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Agenda 11/09/2021 Item #16D 4 (Resolution - HUD Action Plan Substantial Amendments FY19/20 Action Plan)11/09/2021 EXECUTIVE SUMMARY Recommendation to approve two (2) substantial amendments to Collier County's U.S Department of Housing and Urban Development FY2019-2020 Annual Action Plan to reallocate Community Development Block Grant-CV funding and HOME funding to effectively implement federal grant- funded programs. OBJECTIVE: To further administer Housing and Urban Development (HUD) funding to provide necessary activities and funding to community activities benefiting low- to moderate-income persons and neighborhoods. CONSIDERATIONS: The U.S. Department of Housing and Urban Development (HUD) provides Community Development Block Grant (CDBG), HOME, and Emergency Solutions Grant (ESG) entitlement funds to the County annually to address program-specific needs in the community. The Board of County Commissioners (Board) previously approved the FY 2019-2020 One Year Action Plan on June 25, 2019 - Agenda Item #16D2. During the declared state of emergency, pursuant to Resolution 2020-50, the County Manager approved the first substantial amendment to the County's FY 2019-2020 Action Plan and it was subsequently ratified by the Board on May 12, 2020, Agenda Item #16F1A6. This amendment included the first round of CDBG and ESG COVID funding for $1,561,633 and $707,128 respectively. On November 10, 2020, Agenda Item #16D8, the Board approved a second amendment to the FY2019-2020 Action Plan to recognize additional funding related to the Coronavirus Pandemic. This second round of CDBG-CV and ESG-CV brought the County’s allocation to over 7.4 million to address the pressing needs of those who have been impacted by COVID including those who have lost their employment, business, or other income. HUD regulations at 24 CFR Part 91.505 require amendments to the Consolidated Plan and/or A nnual Action Plans whenever there is a change in the allocation priorities or method of distributing funds presented in the plan; a change in the use of funds to an activity not described in the Annual Action Plan; or a change in the purpose, scope, location, or beneficiaries of an activity. The County received two (2) requested changes to proposed projects thus necessitating the action as outlined below: 1. On June 22, 2021, Community and Human Services (CHS) was notified by the Collier County Housing Authority that they would be returning the HOME funding since they were unable to secure a contractor after attempting to solicit a contractor on two occasions for a competitive price. These funds will remain in the Immokalee community and are proposed to be awarded to the Casa San Juan Diego project, for the design of an 80-unit affordable housing rental project. 2. On August 13, 2021, an email was received from St. Matthews notifying Collier County CHS that after consideration by the Board of Directors and the St. Matthews House Foundation they were choosing to not enter into a HUD-funded CDBG-CV agreement due to federal guidelines which conflicted with the agency’s method of operation. A substantial amendment to an Action Plan or Consolidated Plan requires advertising and a 30-day public comment period. However, as a result of the COVID pandemic, HUD provided a waiver to allow a 5 -day public comment period. The required notice to amend the FY2019-2020 Action Plan was published in the Naples Daily News on September 29, 2021. The advertisement identified the 5-day public comment period from September 29 through October 4, 2021, and a public hearing held on October 4, 2021. During the public hearing one comment was received: Joe Trachtenberg, St Matthews House Board Member, stated "St. Matthew’s was delighted to get $1,000,000 from the county but had to return the money because they could not 16.D.4 Packet Pg. 983 11/09/2021 follow the federal guidelines and follow the mission statement of St. Matt’s." The following substantial amendment changes are proposed to the FY2019-2020 HUD Annual Action Plan and will be incorporated where appropriate in the HUD-approved document. 2019-2020 Action Plan: Amend the existing 2019-2020 Action Plan to add the following language in the appropriate sections related to CDBG-CV and HOME funding: 1. Amend Project: Project Name: CDBG-CV Response and Recovery (R2) - Households, individuals, businesses & community assistance to include expanded Public Service (PS) activities, business stabilization, employment training, job creation, COVID related facility renovations, rental housing assistance, mental health services, food banks, and other eligible CDBG disaster activities related to the Coronavirus Pandemic. Modify an activity as follows: Remove St. Matthew’s House (CD-CV21-05) acquisition of a food storage facility and reprogram $1,000,000 of CDBG-CV to the Golden Gate Senior Center for the reconstruction of a public facility to benefit low-income seniors in the Golden Gate neighborhood who will have improved access to a safe, secure, and functional public facility used for social services and disaster response. 2. Amend Project: Project Name: Construction/Acquisition and/or Rehabilitation of Affordable Housing - Construction, acquisition, and/or rehabilitation of affordable rental and for-sale housing for low and moderate-income households. Modify an activity as follows: Remove the Collier County Housing Authority HVAC Installation Phase 10 (IDIS ID #616 & HM19-02) and reprogram $500,000 in HOME funds to Casa San Juan Diego rental housing development in Immokalee. FISCAL IMPACT: There are no new Fiscal impacts associated with this substantial amendment. The funds reside in the Housing Grant Fund (705) CDBG-CV Project 33674 and HOME Projects 33480, 33535, and 33581. LEGAL CONSIDERATIONS: Staff informed me that the resolution along with this executive summary will be submitted to HUD as the amendments and HUD has found this approach acceptable. As such, item is approved for form and legality and requires a majority vote for Board action. - JAB GROWTH MANAGEMENT IMPACT: Acceptance and implementation of this HUD substantial amendment further the Goals, Objectives, and Policies of the Housing Element and the Growth Management Plan. RECOMMENDATION: To approve substantial amendments to Collier County's U.S Department of Housing and Urban Development FY2019-2020 Annual Action Plan to reallocate (1) $1,000,000 CDBG- CV funding from St. Matthews House facility acquisition to the reconstruction of the Golden Gate Senior Center and (2) $500,000 in HOME funding from the Collier County Housing Authority HVAC activity to Casa San Juan Diego housing development to more effectively implement federal grant-funded programs. Prepared By: Hilary Halford, Senior Grants and & Housing Coordinator, Community, and Human Services Division ATTACHMENT(S) 1. RESOLUTION STAMPED DRAFT (PDF) 16.D.4 Packet Pg. 984 11/09/2021 COLLIER COUNTY Board of County Commissioners Item Number: 16.D.4 Doc ID: 20246 Item Summary: Recommendation to approve two (2) substantial amendments to Collier County's U.S Department of Housing and Urban Development FY2019-2020 Annual Action Plan to reallocate Community Development Block Grant-CV funding and HOME funding to effectively implement federal grant-funded programs. Meeting Date: 11/09/2021 Prepared by: Title: – Community & Human Services Name: Hilary Halford 10/01/2021 3:30 PM Submitted by: Title: Manager - Federal/State Grants Operation – Community & Human Services Name: Kristi Sonntag 10/01/2021 3:30 PM Approved By: Review: Community & Human Services Kristi Sonntag CHS Review Completed 10/11/2021 10:41 AM Community & Human Services Tami Bailey Additional Reviewer Completed 10/11/2021 10:48 AM Operations & Veteran Services Kimberley Grant Additional Reviewer Completed 10/11/2021 12:06 PM Community & Human Services Maggie Lopez Additional Reviewer Completed 10/12/2021 11:12 AM Community & Human Services Jacob LaRow Additional Reviewer Completed 10/12/2021 11:23 AM Public Services Department Todd Henry Public Services Department Completed 10/12/2021 11:35 AM Public Services Department Dan Rodriguez PSD Department Head Completed 10/12/2021 11:55 AM County Attorney's Office Jennifer Belpedio Level 2 Attorney of Record Review Completed 10/18/2021 9:45 AM Grants Erica Robinson Level 2 Grants Review Completed 10/20/2021 10:59 AM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 10/20/2021 11:44 AM Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 10/21/2021 9:10 AM Grants Therese Stanley Additional Reviewer Completed 10/24/2021 9:41 AM Growth Management Operations Support Christopher Johnson Additional Reviewer Completed 10/26/2021 11:15 AM County Manager's Office Sean Callahan Level 4 County Manager Review Completed 11/01/2021 11:19 AM Board of County Commissioners Geoffrey Willig Meeting Pending 11/09/2021 9:00 AM 16.D.4 Packet Pg. 985 16.D.4.aPacket Pg. 986Attachment: RESOLUTION STAMPED DRAFT (20246 : Collier County's U.S Department of Housing and Urban Development FY2019-2020 16.D.4.aPacket Pg. 987Attachment: RESOLUTION STAMPED DRAFT (20246 : Collier County's U.S Department of Housing and Urban Development FY2019-2020 16.D.4.aPacket Pg. 988Attachment: RESOLUTION STAMPED DRAFT (20246 : Collier County's U.S Department of Housing and Urban Development FY2019-2020