HomeMy WebLinkAboutItem 01 FY22 CDBG One Year Action Plan AGENDA ITEM SUMMARY Meeting Date: 1/4/2021
Meeting Type: Work Session
Staff Contact/Dept.: Erin Fifield / DPW
Staff Phone No: 541-726-2302
Estimated Time: 15 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: Mandate
ITEM TITLE: FISCAL YEAR 2022 COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG) ONE YEAR ACTION PLAN (OYAP) PROCESS
ACTION
REQUESTED:
Provide direction on the proposed Fiscal Year 2022 CDBG One Year Action Plan
allocation process and draft allocation to be published for public comment.
ISSUE
STATEMENT:
Each year, the City receives federal Community Development Block Grant
(CDBG) funds from the US Department of Housing and Urban Development
(HUD). The City must allocate CDBG funds through a One Year Action Plan to
indicate how the City intends to address the strategies identified in the Eugene-
Springfield Consolidated Plan.
ATTACHMENTS: Attachment 1: Council Briefing Memo
Attachment 2: DRAFT FY22 CDBG OYAP budget
DISCUSSION/
FINANCIAL
IMPACT:
It is estimated the City of Springfield will have $705,000 available to allocate in
CDBG funds for Fiscal Year 2022 (FY22). This amount is based on an estimated
HUD entitlement grant for FY22, estimated program income in FY22, as well as
estimated unspent funds carried over from projects in FY21.
Staff propose following a similar process to previous years for the FY22 CDBG
OYAP allocation. This would include allocating funding for the Home Repair
Program, the Springfield Homeownership Program (SHOP) for downpayment
assistance, social services through the Human Services Commission, and City staff
costs. The “remaining” funds will be put into a Request for Proposals (RFP),
allowing community organizations to submit proposals for projects that are ready to
move forward.
Next steps:
• January – March
o The FY22 CDBG RFP is open. Staff estimate $403,250 being
available for projects through the RFP.
• March
o The DRAFT FY22 CDBG OYAP is published for public comment.
• April
o The Community Development Advisory Committee (CDAC) holds
a public hearing on the draft One Year Action Plan.
o The CDAC evaluates the RFP applications and makes a
recommendation to City Council for funding.
• May
o The City Council approves the funding allocation for the FY22
CDBG One Year Action Plan, including the RFP awards.
o Staff submit the FY22 CDBG One Year Action Plan to HUD for
approval.
• July 1
o FY22 CDBG funds become available.
M E M O R A N D U M City of Springfield
Date: 1/4/2021
To: Nancy Newton, City Manager COUNCIL
From: Tom Boyatt, Community Development
Director
Erin Fifield, Community Development
Analyst
BRIEFING
Subject: FY22 CDBG One Year Action Plan Process MEMORANDUM
ISSUE: Each year, the City receives federal Community Development Block Grant (CDBG)
funds from the US Department of Housing and Urban Development (HUD). The City must
allocate CDBG funds through a One Year Action Plan to indicate how the City intends to address
the strategies identified in the Eugene-Springfield Consolidated Plan.
COUNCIL GOALS/
MANDATE:
Council Goals: Mandate
BACKGROUND
2020 Eugene-Springfield Consolidated Plan
This is the 5-year regional strategic plan for housing and community development required by the US
Department of Housing and Urban Development (HUD) in order to receive Community Development
Block Grant (CDBG) funds. The Consolidated Plan guides the activities and programs that use the
City’s CDBG funds.
The 2020 Consolidated Plan was developed over many months in FY2020, approved by the
Springfield City Council on May 4, 2020, and went into effect July 1, 2020. The Plan relies on the
analysis of qualitative and quantitative data from the US Census, interviews and surveys with local
elected leaders, agencies and non-profit human service providers, and participation and comments
from the community to identify housing, homeless, and community development needs and trends. A
Consolidated Plan Advisory Committee (including Councilor Woodrow and Council-appointed
Springfield representatives) reviewed the analysis and provided input on priority strategies, and made
recommendations to Council in Spring 2020. The Plan sets the goals and activities for the use of
federal CDBG and HOME funds.
One Year Action Plan
Each year, the City is entitled to receive an allocation of CDBG funds from HUD. In order to do so,
the City must develop a One-Year Action Plan describing how it plans to allocate funds to address
local community needs. The proposed uses of funding must align with allowed uses and with the local
community needs and strategies identified in the 2020 Eugene-Springfield Consolidated Plan.
Staff estimate Springfield will have $705,000 available to allocate in CDBG funds for Fiscal Year
2022 (FY22). This amount is based on an estimated HUD entitlement grant for FY22 of $555,000,
plus additional program income received in FY22, as well as estimated unspent funds carried over
from projects in FY21.
Attachment 1, Page 1 of 4
MEMORANDUM Page 2
ONE YEAR ACTION PLAN PROCESS
Proposed priorities
Staff propose following a similar process to previous years for the FY22 CDBG OYAP allocation.
This would include allocating funding for the following:
• Springfield Home Repair Program
• Springfield Homeownership Program (SHOP) for downpayment assistance
• Social services through the Intergovernmental Human Services Commission (HSC)
• City staff costs
Staff propose putting the “remaining” funds into a Request for Proposals (RFP), similar to previous
years, allowing community organizations to submit proposals for projects which are ready to move
forward. Projects chosen through the RFP must align with the 2020 Eugene-Springfield Consolidated
Plan.
Staff estimate $ 403,250 being available for projects through the RFP.
Proposed timeline
• January – March
o The FY22 CDBG RFP is open.
• March
o The DRAFT FY22 CDBG OYAP is published for public comment.
• April
o The Community Development Advisory Committee (CDAC) holds a public hearing
on the draft One Year Action Plan.
o The CDAC evaluates the RFP applications and makes a recommendation to City
Council for funding.
• May
o The City Council approves the funding allocation for the FY22 CDBG One Year
Action Plan, including the RFP awards.
o Staff submit the FY22 CDBG One Year Action Plan to HUD for approval.
• July 1
o FY22 CDBG funds become available.
Overview of CDBG strategies and activities
Below is a summary of Springfield efforts and priorities toward addressing the Eugene-Springfield
Consolidated Plan strategies.
Consolidated Plan strategy FY21 Efforts and/or Funds
available
Proposed Allocation
of FY22 Funds in
One Year Action
Plan
To be determined through the RFP. Prior year funding is
reflected in the proposed
FY22 allocation.
$ 373,250
1. Increase the supply of affordable housing
Springfield staff continue to work to address
Staff are working with
Cornerstone Community
Housing and the
Springfield School District
TBD
Attachment 1, Page 2 of 4
MEMORANDUM Page 3
this strategy.
The City may receive a request for funds
toward this strategy through the RFP.
to acquire 525 Mill St with
funds awarded through the
FY21 CDBG RFP.
2. Springfield Home Repair Program
Springfield’s Home Repair program provides
urgent home repair services as a grant to very
low-income Springfield homeowners.
It is anticipated there will
be $30,000 in prior year
funds remaining to carry
over into FY22. The
proposed allocation for
FY22 would include
$90,000 in new funds for a
total of $120,000 available.
$ 90,000
3. Springfield Homeownership Program
(SHOP)
Springfield’s SHOP assists low-income
residents with the first-time purchase of a
home by providing an interest-free loan, up to
$7,000, toward the down payment and related
costs of buying a qualified home in
Springfield.
Clients are having difficulty finding units that
are both affordable, and meet CDBG quality
requirements.
It is anticipated there will
be $30,000 in prior year
funds remaining for this
program in FY22. The
proposed allocation for
FY22 woud not include any
new funds for a total of
$30,000 available.
$ 0
4. Remove barriers to affordable and
supportive housing
Springfield has developed an outreach
strategy to educate Springfield residents and
landlords about fair housing. Fair housing
documents were created for dissemination,
and are available on the City’s website. Staff
refer questions to the Fair Housing Council of
Oregon and/or the Oregon Law Center.
As part of the 2020
Consolidated Plan,
Springfield updated its
Analysis of Impediments to
Fair Housing Choice.
$ 0
5. Support a Human Services Delivery
System
Springfield allocates 15% of its CDBG funds,
as well as General Fund dollars, to support a
human services delivery system administered
by Lane County through the Human Services
Commission (HSC). The HSC is an
intergovernmental commission comprised of
Springfield, Eugene, and Lane County elected
officials and budget committee members to
address basic needs of low-income residents.
Springfield, Eugene, and Lane County pool
their state and federal grants and general
funds contributions to contract with local non-
profit service providers.
Staff continue to work with
non-profits funded through
the FY21 RFP:
• NAMI acquired their
building in August
2020.
• Oregon Law Center has
been providing legal
services to clients since
July 2020.
• The Relief Nursery
contract for their fence
project is anticipated to
be signed in January
2021.
• ARC of Lane County
$ 90,750 (for the
HSC)
Attachment 1, Page 3 of 4
MEMORANDUM Page 4
Under this strategy, the City can also allocate
funds toward capital improvements
undertaken by non-profit agencies. The City
may receive a request for funds toward this
strategy through the RFP.
chose not to accept the
CDBG funds given the
timing for their project.
6. Promote economic development and
employment opportunities through the
creation of jobs and business development
The Springfield Economic Development
Agency (SEDA) currently funds a loan
program for downtown businesses.
The City may receive a request for a project
toward this strategy through the RFP.
TBD
7. Make strategic investments to improve
low-income neighborhoods
The City may receive a request for a project
toward this strategy through the RFP.
In FY20, City Council
awarded CDBG funds
toward crosswalk
improvements near three
schools in low-income
neighborhoods. This project
is estimated to be
completed in January 2021.
TBD
Grant Administration and Planning
The City of Springfield uses CDBG funds to
pay for staff costs to administer the CDBG
program. HUD requirements to administer the
CDBG program include planning for the One-
Year Action Plans, sub recipient monitoring,
program management, coordination with
other agencies, environmental review
compliance, federal reporting, and ongoing
evaluation of the program itself. The CDBG
program limits reimbursement for program
administrative costs to 20% of the City’s
annual allocation..
CDBG funds have
traditionally not been
sufficient to cover costs of
2.2 FTE. Staff costs not
funded with CDBG funds
are funded through the
General Fund.
$ 121,000
RECOMMENDED ACTION: Provide direction on the proposed Fiscal Year 2022 CDBG One Year
Action Plan allocation process and the draft allocation to be published for public comment.
Attachment 1, Page 4 of 4
FY2021-22 DRAFT CDBG One-Year Action Plan
CDBG REVENUES (estimated) Entitlement
Funds
Other
Funds
TOTAL
FUNDS
FY 2021-2022 Entitlement Funds (EN) $ 555,000 - $ 555,000
Other Funds
• Carryforward from FY21
• Program Income in FY22
- $ 50,000
$ 100,000
$ 150,000
TOTAL $ 555,000 $ 150,000 $ 705,000
CDGB EXPENDITURES (estimated)
Consolidated Plan
Strategy Activity Amount (EN) Amount
(other)
Amount
(TOTAL)
To be determined FY22 CDBG Request
for Proposals (RFP) $ 270,750 $ 132,500 $ 403,250
1. Increase the supply
of affordable housing
Acquisition,
improvements, etc - - -
2. Rehabilitate existing
housing stock
affordable to low-
income persons
Home Repair
Program $ 90,000 - $ 90,000
3. Provide down
payment assistance
for home ownership
Springfield
Homeownership
Program (SHOP)
$ 0 - $ 0
4. Remove barriers to
affordable and
supportive housing
Support programs
that assure housing
opportunities are
provided without
discrimination
- - -
5. Support a human
services delivery
system to address the
needs of homeless
persons and special
needs populations
Human Services
Commission (HSC)
(15%)
$ 83,250 $ 7,500 $ 90,750
Non-profit capital
improvements - - -
6. Promote employment
opportunities
Economic
development - - -
7. Make improvements
to low income
neighborhoods
Public
improvements in
sidewalks, streets
- - -
Grant Admin (20%) $ 111,000 $ 10,000 $ 121,000
TOTAL $ 555,000 $ 150,000 $ 705,000
Attachment 2, Page 1 of 1