AGENDA #4e
MEMORANDUM
TO: Mayor and Town Council
From: W. Calvin Horton, Town Manager
Subject: Establishment of a Project Ordinance for the 2003-2004 Capital Fund Program for Public Housing Renovations and Resident Services
Date: October 27, 2003
The attached budget ordinance would establish a project ordinance for the 2003-2004 Capital Fund Grant Program in the amount of $453,453. The project ordinance is based on the grant application authorized by the Council and subsequent grant awarded by the U.S. Department of Housing and Urban Development (HUD).
On April 28, 2003, the Council approved a plan for public housing renovations and resident services. The Council also authorized submittal of an application for the 2003-2004 Capital Fund Program to the U. S. Department of Housing and Urban Development.
The 2003-2004 Plan includes renovations at the Airport Gardens neighborhood. These apartments have not undergone comprehensive renovation work since being built in 1972.
Proposed renovations and activities for 2003-2004 Grant Funds as approved by the Council on April 28, 2003 include the following:
1. Renovate approximately 10 of the 26 apartments at the Airport Gardens neighborhood. Proposed renovation work would include the replacement of windows and screens, replacement of interior and exterior doors, replacement of furnaces, installation of air conditioning, replacement of stoves and refrigerators, replacement of floor tiles, replacement of bathtub liners and surrounds, bathroom fixtures, plumbing, and electrical upgrades, interior and exterior painting, replacement of drainage system and landscaping.
Previous available funding for public housing renovations has been appropriated to renovate 13 of the 26 apartments at Airport Gardens. The remaining three Airport Gardens apartments would be renovated as additional funding becomes available.
Allocation: $369,213
In addition to the $369,213 included in the proposed budget ordinance for this project, there is $150,000 in the Community Development budget ordinance for proposed Airport Gardens renovations. Therefore, the total amount of funds available for Airport Gardens renovations is $519,213.
2. Continue to support activities of the Residents’ Council. We currently have a 2002-2003 performance agreement in the amount of $28,500 with the Residents’ Council, which would end on November 30, 2003. We would work with the Residents’ Council to determine specific activities, which would be incorporated into a 2003-2004 performance agreement. A 2003-2004 performance agreement would be contingent upon the Residents’ Council completing key elements of the current agreement.
Allocation: $28,500
3. 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: $21,900
4. Allocation for professional fees and costs for a portion of the initial planning of the new Town Operations Center to be charged to Department of Housing, and the cost of an energy audit for all public housing units, which is required by HUD. The cost for Housing’s portion of initial planning of the new Town Operations Center is $21,840, and the cost of the energy audit is $12,000.
Allocation $33,840
The total amount appropriated from the U.S. Department of Housing and Urban Development for the 2003-2004 Capital Fund Program is $453,453.
Manager’s Recommendation: That the Council adopt the attached Project Ordinance for the Capital Fund Grant Program, consistent with the Program previously approved by the Council.
1. October 2, 2003 Letter from HUD (p. 5).
2. 2003 Capital Fund Program Annual Statement (p. 6).
3. Amendment to the Consolidated Annual Contributions Contract (p. 7).
AN ORDINANCE TO ESTABLISH A CAPITAL FUND PROGRAM (CFP) PROJECT ORDINANCE (2003-10-27/O-1)
BE IT ORDAINED by the Council of the Town of Chapel Hill that pursuant to Section 13.2 of Chapter 159 of the General Statutes of North Carolina, the following project ordinance is hereby established:
The project authorized is the Capital Fund Project as approved by the Council on April 28, 2003. Funds are as contained in an Amendment to the Consolidated Annual Contributions Contract between the Town and the U. S. Department of Housing and Urban Development (HUD) dated September 17, 2003.
The Town Manager of the Town of Chapel Hill is hereby directed to proceed with the project within the terms of the Contract document(s), the rules and regulations of the U. S. Department of Housing and Urban Development, and budget contained herein.
Section III
The following revenue is available to complete the project:
Capital Fund Program $453,453
The amounts appropriated for the project are as follows:
Operations $ 28,500
Administration $ 21,900
Dwelling Structures $340,513
Dwelling Equipment $ 28,700
Fees and Other Cost $ 33,840
Total $453,453
The Finance Director of the Town of Chapel Hill is hereby directed to maintain within the Project Fund sufficient specific detailed accounting records to provide the accounting to the U.S. Department of Housing and Urban Development as required by the Annual Contributions Contract and federal regulations.
Funds may be advanced from General funds for the purpose of making payments as due. Reimbursement requests should be made to HUD in an orderly and timely manner.
The Town Manager is directed to report annually on the financial status of each project in Section IV and on the total revenues received.
This the 27th day of October, 2003.