AGENDA #4c

 

MEMORANDUM

 

 TO:                 Mayor and Town Council

 

From:            W. Calvin Horton, Town Manager

 

Subject:       Establishment of a Project Ordinance for the 2004-2005 Capital Fund Program for Public Housing Renovations and Resident Services

 

Date:             October 27, 2004

 

 

The attached budget ordinance would establish a project ordinance for the 2004-2005 Capital Fund Program in the amount of $530,628.  The project ordinance is based on a Capital Fund Program Annual Statement authorized by the Council and subsequent grant awarded by the U.S. Department of Housing and Urban Development (HUD).

 

Background

 

On April 26, 2004, the Council approved a plan for public housing renovations and resident services.  The Council also authorized submittal of a Plan for the 2004-2005 Capital Fund Program to the U. S. Department of Housing and Urban Development.

 

The 2004-2005 Plan includes renovations at the Airport Gardens neighborhood. These apartments have not undergone comprehensive renovation work since being built in 1972.

 

Discussion

 

Proposed renovations and activities for 2004-2005 Grant Funds as approved by the Council on April 26, 2004 include the following:

 

1.         Renovate 8 of the 26 apartments at the Airport Gardens neighborhood.  Previous available funding for public housing renovations has been appropriated to renovate 18 of the 26 apartments at Airport Gardens.  The site work is expected to be completed as additional funding becomes available.

 

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.

 

            Allocation: $331,828

 

In addition to the $331,828 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 $481,828.

 

2.         Support activities for residents of public housing. The residents of public housing in         conjunction with the Housing and Community Development Advisory Board and      Housing staff will determine specific use of funds.

 

            Allocation:  $3,000

 

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:  $50,000

 

4.         Allocation for professional fees and costs for a portion of the planning of the new Town             Operations Center to be charged to the Department of Housing. 

 

            Allocation $145,800

 

The total amount appropriated from the U.S. Department of Housing and Urban Development for the 2004-2005 Capital Fund Program is $530,628.

 

Recommendation

 

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

 

Attachments

 

1.          September 21, 2004 Letter from HUD (p. 5).

2.          2004 Capital Fund Program Annual Statement (p. 7).

 

 

 


AN ORDINANCE TO ESTABLISH A CAPITAL FUND PROGRAM (CFP) PROJECT ORDINANCE (2004-10-27/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:

 

Section I

 

The project authorized is the Capital Fund Project as approved by the Council on April 26, 2004.  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 21, 2004.

Section II

 

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                                       $530,628

 

Section:  IV

 

The amounts appropriated for the project are as follows:

 

            Operations                                           $    3,000

            Administration                          $  50,000

            Site Improvements                                $109,392

            Dwelling Structures                               $193,736

            Dwelling Equipment                              $  28,700

            Professional Fees and Costs                 $145,800

 

            Total                                                    $530,628

 

Section:  V

 

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.

 


 

Section:  VI

 

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.

 

Section:  VII

 

The 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, 2004.