AGENDA #1e
MEMORANDUM
FROM: W. Calvin Horton, Town Manager
SUBJECT: Preliminary Proposal for the 2001-2002 Capital Fund Program for Public Housing Renovations and Resident Services
DATE: March 28, 2001
The purpose of this memorandum is to present a preliminary proposal for use of funds we expect to receive from the U.S. Department of Housing and Urban Development (HUD) under the 2001-2002 Capital Fund Program.
· We have not yet received notification from HUD of the amount of the 2001-2002 Capital Fund grant. Therefore, we have developed a preliminary plan based on the 2000-2001 grant amount of $599,512.
· We expect to receive notification of the 2001-2002 grant by July 31, 2001.
· The preliminary plan includes renovations in all fifteen apartments at the Pritchard Park neighborhood.
· The deadline for submitting the plan for the 2001-2002 Capital Fund Program to the U.S. Department of Housing and Urban Development is April 30, 2001.
The U.S. Department of Housing and Urban Development (HUD) allocates modernization funds to localities that manage at least 250 public housing apartments for renovation and support of resident services. Funds are allocated under a formula basis rather than through a competitive application process.
The preliminary proposal for the 2001-2002 Capital Fund Program includes renovation in the Pritchard Park neighborhood, because these have not had comprehensive rehabilitation work since being built in 1972.
DISCUSSION
We have not received notification from HUD of the amount of the 2001-2002 grant. Therefore, we have developed a preliminary plan for 2001-2002 in the amount of $599,000, the amount of the 2000-2001 grant. Also, the plan includes $120,000 that we expect to be allocated for public housing renovations under the 2001-2002 Community Development Block Grant Program. The total amount of the funds expected to be available for public housing renovations and resident services in 2001-2002 is $719,000.
PRELIMINARY PROPOSAL FOR 2001-2002
Proposed Sources of Funds
Capital Fund Program $599,000
Community Development Program $120,000
TOTAL $719,000
Proposed Use of Funds
Pritchard Park Renovations $578,000
Other Costs $141,000
TOTAL $719,000
The Preliminary proposal for the 2001-2002 Capital Fund Program include the following activities:
1. Renovation at Pritchard Park $578,000
Renovate the 15 apartments at the Pritchard Park neighborhood. Proposed renovation work would include the replacement of windows and screens, replacement of interior and exterior doors, replacement of furnaces, air conditioning, replacement of floor tiles, replacement of bathtub liners and surrounds, bathroom fixtures, plumbing and electrical upgrades, and interior and exterior painting.
2. Other Cost $141,000
This activity includes the cost of professional services to design and write specifications for the renovation work. And also, the cost of day-to-day monitoring of renovation work, the preparation of work records, and interviewing of workers as required by HUD. It also includes the cost of general administration of the Capital Fund Program, maintenance training and relocation of residents affected by the renovations.
This year, the Residents’ Council did not submit a proposal requesting funding from the Capital Fund Program. The Residents’ Council has not spent all of the funds allocated in previous years. We believe the remaining balance of about $50,000 is sufficient to cover expenses in 2001-2002. We expect to receive a request from the Residents’ Council in 2002-2003.
Review by Housing and Community Development Advisory Board
The Housing and Community Development Advisory Board will review the Preliminary Proposal for the 2001-2002 Capital Fund Program on March 27, 2001.
CONCLUSION
Next Steps
Comments received tonight will be taken into consideration in preparing a recommended plan for using the 2001-2002 Capital Fund grant. We will present a recommended 2001-2002 Capital Fund Program Annual Statement for the Council’s consideration on April 23, 2001.
ATTACHMENTS
1. Preliminary Annual Statement for 2001-2002 (p. 4).
(The Annual Statement provides a summary of proposed Capital Fund Program activities and cost estimates.)
2. Summary of Five-Year Plan for Public Housing Renovations and Resident Services (p. 6).
(This attachment provides a summary of the proposed expenditures that is expected to be available for public housing renovations and resident services over the next five years.)