DEPARTMENT: Physical Development Administration
FILE TYPE: Consent Action
TITLE
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Approval Of Dakota County Fiscal Year 2024 Action Plan For Community Development Block Grant, HOME Investment Partnerships, And Emergency Solutions Programs
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PURPOSE/ACTION REQUESTED
- Approve the Dakota County Fiscal Year (FY) 2024 Annual Action Plan for the Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), and Emergency Solutions Grant (ESG) Programs.
- Authorize the Chair to sign the U.S. Department of Housing and Urban Development (HUD) application and certifications for FY 2024 CDBG, HOME, and ESG Programs; execute a grant agreement between the County and HUD for the acceptance of CDBG, HOME, and ESG funds; and execute a subrecipient agreement between the County and the Dakota County Community Development Agency (CDA) for the administration of the CDBG, HOME, and ESG programs.
- Designate the Dakota County CDA Director of Community and Economic Development as the certifying officer for environmental reviews associated with the CDBG, HOME, ESG, and Capital Fund programs.
SUMMARY
The Dakota County CDA administers the federal CDBG, HOME, and ESG programs on behalf of Dakota County. These federal programs receive annual grants in amounts determined by Congress to be used towards housing and community development activities. The FY 2024 Action Plan outlines the strategies and objectives for CDBG, HOME and ESG funds to local governments and housing providers in Dakota County. The proposed activities for the HUD funds meet the priorities established in the Five-Year Consolidated Plan (2020-2024) approved by Resolution No. 20-231 (May 5, 2020).
CDBG. Dakota County was allocated $1,873,895 in FY 2024 CDBG funds, a four percent decrease from FY 2023. Proposed uses for the FY 2024 CDBG grant are as follows: affordable housing rehab (64%), public services (15%), neighborhood revitalization (8%), planning (1%), and grant administration (12%). There is an additional estimated $400,000 for residential rehab activities from revolving loan income, which can only be used for residential rehab projects. Based on applications received from participating communities, the CDA recommends 24 city activities, four Countywide activities, and two grant administration activities be funded.
HOME. The Dakota County HOME Consortium was allocated $2,127,171 in FY 2024 HOME funds, which is a 19 percent decrease from FY 2023. With program income, the available funding for the Consortium is $2,684,849. Proposed uses for the FY 2024 Dakota County HOME funds totaling $895,788, including program income, are affordable rental housing (73%), Community Housing Development Organization activities (13%), and grant administration (14%). The CDA recommends the three Dakota County activities receive HOME funds.
ESG. Dakota County was allocated $172,422 in FY 2024 ESG funds, a 2.7 percent increase from FY 2023. Proposed uses for the FY 2024 ESG funds include emergency shelter operations (57%), rapid re-housing activities (30%), homelessness prevention activities (3.5%), Homeless Management Information System (2%), and grant administration (7.5%). The Affordable Housing Coalition recommended approval of a draft ESG budget on February 8, 2024.
The public hearing for the FY 2024 Action Plan was held on April 23, 2024. No comments were received at the public hearing, nor were comments submitted to the CDA.
RECOMMENDATION
recommendation
Dakota County and CDA staff recommend approval of the Dakota County Fiscal Year 2024 Annual Action Plan and the designation of the Dakota County CDA Director of Community and Economic Development as the certifying officer for CDBG, HOME, and ESG Programs, along with Capital Fund projects.
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EXPLANATION OF FISCAL/FTE IMPACTS
For FY 2024, Dakota County will receive a CDBG grant of $1,873,895, a HOME grant of $895,788, including program income (Consortium total of $2,684,849), and an ESG grant of $172,422.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, Dakota County is an Entitlement County for funds through the Community Development Block Grant (CDBG) Program and Emergency Solutions Grant (ESG) Program and a Participating Jurisdiction for the HOME Investment Partnerships (HOME) Program; and
WHEREAS, Dakota County’s Participating Jurisdiction status under the HOME Program pertains to a multi-jurisdiction consortium created in 1992 that includes Anoka, Washington, and suburban Ramsey Counties and the City of Woodbury (HOME Consortium); and
WHEREAS, Dakota County is designated as the “Lead Agency” for the HOME Consortium, responsible for certain administrative and reporting functions of the HOME Program; and
WHEREAS, the Dakota County Community Development Agency (CDA) administers the CDBG, ESG, and HOME programs on behalf of Dakota County, thereby requiring agreements between the U.S. Department of Housing and Urban Development (HUD) and Dakota County for the CDBG, ESG, and HOME funds and between Dakota County and the Dakota County CDA for CDBG, ESG, and HOME program administration; and
WHEREAS, HUD further requires the development and submission of the Fiscal Year (FY) 2024 One-Year Action Plan that proposes the allocation of the annual CDBG, HOME, and ESG funds to local governments and housing providers in the County; and
WHEREAS, CDA staff has worked with participating communities and agencies to identify CDBG, HOME, and ESG activities for FY 2024; and
WHEREAS, the proposed activities for HUD funds meet the housing and community development priorities identified in the approved 2020 - 2024 Five-Year Consolidated Plan; and
WHEREAS, the Dakota County FY 2024 CDBG allocation is $1,873,895 with $400,000 of anticipated program income; the Dakota County FY 2024 HOME allocation is $895,788, including program income (Consortium total of $2,684,849); and the Dakota County FY 2024 ESG allocation is $172,422; and
WHEREAS, CDA staff recommends allocating FY 2024 CDBG funds to 24 eligible activities for cities and townships, four Countywide activities, and two grant administration activities as follows: affordable housing rehab (64%), public services (15%), neighborhood revitalization (8%), planning (1%), and grant administration (12%); and
WHEREAS, CDA staff recommends allocating FY 2024 HOME funds to three eligible activities as follows: affordable rental housing (73%); Community Housing Development Organization activities (13%), and grant administration (14%); and
WHEREAS, CDA staff recommends allocating FY 2024 ESG funds to five eligible activities as follows: emergency shelter operations (57%), rapid re-housing activities (30%), homelessness prevention activities (3.5%), Homeless Management Information System (2%), and grant administration (7.5%); and
WHEREAS, HUD requires a public notice be published and a public hearing be held to receive comments and inform the public on the Dakota County FY 2024 Annual Action Plan; and
WHEREAS, public notice of a minimum 30-day public comment period was published in the Dakota County Tribune and the Star Tribune on March 8, 2024, and a public hearing notice was published in the Star Tribune on April 9, 2024, and posted on the websites of the participating cities, the Dakota County CDA website at www.dakotacda.org <http://www.dakotacda.org>, and the Dakota County website at www.co.dakota.mn.us <http://www.co.dakota.mn.us>; and
WHEREAS, the Dakota County Board of Commissioners conducted a public hearing on April 23, 2024, to receive comments on the FY 2023 Action Plan, and no comments were received at the hearing nor were comments submitted to the CDA.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners approves the Dakota County Fiscal Year 2024 Annual Action Plan for submission to the Department of Housing and Urban Development, and hereby approves the 2024 Residential Anti-Displacement and Relocation Assistance Plan, and the 2024 Citizen Participation Plan; and
BE IT FURTHER RESOLVED, That the County Board Chair is hereby authorized to sign the application to the Department of Housing and Urban Development for Fiscal Year 2024 Community Development Block Grant, HOME Investment Partnerships, and Emergency Solutions Grant Programs and the Local Government and Specific Community Development Block Grant, HOME Investment Partnerships, and Emergency Solutions Grant Certifications; and
BE IT FURTHER RESOLVED, That the County Board Chair is hereby authorized to execute Fiscal Year 2024 Community Development Block Grant, HOME Investment Partnerships, and Emergency Solutions Grant agreements with the Department of Housing and Urban Development for the acceptance of Community Development Block Grant funds totaling $1,873,895, HOME Investment Partnership funds totaling $2,684,849 for the Consortium with $895,788 distributed to Dakota County, including program income, and Emergency Solutions Grant funds totaling $172,422, and a subrecipient agreement with the Dakota County CDA for the administration of the Community Development Block Grant, HOME Investment Partnerships, and Emergency Solutions Grant Programs, subject to approval by the County Attorney’s Office as to form; and
BE IT FURTHER RESOLVED, That the Dakota County Community Development Agency Director of Community and Economic Development is hereby designated as the certifying officer for environmental reviews for the Community Development Block Grant, HOME Investment Partnerships, Emergency Solutions Grant, and Capital Fund Programs.
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PREVIOUS BOARD ACTION
20-231; 5/5/20
ATTACHMENTS
Attachment: 2024 Action Plan Attachments Memo
Attachment: 2024 Dakota County Action Plan Executive Summary
Attachment: 2024 CDA Certifications Memo and Certifications
Attachment: 2024 Residential Anti-Displacement Policy and Relocation Plan
Attachment: 2024 Dakota County HOME Consortium Citizen Participation Plan
BOARD GOALS
☒ A Great Place to Live ☐ A Healthy Environment
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Erin Stwora
Author: Maggie Dykes