TO: Mayor and Members of City Council
THRU: Kristoff Bauer, Deputy City Manager
FROM: Cynthia Blot, Economic & Community Development Director
DATE: January 7, 2019
RE:
Title
CDBG-DR & HMGP Updates
end
COUNCIL DISTRICT(S):
Council District(s)
ALL
b
Relationship To Strategic Plan:
Goal II: Diverse and Viable Economy
Goal IV: High Quality Built Environment
Executive Summary:
HMGP: The City of Fayetteville received an HMGP allocation of $4,700,000. Of the 207 applications received from residents, thirty-three properties met the expedited criteria and were cost effective and eligible to be funded under the HMGP and can be accommodated under this cap.
CDBG-DR: Cumberland County was awarded the CDBG-DR funds from the NC Department of Public Safety as a sub-recipient. The State is only releasing to Cumberland County two-thirds of the funding for a two year period in the amount of $23,260,000. Of that amount, the City will receive $15,325,000 during that period from Cumberland County as a sub-sub-recipient to carry out the various programs. The additional funding of the original $34.9 million will be awarded to the County in the third year of the program.
On August 7, 2018 Council approved a contract with Horne Consulting for project management services. Anna Stroble, Dawn Gregory and Sandra Maxwell will attend Monday’s meeting as Horne representatives to answer any questions that Council may have.
This item is brought before Council to provide an update on the CDBG-DR & HMGP programs from Horne Consulting.
Background:
HMGP: North Carolina Emergency Management (NCEM) completed its analysis of nearly 3,000 structures submitted for potential mitigation throughout the Hurricane Matthew disaster zone for consideration for the (HMGP). Just under 800 properties qualified for the program throughout the impacted area based on availability of funding and eligibility criteria.
Thirty-three properties within the City of Fayetteville initially qualified for the program with funding valued at $4,700,000.
*Acquisitions: 27 homes
*Elevations: 3 homes
*Reconstruction: 3 homes
CDBG-DR: The State of North Carolina is received $198 million dollars of CDBG-DR funds from the Department of Housing and Urban Development (HUD) as a result of damage caused by Hurricane Matthew in October 2016. Cumberland County is expected to receive $34,945,328 million of this amount over a three year period. Eligible Cumberland County residents who were directly impacted by the hurricane will have an opportunity to apply for assistance from a variety of Housing Recovery Programs.
City staff worked with Cumberland County to develop a proposal to carry out a variety of housing and recovery programs. The proposal includes a Homeowner Recovery Program, Small Rental Repair Program, Multi-family Rental Housing, and a Community Recovery Program that will include a Day Center and a Homeless Shelter. Businesses will have to apply directly to the North Carolina Department of Commerce for available funding.
Issues/Analysis:
Upon further review several homes were not eligible for HMGP funds.
CDBG-DR approval process is progressing
Budget Impact:
None
Options:
This item is for information purposes
Recommended Action:
N/A
Attachments:
CDBG-DR & HMGP Update Presentation
Updates from Consultant