TO: Mayor and City Council
THROUGH: Steve Powers, City Manager
FROM: Kristin Retherford, Urban Development Director
SUBJECT:
title
Amendment #1 to the 2020-2021 Housing and Community Development Annual Action Plan
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Safe Community; Welcoming and Livable Community; Strong and Diverse Economy
end
ISSUE:
Shall City Council approve Amendment #1 of the 2020-2021 Housing and Community Development Annual Action Plans (AAP) and direct staff to submit the amendment to the U.S. Department of Housing and Urban Development?
RECOMMENDATION:
recommendation
Approve Amendment #1 the 2020-2021 Housing and Community Development Annual Action Plans (AAP) and direct staff to submit the amendment to the U.S. Department of Housing and Urban Development (Attachment 1).
body
SUMMARY:
Amendment #1 to the 2020 Annual Action Plan:
(1) Revise the 2020 allocation from HUD as follows:
a. HOME Previous Amount: $ 778,206 NEW Amount: $ 778,029
b. CDBG Previous Amount: $1,318,852 NEW Amount: $1,318,651
FACTS AND FINDINGS:
The Department of Housing and Urban Development discovered an error in the formula used to allocate the Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) programs. Attachment 1. The correction impacted the City’s FY 2020 allocations. HUD required the City to submit new certifications and amend the 2020 Annual Action Plan (AAP) to correct amounts previously announced.
Applications for unallocated HOME funds were solicited by the City on November 20, 2019, and were due by January 6, 2020. Applications were reviewed and evaluated by an independent panel of community members.
Opportunity for Citizen Involvement
A public notice announcing the proposed Plan modifications appeared in the Statesman Journal on November 16, 2020. The recommended amendment is available on the City of Salem web site.
A 5-day comment period of the proposed AAP amendment ended on November 20, 2020. No comments were received. Prior to submitting the plan amendments to HUD, a public hearing and City Council adoption is required.
BACKGROUND:
The City of Salem receive an annual funding from the U.S. Department of Housing and Urban Development (HUD) to assist low-to-moderate-income households. HUD requires a five-year Consolidated Plan to set goals and prioritize needs that can be addressed with federal funds. The goals are ending homelessness, expanding affordable housing, and economic development.
The AAP identifies all resources and proposed expenditures. Any amendments to funding are required to follow the same public review process as the original AAP approval.
Shelly Ehenger
Federal Programs Manager
Attachments:
1. HUD Corrected Allocation Notice
2. Amendment to 2020-2021 Annual Action Plan