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HomeMy WebLinkAboutItem 02 2015 Eugene-Springfield Consolidated Plan AGENDA ITEM SUMMARY Meeting Date: 3/9/2015 Meeting Type: Work Session Staff Contact/Dept.: Molly Markarian/DPW Staff Phone No: 726-4611 Estimated Time: 45 Minutes S P R I N G F I E L D C I T Y C O U N C I L Council Goals: Provide Financially Responsible and Innovative Government Services ITEM TITLE: 2015 EUGENE-SPRINGFIELD CONSOLIDATED PLAN ACTION REQUESTED: This item is for information and Council discussion. No action required. ISSUE STATEMENT: The Cities of Springfield and Eugene are required to submit a new five-year Consolidated Plan to the U.S. Department of Housing and Urban Development (HUD) no later than May 15, 2015. ATTACHMENTS: Attachment 1 – Council Briefing Memo Attachment 2 – HUD Required Plans and Reports Diagram Attachment 3 – Consolidated Plan Development Process Diagram Attachment 4 – Draft Consolidated Plan Priority Needs Attachment 5 – Draft Consolidated Plan Strategies DISCUSSION/ FINANCIAL IMPACT: The Eugene-Springfield Consolidated Plan provides an assessment of local housing, homelessness, and community development needs and establishes a five-year strategic plan with priority needs and strategies for the use of federal funds received from the U.S. Department of Housing and Urban Development (HUD). Completion and adoption of the Consolidated Plan every five years is a prerequisite for receiving Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), and other HUD funds. The City of Springfield receives CDBG funds as a HUD entitlement community and HOME funds as part of a HUD consortium with the City of Eugene. As such, the two Cities complete a joint Consolidated Plan. Both Cities also collaborate with Lane County in developing the Plan because they administer funding related to basic social services and homelessness. While the Consolidated Plan is a HUD requirement, the Plan primarily serves as a tool to guide the use of federal HUD funds in the most effective and coordinated manner possible. At this work session staff will review the Consolidated Plan development process, discuss achievements completed under the current Consolidated Plan, and identify draft priority needs and proposed strategies for use of federal funds under the 2015 Consolidated Plan. Staff will also review process modifications for the annual 2015 Action Plan. Staff will present the Consolidated Plan and Action Plan for Council’s consideration and adoption on April 20, 2015. The adopted plans must be submitted to HUD no later than May 15, 2015. M E M O R A N D U M City of Springfield Date: 3/9/2015 To: Gino Grimaldi COUNCIL From: Anette Spickard, Interim Director DPW Molly Markarian, Senior Planner DPW BRIEFING Subject: 2015 Eugene-Springfield Consolidated Plan MEMORANDUM ISSUE: The Cities of Springfield and Eugene are required to submit a new five-year Consolidated Plan to the U.S. Department of Housing and Urban Development (HUD) no later than May 15, 2015. COUNCIL GOALS/ MANDATE: Provide Financially Responsible and Innovative Government Services BACKGROUND: The 2015 Eugene-Springfield Consolidated Plan will present an assessment of local housing, homelessness, and community development needs, identify priority needs for use of funds received from HUD, and present strategies to address the priority needs. Springfield and Eugene must complete, adopt, and submit a new five-year Consolidated Plan to the U.S. Department of Housing and Urban Development (HUD) by May 15, 2015. CDBG and HOME must be used to advance the following statutory objectives that primarily support low- income and moderate-income residents: • Provide decent, safe, and affordable housing (CDBG and HOME) • Create suitable living environments (CDBG) • Expand economic opportunities (CDBG) Since 1992 and continuing with this plan, Springfield and Eugene work together to develop the Eugene-Springfield Consolidated Plan. This collaboration allows for consideration of needs for the metropolitan area as a whole, development of shared goals and strategies, and more efficient use of limited resources for plan development and reporting. A joint plan is required given that Springfield and Eugene receive a formula allocation of HOME funds as a Consortium. Springfield and Eugene receive separate formula allocations of CDBG funds. In addition to the Consolidated Plan, the Cities of Springfield and Eugene must complete and submit a One Year Action Plan (Action Plan) for each fiscal year within the five-year period of the Consolidated Plan. The annual Action Plan describes the Cities’ annual allocation process and identifies uses of HOME funds for the region and CDBG funds for each city that are allocated by Congress during a fiscal year. The next Action Plan will be completed and submitted to HUD along with the 2015 Consolidated Plan. Lastly, Eugene and Springfield also jointly develop a Consolidated Annual Performance Evaluation Report (CAPER) to report on outcomes and progress achieved for each year. A visual diagram of the required planning and reporting components is provided in Attachment 2. Summary of the 2010 Consolidated Plan The 2010 Eugene-Springfield Consolidated Plan provides a foundation for development of the 2015 Plan. As part of developing the 2015 Consolidated Plan, the jurisdictions must assess progress towards the goals identified in the 2010 Plan. The 2010 Consolidated Plan included an Affordable Housing Strategic Plan as well as a Community Development Strategic Plan. The high level goals of each plan are summarized below and will be discussed in more detail during the work session. Attachment 1, Page 1 of 3 MEMORANDUM 3/2/2015 Page 2 Affordable Housing • Increase the supply of affordable housing • Conserve and improve existing affordable owner and renter housing stock • Increase opportunities for low- and moderate-income households to become and remain homeowners • Increase opportunities for low- and moderate-income households to become and remain renters • Remove barriers to affordable and supportive housing Community Development • Support a human services delivery system that helps low- and moderate-income persons achieve dignity, well-being, and self-sufficiency • Provide economic development and diversification through the creation of jobs • Improve accessibility to public facilities • Make strategic investments to improve low-income neighborhoods and other areas exhibiting conditions of slums and blight Status of 2015 Consolidated Plan Development HUD has provided new guidance for the development of the 2015 Consolidated Plan and moved to an online submission format. A summary diagram of the Consolidated Plan development process is provided in Attachment 3. Required elements of the next Consolidated Plan include: Assessment of outcomes and results achieved under the previous Consolidated Plan Staff compiled and assessed the results under the previous Consolidated Plan. A summary of outcomes will inform both the overall strategic direction as well as program and project implementation to maximize impact. Assessment of Needs, Housing Market, and Community Conditions Staff has compiled and analyzed poverty, housing, market conditions, and homelessness data as required by HUD. Staff are working with partners and also utilizing previously completed analyses such as the Equity and Opportunity Assessment completed for the Lane Livability Consortium. Community Outreach, Consultations and Public Involvement Staff are using multiple strategies to better understand the perspectives of community members, agencies, and stakeholders. Two separate surveys, one for community residents and one for agencies, were released in January. The survey results were compiled and analyzed in February. Staff also conducted consultations with agencies and providers of services to low-income residents. Consultations have been completed with the Poverty and Homelessness Board, the Public Safety Coordinating Council, the Lane Integration Network, the Financial Stability Partnership of the United Way, and the Lane Workforce Investment Board. Individual consultations have occurred with St. Vincent de Paul, NEDCO, Cornerstone Community Housing, ShelterCare, Sponsors, and the Housing and Community Services Agency of Lane County (HACSA). In addition to gathering general impressions about needs, gaps and proposed strategies, there are specific pieces of information that are sought during these consultations, such as the issues facing a special population, or how the Continuum of Care efforts focused on addressing homelessness interact with this plan. The individual consultations were completed in February. Attachment 1, Page 2 of 3 MEMORANDUM 3/2/2015 Page 3 Development of Priority Needs and Strategies Following completion of the needs assessment, the next step in the development of this plan is the identification of “priority needs.” These priority needs must be drawn from the needs assessment. HUD also requires the Consortium to assign each need a high or low priority to indicate a preference for use of available funds. Any identified need must have an associated strategy and all strategies must relate to an identified need. Given the analysis to date, priority is being given to people who are low income, unemployed or homeless. This has the effect of focusing the investments from this dwindling source of federal funding in an effort to be as efficient as possible in achieving results. A draft of proposed priority needs is provided in Attachment 4. A draft of the proposed strategies is provided in Attachment 5. Review and Adoption In previous Consolidated Plan development processes, staff worked with the three advisory committees set up to advise Eugene and Springfield City Councils on the Consolidated Plan goals – the Eugene CDBG Advisory Committee, the Springfield Community Development Advisory Committee, and the Intergovernmental Housing Policy Board. For the 2015 Plan, a Consolidated Plan Advisory Committee was created with representatives from each of these bodies to consider the needs and proposed strategies. This body will also hold a public hearing on behalf of both jurisdictions on March 10, 2015 as an additional opportunity for the public to identify community needs. Staff will work with the Consolidated Plan Advisory Committee to make recommendations for consideration by both City Councils. A regular session agenda item is scheduled for April 20, 2015. At that time, staff will present the final draft plan and answer questions, and Council will be asked to take action on the 2015 Consolidated Plan. Status of 2015 Action Plan The annual Action Plan is intended to supplement the five-year Consolidated Plan by describing Springfield and Eugene’s annual allocation process for the use of HOME and CDBG funds, and identifying the proposed uses of funds. In the past, Springfield has allocated its HOME and CDBG funds annually to program set-asides and specific projects selected through a Request for Proposals (RFP) process guided by the Community Development Advisory Committee (CDAC) and City Council. This will continue to be the case with CDBG funds. Based on Council direction from the February 2, 2015 Work Session and CDAC direction from the February 19, 2015 CDAC meeting, Springfield CDBG funds will be allocated in the 2015 Action Plan to broad eligible activity categories with specific project selection to occur through a Springfield CDBG RFP in Spring 2015. Under the new HOME Consortium model discussed with Council at the November 24, 2014 Work Session, the 2015 Action Plan will allocate Consortium HOME funds to broad eligible activity categories with specific project selection to occur through a joint regional housing development RFP anticipated in Fall 2015. Council will be asked to take action on the distribution of funds to these broad categories for the 2015 Action Plan at the same time it takes action on the 2015 Consolidated Plan. Specific CDBG project selection will occur through the CDAC and Council decision process based on applications received from the 2015 CDBG RFP. RECOMMENDED ACTION: This item is for information and Council discussion. No action required. Attachment 1, Page 3 of 3 HUD Planning and Implementation Structure Consolidated Plan (once every 5 years) Year 1 Action Plan Project Selection and Implementation (ongoing) Planning and Allocation Implementation and Reporting Year 2 Action Plan Year 3 Action Plan Year 4 Action Plan Year 5 Action Plan Year 1 CAPER Year 2 CAPER Year 3 CAPER Year 4 CAPER Year 5 CAPER Attachment 2, Page 1 of 1 6. Set goals, strategies & measurements 5. Determine feasibility 4. Set priorities 3. Assess market conditions 2. Assess community needs 1. Assess past activities 1 Consolidated Plan - Process Attachment 3, Page 1 of 1 DRAFT Priority Needs as Identified by 2015 Eugene/Springfield Consolidated Plan Needs Assessment Priority Need Explanation Renters - Low and very low income people need increased access to quality affordable rental housing • A significant majority of low income renters experience over-crowding, substandard housing, or a housing cost burden (Eugene – 78%, Springfield – 76%) • A significant majority of low-income renters spend more than 30% of their income on housing costs (Eugene – 76%, Springfield – 74%) • A large percentage of low-income renters spend more than 50% of their income on housing costs (Eugene – 51%, Springfield – 34%) Home Owners - Low and very low income people need increased access to affordable home ownership opportunities and support to remain homeowners • A significant majority of low income owners experience over-crowding, substandard housing, or a housing cost burden (Eugene – 76%, Springfield – 57%) • A significant majority of low-income owners spend more than 30% of their income on housing costs (Eugene – 64%, Springfield – 56%) • A large percentage of low-income owners spend more than 50% of their income on housing costs (Eugene – 40%, Springfield – 31%) Homeless - People need access to housing and supportive services to prevent them from becoming homeless and to leave homelessness • Lane County reported that 11,668 unduplicated individuals who were homeless received human services from one or more agencies in fiscal year 2014. Non-Homeless Special Needs Populations - People with special needs such as physical and mental disabilities, the elderly, or victims of domestic violence need additional support for housing and supportive services. • Special needs populations need additional support as it relates to affordable housing, human services, and employment opportunities. Employment Opportunities - People who have low incomes, are unemployed or underemployed need a broader range of employment opportunities, including self-employment • Between 2007 and 2010, Lane County lost nearly 16,000 jobs. • The loss of jobs combined with the subsequent recession, have widened the gap between employed wages and housing costs. Low-Income Areas & Areas of Slums and Blight – Geographic areas defined as an area of slum or blight or as low-income areas need additional support for rehabilitation and public facility improvements • There are several areas in this community that are or could meet the HUD requirement for an area of slum or blight which would allow different uses of CDBG funds. These areas could benefit from increased investments in the area. • There are several areas of this community that are characterized by 51% or more low- to moderate-income residents, which can benefit from increased investments in this area. Attachment 4, Page 1 of 1 DRAFT Strategies to Address Priority Needs as Identified by 2015 Eugene/Springfield Consolidated Plan Strategy Priority Needs Addressed Possible Examples Measurements Increase the supply of affordable housing Renters, Homeless, Special Needs Land Acquisition. Development of new rental housing. Assistance to non-profits sponsors to build capacity for new development. Number of new rental units created Number of sites acquired Number of non-profits assisted Rehabilitate existing housing stock affordable to low-income persons Renters, Homeless, Special Needs, Low-Income Areas, Home Owners Continue and expand publicly supported rehabilitation and accessibility improvements. Number of rental units rehabbed Number of owner-occupied units rehabbed Provide down payment assistance for home ownership Home Owners Assist low-income residents with the first time purchase of a home. Number of owner units acquired Number of households assisted Remove barriers to affordable and supportive housing Renters, Home Owners, Homeless, Low Income Area, Special Needs Support programs that assure housing opportunities are provided without discrimination. Support Housing Policy Board Maintain fair housing services Number of fair housing events Support a human services delivery system to address the needs of homeless persons and special needs populations Homeless, Special Needs Fund capital improvements to facilities by non-profits. Fund non-profit services through the Human Services Commission Homeless and special needs people served Agencies served Promote economic development and employment opportunities through the creation of jobs and business development Employment Opportunities Provide below market financing to local businesses creating or retaining jobs. Provide micro-enterprise training and development opportunities. Jobs created or retained Businesses assisted Make strategic investments to improve low income neighborhoods and other areas of slums and blight Renters, Owners, Homeless, Special Needs, Low Income Areas and Slums & Blight, Employment Opportunities Provide financing for activities which eliminate slums and blight, including acquisition, clearance, rehab and historic preservation and economic development activities. Number of projects Attachment 5, Page 1 of 1