Item 3H: Approval of Funding for CDBG and HOME Programs

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business loan programs. The amount of new grant dollars represents a 4% cut in CDBG funding from the previous year. New grant funds are recommended for use as follows. Landbanking for Low-Income Housing Development - $ 0. No new funds were requested since a site is not currently identified for acquisition. The City anticipates receiving program income from the sale of 20 single-family lots upon completion of the final phase of development at the Walnut Grove landbanked site. These funds may be used towards acquisition of a new site. Staff continues to seek acquisition opportunities and, if necessary, will convene the CDBG committee to discuss funding options in 2008/09, including use of this program income and possible use of other City funds to be repaid from future CDBG allocations. There are currently four sites in the landbank program for low- income housing: Willow Creek, County Farm Road, Willakenzie, and Westmoreland. Housing Rehabilitation – $0. No new grant funds will be allocated next year. Estimated carryover of $325,000 will be used in conjunction with the estimated program income amount from loan repayments of $350,000. The program offers low-interest loans through the City’s Housing Rehabilitation Loan Program for improvements to residences occupied by low-income homeowners and tenants. Emergency repair grants and loans of up to $5,000 will be provided to very low-income homeowners for minor repairs and accessibility features. Grants for accessibility improvements will be made for tenants with disabilities. Public Services Operations - $350,000 in new funds will be used to fund services as selected by the intergovernmental Human Services Commission (HSC). Public service funding is capped at 15% of new grant funds and program income from the prior fiscal year. The current allocation maintains funding consistent with prior years. Agencies to be funded include: Catholic Community Services family counseling, FOOD for Lane County dinner program and food box distribution, Relief Nursery therapeutic preschool, St. Vincent DePaul singles and family day-access centers, and White Bird medical/dental clinics and intensive case management. Public Services Non-Profit Capital Projects - $313,701 in new funds will be used to improve five facilities owned by local non-profit service providers and provide $15,000 in project related costs including environmental reviews, advertising, printing of bid documents, asbestos/lead based paint testing, and title-recording fees. Funds can be used for acquisition, new construction, rehabilitation, accessibility improvements, and weatherization efforts. Projects are selected annually through a Request for Proposals (RFP) process. Applications are reviewed and funding recommended to the full CDBG Advisory Committee by a review team comprised of three CDBG-AC members and a community member with construction expertise. The following projects are recommended: Relief Nursery The agency will use $57,000 to replace nine HVAC units in order to upgrade a failing heating system at the main facility located at 1720 West 25th Avenue. The agency’s mission is to prevent child abuse and neglect by delivering comprehensive early intervention and family preservation services to strengthen families, and promote children’s health and their physical, emotional, cognitive, and social development. The agency serves all of Lane County. Last year Relief Nursery served 663 Eugene families (52% of their client base). They offer respite, parent/child labs, parent education programs, anger management classes, ESL classes, recovery support activities, parent-teacher conferences, and family events. F:\CMO\2008 Council Agendas\M080414\S0804143H.doc