DEPARTMENT: Physical Development Administration
FILE TYPE: Consent Action
TITLE
title
Approval Of Dakota County HOME Investment Partnerships American Rescue Plan Program
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PURPOSE/ACTION REQUESTED
Approve the draft Dakota County Allocation Plan for the HOME Investment Partnerships American Rescue Plan Program (HOME-ARP)
SUMMARY
The Dakota County Community Development Agency (CDA) administers the federal HOME program on behalf of Dakota County (County) and serves as the Lead Agency of the Dakota County HOME Consortium (Consortium). The Consortium includes the counties Anoka, Dakota, Ramsey, and Washington and the City of Woodbury. In 2021, the Department of Housing and Urban Development (HUD) awarded a special allocation called the HOME Investment Partnerships Program American Rescue Plan (HOME-ARP). These funds, totaling $3,253,282 for Dakota County (Consortium total of $8,762,441), can be used only for four activities: acquisition and development of non-congregate shelter units, development and support of affordable housing, tenant-based rental assistance, and provision of supportive services. These activities must primarily benefit four qualifying populations, including individuals and families who are homeless; at risk of homelessness; fleeing or attempting to flee domestic violence, dating violence, sexual assault, stalking, or human trafficking; and other vulnerable populations, including individuals and families with incomes at or below 30 percent Area Median Income. To accept the special allocation from HUD, the Consortium must write and approve an Allocation Plan that outlines possible activities for the HOME-ARP funds. The Allocation Plan must include an inventory of needs and gaps in services in Dakota County, the unmet housing and service needs of the qualifying populations, and the methods of consultation that were used to engage with the public. As part of the Allocation Plan process, HUD requires the County to consult with citizens and leaders to determine how Dakota County should spend the funding on the eligible activities. A public hearing is also required. The Allocation Plan is a substantial amendment to the Fiscal Year (FY) 2021 Action Plan.
Based on a public survey and public comments, as well consultations with Dakota County Community Services, the Dakota County Affordable Housing Coalition, Suburban Metro Continuum of Care, and other local government, housing, and non-profit providers, the CDA is recommending three activities: non-congregate shelter, the development and support of affordable housing, and grant administration. The production goals for these activities will come when the County has identified preferences for the qualified populations and potential sites. Further guidance from the Board of Commissioners will be needed at that time.
RECOMMENDATION
recommendation
Dakota County and CDA staff recommend the County Board approve the draft substantial amendment to the Fiscal Year 2021 Action Plan to include the HOME-ARP Allocation Plan.
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EXPLANATION OF FISCAL/FTE IMPACTS
Dakota County will receive an allocation of HOME-ARP funds totaling $3,253,282 (HOME Consortium total of $8,762,441) to serve qualified populations with eligible activities to reduce homelessness.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, the counties of Anoka, Dakota, Ramsey, and Washington and the City of Woodbury (referred to together as the “HOME Consortium”) created a consortium under the Title I of the Cranston-Gonzalez National Affordable Housing Act (Act) for purposes of acting as a participating jurisdiction under the Act and HOME Investment Partnerships Program Final Rule 24 CFR Part 92 which as amended sets forth regulations governing the applicability and use of funds under Title II (HOME Program); and
WHEREAS, Dakota County is designated as the Lead Agency for the HOME Consortium and is responsible for certain administrative and reporting functions of the HOME Program as required by the U.S. Department of Housing and Urban Development (HUD); and
WHEREAS, the Dakota County Community Development Agency (CDA) administers the HOME Program for Dakota County; and
WHEREAS, the American Rescue Plan Act of 2021 (ARP) was signed into law on March 11, 2021, and appropriated $5 billion in ARP funds to be administered through the HOME Program at the local level to respond to the COVID-19 pandemic; and
WHEREAS, the Dakota County HOME Consortium HOME-ARP allocation is $8,762,411, and the Dakota County portion is $3,253,282; and
WHEREAS, the HOME-ARP funds can only be used for four activities: acquisition and development of non-congregate shelter units, development and support of affordable housing, tenant-based rental assistance, and provision of supportive services; and
WHEREAS, the HOME-ARP activities must primarily benefit four qualifying populations, including individuals and families who are homeless; at risk of homelessness; fleeing or attempting to flee domestic violence, dating violence, sexual assault, stalking, or human trafficking; and other vulnerable populations, including individuals and families with incomes at or below 30 percent Area Median Income; and
WHEREAS, HUD requires the Dakota County Fiscal Year 2021 Action Plan be amended to include the special allocations of the HOME-ARP funds and HOME-ARP Allocation Plan; and
WHEREAS, HUD further requires the development and submission of a HOME-ARP Allocation Plan that proposes allocation of the HOME-ARP funds to local governments and housing providers in the County after consultation with local governments, housing, and non-profit providers; and
WHEREAS, CDA staff has conducted a public survey, worked with participating communities, local governments, housing, and non-profit providers to prioritize the HOME-ARP eligible activities; and
WHEREAS, the proposed activities for the HOME-ARP funds meet the housing and community development priorities identified under section 3205 of the American Rescue Plan Act of 2021 (P.L. 117-2); and
WHEREAS, CDA staff recommends allocating HOME-ARP funds to three eligible activities as follows: a future non-congregate shelter development at a site to be determined (46 percent), future affordable housing projects at sites to be determined (46 percent), and grant administration (8 percent); and
WHEREAS, the Dakota County Board of Commissioners conducted a public hearing on April 19, 2022, to receive comments on the Fiscal Year 2021 Action Plan Substantial Amendment, 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 2021 Substantial Amendment of HOME-ARP Funds and HOME-ARP Allocation Plan for submission to the Department of Housing and Urban Development.
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PREVIOUS BOARD ACTION
None.
ATTACHMENTS
Attachment: Draft HOME-ARP Allocation Plan
BOARD GOALS
☒ A Great Place to Live ☐ A Healthy Environment
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
PUBLIC ENGAGEMENT LEVEL
☐ Inform and Listen ☐ Discuss ☐ Involve ☒ N/A
CONTACT
Department Head: Erin Stwora
Author: Maggie Dykes and Kevin Paulsen