AGENDA #4c
MEMORANDUM
TO: Mayor and Town Council
FROM: W. Calvin Horton, Town Manager
SUBJECT: Establishment of a Project Ordinance for the 2002-2003 Capital Fund Program for Public Housing Renovations and Resident Services
DATE: August 26, 2002
The attached budget ordinance would establish a project budget for the 2002-2003 Capital Fund Program in the amount of $584,065. The 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 May 13, 2002, the Council approved a plan for public housing renovations and resident services. The Council also authorized the submittal of an application for the 2002-2003 Capital Fund Program to the U. S. Department of Housing and Urban Development.
The 2002-2003 grant year is the fourth year of the Five-Year Comprehensive Plan that was adopted by the Council on April 27, 1998. In the fourth year of the Plan, priority is given to the Airport Gardens neighborhood because these apartments have not undergone comprehensive renovation work since being built in 1972.
Proposed renovations and activities for 2002-2003 Grant Funds as approved by the Council on May 13, 2002 include the following:
1. 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 fixtires, 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.
Allocation: $472,725
In addition to the $472,725 included in the proposed budget ordinance for this project, there is $115,000 in the Community Development budget ordinance for proposed Airport Gardens renovations. Therefore the total amount of funds available for Airport Gardens renovations is $587,725
2. Continue to support activities of the Residents’ Council. 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.
Allocation: $28,500
3. Contribution to support 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 and other activities for public housing residents.
Allocation: $33,000
4. Allocation for the cost of relocating Airport Gardens families to other public housing units due to the renovation work.
Allocation: $27,940
5. The cost of the general administration of the Capital Fund Program and maintenance training. This activity would also include 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: $27,940
The total amount appropriated from the U.S. Department of Housing and Urban Development for the 2002-2003 Capital Fund Program is $584,065.
Manager’s Recommendation: That the Council adopt the attached Project Ordinance for the Capital Fund Program consistent with the Program previously approved by the Council.
1. August 8, 2002 Letter from HUD (p. 5).
2. 2002 Capital Fund Annual Statement (p. 7).
3. Amendment to the Consolidated Annual Contributions Contract (p.8).
AN ORDINANCE TO ESTABLISH A HOUSING CAPITAL FUND PROGRAM (CFP)
PROJECT ORDINANCE ( 2002-08-26/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 May 13, 2002. Funds are as contained in an Amendment to Consolidated Annual Contributions Contract between the Town and the U. S. Department of Housing and Urban Development (HUD) dated August 8, 2002.
The 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.
The following revenue is available to complete the project:
Capital Fund Program $584,065
The amounts are appropriated for the project are as follows:
Management Improvements $ 61,500
Administration $ 21,900
Site Improvements $ 58,037
Dwelling Structures $ 404,188
Dwelling Equipment $ 10,500
Relocation $ 27,940
Total $ 584,065
The Finance Director 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 Manager is directed to report annually on the financial status of each project in Section IV and on the total revenues received.
This the 26th day of August, 2002.