AGENDA #7c

MEMORANDUM

TO:                  Mayor and Town Council

FROM:            W. Calvin Horton, Town Manager

SUBJECT:      Submittal of 2005-2010 Consolidated Plan

DATE:                        May 9, 2005

The attached resolution would authorize submittal of the 2005-2010 Consolidated Plan to the U.S. Department of Housing and Urban Development.

Because the Town receives federal Community Development funds and is a member of the Orange County HOME Consortium along with Orange County, Carrboro and Hillsborough, the Department of Housing and Urban Development requires the Town to jointly submit with Orange County a 2005–2010 Consolidated Plan by May 13, 200 5.

BACKGROUND

In May 2000, the Orange County HOME Consortium submitted to the U.S. Department of Housing and Urban Development a five-year Consolidated Plan covering fiscal years 2000-2001 through 2004-2005. This year, the Consortium is required to submit a new five-year plan covering fiscal years 2005-2006 through 2009-2010. Please see Attachment 1 for the Consolidated Plan. 

The purpose of the Consolidated Plan is to identify and prioritize the housing and community development needs for Chapel Hill and Orange County. The Consolidated Plan also serves four separate, but integrated functions.  The Plan is:

1. A planning document that identifies and prioritizes the housing and community development needs for Chapel Hill and Orange County;
2. An application for federal funds that the Town and County receive including the Community Development Block Grant (CDBG), HOME Investment Partnership Act (HOME); 
3. A strategy to be followed in carrying out HUD programs; and
4. An action plan that provides a basis for assessing performance. 

Each year, the Consortium will submit an annual update to the Consolidated Plan to the U.S. Department of Housing and Urban Development.

DISCUSSION

The Consolidated Plan is included as Attachment 1 to this report.  A copy of the report is also available on the Town’s website.  The plan includes the 2005-2006 Community Development and HOME Program Plans and identifies new housing and community development initiatives in Orange County. 

As the lead entity of the HOME Consortium, Orange County has hired Training and Development Associates, Incorporated (TDA) to develop the Plan.  TDA held four focus group meetings to receive input from affordable housing and community service providers, citizens, and government staff on how to prioritize the affordable housing and community development needs in the County.  Comments from these sessions are incorporated into the Consolidated Plan.  

Although Orange County is the lead entity of the Consortium, it is necessary to have approval of the Consolidated Plan from all four jurisdictions before the document is submitted to the Department of Housing and Urban Development on May 13, 200 5. 

Comprehensive Housing Strategy

In addition to the Consolidated Plan, TDA will also prepare a Comprehensive Housing Strategy for Orange County.  This document is not a requirement of the U.S. Department of Housing and Urban Development Consolidated Plan process.  The Comprehensive Housing Strategy will include the following elements:

• an overall housing market analysis (including the analysis of historical data, current numbers and projections of housing needs;
• evaluate the geographic and economic considerations of various kinds of housing available in Orange County;
• provide an analysis of housing sales and lease activity
• project and analyze future demand
• include a gaps analysis to determine what housing needs are not currently being met and a provider analysis that will be used to develop a strategy for filling the gaps in the future

We expect TDA to complete the Comprehensive Housing Strategy in the Fall of 2005. 

MANAGER’S RECOMMENDATION

That the Council adopt the attached resolution authorizing the submittal of the 2005–2010 Consolidated Plan to the U.S. Department of Housing and Urban Development.

ATTACHMENT

1. The 2005–2010 Consolidated Plan for Housing and Community Development Programs in Orange County (begin new page 1), (part 2).

A RESOLUTION AUTHORIZING THE SUBMITTAL OF THE ANNUAL UPDATE TO THE 2005–2010 CONSOLIDATED PLAN (2005-05-09/R-12)

BE IT RESOLVED by the Council of the Town of Chapel Hill that the Council authorizes the Manager to submit the Annual Update to the 2005-2010 Consolidated Plan to the U.S. Department of Housing and Urban Development, including all understandings, assurances, and certifications required therein, for a program of $685,977 of Community Development Block Grant funds and $978,896 of federal HOME Program funds by May 13, 2005.

BE IT FURTHER RESOLVED that the Manager is hereby designated as the authorized representative of the Town to act in connection with submittal of a Consolidated Plan to provide such additional information as may be required.

This the 9^th day of May, 2005.