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These projects must have a particular urgency, i.e., existing conditions that pose a serious or immediate threat to the health or welfare of the community, typically created by a natural disaster. Also, there must be no other financial resources available to meet such needs. Projects under this National Objective must be of origin within the last eighteen (18) months. previously listed National Objectives are not eligible for consideration. CDBG funded projects for which a funded project must be eligible. Principal among these are the following:
- Environmental Reviews
- Davis-Bacon Wage Rates-
- Civil Rights Legislation
- Public Bidding
- CDBG Monies be used to fund.
CDBG funds include, but are not limited to: acquisition of real property, relocation and demolition, rehabilitation of residential and nonresidential structures, construction of public facilities and improvements (such as water and sewer facilities, storm drain improvements, street and sidewalk repair/replacement), economic development projects, parking structures, removal of architectural barriers, park improvements and equipment, child care, health care, education, job training, public safety, fair-housing counseling, recreation activities, drug-abuse counseling and treatment and the overall administration of the grant. In addition, fifteen percent (15%) of the total entitlement funds may be used to pay for public services within certain limits and for activities relating to energy conservation and renewable energy sources. CDBG funds may also provide assistance to profit-motivated businesses to carry out economic development activities.
The second step for an organization to be eligible for CDBG funding is verification that the total-family income of those participating or receiving services is at or below the family income table at least 70% of an entitlement communities overall expenditures over a three-year period specified by the recipient must be used for activities that benefit LMI persons. Individual activities, public service organizations or City-wide projects must initially demonstrate that of their present patrons or those receiving services, fifty-one (51%) are LMI persons; or that the activity, service or project can demonstrate a measure of success with at least fifty-one (51%) of all potential patrons falling within the LMI limits.
Third, entitlement communities are required to determine and establish their own LTOs and priorities in a five (5) year Consolidated Plan. Each year, HUD reviews all projects to determine whether the activities, services or projects funded are in harmony with this five-year Consolidated Plan. In order for an applicant to be eligible for consideration, the applicant must demonstrate compliance with at least one (1) of the following LTOs:
- Improve the quality of life for families by funding projects that meet the needs of LMI residents.
- Preserve, improve and stabilize housing quality and residential neighborhoods for LMI families. Also, decrease substandard housing through rental and housing rehabilitation programs, thus eliminating or improving slum and blighting influences.
- Increase the tax base and encourage business growth and expansion through the creation and retention of jobs for LMI individuals.
- Increase employment opportunities for unemployed or under employed individuals and families by expanding economic opportunities.
- Remove and/or eliminate blighting influences to create an economically viable and stable Central Business District.
- Removal of architectural barriers and compliance with the Americans With Disabilities Act (ADA), hereby providing accessibility to the City’s buildings.
- Provide adequate staff to effectively carry out Redevelopment and Economic Development Programs and to monitor and administer the CDBG Program.
Public service organizations must demonstrate that CDBG funding will either provide a new service or provide a quantifiable increase in the present level of service above that which has been provided with state or federal funds in the previous twelve months. Activities, services or projects that can meet more than one of these local objectives and priorities can be given higher consideration. Council reestablishes a CDBG Citizens Committee. Committee members are predominately chosen from the established Neighborhood Representatives. LMI census tracts are represented. Members are then given the task of reviewing all applications, individually and collectively, to determine the activities, services and projects that can provide Provo residents the best possible benefit and biggest impact to the LMI residents of Provo. After the committee completes its review, the committee presents their funding recommendations to the Provo City Council. The CDBG Committee Members generally meet once a week for several hours over a period of 10 to 12 weeks. Time is spent each week exchanging information, reviewing applications and meeting with all applicants. Each applicant is required to make a short 15 minute presentation and answer program-specific questions the citizens committee may have. Due to the time constraints of the committee members, this maximum time limit has been set and is strictly enforced.
Some of the specific criteria used by the CDBG Citizens Committee to screen each potential applicant, as suggested by HUD, are as follows:
Objectives:
- Principally benefits LMI persons
- Prevents or eliminates slums and blight
- Addresses an urgent need or problem in the community
- Does the applicants request meet at least one of the local objectives and priorities established in the Consolidated Plan provided to HUD.
- Is this a duplication of services offered by another applicant.
- Does the applicant have experience with CDBG related activities and or subsequent experience with other grant programs and a proven record in providing similar activities within the community.
- Does the applicant have financial capacity as indicated by audited financial statements and banking/credit references.
- Does the applicant have the financial stability (not total dependence on CDBG Funds) as indicated by funding sources and amounts over time. Activity or service will not require on going or continued CDBG funding.
- Does the applicant have the necessary trained or adequate staffing to deliver the proposed service or activity (number and qualifications).
- Does the applicant have the overall organizational strength, including such items as:
- established record keeping methods
- filing system
- financial systems
- existence of written procedure manuals for financial management and personnel
- Has the applicant become too dependent on CDBG funding through the continued seeking and/or receiving of CDBG funds as a major funding source for the operation of the program.
- Has the applicant specifically listed how funds will be used (line-item budget) and how the National Objective will be met.
- How did, or will, the organization determine LMI compliance.
- Has the organization realistically estimated the number of LMI individuals benefiting from their service or project.
- Is a special clientele or minority group served.
- Has the Public Service Organization detailed how CDBG funding will provide a quantifiable increase in service or a new service, potential benefit and impact to the City and residents, especially LMI individuals and families.
Activities, services or projects that provide a higher level of potential benefit and impact to Provo residents are usually given higher consideration. Council to advertise and conduct two (2) public hearings to receive citizens input about funding request. After input has been received during the second hearing, the Council members will then close the meeting to further public input. At this time, the council members will discuss their funding recommendations. After a period of discussion, a majority consensus is determined to:
1) accept the citizen's committee recommendations in full;
2) modify the funding recommendations from the committee; or
3) develop a final funding proposal acceptable to the majority of the council members.
The Council Chair will then call for a vote, and the final CDBG funding for the activities, services and projects to receive CDBG funding is determined. Historically, programs, projects and services that have received CDBG funding can be grouped as follows
Program Administration maximum of 20% of fiscal expenditures): GOAL: To provide adequate staffing to effectively carry out Redevelopment and Economic Development Programs, monitor for compliance and administer all CDBG funds. The amount of CDBG funding obligated within a specific program year is mandated by statutorial limitation to a maximum of twenty percent (20%) of the total entitlement grant. Eligible activities include: Preparing program budgets, schedules and amendments Planning and organizing surveys (i.e., historical and traffic), citizens committee and redevelopment projects Evaluating funded programs performance against local targeted objectives and compliance with all HUD guidelines. Coordinating all federal audits and monitoring visits Providing staff to manage all of the federal Revolving Loan Programs (Rental Rehabilitation, Single Family Housing Rehabilitation, Commercial Rehabilitation and the Small Business Loan Fund). Technical assistance to local businesses, neighborhood groups and CDBG funding recipients
Neighborhood Projects GOAL: To preserve the housing stock and improve housing quality and conditions for low- and moderate-income families. Housing rehabilitation Rental rehabilitation Sidewalk replacement and repair Street replacement and repair Sewer and water line improvements Storm drain improvements Public facilities (i.e., ADA improvements to public buildings and park improvements)
Downtown Projects: GOAL: To increase the tax base and overall economic health of Provo City by retaining and/or creating new jobs in the central core of the City. also, by removing blighting influences through the creation of an economically stable Central Business District: Acquisition of property, Disposition of property, Clearance or demolition of buildings, Code enforcement, Removal of architectural barriers, Commercial Facade Renovation and Rehabilitation Program Development of parking structures, Infrastructure improvements (curb, gutter, sidewalk, street, and sidewalk replacement, storm drain)
Economic Development Activities GOAL: To improve employment opportunities for low- and moderate-income families and individuals. Small Business Revolving Loan Fund Land acquisition for project development Demolition Eligible forms of assistance necessary to insure the financial feasibility of projects Support of the City’s economic bases through creation or retention of jobs
Public Service Organizations and Activities (15% of total grant): GOAL: To improve and maintain the quality of social services, projects and programs available to low- and moderate-income residents of Provo. Eligible activities include, but are not limited to, the following:
- Child care- Job and employment training
- Recreational programs-
- Educational programs
- Public safety services-
- Fair housing activities
- Services for senior citizens-
- Energy conservation
- Programs to address gangs- Crime prevention
- Drug abuse and counseling programs-
- Neighborhood Housing Services (NHS)
- Services to abused (physically or sexually) children and spouses
- Services for homeless families or individuals time-consuming process.
An applicants CDBG application must provide an accurate and complete representation of the organization, together with how and where the funds will be utilized (budget-line items), what the desired results will be and who will directly benefit from the organizations service or project. Just as an individuals resumes must contain enough pertinent and vital information to catch the eye of a potential employer from a large stack of resumes, the CDBG application must demonstrate that the program or service has a great potential or is currently operational and delivering a vital service to LMI Provo residents.
For more information, contact Provo City Redevelopment at 852-6160.
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