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Exh 8FAGENDA ITEM ~8F FEBRUARY 14, 2005 CITY OF ATLANTIC BEACH CITY COMMISSION STAFF REPORT AGENDA ITEM: Request to approve projects for fiscal year 2005-2006 Community Development Block Grant (CDBG) funds SUBMITTED BY: Sonya Doerr, AICP ~~ Community Development Director DATE: February 08, 2005 BACKGROUND: In accordance with the Interlocal Agreement with the City of Jacksonville, the COAB receives a yearly allocation of Community Development Block Grant funds. The funds are required to serve low and moderate-income residents and may be used for several categories of activities including public services, public infrastructure improvements and housing rehabilitation. Final appropriations to local governments for the coming fiscal year have not yet been determined, but staff anticipates that grant funds may be substantially reduced due to Federal budget cuts. The COAB hopes to receive $100,000 - $120,000. Fiscal Year 2005-2006 applications are soon due to be submitted to the City of Jacksonville, and staff has met to consider possible projects for the 2005- 2006 Fiscal Year. Staff proposes that grant funds be used within the Housing Rehabilitation category for two projects: $30,000 for continued housing rehabilitation activities within the designated CDBG project area. (The City has for the past three years consistently spent this amount on Housing Rehabilitation in our coordinated efforts with Builders Care.) The remaining balance for conversion from septic tanks to central sewer services. Funds will be used to assist income eligible residents with the costs of septic tank abandonment or removal, hook-up to central sewer and payment of impact fees in compliance with the City's mandatory conversion policy. (There are an estimated 53 houses on the City's 5-year mandatory connection list. In reviewing this list, there are a considerable number of these homes located within the CDBG designated target area.) RECOMMENDATION: Approval of proposed CDBG funded projects for Fiscal Year 2005-2006 to include $30,000 for housing rehabilitation with the remaining balance (to be determined based upon final HUD allocations) to be used for septic tank to central sewer conversions, and authorizing the City Manager to submit the CDBG application and sign documents as required to execute the contract. BUDGET: Request for all FY 2005-2006 CDBG funds to be used within the Housing - Rehabilitation category for projects as described above, including these funds within the fiscal year 2005-2006 City budget, Fund 110-1005-515.83-00. ATTACHMENTS: None. REVIEWED BY CITY MANAGE February 14, 2005 regular meeting