AGENDA DATE: 6/2/2021
TITLE:
Title
Virginia Community Development Block Grant
BODY
SUBJECT/PROPOSAL/REQUEST: Public Hearing on the availability of CDBG-CV funding and to receive input on COVID-19-related community development and housing needs.
ITEM TYPE: Regular Action Item
STAFF CONTACT(S): Richardson, Walker, Kamptner, Baumgartner, Savides, Pethia
PRESENTER (S): Stacy Pethia
LEGAL REVIEW: Yes
REVIEWED BY: Jeffrey B. Richardson
BACKGROUND: The Virginia Community Development Block Grant (VCDBG) is a federally funded grant program administered by the Virginia Department of Housing and Community Development (DHCD). Since 1982, the DHCD has provided funding to eligible units of local government (non-entitlement communities only) for projects that address critical community needs, including housing, infrastructure, and economic development. Albemarle County has received numerous grants in previous years to support housing and community improvement initiatives. The VCDBG application process requires two local public hearings be conducted. The purpose of the first public hearing is to provide information on eligible activities that may be funded by CDBG, the amount of funding estimated to be available, and past activities undertaken with CDBG funds, and to receive public comment on this information and potential community development and housing needs. The follow-up public hearing is held in order to consider proposed project applications and must take place prior to the DHCD application due date. Applications must be submitted by the County to the DHCD; however, the proposed activities may be undertaken by partner agencies.
Over the years, Albemarle County has been successful in receiving a number of CDBG grant awards. The most recent grant was awarded in 2016 to improve 29 owner-occupied homes in the Alberene neighborhood. Staff is in the process of closing out this project. Prior grants have resulted in improved infrastructure for the Oak Hill subdivision and preservation of owner-occupied homes and rental units located in neighborhoods throughout the County.
STRATEGIC PLAN: Infrastructure Investment - Prioritize, plan, and invest in critical infrastructure that responds to past and future changes and improves the capacity to serve community needs.
DISCUSSION: The County is currently working with Habitat for Humanity on a Vibrant Communities Initiative Grant, which includes $1 million of CDBG funds, to assist in developing the first phase of the Southwood Redevelopment Project. As a non-entitlement community, Albemarle County is eligible to apply to the DHCD for up to approximately $1.5 million in CDBG funding for projects that benefit low- and moderate-income persons, prevent slums and blight, or address urgent community needs. Eligible activities include economic development, housing rehabilitation, housing production, community facilities and community service facilities. Community development projects can receive varying levels of funding, depending on the nature of the activity, or by combining multiple activities. For Fiscal Year 2022, DHCD is making available $10,450,503 in competitive grant funding, $700,000 to support planning grants, and $7 million in open submission and urgent need grant funds. The open submission and urgent need grant funding also supports projects and services provided in response to community needs arising due to the COVID-19 pandemic. Activities eligible for CDBG-CV funding include projects to address food security issues, homeless services and emergency housing, and small business recovery.
Albemarle County is currently seeking community input on community needs that may be addressed through a CDBG project. The County is also soliciting proposals for potential CDBG grant applications. For any project to be considered by the County for CDBG funding, the applicant must notify the County no later than June 12, 2021. All funding requests shall include a brief description of the project, the proposed use of CDBG funds, and a description of the beneficiaries of the proposed activity. Priority will be given to proposals addressing COVID-19 related community needs.
BUDGET IMPACT: There is no budgetary impact until an application is made to the DHCD and approved for a funded project. Projects approved for CDBG funding generally require some level of local funding support, which may include funding provided by the project sponsor.
RECOMMENDATION:
Recommendation
Staff recommends that the Board receive information on available CDBG funding and eligible uses and hold the public hearing to receive input from the public on potential community development and housing needs. Staff also recommends that the Board set the second required public hearing to review and approve the submission of any proposed applications to the DHCD for August 4, 2021.
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