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11. CDBG Revisions.CITY OF CHANHASSEN 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317 (612) 937 -1900 • FAX (612) 937 -5739 MEMORANDUM TO: Don Ashworth, City Manager FROM: Kate Aanenson, AICP, Planning Director DATE: March 5, 1997 SUBJ: Changes in Community Development Block Grant Allocation in 1997 The city has received notice from Hennepin County, regarding a change in the CDBG funding for funding years 1997 and beyond. The Hennepin'County Board adopted a resolution on housing policy direction in February. The goal of the revision is to promote administrative efficiencies and assist communities in addressing housing and community development need. The significant change is that communities, receiving less than $50,000 under the current formula allocation, would have CDBG funding consolidated in a pool award on a competitive basis. Only the communities whose funding have been pooled would be eligible to apply for these funds. Up to this, revised format communities could apply for larg they are currently eligible to receive. These changes are go( Last year the city's allocation was over $50,000, so the City pool for competitive funding. " Looking at the proposed allot receiving under $10,600. The'bad news may be that because allotment under the,competitive placed in the pool on,p annual projects. The best way to ensur amounts of CDBG funding than news/bad news for Chanhassen. Lay or may not always be in the ent for 1997, there are 11 cites ;hanhassen has the largest .o lose. , However, if the city is basis, we would have the opportunity to pool more: =money for e,prpiects get funding is by making sure projects are those identified as high priority by the gAplan\ka \cdbg.hen Hennepin Count An Equal Opportunity Employer February 23, 1996 Ms. Kathryn Aanenson City of Chanhassen 690 Coulter Drive Chanhassen, MN 55317 Dear Ms. Aanenson: 1 RECEIVED ' FEB 2 6 RECD CITY OF CHANHASSEII On February 20, 1996, the Hennepin County Board adopted a resolution on housing policy and direction. Included in the resolution are proposed revisions to the Community Development Block Grant (CDBG) program for fiscal years 1997 and beyond. A copy of the resolution is enclosed. The policy direction and proposed revisions resulted from information presented at meetings with communities and staff recommendations. The goal of the revisions is to promote administrative efficiencies and assist communities in addressing housing and community development needs. One significant proposed revision is that communities, such as yours, receiving less than $50, 000 under the current formula allocation would have CDBG funds consolidated in a pool for award on a competitive basis. Only the communities whose funding has been pooled would be eligible to apply for these funds. Under this revised format, communities could apply for larger amounts of CDBG funding than they are currently eligible to receive. It is our intent that a portion of the pool (up to 15 percent) could be available for public service activities and that a portion of the pool could be designated for single family rehabilitation. County staff is proposing that a selection committee, consisting of municipal representatives, review the applications and make funding recommendations to the Hennepin County Board. Two meetings have been scheduled to discuss the proposed revisions and solicit input from the communities. Please plan on attending the meeting which is most convenient for your schedule Tuesday, March 5, 1996 - 9:00 a.m. Corcoran Civic Center 8200 County Road 116 Corcoran Thursday, March 7, 1996 - 1:30 p.m. Orono Council Chambers 2780 Kelley Parkway Orono Office Of Planning & Dev elopment 5 Development Planning Unit 10709 Wayzata Boulevard, Suite 260 Minnetonka, Minnesota 55305 (612) 541 -7080 FAX: (612) 541 -7090 Recycled Paper, February 23, 1996 Page 2 Any revisions would be incorporated in the new joint cooperation agreement for CDBG program years beginning in 1997. This does NOT pertain to the 1996 program for which planning is currently in process. Please contact me at 541 -7083 or your CD representative if you have any questions or are unable to attend either meeting. I look forward to meeting with you. Sincerely, Barbara Hayden Administrative Ma ager Enclosure F-tiB ez 'yb IU :11RH HENNEPIN CO CONP1ISSI Resolution No 96 -2 -150 The following re solution was offered by Co mmissioner Johnson, seconded by Commissioner Tambornino; P.1 ^ T' �l 0220 WHEREAS, members of the Hennepin County Board have received staff reports and recommendations regarding county housing policy and have discu ®Bed housing neede and potential county housing roles with municipal officials, BE IT THERMFORE RESOLVED, that the Hennepin county Board supports the following housing policies and program directions: 1. Hennepin County's housing policies and activities should be consistent with the following goals and assumptions a. Housing is primarily a municipal responsibility. b. county involvement in housing should complement, not gapplant, existing municipal responsibilities and resources. c. Consistent witb the county board's vision and mission, county housing activities should achieve one or more of the following coals: - Reduce county service costs or improve service results - Reduce reliance on county services and promote self- reliance - Stabilize neighborhoode and strengthen: the tax bass. d. No additional federal, state or county funds are expected to ' became available in the foreseeable future to support housing activities. e. Future county and municipal access to state and federal funds for housing, community development and transportation purposes are likely to be linked to affordable housing performance. 2. Hennepin County's current supportive role for housing be continued, in cooperation with municipalities, in promoting neighborhood and tax base stabilization and furthering affordable housing. 3. Hennepin County will utilize and seek to maximize existing resources to assist communities in achieving locally established goale under the Livable communities Act, including the preservation of existing housing unita. 4. County staff are authorized to prepare proposals for strengthening the county's coordinating role and establishing countywide programa to address housing and tax base concerns identified by communities subject to county funding constraints and county Board approval, as required. BE IT FURTHER RESOLVED, that staff are authorized to present to suburban eammunitiAs proposed revisions in the method of allocating county CDBO funds. The goal of such revisions should be to promote administrative efficiencies and assist communities in addreeaing housing and community development needs. The following provisions for the 1997 -99 Joint Cooperation Agreement should be included among the proposed revisions: 1. Communities qualifying as entitlements (having populations of at least 50,000) will receive annual funding allocations equftl to the �..� HUD formula entitlement or the Hennepin County farmuia allocation, which ever ie greater. ■ I ��l■ L� C 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 /^, FEB 2 3 'So 10 :12RM HENNEPIN CO COMMISSI P V Page 2 Re /RBA No. 9 -2 -150 2. Non - entitlement communities with county Formula allocations of $50,000 or more will receive planning allocatione. 3. Non entitlement communities with formula allocatione of lees than $50,000 will have their funds consolidated in a pool for award on a competitive basis. Representatives of these communities will participate in a review Committee to make funding r C*Mendations to the County Hoard. Only the communities whose funding has been gaoled will be eligible to compete for these funds. The estion was on the adoption of the resolution, esnd there were X YEAS and 10 SA NAYS as follawas COURry OF HSNNEPIN BOARD OF COUNTY COMKISSIONRAS YEA _ NAY Q Mike Opat X Sandra Hilary ABSEN Mark Andrew X Randy Johnson X Mary Tambornino x Penny Steele x Peter McLaughlin, Chair x_ RESOLUTION ADOPTED. A=ST: _� �<Zce C e k U the C nt• Hoard FEB 2 01996 1997 Chanhassen 49,543 PROJECTED PLANNING ALLOCATIONS URBAN HENNEPIN COUNTY CDBG PROGRAM 27,751 1997 Osseo COMMUNITY ALLOCATION Brooklyn. Park 505,812 ' Minnetonka 225,800 22,076 Subtotal Entitlement Communities 731,612 Dayton 20,369 ' St. Louis Park 284,033 Richfield 250,935 19,145 Brooklyn Center 244,907 Shorewood Edina 187,526 ' Eden Prairie 183,175 New Hope 165,925 15,615 14,649 Hopkins 151,272 Medina Maple Grove 151,542 ' Crystal 138,626 Golden Valley 106,588 11,634 11,331 Robbinsdale 85,638 Long Lake Champlin 77,469 ' Mound 65,638 Subtotal Formula Allocations 2,093,274 7,545 ' Chanhassen 49,543 Wayzata 27,751 Osseo 23,633 Corcoran 22,128 ' Orono 22,076 Dayton 20,369 Minnetrista 19,476 Rockford 19,145 ' Shorewood 17,460 St. Anthony 16,437 Excelsior Independence 15,615 14,649 ' Medina 13,971 Deephaven 12,884 Spring Park Hassan 11,634 11,331 ' Long Lake 10,248 Maple Plain 9,990 St. Bonifacius 7,545 Tonka Bay 7,266 ' Greenfield 7,038 Rogers 4,366 Loretto 3,791 Hanover 3,778 t Greenwood 2,968 Minnetonka Beach 1,709 Woodland 1,502 Medicine Lake 811 Subtotal Consolidated Pool 379,114 ' TOTAL 3,204,000 Hennepin County 356,000 Total Allocation $3,560,000 ' Based on 1996 estimated allocation 1997 allocation is not yet determined U:%C0BGXXIRCTYALL97A 02/14196