2017-29803 Reso RESOLUTION NO. 2017-29803
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA APPROVING AND/OR AUTHORIZING THE
FOLLOWING ACTIONS: (1) AUTHORIZING THE CITY MANAGER TO
RECAPTURE $64,606.30 OF HOME INVESTMENT PARTNERSHIP (HOME)
FUNDS PREVIOUSLY ALLOCATED TO MIAMI BEACH COMMUNITY
DEVELOPMENT CORPORATION (MBCDC) FROM COMMUNITY HOUSING
DEVELOPMENT ORGANIZATION (CHDO) RESERVE FUNDS, PURSUANT
TO THE ACTION PLAN FOR FY 10/11 AND THE FY 2008-2012
CONSOLIDATED PLAN, AND TO REALLOCATE THESE FUNDS TO A
MUNICIPAL CAPITAL PROJECT; (2) AUTHORIZING THE CITY MANAGER
TO RECAPTURE $167,505.60 OF HOME FUNDS PREVIOUSLY
ALLOCATED TO THE MADELEINE VILLAGE APARTMENTS PROJECT
PURSUANT TO THE ACTION PLAN FOR FY 16/17 AND THE FY 2013-2017
CONSOLIDATED PLAN AND TO REALLOCATE THESE FUNDS TO THE
LOTTIE APARTMENTS REHABILITATION PROJECT; (3) AUTHORIZING
THE CITY MANAGER TO RECAPTURE $65,029.56 OF COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FROM FY 14/15 AND
15/16, WHICH CDBG FUNDS WERE PREVIOUSLY ALLOCATED
PURSUANT TO THE ACTION PLAN FOR FY 15/16, AND REALLOCATE
THESE FUNDS TO THE CITY'S MADELEINE VILLAGE APARTMENTS; (4)
AUTHORIZING THE CITY MANAGER TO RECAPTURE $20,978 OF CDBG
FUNDS PREVIOUSLY ALLOCATED TO THE BOYS AND GIRLS CLUBS OF
MIAMI-DADE, INC, PURSUANT TO THE ACTION PLAN FOR FY 09/10, AND
TO REALLOCATE THESE FUNDS TO THE NEPTUNE APARTMENTS; (5)
APPROVING AN AMENDMENT TO RESOLUTION NO. 2014-28476 TO
CORRECT ACTUAL EXPENDITURES, BY RETROACTIVELY APPROVING
THE ALLOCATION OF $568,799 of CDBG FUNDS TO THE
REHABILITATION OF THE LONDON HOUSE APARTMENTS, AS
FOLLOWS: $125,643 FROM UNALLOCATED MULTIPLE PRIOR YEARS
AND $443,156 FROM FY 13/14; (6) APPROVING AN AMENDMENT TO THE
FY 14/15 ACTION PLAN, WHICH WAS APPROVED PURSUANT TO
RESOLUTION NO. 2014-28635, TO REFLECT THAT $433,646 OF FY 14/15
CDBG FUNDS WERE ALLOCATED TO FUND PUBLIC FACILITIES
IMPROVEMENTS; (7) AUTHORIZING THE CITY MANAGER TO
RECAPTURE $69,063.90 OF HOME CHDO FUNDS FROM FY 14/15,
PREVIOUSLY ALLOCATED TO CARRFOUR SUPPORTIVE HOUSING,
INC.'S HARDING VILLAGE APARTMENTS, AND TO REALLOCATE THE
FUNDS TO THE CITY'S CHDO FUND; (8) REPEALING RESOLUTION NO.
2014-28798, WHICH ORIGINALLY AWARDED $122,492.44 OF HOME
FUNDS TO THE HARDING VILLAGE APARTMENTS PROJECT BUT WERE
SUBSEQUENTLY NOT NEEDED FOR THAT PROJECT, AND
RETROACTIVELY AUTHORIZING THE CITY MANAGER TO ALLOCATE
THOSE FUNDS TO THE LONDON HOUSE APARTMENTS; (9)
AUTHORIZING THE CITY MANAGER TO RECAPTURE $64,149.44 OF FY
14/15 HOME FUNDS NOT EXPENDED FROM THE LONDON HOUSE
REHABILITATION PROJECT, AND TO REALLOCATE THESE FUNDS TO
THE LOTTIE APARTMENTS REHABILITATION PROJECT; (10)
APPROVING AN AMENDMENT TO RESOLUTION NO. 2014-28877 TO
REFLECT THAT $651,455 OF CDBG FUNDS WERE RECAPTURED FROM
FY 12/13 THROUGH FY 14/15 AND WERE ALLOCATED FOR THE CITY'S
ACQUISITION OF MULTIPLE MULTIFAMILY RESIDENTIAL RENTAL
BUILDINGS PREVIOUSLY OWNED BY MBCDC; AND (11) APPROVING AN
AMENDMENT TO THE FY 2013-2017 CONSOLIDATED PLAN TO ADD
ADDITIONAL SUB-RECIPIENT SELECTION METHODS AND TO REFLECT
ALL OF THESE AMENDMENTS; AND (12) AUTHORIZING THE CITY
MANAGER TO SUBMIT THE REQUISITE REVISED ACTION PLANS AND
CONSOLIDATED PLANS TO THE U.S. DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT (HUD); AND FURTHER AUTHORIZING THE CITY
MANAGER TO EXECUTE ALL NECESSARY DOCUMENTS OR
AGREEMENTS.
WHEREAS, the City is an entitlement recipient of the U.S. Department of Housing and
Urban Development (HUD) formula grant programs as follows: Community Development Block
Grant (CDBG)fund and HOME Investments Partnership (HOME)funds; and
WHEREAS, CDBG funds are used to provide vital public services, housing activities,
and improvement to public facilities, and HOME funds are used for affordable housing activities
including multi-family rentals; and
WHEREAS, the City expects to continue to receive entitlement funds from these grant
programs to operate the City's housing and community development activities; and
WHEREAS, the Action Plan for federal funds is a requirement under HUD's formula
grant programs, which include the CDBG and HOME programs; and
WHEREAS, CDBG and HOME stipulate that funds be expended within guidelines
delineated in 24 CFR Part 570 and 24 CFR Part 92, among others; and
WHEREAS, the City is seeking to clarify the public records to ensure that there is clarity
as to HUD compliance; and
WHEREAS, on July 14, 2010, via Resolution 2010-27428, the City Commission
approved the Fiscal Year 2010/2011 Action Plan that awarded Community Housing
Development Organization (CHDO) reserve funds to Miami Beach Community Development
Corporation (MBCDC) $1,128,977 for the rehabilitation of Meridian Place; and
WHEREAS, in October 2013, the City terminated MBCDC's CHDO designation for
failing to comply with HUD rules and regulations for the expenditure of HOME and CDBG funds;
and
WHEREAS, the unexpended funds, in the amount of $64,606.30, from FY 10/11 must
be spent by September 30, 2017 or they will be recaptured by HUD; and
WHEREAS, the City finds it is necessary to convert these monies to entitlement funds to
ensure compliance with the HUD rules and regulations regarding the timely expenditure of
funds; and
WHEREAS, the Administration recommends reallocating these funds to a municipal
capital project to be selected by the Office of Housing and Community Development, a Division
of the Office of Housing and Community Services; and
WHEREAS, as per the Citizen Participation Plan, a change of use triggers a Substantial
Amendment; and
WHEREAS, requiring an amendment to City's FY 10/11 Action Plan and 2008 through
2012 Consolidated Plan will have to be amended to reflect the recapture and reallocation of
these HOME funds; and
WHEREAS, on June 8, 2016, via Resolution 2016-29420, the City Commission
approved the FY 16/17 Action Plan that included HOME recommendations for the rehabilitation
of the Madeleine Village Apartments and Lottie Apartments project in the amounts of $164,238
and $168,555, respectively; and
WHEREAS, after the June 8, 2016 City Commission meeting, the HOME funds
increased from $441,740 to $443,723, thereby increasing the proposed allocation for the
Madeleine Village Apartments from $164,238 to $167,505.60; and
WHEREAS, the Administration finds it is necessary to reallocate the $167,505.60 in
HOME funds from FY 16/17 from the Madeleine Village Apartments project to the Lottie
Apartments, an active capital project, to ensure compliance with the HUD rules and regulations
regarding the timely expenditure of funds; and
WHEREAS, as per the Citizen Participation Plan, a change of use triggers a Substantial
Amendment; and
WHEREAS, the resulting HOME funds reallocation will be incorporated into the City's FY
2016/2017 Action Plan and FY 13-17 Consolidated Plan; and
WHEREAS, the City provided a thirty (30) day public comment period, from May 5, 2016
to June 6, 2016, and a public meeting on April 19, 2016; and
WHEREAS, the City provided a thirty (30) day public comment period from March 24,
2017 to April 25, 2017 and a public meeting on April 18, 2017; and
WHEREAS, the City will reallocate $449.60 from FY 14/15 and $64,579.96 from FY
15/16 originally allocated to Public Services to the Madeleine Village rehabilitation project to
ensure that funds are expended by September 30, 2017 to comply with expenditure rules; and
WHEREAS, Boys and Girls Club of Miami-Dade, f/k/a Boys and Girls Clubs of Miami
(Boys and Girls Club) received CDBG funding in FY 09/10 to support the construction of its
Miami Beach youth center located at 1200 Meridian Avenue; and
WHEREAS, at Boys and Girls Club project closeout, the City identified a balance, in the
amount of$20,978, of which $15,978 were spent covering unallowable expenses and needed to
be repaid, and $5,000 were left unspent; and
WHEREAS, due to the lapse of time, funds allocated in FY 09/10 are to be spent by no
later than September 30, 2017; and
WHEREAS, the City finds it is necessary to recapture all the remaining unspent funds to
ensure compliance with the HUD rules and regulations regarding the timely expenditure of
funds; and
WHEREAS, the City will reallocate $20,978 from FY 09/10 to the Neptune Apartments to
support plumbing repairs needed to preserve the integrity of the structure; and
WHEREAS, the Administration seeks to amend Resolution No. 2014-28476 to
retroactively approve the allocation of CDBG funds, in the amount of $568,799, to the
rehabilitation of the London House Apartments based upon the following:
A. On January 15, 2014, the Mayor and City Commission adopted Resolution No. 2014-
28476 authorizing the City Manager to recapture $748,477 in CDBG funds and
$1,591,363 in HOME funds;
B. The $748,476 recaptured from previous CDBG fiscal years, were to be included in
the Request for Proposals (RFP) for the allocation of FY 14/15 funds; however,
instead, only $179,577 of the recaptured funds were included as prior year funds to
the FY 14/15 Action Plan and used for the improvement of public facilities;
C. CDBG funds in the amount of$568,799 were used at the London House Apartments,
as an emergency measure to cover a funding gap for the rehabilitation of this
recently acquired building; and
D. The HOME funds, in the amount of$1,591,363, were subsequently reallocated to the
London House Apartments project rehabilitation pursuant to Resolution No. 2014-
28550; and
WHEREAS, the Administration seeks to amend the FY 14/15 Action Plan, which was
approved pursuant to Resolution No. 2014-28635, to reflect that $433,646 of FY 14/15 CDBG
were allocated to fund public facilities improvements and to recapture HOME CHDO funds, in
the amount of $69,063.90, from Carrfour Supportive Housing, Inc,. and reallocate them to the
City's CHDO fund, based upon the following:
A. On June 14, 2014, the Mayor and City Commission adopted Resolution No. 2014-
28635 adopting the FY 14/15 Action Plan that included $179,577 from CDBG prior
year funds;
B. Due to the addition of prior year funds; and an increase in annual allocation of CDBG
funds after Commission approval, the total amount of funds dedicated to public
facilities improvements was increased from $562,920 to $603,164, of which only
$433,646 were from FY 14/15 funds; and
C. The FY 14/15 Action Plan allocated HOME funds in the amount of$63,386 of CHDO
Funds to Carrfour Supportive Housing Inc.'s Harding Village Apartments, and due to
an increase in allocation that was awarded after City Commission action, the funding
amount increased to $69,063.90; and
WHEREAS, the allocation to the Harding Village Apartments project exceeded the
$321,552 project budget that had been secured by executed agreements for the project and,
therefore, the Administration seeks to recapture the excess funds; and
WHEREAS, the Administration wishes to repeal Resolution No. 2014-28798 as the
Harding Village Apartments project is fully funded; and
WHEREAS, on October 22, 2014, the Mayor and City Commission adopted Resolution
No. 2014-28798 authorizing the recapture of $122,492.44 from FY 14/15 HOME funds from the
London House Apartments rehabilitation project and their reallocation to the Harding Village
Apartments project; and
WHEREAS, FY 14/15 HOME funds in the amount of$58,343 were expended to address
a funding gap in the London House's rehabilitation and the Administration seeks the retroactive
approval of this expenditure; and
WHEREAS, the Administration recommends the recapture of the balance of FY 14/15
HOME funds in the amount of $64,149.44 from the London House and its reallocation to the
Lottie Apartments; and
WHEREAS, on December 17, 2014, the Mayor and City Commission adopted
Resolution No. 2014-28877, authorizing the use of HOME and CDBG funds to acquire the Allen
Apartments, Barclay Plaza Apartments, Lottie Apartments, Madeleine Village Apartments and
Neptune Apartments, and the Administration seeks to amend the Resolution to reflect that
CDBG funds, in the amount of $651,455, were allocated for the acquisition of the Barclay Plaza
Apartments, Lottie Apartments and Neptune Apartments as follows: $169,518 from FY 12/13,
(previously stated as $179,177); $43,714 from FY 13/14 and $438,223 from FY 14/15; and
WHEREAS, the FY 13-17 Consolidated Plan only delineates the Request for Proposals
process as the method to select sub-recipients of entitlement funds; and
WHEREAS, due to the uncertainty of receiving entitlement funds from HUD for FY
17/18, the Administration would like to obtain authorization to contemplate other HUD-approved
methods to select sub-recipients allowing greater flexibility in terms of timely compliance with
the creation of the Action Plan without creating false expectations for the potential applicants;
and
WHEREAS, the City provided a thirty (30) day public comment period from March 24,
2017 to April 26, 2017 and a public meeting was held April 18, 2017 to elicit comment on the
proposed Amendments to the Action Plans and the Consolidated Plan;and
WHEREAS, the amended Resolutions with the updated recaptures will be incorporated
into the City's FY 11/12 through FY 14/15 Action Plans and FY 2013-2017 Consolidated Plan;
and
WHEREAS, the City Manager is the designated agent for all HUD formula grants, and
executes the grant applications, grant agreements and other applicable HUD documents on
behalf of the City.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby approve and/or authorize the following actions: (1) authorize the City
Manager to recapture $64,606.30 of HOME Investment Partnership (HOME) funds previously
allocated to Miami Beach Community Development Corporation (MBCDC) from Community
Housing Development Organization (CHDO) reserve funds, pursuant to the FY 10/11 Action
Plan and the Five Year Consolidated Plan for FY 2008-2012, and reallocate these funds to a
municipal capital project; (2) authorize the City Manager to recapture $167,505.60 of HOME
funds previously allocated to the Madeleine Village Apartments project pursuant to the FY 16/17
Action Plan and the FY 2013-2017 Consolidated Plan and to reallocate these funds to the Lottie
Apartments rehabilitation project; (3) authorize the City Manager to recapture $65,029.56 of
Community Development Block Grant (CDBG) funds from the FY 15/16 Action Plan, and
reallocate these CDBG funds to the City's Madeleine Village Apartments; (4) authorize the City
Manager to recapture $20,978 of CDBG funds previously allocated to the Boys and Girls Clubs
of Miami-Dade, Inc., pursuant to the FY 09/10 Action Plan, and to reallocate these funds to the
Neptune Apartments; (5) approve an amendment to Resolution No. 2014-28476 to correct
actual expenditures by retroactively approving the allocation of $568,799 of CDBG funds to the
rehabilitation of the London House Apartments as follows: $125,643 from unallocated multiple
prior years and $443,156 from FY 13/14; (6) Approve an amendment to the FY 14/15 Action
Plan, which was approved pursuant to Resolution No. 2014-28635, to reflect that $433,646 of
FY 14/15 CDBG funds were allocated to fund public facilities improvements; (7) authorize the
City Manager to recapture $69,063.90 of FY 14/15 HOME CHDO funds, previously allocated to
Carrfour Supportive Housing, Inc.'s Harding Village Apartments, and approve their reallocation
to the City's CHDO fund; (8) Repeal Resolution No. 2014-28798, which originally awarded
$122,492.44 of HOME funds to the Harding Village Apartments project but were subsequently
not needed for that project, and retroactively authorize the City Manager to allocate those funds
to the London House Apartments; (9) authorize the City Manager to recapture $64,149.44 of FY
14/15 HOME funds not expended from the London House rehabilitation project, and to
reallocate these funds to the Lottie Apartments rehabilitation project; (10) approve an
Amendment to Resolution No. 2014-28877 to reflect that $651,455 of CDBG funds were
recaptured from FY 12/13 through FY 14/15 and were allocated for the City's acquisition of
multiple multifamily residential rental buildings previously owned by MBCDC; (11) Approve an
amendment to the FY 2013-2017 Consolidated Plan to add additional sub-recipient selection
methods and to reflect all of these amendments; and (12) Authorize the City Manager to
submit the requisite revised Action Plans and Consolidated Plans to the U.S. Department of
Housing and Urban Development (HUD); and further authorize the City Manager to execute all
necessary documents or agreements.
PASSED AND ADOPTED this •7 G day of 4ori( , 2017.
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CITY CLERK MAYO" ,%'
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Resolutions-C7 C
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: April 26, 2017
SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA APPROVING AND/OR AUTHORIZING THE
FOLLOWING ACTIONS: (1) AUTHORIZING THE CITY MANAGER TO
RECAPTURE $64,606.30 OF HOME INVESTMENT PARTNERSHIP (HOME)
FUNDS PREVIOUSLY ALLOCATED TO MIAMI BEACH COMMUNITY
DEVELOPMENT CORPORATION (MBCDC) FROM COMMUNITY HOUSING
DEVELOPMENT ORGANIZATION (CHDO) RESERVE FUNDS, PURSUANT
TO THE ACTION PLAN FOR FY 10/11 AND THE FY 2008-2012
CONSOLIDATED PLAN, AND TO REALLOCATE THESE FUNDS TO A
MUNICIPAL CAPITAL PROJECT; (2) AUTHORIZING THE CITY MANAGER
TO RECAPTURE $167,505.60 OF HOME FUNDS PREVIOUSLY
ALLOCATED TO THE MADELEINE VILLAGE APARTMENTS PROJECT
PURSUANT TO THE ACTION PLAN FOR FY 16/17 AND THE FY 2013-2017
CONSOLIDATED PLAN AND TO REALLOCATE THESE FUNDS TO THE
LOTTIE APARTMENTS REHABILITATION PROJECT; (3) AUTHORIZING
THE CITY MANAGER TO RECAPTURE $65,029.56 OF COMMUNITY
DEVELOPMENT BLOCK GRANT (CDBG) FUNDS FROM FY 14/15 AND
15/16, WHICH CDBG FUNDS WERE PREVIOUSLY ALLOCATED
PURSUANT TO THE ACTION PLAN FOR FY 15/16, AND REALLOCATE
THESE FUNDS TO THE CITY'S MADELEINE VILLAGE APARTMENTS; (4)
AUTHORIZING THE CITY MANAGER TO RECAPTURE $20,978 OF CDBG
FUNDS PREVIOUSLY ALLOCATED TO THE BOYS AND GIRLS CLUBS OF
MIAMI-DADE, INC., PURSUANT TO THE ACTION PLAN FOR FY 09/10,AND
TO REALLOCATE THESE FUNDS TO THE NEPTUNE APARTMENTS; (5)
APPROVING AN AMENDMENT TO RESOLUTION NO. 2014-28476 TO
CORRECT ACTUAL EXPENDITURES BY RETROACTIVELY APPROVING
THE ALLOCATION OF $568,799 of CDBG FUNDS TO THE
REHABILITATION OF THE LONDON HOUSE APARTMENTS AS FOLLOWS:
$125,643 FROM UNALLOCATED MULTIPLE PRIOR YEARS AND $443,156
FROM FY 13/14; (6) APPROVING AN AMENDMENT TO THE FY 14/15
ACTION PLAN, WHICH WAS APPROVED PURSUANT TO RESOLUTION
NO. 2014-28635, TO REFLECT THAT $433,646 OF FY 14/15 CDBG FUNDS
WERE ALLOCATED TO FUND PUBLIC FACILITIES IMPROVEMENTS; (7)
AUTHORIZING THE CITY MANAGER TO RECAPTURE $69,063.90 OF
HOME CHDO FUNDS FROM FY 14/15, PREVIOUSLY ALLOCATED TO
CARRFOUR SUPPORTIVE HOUSING, INC.'S HARDING VILLAGE
Page 363 of 1596
APARTMENTS,AND TO REALLOCATE THE FUNDS TO THE CITY'S CHDO
FUND; (8) REPEALING RESOLUTION NO. 2014-28798, WHICH
ORIGINALLY AWARDED $122,492.44 OF HOME FUNDS TO THE HARDING
VILLAGE APARTMENTS PROJECT BUT WERE SUBSEQUENTLY NOT
NEEDED FOR THAT PROJECT, AND RETROACTIVELY AUTHORIZING
THE CITY MANAGER TO ALLOCATE THOSE FUNDS TO THE LONDON
HOUSE APARTMENTS; (9) AUTHORIZING THE CITY MANAGER TO
RECAPTURE $64,149.44 OF FY 14/15 HOME FUNDS NOT EXPENDED
FROM THE LONDON HOUSE REHABILITATION PROJECT, AND TO
REALLOCATE THESE FUNDS TO THE LOTTIE APARTMENTS
REHABILITATION PROJECT; (10) APPROVING AN AMENDMENT TO
RESOLUTION NO. 2014-28877 TO REFLECT THAT $651,455 OF CDBG
FUNDS WERE RECAPTURED FROM FY 12/13 THROUGH FY 14/15 AND
WERE ALLOCATED FOR THE CITY'S ACQUISITION OF MULTIPLE
MULTIFAMILY RESIDENTIAL RENTAL BUILDINGS PREVIOUSLY OWNED
BY MBCDC; (11) APPROVING AN AMENDMENT TO THE FY 2013-2017
CONSOLIDATED PLAN TO ADD ADDITIONAL SUB-RECIPIENT
SELECTION METHODS AND TO REFLECT ALL OF THESE
AMENDMENTS; (12)AUTHORIZING THE CITY MANAGER TO SUBMIT THE
REQUISITE REVISED ACTION PLANS AND CONSOLIDATED PLANS TO
THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
(HUD); AND (13) FURTHER AUTHORIZING THE CITY MANAGER TO
EXECUTE ALL NECESSARY DOCUMENTS OR AGREEMENTS.
RECOMMENDATION
Adopt the Resolution.
BACKGROUND
The City is a U.S. Department of Housing and Urban Development (HUD)-designated entitlement
community. As an entitlement community, the City receives an annual allocation of HUD funding
through the Community Development Block Grant (CDBG) and HOME Investments Partnership
(HOME) programs. HUD requires entitlement jurisdictions to submit a Five-Year Consolidated Plan
which establishes the strategic framework upon which the City utilizes its funds. The Consolidated
Plan is augmented and refined by the City's annual submission of a One-Year Action Plan which
delineates the specific projects and activities funded by each year's HUD allocation.
HUD further requires its entitlement jurisdictions to ensure that funded activities are carried out in the
defined project scope and within the timeframe allowed. The City's Action Plan is monitored
throughout the year to ensure compliance with federal regulations and progress towards the National
Objective, which requires providing persons of low- and moderate-incomes with decent housing, a
suitable living environment and/or expanded economic opportunities.
From time-to-time, it may be necessary for the City to process a "Substantial Amendment" to the
Five-Year Consolidated Plan or the One-Year Action Plan to allow for the funding of new activities,
modification of existing activities, or other program administrative actions. The City issued a 30-day
notice of public comment welcoming public input to the proposed substantial amendments delineated
herein. The public comment period was from March 24, 2017 through April 26, 2017 with a public
meeting on April 18, 2017. No comments have been received to date.
Page 364 of 1596
ANALYSIS
The Administration has reconciled its CDBG and HOME funds in anticipation of preparing its FY
16/17 Consolidated Annual Performance and Evaluation Report (CAPER)as well as to ensure that
all non-committed funds are properly committed and expended to comply with expenditure and
timeliness rules. In addition, we are seeking to clarify the public record for various actions taken
regarding prior years' CDBG and HOME funds where the language in resolutions or the actions
subsequently taken were unclear.
The following actions are sought:
1. The City had allocated FY10/11 HOME CHDO-designated funds to the Meridian Place
Apartments, a Miami Beach Community Development Corporation (MBCDC) project.
However, due to MBCDC's financial irregularities, the City held these funds from this project
which was under review by HUD's Miami Field Office. In order to prevent the recapture of
these funds, the City is seeking to formally recapture these CHDO-designated funds and
reallocate them to the City's entitlement funds. Subsequent to the recapture, the City wishes to
assign these funds to the Lottie Apartments project which can ensure their timely expenditure
and prevent their recapture prior to September 30, 2017, their expenditure deadline.
2. The City had allocated $ 167,505.60 in FY 16/17 HOME funds to the Madeleine Village
Apartments. However, since we have been unable to establish a firm start date for this project,
we are unable to meet the commitment deadline required by the HOME program. Therefore,
we are recommending the reallocation of these funds to the Lottie Apartments as the costs
have increased as the result of needing to relocate tenants during the project's rehabilitation.
3. The City had allocated $65,029.56 to various Public Services projects. However, not all funds
were expended. Therefore, the City seeks to recapture these unexpended funds and allocate
them to the Madeleine Village project, a City-owned property which requires rehabilitation.
CDBG funds can be expended up to five years after award. The Madeleine Village does not
have a start date. However, we are working on the 8-Step Environmental Process to clear the
project for commencement.
4. The Boys and Girls Clubs of Miami-Dade, Inc. received FY 09/10 CDBG funding for
construction of its new clubhouse at Flamingo Park. However, the project failed to adhere to
HUD rules and $20,978 was subject to recapture. The City proposes reallocating these funds
to the Neptune Apartments, a City-owned property that has extensive plumbing and water-
intrusion related problems.
5. The City issued Resolution No. 2014-28476 which allocated multi-year CDBG funds to the
City's annual Request For Proposals process. However, the language in the resolution did not
specify the exact source of funds. The City would like to clarify the record to indicate the
sources as follows: $125,643 from unallocated multiple prior years and $443,156 from FY
13/14. The City further wishes to clarify that the total amount allocated to public facilities
improvements was increased from $562,920 to $603,164 and only $433,646 of this amount
was from FY 14/15 funds.
6. The City issued Resolution No. 2014-28635 which allocated FY14/15 funds. However, the
language in the resolution was unclear as to the source of funds. The annual allocation,which
was issued after City Commission action, was actually increased from$562,920 to $603,164,
of which only$433,646 were actually from FY 14/15.
7. The City allocated $69,063.90 in FY 14/15 HOME CHDO funds to Carrfour Supportive
Housing for its Harding Village Apartments project. However, the project is fully funded through
existing funds. Therefore, the City is seeking to recapture these funds and return them to the
City's available HOME funds.
Page 365 of 1596
8. The City wishes to then take the funds recaptured in item 7 above and administratively assign
them to the London House Apartments project in the amount of $122,492.44 to ensure the
timely commitment of these funds and prevent their possible recapture.
9. Of the funds assigned to the London House Apartments in item 8 above, $64,149.44 were
unexpended because the project is completed. The City would like to reallocate these
unexpended funds to the Lottie Apartments project. By converting these funds through the
actions in item 7, we are able to extend their expenditure deadline.
10. The City issued Resolution No.2014-28877 which recaptured unexpended multiple prior years
funds for the acquisition of several buildings from MBCDC. These buildings included the
Barclay Plaza Apartments, Lottie Apartments, and the Neptune Apartments. The total amount
that was recaptured under this action was not properly stated because of errors in
reconciliation. The actual amount was$651,455.
11. Since the City is uncertain as to future HUD allocations, we are proposing to add additional
sub-recipient selection methods so as to provide the City flexibility in administering its HUD
funds. Currently, the only approved method is the issuance of an RFP to solicit projects from
the community. The City wishes to enable the flexibility to make direct allocations and forego
the RFP process which is time-consuming and often results in uncertainty as to the actual
amount available for award as HUD issues its allocations after its required RFP process.
12. The City Manager seeks authorization to submit the revised Action Plans and Consolidated
Plans noted herein for amendment.
13. The City Manager seeks authorization to execute all necessary documents delineating the
actions taken herein including the allocation of funds.
CONCLUSION
The Administration recommends approval of the actions proposed above, the subsequent
submission to HUD of amended multiple year Action Plans and multiple year Consolidated Plans as
amended herein, and authorizing the City Manager to execute all required documents as delineated
herein.
KEY INTENDED OUTCOMES SUPPORTED
Strengthen Internal Controls To Achieve More Accountability
Amount 1 $69,063.90$ Account 1 182.5226.000349 182.5230.000349
64,149.44
Amount 2 $ 167,505.60 Account 2 174.0530.000349
Amount 3 $449.60$ Account 3 132.0530.000312 133.0530.000346
5,000.00$ 151.0530.000349
64,606.30
Amount 4 $208.25$ Account 4 137.0530.000312 137.5436.000345
1,400.00$ 137.1931.000343
33,863.36
Amount 5 $27,561.60$ Account 5 137.5447.00345 137.5471.000345
1,151.75$ 011.9322.000.343
15,978.00
Page 366 of 1596
| |
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Total $450.037.8O
Legislative Tracking
Housing and Community Services
ATTACHMENTS:
Description
D Miami Herald Ad. March 23,2017
o HOME &CDBG Actions Resolution
Page 367 of 1596
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