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CL-2426 New Business   Item #: H.       
Meeting Date: 11/05/2020  
Subject:    Fiscal Year 2020-21 Community Development Programs
From: Kenneth C. Gillie, Jr.

COUNCIL ACTION
First Reading:      11/05/2020                                                                                       
Final Adoption: 11/17/2020
SUMMARY
The City of Danville is a participating jurisdiction under the U.S. Department of Housing and Urban Development (HUD).  Under this designation, the City receives Community Development Block Grant (CDBG) and HOME Investments Partnership Program (HOME) funds annually.  The City has received its funding agreement from HUD in the amount of $1,197,477 and needs to appropriate the money to be used for housing related programs.
BACKGROUND
In July, City Council approved a new five-year Consolidated Plan and Fiscal Year 2020-21 Annual Action Plan, specifying projects and activities that will be funded in the fiscal year.  A large majority of the CDBG funds have historically been used for neighborhood revitalization efforts and it is proposed to continue focusing on this effort in the 2020-21 Plan.  In addition, there is a public service category which can be funded with up to 15% of the annual allocation.  It provides funding to assist non-profit organizations to carry out programs that benefit low- to moderate-income individuals and/or households. 

The City has received the program agreement from HUD for a total budget of $1,197,477 for Fiscal Year 2020-21, comprised of $880,085 CDBG funds, $268,392 HOME funds, and $49,000 estimated program income generated from loan repayments and the sale of houses currently under city programs.
RECOMMENDATION
It is recommended that City Council adopt the attached Budget Appropriation Ordinance appropriating $1,197,477 from HUD for Fiscal Year 2020-21 for use in Housing related programs.
 

Attachments
Ordinance


    

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