CDBG Overview

History of CDBG

Created in 1974-as part of the Housing & Community Development Act

Consolidation of seven different community development programs

Model Cities Open Space

Urban Renewal Water & Sewer

Parks & Recreation Neighborhood Loans

Public Facilities Loans

Methods of CDBG Funding Two Forms of CDBG funding:

Entitlement-Must have population of 50,000

Small Cities-Funds awarded to the State and then sub-awarded to local governments

National Objectives

At least one must be met:Benefit to Low-to-Moderate (LMI) Income

persons○ Persons must be 80% or below Area Median

Income ○ Presumed benefit

Prevention/Elimination of Slum & Blight○ Specific Process for documentation

Urgent Community Need○ Must be tied to Presidential Declared Disaster

Benefit to LMI Persons

Area Benefit Limited Clientele

Presumed BenefitRequire Income VerificationIncome Limits

Housing LMI Jobs

Current Income Guidelines

Family Size Max. Income Limit

1 $32,150

2 $36,750

3 $41,350

4 $45,900

5 $49,600

6 $53,250

7 $56,950

8 or more $60,600

Effective 5/12/11 based on 80% of Area Median Income

Presumed Benefit

HUD determined that the following classifications have a presumed benefit:

Abused Children Persons with AIDS

Battered Spouses Migrant Farm Workers

Severely Disabled Adults Homeless Persons

Illiterate Adults Elderly (62 and up)

REQUIREDALL PROJECTS MUST

DEMONSTRATE MEETING ONE OF THE NATIONAL

OBJECTIVES

Applicant Eligibility

Non-Profit

For-Profit

Governmental Entity

Eligible Activities Acquisition of Property

Specific Guidelines to follow Public Facilities and Improvements

Examples include: streets, sidewalks, water, sewer, drainage, community center and parks

Public ServiceSubject to 15% cap

Removal of Architectural Barriers

Eligible Activities cont.

Housing Rehabilitation Homeownership Assistance Economic Development Planning/Administration

Ineligible Activities

Buildings used for General Government Political Activities Replacement of General Fund Dollars Purchase of Equipment and Personal

Property Operating and Maintenance Costs Income Payments

Performance MeasuresOutcome #1

Availability/

Accessibility

Outcome #2

Affordability

Outcome #3

Sustainability

Objective #1

Suitable Living Environment

Accessibility for the purpose of creating

Suitable Living Environments

Affordability for the purpose of creating

Suitable Living Environments

Sustainability for the purpose of creating

Suitable Living Environments

Objective #2

Decent Housing

Accessibility for the purpose of providing

Decent Housing

Affordability for the purpose of providing

Decent Housing

Sustainabilty for the purpose of providing

Decent Housing

Objective #3

Economic Opportunity

Accessibility for the purpose of providing

Economic Opportunities

Affordability for the purpose of providing

Economic Opportunities

Sustainability for the purpose of providing

Economic Opportunities

Environmental Review

All projects must undergo Environmental Review

Four CategoriesExemptCategorically Excluded Not Subject to 58.5Categorically Excluded Subject to 58.5Environmental Assessment

Must be Completed before Project Begins

Other Regulatory Issues

Davis Bacon Wages Lead Based Paint Open Procurement Methods Relocation

Lead Based Paint

Properties built after January 1978 are exempt

Affects:AcquisitionRehabilitation

Lead Based Paint (cont.) Strategies for Purchase

Purchase properties built after 1978 Have owner test and correct older properties for lead as

contingency

Strategies for Rehab of pre-1978 Complete work write-up for rehab Hire Risk Assessor to Test If lead present- Risk Assessor assist with removal of lead Complete Rehab

Funding Process City completes and approves a 5-year Consolidated Plan

Plan lays out Priorities and goals City solicits, reviews, & awards agency applications

Competitive Process Staff Technical Review & Citizen Review

City Prepares Annual Action Plan Details what activities will take place

City approves Sub-Recipient Agreements Agency begins activity After activity is completed City will monitor Agency program

files

Agreement

Legally Binding Agreement between City and Awarded Agency

Agreement Outline:What Activity will take place?How much it will cost?How long it will take?Who is responsible?

HUD Regulations

Timeline Initial Public Hearing- January 2013 Applications Available- January 2013 Applications Due- February 2013 Committee Review- March 2013 Public Hearing- April 2013 Approval of Annual Action Plan- May 2013 Agreements Approved- July 2013

Available Funds

The City of Bowling Greens expects to receive approximately for FY 14:

$496,000This amount is subject to

change.

Application Review Please read the entire application carefully Be sure all Certifications are signed & all

attachments are included Submit Original and 6 Copies

One copy of Attachments

Each Agency must have a DUNS Number Minimum Request is $10,000 Applications must be received on-time

Common Application Problems Board Resolution does not state specific

project Incorrect Program Budget Percentage Used Previously funded application and

did not update information Typos, missing pages Lack of detail in Timeline Description of Organization instead of

Project/Program

Staff Review

Staff will conduct a technical assessment before the Citizen Review

Review will focus on:EligibilityApplication CompletenessTimeliness & Technical Issues

Citizen Review Committee Open Public Meeting with Scheduled Review

Times for each Eligible Application Total of 100 pts. available Citizen Review will focus on the following:

Effectiveness-20 pts. - New Service-15 pts. Efficiency-20 pts. (New Recipients Only) Leveraging-25 pts. - Past Performance-15 pts. Capacity-20 pts. (Previous Recipients

Only)

Wrap Up

If you have any questions please feel free contact me at:

270-393-3658 or brent.childers@bgky.org