Title
Conduct a Public Hearing to Consider/Discuss/Act on a Resolution Approving the 2020-2021 CDBG Annual Action Plan
Summary
COUNCIL GOAL: Enhance Quality of Life in McKinney
(5A: Develop Sustainable Quality of Life Improvements within City of McKinney)
MEETING DATE: August 4, 2020
DEPARTMENT: Housing & Community Development Department
CONTACT: Shirletta Best, Community Services Administrator
RECOMMENDED CITY COUNCIL ACTION:
• Conduct Public Hearing and approve Resolution for the Annual Action Plan
ITEM SUMMARY:
• The City of McKinney receives funding from the U.S. Department of Housing and Urban Development (HUD) for Housing and Community Development activities through the Community Development Block Grant (CDBG). The Consolidated Plan is a planning document for the city, enhanced through a participatory process with the public. The five-year plan helps identify housing and community development needs and market conditions to make data-driven, place-based investment decisions. The U.S. Department of Housing and Urban Development determines overall funding allocations under each city’s Consolidated Plan. The Consolidated Plan, as required by Federal regulation, has the following components:
o Identification of the lead agency
o Housing and homeless needs
o Housing Market and Needs Analysis
o Strategic Needs
o Annual Action Plan and Certifications
• The plan is carried out through the Annual Action Plan: a summary of eligible programs, projects, and specific federal and non-federal resources for use each year, to address the priority needs and goals identified in the Plan. The City reports on accomplishments and progress toward in the Consolidated Annual Performance and Evaluation Report (CAPER) at the completion of the program year.
• Based on recent community input under the Consolidated Plan, community needs identified include:
o Non-housing community development needs (Public Services, Redevelopment and Rehabilitation, Public Facilities, and Infrastructure)
o Affordable housing
o Accessible housing
o Non-homeless special needs populations
o People experiencing homelessness
o Limited resources for public housing
o Needs related to COVID-19
BACKGROUND INFORMATION:
• The City of McKinney has participated as a HUD Entitlement Community since FY 2003, with resources used to predominately benefit low The city’s programs are city-wide, with predominate beneficiaries and locations within the older sectors of the city under census tracts 306, 307, 308 and 309.
• The Annual Action Plan will begin October 1, 2020 and includes funding recommendations from the Community Grants Advisory Commission. Under statutory regulations, 20% of the total grant must be used for Grant Administration. Other programs including but not limited to housing and other community development programs for remainder of the budget. In addition, HUD awarded the City of McKinney the City $500,444 from the CARES Act due to COVID-19, that will be used to prevent, assist or aid in the reducing the impact of COVID-19 for eligible McKinney residents. Eligible public service activities may include but not limited to homeless prevention for rent, mortgage, and utilities.
• Public meetings and hearings were held on February 27, May 13, May 14 and July 16, 2020. All comments received will be included in the final draft plan for review and final approval by the U.S. Department of Housing and Urban Development. In continued public participation, the public will be able to review performance under the Consolidated Annual Performance Evaluation Report (CAPER).
• Public stakeholders including residents, agencies, government, businesses and other non-governmental have participated throughout the process, including a housing survey with over 1,500 residents, virtual and in-person community forum engagement, one-to-one meetings, public hearings, public comment periods, telephone conversations, and other communication.
FINANCIAL SUMMARY:
• The City anticipates receiving an estimated $4 million over the next five years as a resource for Housing and Community Development, contingent upon HUD requirements and data from Census 2020. The primary resource to fulfill the Annual Action Plan is CDBG funding. In addition, the city will leverage non-federal resources contingent upon budget and allocate the use of other Community Development and Housing resources, or directly from HUD, as awarded.
• The City will receive an allocation of $850,709 for CDBG funded activities and programs, $500,444 in CDBG-CV for eligible CDBG/COVID-19 impacted activities. The city anticipates use of carryover reallocated CDBG funds previously awarded to be used for eligible CDBG activities as amended within the city’s FY 2021 budget.
BOARD AND COMMISSION RECOMMENDATION:
• The Community Grants Advisory Commission met on June 17, 2020 and recommended approval of the Annual Action Plan under the 2020-21 program year.