Title
Resolution to approve CARES Act Substantial Amendment 1 to the 2020-2024 Consolidated Plan/2020 Annual Action Plan and Citizen Participation Plan
Presenter:
Catherine Duarte, AICP
Senior Analyst, Community Development Division
Body
Summary:
HUD has required all grantee jurisdictions receiving CARES Act funds to amend their current Action Plans and, if in the first year of their five-year plan, Consolidated Plans. Waivers from HUD have also required jurisdictions to amend their Citizen Participation Plans to accommodate language from the waivers. Approval of this amendment will allow the City to enter into a funding agreement with HUD to receive its first round of CARES Act funding for $1.8 million in CDBG and $887,124 in Emergency Solutions Grant funds.
Background:
As a result of the March 27, 2020 CARES Act, the Department of Housing and Urban Development (HUD) received $12 billion. HUD announced the first round of allocations for recipients of Community Development Block Grant (CDBG), Emergency Solutions Grant (ESG) and Housing Opportunities for Persons with AIDS (HOPWA) funds on April 2 and a set of general waivers on April 9 to help jurisdictions plan for receiving the funds. The City of Colorado Springs is a grantee and recipient of CDBG and ESG funding; its round 1 allocation is $1,811,610 in additional CDBG funds and $887,124 in additional ESG funds.
The April 9 memo advised jurisdictions to proceed with formally amending their plans without waiting for additional allocations. Please note that the City has been awarded a second allocation for only ESG funds and will submit a second amendment later this year.
This current amendment enables the Community Development Division to add these additional sources of funding known as CDBG-CV and ESG-CV1 and their purposes in the plans, in HUD’s national grant tracking system, and to notify the public of the change. It also allows Community Development to make changes in its HUD-required Citizen Participation Plan that reflect the flexibilities of the program waivers that allow for digital meetings, accelerated review periods, and a tailored definition of reasonable notice to meet this historic moment.
Previous Council Action:
Council approved the draft 2020-2024 Consolidated Plan/2020 Annual Action Plan on 2/11/20.
Financial Implications:
Council’s approval of this resolution will allow the Community Development Division to submit its amendment request to HUD. HUD’s approval will allow the City of Colorado Springs to access the $1.8 million in CDBG-CV and $887,124 in ESG-CV funds to help low-income communities weather the pandemic.
Please note that approval of this amendment is not an approval to spend the funds, but rather an acknowledgement to HUD that Council supports the additional funding and the Division’s strategy for deploying the funds.
City Council Appointed Board/Commission/Committee Recommendation:
N/A
Stakeholder Process:
The amendment process has been quick, as urged by HUD: HUD waivers reduced the required public comment window to a minimum of 5 days, though CDD held a 12-day public comment period and notified the public through a Gazette notice, email, and announcement on its website. Staff received one comment/request from a resident that the City take special consideration of the needs of North Nevada corridor.
Despite the short amendment review period, CDD has been working extensively since April with emergency response teams, housing providers, service providers, philanthropic organizations, homeless advocates, and peer agencies on the needs in the community and on a strategy to get the funds to those in most need.
Alternatives:
Council can elect not to approve the resolution and turn down the $1,811,610 in CARES Act funding to prevent, prepare for and respond to the coronavirus.
Recommended Action
Proposed Motion:
Approve resolution allowing the submittal of the proposed substantial amendment to the 2020-2024 Consolidated Plan, 2020 Annual Action Plan, and Citizen Participation Plan to the U.S. Department of Housing and Urban Development.
Summary of Ordinance Language
N/A