CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the Community Development Block Grant (CDBG) Program Year 2021 Annual Action Plan allocating $530,000 (Item 2 of 2)
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DEPARTMENT: City Clerk’s Office
SUBMITTED BY: Ruth Broder, Community Grants Coordinator
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The attached Annual Action Plan (AAP) outlines how CDBG funds will be spent in Program Year 2021 and how these projects meet the objectives of the CDBG program and the Consolidated Plan. The Program Year 2021 Annual Action Plan represents the second year of the DuPage County Consortium 2020-2024 Consolidated Plan.
For Program Year 2021, the City of Naperville estimates that it will receive approximately $530,000 in CDBG funds from the U.S. Department of Housing and Urban Development (HUD). When the exact allocation amount is made available by Congress, the City will adjust the awards based on the Contingency Provisions discussed below.
DISCUSSION:
To distribute the CDBG funding, the City held a Call for Projects and received eight capital improvement project applications totaling $368,800. Two applications, totaling $110,000, were submitted that were eligible for the City’s Social Services Grant program as well as CDBG.
All applications were evaluated and scored by a multi-departmental team of staff from the City Clerk’s Office, Naperville Police Department, Advisory Commission on Disabilities, Human Rights and Fair Housing Commission, and Senior Task Force.
Recommended awards/allocations
Affordable Rental Housing - $125,000
Illinois Independent Living Center
Acquire and rehabilitate a two-bedroom condominium unit for use as a permanently affordable rental unit in an apartment building providing affordable and accessible housing to low- and moderate-income disabled homeowners and renters. Approximately $100,000 will be used to acquire the unit (subject to results of an appraisal) and $25,000 will be used to rehabilitate the unit.
Affordable Owner-Occupied Housing - $31,200
1. A total of $31,700 will be added to $41,750 in PY 2019 CDBG funds to create a Single-Family Rehabilitation Program. In PY 2021, the program will rehabilitate up to six housing units owned and occupied by low- or moderate-income homeowners, with priority given to senior households in order to age in place. The City will seek to contract with an experienced nonprofit housing organization to manage this program.
Homeless Housing and Supportive Services - $110,000
1. Bridge Communities, Inc. will use the award to replace windows, patio doors, water heater, boiler and rehabilitate four kitchens at an eight-unit apartment building providing transitional housing for approximately 32 individuals in eight households. Improvements will improve energy efficiency and significantly reduce operating expenses.
Public Services - $79,500
1. Loaves & Fishes Cares Program will be awarded $65,500 for emergency rent/mortgage and utility assistance.
2. DuPage PADS Olympus Place Housing Program will be awarded $14,000 for supportive services to formerly homeless people with chronic disabilities.
Special Needs Housing and Supportive Services - $123,800
1. Little Friends, Inc. is recommended to receive $58,000 for capital improvements to a Community Integrated Living Arrangement (CILA) for four disabled adults, including renovation of the kitchen, installation of a drain tile foundation system and upgrading two bathrooms to full compliance with the Americans with Disabilities Act (ADA).
2. Ray Graham Association is recommended to receive $21,000 for installation of two chairlifts at a CILA housing six disabled adults.
3. United Cerebral Palsy-Seguin is recommended to receive $44,800 to enlarge and completely remodel a bathroom UCP Seguin’s CILA group home which houses four adults with severe disabilities. The rehabilitation will bring the home into full compliance with the Americans with Disabilities Act (ADA).
Program Administration - $60,000
1. Awarded for salary/program administration.
Funding contingencies
Contingency Action #1
If the final grant allocation is more than $530,000, the City will undertake the following change(s) in proposed activities:
1. Add additional funding for CDBG-eligible public services activities 1) Loaves & Fishes CARES Emergency Financial Assistance Program up to $70,000, and 2) DuPage PADS Olympus Place Supportive Housing Program with total public services costs to remain within the 15% HUD cap on public service activities
2. Add funding for fair housing activities (subject to planning and administration cap)
3. Add funding for infrastructure and facility improvement projects located in low- and moderate-income concentration areas (based on census tract block group data), or for infrastructure improvement projects targeted to low and moderate-income single-family homeowners or rental properties occupied by a minimum of 51% low and moderate-income residents, or barrier removal/ADA compliance projects in City-owned properties. These projects will be managed by the Transportation, Engineering, and Development (TED) Business Group or the Department of Public Works
Contingency Action #2:
If the final grant allocation is less than $530,000, the City will undertake the following change in proposed activities:
1) Reduce additional funding for Single-Family Home Repairs or proportionally reduce the proposed funding amounts for all activities to match the actual allocation amount.
The AAP was made available for public comment starting January 18, 2021 and concludes with a public hearing at the February 16, 2021 City Council meeting. Copies of the AAP are available at the City Clerk’s Office, Naperville Public Libraries, and on the City’s website. To date, no comments have been received.
FISCAL IMPACT:
Allocation of $530,000 in CDBG funds.