TO: Mayor and Members of City Council
THRU: Telly C. Whitfield, Ph.D., Assistant City Manager
FROM: Christopher Cauley, MPA, Acting Economic and Community Development Director
DATE: January 25, 2021
RE:
Title
Amendment to 20-21 HUD Action Plan to Fund Renovations of the Historic Orange Street School
end
COUNCIL DISTRICT(S):
Council District(s)
District 2
b
Relationship To Strategic Plan:
Goal III: High Quality Built Environment,
Goal IV: Desirable Place to Live, Work and Recreate,
Goal VI: Citizen Engagement and Partnership
Executive Summary:
Council is asked to reallocate $100,000 in Community Development Block Grant (CDBG) funds in the current year action plan from the Small Business Development Grant (SBDG) Program to a new public facility project, the Orange Street School (OSS).
Background:
In August, the Economic and Community Development Department (ECD) was approached about the OSS and their plans to reinvigorate the school as an African American History Museum. It has been functioning as such for decades but the not for profit board is resource limited and the building has fallen into disrepair. ECD spoke to OSS about the eligibility of CDBG funds and the application timeline for awarding grants. ECD also spoke about future partnerships to create some synergy between OSS and the community.
Issues/Analysis:
In October, Kingdom Community Development Corporation (Kingdom CDC) prepared estimates for the rehabilitation of the building and OSS requested funding for rehab and operations from the City through the Mayor. The total request was $143,249 ($100,000 repairs and $43,249 operating) and the funding source was not proposed by the request. The rehabilitation of a historic building is eligible under CDBG while the operations are not an eligible expense. In November, City building maintenance staff evaluated the building and created its own estimates to ensure nothing was missed. They estimated slightly less than the $100,000 estimate but ECD is recommending $100,000 due to the potential for unforeseen circumstances. ECD began an Environmental Review to ensure Federal Funds could be spent on the property without significant remediation expense. No concerns were found. ECD advertised this amendment and held the required five day public comment period from January 18, 2021 to January 22, 2021. An online public meeting was held on January 21, 2021.
Budget Impact:
The SBDG program has not experienced any interest this year. ECD expects that small businesses are not working towards expansion plans during the pandemic. The program will maintain sufficient funding to accommodate requests if they begin in earnest in the remaining half of the year.
Options:
• Approve the Amendment to 20-21 HUD Action Plan to Fund Renovations of the Historic Orange Street School,
• Do not Approve the Amendment to 20-21 HUD Action Plan to Fund Renovations of the Historic Orange Street School,
• Direct Staff to Other Actions.
Recommended Action:
Approve the Amendment to 20-21 HUD Action Plan to Fund Renovations of the Historic Orange Street School.
Attachments:
None.