Title
Approval of Community Development Block Grant Reallocation of Existing Program Funds
Recommended Action
Committee Recommendation:
Not referred to Committee
City Manager Recommendation:
Move to approve Community Development Grant Block (CDBG) Reallocation of Existing Program Funds
Report
Issue:
Whether or not City should reallocate $58,678 in CDBG existing funds to the Foundation for the Challenged (FFC) sewer extension project
Staff Contact:
Jessica Pollett, Senior Program Specialist, Community Planning and Development, 360.709.2679
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
A public hearing was held July 14, 2020 with no public testimony given.
The Foundation for the Challenged works with local agencies to develop properties that house low-income, developmentally disabled adults. In 2017, FFC began a housing project in partnership with the State's Housing Trust Fund, the Federal Home Loan Bank and the Thurston County Housing program. This project would provide a newly constructed four-bedroom home for four extremely low-income, developmentally disabled adults.
In the early stages of the project, FFC received notice from the City that they would need to extend City sewer services to the property across the full frontage, per the City's Engineering Development and Design Standards. Ultimately, this sewer line could serve up to 11 other properties through future latecomer agreements. The FFC sent communication to the Mayor and Councilmembers requesting funds for the sewer extension as this was an unexpected cost of the project and funds were not available for this extension. Council advised staff to seek funding through our CDBG program. Ultimately, the City awarded FFC $60,000 in CDBG federal funds as a deferred payment loan, due upon sale/transfer or change in use of property.
In May 2019, FFC sent communication to City Council requesting an additional $33,000 in CDBG funds to complete the sewer extension as...
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