Regular 2.
Regular City Council Meeting
- Meeting Date:
- 09/28/2020
- TITLE
- Public Hearing for the FY2019-2020 Draft Comprehensive Annual Performance Evaluation Report (CAPER)
- PRESENTED BY:
- Brenda Beckett
- Department:
- Planning & Community Services
- Division:
- Community Development
RECOMMENDATION
Staff recommends Council hold a public hearing on September 28, 2020 to receive input on the City’s Draft CAPER. No further action is required at this time.
BACKGROUND (Consistency with Adopted Plans and Policies, if applicable)
As a recipient of the Community Development Block Grant (CDBG) and HOME Investment Partnerships program (HOME) funding, the United States Department of Housing and Urban Development (HUD) requires City staff to submit a performance report within 90 days following June 30, the end of the program year. This report is called the Comprehensive Annual Performance Evaluation Report (CAPER).
As part of the community review process, City staff must make the report available for public comment for a minimum 15-day period, scheduled from September 12 through September 28, 2020. Staff must also coordinate a public hearing to be held during a City Council meeting to collect any comments from the community. No further Council action is required on the CAPER at this time.
The City of Billings met most of the goals established for both the Consolidated and Annual Action Plan. Each of the City’s highest priorities and activities are listed below, along with accomplishments for each program. Further information will be provided through the staff presentation at the meeting.
Affordable Housing Preservation
• Housing Rehabilitation: Two low income households were assisted with financing to carry out major home repairs; the five-year total for this program is 20 homeowner housing units rehabilitated. Engaging contractors to assist low income homeowners continues to be an issue, including contractor compliance with registration through the System for Award Management (SAM). Significant hail storms the summer of 2019 are contributing to a contractor shortage and homeowners are hesitant to engage with the program due to coronavirus contamination concerns.
• Foreclosure Acquisition / Rehabilitation:
o The City purchased, rehabilitated and sold five of these homes to income-qualified households over the past five years and two additional properties are underway.
o A low income household purchased a recently rehabilitated home on 19th Street West.
o One property was purchased in the Billings Heights area last fiscal year and staff reviewed the project for rehabilitation feasibility. The property was demolished and a Request for Proposals has been issued for affordable housing development.
o The City purchased a vacant foreclosed property in the North Park neighborhood on North 22nd Street. Rehabilitation is currently underway.
New Affordable Housing Opportunity
• Affordable Housing Development: Financing was provided to NeighborWorks Montana, a
certified Community Housing Development Organization (CHDO), to build two new
homeownership housing units - Riverfront Point II. The homes were sold to two income-eligible
households this fiscal year. Four units of homeowner housing have been added to the affordable
housing stock over the past five years.
• First Time Home Buyer: A total of 59 households were assisted with down payment and closing
costs through HOME and CDBG programs this fiscal year. They all received pre-purchase
homebuyer counseling. Over the past five years, the City has provided homebuyer assistance to
289 income-qualified households.
Poverty Impact
• Billings Metro VISTA Project: Several AmeriCorps Volunteers in Service to America (VISTA)
members were dedicated to impacting poverty and homelessness in Billings. Overall, the project
provided education, housing, health and social services to 297 individuals in the Billings area this
fiscal year. Over the past five years, this program has assisted 2,770 low-income people.
A notice of the availability of the draft report has been published and provided to community partners. The complete drafted CAPER has been provided as an attachment to this report. Updated versions may be viewed online at www.BillingsMT.gov/caper.
As part of the community review process, City staff must make the report available for public comment for a minimum 15-day period, scheduled from September 12 through September 28, 2020. Staff must also coordinate a public hearing to be held during a City Council meeting to collect any comments from the community. No further Council action is required on the CAPER at this time.
The City of Billings met most of the goals established for both the Consolidated and Annual Action Plan. Each of the City’s highest priorities and activities are listed below, along with accomplishments for each program. Further information will be provided through the staff presentation at the meeting.
Affordable Housing Preservation
• Housing Rehabilitation: Two low income households were assisted with financing to carry out major home repairs; the five-year total for this program is 20 homeowner housing units rehabilitated. Engaging contractors to assist low income homeowners continues to be an issue, including contractor compliance with registration through the System for Award Management (SAM). Significant hail storms the summer of 2019 are contributing to a contractor shortage and homeowners are hesitant to engage with the program due to coronavirus contamination concerns.
• Foreclosure Acquisition / Rehabilitation:
o The City purchased, rehabilitated and sold five of these homes to income-qualified households over the past five years and two additional properties are underway.
o A low income household purchased a recently rehabilitated home on 19th Street West.
o One property was purchased in the Billings Heights area last fiscal year and staff reviewed the project for rehabilitation feasibility. The property was demolished and a Request for Proposals has been issued for affordable housing development.
o The City purchased a vacant foreclosed property in the North Park neighborhood on North 22nd Street. Rehabilitation is currently underway.
New Affordable Housing Opportunity
• Affordable Housing Development: Financing was provided to NeighborWorks Montana, a
certified Community Housing Development Organization (CHDO), to build two new
homeownership housing units - Riverfront Point II. The homes were sold to two income-eligible
households this fiscal year. Four units of homeowner housing have been added to the affordable
housing stock over the past five years.
• First Time Home Buyer: A total of 59 households were assisted with down payment and closing
costs through HOME and CDBG programs this fiscal year. They all received pre-purchase
homebuyer counseling. Over the past five years, the City has provided homebuyer assistance to
289 income-qualified households.
Poverty Impact
• Billings Metro VISTA Project: Several AmeriCorps Volunteers in Service to America (VISTA)
members were dedicated to impacting poverty and homelessness in Billings. Overall, the project
provided education, housing, health and social services to 297 individuals in the Billings area this
fiscal year. Over the past five years, this program has assisted 2,770 low-income people.
A notice of the availability of the draft report has been published and provided to community partners. The complete drafted CAPER has been provided as an attachment to this report. Updated versions may be viewed online at www.BillingsMT.gov/caper.
ALTERNATIVES
City Council's only option is to hold the public hearing on the CAPER in order continue receiving CDBG and HOME funds and to remain in compliance with Federal law.
FISCAL EFFECTS
The Annual Performance Report summarizes the City’s progress in achieving the goals of its five-year Consolidated Plan and Annual Action Plan for FY2019-2020. The City received $649,979 in new federal CDBG funding and $320,788 in new HOME funding for this budget period to carry out home buyer / repair and poverty-impact initiatives. Since the majority of all funding for the Community Development Division to operate and carry out these programs is HUD funds, it is critical these programs continue and the City remain in compliance with HUD regulations.