CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: February 07, 2022 Action Required: Resolution Presenter: Erin Atak, Grants Coordinator Staff Contacts: Erin Atak, Grants Coordinator Alex Ikefuna, Interim Director Sam Sanders, Deputy City Manager Joe Powers, Deputy Chief Hezedean Smith, Fire Chief Title: FY2018-2019 CDBG Substantial Action Plan Amendment Background: This agenda item is a continuation from the January 18, 2022, City Council agenda item and includes a substantial action plan amendment and list of eligible activities for the Community Development Block Grant (CDBG); funds received from the U.S. Department of Housing and Urban Development (HUD). On January 14, 2021, the City of Charlottesville was found to be noncompliant, for the second consecutive year, with the CDBG timely expenditure requirements. HUD has noted that the City of Charlottesville’s lack of timely performance as a deficiency. On December 23, 2021, it was calculated that the City had an adjusted line of credit balance of 2.16 times the annual grant; an adjusted balance of 1.50 is needed to be in compliance. The City is subject to HUD’s timeliness sanctions policy. HUD will conduct its final timeliness test on the City of Charlottesville on May 2, 2022. Discussion: City Staff has identified a list of immediate programs to solve the City’s timeliness concerns by May 2, 2022. The City has unexpended 2018 CDBG dollars totaling $140,585.49 and upcoming unexpended 2022 CDBG dollars totaling $244,950.82; for a grand total of $385,536.31 from the delayed Belmont Neighborhood Franklin Street Sidewalk activity. These funds can be reprogrammed back into the CDBG program budget to fund activities that are ready, as well as address the City Council CDBG priorities and HUD CDBG National Objectives. Future funding sources can later repay the Belmont Franklin Street Sidewalk construction activity should needed right-of-way be obtained. To meet timeliness deadlines by May 2, 2022, reprogrammed funds must be spent down within the next three-month period. The following housing energy retrofit, and fire activities have been identified as immediate and CDBG eligible spend-down activities. Beneficiaries would mostly include residents within the Belmont Priority Neighborhood, and CDBG Priority neighborhoods. Proposed Timeliness Activities (Estimated $217,200.00) Item Estimated Cost Smoke Alarm $20,000 Stove Top Fire Stop $40,000 Zoll AutoPulse CPR Assist Device $142,200 Carbon Monoxide Alarms $15,000 Community Engagement: Members of the public were given the opportunity to voice their opinions during the HUD-mandated 30-day public comment period held December 12, 2021 through January 12, 2022. A public hearing was held January 18, 2022. Alignment with City Council’s Vision and Strategic Plan: Approval of this agenda item aligns directly with Council’s vision for Charlottesville to have a Green City and Quality Housing Opportunities for All. It contributes to a variety of Strategic Plan Goals and Objectives including: Goal 2: A Healthy and Safe City; and Goal 3: A Beautiful and Sustainable Natural and Built Environment. Budgetary Impact: None Recommendation: Staff recommends approval of the resolution. Alternatives: No alternatives are proposed. Attachments: Resolution: 2018-2019 Substantial Action Plan Amendment RESOLUTION Approval of FY 2018-2019 Substantial Action Plan Amendment BE IT RESOLVED that the Charlottesville City Council hereby approves the FY 2018 – 2019 Substantial Action Plan Amendment of the 2018-2022 Consolidated Plan. The reprogrammed 2018 CDBG activities will be added into the 2018-2019 Annual Action Plan to meet HUD spending deadlines under 24 CFR 570.902(a).