Sponsor: Community & Economic Development
Title
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Substantial Amendment to the 2024 Community Development Block Grant Annual Action Plan
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Recommendation
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1. Approve the amended 2024-2025 Community Development Block Grant - HOME Investment Partnerships Act Action Plan/Proposed Use of Funds.
2. Authorize the County Manager to approve and execute amendments to agreements provided the amounts are within the budget of the approved plan.
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Background and Rationale
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Ramsey County has received Community Development Block Grant (CDBG) funding as an urban county for more than 30 years. The US Department of Housing and Urban Development (HUD) provides this annual grant to “develop viable urban communities by providing decent housing, a suitable living environment, and by expanding economic opportunities, principally for low and moderate-income persons.” Categories of eligible activities include, but are not limited to, public services, public infrastructure, and the rehabilitation of low to moderate-income housing. The funds are limited for use in suburban Ramsey County.
On May 14, 2024 the Ramsey County Housing and Redevelopment Authority (HRA) authorized the County Manager to submit the 2024 CDBG-HOME Investment Partnerships Act Annual Action Plan (AAP)/Proposed Use of Funds to HUD. All awarded activities in the 2024 AAP/Proposed Use of Funds applied to one of two competitive solicitations: the CDBG Public Services and Housing Programs Solicitation or the 2024 Housing Development Solicitation. Additional funds from program income and unallocated funds from previous funding years have become available and one additional activity from the 2024 Housing Development Solicitation can be funded.
All new activities or adjustments to activities that are larger than $100,000 trigger a HUD substantial amendment process. This requires a public notice, a 30-day public comment period, a public meeting and approval by the HRA Board. The following activity will be added to the 2024-2025 CDBG-HOME AAP/Proposed Use of Funds.
Summary of Proposed Distribution of CDBG Funds
Pioneer Manor Elevator Modernization, City of White Bear Lake $183,000
CDBG Sources of Funds
2019 Unallocated Funds $120,000
2021 Unallocated Funds $62,700
2023 Program Income $300
Total Funding Available: $183,000
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County Goals (Check those advanced by Action)
☒ Well-being ☐ Prosperity ☐ Opportunity ☒ Accountability
Racial Equity Impact
In Ramsey County, Black/African American, American Indian and other residents of color are more likely to be renters than White residents. Renters of color and American Indian residents are more likely to be cost-burdened by housing costs than White residents. According to the Mapping Prejudice Project and the Economic Competitiveness and Inclusion Plan, Ramsey County also has one of the largest homeownership gaps between White residents and Black residents in the nation. Strategic investments in affordable rental and owner-occupied housing by the county can help reduce these racial disparities in housing.
Community Participation Level and Impact
Goals and objectives for CDBG and HOME funds are set during the consolidated planning process, following the community outreach and participation strategies required by that plan. As required two public meetings were held to gather community input on the recommended projects and a public notice was given in the local newspaper. The meetings occurred on February 1, 2024 and May 7, 2024. Additionally, projects were selected through the 2024 Housing Development and 2024 CDBG Public Services and Housing Programs Solicitations, which was designed with input from community providers and governmental partners.
☒ Inform ☒ Consult ☐ Involve ☐ Collaborate ☐ Empower
Fiscal Impact
Community & Economic Development, in partnership with the County Attorney’s Office and Finance, solicited for eligible activities through two competitive solicitations. The 2024 Housing Development Solicitation was open to projects that expanded or preserved the supply of affordable housing and the 2024 CDBG Public Services and Housing Programs Solicitation. The process for selection included a review for eligibility and completeness, an interdepartmental scoring team and financial analysis for housing development projects. All projects included in the Annual Action Plans/Proposed Use of Funds were selected through this process. The 2024 CDBG process was informed by Ramsey County’s Purchasing and Contracting Transformation effort.
Ramsey County is able to reallocate $120,000 from unallocated 2019 CDBG funds and $62,700 from unallocated 2021 CDBG funds. These funds became available after activities in the 2019 AAP and 2021 AAP underspent or were cancelled.
Last Previous Action
On May 14, 2024, the Housing Redevelopment Authority approved the 2024-25 Community Development Block Grant-HOME Investments Partnerships Act Annual Action Plan/Proposed Use of Funds (Resolution H2024-005).
Attachments
1. Narrative Project Descriptions
2. Public Notice and Affidavit