File #: 15-780    Name: Change of Use of CDBG Funds
Type: Resolution Status: Approved
In control: City Council Regular Meeting
On agenda: 8/18/2015 Final action: 8/18/2015
Title: Conduct a Public Hearing to Consider/Discuss/Act on a Resolution Changing the Use of 2015 Community Development Block Grant (CDBG) Funds for Newsome Homes Redevelopment
Attachments: 1. Project Budget, 2. CDBG Budget, 3. Resolution, 4. CDBG Grant Agreement - Redline

Title

Conduct a Public Hearing to Consider/Discuss/Act on a Resolution Changing the Use of 2015 Community Development Block Grant (CDBG) Funds for Newsome Homes Redevelopment

 

Summary

 

COUNCIL GOAL:                     Enhance Quality of Life in Downtown McKinney

 

MEETING DATE:                     August 18, 2015

 

DEPARTMENT:                      Housing and Community Development

 

CONTACT:                                            Shirletta Best, Community Services Administrator

 

RECOMMENDED CITY COUNCIL ACTION:                     

                     Conduct a Public Hearing and Approve Resolution

 

ITEM SUMMARY: 

                     Update to City Council and Public - Information presented with regard to the Amended Annual Action Plan for 2014-2015 and the FY 2010-2014 Housing and Community Development Consolidated Plan of the City of McKinney.

                     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 original use of funds under CDBG Annual Action Plan on August 3, 2014. Resolution No. 2014-08-088(R).

                     Due to changes with the Rental Assistance Demonstration project schedule, MHA requested a change in the use of funds (Substantial Amendment) to Professional Services, which included relocation consulting.

                     The Substantial Amendment was under a 30-day public comment period and four comments were received in agreement of the change.  The Community Grants Advisory Commission recommended the request to Council on June 11, 2015.

o                     City Council approved the change on July 20, 2015.

                     Upon further guidance from the U.S. Department of Housing and Urban Development (HUD), an administrative adjustment will be made to the Amended Annual Action Plan for 2014-2015 and Consolidated Plan to change the use of CDBG grant funds to Relocation Assistance, to allow the city to more effectively meet CDBG National Objective requirements. 

o                     The Community Grants Advisory Commission held a public hearing at their August 10, 2015 meeting.

o                     The City Council will conduct a public hearing at their regular August 18, 2015 meeting.

o                     Amendments will be submitted to HUD for final approval.

 

 

BACKGROUND INFORMATION: 

                     Upon approval from HUD, a revised grant agreement will be issued by the Interim City Manager.

                     The public will continue to receive updates through year-end reporting (Consolidated Annual Performance Evaluation Report).

 

FINANCIAL SUMMARY: 

                     No financial change to the awarded CDBG amount; no impact to the General Fund; no additional staff is required, and the use of CDBG funds solely for relation assistance is not subject to Section 104(d) relocation assistance or one-for-one replacement requirements (nor URA).

 

BOARD OR COMMISSION RECOMMENDATION:

                     The Community Grants Advisory Commission recommends approval.