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ITEM 28 |
City Council Memorandum Neighborhood Resources Memo No.
NR22-027
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Date: |
November 9, 2023 |
To: |
Mayor and Council |
Thru: |
Joshua H. Wright, City Manager Tadd Wille, Assistant City Manager Leah Powell, Neighborhood Resources Director |
From: |
Karin Bishop, Community Development Senior Program Manager |
Subject: |
Resolution No. 5747 Approving Amendment No. 5 to the Intergovernmental Agreement Between Maricopa County Administered by its Human Services Department and City of Chandler to Accept Federal HOME Investment Partnerships Program Funds in the Amount of $442,726; Reallocate 2019 HOME Investment Partnerships Program Funds in the Amount of $141,585, and Extend the Expenditure Term to September 30, 2025; Authorizing the Adjustment of the Performance Timeline to the HOME Investment Partnerships American Rescue Plan Program Funds; Authorizing the City Manager to Sign All Related Documents and Assurances on Behalf of the City of Chandler; and Further Authorizing the City Manager to Take All Action Necessary or Prudent to Implement the City’s HOME Investment Partnerships and HOME Investment Partnerships American Rescue Plan Program Activities |
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Proposed Motion: |
Move City Council pass and adopt Resolution No. 5747, Approving Amendment No. 5 to the Intergovernmental Agreement Between Maricopa County Administered by its Human Services Department and City of Chandler to Accept Federal HOME Investment Partnerships Program Funds in the Amount of $442,726; Reallocate 2019 HOME Investment Partnerships Program Funds in the Amount of $141,585, and Extend the Expenditure Term to September 30, 2025; Authorizing the Adjustment of the Performance Timeline to the HOME Investment Partnerships American Rescue Plan Program Funds; Authorizing the City Manager to Sign All Related Documents and Assurances on Behalf of the City of Chandler; and Further Authorizing the City Manager to Take All Action Necessary or Prudent to Implement the City’s HOME Investment Partnerships and HOME Investment Partnerships American Rescue Plan Program Activities. |
Background: |
The U.S. Department of Housing and Urban Development (HUD) allows units of local government that are geographically contiguous to form a consortium for the purposes of participating in the HOME Investment Partnerships (HOME) Program and receiving an annual allocation of HOME funds. The Maricopa HOME Consortium is compromised of the cities of Avondale, Chandler, Glendale, Peoria, Scottsdale, Surprise and Tempe, the Town of Gilbert, and Maricopa County. Maricopa County serves as the lead agency for the Maricopa HOME Consortium. As a participating member of the Maricopa HOME Consortium, the City of Chandler is executing an IGA with Maricopa County to receive the formula allocation of Program Year (PY) 2023 HOME funds, reallocate PY 2019 HOME funds and extend its expenditure term, and revise the performance timeline for previously approved HOME-ARP funds. |
Discussion: |
The City Council authorized and approved the PY 2023 HOME funds at its meeting on April 27, 2023, via Resolution No. 5682. The City Council authorized and approved the PY 2019 HOME funds at its meeting on January 23, 2020, via Resolution No. 5340. The City Council authorized and approved the HOME-ARP funds at its meeting on June 15, 2023, via Resolution No. 5700. Maricopa County prepared the attached Amendment No. 5 to the existing IGA (No. C-22-17-048-3-04) with the following inclusions:
- Allocate PY 2023 HOME funds in the amount of $442,726 to the City of Chandler to support the new construction of the Villas on McQueen project, and thus increase the total funding amount of the current agreement from $4,382,804.29 to $4,825,530.29 for the purpose of supporting affordable housing opportunities in the City of Chandler.
- Reallocate $141,585 PY 2019 HOME funds originally planned for Acquisition/Rehabilitation/Resale of a single family home to the Tenant Based Rental Assistance Program and extend the expenditure term to September 30, 2025. This change is necessary due to the current state of the housing market and challenges in acquiring a home in Chandler for rehabilitation and resale.
- Revise the performance timeline for the previously approved HOME-ARP funds to support the new construction of the Villas on McQueen project.
The City of Chandler Housing and Redevelopment Division will receive $415,056 in HOME funds to support new construction of the Villas on McQueen project, which is projected to break ground in spring 2024. The City of Chandler Housing and Redevelopment Division will receive an additional $141,585 to continue operations for the Tenant-Based Rental Assistance (TBRA) Program for individuals and families experiencing homelessness in Chandler. The city will receive $27,670 in HOME funds to administer the program. |
Financial Implications: |
Funding for the HOME and HOME-ARP program activities is provided from HUD through the Maricopa HOME Consortium and does not require repayment by the City of Chandler. The HOME program requires a 25% match contribution from the City of Chandler and its contracted subrecipients. Staff salaries and other grant funding are used to meet this requirement. |
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