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HEARING - Consider adoption of a Resolution authorizing submittal of a Fiscal Year 2009-2010 Community Development Block Grant General Allocation Application to the California Department of Housing and Community Development for up to a $600,000 grant to continue to provide Housing Rehabilitation and Homeownership Assistance Loan Programs; committing $6,000 in budgeted general funds for in-kind staff support, $1,500 in permit fee waivers and $3,000 of in-kind Weatherization program services to meet the leverage/match requirement during the three-year grant term; authorize the Chairman to sign the Statement of Assurances; and if awarded, authorize the Director of Human Services to execute the grant agreement and subsequent amendments thereto that do not affect the dollar amount or the term, contingent upon approval by County Counsel and Risk Management.
Resolution 153-2009
FUNDING: Federal CDBG Grant Funds.
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Fiscal Impact/Change to Net County Cost: There is no cost associated with the application process. If the application is funded, it is proposed to utilize $6,000 of the Department's County General Fund Housing Element Implementation dollars currently budgeted for this purpose to meet the cash match, $1,500 in building permit fee waivers and $3,000 in Weatherization program services during the three-year term.
Background: The County's Housing Rehabilitation program was established in 1994 through a California State Department of Housing and Community Development (HCD) Community Development Block Grant (CDBG) award approved for submittal on April 5, 1994 by Board of Supervisors Resolution #86-94. The County also established a First-Time Homebuyer Loan Program through a HCD CDBG application approved for submittal on February 4, 2003 by Board of Supervisors Resolution #024-2003. Subsequent CDBG and HOME grant funding has been awarded to allow the County to continue to provide loans to low-income households on the Programs' waitlists.
Reason for Recommendation: The Housing Rehabilitation and First-Time Homeownership Assistance Loan Programs provide funds to income eligible households, earning no more than 80% of the area median income based on household size, to rehabilitate or purchase homes in the unincorporated areas of El Dorado County. To date, the First-Time Homeownership Assistance Loan Program has enabled seventeen (17) income qualified families to purchase homes. The Program wait list currently includes 188 households. Since 1994, the Housing Rehabilitation Loan Program has assisted sixty-three (63) homeowners to eliminate health and safety hazards and has a wait list with twenty-five (25) eligible households.
The 2009-2010 CDBG Notice of Funding Availability (NOFA) has established State Objectives encouraging Native American Partnership Proposals with non-federally recognized tribes. In response to this funding objective, the Miwok Tribe of the El Dorado Rancheria has expressed an interest in partnering with the County to market the program to tribal member households. Priority, for Housing Rehabilitation and First-Time Homeownership Assistance Programs, will be given to applicants that are income eligible tribal member households.
It is anticipated that California Department of Housing and Community Development (HCD) will announce funding awards by mail in September 2009 or as soon as the awards list is approved. HCD will subsequently issue a State Standard Agreement (Agreement) that will incorporate this application by reference. The Agreement will contain information about the terms and special conditions of the grant award, and identify those special conditions that must be met within 90 days of the Agreement's execution date. The following special conditions would be applicable to the funding requested: (1) Environmental Compliance: Housing Rehabilitation and Homeownership Assistance programs are categorically excluded from NEPA but will require an environmental review process, which will be overseen by County staff, to be completed as a part of the grant set up conditions as required by HCD; (2) Acquisition/Relocation Compliance: This requirement is included in the Board-approved Homeownership Assistance Guidelines; (3) Program Income Reuse Plan submittal: This document is included with application; and (4) Submittal of Homebuyer Assistance and Housing Rehabilitation Guidelines: These guidelines are included with grant application. County Counsel and Risk Management approvals shall be obtained prior to the Department Director executing the Agreement.
If the current application is approved and subsequently funded, $600,000 in CDBG Housing Combo funds will continue the First-Time Homeownership Assistance and Housing Rehabilitation loan programs, which is expected to provide loans to eight (8) households (approximately twenty-eight (28) County residents) during the three-year term of the grant.
Action to be taken following Board approval: Board Clerk to provide Human Services at Spring Street with the following documents signed by the Chairman:
· Three (3) Certified Resolutions
· Three (3) signed Statement of Assurances - retain one (1) executed Statement of Assurances.
Contact: Jan Walker-Conroy, 642-7272
Concurrences: County Counsel has approved the attached Resolution.