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07-179 Resolution No. 07-179 RESOLUTION AUTHORIZING AMENDMENT TO THE 2003 COMMUNITY DEVELOPMENT BLOCK GRANT AND THE 2003 ACTION PLAN BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that the 2003 Community Development Block Grant Program and the 2003 Action Plan is hereby amended for the change in use of funds to the following project: I. Change in use of Funds A. The change in use of funds for the 2003 PADS Construction Project to be redirected for public service activities as provided for under the Housing and Community Development Act of 1974 as amended. s/Ed Schock Ed Schock, Mayor Presented: July 11, 2007 Adopted: July 11, 2007 Vote: Yeas: 6 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk ,(OF f�Ci v Agenda Item No. 0,00 , a City of Elgin May 4, 2007 u ,� �,,�) TO Mayor and Members of the City Council _ FROM Olufemi Folarin, City Manager ; Janice Ward, Senior Planner r ire Horui!r, SUBJECT: Proposed Amendment to the 2003 Community Development Block Grant Annual Action Plan for the P.A.D.S. Public Service Project PURPOSE The purpose of this memorandum is to provide the Mayor and the members of the City Council with information regarding a proposed amendment to the 2003 Community Development Block Grant (CDBG)Annual Action Plan and to initiate the amendment process. RECOMMENDATION ellik It is recommended that the City Council consider a proposed change in the scope and purpose from Public Action to Deliver Shelter (P.A.D.S.) Land Acquisition Project to the P.A.D.S. Public Service Project and direct staff to process the necessary amendment to the 2003 CDBG Annual Action Plan. BACKGROUND P.A.D.S.was originally awarded$50,000 in 2003 CDBG funds for land acquisition. In 2003,P.A.D.S. requested an amendment to the Annual Action Plan in order to use their CDBG funds for construction activities associated with the shelter rather than the acquisition of land. On July 23, 2003, the City Council approved the amendment. In 2005, P.A.D.S. requested a second amendment to change the scope of the P.A.D.S. Shelter Construction Project from building construction back to land acquisition and to authorize the reallocation of$45,000 in unused 2001 and 2003 CDBG funds to increase the total project budget to $95,000. On July 27, 2005, the City Council approved the second amendment. However, P.A.D.S. was unable to acquire the land for which the amendment was approved and has since entered into a long-term lease at 1730 Berkley. CDBG regulations do not allow funding capital projects in leased buildings. Accordingly,P.A.D.S. is now requesting a change in scope to allow their CDBG funds to be redirected from land acquisition to public services. This change requires an amendment to the 2003 CDBG Annual Action Plan. Amendment to the 2003 CDBG Action Plan for P.A.D.S. May 4,2007 Page 2 The amendment process consists of a thirty(30)day public comment period for the proposed change,a public hearing, and the submission of the amended CDBG Annual Action Plan to HUD. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None. EINANCIAL IMPACT Funds totaling $95,000 have been allocated to P.A.D.S. and are available in the Community Development Block Grant Fund, account number 230-000-791.93-36, project number 154911. GAL IMPACT An amendment to the 2003 Annual Action Plan is required in order to revise the scope and purpose of the P.A.D.S. Land Acquisition Project to P.A.D.S. Public Service Project. ALTERNATIVES 1. Consider the amendment to the 2003 Annual Action Plan,as described in the memo,and initiate the amendment process for the P.A.D.S. Public Service Project. 2. Disapprove the amendment to the 2003 Annual Action Plan for the P.A.D.S. Public Service Project and provide direction to City staff regarding revisions to the project scope. Respectfully submitted for Council consideration. JAW Attachment ''P.A.D.S. of Elgin March 6, 2007 Elgin City Council C/O Ms. Jan Ward CDBG Coordinator City of Elgin 150 Dexter Ct. Elgin, IL 60120 Dear Jan: Re: Amended PADS of Elgin CDBG request We are requesting a change of scope for our$95,000 CDBG grant. The acquisition of land from Messiah Lutheran Church is not possible due to legal challenges. PADS has now entered into a long-term lease for a shelter site in Elgin. Please initiate the process to amend the grant from "Acquisition"to the "Public Services" category. Our emergency overnight shelter service is being expanded and improved as it moves into a permanent facility. Please let me know if you need additional information. I can be reached on 847-812-0466. Thank you for your consideration. Sincerely, Ron Barkby, President P.A.D.S. of Elgin Board of Directors CC: Sean Stegall 6)4 DIV1s c n St. • Suite 503 • Elam 60120 • Phone S4 60R 0744 • `o f-'47 505 c'46