2014/04/16 Council Agenda Packet

2 Staff Report for Community Development Block Grant, HOME, and Housing Trust Funds — 2060 The Citizen's Committee for Housing and Community Development reviewed proposals for the expenditure of the City of Everett's Community Development Block Grant program and other available funding. The deadline for grant applications was December 20, 2013. The Committee studied each proposal and interviewed each proponent. Four meetings and six hours of interviews took place, concluding on February 26, 2014. A public hearing was held on November 13, 2013 for needs assessment, and another public hearing was held on February 26, 2014 for comments concerning the Committee's recommendation to City Council. The Committee spent additional hours at home reviewing the proposals for spending. The City's 2014 Community Development Block Grant is $837,407 which is about a 1.7% reduction from the $852,221 received in 2013. The Committee recommends funding public services at the maximum allowed by HUD, fifteen percent of the grant. Fifteen percent of$837,407 is $125,611. The Committee recommends using the remaining 85% of the 2014 CDBG award, $711,796, along with $1,016 reallocated from prior years, for eligible non-public service projects. The total for non-public service projects is $712,812. There are also Housing Trust 2060, HOME, and CHIP revolving loan rehabilitation funds available for projects. The Committee recommends using $120,000 in Housing Trust 2060 funds for funding homeless shelters and domestic violence shelters. The Committee recommends using $314,742 in 2014 HOME funding for first time homebuyers and the purchase of low-income apartments. The total amount proposed for CDBG non-public service, HOME, and 2060 Housing Trust Fund projects is $1,273,165. If the Department of Housing and Urban Development reduces or increases the CDBG and/or HOME allocations, each affected item will be reduced or increased by a percentage equal to the increase or decrease, including the Community Housing Improvement Program and Community Development Block Grant Administration. In addition, the Committee recommends a modification to the 2010-1014 Consolidated Plan allowing development of new subsidized rental housing east of Broadway and west of McDougall between Wall Street and 35th Street. A new map will be inserted into the Consolidated Plan and is attached to the resolution. The Annual Action Plan and amendment to the Consolidated Plan has been available for public comment for 30 days commencing March 6, 2014 and ending on April 7, 2014. Each one of the members of the Committee provided a valuable contribution to this recommendation. This group was very dedicated while performing this difficult task. Staff congratulates the Committee for a job well done and thanks them for their time and effort. Participating Committee members were: Rick Dorris - Chair, Gregg Elder, David Simpson, Kaye Phinney, Greg Campbell, Peter Son*tra, Bruce Overstreet, and Tim Knopf. The recommended funding allocations to agencies/programs and brief program descriptions follow.