarding other funding resources available for those programs.

Attached is the Final Draft Copy of PY 4, FY 2018/2019 Annual Action Plan (AAP) - Revised per HUD update (see Exhibit – 01).

HUD's communication of May 1, 2018 informs the city of Sparks of it's CDBG funding allocation of $717,415 for FY 2018-2019.

As part of the CDBG application, HUD requires consultation with and a public comment period  for the community served by the funding.  The 30-day public comment period began April 6, 2018 with advertisement regarding the draft AAP in the Reno Gazette-Journal and will conclude on May 14, 2018 at the commencement of the City Council meeting, at which time all public comments will be accumulated and addressed in the Final Draft of the AAP.  A community meeting soliciting public comment was held at City Hall on April 18, 2018.  There were no citizens who attended the meeting.



Analysis:

The AAP serves as the application for CDBG Entitlement Communities such as the city of Sparks.  The CDBG 2018/2019 AAP outlines the activities the city of Sparks plans to undertake in PY 4 (FY 2018/2019) of the City’s 2015-2019 Consolidated Plan.  The AAP describes how CDBG funding will be used to address housing needs, public services and homelessness prevention under the objectives of a suitable living environment and decent housing.  The 2018/2019 AAP allocates $849,657.15, which is comprised of $717,415 in new CDBG entitlement funding,  $49,242.15 in unspent rollover funds from previous years and an additional $83,000 of Program Income (PI) that will be reprogrammed and used to fund previously approved activities, as follows:

Activities to be funded from New CDBG Allocation for FY 2017/18:

  • Up to $25,000 to support Fair Housing activities;
  • UP to $17,648 for support of Continuum of Care (CoC) activities;
  • Up to $80,000 for support of Planning and Administration activities;
  • Up to $107,737 for Community Assistance Center activities (homeless shelter);
  • Up to $90,000 for Housing Rehabilitation Administration activities;
  • Up to $377,030 of new grant funding for Pedestrian Improvements and an additional $49,242.15 in rollover funds from previous year funding for a total of $426,272.15 for Pedestrian Improvement activities;
  • In lieu of new grant funds the city of Sparks anticipates utilizing approximately $83,000 of Program Income for implementation of Single-Family Housing Rehabilitation Program activities; and
  • Up to $20,000 for Housing Rehabilitation Emergency Repair Grant activities,

Each project presented within the Action Plan meets the community’s needs as presented and approved in the five-year Consolidated Plan. 



Alternatives:
  1. Approve the proposed funding allocations as listed in the AAP.
  2. Reducing or increasing the allocations for one or more of the activities.
  3. Eliminating one or more of the activities.


Recommended Motion:

I move to approve the Program Year 4, Fiscal Year 2018/19, Community Development Block Grant and HOME Consortium Annual Action Plan for submittal to the U.S. Department of Housing and Urban Development.



Attached Files:
     Exhibit - 01, Final Draft, CDBG PY 4, FY 2018-2019 (Revised per HUD Update).pdf

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