AGENDA#4c

 

MEMORANDUM

 

TO:

Roger L. Stancil, Town Manager

FROM:

Tina Vaughn, Housing Director

Jeanne Tate, Financial Reporting Manager

SUBJECT:

Establishment of a Project Ordinance for the 2007-2008 Capital Fund Program for Public Housing Renovations

DATE:

November 7, 2007

 

PURPOSE

 

The attached budget amendment would establish a project ordinance for the 2007-2008 Capital Fund Program in the amount of $582,697, and amend the 2006-07 Capital Fund Program to include an additional allocation of $15,994 for a total of $598,691.

 

BACKGROUND

 

On April 11, 2007 the Council approved a plan for public housing renovations and resident services.  The Council also authorized submittal of a plan for the 2007-2008 Capital Fund Program to the U. S. Department of Housing and Urban Development.

 

The 2007-2008 Plan includes comprehensive renovations at the North Columbia Street neighborhood.  These apartments have not undergone comprehensive renovation work since being built in 1968.

 

DISCUSSION

 

Proposed renovations and activities for 2007-2008 Grant Funds as approved by the Council on April 11, 2007 include the following:

 

  1. Renovate 11 apartments at the North Columbia Street neighborhood.  Proposed  renovation work would include the abatement of asbestos tiles, replacement of  windows and screens, replacement of interior and exterior doors, replacement of furnaces, installation of air conditioning, replacement of flooring and tiles, replacement of bathtub liners and surrounds, bathroom fixtures, plumbing and electrical upgrades, interior and exterior painting, and landscaping.

 

Allocation: $425,629

 

  1. Replace eight furnaces at the Oakwood neighborhood.  During recent Inspections, we determined that eight furnaces need to be replaced due to frequent maintenance and major repairs. Also, these furnaces have passed their serviceable years and could pose a potential safety hazard to the residents if not replaced.

 

Allocation:  $16,000

 

  1. Allocation for the Department of Housing portion of the cost for the debt service on the construction of the new Town Operations Center.

 

Allocation: $87,158

 

  1. Hire a consultant to assist with the compliance of Section 3 of the Housing and Urban Development Act of 1968 as required by federal regulations.  HUD requires that we to the greatest extent feasible, provide economic opportunities to low- or very low-income residents and businesses in connection with renovation projects and activities.

 

Allocation: $8,000

 

  1. The cost of the general administration of the Capital Fund Program.  This activity would also include maintenance training and the day-to-day monitoring of the renovation work, preparation of work records, and interviewing workers to verify work responsibilities and pay, as required by HUD.

 

Allocation: $61,904

 

The total amount appropriated from the U. S. Department of Housing and Urban Development for the Capital Fund Program is $598,691.

 

RECOMMENDATION

 

That the Council enact the attached Ordinance for the Capital Fund Grant Program, consistent with the Program previously approved by the Council.

 

ATTACHMENTS

 

  1. September 18, 2007 Letter from HUD (p. 5).
  2. 2007 Capital Fund Program Annual Statement (p. 6).
  3. Revised 2006 Capital Fund Grant (p. 11).
  4. 2006 Capital Fund Program Annual Statement (p. 12).