HomeMy WebLinkAbout23-90 Resolution No. 23-90
RESOLUTION
APPROVING THE 2023 ANNUAL ACTION PLAN, AUTHORIZING THE EXECUTION OF
DOCUMENTS NECESSARY TO PARTICIPATE IN THE COMMUNITY DEVELOPMENT
BLOCK GRANT PROGRAM, AND AUTHORIZING EXECUTION OF AN AMENDMENT
TO CDBG PROGRAM MANAGEMENT INTERGOVERNMENTAL AGREEMENT WITH
KANE COUNTY FOR SERVICES NECESSARY TO ADMINISTER AND MANAGE THE
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
WHEREAS, Title I of the Housing and Community Development Act of 1974 provides
Community Development Block Grant (CDBG) funding to units of local government for the
purpose of developing viable urban communities by providing decent housing, a suitable living
environment, and by expanding economic opportunities; and
WHEREAS,the CDBG Program is funded by the U.S. Department of Housing and Urban
Development(HUD)and is to be implemented in a manner consistent with priorities and strategies
identified in the Kane-Elgin Consortium's Housing and Community Development Consolidated
Plan; and
WHEREAS, it is necessary to approve an Annual Action Plan for Program Year 2023 in
order for the City to qualify for its annual formula allocation of CDBG funds from HUD; and
WHEREAS, it is desirable to amend an intergovernmental agreement with Kane County
to provide for the proper administration and management of activities funded under the City's
CDBG program during Program Year 2023.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
ELGIN, ILLINOIS:
Section 1.That the 2023 Annual Action Plan,including the activities listed below,is hereby
approved:
1. Crisis Center Rehabilitation
The Community Crisis Center will make capital improvements to their historic facility in
Elgin. The work will include the installation of new HVAC units and the replacement of
exterior doors.
CDBG Funding: $25,950.00
Agency: Community Crisis Center
2. Wasmond Center Window Replacement
Marklund Children's Home will replace dilapidated windows in its Wasmond Center
facility in Elgin.
CDBG Funding: $100,000.00
Agency: Marklund Children's Home
3. Well Child Center Dental Suite
The Well Child Center will rehabilitate and outfit a dental suite in its Elgin facility in order
to properly address the oral health care needs of clientele enrolled in their Women, Infants,
and Children (WIC) Program.
CDBG Funding: $49,100.00
Agency: Well Child Center
4. Near Westside Street Improvements
The City will resurface streets in the Near Westside Neighborhood. The work will also
incorporate accessibility improvements to sidewalks, replacing adjacent curbs and gutters,
and correcting minor drainage and storm sewer deficiencies.
CDBG Funding: $400,000.00
Agency: City of Elgin Engineering Division
5. Affordable Housing Fund
The Affordable Housing Fund(AHF)will leverage multiple funding sources to support the
preservation and creation of affordable housing for households with incomes at or below
80% of the area median income ($83,350 for a family of four). CDBG funds will be used
to provide gap financing for the development of affordable housing within the City of
Elgin.
CDBG Funding: $218,507.00
Agency: Kane County Office of Community Reinvestment
5. Owner-Occupied Housing Rehabilitation Program
Housing rehabilitation assistance will be provided to income-eligible homeowners whose
single-family homes are located within the corporate boundaries of the City of Elgin. The
program will address code violations and substandard living conditions that present a
threat to building occupants.
CDBG Funding: $139,774.00
Agency: Kane County Office of Community Reinvestment
6. CDBG Program Administration
Funds will cover costs associated with the administration of the CDBG program, and
expenses associated with administration of the Continuum of Care, which facilitates the
award of state and federal funding to Elgin agencies that serve the homeless population.
CDBG Funding: $147,426.00
Agency: Kane County Office of Community Reinvestment
Section 2. That the above funding awards are conditioned on each agency's compliance
with applicable HUD requirements,and satisfaction of conditions outlined in the attachment to the
report and recommendation issued to the Mayor and Members of the City Council at the
Committee of the Whole meeting of March 22, 2023.
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Section 3. That Richard G. Kozal, City Manager, be and is hereby authorized and directed
to execute such applications, agreements, certifications, reports, and other documents required by
HUD, and to provide additional information and furnish such documents as may be required by
HUD,to complete the activities described in the plans approved or amended herein.
Section 4. That Richard G. Kozal, City Manager, be and is hereby authorized and directed
to execute an amendment to CDBG Program Management Intergovernmental Agreement on
behalf of the City of Elgin with Kane County for program administration and management
services, a copy of which is attached hereto and made a part hereof by reference.
s/David J. Kaptain
David J. Kaptain, Mayor
Presented: April 26, 2023
Adopted: April 26, 2023
Omnibus Vote: Yeas: 9 Nays: 0
Attest:
s/Kimberly Dewis
Kimberly Dewis, City Clerk
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Amendment#9 to CDBG Program Management
Intergovernmental Agreement
THIS AMENDMENT, made and entered into this 26th day of April 2023, by and
between the CITY OF ELGIN, an Illinois municipal corporation (the "CITY"),and KANE COUNTY,a body
corporate and politic(the "COUNTY"),which are collectively known as "the Parties", modifies an
Intergovernmental Agreement(the "Agreement")entered into by the Parties for CDBG Program
Management services on July 13, 2016, and subsequently amended on November 15, 2017,July 11,
2018,July 24, 2019,October 31, 2019, February 27, 2020, March 27, 2020,July 28, 2021,and July 27,
2022.
WITNESSETH:
WHEREAS, under the Agreement(as amended),the COUNTY provides program management
services to the CITY in order to ensure proper implementation of its Community Development Block
Grant("CDBG") Program and close-out of its Neighborhood Stabilization Program ("NSP"), both of which
are funded by the U.S. Department of Housing and Urban Development("HUD"); and
WHEREAS, Paragraph 6 of said Agreement stipulates it will automatically renew for subsequent
one-year periods on June 1, provided that the CITY is awarded an annual formula allocation of CDBG
funds by HUD for the new Program Year beginning on June 1,and a budget for program management
services to be provided during the new Program Year is approved by the CITY as part of its Annual Action
Plan;and
WHEREAS, under said paragraph,the Agreement was renewed for Program Years 2017 through
2022, and the Parties amended the Agreement to make certain changes regarding the budget and scope
of services;and
WHEREAS,the CITY has been awarded an annual formula allocation of CDBG funds for Program
Year 2023 (June 1, 2023 to May 31, 2024),and a budget for program management services to be
provided during Program Year 2023 was approved by the CITY as part of its Annual Action Plan for
Program Year 2023;and
WHEREAS,the Agreement automatically renewed for Program Year 2023, but it is necessary to
amend the Agreement to make certain changes regarding the budget and scope of services to be
provided by the COUNTY;and
WHEREAS, Paragraph 18 of the Agreement stipulates that it may be amended provided that
such amendments are in writing and duly executed by the Parties.
NOW,THEREFORE, upon the consideration of the mutual promises contained herein and upon
the further consideration of the recitals hereinabove set forth, it is hereby agreed between the CITY and
COUNTY to amend certain portions of the Agreement as follows:
I. Paragraph 4, "Payments to the County,"shall be amended as follows:
A. The CITY shall make periodic payments to the COUNTY for program management
services provided under this Agreement according to the budget established in
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Attachment B, "Budget for Elgin CDBG Program Management Services."
B. The total of all payments made by the CITY to the COUNTY for program management
services provided under this Agreement shall not exceed$143,126 from the CITY's
Program Year 2022 2023 allocation unless modifications to the SERVICES are authorized
in writing by the CITY and COUNTY by way of written amendment to this Agreement.
C. The CITY shall also make periodic payments to the COUNTY for the reimbursement of
Affordable Housing Fund project costs provided under this Agreement according to the
budget established in Attachment C, "Budget for Elgin CDBG Program Affordable
Housing Fund."
D. The total of all payments made by the CITY to the COUNTY for Affordable Housing Fund
project costs provided under this Agreement shall not exceed$89,884.99$218,507.00
from the CITY's Program Year 2022 2023 allocation unless modifications to the SERVICES
are authorized in writing by the CITY and COUNTY by way of written amendment to this
Agreement.
E. The CITY shall also make periodic payments to the COUNTY for the reimbursement of
housing rehabilitation costs and services provided under this Agreement according to
the budget established in Attachment D, "Budget for Elgin CDBG-CV Program Owner-
Occupied Housing Rehabilitation Program."
F. The total of all payments made by the CITY to the COUNTY for housing rehabilitation
costs and services provided under this Agreement shall not exceed$139,774.00 from
the CITY's CDBG-CV allocation unless modifications to the SERVICES are authorized in
writing by the CITY and COUNTY by way of written amendment to this Agreement.The
payments to the COUNTY for housing rehabilitation costs and services shall include both
the amounts of residential rehabilitation assistance provided to Elgin residents for
rehabilitation costs and the program delivery costs to Community Contacts, Inc.,for the
administration and management of the CITY's housing rehabilitation program, in
accordance with the terms and provisions of this Agreement.The COUNTY shall pay
Community Contacts, Inc., directly for its administration and management of the CITY's
housing rehabilitation program,and shall submit invoices to the CITY for reimbursement
in accordance with Section 4 of this Agreement.
&G. Additional services provided by the COUNTY which are not described herein require
prior written approval of the CITY and COUNTY and shall be compensated according to
terms agreed upon in such written approval.
II. Attachment A, "Scope of Services,"shall be replaced with Amended Attachment A, "Scope of
Services,"which is attached to this Amendment.
III. Attachment B, "Budget for Elgin CDBG Program Management Services,"shall be replaced with
Amended Attachment B, "Budget for Elgin CDBG Program Management Services,"which is
attached to this Amendment.
IV. Attachment C, "Budget for Elgin CDBG Program Affordable Housing Fund,"shall be replaced
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with Amended Attachment C, "Budget for Elgin CDBG Program Affordable Housing Fund,"which
is attached to this Amendment.
V. Attachment D, "Budget for Elgin CDBG-CV Program Owner-Occupied Housing Rehabilitation
Program,"which is attached to this Amendment,shall be incorporated into the Agreement.
IN WITNESS WHEREOF,the undersigned Parties have caused this Amendment to be executed by their
duly designated officials.
CITY OF ELGIN,a municipal corporation
By: Date: April 26,2023
Richard Kozal,City Manager
Attest Lya��r
Kimberly Dewis,C' rk
COUNTY OF KANE,a body politic in the State of Illinois
JBy: Date: April 19, 2023
Scott Berger, Director
Office of Community Re vestment
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AMENDED ATTACHMENT A
SCOPE OF SERVICES
The Kane County Office of Community Reinvestment will provide the following program and
project management services to support the City of Elgin's CDBG Program:
Determination of Activity Eligibility and Project Readiness
• Provide written report with supporting documentation for each project to document
compliance with HUD's activity eligibility and national objective criteria.
• Provide written report documenting project readiness and verifying that funding sources are
secured and projects are ready to proceed.
Annual Action Plan Prep./Amendment Prep.
• Prepare plan narratives.
• Enter plan narratives and projects/activities into HUD's IDIS System.
• Public comment period/public hearing.
o Draft public notice for publication.
o Conduct public hearing(within the City of Elgin).
o Prepare summary of comments received during comment period and hearing for review
by Elgin.
• Plan submittal:
o Incorporate public comments/responses and submit with Kane-Elgin Consortium plans
in IDIS.
o Provide hard and electronic copies of final plan for Elgin's records/use.
• Prepare amendment(s)to any current or prior-year Action Plan(s)as requested by Elgin.
Environmental Review
• Prepare individual Environmental Review Records for all CDBG-funded activities for review and
signature by Elgin's Certifying Official.
• Prepare/publish required notices (if necessary).
• Prepare RROF/FONSI forms for review/signature by Elgin's Certifying Official and submittal to
HUD(if necessary).
• Obtain release of funds from HUD (if necessary).
• Enter/upload all required information/documents into HEROS systems as required by HUD.
Project Management/Oversight
Includes oversight of both new and prior-year CDBG activities through project close-out and final file
review to ensure project records are complete and ready for future audits and/or monitorings.
• Prepare funding agreements.
• Set up all activities in IDIS.
• Conduct project kick-off/orientation meeting to ensure smooth project launch/completion.
• Assist with procurement/bidding processes to confirm compliance with HUD standards.
• Confirm/document that the selected contractors (and subs)are not debarred.
• Ensure compliance with Federal Labor Standards/Davis-Bacon, including collection of certified
payroll records from contractors(and subs), and conducting/documenting job site interviews.
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• Collect and maintain documentation of activity accomplishments and beneficiary info, including
quarterly performance reports. Update accomplishments in IDIS on a quarterly basis per HUD
standards.
• Monitor projects (both while underway and at completion).
• Collect and review annual agency audits to confirm compliance with OMB standards. Follow up
on any findings/deficiencies that are of concern.
• Enter completion data/info and closeout projects in IDIS.
• Preparation of project files/records:
o Provide Elgin with complete and organized file for each project (in both hard and
electronic formats)to document compliance with all Federal requirements.
• Meet with representatives from Elgin's external auditing firm to provide information/
documentation and assist with the city's annual single audit.
• Meet with HUD staff to provide information/documentation and assist with monitoring visits.
Field follow-up questions and prepare draft written responses for Elgin's review/submittal to
HUD.
Affordable Housing Fund
• Administer the Kane-Elgin Consortium's Affordable Housing Fund (AHF),which leverages
multiple funding sources to support the preservation and/or creation of affordable housing for
households with incomes at/below 80%of the Area Median Income,as updated and published
annually by HUD.
• Conduct an annual Request for Proposals process to solicit housing development and/or
redevelopment projects from non-profit and for-profit developers.
• Evaluate, underwrite,and present applications to the Kane-Elgin Home Commission,which will
be responsible for reviewing and approving AHF awards. Projects receiving Elgin CDBG funding
through the AHF must be located in the City of Elgin.
• Subcontract with approved developers to complete AHF projects.
• Oversee and monitor all aspects of AHF projects to ensure satisfaction of HUD requirements.
• Pay developers directly for eligible and appropriate project costs and submit reimbursement
requests to Elgin.
• Maintain project files and beneficiary data for reporting/tracking purposes.
Neighborhood Stabilization Program
• Complete the close-our process for Elgin's Neighborhood Stabilization Program.
• Administer remaining funds,which will be converted by HUD to CDBG funds,for activities
approved by the City of Elgin.
Financial Recordkeeping/Payment Processing/Reporting
• Review/approve project invoices/requests for payment.
• Submit invoices/requests for payment to the city's Finance Department for processing.
o If requested by city,assist with IDIS drawdown process to ensure prompt
reimbursement from HUD.
• If requested by Elgin, review financial records and quarterly financial reports (SF-425).
• Maintain records/backup documentation to support the city's financial records. Make same
available for preparation of the city's annual single audit and HUD monitoring.
o Prepare corrective action plans and narrative responses necessary to address
deficiencies identified in program audits/monitoring visits.
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• Prepare and submit other compliance reports.
o Contract and Subcontract Activity Reports (HUD-2516)
o Semi-annual Labor Standards Enforcement Reports (HUD-4710)
o Section 3 Summary Report
o FFATA Subaward Reporting
Consolidated Annual Performance Evaluation Report(CAPER)
• Prepare written accomplishment narratives.
• Enter all required info/data in HUD's IDIS System.
• Public comment period:
o Draft public notice for publication.
o Prepare summary of comments received during comment period for city.
• Report submittal:
o Incorporate public comments/responses and submit with Kane-Elgin Consortium CAPER
in IDIS.
o Provide hard and electronic copies of final report for city records/use.
Application Process
• Conduct application process for projects sponsored by external entities.
• Provide bound (and electronic) packet for review by city administration and City Council,
including:
o Staff reports/evaluations/recommendations;and
o Budget worksheet to aid in the allocation process.
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AMENDED ATTACHMENT B
BUDGET FOR ELGIN CDBG PROGRAM MANAGEMENT SERVICES'
Elgin CDBG Program Management Services for Program Year 2023
Expenses Amount
1. Program Staff Support $130,756.00'
2. Operating Expenses $12,370.00
Not-to-Exceed Total from CITY's PY2023 Allocation $143,1 A
' NOTE: CDBG Program Management Services also includes the administration and management of
outstanding funds that were allocated to Elgin but were unexpended in prior Program Years.
' Program Staff Support shall be paid to the COUNTY based upon the number of hours of work provided
under this Agreement.
The total amount paid to the COUNTY shall not exceed the amounts set forth above.
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AMENDED ATTACHMENT C
BUDGET FOR ELGIN CDBG PROGRAM AFFORDABLE HOUSING FUND
Elgin CDBG Program Affordable Housing Fund for Program Year 2023
Expense Amount
1• Housing Redevelopment Services(property acquisition and redevelopment $218,507.00
costs)
Not-to-Exceed Total from CITY's PY2023 Allocation $218,507.00
NOTE:Affordable Housing Fund services also includes the administration and management of
outstanding funds that were allocated to Elgin but were unexpended in prior Program Years.
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ATTACHMENT D
BUDGET FOR ELGIN CDBG-CV PROGRAM OWNER-OCCUPIED HOUSING REHABILITATION PROGRAM"
ProgramElgin CDBG-CV Program Owner-Occupied Housing Rehabilitation Program for
Expense Amount
1. Housing Rehabilitation Services(includes rehabilitation costs) $139,774.00
Not-to-Exceed • • D'G-CV Allocation $139,774.00
4 NOTE: Rehabilitation Services also includes the administration and management of outstanding funds
that were allocated to Elgin but were unexpended in prior Program Years.
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