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Community Redevelopment Block Grant

FEBRUARY 6, 2017

Purpose of the Hearing
• This is the second public hearing held to consider whether the City of Keystone Heights shall proceed with the submission of a CDBG application.
• The first public hearing was held on October 3, 2016.
• A Citizen Advisory Task Force meeting was held prior to the first public hearing on September 27, 2016. The CATF recommended that the City submit a 2016 CDBG application.
• This second public hearing is held to present the draft CDBG application to the Council and the public for comment, and to ask that a motion and vote be made to submit this application to the Department of Economic Opportunity (DEO).
• A resolution that will serve as authorization to submit the grant application has been provided for your consideration and a vote should be taken to adopt the resolution.
• The application due date is February 16, 2017.

CDBG Program must meet one of the following National Objectives:
• Provide benefit to low- and moderate-income persons;
• Prevent or eliminate slum or blight conditions; or
• Meet a need of recent origin having a particular urgency.

Description of Grant Category
• Housing Rehabilitation – Assists low and moderate income residents with physical improvements that address code, safety and other rehabilitation items. In some cases, severely damaged structures may be demolished and replaced.
• Note: A Commercial Revitalization grant was also analyzed for feasibility to provide parking. It was determined that the City would need to take several actions to make the application competitive including: adopt architectural design guidelines for a rehabilitation program for the retail, service, and commercial buildings located in the project area; complete a market study of the commercial district; inventory vacant commercial spaces in the project area; and assess the Community Redevelopment Trust Fund for the Community Redevelopment Area relative to appropriate taxing authorities.

Description of Grant Project
• The City is proposing a request of $650,000 in CDBG Housing Rehabilitation grant funding to assist residents throughout the City's jurisdiction with necessary housing repairs. Necessary repairs may be provided in the form of renovation of existing housing units or new construction of a portion of or the entire housing unit. At a minimum, 9 LMI housing units will be rehabilitated and brought into compliance with the adopted housing code. Of these 9 LMI housing units, three homes will be addressed whose occupants qualify as “low income” (households whose income does not exceed 50% of median for Clay County); and another two homes will be addressed whose occupants qualify as “very low income” (households whose income does not exceed 30% of median for Clay County).
• In addition to assistance with housing repairs, temporary relocation assistance will be provided to residents who will be unable to remain in the home during construction, as needed. Currently the grant application is budgeting $540,500 for housing rehabilitation/replacement, $12,000 for temporary relocation, and $97,500 for administration costs. Only households that are low to moderate income are eligible to participate in the project; this ensures that the project meets a national objective.

Recommended Motions:

1. “Motion to submit the FFY 2016 Small Cities Community Development Block Grant Housing Rehabilitation application to the Florida Department of Economic Opportunity.”

2. “Motion to adopt the attached enabling resolution authorizing signature of the necessary application documents.”