Martina Kuehl, Kuehl Enterprises LLC

Each year, the city will develop an Annual Action Plan that describes how the annual allocation will be used. Planned activities are tied to the five-year goals and objectives of the Consolidated Plan. Once adopted, the Consolidated Plan will restrict how CDBG grant revenue can be expended. CDBG funds do not require a match from the city.

The CDBG program was created under the Housing and Community Development Act of 1974, and is one of the longest continuously-run programs at HUD. The CDBG program provides annual grants to states and over 1,200 units of local government nationally.

CDBG funds may be used for a variety of activities that meet the needs of low- and moderate-income (LMI) residents and neighborhoods, and vulnerable populations as defined by HUD. Eligible activities fall into four broad categories:

1. Community Facilities and Infrastructure
2. Community Services and Programs
3. Economic Development
4. Quality Affordable Housing

Activities must also address Congress' primary CDBG objective to improve communities, principally for LMI residents by:

1. Providing Decent Housing,
2. Providing a Suitable Living Environment, and
3. Expanding Economic Opportunities.

To date, the city of Goodyear has competed for CDBG funds through the Maricopa Urban County. At the May 11, 2020, Council work session, the direction was given to accept HUD's invitation to become a direct recipient (entitlement community) and initiate the planning process in order to begin receiving funds in FY2022.

On January 25, 2021, Council approved the CDBG Public Participation Plan which outlined how public feedback would be collected during the development of the CDBG planning documents.

A menu of priority areas and proposed activities to be included in Goodyear's Five-Year Consolidated Plan and Annual Action Plan have been identified through a public process that included a resident survey, meetings with community organizations and representatives, interviews with residents and stakeholders, and analysis of data, and are presented for Council discussion.

The Five-Year Consolidated Plan establishes the framework and priority categories for the use of CDBG funding received from the US Department of Housing and Urban Development (HUD) for the five-year period covering CDBG program years (PY) 2021-2025, which is equivalent to city fiscal years (FY) 2022-2026. This document is required by HUD and will be updated every five years unless an amendment is needed sooner.

The plan describes needs, resources, goals, strategies, and objectives to assist Goodyear’s low-and-moderate (LMI) people, households, and neighborhoods as defined by HUD. The majority of the plan is a HUD-required analysis of the existing conditions impacting LMI residents in the city. Data in the plan are generated by HUD through its Comprehensive Housing Affordability Strategy (CHAS) data system and from the US Census Bureau American Community Survey. This analysis informs the development of the priority categories and activities proposed for CDBG funding.

In developing the Consolidated Plan, the city must establish five-year goals related to the use of CDBG funds and strategies to improve the delivery system, address lead-based paint hazards, reduce the incidence of poverty, and address barriers to affordable housing development.

Based on the data analysis and input from residents and stakeholders, the following proposed five-year priority areas, goals, and strategies are presented for Council discussion and ultimate inclusion in the Five-Year Consolidated Plan and PY2021 Annual Action Plan.

Five-Year Consolidated Plan for PY2021-2025
Based on data analysis and public and stakeholder input, the following five broad areas for CDBG-eligible activities are recommended as priorities for the next five years. Activities can be categorized as high or low priority.

 

• High-Priority Activities (likely to be funded with CDBG resources during the next five years)

1. Community Facilities and Infrastructure
2. Public Services
3. Program Administration

• Low-Priority Activities (may be funded as opportunities arise)

1. Attainable and Sustainable Housing
2. Economic Development

As opportunities that directly benefit LMI households, LMI neighborhoods, and people with special needs may be present throughout the city, staff's recommendation is to remain open to investing CDBG funds in activities throughout the city, rather than restricting use to one specific target area.

PY2021 Annual Action Plan
The amount of CDBG funding received by the city will vary from year-to-year based on the federal budget. The city expects to receive approximately $422,807 annually during each of the next five years. The Annual Action Plan must describe specific activities the city will fund with its CDBG allocation in the upcoming fiscal year and must correlate with at least one priority activity area indicated in the Five-Year Consolidated Plan.

Public Outreach and Feedback
A full spectrum of needs and priorities was discussed in public meetings, hearings, and interviews that included residents and stakeholders. Residents were also invited to complete a CDBG survey to help prioritize the use of CDBG funds and 316 surveys were received. 

The following priority activities were identified across the methods of public outreach:

• Community Facilities and Improvements
  • Broadband infrastructure;
  • Facilities for seniors and people with disabilities;
  • Multi-generational community center;
  • Neighborhood clean-up;
  • Nonprofit and one-stop services facilities;
  • Park improvements;
  • Street lighting;
  • Streets and sidewalks; and
  • Water and sewer system improvements

• Public Services*
  • Child care;
  • Employment and job training and job search/placement assistance;
  • Financial education and counseling;
  • Food and clothing;
  • Health and mental health services;
  • Recreational programs; and
  • Transportation services.

*A maximum of 15% ($63,421) of the total allocation may be expended on public services.

Recommended Activities
Based on stakeholder input and the city’s current capacity to administer CDBG funds, staff recommends focusing on community facilities and infrastructure and developing the city’s CDBG program administration capabilities during the first CDBG program year. Activities in other priority areas identified in the Five-Year Consolidated Plan can be considered in future years.

Community Facilities and Infrastructure ($338,246)
Three infrastructure projects were identified based on a review of the projects in eligible LMI areas in the FY2021-2025 CIP anticipated in FY2022. Due to the additional requirements for infrastructure projects that are funded with CDBG dollars, staff recommends funding the North Subdivision Streetlight Project since it is already subject to federal requirements as a result of the CDBG funding received from the county. 

1. Streetscape Improvements: Willis Rd (Estrella Pkwy to Mountain Vista Dr) – estimated cost $213,400
2. North Subdivision Streetlight Project – estimated cost $681,245 (after $303,200 awarded through Maricopa Urban County)
3. Streetscape Improvements: Estrella Pkwy (I-10 to MC-85) – estimated cost $814,000  

Program Administration ($84,561)
Up to 20% of the total CDBG allocation may be retained for administrative activities. Staff recommends setting aside 20% for program administration including:

1. Complying with federal regulations regarding environmental review, federal labor standards, financial management, and procurement, including policies regarding Minority- and Women-Owned business enterprises and employment of low- and moderate-income residents;
2. Promoting the principles of fair housing and educating the community about the dangers of lead-based paint;
3. Assessing neighborhood conditions to evaluate the benefits of revitalization activities; Assessing the need for human and public services to address the needs of vulnerable populations and Goodyear residents living in poverty; and
4. Establishing application and monitoring systems.

Next Steps
Following Council’s discussion, drafts of both plans will be made available for public comment on the city’s website at www.goodyearaz.gov/cdbg from April 1 through April 30, 2021. On April 26, 2021, there will be a Public Hearing to collect any further public comments. The Council will consider adopting the final Five-Year Consolidated Plan and PY2021 Annual Action Plan at the May 10, 2021, Council meeting, enabling staff to meet the May 15, 2021 submission deadline from HUD.