Castle Rock Banner
Share to Facebook Share to Twitter Bookmark and Share
File #: ID 2021-005    Version: 1 Name:
Type: Update/Presentation Item Status: Filed
File created: 1/13/2021 In control: Town Council
On agenda: 1/19/2021 Final action: 1/19/2021
Title: Update: Community Development Block Grant (CDBG) Program
Attachments: 1. Presentation

To:                     Honorable Mayor and Members of Town Council

 

Through:                     David L. Corliss, Town Manager

 

From:                     Matt Gohl, Special Projects Manager

 

Title

Update:  Community Development Block Grant (CDBG) Program

Body

______________________________________________________________________

 

Executive Summary

In September 2020, Town Council accepted entitlement status into the federal Community Development Block Grant (CDBG) program beginning in fiscal year 2021. Castle Rock’s 2021 distribution amount is unknown at this time, however, the Town’s allocation of CDBG Funds for fiscal year 2020 was estimated to be $222,000 so it is reasonable to expect a similar amount for 2021.

 

Given the Town’s acceptance of entitlement status, staff has started the process to develop the required Consolidated Plan (ConPlan) and other reports/analysis. Staff has contracted with a consultant (Civitas, LLC) to guide the Town through this process so the Town can submit required plans to the US Department of Housing and Urban Development (HUD) by the August 16, 2021 deadline. Public participation will guide development of the required plans that will be submitted to Town Council for approval later this year.

 

This memo is intended for informational purposes and no Town Council action is required at this time.

 

Discussion

The Town of Castle Rock accepted entitlement status into the CDBG program in September 2020. The Town’s actual funding allocation will not be known until this spring, likely in April 2021. However, the Town’s allocation for 2020 was estimated to be $222,000 and it is reasonable to expect a similar amount for this year. Note that the Town opted to not accept entitlement status at that time. The Town participated in the CDBG program in 2011, but declined participation in 2015, 2017 and 2019 due to concerns with the 2015 rule related to Affirmatively Furthering Fair Housing (AFFH). The AFFH rule was changed in 2020 and addressed concerns related to potential federal input into local zoning matters. Given this rule change, Town Council accepted entitlement status into the program for fiscal year 2021. Staff will continue to monitor for any future rule changes and will inform Town Council appropriately.

 

There are numerous CDBG entitlement cities and counties in Colorado that include:

 

                                          Adams County

                     Arapahoe County

                     Arvada

                     Aurora

                     Boulder

                     Castle Rock*

                     City & County of Broomfield

                     Centennial

                     Colorado Springs

                     Commerce City

                     City & County of Denver

                     Douglas County*

                     El Paso County

                     Fort Collins

                     Grand Junction

                     Greeley

                     Jefferson County

                     Lakewood

                     Lone Tree*

                     Longmont

                     Loveland

                     Parker*

                     Pueblo

                     Thornton

                     Westminster

     *New entitlement community for fiscal year 2021

 

Examples of CDBG funded projects accomplished by these entities include housing

rehabilitation and sewer line replacement (Centennial); energy efficiency grants

(Englewood); street/sidewalk accessibility improvements (Centennial); establishing a

high school mentoring program to empower students from low-income communities to

graduate high school (Arapahoe County); low-income, senior, and special needs

housing plus homebuyer assistance (Fort Collins); and, park/playground improvements

(Lakewood). In general, CDBG funds must be used for activities that meet one of the following criteria:

 

                     benefit low and moderate income persons

                     prevent or eliminate slums or blight

                     address community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community for which other funding is not available

 

The Town utilized CDBG funds in the past to complete alleyway improvements, to make curbs ADA accessible and to support public service programs. Other examples of eligible activities that qualify for CDBG funding include:

 

                     Acquisition of real property

                     Relocation and demolition

                     Rehabilitation of residential and non-residential structures

                     Construction of public facilities and improvements, such as water and sewer facilities, streets, neighborhood centers, and the conversion of school buildings for eligible purposes

                     Public services, within certain limits

                     Activities relating to energy conservation and renewable energy resources

                     Provision of assistance to profit-motivated businesses to carry out economic development and job creation/retention activities

 

Staff has considered numerous options for how to use CDBG funding, but program development will be based on public and stakeholder input so that funds are used to best meet the needs identified in the community. CDBG, like many federal grant programs, has numerous compliance requirements. Given the complexity of these requirements, staff solicited proposals from numerous consultants and has selected Civitas, LLC to assist the Town with CDBG program development. As part of program development there will be various public outreach components on procedural, needs assessment and other items. Town Council will likely see information about these public input periods in the coming months.