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HomeMy WebLinkAbout03-151 Resolution No. 03-151 RESOLUTION AUTHORIZING AMENDMENTS TO THE 1997, 1999 AND 2002 COMMUNITY DEVELOPMENT BLOCK GRANTS AND THE 1997, 1999 AND 2002 ACTION PLANS BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that the 1997, 1999 and 2002 Community Development Block Grant Programs and the 1997, 1999 and 2002 Action Plans are hereby amended for the reallocation of funds to the following projects : I . Reallocation of Funds A. The reallocation of 1997 Literacy Connection funds into the 2002 Residential Rehabilitation Program. B. The reallocation of 1999 Elgin American Little League funds to the 2002 Residential Rehabilitation Program. C. The reallocation of City of Elgin' s Planning and Neighborhood Services Department 2002 Fair Housing Advocacy Project funds into the 2002 Residential rehabilitation Program. D. The reallocation of 1999 YWCA funds to another eligible 2002 YWCA project . As provided for under the Housing and Community Development Act of 1974 as amended. s/Ed Schock Ed Schock, Mayor Presented: May 28 , 2003 Adopted: May 28, 2003 Vote : Yeas : 6 Nays : 0 Attest : s/Dolonna Mecum Dolonna Mecum, City Clerk `', \ti Agenda Item No. City of Elgin.$ , �t�TEDI .�,_'`. L G '1 April 18, 2003 Y` its r if t TO: Mayor and Members of the City Council QUALITY HOUSING FROM: David M. Dorgan, City Manager Amy Coyne, CDBG Coordinator SUBJECT: Amendments to the 1997, 1999, and 2002 Community Development Block Grant Annual Action Plans PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information regarding the amendments to a variety of Community Development Block Grant (CDBG) Annual Action Plans . BACKGROUND 1 . Literacy Workplace Initiative Project 1997 CDBG Program Year: Literacy Connection was originally awarded $30, 000 in 1997 CDBG funding to provide literacy programs for businesses throughout the City of Elgin. During the recent years the agency has found it increasingly difficult to contract with area businesses to provide this program. Staff spoke with Literacy Connection in January of 2003 and it was determined at that time to terminate the project and relinquish any remaining funding back to the City of Elgin. The program has a remaining balance of $18, 023 . 50 as of February 2003 . Staff recommends the remaining money be reallocated to the Residential Rehabilitation Program. This would require an amendment to the 1997 and 2002 Annual Action Plan. 2 . The YWCA Fire Alarm Project 1999 CDBG Program Year: few The YWCA was originally awarded $77, 000 in 1999 CDBG funds for the installation of a new fire alarm system. The Annual Updated Action Plans April 18, 2003 Page 2 original system needed to be updated to meet the requirements of the Americans with Disabilities Act . The project was completed in April of 2002 with $39, 147. 93 remaining out of the total grant amount . The YWCA was awarded $70, 000 in 2002 CDBG funds to renovate the interior of the facility. The project consists of installing a handicap lift, renovate bathrooms to make them ADA compliant, replace and install needed hardware for facility doors, HVAC duct work, and replace ejector pump piping. By utilizing the remaining funding from the 1999 project, the YWCA would be able to accomplish more of the rehabilitation work included in their Building Needs Inventory Assessment . Some of the additional items requiring rehabilitation work are the floors throughout the facility, the elevator, painting, and boiler replacement . Staff recommends that the $39, 147 . 93 in 1999 CDBG funding be reallocated and added to the 2002 CDBG project budgeted at $70, 000 for a new allocation amount of $109, 147 . 93 . This would require an amendment to the 1999 and 2002 Annual Action Plan. 3 . Elgin American Little League Field Rehabilitation Project 1999 CDBG Program Year: The Elgin American Little League was originally awarded $25, 000 in 1999 CDBG funds for the rehabilitation of the little league fields, located at 750 Summit Street, Elgin. The project consisted of making improvements to the major, senior, minor, t-ball , girls softball fields, parking lot, and the facility' s restrooms . At that time, the Little League board members agreed to HUD' s documentation and record keeping regulations in order to receive the $25, 000 . These include; (1) the league to fulfill the nation objective regulation, 24 CFR 570.208 (a) (2) (i) (B) , require information on family size and income so that it is evident that at least 51 percent of the clientele are persons whose family income does not exceed the low and moderate income limit. , and (2) once a year monitoring of files . Annual Updated Action Plans April 18, 2003 Page 3 The project has remained idle due in part to changes in the board' s membership. Recently, new board members have been informed of HUD' s requirements. After evaluating the practical difficulties in obtaining this information, the Little League Board has decided to decline the $25, 000 in CDBG funding for field improvements . Since then, the City Council has preliminarily approved a $22, 000 Youth Sports Grant for a capital improvement project . This grant covers the capital items that were in the original CDBG request (i .e. garage/storage area and score boards) . The Youth Sports Grant will go for final approval by the City Council during fiscal year 2003 . Based on the above mentioned issue, staff recommends the $25, 000 in 1999 CDBG funds be reallocated to the 2002 Residential Rehabilitation Program. Currently there are 40 individuals on a waiting list for funding availability. This would require an amendment to the 1999 Annual Action rft. Plan. 4 . The Fair Housing Advocacy Project 2002 CDBG Program Year: The City of Elgin' s Planning and Neighborhood Services Department was originally awarded $75, 000 in 2002 CDBG funding to provide a fair housing program to assist the residents of the city. The program was to be subcontracted out through a Request for Proposal process to a qualified agency. Since then, the City has reached a settlement agreement with HOPE Fair Housing Center to provide fair housing services to the residents of Elgin. Over the next four years, HOPE will receive $200, 000 in funding through the City to provide such services . Therefore, the CDBG funds allocated for this separate project are no longer required. The $75, 000 originally earmarked for fair housing activities can not be utilized by HOPE. HOPE would have to participate in a Request for Proposal process to be an eligible candidate for the funding. Instead, HOPE submitted a 2003 CDBG fair housing proposal which eliminates the need for the bidding process. Therefore, HOPE is not eligible r Annual Updated Action Plans April 18, 2003 Page 4 for the 2002 CDBG funding set-aside for fair housing activities . Staff recommends the $75, 000 in 2002 CDBG funding for fair housing activities be reallocated to the 2002 Residential Rehabilitation Program. 5 . Residential Rehabilitation Program 2002 CDBG Program Year: As mentioned above, the Residential Rehabilitation Program has 40 homeowners on a waiting list for funding availability. The program has always been extremely popular among the homeowners of Elgin with funding never matching the number of homeowner requests . Approximately 23 additional homeowners (each homeowner at a maximum grant amount of $5, 000) would benefit from the reallocation of funding from the Elgin American League Project, the Fair Housing Advocacy Program, and the Literacy Workplace Initiative Program. The total amount of reallocated CDBG embk funding from these three projects would total $118, 023 . 50 . The table below breaks out the reallocation of funding for the projects mentioned in the above memo. Projects Remaining Funds Revised Funds YWCA of Elgin- $39,147.93 $0 Fire Alarm YWCA of Elgin- $70,000 $109,147.93 Facility Improvement Elgin American $25,000 $0 Little League Fair Housing $75,000 $0 Advocacy Literacy $18,023.50 $0 Workplace Initiative Residential $35,957 $153,980.50 Rehabilitation Program Total $263,128.43 $263,128.43 *Elgin American Little League, Fair Housing Advocacy, and Literacy Workplace Initiative funding reallocated to Residential Rehabilitation Program Annual Updated Action Plans April 18, 2003 Page 5 COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Kyle Bault, President, Elgin American Little League. Julia McClendon, Executive Director, YWCA of Elgin. Karen Oswald, Executive Director, Literacy Connection. 9flik_ FINANCIAL IMPACT 1 . Literacy Workplace Initiative Project: Sufficient funds are available to reallocate from CDBG Program Year 1997, Professional Services, account number 230-000-791 .30-99, Literacy Workplace Initiative project (154309) the balance of $18, 023 .50 to the CDBG Program Year 2002 , Residential Rehabilitation Program, account number 230-0000-791 . 78-99, project number 154045 . 2 . The YWCA Fire Alarm Project: Sufficient funds are available to reallocate from CDBG Program Year 1999, Major Repairs/Building-Structures, account number 230-0000-791 . 93-36, project number 154522 the balance of $39, 147 . 93 and combine it with CDBG Program Year 2002, Major Repairs/Building-Structures, account number 230-0000-791 . 93-36, YWCA Facility Rehabilitation project (154054) with a balance of $70, 000 for a total budget amount of $109, 081 . 80 . 3 . The Elgin American Little League Field Rehabilitation Project: Sufficient funds are available to reallocate from CDBG Program Year 1999, Major Repairs/Building-Structures, account number 230-0000-791 . 93-36, project number 154525 the balance of $25, 000 to the CDBG Program Year 2002, Residential Rehabilitation Program, account number 230- 0000-791 . 78-99, project number 154045 . 4 . Fair Housing Advocacy Project: Sufficient funds are available to reallocate from CDBG Program Year 2002, Professional Services, account number 230-0000-791 .30-99, project number 154051 the balance of $75, 000 to the CDBG Program Year 2002, Residential Rehabilitation Program, account number 230-0000-791 . 78-99, emik project number 154045 . Annual Updated Action Plans April 18, 2003 Page 6 V1 J`ISCV LEGAL IMPACT Amendments to the 1997, 1999, and 2002 Annual Action Plans are required in order to reallocate funds, revise the scope of work, and change the purpose from the 1997, 1999, and 2002 CDBG Program Year into other projects or eligible activities. ALTERNATIVES 1 . Approve the amendments to the 1997, 1999, and 2002 Annual Action Plans, as described in the memo. 2 . Provide direction to the staff on the revision of the projects. RECOMMENDATION It is recommended that the City Council approve the reallocation of the remaining budgeted funds in the YWCA fire alarm, American rm. Little League, Fair Housing Advocacy and the Literacy Institute projects to the YWCA Facility improvement and Residential Rehab program projects as outlined. Respectfully submitted for Council consideration. AC eft.