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HomeMy WebLinkAboutItem 06.mDecember 15, 2011 Item No. 2012 Community Development Block Grant Application December 19, 2011 City Council Meeting Proposed Actions Staff recommends adoption of the following motion: Move to adopt a resolution authorizing the submittal of the 2012 Community Development Block Grant Application (CDBG) in the amount of $102,102. Passage of this motion will result in the submittal of a 2012 CDBG Grant Application in the amount of $102,102 for funding the existing Housing Rehabilitation Loan Program and property acquisition and clearance on a spot basis. Overview The City has recently been informed that it will be receiving approximately $102,102 in CDBG funding in 2012. Use of these funds is contingent on the City submitting and receiving approval of an application that identifies activities that meet at least one of the federal objectives of either benefiting low /moderate income persons or eliminating slum and blight. The Dakota County CDA requires that all cities submit applications with at least 50% of the proposed activities for 2012 being activities or projects that provide benefit to low /moderate income individuals. 2012 funding will be available July 2012 through June 2013. The EDC recommended at their November 22, 2011 meeting that half of the 2012 CDBG funding (estimated to be $51,051) be made available for the Housing Rehabilitation Loan Program. This is an ongoing program administered by the CDA and the City has been allocating funding to this program for a number of years. The EDC also recommended that the other half of the 2012 CDBG funding be used to fund acquisition and clearance of properties on a spot basis. This is an activity that has been pursued in the past in the Downtown area and could now be pursued elsewhere in the City. An example could be a vacant foreclosed home with a failing septic system. Primary Issues to Consider • See attached information labeled Attachment A Supporting Information • November 22 11 Dra DC Minutes avid L. O son Community and Economic Development Director Financial Impact: $ 0 Budgeted: Y/N N Source: HUD /Dakota County CDA Attachment A The estimated amount of CDBG funding for 2012 has increased since the EDC meeting on November 22, 2011. At that time the CDA was estimating that Lakeville would receive $95,865 in 2012. Since the EDC meeting the President has signed the federal HUD budget bill that increased the City's CDBG funding to $102,102 in 2012. This represents a reduction of 11.6% compared to the amount of funding received in 2011. In addition to the recommendations for the 2012 CDBG application, staff is recommending that $115,000 from previous years CDBG allocations to the Downtown Code Improvement activity be re- allocated to the new Acquisition and Clearance on a Spot Basis activity. The City currently has a total of $195,100 in this activity and no projects have come forward requesting funding for a number of years. Staff recommends that $80,000 remain in this activity in the event a project comes forward in 2012. Both HUD and the CDA require that these CDBG funds be expended in a timely manner and staff feels that the new Acquisition and Clearance on a Spot Basis will be an activity that is better able to achieve the required expenditure rate. This recommended re- allocation of previous years CDBG funds was discussed and agreed to by the EDC. CITY OF LAKEVILLE RESOLUTION NO. RESOLUTION APPROVING THE APPLICATION OF THE CITY OF LAKEVILLE FOR FISCAL YEAR 2012 DAKOTA COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) FUNDING WHEREAS, the City of Lakeville is a participating jurisdiction with the Dakota County CDBG Entitlement Program for Fiscal Year 2012 (ending June 30, 2013); and WHEREAS, the Dakota County Community Development Agency (CDA) is a Subgrantee of Dakota County for the administration of the CDBG Program; and WHEREAS, the Dakota County CDA has requested fiscal year 2011 CDBG applications to be submitted by January 15, 2012, based on an allocation of funds approved in the Community Development Implementation Plan. NOW, THEREFORE, BE IT RESOLVED that the City of Lakeville hereby approves the following: 1. The Fiscal Year 2012 CDBG application is approved for submission to the Dakota County CDA. 2. The Mayor and City Clerk are authorized to execute the application and all agreements and documents related to receiving and using the awarded CDBG funds. 3. The Dakota County CDA is designated as the administrative entity to carry out the CDBG program on behalf of the City, subject to future Subrecipient Agreements that may be required for specific CDBG- funded activities. DATED this day of 2011. ATTEST: Charlene Friedges, City Clerk CITY OF LAKEVILLE Mark Bellows, Mayor mbers Present: Comms. Matasosky, Brantly, Schubert, Emond, Longie, Smith, Sta Feld, Vlasak, Ex- officio member Mayor Mark Bellows, Ex- officio member City Admin trator Steve Mielke. Members sent: Comm. Tushie. Others Present: 1. Call Meeting to Order 2. Approve October 25, 2011 Meeting City of Lakeville Economic Development Commission Meeting Minutes November 22, 2011 Marion Conference Room, City Hall unanimously. inutes 3. Update on Business Marketing Strategy Project avid Olson, Community & Economic Development Director; Adam Kienberger, Econom'. Development Specialist. Chair Matasosky called the 'eeting to order at 4:30 p.m. in the Marion Conference Room of City Hall, 20195 Holyo - Avenue, Lakeville, Minnesota. Motion 15.11 Comms. Smith/Emond ived to October 25, 2011 meetin as presented. Motion carried Mr. Olson and Mr. Kienberger provided an update on the tatus of the Business Marketing Strategy. The consultants from Arnett Muldrow : Associates visited November 16 -18t and facilitated a joint meeting with the Plannin• Commission and EDC. The consultants also met with the Steering Committee to un -il some initial concepts for branding with a new tagline and logo revisions. The EDC noted that they liked the direction the project was moving and direc -d the Steering the Committee to proceed with development of a Business Mark- 'ng 4. Review and Approval of 2012 Community Development Block Grant Application (CDBG) Mr. Olson reviewed the EDC memo outlining a potential reduction in CDBG funding for 2012 along with recommended allocations for eligible programs. He noted a new program activity for spot acquisition and clearance. In years past this activity was designated specifically in the Downtown area, but staff proposed the activity be Economic Development Commission Meeting Minutes November 22, 2011 utilized on a spot basis to acquire and demo properties on a strategic basis City- wide. Motion 16.11 Comms. Longie /Brantly moved to approve 2012 CDBG application as presented. Motion carried unanimously. Mr. !son reviewed the Director's Report. The EDC , iscussed the Manufacturers Appreciation event held on October 27 at the Holiday I & Suites and noted attendance was approximately the same as last year. Ideas we - discussed on how to increase attendance at next years event including more acti promotion of the event content and prizes, Other suggestions included promoting ' - business to business networking opportunities and increasing sponsorship ay.. ability. These ideas along with others be incorporated into the planning process for the 2012 Manufacturers Appreciation E -nt. 6. Adjourn The meeting was adjourned at 5:27 p.m. Respectfully submitted by: Adam Kienberger, Recording Secretary Atteste • to: R. T. Brantly, Secretary 2