AGENDA #10
MEMORANDUM
FROM: W. Calvin Horton, Town Manager
SUBJECT: Recommended 2002-2003 Capital Fund Program for Public Housing Renovations and Resident Services
DATE: May 13, 2002
The purpose of this memorandum is to present a proposed plan for use of funds we expect to receive from the U.S. Department of Housing and Urban Development (HUD) under the 2002-2003 Capital Fund Program.
The attached resolution would approve a 2002-2003 Annual Statement for the Capital Fund Program.
· We have not yet received notification from HUD of the amount of the 2002-2003 Capital Fund grant. Therefore, we have developed a proposed plan based on the 2001-2002 grant amount of $611,500.
· The proposed plan includes renovations in 13 of the 26 apartments at the Airport Gardens neighborhood.
· The plan for the 2002-2003 Capital Fund Program will be submitted to the U.S. Department of Housing and Urban Development after approval by the Council.
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 proposed plan for the 2002-2003 Capital Fund Program includes renovations at the Airport Gardens neighborhood because these apartments have not undergone comprehensive renovation work since being built in 1972.
Citizen Participation Process
On January 29, 2002, the Council held a public forum to receive citizens’ comments on the use
of the 2002-2003 Capital Fund grant. No comments were received.
Housing staff held a meeting with residents of public housing on February 21, 2002 to receive comments and suggestions on the use of the Capital Fund grant. Eleven residents attended the meeting. Comments and suggestions received at the meeting include:
· Need to upgrade landscaping and reseed lawns throughout the public housing neighborhoods.
· Need to replace bathroom sinks, toilets, and bathtubs.
· Improvements to playground equipment are needed in the public housing neighborhoods.
· Need to install outdoor benches.
· Need to replace screens, windows and doors.
· Need to replace kitchen sinks and cabinets.
· Need to provide organized sports programs for children.
· Need to replace bathroom wall tile or tub/shower surrounds.
On March 26, 2002, the Council held a second public forum to receive citizens’ comments on the use of the Capital Fund grant. No comments were received.
DISCUSSION
We have not received notification from HUD of the amount of the 2002-2003 grant. Therefore, we have developed a proposed plan for 2002-2003 in the amount of $611,500, the amount of the 2001-2002 grant. Also, the plan includes $115,000 that we expect to be allocated for public housing renovations under the 2002-2003 Community Development Block Grant Program. The total amount of the funds expected to be available for public housing renovations and resident services in 2002-2003 is about $726,500.
PROPOSED USE OF 2002-2003 CAPITAL FUND
Proposed Sources of Funds
Capital Fund Program $611,500
Community Development Program $115,000
TOTAL $726,500
Proposed Use of Funds
Airport Gardens Renovations $528,000
Management Improvements $ 61,500
Other Costs $137,000
TOTAL $726,500
The proposed plan for the 2002-2003 Capital Fund Program include the following activities:
1. Renovations at Airport Gardens $528,000
Renovate approximately 13 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, air conditioning, replacement of ranges 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.
The remaining 13 Airport Gardens apartments would be renovated as additional funding becomes available.
2. Other Cost $137,000
This activity includes the following:
Architectural/Engineering services to design and write specifications $67,000
for the renovation work.
A Clerk of Works to provide day-to-day monitoring of the renovation $20,000
work, the preparation of work records, and interviewing of workers as
required by HUD.
The cost of relocating residents affected by the renovations. $28,000
The cost of general administration of the Capital Fund Program. $ 22,000
3. Management Improvements $ 61,500
In accordance with HUD guidelines $61,500 of the total grant amount may be used for Management Improvements. The Management Improvements category includes activities that would enhance the operation of the public housing program, or provide programs for residents of public housing. In the past, activities funded under this category have included support of Resident’s Council activities and family self-sufficiency activities.
Past activities of the Residents’ Council include the following:
· Youth development and leadership activities for public housing youth.
· Publishing and distribution of a newsletter to public housing residents.
· Monthly meeting of the Residents’ Council.
The Residents’ Council has requested $55,000 from the 2002-2003 Capital Fund Program (please see Attachment 3).
Because of budget shortfalls and the termination of the Drug Elimination Grant Program, we are including a new activity, drug use prevention, under the Management Improvements category. This year, we are proposing to use funds for the following activities: Drug Use Prevention - $33,000, Residents’ Council Activities - $28,500.
Termination of funding for the Drug Elimination Grant Program
We have received notification from HUD that Fiscal Year 2001-2002 is the last year that the Drug Elimination Program will be funded; therefore, an alternative source of funding is needed for drug use prevention activities. Since 1994, we have received funding under the Drug Elimination Grant Program to provide drug use prevention activities for residents of public housing.
The 2001-2002 Drug Elimination Grant amount is about $82,000 and is being used primarily for the Residents’ Services Coordinator and Police Investigator positions that are located in the Police Department.
The Resident Services Coordinator is the Police Department’s principle outreach coordinator to the residents of our public housing communities. The position is responsible for developing and coordinating drug use prevention and educational and social programs for public housing residents. The Resident Services Coordinator has played a key role in expanding services to residents of public housing. Examples of programs and services provided by the Residents Services Coordinator are:
· Developed a Youth Incentives Program that provides incentives and recognition for public housing youth who make the honor roll.
· Managed the Department of Housing Scholarship Program that distributed $9,500 in college scholarships to public housing residents.
· Established two Girl Scout troops.
· Helped develop computer skills programs in three public housing neighborhoods.
The Police Investigator investigates all criminal or illegal activities that occur on public housing property. During the past 12 months, the Investigator has handled about 50 cases involving criminal or illegal activities on public housing property. The Investigator also maintains regular contact with Housing staff regarding lease violations by residents of public housing or their guests. Other examples of services provided by the Police Investigator include:
· Conducts follow-up interviews with suspects and witnesses.
· Ensures that victims receive necessary services from the department, especially the Crisis Unit.
· Follows all such cases through the court system together with the Court Liaison Officer, ensuring that perpetrators are adjudicated appropriately and victims compensated when applicable.
The $33,000 proposed for drug use prevention will not support the continuation of both positions which would have a total cost of about $92,000. There would be a balance of about $59,000 that would need to be funded from another source. We would propose to fund the remaining $59,000 by keeping two police positions vacant throughout FY 2002-2003 and applying up to $59,000 in savings to the current grant positions.
Funding Recommendation
Because of budget shortfalls and the termination of the Drug Elimination Grant Program, we propose the following funding recommendation for Management Improvement activities for 2002-2003.
Drug Use Prevention $ 33,000
We propose to appropriate $33,000 for drug use prevention activities. The proposed funds would be used to support the base salaries of the Resident Services Coordinator and the Housing Investigator positions in the Police Department, which are responsible for providing and coordinating drug use prevention programs and other activities for public housing residents.
Residents’ Council Activities $ 28,500
We propose to reserve $28,500 to support the activities of the Residents’ Council. This is a reduction from the $50,000 appropriated to the Residents’ Council under a current performance agreement. The reduction is due to the termination of the Drug Elimination Program and the need to provide funds for the continuation of drug use prevention activities.
The proposed funds would be used to support activities provided for residents of public housing. We would work with the Residents’ Council to determine specific activities which would be incorporated into a performance agreement. The performance agreement would be developed based on a proposal from the Residents’ Council.
Although the proposed allocation for Residents’ Council activities is less than the current amount, we believe the proposed amount is reasonable because it would provide sufficient funding for the continuation of the Residents’ Council key staff position.
CONCLUSION
We believe that the budget shortfall and the termination of the Drug Elimination Grant Program warrant the proposed funding change in the Management Improvement category. We propose to use funds for: Drug Use Prevention - $33,000, and Residents’ Council Activities - $28,500. We recommend that the Council approve the 2002-2003 Capital Fund Program.
RECOMMENDATIONS
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Housing and Community Development Advisory Board’s Recommendation: The Housing and Community Development Advisory Board reviewed the proposed use of the 2002-2003 Capital Fund grant on April 23, 2002. The members of the Board voted 5 to 2 to recommend that the Capital Fund Program be approved as proposed with the exception that the allocation for support of the Residents’ Council activities be retained at the current level (please see Attachment 4.)
Manager’s Recommendation: That the Council adopts the attached Resolution Approving an Annual Statement for The 2002-2003 Capital Fund Program.
ATTACHMENTS
2. Summary of Five-Year Plan For Public Housing Renovations And Resident Services (This attachment provides a summary of the proposed expenditures that is expected to be available for the public housing renovations and residents services over the next five years.) (p. 10).
3. Proposal from the Chapel Hill Carrboro Residents’ Council (p. 11).
4. Recommendation from Housing and Community Development Advisory Board (p. 16).
A RESOLUTION APPROVING AN ANNUAL STATEMENT FOR THE 2002-2003 CAPITAL FUND PROGRAM (2002-05-13/R-15)
BE IT RESOLVED by the Council of the Town of Chapel Hill, that the Council hereby approves the Capital Fund Program Annual Statement, as described in the Manager’s memorandum to the Council dated May 13, 2002, and that the Manager is authorized to submit the Capital Fund Program Annual Statement to the U.S. Department of Housing and Urban Development (HUD), including compliance with HUD policies, procedures and regulations required therein, for a program of $611,585 in Capital Fund Program funds.
BE IT FURTHER RESOLVED that the Manager is hereby designated as the authorized representative of the Town to act in connection with submittal of an Annual Statement and to provide such additional information as may be required.
This the 13th day of May 2002.
ATTACHMENT 4
TO: Mayor and Town Council
FROM: Housing and Community Development Advisory Board
SUBJECT: Recommendation on the Proposed 2002-2003 Capital Fund Program
DATE: April 23, 2002
The Housing and Community Development Advisory Board reviewed the proposed 2002-2003 Capital Fund Program on April 23, 2002. Board members in attendance included Henry Clark, Tracy Dudley, Richard Loeber, Marywinne Sherwood, Elizabeth Welsby, Dorcas Roberson, and Carol Siebert. No members of the Board were absent.
The members of the Board voted 5 to 2 to recommend that the Council approve the proposed 2002-2003 Capital Fund Program for Public Housing Renovations and Resident Services with the exception that the allocation for support of the Residents’ Council be retained at the current level. The members of the Board voted as follows:
For Against
Henry Clark Tracy Dudley
Richard Loeber Carol Siebert
Marywinne Sherwood
Elizabeth Welsby
Dorcas Roberson