Title
Resolution approving the 2025-2029 Consolidated Plan, 2025 Annual Action Plan and Citizen Participation Plan for the use of federal block grant funds (CDBG, HOME, ESG) provided through the U.S. Department of Housing and Urban Development.
Presenter:
Aimee Cox, Chief Housing and Homelessness Officer
Barb Van Hoy, Policy, Planning and Engagement Coordinator, Housing and Homelessness Response Department
Body
Summary:
Approval of the Consolidated Plan, Annual Action Plan and Citizen Participation Plan to HUD identifying five-year priority needs and strategies (Apr 1, 2025 through Mar 31, 2029), as well as planned activities for the 2025 program year.
Background:
The City of Colorado Springs is a U.S. Department of Housing and Urban Development (HUD) entitlement grantee and receives allocations of federal block grant funds under the Community Development Block Grant Program (CDBG), Home Investment Partnerships Program (HOME) and Emergency Solutions Grant (ESG) program. The purpose of the funds is to benefit low- and moderate- income residents of Colorado Springs, prevent slum and blight, encourage the development, improvement, and preservation of affordable housing, prevent homelessness and meet other urgent community needs. To be eligible to receive the annual entitlement grants, the City must develop and submit to HUD a Consolidated Plan every five years, laying out housing and community needs based on updated data and public input. The Annual Action Plan is a component of the Consolidated Plan and identifies activities for the coming program year. The Citizen Participation Plan establishes procedures to encourage local citizens to participate and comment on various housing and community development activities funded through the City’s HUD grants.
Previous Council Action:
N/A
Financial Implications:
The 2025-2029 Consolidated Plan establishes the community’s priority needs through data analysis, while the 2025 Annual Action Plan lays out the expected financial resources and activities for the coming year. Though the City’s allocation was lower than anticipated in Program Year 2024, the Department drafted the 2025 Action Plan based on near-level funding, as we make these estimates based on long-term trends. Per capita entitlements from HUD have decreased over the past two decades.
This estimate reflects what the Department provided to Council in the City’s 2025 budget.
Because Congress has not yet passed a federal budget, HUD gives its grantees permission to proceed with the public process and local approval based on estimates. After the 2025 federal appropriations process is completed HUD has 60 days to announce the final allocation amounts, at which time we will add final numbers to the plan. It is unlikely the final allocations will exceed our estimates and the amount approved in the City’s 2025 budget, but if they do, we will request a supplemental appropriation from City Council. No additional general fund appropriation will be required.
Housing and Homelessness Response Department staff will apply any changes in the actual allocations to the three grant programs on a pro rata basis prior to submitting the final plan to HUD. The final plan will be available on our website upon submittal.
This year, the Department estimates include the following resources:
CDBG: $3,202,951
• $3,002,951 from HUD
• $200,000 in program income
HOME: $1,758,847
• $1,458,847 from HUD
• $300,000 in program income
ESG: $274,718 (all from HUD)
TOTAL from HUD: $4,736,516
TOTAL program income: $500,000
PLAN TOTAL: $5,236,516
The projects and activities described in the 2025 Action Plan are consistent with the highest priority needs established in the 2025-2029 Consolidated Plan with a particular emphasis on projects and activities that address homelessness and affordable housing needs in the community.
City Council Appointed Board/Commission/Committee Recommendation:
On January 23, 2025 the Community Development Advisory Committee unanimously recommended approval.
Stakeholder Process:
The Department began soliciting citizen participation through consultations with stakeholders early in 2024. Staff also considered input collected and summarized during other public engagement processes, including the Mayor’s Listening Tour, the Homelessness Response Action Plan public meetings, the Southeast Strong neighborhood engagement, the Homelessness Solutions Team and the City’s Strategic Plan.
Consultations with key stakeholders continued through the Fall, including the Pikes Peak Continuum of Care, other City departments, local service providers, housing providers, the Healthy Communities Collaborative, and neighborhood advocates continuing through December. HHR also held two public meetings in November 2024 to gather input on needs and priorities.
The Housing and Homelessness Response Department provided a 30-day public comment period December 27, 2024 through January 27, 2025 for public review of the draft 2025-2029 Consolidated Plan, 2025 Action Plan and Citizen Participation Plan. Staff solicited input online, through surveys and via community organizations, hosted a public hearing on Tuesday, January 7 to talk about the draft, and held an additional input session targeted to the Spanish speaking community. The Community Development Advisory Committee has advised staff on the process and made a recommendation for approval at their January 23rd meeting. All public comments and responses are summarized and made available in the plans and appendices.
Once HUD announces the allocations, HHR staff amends the plans to reflect actual PY 2025 numbers and submits the plans to HUD. The final plans will be posted online as submitted to HUD, available to all citizens.
Alternatives:
Council can choose to not approve the Consolidated Plan and Action Plan draft and the Citizen Participation Plan and decline the estimated $4.7 million annual allocation from HUD.
Recommended Action
Proposed Motion:
Approve the resolution approving the draft 2025-2029 Consolidated Plan, 2025 Action Plan and Citizen Participation Plan for the use of federal block grant funds (CDBG, HOME, ESG) provided through the U.S. Department of Housing and Urban Development (HUD).
Summary of Ordinance Language
N/A