To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Matt Gohl, Special Projects Manager
Title
Discussion/Direction: CDBG Program Priorities and Goals
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 distribution amount is $230,932 and the Town’s program year will begin on October 1, 2021.
Staff has contracted with a consultant (Civitas, LLC) to develop the required Consolidated Plan (ConPlan) to submit that need to be submitted to the US Department of Housing and Urban Development (HUD) by the August 16, 2021 deadline. The ConPlan is developed using a combination of available data sources and public input; and, includes a needs assessment, market analysis, strategic plan and more.
Staff is seeking Town Council direction related to the priority needs, goals and initial funding recommendations at this time. Following tonight’s direction, the draft ConPlan will be published for a 30-day public comment period starting on June 21. Town Council will then consider a resolution adopting the Town’s final ConPlan at the July 20, 2021 meeting.
Discussion
The Town of Castle Rock accepted entitlement status into the CDBG program in September 2020. The Town’s actual funding allocation is $230,932 for fiscal year 2021. A portion of this funding can be used to support related administrative costs associated with operating the CDBG program.
Overview/Background
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
• Longmont
• Loveland
• 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
Castle Rock Needs, Goals & Recommendations
CDBG funding priorities are developed through a combination of available data sources, public and stakeholder input. Civitas, LLC is compiling this information into a draft ConPlan with initial staff reviews currently underway. Public input efforts included a community survey, stakeholder survey and two public meetings. Surveying was conducted by Civitas, LLC in a coordinated effort with Douglas County, who is also initiating a CDBG program for 2021. Additionally, two virtual public meetings were hosted on April 12 and 15, 2021. Public outreach efforts have resulted in 208 citizen responses, nine stakeholder responses and 3 public meeting participants (plus several Town Council and staff members).
Numerous needs have been identified and include affordable housing, special needs services, public facility needs, mental health support, domestic violence resources and more. The Town’s $230,932 CDBG allocation, while not insignificant, is not sufficient to meet all of the needs outlined in the data gathering and public input process. However, staff has prepared the following recommendation for initial CDBG funding priorities.
A portion of CDBG funding, up to 20 percent, will be used to support the costs associated with administering the CDBG program. Staff is recommending that the remaining CDBG funding be used toward senior and special needs/ADA initiatives. Note that HUD has established that a maximum of 15 percent can be used towards public services, such as transportation or senior services, while the remaining amount can be used toward facility/infrastructure projects like accessibility improvements at parks or on sidewalks. Below is a summary of these proposed activities and associated funding amounts.
|
Project Name and Proposed Activity |
Funding |
|
CDBG: Administration (20%) • Community Development Department Admin |
$46,186 |
|
CDBG: Public Services (15%) • Supportive services for LMI & special needs |
$34,640 |
|
CDBG: Public Facilities & Infrastructure (65%) • Public facilities, infrastructure |
$150,106 |
Staff, at this time, is seeking direction from Town Council to develop the Castle Rock ConPlan with these strategic priorities and initial funding recommendations; or, other direction as Town Council prefers. These priorities will be the basis of the 2021 - 2025 ConPlan, but Town Council can shift funding to different priorities in the future if desired. Additional public input periods may be required depending on the scope of any future changes.
Following Town Council direction this evening, staff will work with Civitas, LLC to finalize the 2021 - 2025 Draft Consolidated Plan for the Town of Castle Rock. This plan will then be published for a 30-day public comment period beginning on June 21, 2021. Comments received during this time will be incorporated into the plan, which will then be finalized and presented to Town Council for final approval on July 20, 2021.
Recommendation
Staff recommends utilization of CDBG funding to be used for program administration, public services and public infrastructure as previously outlined and establishing priority needs relating to seniors and ADA initiatives.
Proposed Motion
“I move to direct staff to develop the Town of Castle Rock 2021 - 2025 CDBG Consolidated Plan using strategic priorities and initial funding recommendations as presented.”