Title
Conduct a Public Hearing to Consider/Discuss/Act on a Substantial Amendment to the CDBG 2014-15 Annual Action Plan
Summary
COUNCIL GOAL: Enhance the Quality of Life in Downtown McKinney
MEETING DATE: July 21, 2015
DEPARTMENT: Housing and Community Development
CONTACT: Shirletta Best, Community Services Administrator
Janay Tieken, Housing & Community Development Manager
RECOMMENDED CITY COUNCIL ACTION:
• Hold a Public Hearing and approve the substantial amendment to the Annual Action Plan.
ITEM SUMMARY:
• The Citizen Participation Plan states in the case of certain changes to the Consolidated Plan or an Annual Action Plan, the City will propose a substantial amendment and invite public comment, per Federal regulation 24 CFR subpart b, Section 91.105 (c) and Section 91.505 (a)(b).
Per requirements of the U.S. Department of Housing and Urban Development (HUD), a substantial amendment to the Consolidated Plan or Annual Action Plan must be viewed under a 30-day public comment period to citizens before any change to the Action Plan or Consolidated Plan may be considered.
The substantial amendment is proposed under the Annual Action Plan for program year October 1, 2014 - September 30, 2015. The requestor is the McKinney Housing Authority for a change in use of funds.
Current Award/Use of Funds:
The McKinney Housing Authority (MHA) was awarded $100,000 to use for infrastructure (water and sewer line replacement) at the redevelopment of Newsome Homes, 100 Amscott Circle. City Council approved use of funds under the CDBG Annual Action Plan on August 3, 2014. Resolution No. 2014-08-088 (R). No funds have been expended at this time. Due to changes with the project schedule, the Housing Authority is requesting the adjustment to ensure funds will be expended with the program year.
Proposed Change of Use:
MHA requests in the executed grant agreement a change to the use of funds from Infrastructure to professional services for the Newsome Homes Project. Types of services may include preparation to support the conversion, including legal services or professional services such as engineering and surveying. All professional services under the CDBG-assisted activity must be procured competitively, regardless of the source of funds (in part or wholly with CDBG) that will be expended under a professional services contract. Citizens will be able to provide written comments for consideration. The Public Comment Period is taking place June 14, 2015 - July 16, 2015. The City Council will also hold a public hearing on July 21, 2015. The Substantial Amendment will be submitted to the U.S. Department of Housing and Urban Development (HUD) for review and final approval. At the time of submittal, three comments have been received by the public, all supporting the amendment.
BACKGROUND INFORMATION:
• Due to a change in the original scope of the awarded funds; a substantial amendment is required per HUD requirements and the city’s Consolidated Plan.
• Upon approval from HUD to approve the amendment, a revised grant agreement between the City of McKinney and the McKinney Housing Authority will be issued and signed by the Interim City Manager.
FINANCIAL SUMMARY:
• No financial change to the awarded CDBG amount; no impact to the General Fund; no additional staff is required, and the action does not impact relocation of residents.
BOARD OR COMMISSION RECOMMENDATION:
• The Community Grants Advisory Commission approved the recommendation to move to City Council at their June 11, 2015 regular meeting.