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2017-29876 Resolution 2017-29876 RESOLUTION NO. A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE CITY'S ONE-YEAR ACTION PLAN FOR FEDERAL FUNDS FOR FY 2017/2018,WHICH INCLUDES THE BUDGETS FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM AND THE HOME INVESTMENT PARTNERSHIPS (HOME) PROGRAM; AUTHORIZING THE CITY MANAGER TO: (1) EXECUTE ALL APPLICABLE DOCUMENTS RELATED TO THE APPROPRIATION AND ALLOCATION OF THESE PROGRAM FUNDS; (2)SUBMIT THE ONE-YEAR ACTION PLAN TO THE U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD); (3) MAKE MINOR NON-SUBSTANTIAL CHANGES TO THE ONE-YEAR ACTION PLAN OR THE CONSOLIDATED FIVE-YEAR PLAN, OR THE RESULTING AGREEMENTS(WHICH DO NOT AFFECT THE PURPOSE,SCOPE,APPROVED BUDGET AND/OR INTENT OF THE PLANS);AND(4)EXTEND THE EXPIRATION DATES OF SAID AGREEMENTS WHEN NECESSARY; AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AGREEMENTS FOR SUB-RECIPIENTS OF CDBG AND HOME PROGRAM FUNDS;AND FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE CITY INTERDEPARTMENTAL AGREEMENTS FOR RECIPIENTS OF CDBG AND HOME PROGRAM FUNDS. WHEREAS, the City is an entitlement recipient of U.S. Department of Housing and Urban Development (HUD) Federal formula grant programs as follows: Community Development Block Grant(CDBG)funds and HOME Investment Partnerships (HOME)funds; 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; however,there is a level of uncertainty in terms of receiving entitlement funds from HUD for FY2017/2018; and WHEREAS,as a result of that uncertainty,on April 26,2017,via Resolution No.2017-29803, the Administration obtained authorization to amend the FY 2013-2017 Consolidated Plan to introduce 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 One-Year Action Plan for Federal funds is a requirement under the HUD formula grant programs, including the CDBG and HOME Programs; and WHEREAS, the One-Year Action Plan for FY 2017/2018 is based upon the City's Federal entitlement estimate of$792,963 in CDBG funds and$421,930 in HOME funds as the actual award will not be known until a later date; and WHEREAS,the Administration reviewed and evaluated other HUD-approved methods and is proposing to fund public services beneficiaries from a pool of qualified organizations previously funded by the City to provide services according to the needs assessment identified in the FY2013- 2017 Consolidated Plan; and WHEREAS,the Administration considers that the rehabilitation of the City-owned residential rental properties is a priority to prevent further structural damage and provide safe, decent and sanitary living conditions for low-to moderate-income households; and WHEREAS, the resulting CDBG estimated recommendations are incorporated into the FY 2017/2018 One-Year Action Plan as follows:$66,000 to the Office of Community Services for rent, utility and grocery emergency assistance;$11,500 to the Homeless Outreach Team for emergency school supplies for homeless youth and family group counseling for homeless families; $21,444 to Boys and Girls Club of Miami-Dade for youth aftercare and summer camp programs; $ 15,000 to Little Havana Activity&Nutrition Centers of Dade County, Inc.for child care assistance;and$5,000 to UNIDAD of Miami Beach for Project LINK; $195,426 to the Office of Housing and Community Development, a Division of the Office of Housing and Community Services, for the renovation and temporary tenant relocation of the Madeleine Village Apartments;$320,000 to the Office of Housing and Community Development, for the renovation and temporary tenant relocation of the Neptune Apartments; and $158,592 for administrative allowance; and WHEREAS, the resulting estimated HOME recommendations are incorporated into the FY 2017/2018 One-Year Action Plan as follows: $316,448 to the Office of Housing and Community Development, for the renovation and temporary tenant relocation of the Madeleine Village Apartments; $42,193 for administrative allowance; and $63,289 for the mandatory CHDO project set-aside; and WHEREAS, HUD has the right to change its CDBG or HOME award prior to final issuance, altering the recommendations made above; therefore, the City will increase or decrease these recommendations, as necessary, in order to meet the percentage requirements for each program; and WHEREAS, the One-Year Action Plan for FY 2017/2018 was made available to the public for comment at a public meeting on May 16, 2017; and for a 30-day public review and comment period, from May 5, 2017 through June 5, 2017; and WHEREAS, CDBG funds have been primarily used to provide vital public services, improvements to public facilities, and housing activities; and WHEREAS, HOME Program funds have been primarily used for affordable rental housing activities; and WHEREAS, the City Manager is the HUD-designated agent for all formula grants, and executes the grant applications,agreements,and other applicable HUD documents on behalf of the City. NOW THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA,that the Mayor and City Commission hereby adopt the City's One-Year Action Plan for Federal funds for FY 2017/2018,which includes the budgets for the Community Development Block Grant(CDBG) program and the HOME Investment Partnerships (HOME)program; authorize the City Manager to:(1)execute all applicable documents related to the appropriation and allocation of these program funds; (2)submit the One-Year Action Plan to the U. S. Department of Housing and Urban Development(HUD);(3)make minor non-substantial changes to the One-Year Action Plan or the Consolidated Five-Year Plan,or the resulting agreements(which do not affect the purpose, scope, approved budget and/or intent of the plans); and (4)extend the expiration dates of said agreements when necessary; and authorize the Mayor and City Clerk to execute agreements for sub-recipients of CDBG and HOME program funds; and further authorize the City Manager to execute City interdepartmental agreements for recipients of CDBG and HOME program funds. PASSED AND ADOPTED this 7 day of �he. , 2017. ATTEST: b RAF L E. GRAN DO, ITY CL .3i ��p0 PHILIP ,�' AYOR B �i 000r- * INCORP ORATED: H 2b '• APPROVED AS TO FORM & LANGUAGE & FOR XE UTION Ljr bit/ (17 City Attorney Dote F:\RHCD\$ALL\HSG-CD\CDBG\CDBG FY 2017 2018\Action Plan\HLID FY 17 18 Action Plan Reso 4.20.17.doc Resolutions - C7 B MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: June 7, 2017 SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE CITY'S ONE-YEAR ACTION PLAN FOR FEDERAL FUNDS FOR FY 2017/2018, WHICH INCLUDES THE BUDGETS FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM AND THE HOME INVESTMENT PARTNERSHIPS (HOME) PROGRAM; AUTHORIZING THE CITY MANAGER TO: (1) EXECUTE ALL APPLICABLE DOCUMENTS RELATED TO THE APPROPRIATION AND ALLOCATION OF THESE PROGRAM FUNDS; (2) SUBMIT THE ONE-YEAR ACTION PLAN TO THE U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD); (3) MAKE MINOR NON- SUBSTANTIAL CHANGES TO THE ONE-YEAR ACTION PLAN OR THE CONSOLIDATED FIVE-YEAR PLAN, OR THE RESULTING AGREEMENTS (WHICH DO NOT AFFECT THE PURPOSE, SCOPE, APPROVED BUDGET AND/OR INTENT OF THE PLANS); AND (4) EXTEND THE EXPIRATION DATES OF SAID AGREEMENTS WHEN NECESSARY; AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AGREEMENTS FOR SUB- RECIPIENTS OF CDBG AND HOME PROGRAM FUNDS; AND FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE CITY INTERDEPARTMENTAL AGREEMENTS FOR RECIPIENTS OF CDBG AND HOME PROGRAM FUNDS. RECOMMENDATION Adopt the Resolution. BACKGROUND The City of Miami Beach is a U.S. Department of Housing and Urban Development (HUD)- designated entitlement community, as determined by the decennial census information on population growth lag, age of housing stock and poverty. The City has been a CDBG entitlement community since 1975. The HOME Program was started in 1992 to provide funding specifically for affordable housing. HUD allocates these funds to strengthen public/private partnerships and expand the supply of affordable housing that is decent, safe and sanitary. As an entitlement community, the City qualifies for an annual allocation under HUD's grant Page 582 of 1414 programs. HUD requires each entitlement community to submit an annual One-Year Action Plan describing how it will utilize funding and resources to address priority needs identified in the City's Consolidated Plan. The One-YearAction Plan is a component of the Five-Year Consolidated Plan filed with HUD. The City's current One-YearAction Plan follows the strategies included in its 2013- 2017 Five-Year Consolidated Plan. CDBG funds have been primarily used to provide vital public services, housing activities and improvements to public facilities while HOME funds have been primarily used for affordable rental housing activities. While we will not know the exact amount of our allocation until later in the year, the estimated FY 2017/2018 funds are: Community Development Block Grant Funds FY17/18 HUD Entitlement $792,963 Less administrative allowance (20%) ($158,592) Net FY 17/18 funds available for distribution $634,371 HOME Funds FY 17/18 HUD Entitlement $421,930 Less administrative allowance(10%) ($42,193) Less 15% CHDO project set-aside ($63,289) Net available for project allocation $316,448 Following the Citizen Participation Plan, Staff held a public meeting to discuss the Community Needs Assessment along with the Affordable Housing Advisory Committee (AHAC) on April 25, 2017. Recommendations and comments were gathered for the preparation of the Action Plan. Due to the uncertainty regarding FY 17/18 entitlement funds because of outstanding issues with HUD, the Administration obtained authorization from the City Commission, via Resolution No. 2017- 29803, to amend the FY 2013 - 2017 Consolidated Plan. The amendment introduced other HUD- approved methods to select sub-recipients in addition to the Request for Proposals model used in previous years. This amendment allowed greater flexibility in terms of timely compliance with the creation of the Action Plan without creating false expectations for the potential applicants. An analysis of the current condition of the City-owned residential rental buildings and the risk for structural damage if renovations and repairs are left undone, make the rehabilitation of these properties a priority for capital projects funding. Staff evaluated other HUD-approved methods for the allocation of funds for public services and proposed the selection from a pool of qualified organizations previously funded by the City to provide services according to the needs assessment identified in the FY2013-2017 Consolidated Plan. Staff forwarded these recommendations to the AHAC and held a public meeting on May 16, 2017. AHAC recommended that the Mayor and Commission support the FY 17/18 Action Plan at the funding levels proposed below. As required by HUD, the Action Plan was made available to the public for a 30-day comment period commencing on May 5, 2017 and ending June 5, 2017 ANALYSIS During the time period of the current FY 2013-2017 Consolidated Plan, the City has funded the following 13 public service providers: • Boys and Girls Club of Miami-Dade Page 583 of 1414 • Empowering Youth • Food for Life Network • Get Credit Healthy • City of Miami Beach- Homeless Outreach Team • City of Miami Beach - Office of Community Services • Jewish Community Services of South Florida (JCS) • Little Havana Activities and Nutrition Centers of Dade County, Inc. (LHANC) • Log Cabin • Miami Beach Community Development Corporation • Rain Parents • Teen Job Corps, Inc. • UNIDAD Of Miami Beach, Inc. The top performing sub-recipients have been: • Boys and Girls Club (providing youth with aftercare and summer programming); • City of Miami Beach- Homeless Outreach Team(servicing homeless individuals); • City of Miami Beach - Office of Community Services (servicing those with emergency needs in our community including rent, utilities and food); • Food for Life Network (delivering meals to HIV/AIDS individuals); • JCS (servicing the homeless and elderly population); • LHANC (providing childcare services); • Teen Job Corps (providing youth with job training); and • UNIDAD - Senior Center(providing referrals to the elderly). Food for Life Network and JCS rejected previous award of CDBG funds in FY 16/17 and 15/16, respectively. They determined that the Federal reporting requirements were too onerous for their agencies. Staff evaluated past sub-recipients prioritizing the following critical factors: • Previous adherence to minimum proposal requirements; • Population to be served as it relates to the City's Consolidated Plan; • Demonstrated need within the community; • Redundancy of services with eAsting community resources; • Sub-recipients' previous performance and program outcomes; • Sub-recipients' organizational capacity and experience, including prior performance with federal awards; • Projected amount of beneficiaries as related to proposed budget amount; and • Organization's ability to leverage additional non-City sources of funding for project activities. This information was utilized to rank and make appropriate funding recommendations, which form the basis of the Action Plan. The recommendations are consistent with the priority needs identified by the Commission, the community and the Consolidated Plan. The priorities include services to youth, childcare services, and support to the elderly and were selected to maximize the amount of beneficiaries per grant dollar. A maximum of 15 percent of the entitlement allocation may fund public service activities. Public service activities include meals programs, rent assistance, child care programs, etc., for income- eligible participants. The following five (5)public service activities are recommended for funding: Page 584 of 1414 Public Services Projects Amount Recommended CMB—Community Services (rent,utility and grocery emergency assistance) $66,000 CMB — Homeless Outreach Team(emergency school supplies and family group $11,500 counseling) Boys and Girls Club of Miami-Dade (youth aftercare and summer programs) $21,444 Little Havana Activities & Nutrition Centers of Dade County, Inc. (Rainbow $15,000 Intergenerational Child Care) UNIDAD of Miami Beach (Project LINK) $5,000 Total Public Service Allocations $118,944 The City continues to have pressing capital needs for its own recently-acquired affordable residential properties. The Madeleine Village Apartments, a 16-unit, multi-building development located at 7861- 7871 Crespi Boulevard, and the Neptune Apartments, a 35-unit residential building, located at 1632 Meridian Avenue, were acquired in January 2015. They require substantial rehabilitation including, but not limited to: termite treatment; roof repair/replacement; and kitchen and bathroom renovations. These renovations would require the temporary relocation of the buildings' tenants. The temporary relocation costs will be charged to the programs. The Madeleine Village Apartments was previously awarded $65,029 of recaptured FY 15/16 CDBG funds. However, this amount is insufficient as the total estimated project cost is far greater. The CDBG and HOME funds requested for this project will decrease the funding gap and allow the City to commence with the project. CDBG Capital Project Amount Recommended Madeleine Village Apartments (renovation and temporary tenant relocation) $195,426 Neptune Apartments (renovation and temporary tenant relocation) $320,000 Total CDBG Capital Allocations $515,426 In addition, the Administration will contract Housing Opportunities Project for Excellence, Inc. (HOPE, Inc.) for the provision of HUD-mandated fair housing services. HOPE, Inc. would continue providing housing education workshops to residents and participate in outreach events citywide. Administration funds will fund this mandated service. Although not currently funded by the City, HOPE also investigates the allegations of Fair Housing Act violations on behalf of residents believed to have been victims of discrimination. Staff recommends the use of HOME funds to provide gap funding for the Madeleine Village Apartments rehabilitation so that the project can commence during FY 17/18. HOME Capital Projects Amount Recommended Madeleine Village Apartments (renovation and temporary tenant relocation) $316,448 Total HOME Capital Allocations $316,448 The HOME Program rules require each entitlement community reserve a minimum of 15% of its annual allocation for activities undertaken by qualified Community Housing Development Organizations (CHDO). A CHDO is a private nonprofit, community-based service organization that has identified the development of affordable housing as its primary mission and has the capacity to Page 585 of 1414 develop affordable housing. A CHDO must meet certain requirements pertaining to its legal status, organizational structure, capacity and experience. Carrfour Supportive Housing (Carrfour), has been certified as a CHDO and is the only such agency with this designation within the City at this time. However, Carrfour does not have another project within the City limits that could receive these funds. Therefore, the Administration is recommending the deferral of the CHDO set aside, approximately $63,289, for future award. The City is allowed two years to commit and five years to expend these funds. CONCLUSION Most of the activities described in the One-Year Action Plan will benefit limited clientele either presumed by HUD to be principally low- to moderate-income persons or households to be identified by way of income verification. The funding recommendations presented are based on the appropriateness with the Consolidated Plan, the viability of the project, and the applicant's • capacity and prior performance expending HUD funds. The Administration recommends that the Mayor and City Commission approve the attached resolution adopting the One-Year Action Plan for FY 17/18, in substantially the attached form, to allow the City to draw down entitlement funds to assist income-eligible persons with services and housing, and ensure the timely and compliant expenditure of HUD funds. The Administration further recommends that the City Manager be authorized to take the following actions: (1) execute all applicable documents relating to the appropriation and allocation of these program funds; (2)submit the One-YearAction Plan to the U.S. Department of Housing and Urban Development (HUD); (3) make minor non-substantial changes to the One-YearAction Plan or the Five-Year Consolidated Plan, or the resulting agreements (which do not affect the purpose, scope, approved budget and/or intent of the plans): and (4) extend the expiration dates of said agreements when necessary; authorize the Mayor and City Clerk to execute agreements for sub-recipients of CDBG and HOME program funds; and further authorize the City Manager to execute City interdepartmental agreements for recipients of CDBG and HOME program funds. J LM/KGB/MLR/TAE KEY INTENDED OUTCOMES SUPPORTED Build And Maintain Priority Infrastructure With Full Accountability Legislative Tracking Housing and Community Services ATTACHMENTS: Description CI FY 17/18 Action Plan 30-day Comment Period ❑ FY 17/18 Action Plan- Community Needs Assessment Page 586 of 1414 o Action Plan Resolution sa - nE - 4 trt. --- '3 :-,,' .4.if.st", ,,,Lom -• g a:P 1••••• ae, ' 'if It - iLl 4 `41 ; '.::', ," •;-; ,-- - ar. 1 ..- • „ ,--. t ca! < ? 'o• 7; • - -` A.t% tii:4- -,..„ =S 'I ..„ ,,,, (,-...- .,,.., .. • 1 ...:! ‘,: ,t ,==t,,t lk g Anct -,-,-;,-,--,Ii, . z4 D ,,2 '6' >'H ,,,. '.. "z .E2x 3 'Z.' P r; ''''' '.4 :4 ,„7 < '-; E '.,-; .r.. - - • D g h• v a I,' 1 1„'• .,,--\----•- ..".'411 4,,,,,„ k 0 r' : -'' I e,--c V..* g g•',;. ;:,T. .-,±'. 7 c,_ • _el„.0, -- i .--s,„' , , ,,,,„ 4 7 Z r", -, `—' ' ,. 1''. Fr) e' • ,:e' ',-'; '; ''''' ,:: • ',.k ' ' ' 1 1 .1 ?.) 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