Consideration and Approval of Acceptance of Grant Funding:  Fiscal Year 2012/2013 Community Development Block Grant Funds (CDBG).

Authorize acceptance of grant funding in the amount of $532,465 from the United States Department of Housing and Urban Development (HUD) for the FY 2012/2013 Community Development Block Grant (CDBG) Program.

Approval of the Grant Agreement is necessary for receipt of federal funds for the City’s CDBG program.

•  Decision Points:  There are no subsidiary decisions that must be made prior to considering this matter.

Approval of the Grant Agreement will bring $532,465 into the Flagstaff community and will provide funding for eight CDBG contracts previously approved by City Council via Resolution No. 2012-16. The 2012/2013 CDBG allocation is $532,465.  In addition, the City of Flagstaff is able to combine program income and reallocated funds from previous years to increase the funds available for allocation.  Total program income and reallocated funds equal $52,605.28 for a grand total of $585,070.28 available for 2012/2013 allocation.

Livability through good neighborhoods, affordable housing and varied recreational activities.

On April 17, 2012 City Council allocated these funds for this purpose as part of the 2012/2013 CDBG Annual Action Plan Process. HUD has now approved the Annual Action Plan and is ready to execute the attached Grant Agreement.

• Option 1: Authorize the acceptance of funds.
• Option 2: Not authorize the acceptance of funds and discontinue the City’s CDBG program.

 

On an annual basis, the City of Flagstaff receives Community Development Block Grant (CDBG) funds from the US. Department of Housing and Urban Development (HUD). As a part of the CDBG program the City of Flagstaff is required to submit an Annual Action Plan in May of each year detailing how funding will be spent. On April 17, 2012 City Council approved Resolution No. 2012-16 approving the FY 2012/2013 Annual Action Plan and distributing the Community Development Block Grant Funds.  HUD has approved the Annual Action Plan and has issued the Grant Agreement for consideration of approval by the City of Flagstaff.

The City of Flagstaff first became a CDBG entitlement community in 1996. The City’s Housing Section has extensive history and experience in successful administration of the CDBG program.

CDBG funds, leveraged with other private and public funds over the past 16 years, have resulted in benefits to thousands of Flagstaff residents. FY 2012/2013 CDBG funds will be used to fund the following programs:

• BOTHANDS, Inc. – Financial Assistance Program - $110,000
• BOTHANDS, Inc. – Acquisition/Rehabilitation - $60,000
• Catholic Charities – Minor Rehabilitation of Transitional Housing - $37,000
• City of Flagstaff – Owner Occupied Housing Rehabilitation - $110,000
• Flagstaff Shelter Services – Shelter Rehabilitation - $79,070.28
• Coconino County – Housing Stabilization - $52,000
• Flagstaff Shelter Services – Operational Assistance - $29,000
• City Indirect and Program Administration - $108,000

Consult - Annually, the City conducts a minimum of two public forums to solicit information on housing and community development needs. A formal proposal and extensive public participation process was conducted as part of the Annual Action Planning process for the initial allocation of CDBG funds.  

• Option 1: Authorize the acceptance of funds.
• Option 2: Not authorize the acceptance of funds and discontinue the City’s CDBG program.

09/04/2012 - EAB