2011 Annual Action Plan

8/6/2019 2011 Annual Action Plan

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____________________________________________________________________________City of Newark, New Jersey 2011-2012 HUD Annual Action Plan 1

Department of Administration

Office of Business Administrator

September 1, 2011 to August 31, 2012

City of Newark, New Jersey

2011-2012Annual Action Plan

Cory A. Booker, Mayor


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2011-2012 Annual Action Plan


TABLE OF CONTENTS

2011-2012 ANNUAL ACTION PLAN ......................................................................................... 1

A. EXECUTIVE SUMMARY ...................................................................................................... 2Evaluation of Past Performance ..................................................................................... 2Summary of Priority Needs ............................................................................................. 4

Statement of Specific Annual Objectives HUD Table 3A.............................................. 6Sources of Funds ........................................................................................................... 7Allocation of Funds Summary ......................................................................................... 8Geographic Distribution .................................................................................................10

B. MANAGING THE PROCESS ...............................................................................................10Lead Agency .................................................................................................................10Institutional Structure.....................................................................................................10Summary of Citizen Participation Process .....................................................................12Monitoring .....................................................................................................................12

C. HOUSING ........................................................................................................................15HOME Specific Requirements .......................................................................................16Needs of Public Housing ...............................................................................................17

Barriers to Affordable Housing.......................................................................................18Lead-Based Paint Strategy............................................................................................18

D. HOMELESS .....................................................................................................................19Homeless Coordination Strategy ...................................................................................19Chronic Homeless Strategy ...........................................................................................19ESG Program ................................................................................................................20

E. COMMUNITY DEVELOPMENT ............................................................................................20Antipoverty Strategy ......................................................................................................21Section 108 Loan Guarantee Program ..........................................................................21

F. NON-HOMELESS SPECIAL NEEDS ....................................................................................22HOPWA Program ..........................................................................................................22

G. APPENDICES...................................................................................................................24

Appendix A Public Hearing and Public Comment Notices...........................................24Appendix B Listing of Action Plan Projects HUD Table 3C ......................................25

HUD Table 3A: Summary of Specific Annual ObjectivesTable 1: Allocation of HOME FundsTable 2: Allocation of CDBG FundsTable 3: Allocation of ESG FundsTable 4: Allocation of HOPWA Funds


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A. EXECUTIVE SUMMARY

The City of Newark is submitting this 2011-2012 Action Plan as the second annual action planof the 2010-2015 Consolidated Plan period in accordance with Consolidated Plan regulationsfound at 92.220. An annual Action Plan is required by the U.S. Department of Housing andUrban Development (HUD) from all jurisdictions receiving annual entitlements of formula grants.

This executive summary provides an overview of the goals and objectives during 2011-2012Action Plan year, including available and potential resources, funding priorities and projects, andvarious HUD-funded program information. The City of Newark anticipates receiving the followingHUD entitlement grants during the 2011-2012 program year:

Community Development Block Grant (CDBG); HOME Investment Partnerships Program (HOME); Housing Opportunities for Persons with AIDS (HOPWA); and Emergency Shelter Grant (ESG).

This Annual Action Plan outlines activities that will be undertaken during the program yearbeginning September 1, 2011 and ending August 31, 2012. All activities identified in this Action

Plan are based on current priorities and quantified by level of need. By addressing thesepriorities, the City hopes to meet local objectives identified in the 2010-2015 Consolidated Plan.All proposed activities and projects are intended to principally benefit citizens of Newark whohave extremely low-, low-, and moderate-incomes and populations that have special needs,such as the homeless, elderly, disabled persons, persons with HIV/AIDS, and other specialneeds populations.

Evaluation of Past Performance (2009-2010)

The City of Newark adopted its previous Consolidated Plan in 2005, at which time the followingpriorities were identified:

1. Provision of Neighborhood Services;2. Provision of Public Services Across a Continuum of Care; and3. Provision of Economic and Housing Development Services.

For program year 2009-2010, the City of Newark received four (4) entitlement grants from HUDtotaling $18,152,483. The City and its community partners used these funds and additionalresources to address these three priorities. The following provides a summary of the Citysprogress towards addressing these three priorities, as identified in the Citys 2009-2010Consolidated Annual Performance Evaluation Report (CAPER).

Provision of Neighborhood Services

During the 2009-2010 program year the City continued to focus neighborhood services ondemolition/clearance and code enforcement activities. The Citys demolition program focused ondamaged and abandoned housing structures in low- to moderate-income block groups that posean imminent risk to health and safety. During the 2009-2010 program year the City demolished15 properties totaling 33 units. The Citys code enforcement activities worked in conjunction withdemolition activities to target properties to enforce local and state building codes to improve cityneighborhoods. Seven (7) non-profit organizations were funded to conduct an array of servicesto youth, seniors, and the general population of Newarks Neighborhood Revitalization Strategy


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Area (NRSA). Additionally, seven (7) Community Based Development Organizations (CBDOs)were funded to provide neighborhood services targeted in specific communities of need. In total,over $1,894,613.03 in funding was disbursed during the 2009-2010 program year to achieveneighborhood service objectives.

Provision of Public Services across a Continuum of Care

One of Newarks Consolidated Plan priorities was to establish a continuum of public services forits residents. In the 2009-2010 program year, the City prioritized eleven (11) key services toaddress the priority needs of its residents, including: health services, workforce development,educational services, ex-offender re-entry, emergency shelter services, child services, capacitybuilding services, housing for persons with AIDS (HOPWA), and housing counseling services.Approximately 61 percent of the funds disbursed to address this priority were from the CitysHOPWA program, providing services to persons with AIDS. In total, nineteen (19) organizationsand local government agencies were funded to provide services to persons with HIV/AIDS. Intotal, over $3,921,998.61 in HUD funding was disbursed to sustain a continuum of publicservices for Newark residents.

Provision of Economic and Housing Development Services

In the 2009-2010 program year, the City used a variety of activities to address housing andeconomic development priorities, including: acquisition, relocation, residential rehabilitation,rental housing development, and rental assistance. During the program year the City disbursed$968,230.45 to facilitate acquisition, $3,082,835.64 for private property rehabilitation, and$8,305,252.06 in affordable rental housing developments to support economic and housingdevelopment objectives. In total, over 175 affordable housing units were assisted with HOMEfunds during the 2009-2010 program year. The City also provided downpayment assistance to84 eligible first time homebuyers with remaining 2008-2009 ADDI funds, and rehabilitated 57eligible owner-occupied units during the 2009-2010 program year. The chart on page 6illustrates the Citys disbursement of funds to support this objective during the 2009-2010

program year.

During the 2009-2010 program year, the City completed Rights of Passage and MLK Homesaffordable housing development projects, providing 17 affordable housing units to the CentralWard. As reported in the Citys 2008-2009 CAPER, several affordable housing developmentprojects are underway. The total development cost of these twenty-four (24) projects is$136,558,030, producing a total of 691 units with 218 units designated for affordable housing.These projects will help increase the availability of decent affordable housing for low- tomoderate-income Newark residents.

Summary of Priority Needs

This 2011-2012 Annual Action Plan outlines the current planned uses of CDBG, HOME, ESG,and HOPWA funds for activities that are consistent with the current priority needs identified inthe City of Newarks 2010-2015 Consolidated Plan and support identified objectives. Theseactivities will support three new overarching 2010-2015 Consolidated Plan goals, including:

1. Jobs for residents;2. Healthy and safe neighborhoods; and3. Newark as a City of choice.


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The priorities below have been identified for the 2011-2012 Action Plan year based on thehousing and homeless needs assessments, housing market analysis, and consultation withstakeholders and partner agencies. Below is a summary of the priority needs identified throughthese assessments.

Housing

Increasing affordable rental housing opportunities for low-income households.Providing new affordable homeownership opportunities for low- to moderate-income

households.Improving conditions of existing housing.Increasing availability of sustainable housing options.Providing counseling for first-time homebuyers and current homeowners.

HomelessnessReducing the number of individuals and families that become homeless.Increasing availability of permanent supportive housing options for homeless individuals

and families.Supporting operations of existing emergency/transitional homeless facilities.Providing essential services to homeless populations.

Special Needs PopulationsIncreasing accessibility/availability of affordable housing specifically for persons with

HIV/AIDS.Providing new affordable permanent supportive housing for low- to moderate-income

veteran households.Increasing availability of permanent housing for special needs populations.Providing support services to special needs populations.

Community/Economic DevelopmentIncreasing economic opportunities for low-income residents in Newark.Providing technical assistance to small businesses.Establishing social venture programs.Providing public services.

During the 2011-2012 Action Plan year, the City will focus on the following objectives andstrategies identified in the 2010-2015 Consolidated Plan, working toward the three overarchinggoals identified above:

Objective 1: Increase economic growth and job opportunities through large scaledevelopment projects, social ventures, and job training programs. [Strategies 1.1-1.3]

Objective 2:Increase access to quality affordable housing choices. [Strategies 2.1-2.4]

Objective 3: Improve the condition of existing neighborhoods through redevelopmentand rehabilitation of residential and commercial properties and public facilities.[Strategies 3.1-3.3]

Objective 4: Provide funding for public services to support workforce development,educational services, child care services, ex-offender social services, and homeownerforeclosure prevention programs for low-income individuals and families in targetedneighborhoods. [Strategies 4.1-4.5]


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Objective 5:Support homeless and at-risk special needs populations with coordinatedsupport services and housing assistance that focus on prevention and housing firstactivities. [Strategies 5.1-5.7]

Objective 6: Promote and fund targeted developments to help facilitate a livingdowntown urban center around key development nodes. [Strategy 6.1]

Objective 7:Make Newarks neighborhoods green. [Strategy 7.1]

Statement of Specific Annual Objectives HUD Table 3A

The following table (HUD Table 3A) summarizes the Citys 2011-2012 annual goals and fundedactivities using HUD resources.

HUD Table 3A: Summary of Specific Annual Objectives

Obj. # Specific ObjectivesSource

of FundsIndicator

2011-12Projected

Objective/Outcome

Rental Housing Objectives

03 Affordable Rental Housing New Construction HOME Units 80 DH-1

12 Rental Housing Development/Rehab CDBG Units 25 DH-2

04 CHDO Rental Housing Development HOME Units 20 DH-1Owner Housing Objectives

05 Neighborhood Rehabilitation Program HOME Units 5 DH-3

07 Emergency Repair Program CDBG Units 25 DH-3

02 Downpayment Assistance HOME Households 20 DH-2

Economic Development Objectives

08 Commercial/Industrial Development CDBG Jobs 125 EO-1

Public Facilities/Improvements Objectives

11 Public Facility Development and Rehabilitation

18 Homeless Facility Renovations ESG Facilities 4 SL-3

10 Urban Agriculture/Tree Planting CDBG People 5,000 EO-1

Public Services Objectives

09 CDBG Public Services (Various) CDBG People 30,000 SL-1Special Needs and Homeless Objectives

20 Long-term Tenant Rental Assistance HOPWA People 460 DH-1

22 HIV/AIDS Facility Operations HOPWA People 1,000 DH-2

23Short-term Rent, Mortgage and UtilityAssistance

HOPWA People 250 DH-3

24 Housing Information Services HOPWA People 1,400 DH-1

15 Essential Services ESG People 60 DH-1

16 Homeless Prevention Services ESG People 50 DH-3

17 Facility Operational Assistance ESG People 100 DH-1

Administration/Planning/Project Delivery

01 General HOME Administration HOME - - N/A

06 CDBG Administration CDBG - - N/A13 CDBG Project Delivery CDBG - - N/A

19 HOPWA Administration (City) HOPWA - - N/A

21 HOPWA Administration (Sub-recipient) HOPWA - - N/A

14 ESG Administration ESG - - N/A


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Sources of Funds

HUD Entitlement Funds

For program year 2011-2012, the City of Newark will receive four (4) entitlement grants fromHUD totaling $18,577,577. The City will allocate these resources to the areas with the highest

needs, including areas of minority concentration which includes the South, Central, lower North,East, and West Wards. A brief description of the grants and the Citys allocation for the 2011-2012 program year is as follows:

Community Development Block Grant (CDBG) - $7,835,598 The primary objectiveof the CDBG program is to develop viable urban communities, by providing decenthousing and suitable living environment and expanding economic opportunitiesprincipally for persons of low and moderate income. All CDBG projects and activitiesmust meet one of three national objectives: (1) principally benefit low- and moderate-income persons, (2) aid in the prevention or elimination of slums or blight, or (3) meetother urgent community needs. Each approved activity must benefit at least 51 percentlow- and moderate-income families or individuals. At least 70 percent of the City s total

funds must be used for low- and moderate-income benefit activities. See also discussionof Section 108 Loan Guarantee pool in Section E.

HOME Investment Partnerships Program (HOME) - $3,716,178 The purpose of theHOME program is to undertake activities that achieve the following: (1) provide decentaffordable housing to lower income households, (2) expand the capacity of nonprofithousing providers, (3) strengthen the ability of local governments to provide housing,and (4) leverage private-sector participation. HOME funds can be used for homeownerrehabilitation, homebuyer activities, rental housing, and tenant-based rental assistance(TBRA).

Housing Opportunities for Persons with AIDS (HOPWA) - $6,646,588 HOPWA

funding provides housing assistance and related supportive services. Grantees areencouraged to develop community-wide strategies and form partnerships with areanonprofit organizations. HOPWA funds may be used for a wide range of housing, socialservices, program planning, and development costs. These include, but are not limitedto, the acquisition, rehabilitation, or new construction of housing units; costs for facilityoperations; rental assistance; and short-term payments to prevent homelessness.HOPWA funds may also be used for health care and mental health services, chemicaldependency treatment, nutritional services, case management, assistance with dailyliving, and other supportive services.

Emergency Shelter Grant (ESG) - $379,213 The purpose of the ESG program is toprovide funds for the rehabilitation or conversion of buildings for use as emergency

shelters for the homeless, for the payment of certain operating expenses and essentialservices in connection with emergency shelters for the homeless, and for homelessprevention activities.


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HUD Stimulus Funds

As a result of the Housing and Economic Recovery Act (HERA) and American RecoveryReinvestment Act (ARRA) the City of Newark received direct stimulus funds in 2009 totaling$9,250,334, as follows:

Neighborhood Stabilization Program (NSP1) - $3,406,849 The NeighborhoodStabilization Program (NSP) was a formula grant awarded for activities eligible underdivision B, title III of the Housing and Economic Recovery Act of 2008 (Public Law 110-289, NSP round 1), to address home foreclosure and abandonment and for the provisionof capacity building and support for NSP grantees. Rating factors will include granteecapacity to execute projects, leveraging potential, and concentration of investment toachieve neighborhood stabilization.

Neighborhood Stabilization Program (NSP2) - $20,759,155 The City of Newark in aconsortium agreement with Essex County, the City of East Orange, the City of Irvington,the City of Montclair, the Township of Orange, Brand New Day, Don Pedro DevelopmentCorporation, Episcopal Community Development Corporation, Housing and

Neighborhood Development Services, HOME Corp, Ironbound Community Corporation,Make It Right Foundation, Unified Vailsburg Service Organization, and The CommunityLoan Fund of New Jersey and in a for-profit partnership with Fairmount HeightsDevelopment Corporation, Michaels Development Corporation, and RPM DevelopmentCorporation has been awarded $20,759,155 in NSP2 funds. Approximately $11 millionof the allocation will be used for Newark area activities. Grantees must expend at least50 percent of each grant within 2 years and 100 percent within 3 years of the grantaward.

Neighborhood Stabilization Program (NSP3) - $2,018,637 NSP3 funds wereauthorized under the DoddFrank Wall Street Reform and Consumer Protection Act(Dodd-Frank Act) of 2010, which provides a third round of neighborhood stabilization

grants to all states and select governments on a formula basis. The City of Newarkanticipates using these funds in targeted neighborhoods and block groups hardest hit bythe foreclosure crisis.

CDBG-R - $2,310,137 The Community Development Block Grant (CDBG) Recoveryprogram enables local governments to undertake a wide range of activities intended tocreate suitable living environments, provide decent affordable housing, and createeconomic opportunities, primarily for persons of low and moderate income. The City isusing CDBG-R to perform renovations of lead free safe houses and the Newark PublicLibrary and to provide Community Based Organizations with funding to supportemployment training services.

Homeless Prevention and Rapid Re-housing Program (HPRP) - $3,533,348 TheHomelessness Prevention and Rapid Re-Housing Program provides financial assistanceand services to prevent individuals and families from becoming homeless and help thosewho are experiencing homelessness to be quickly re-housed and stabilized. The fundsunder this program are intended to target individuals and families who would behomeless if not for this assistance. The funds will provide for a variety of assistance,including: short-term or medium-term rental assistance and housing relocation and


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stabilization services, including such activities as mediation, credit counseling, securityor utility deposits, utility payments, moving cost assistance, and case management.

The activities and priorities of stimulus funding and projected accomplishments andexpenditures are identified under separate specific action plans or substantial amendments. Toreview these documents please refer to the Citys website for additional information. They can

be found on the website at http://www.ci.newark.nj.us/government/City_departments/.

Allocation of Funds Summary

The funding of activities to achieve desired accomplishments and goals outlined in thisdocument are based on 2011 federal funding allocations as follows:

HOME Funds

Table 1: Allocation of HOME FundsProgram/Activity % Total Funds Allocated

Administration 10% $371,618

Homebuyer Assistance 6% $222,970Homeowner Rehabilitation (NRP) 0% $10,000Rental Housing Development/Rehabilitation 69% $2,554,163CHDO Housing Development (Set-aside) 15% $557,427

Total 100% $3,716,178

CDBG Funds

Table 2: Allocation of CDBG FundsProgram/Activity % Total Funds Allocated

Administration 20% $1,567,120Homeowner Emergency Rehabilitation 5% $391,780

Commercial/Industrial Development 11% $861,916Public Services (various) 15% $1,175,340Urban Agriculture/Tree Planting 4% $313,424Public Facility Development/Rehabilitation 12% $940,271Rental Housing Development/Rehabilitation 20% $1,567,119Project Delivery 13% $1,018,628

Total 100% $7,835,598

ESG Funds

Table 3: Allocation of ESG FundsProgram/Activity % Total Funds Allocated

Administration 5% $18,961

Essential Services 30% $113,764Homeless Prevention 30% $113,764ESG Facility Operational Assistance (Staff) 10% $37,921ESG Facility Operational Assistance (no cap) 24% $91,011Homeless Facility Renovations/Rehabilitation (no cap) 1% $3,792

Total 100% $379,213


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HOPWA Funds

Table 4: Allocation of HOPWA FundsProgram/Activity % Total Funds Allocated

Administration (City) 3% $199,398Administration (Sub-recipients) 6% $398,795

Long-term Tenant Based Rental Assistance 76% $4,984,941HIV/AIDS Facility Operational Assistance 8% $531,727Short-term Rent, Mortgage and Utility Assistance 6% $398,795Housing Information Services 2% $132,932

Total 100% $6,646,588

The above activities are funded specifically to implement the strategies and address prioritiesidentified in the five-year strategic plan.

Geographic Distribution

The City of Newark will continue to direct its resources into the areas with the highest needs.

The City will allocate HUD resources to the areas with the highest needs, including areas ofminority concentration which include the South, Central, lower North, East, and West Wards.We believe the rational for this geographical distribution is straightforward. While these areashave received large shares of assistance through HUD programs over the years, the resourceshave never been sufficient to meet the demonstrated need. The City will also use theopportunities and strategies identified in various redevelopment plans to coordinate allocation ofresources across targeted neighborhoods and development nodes.

B. MANAGING THE PROCESS

Lead Agency

In 2008, the Department of Administration renamed the Bureau of Research, the Office ofPartnerships and Grants Management (PGM). By establishing PGM, the Administration soughtto expand on the functions of the former Bureau of Research with the goal of ultimatelycentralizing grants management City-wide. PGM is the lead City agency responsible forconsolidated planning and reporting on the four formula programs to HUD. PGM is directlyresponsible for administration of CDBG, ESG, and HOPWA funds. The Department ofEconomic and Housing Development (EHD) is responsible for the administration of HOMEfunds and development projects throughout the City.

Institutional Structure

The City of Newark cannot implement its Consolidated Plan without a strong institutionalstructure and the closest possible intra- and intergovernmental cooperation. The Citys institu-tional structure is composed of segments of the public sector local, county, and state asmany as one-hundred nonprofit organizations, and a like number of for-profit companies,developers, and financial corporations. Major partner organizations are specified on thefollowing pages by name.


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City Public Agencies

Department of Administration, Office of the Business Administrator: Overallpolicy-making, management and decision-making for all local community developmentand planning initiatives; coordination of all HUD programs and requirements that involvemore than one City agency, including Con Plan coordination; and IDIS administration.

Department of Administration, Office of Management and Budget: Fiscal planningfor all community development activities; and coordination of HUD programs with otherfederal and state aid and City operating budget.

Department of Administration, Office of Partnerships and Grants Management: Lead City agency responsible for consolidated planning and reporting on the fourformula programs to HUD; and development and coordination of CDBG, ESG, andHOPWA.

Department of Finance: Financing of all community development activities, includingbonding programs; grant accounting, grant accounts payable; and internal auditing of

grants.

Department of Economic and Housing Development (EHD), Office of the Director:Planning and management of all City housing and economic development initiatives inaccordance with policies of the City administration; and all regulatory aspects of landuse and real property, through the Boards of Adjustment and Zoning, Central Planning,and Rent Control.

Department of Economic and Housing Development, Division of Housing andReal Estate: Design, planning and implementation of all assisted housing programs,under the supervision of the Director's Office; development of "mainstream" housingelements of the Con Plan; and planning and implementation, under the Director's Of-fice, of all housing and economic redevelopment activities, i.e., real property acquisition,relocation of families and businesses, and management and disposal of City-ownedproperties.

Brick City Development Corporation: Citys primary economic development catalystthat retains, attracts, and grows businesses; enhances small and minority businesscapacity; spurs real estate development within Newark; and initiates and executeseconomic development activities to produce and sustain economic growth, generate

jobs, and create wealth for the citizens of Newark.

Department of Child and Family Well-Being: In conjunction with PGM, assists withthe design, planning, and implementation of all special needs housing programs,involving City and Essex County welfare recipients, people with AIDS, the elderly, andthe homeless; development of special needs housing elements of the Con Plan; anddevelopment and coordination of Newark and EMA HOPWA.

Department of Neighborhood and Recreational Services, Division of Inspectionsand Enforcement: Residential and commercial property code enforcement.

Department of Neighborhood and Recreational Services, Division of Demolitionand Clearance: Emergency demolitions and clearance of properties.


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Newark Housing Authority

NHA, the City's public housing authority, is responsible for the development and operations ofmore than 8,000 dwelling units for very- and extremely low-income Newark residents. NHAworks in close cooperation with the City to plan, design, develop and operate public housing.

Newark State Board of Education

The Board coordinates and cooperates with the Newark administration and NHA in theplanning, design, and development of facilities.

University of Medicine and Dentistry of New Jersey (UMDNJ)

UMDNJ coordinates and cooperates with the above and below-listed institutions in planning,design, and site identification for facilities.

County of Essex

Department of Economic Development, Training and Employment: Operates

housing grant programs, primarily Balanced Housing and Regional Contribution Agree-ments; PHA activities in Newark, including Section 8 vouchers; and coordinates its ownCon Plan with those of local entitlement cities.

Department of Health and Human Services: Coordinates and cooperates with regardto City housing services for special needs populations.

Essex-Newark Continuum of Care (CoC): Coordinates strategies and activities toidentify and serve homeless populations.

Nonprofit Organizations

Major organizations expected to implement rehabilitation and/or development projects meet

regularly with Department of Economic and Housing Development staff. Often, these meetingsoccur through the Newark Community Development Network, an organization whoseconstituents include the Citys leading CDCs.

EHD has fostered, encouraged, and established relationships with two major intermediaries inthe housing finance and development industry, the Local Initiative Support Corporation (LISC),NeighborWorks and the Enterprise Foundation. Through these three intermediaries privatecapital is channeled to support investment in affordable housing that is eligible for low incomehousing tax credits and other federal and state subsidy programs. The City of Newark, togetherwith the above referenced intermediaries and nonprofit organizations, works with the NewJersey Housing and Mortgage Finance Agency and the New Jersey Department of CommunityAffairs to secure construction financing.

Summary of Citizen Participation Process

As required by Consolidated Plan regulations, the City has implemented a Citizen ParticipationPlan (CPP) to engage citizens and stakeholders in the development of the Consolidated Planand Annual Action Plans. The CPP is discussed in detail in Section 3 of the 2010-2015Consolidated Plan. The CPP includes public notice, community engagement of stakeholders, aswell as technical assistance during the drafting and finalizing of the Consolidated Plan. Public


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Notice for the first public hearing for the 2011-2012 was published on April 29, 2011. The firstpublic hearing was held on May 13, 2011 where citizens were provided an opportunity toprovide input for development of the Citys 2011-2012 Annual Action Plan. No input wasreceived during the public hearing process.

Monitoring

Consistent with regulations of 24 CFR, the City of Newark as a grantee of HUD funds isresponsible for ensuring that CDBG, ESG, HOME, and HOPWA funds are used in accordancewith all program requirements, Additionally, the City is responsible for determining the adequacyof performance under sub-recipient agreements and procurement contracts and for takingappropriate action when performance is inadequate or problems arise. The City is working tooverhaul its monitoring procedures to improve compliance of HUD funded programs, and toenforce performance standards of sub-recipients and various partner agencies. Two NewarkCity agencies monitor and oversee more-or-less all sub-recipient contracts. PGM has internalcontrol procedures that require written notification to a sub-recipient that does not respond torequests to sign a contract or, having done so, does not submit reimbursement requests on aregular basis. The department attempts to be flexible and responsive to extenuating

circumstances, however, and does not rigidly impose a schedule of sanctions.

EHDs Division of Housing Assistance, monitors and oversees all HOME and NSP activities, aswell as many sub-recipient activities, especially the renovation of public facilities that are multi-year in nature. The Division has a written set of procedures for monitoring and approvingconstruction, change orders, and progress payments and close-outs.

All Departments under which a sub-recipient provides Consolidated Plan activities must:

Execute separate written agreements with all sub-recipients that delineate all provisionsof the federal regulations for the corresponding program and stipulate conditions forreceiving funds, including performance and compliance requirements;

Monitor sub-recipients through documentation review and routine site visits to ensuresub-recipient activities comply with program requirements;

Provide technical assistance to sub-recipients or take effective corrective action, asneeded, with sub-recipients that are non-compliant; and

Complete performance evaluation and close out all projects within 90 days of activitycompletion.

City departments maintain routine contact with sub-recipients and require monthly reporting onprogrammatic and fiscal activities. A Monthly Project Status Report must be submitted by each

funded non-profit no later than the 10th day of the following month in which the activity occurs.Each Department maintains internal control procedures that require written notification to a sub-recipient that fails to execute a contract once an award has been made by the Municipal Councilor which, after the contract is executed, fails to submit reimbursement requests on a regularbasis.


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Programmatic Review

Department monitors perform a programmatic review of each monthly report to ensure the sub-recipient is adhering to the Scope of Services and regulatory requirements of the grant bydetermining the following:

Is the project proceeding towards the goals listed in the scope of services?

Is the project using methods and procedures described in the contract? Has theprovision of required staffing as projected in the contract budget been accomplished?

Is the project keeping adequate records of activities for its low/moderate incomebeneficiaries?

Has the sub-recipient anticipated problems in the upcoming month that might preventthe project from reaching its objectives or meeting its time schedule?

Has the sub-recipient listed activities which occurred during the month that were not apart of its planned work program?

Major events that took place in the past month, which affected the project.

Interrelated activities that the project has had with other entities.

Requests for services related project activities that were not met.

List of current contractual obligations, including compliance and performance objectives.

Anticipated contracts and a description of the purpose of each contract.

Fiscal Review

Pursuant to HUD uniform administrative requirements, sub-recipients are required to keeprecords and submit reports and supporting documentation that identify the application of fundsfor grant-supported activities. These records must contain information pertaining to obligations,un-obligated balances, expenditures, and program income. All reimbursement requests mustrepresent allowable costs as itemized in OMB Circular A-122. Although sub-recipients receivean explanation for any disallowed costs, those items are deducted from the payment requests.Department fiscal monitors or accountants perform a review of each monthly report and allrequests for reimbursement of expenditures in accordance with the following:

Inclusion of the Monthly Budget Status Report an itemized line item accounting formused as a tool to indicate the manner and pattern of expenditures that properly details amonthly accounting of the projects total actual expenditures, accrued expenses, totalexpenses, available balances, and revisions to the original appropriations.

Inclusion of Monthly Personnel Expenditure Reports that includes proper sourcedocumentation for all requested reimbursements of funds. Source documentation mayinclude the following: cancelled checks, invoices marked paid, purchase orders, copies


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of bid advertisements, contracts for subcontractors, order to proceed letters, payrolljournal, etc.

Accuracy of computations and consistency with line items identified in the sub-recipientsapproved budget.

On-Site Monitoring Visits

Departments conduct monitoring site visits of all sub-recipients, whereby a team comprised ofthe programmatic and fiscal monitors physically visit the facility where the grant project oractivity occurs with the following purposes:

To inquire into all aspects of project operations and to analyze related information for thepurpose of determining compliance with the sub-recipients contract;

To identify problems that might affect the fulfillment of the sub-recipients objectives anddocument project status and progress;

To recommend corrective actions to improve project performance or to remedy existingproblems;

To recommend grant revisions or amendments as necessary to assist the project infulfilling its objectives; and

To provide necessary technical assistance and/or assist the staff in obtaining support toprovide the project with the opportunity to achieve its objectives.

C. HOUSING

Based on a census data, there are 64,281 low-income households occupying housing inNewark. Of these households, 53 percent or 33,846 households earn less than 30 percent ofMFI. Another 24 percent or 15,556 households earn between 30 and 50 percent of MFI and 23percent or 14,879 households earn between 50 and 80 percent of MFI.

Adding newly constructed affordable housing and rehabilitating obsolete rental housing will helpto address this priority need. The City of Newark comprises approximately 76 percent renter-occupied housing. As noted in Section 4 of the 2010-2015 Consolidated Plan, home valuesremain high in relation to household incomes. Therefore, homeownership opportunities are outof reach for many households.

There are approximately 32,314 renter households and 7,224 owner households in Newark

experiencing housing problems. Given the age of housing in Newark, many housing units are inneed of repair and upgrading. Improving the condition of housing in Newark, especially forextremely low-income senior owner-occupants, would return quality affordable housing to themarket. Continuing to incorporate energy efficiency and green design elements in newconstruction and substantial rehabilitation projects will be a priority for the ensuing consolidatedplanning period. Homeowner counseling and education assistance, and foreclosure preventionoutreach and counseling will also be a priority.


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HOME Funds

For the 2011-2012 Action Plan year, the City has allocated HOME resources to support thefollowing activities. For a detailed description of these activities, refer to Appendix B.

Allocation of HOME Funds

Program/Activity % Total Funds AllocatedAdministration 10% $371,618Homebuyer Assistance 6% $222,970Homeowner Rehabilitation (NRP) 0% $10,000Rental Housing Development/Rehabilitation 69% $2,554,163CHDO Housing Development (Set-aside) 15% $557,427

Total 100% $3,716,178

HOME Program Specific Requirements

Resale/Recapture Policies

The City may use either the Resale or Recapture provisions to ensure compliance with HOMEregulations, depending on the particular program or neighborhood goal that the City hasidentified. As described in more detail below, the City will allow low-income homebuyers thathave used HOME assistance for downpayment or closing costs to utilize the recaptureprovisions, while homebuyers that benefit from a large amount of HOME subsidy for theconstruction or rehabilitation of a HOME-assisted unit, will be required to adhere to the resaleprovisions in the HUD regulations.

HOME Resale ProvisionsWhen the City uses HOME funds to assist the cost ofconstruction or rehabilitation of housing to be sold to a low-income household andwhen the total of HOME assistance exceeds $100,000 for the unit to be purchased,the City will use Resale restrictions to ensure that HOME funds are used to preserve

affordability of the HOME-assisted unit. The affordability period will be based on thetotal amount of HOME funds used to assist the property and the buyer. Thehomebuyer must sell to another Low-Income homebuyer (as defined by HUD), with thenew home being affordable to the new buyer. The new homebuyer may not pay morethan 38 percent of gross income for Principal, Interest, Taxes and Insurance (PITI). Incertain circumstances, the City may permit the new homebuyer to assume the Cityloan and affordability restrictions, i.e., the City will not require the full repayment of theinitial HOME subsidy. The HOME subsidy would be transferred to the new buyer in theform of a deferred repayment downpayment assistance loan.

As required under the HUD regulations, the homebuyer for whom a resale restriction isenforced will be allowed a fair return when selling to another income eligible buyer.

The seller (i.e., the original buyer) will be allowed the lesser of a 4 percent annualappreciation on the original purchase price or the original purchase price of the homeas adjusted by the accumulated percentage of change in the COAH Regional resaleincrease during the period of ownership as per N.J.A.C. 5:94- 7.2(b)2.

During the period of affordability, the last recorded purchase price will generally be theminimum restricted price at the time of resale. Neither the minimum nor the maximumrestricted resale price is guaranteed to the owner. If the restricted price exceeds the


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actual market value, the owner may have to accept the lower price. HOME-assistedunits must be maintained in good condition in order to receive the maximum restrictedprice.

HOME Recapture ProvisionsFor homebuyers that are provided HOME funds fordownpayment and closing cost assistance, as well as those that benefit from

construction or rehabilitation assistance to HOME-assisted units of less than $100,000,the City will exercises the recapture option as outlined and in accordance with CFRSection 92.254(5)(ii)(A). The City will recapture the entire amount of the HOMEinvestment from the borrower provided there are net proceeds sufficient to repay theCity loan. Under the recapture provisions, HOME affordability restrictions will beremoved from the property and the property may be sold without sales restrictions (i.e.at market rate and/or to a non-low-income purchaser). Net proceeds are equal to thesales price, minus non-HOME loan repayments, and closing costs. Net proceeds maydeduct the value of approved capital improvements made to the property during theperiod of ownership. If net proceeds are insufficient to pay off the Citys principal andany interest that may have accrued, the balance of unpaid principal and interest shallbe forgiven. All HOME repayments from homebuyers will be used for HOME-eligible

purposes.

The City loan will also become immediately due and payable if the property ceases tobe used by the borrower as their primary residence, in accordance with 24 CFRSection 92.254.

Affordability Period Policy

All HOME-assisted projects must remain affordable to and occupied by low-income households.The table below provides the minimum period of affordability over which HOME-assisted unitsmust remain affordable.

HOME Investment per Unit Minimum Affordability PeriodUnder $15,000 5 years$15,000 - $40,000 10 YearsOver $40,000 15 YearsNew Construction orAcquisition of Newly Constructed Rental Housing

20 Years

Minority/Womens Business Outreach

All housing development projects funded with City HOME funds are bid in compliance withHOME program regulations and are monitored for compliance by the Citys Office of AffirmativeAction to assure compliance with the Citys MBE and WBE initiatives.

Affirmative Marketing

It is standard operating procedure that City of Newark project owners are required to takesubstantial steps to carry out affirmative marketing. The Citys EHD department mandates thatproperty owners selected for participation in the HOME program comply with affirmativemarketing requirements by means of an agreement, which is applicable for a period established


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by the department. Failure to abide by the agreement could result in the City accelerating theproperty owners loan.

Needs of Public Housing

The Newark Housing Authority (NHA) is the largest public housing authority in the State of New

Jersey, charged with administering Public Housing, Housing Choice Voucher (HCV) Section 8and HOPE VI programs in Newark. NHA currently owns and manages 45 active properties andapproximately 8,173 affordable housing units. Of these units, 7,817 are public housing units.NHA has also developed a Homeownership Program that includes 42 renovated townhouseunits made available to qualified public housing residents. Approximately 25 townhouse unitsunder the HOPE VI Ward Community Redevelopment Program are also made available forhomeownership.

While NHA expects to increase its inventory of new housing units as it builds townhouses atvarious sites in the City, over one-third of its stock is older family low-rise units with undersizedrooms, poor layout, and design issues that could not be rectified by available capitalimprovement funds. NHA is assessing its developments to determine if portions of its family low-

rise sites could be replaced in the near future.

As of November of 2009, NHA maintained a waiting list of 8,963 family applicants, 3,596 mixedpopulation applicants, 1,012 elderly designated applicants, 6,076 HCV applicants, and 13 familyapplicants requesting accessible units.1 Waitlist totals represent the current unmet need ofpublic housing in the City of Newark. To address this need NHA has prioritized the developmentof over 600 units of affordable housing over the next five years.

Barriers to Affordable Housing

Despite new challenges associated with local and state economic conditions, the majorobstacles to comprehensively meeting the needs of what remains a primarily low-income

population are continuing underinvestment, lack of high paying jobs, and low skills jobs whichperpetuate poverty concentration in certain Wards of the City. While the City government islimited in its capacity to address these problems on its own, the current Administration hasworked systematically and remains committed to maximizing the impact of public sectorresources to address these barriers. The City of Newark will continue its plans to expand andleverage available resources through public-private partnerships with government, for-profit, andnon-profit entities. Under EHD, the City has made impressive progress and has planned anambitious program to continue working toward meeting the housing needs of City residents.

Lead-Based Paint Strategy

The Newark Department of Child and Family Well-Being, (CFWB) Childhood Lead Poison

Prevention Program, (CLPPP) evaluates properties for the presence of lead based painthazards. Units are identified from several sources, the primary source being from the NewJersey Department of Health and Senior Services, (NJDHSS) lead tracking system namedWeligent. This system is an interactive web-based data system that notifies the CLPPP of alllead levels in Newark.

1Based on data presented in NHAs 2009-2014 Five Year Plan, Attachment B. Families are allowed to apply for up to

3 waiting lists. Therefore, waitlist totals most likely include applicants that are on multiple waitlists.


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The City of Newark is funded to respond to all lead levels over 10ug/dl. This system aloneallows for estimated 250-300 childrens homes to be tested as a result of lead levels 10ug/dl orabove. The second vehicle of evaluating units throughout Newark is through the CLPPPcollaboration with the local Newark Housing Authority (NHA).

Through this collaboration units are inspected by CLPPP before a child age six or younger is

permitted to move into the unit. This is the single most effective activity for preventing childrensexposure to lead hazards by making the process automatic and thus protecting hundreds ofchildren annually. The CLPPP also inspects units on demand when concerned residents call into have their homes inspected.

The CLPPP uses its HUD Funding through the Lead Hazard Reduction Demonstration Grant(LHRDG) to remove lead hazards identified from these homes. The homes identified to havelead hazards and that qualify for the HUD funds are directed to the grants intake process forfurther inspection and processing. The hazards identified at the time of inspection are removedand clearance is achieved before families are permitted to move back into these units. Leadhazards that are identified and verified as being lead hazards diagnostically are removed andcleared by an independent lab and consultant. In Newark the reductions of lead-based hazards

is based on the presence of hazards at the time of inspection and making units leadsafe, butnot lead free.

The units that are remediated are a part of the CLPPP lead safe housing registry and areoffered as a referral base for families seeking lead safe housing. The activities of the CLPPPincrease the availability of lead safe housing throughout Newark. And by removing lead hazardsfrom 725 homes over the past seven years, it has created awareness to a clear and presentdanger that is located directly in homes built before 1978.

D. HOMELESS

The homeless needs assessment identified the severity of homelessness in Newark. Consistentwith the Essex-Newark Ten Year Plan to End Homelessness, Newarks priorities and strategiesindicate a shift in the Citys homeless response system from one built on a foundation ofemergency and temporary housing to one build on a foundation of prevention and permanenthousing. The City does acknowledge, however, that during this transition some level ofemergency or transitional housing, under the former response system and strategy, requiresfunding.

Homeless Coordination Strategy Summary

The City of Newark has adopted the Essex-Newark CoC approach to addressing the needs ofhomeless and at-risk populations. Newark is part of the Essex-Newark CoC and coordinates

with Essex County on strategies and activities to identify and serve homeless populations. TheEssex-Newark CoC addresses the housing and supportive service needs in each stage of theprocess to help homeless persons make the transition to permanent housing and independentliving. As identified above, permanent supportive housing is a priority need in Newark. Newarkis committed to providing both housing and support services for homeless persons in need ofpermanent housing and working to end incidences of homeless in Newark.


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Chronic Homelessness Strategy Summary

Although the number of reported chronic homeless persons (125) represents only a fraction ofthe homeless population in Newark, the City has developed a strategy to address the chronichomeless subpopulation. This strategy includes a housing first and interim housing model toprovide housing as quickly as possible, allowing time to assess the specific needs in order to

provide the appropriate services. Approximately 51 percent of the chronic homeless personssurveyed identified substance abuse as the contributing factor to their chronic homelessness.The City of Newark is incorporating substance abuse programs and coordinating with serviceproviders to develop related case management services. Ultimately, chronic homeless personswill need long-term supportive housing options. Newark is working to develop an adequatesupply of permanent supportive housing to meet the needs of the chronically homeless.

ESG

Through the use of ESG funds the City has made progress in addressing homeless andhomeless prevention needs, goals, and specific objectives by providing emergency transitionalhousing services to the residents of Newark. The transitional and emergency shelters provide

intensive case management services to approximately six hundred (600) individuals who wouldotherwise have been homeless. ESG funds are also used to supplement payroll costsassociated with the delivery of case management services which put homeless clients in directcontact with appropriate community, faith, and governmentally based agencies. The criticalservices provided at the transitional and emergency housing empowers the victims andencourages self-sufficiency.

ESG-funded agencies offer various services such as: education, entitlement, and employmentreferrals; advocacy; assistance in money management and life skills development; nutritionalservice; clothing; access to medical and mental health; substance abuse treatment; onsiteParents Anonymous meetings; and assistance obtaining permanent housing. Due to the arrayof services provided at the shelters, and since these services are essential to the individuals

and families, the average length of stay at these facilities has increased from the standard 30days to approximately 60 to 120 days. Collectively, over the past five years the sheltersprovided housing to well over 2,000 women and their families. While providing housingassistance, various levels of case management and mental health services were also providedto the residents.

ESG Funds

For the 2011-2012 Action Plan year, the City has allocated ESG resources to support thefollowing activities. For a detailed description of these activities, refer to Appendix B.

Allocation of ESG Funds

Program/Activity % Total Funds AllocatedAdministration 5% $18,961Essential Services 30% $113,764Homeless Prevention 30% $113,764ESG Facility Operational Assistance (Staff) 10% $37,921ESG Facility Operational Assistance (no cap) 24% $91,011Homeless Facility Renovations/Rehabilitation (no cap) 1% $3,792

Total 100% $379,213


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E. COMMUNITY DEVELOPMENT

Newarks list of priority community development needs is extensive. Similar to most majormetropolitan cities, Newark has a number of distressed neighborhoods in need of revitalization.Over the past several years, the City has completed a comprehensive assessment of the Citysneeds, from improved land use and zoning, developing and increasing the supply of affordable

housing, to eradicating homelessness, and has invested heavily in crime reduction, codeenforcement, and demolition activities. The recent housing crisis and subsequent recession,necessitates the need to shift away from public service programs and focus on developmentprojects that produce jobs and/or create job opportunities for Newark residents. This shift, ineffect, reduces the portion of CDBG funds that will be made available for public serviceprograms during the 2010-2015 consolidated planning period.

CDBG Funds

For the 2011-2012 Action Plan year, the City has allocated CDBG resources to support thefollowing activities. For a detailed description of these activities, refer to Appendix B.

Allocation of CDBG FundsProgram/Activity % Total Funds Allocated

Administration 20% $1,567,120Homeowner Emergency Rehabilitation 5% $391,780Commercial/Industrial Development 11% $861,916Public Services (various) 15% $1,175,340Urban Agriculture/Tree Planting 4% $313,424Public Facility Development/Rehabilitation 12% $940,271Rental Housing Development/Rehabilitation 20% $1,567,119Project Delivery 13% $1,018,628

Total 100% $7,835,598

Antipoverty Strategy

Newark's anti-poverty strategy is to a large extent the sum total of the strategies in this five-yearConsolidated Plan. As noted in Section 5 of this plan, the average household size for owner-occupied housing in Newark is 3.06 and 2.64 for renter-occupied units. According to the 2009Department of Health and Human Services Poverty Guidelines, the poverty threshold for afamily of three is $18,310. Approximately 28,000 households (an estimated 66,022 individuals)were earning below the federal poverty level for a family of three in 2008, down fromapproximately 36,000 households in 2000.

The barriers to the realization of the Citys objectives are economic, involve complex forces thatimpact human development, and can only be removed by self-interested partnerships thattranscend local boundaries. Although recent data would indicate that the total number ofhouseholds living in poverty in Newark has declined, this data does not reflect the recenteconomic and housing crisis that has resulted over the past three years. Newarks 13 percentunemployment rate is more indicative of the poverty levels experienced by some residents.

CFWB has the primary responsibility for developing and implementing anti-poverty initiatives.Coordination is multi-level and accomplished through contractual and legally mandatedrelationships with counterpart agencies at the local, county, state, and federal levels, as well asnon-profit institutions and agencies and private entities.


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Newark's anti-poverty strategy is designed not only to educate and bring basic skills up to highschool and college graduate levels, but also to train people for existing and anticipated jobsthrough the year 2010 and beyond. In addition to job training and education, it is critical that jobsare available to support the demand. This Consolidated Plan purposefully focuses more onhousing and economic development to maximize the number of construction jobs and workforce

training opportunities. The City plans to pursue several large scale development projects to aidin this effort.

The Federal Section 3 program regulations require that recipients of certain HUD financialassistance, to the greatest extent possible, provide job training, employment, and contractopportunities for low- or very-low income residents in connection with projects and activities intheir neighborhoods. Section 3 is intended to ensure that when employment or contractingopportunities are generated because a covered project or activity results in the employment ofadditional persons or the awarding of contracts for work, preference must be given to low- andvery low-income persons residing in or businesses located in the community where the projectis located.

Due to the dynamic nature of Newark's population and the difficulty in identifying and assistingpersons in poverty or at-risk of falling into poverty, the City cannot present firm, quantitativeestimates regarding the reduction of the numbers of persons and households in poverty. Theantipoverty strategy is intended to be a comprehensive strategy of housing assistance, socialservices, and employment and training programs all contributing to the reduction of Newarkhouseholds in poverty.

Section 108 Loan Guarantee Program

The City of Newark will submit an application to HUD to establish a $30 million Section 108Loan Pool to fund future projects in seven targeted areas (nodes and corridors) within itscorporate limits. As part of the application, this City will establish specific underwriting criteria

separately for business loans and income-producing properties (also referred to as developeror real estate transactions). The guidelines will conform to a low risk profile that is consistentwith the credit subsidy the Credit Reform Act requires HUD to fund regarding loan guaranteeprograms. Moreover, the City will add a spread of 100 basis points (1%) over its cost of funds tofinance any losses in the future.

Brick City Development Corporation (BCDC) will implement the Loan Pool. Established in May2007, BCDC began serving the City in September 2007 as an economic development catalyst,with a primary focus to retain, attract and grow businesses, enhance small and minoritybusiness capacity, and spur real estate development within the City. Once the City and BCDCidentify a prospective project after approval of the generic application to HUD, the project will bescreened for compliance with an eligible activity; a national objective; appropriateness, including

public benefit and other federal requirements as applicable. Simultaneously, the City and BCDCwill also underwrite the transaction. If both screens are satisfactory, the City will documentconformity with the eligibility regulations and credit standard and submit to the HUD Area Officefor approval.

The City of Newark has a number of mixed-use, industrial and residential projects in its pipelinethat are in need of Section 108 funding. The types of activities that the City wishes to fundthrough Section 108 are projects that will further the 24/7 nature of the downtown core, promote


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large, vacant commercial properties for utilization as job-producing spaces, acquire property forfuture real estate development and enable the City to assemble industrial parcels that havedisparate ownership to create light industrial and manufacturing facilities. The Citys 2009Master Plan Re-examination report and 2010-2015 Consolidated Plan prioritizes activities thatwill create quality jobs for Newark residents, such as facilitating a Living Downtown that wouldexpand downtown housing, retail, education, office, and hospitality options. Another such

activity within the Re-Examination report is maximizing growth at Newarks air and sea ports.The Section 108 loans would leverage projects that strive to achieve these ends.

The City will use Section 108 funds focused within three key downtown redevelopment nodesand five main neighborhood-based corridors for improvement. The concept of a LivingDowntown and constant 24/7 activity in the Citys central core is increasingly viable, with onemillion square feet of potential retail space; 11,800 units of available residential space; twomillion square feet of office space and 600 hotel rooms for visitors and tourists. Within thedowntown development framework, the Arena, Military Park Area, and Broad Street Stationnodes are identified as most crucial to future City growth.

During the 2011-2012 Annual Action Plan year and upon approval by HUD, the City expects to

begin implementation of the Section 108 loan pool as outlined in the application to HUD.Specifically, the City will use its Section 108 Loan Pool for:

Special Economic Development Real Estate; Special Economic Development Personal Property; Acquisition of Real Property; and Housing Rehabilitation.

F. NON-HOMELESS SPECIAL NEEDS

Due to the need for supportive services, special needs populations are most likely to encounter

difficulties finding affordable housing and often need supportive services in addition toaffordable housing options. The special needs populations discussed in this section include:

Elderly/Frail Elderly; Persons with HIV/AIDS; Persons with Disabilities; Veterans; and Ex-offenders.

The City used a variety of resources to assess the needs of special needs populations,including secondary data and existing studies on housing and service needs of special needspopulations.

HOPWA Program

The HOPWA programs mission is to provide localities with resources and incentives toestablish long-term, comprehensive strategies for meeting the housing needs of persons withAIDS or related diseases, in an effort to prevent homelessness within this special needspopulation. The City of Newark funded seventeen (19) non-profit agencies and units of local


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government within the City and the non-Newark metro area to provide services to persons withAIDS and their families.

As the HUD grantee, PGM in conjunction with CFWB allocates funds and monitors HOPWAprograms through local government and non-profit agencies that act as sub-grantees located inthe Newark Eligible Metropolitan Statistical Area (NEMSA). NEMSA includes Essex, Morris,

Union, Sussex, and Hunterdon Counties in New Jersey and Pike County, Pennsylvania.NEMSA provides services in the following categories: long-term rental assistance, short-termrental assistance, housing information, and operating cost. Administrative costs to conduct andmonitor the HOPWA program are also drawn from annual HUD grant awards. The City ofNewark, in conjunction with non-profit, local, and county government agencies have usedHOPWA funds to enhance the quality of services provided to persons with AIDS and establishaffordable housing opportunities and services to move families toward self sufficiency.

The Citys HOPWA program provides HOPWA services to a large and diverse geographicalarea that includes five counties in New Jersey and one county in Pennsylvania. In an effort toprovide continued support and technical assistance to City funded agencies, service providersfrom all localities meet once a month for a mandatory roundtable meeting. During these

sessions the following is reviewed: HOPWA policies and procedures, reporting and fiscalrequirements, workshops on cultural competency, guidelines on file maintenance, HIV/AIDS,care and treatment adherence, and other related topics.

For the 2011-2012 Action Plan year, the City has allocated its HOPWA resources to support thefollowing activities. For a detailed description of these activities, refer to Appendix B.

HOPWA Funds

Allocation of HOPWA FundsProgram/Activity % Total Funds Allocated

Administration (City) 3% $199,398

Administration (Sub-recipients) 6% $398,795Long-term Tenant Based Rental Assistance 76% $4,984,941HIV/AIDS Facility Operational Assistance 8% $531,727Short-term Rent, Mortgage and Utility Assistance 6% $398,795Housing Information Services 2% $132,932

Total 100% $6,646,588


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2011-2012 Annual Action PlanAppendix B Listing of Action Plan Projects (HUD Table 3C)


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1

2

3

Actual Units Actual Units


Proposed Units

Proposed Amt.

Proposed Units Proposed Units

Actual Amount Actual Amount


ProgramY

ear1

Proposed Amt. $2,788,146

Proposed Units

Proposed Amt.

Underway

Develop new affordable

rental housing units

Number of units developed or

underway

Proposed Amt.

Complete Complete

Proposed Outcome Performance Measure Actual Outcome

Proposed

Complete Complete

UnderwayProposed

Proposed

Underway Underway

Underway Underway

Complete Complete

P

roject-level

Acc

omplishments

Proposed 80 Proposed

Proposed 80

Specific Objectives

Outcome Categories

Location: Priority Need Category

Targeted neighborhoods and

development nodes. Select one:

Explanation:

There is need for 7,674 rental units affordable to extremely low-income renters

(


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Actual Units Actual UnitsProposed Units

Proposed Units

Actual Units


Proposed Amt.

Actual Units

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Proposed Amt.

ProgramY

ear5

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Proposed Units


Proposed Amt. Proposed Amt.Actual Amount Actual Amount

Proposed Amt.



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Proposed Amt.

ProgramYe

ar4

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ProgramY

ear3

Proposed Amt.

Proposed Units

Proposed Amt.

Proposed Amt.



Proposed Units


Proposed Amt. Proposed Amt.


Proposed Amt.


Proposed Units

ProgramY

ear2

Proposed Amt. $2,554,163HOME

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Project (3) 2 CPMP


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1

2

3



Proposed Units

Proposed Amt.




ProgramY

ear1

Proposed Amt. $631,630

Proposed Units

Proposed Amt.

Underway

Development of new

affordable rental housing

Number of units developed or

underway

Proposed Amt.

Complete Complete


Proposed

Complete Complete

UnderwayProposed

Proposed

Underway Underway

Underway Underway

Complete Complete

P

roject-level

Acc

omplishments

Proposed 20 Proposed

Proposed 20

Specific Objectives

Outcome Categories




Explanation:

There is need for 7,674 rental units affordable to extremely low-income renters

(


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Proposed Units

Actual Units


Proposed Amt.

Actual Units

Proposed Units


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ProgramY

ear5

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ar4

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ear3

Proposed Amt.

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Proposed Units




Proposed Amt.


Proposed Units

ProgramY

ear2

Proposed Amt. $557,427HOME

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1

2

3



Proposed Units

Proposed Amt.




ProgramY

ear1

Proposed Amt. $150,000

Proposed Units

Proposed Amt.

Underway

rehabilitate exisiting owner

housing

number of units rehabilitated

Proposed Amt.

Complete Complete


Proposed

Complete Complete

UnderwayProposed

Proposed

Underway Underway

Underway Underway

Complete Complete

P

roject-level

Acc

omplishments

Proposed 5 Proposed

Proposed 1

Specific Objectives

Outcome Categories




Explanation:

There are approximately 32,314 renter households and 7,224 owner households in

Newark experiencing housing problems. Given the age of housing in Newark, many

housing units are in need of repair and upgrading. Improving the condition of

housing in Newark, especially for extremely low-income senior owner-occupants,

would return quality affordable housing to the market.

Expected Completion Date:

(mm/dd/yyyy)

Description: IDIS Project #: UOG Code: 342190These funds will be used to bring housing occupied by low-income households up to code. DHA's Neighborhood

Rehabilitation Program (NRP) will provide a deferred loan or grant to eligible low-income homeowners to remediate their

homes. Any residential owner occupied structure consisting of one to four dwelling units that is located in a targeted

neighborhood will qualify. Mixed-use or non-residential buildings are not eligible for treatment in this program. The

amount of financial assistance will be need based.

Grantee Name: City of Newark, New JerseyCPMP Version 2.0

Project Name: HOME - Neighborhood Rehabilitation Program (Homeowner Rehab)

10 Housing Units

10 Housing Units

Accompl. Type: Accompl. Type:

Accompl. Type:

Accompl. Type:

14A Rehab; Single-Unit Residential 570.202

HOME

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Matrix Codes

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Improve the quality of owner housing

Objective Category

Decent Housing

Suitable Living Environment

Economic Opportunity

Availability/Accessibility

Affordability

Sustainability

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ear2

Proposed Amt. $10,000HOME

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2011 Annual Action Plan

Documents

Transcript of 2011 Annual Action Plan