TO: Mayor and Members of City Council
THRU: Telly C. Whitfield, Ph.D., Assistant City Manager
FROM: Christopher L. Cauley, MPA, Economic and Community Development Director
Bridgette Stephens, Affordable Housing Program Manager
DATE: May 23, 2022
RE:
Title
Amendment to 21-22 HUD Action Plan to Include HOME Investment Partnership funds authorized through the American Rescue Plan (HOME-ARP)
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal 2: Responsive City Government Supporting a Diverse and Viable Economy.
Strategic Objective 2.1: Ensure a diverse City tax base.
Strategic Objective 2.2: Community Revitalization- Invest in community places to ensure revitalization and increase quality of life.
Strategic Objective 2.3: Leverage partnerships for job creation and retention, with focus on local and regional workforce to increase per capita income.
Strategic Objective 2.4: Economic Development: Sustain a favorable development climate to encourage business growth.
Goal 4: Desirable Place to Live, Work and Recreate
Strategic Objective 4.5: Neighborhood Vitality - Ensure a place for people to live in great neighborhoods.
Strategic Objective 4.6: Affordable Housing - Reduce poverty and homelessness.
Goal 6: Collaborative Citizen and Business Engagement.
Strategic Objective 6.2: Ensure trust and confidence in City government through transparency & high-quality customer service.
Strategic Objective 6.3: Inform and educate about local government by enhancing public outreach and increasing community dialog, collaboration and empowerment.
Executive Summary:
Council is asked to conduct a public hearing and approve the proposed Amendment to the Housing and Urban Development (HUD) 2021 - 2022 Annual Action Plan (AAP) to include HOME Investment Partnership funds authorized through the American Rescue Plan (HOME-ARP) in the amount of $3,397,564. Council was presented this amendment at the May 2, 2022 Council Work Session.
Background:
The American Rescue Plan appropriated $5 billion to help communities provide housing, shelter, and services for people experiencing homelessness and other qualifying populations. These HOME-ARP funds are in addition to the city’s regular HOME formula allocation. This one-time funding creates a significant opportunity for the City to meet the housing and service needs of our community’s most vulnerable populations. HOME-ARP funding gives jurisdictions significant new resources to address their homeless assistance needs by creating affordable housing or non-congregate shelter units and providing tenant-based rental assistance or supportive services.
To provide an opportunity for community feedback, the City consulted with area agencies and service providers to identify unmet needs and gaps and housing or service delivery systems. The required public notice was posted in the Fayetteville Observer and on the City’s website for 15 days from Sunday, May 8, 2022 through Sunday, May 22, 2022.
Issues/Analysis:
At least 70% of the total allocation is required to benefit qualifying populations such as persons experiencing homelessness. Eligible activities as defined under the HOME-ARP legislation are as follows: Production or preservation of affordable housing; Tenant Based Rental Assistance; Supportive Services; and purchase and development of non-congregate shelters. The City will post a Request for Projects in July to solicit both nonprofit and for profit developers to create affordable housing projects under these requirements.
Budget Impact:
There is no local budgetary impact associated with this allocation.
Options:
1. Conduct a public hearing and approve the proposed Amendment to the 2021 - 2022 Housing and Urban Development Annual Action Plan.
2. Conduct a public hearing and do not approve the proposed Amendment to the 2021 - 2022 Housing and Urban Development Annual Action Plan.
3. Do not conduct a public hearing and do not approve the proposed Amendment to the 2021 - 2022 Housing and Urban Development Annual Action Plan.
Recommended Action:
Conduct a public hearing and approve the proposed Amendment to the 2021 - 2022 Housing and Urban Development Annual Action Plan.
Attachments:
2021-2022 Annual Action Plan Presentation - Amendment