CR 08-012 Community Developtment Block Grant (2008)NOPKINS
February 4, 2008 Council Report #2008 -012
2008 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM
Proposed Action
Staff recommends approval of the following motion: Following the public hearing, adopt
resolution number 2008 -008 approving the proposed program for the 2008 Urban
Hennepin County Community Development Block Grant (CDBG) Program and
authorizing its submittal to Hennepin County.
With this motion, the CDBG application will be submitted to Hennepin County for their
review and approval.
Overview
As a participating city in the Urban Hennepin County CDBG program, Hopkins is
eligible to receive $112,063 in CDBG funds for the 2008 program year. This is a slight
decrease from the 2007 allocation. The funds will be received on July 1, 2008 and must
be expended by December 31, 2009.
Staff is recommending that the City propose to fund the following activities with 2008
CDBG funds:
• Housing Rehabilitation Loan/Grant Program
• Hopkins Minnetonka Family Resource Center
As a requirement of the CDBG funding process, the City must hold a public hearing on
the proposed use of funds prior to approving the attached resolution. The City's proposal
must be submitted to Hennepin County by February 21, 2008.
Primary Issues to Consider
• What is the intended use of CDBG funds?
• What activities are being recommended for funding?
• Were any other requests for funds received?
Supporting Information
• Resolution 2008 -008
• Requests for fu
.raBe
r
Community Development Coordinator
C ITY OF
Financial Impact: $ 0 Budgeted: Y/N Source:
Related Documents (CIP, ERP, etc.):
Notes:
2008 CDBG program
Council Report 2008 -012
Page 2
Analysis of Issues
What is the intended use of CDBG funds?
CDBG funds may be used to support a variety of housing and community development
activities. The intent of the program is to fund "bricks and mortar" projects versus social
service programs. Activities must meet at least one of the following objectives of the
CDBG program:
• Benefiting low and moderate income persons
• Prevention or elimination of slums and blight
• Meeting a particularly urgent community development need
Additionally, Hennepin County imposes the following guidelines:
• 15% maximum for public service activities
• Activity should be ranked as a high priority in the Hennepin County Consolidated
Plan. Those activities are:
Rental housing for families, elderly, physically disabled persons and homeless
persons with incomes below 50% of median income
Supportive housing for persons with mental illness and incomes below 50%
Rehabilitation of owner- occupied housing with income below 50%
Homeownership assistance to households with income below 80%
Public services and/or facilities to assist families and seniors to maintain and/or
increase self - sufficiency and independent living, and to assist youth and their
families with counseling and crisis intervention services, and related activities
Neighborhood revitalization activities that address issues of substandard /blighted
property in scattered site or defined area redevelopments that will also provide
affordable housing on 20% of the units
• Minimum of 70% of funds spent on low to moderate income households
• Funds can not be available from other sources
What activity is being recommended for funding?
Staff is recommending that $107,063 of CDBG funds be used for housing rehabilitation
activities. The Housing Rehabilitation Loan and Grant program has experienced
continued demand during the past year and is important not only in its assistance to
homeowners but also to maintain the City's housing stock. It is anticipated that $107,063
will assist 6 households.
2008 CDBG program
Council Report 2008 -012
Page 3
Staff is also recommending funding the Hopkins Minnetonka Family Resource Center
(FRC) in the amount of $5,000. The FRC is a valuable resource in the community and
supports the City of Hopkins by taking referrals from many of the City's departments
including the police, housing and the receptionist.
• Where any other requests for funds received?
The following additional requests were received for 2008 CDBG funding:
Organization Amount Purpose
HOME Line $4,000 Tenant hotline, high school renter education
and immigrant outreach project
Senior Community Services $5,000 HOME (Household & Outside Maintenance
For Elderly)
In reviewing these requests for funds, staff utilized the social service funding practice that
requires the service funded to be directly related to the services provided by a department
of the City but does not duplicate them and that the request is supported by that
department. Because these activities did not meet this threshold, staff is not
recommending 2008 CDBG funding.
However, these services are eligible activities under CDBG regulations and the Council
can elect to fund them.
Alternatives
The City Council has the following alternatives regarding this issue:
• Hold public hearing; approve 2008 CDBG program as proposed by staff.
• Hold public hearing; amend the proposed CDBG activities and /or budget.
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION NO. 2008 -008
RESOLUTION APPROVING PROJECTED USE OF FUNDS FOR 2008
URBAN HENNEPIN COUNTY COMMUNITY DEVELOPMENT BLOCK GRANT
PROGRAM AND AUTHORIZING SIGNATURE OF SUBRECIPIENT AGREEMENT
WITH HENNEPIN COUNTY AND ANY THIRD PARTY AGREEMENTS
WHEREAS, the City of Hopkins, through execution of a Joint Cooperation Agreement
with Hennepin County, is cooperating in the Urban Hennepin County Community
Development Block Grant Program; and
WHEREAS, the City of Hopkins has developed a proposal for the use of Urban
Hennepin County CDBG funds made available to it and
WHEREAS, the City of Hopkins held a public hearing on February 4, 2008 to obtain the
views of citizens on local and Urban Hennepin County housing and community
development needs and the City's proposed use of $112,063 from the 2008 Urban
Hennepin County Community Development Block Grant.
BE IT RESOLVED, that the City Council of Hopkins approves the following projects for
funding from the Urban Hennepin County Community Development Block Grant
program and authorizes submittal of the proposal to Hennepin County.
Activity
Housing Rehabilitation
Hopkins Minnetonka Family Resource Center
Budget
$107,063
$ 5,000
BE IT FURTHER RESOLVED, that the City Council hereby authorizes and directs the
Mayor and its City Manager to execute the Subrecipient Agreement and any required
Third Party Agreement on behalf of the City to implement the 2008 CDBG Program.
Adopted this 4th day of February 2008.
Attest:
Terry Obermaier, City Clerk.
By
Eugene J. Maxwell, Mayor
2008
URBAN HENNEPIN COUNTY CDBG PROGRAM
REQUEST FOR FUNDING tellable form)
(Use one form per project)
A. GENERAL INFORMATION
1. City: Hopkins
2. Project Name: HOME (Household & Outside Maintenance for Elderly)
3. Contact Person/ Phone No. Kitty Engle / (952) 888 -5530
B. PROJECT DATA
1. CDBG Funding Requested $ 5,000
(needs to be same as council resolution)
2. Is this an existing CDBG - funded project? XYes [No
3. Project Location: Address or Citywide X
4. Project Description: (Describe the project in as much detail as possible, including the
local need(s) the project will address.)
The H.O.M.E. Program is a homemaker, maintenance and chore services
program designed as a cost - effective alternative to rising costs of long term care
for the elderly. It currently operates in the cities of Bloomington, Brooklyn
Center, Crystal, Eden Prairie, Edina, Golden Valley, Hopkins, Minnetonka, New
Hope, Plymouth, Richfield, Robbinsdale and St. Louis Park. The Program
maintains a core staff of trained individuals to assure prompt, quality services and
a skills bank component. Clients are asked to pay for services based on ability
(sliding fee scale). Consumers of H.O.M.E. services are residents age 60+ or
people with disabilities who live independently and need some affordable in -home
services in order to maintain their residence. The Program serves clients who
need assistance but are not financially able to afford the full cost of the service as
well as frail older adults who require services designed to meet their needs. The
philosophy of the H.O.M.E. Program is to help maintain independence for elders
and avoid premature nursing home placement by providing homemaker,
maintenance and chore services. Clients are asked to pay based on a sliding -fee
scale. Homemaker services include housecleaning, food preparation, grocery
shopping, doing laundry and window washing. Assessments are made and
services provided according to the specific needs of each client for type of service,
time and frequency. Chore /home maintenance services include snow removal,
lawn care, installation of security features, carpentry, minor plumbing,
1
Priorities
Use X to indicate
Rental Housing
Existing Housing (Rehabilitation)
First Time Homeownership
Homelessness
Special Needs Housing
Public Service
X
Neighborhood Revitalization
Transportation Services
interior /exterior painting, weatherization, minor roof repair and other jobs needed
to enable elderly residents to remain in their homes, as well as maintaining their
homes in an accordance with community standards. Services are delivered in the
homes of elderly residents. Program offices are located at Creekside Community
Center, 9801 Penn Ave. South, Bloomington and 730 Florida Ave. South, Golden
Valley. A satellite office is located at the Minnetonka Senior Center. Clients gain
access to the Program either directly by contacting the H.O.M.E. office or by
referral from an area agency. Revenues are derived from client fees, a service
contract with Hennepin County for clients with very low incomes, the
Metropolitan Area Agency on Aging (MAAA) in support of chore services, cities
in which the Program operates, the United Way, and contributions from clients
and Friends of HOME, an organization that solicits donations from businesses,
churches and community groups.
5. Consolidated Plan Priorities: Using the Priority Summary chart below, identify what
priority(ies) the project will meet. (Note: If a proposed project is a low urban county
priority, you must explain why it has a higher priority in your community.)
6. Describe anticipated results /accomplishments the project will have. (number of
persons to receive services, number of affordable housing units to be rehabilitated or built,
etc.)
In 2007 the project served 19 Hopkins residents providing a total of 168 jobs /projects.
It is anticipated that approximately the same number of residents will be served in 2008.
7. Implementation Schedule: (Identify major project tasks to occur during/ within the
first 12 months of the 18 month expenditure period. Expenditure period begins July 1,
2008 and ends December 31, 2009.)
On -going delivery of project services including Maintenance (minor carpentry,
plumbing, electrical repairs and interior /exterior painting),Chore Services (lawn mowing &
snow shoveling), and Homemaking(cleaning, vacuuming, dusting, washing clothes,
window cleaning).
2
8. Budget: (Specify total project budget by major funding sources. Attach additional
listings where appropriate.)
FUNDING SOURCES
Brooklyn Center /CDBG
Eden Prairie /CDBG
Edina /CDBG
Edina EEHF
Minnetonka /CDBG
Richfield /CDBG
Bloomington /CDBG
Bloomington /HRA
Golden Valley
Plymouth
Hopkins
St. Louis Park
Hennepin County
MAAA
United Way
Friends of HOME
Client Fees
3
AMOUNT
$17,947
$ 8,000
$ 9,276
$16,724
$14,900
$32,400
$20,000
$24,300
$ 3,000
$ 7,000
$ 5,000
$10,000
$54,000
$77,123
$93,707
$10,000
$231,000
Project Total $634,277
HOME
Tara Beard
City of Hopkins
1010 First Street South
Hopkins, MN 55343
Dear Ms. Beard,
This letter is to request funding in the amount of $4,000 from the City of Hopkins's Community
Development Block Grant Program. This funding would support HOME Line's Tenant Hotline
Services and High School Renter Education, as well as our Immigrant Outreach Project.
In addition to providing residents in Hopkins our tenant hotline services and high school renter
education program, we are now addressing the needs of new immigrant communities. We are
excited about this program because it allows individuals with language and cultural barriers to access
our services and get the information they need to keep their homes safe, decent, and affordable.
am enclosing a description of our proposal and a fact sheet summarizing our hotline's service to
Hopkins residents.
HOME Line is building upon our depth of experience in serving Hopkins. We are creating new
solutions to meet current challenges and addressing the needs of low- income residents is a priority
for HOME Line. We would like the City of Hopkins to become our partner in meeting these needs.
Please teel free to call Michael Vraa, our Managing Attorney and Hotline Director at 612 728 -5770 x
113 if you need further information. We look forward to hearing from you.
Sincerely,
Beth Kodluboy /
Executive Director
3455 Bloomington Ave
Minneapolis, MN 55407
enclosures as noted
Tenant Advocacy in Minnesota
Office Phone: 612/728 -5770
Hotline: 612/728 -5767
Fax: 612/728 -5761
www.homelinemn.org
January 17, 2008
2008
URBAN HENNEPIN COUNTY CDBG PROGRAM
REQUEST FOR FUNDING
(Hopkins)
A. GENERAL INFORMATION
1. City: Hopkins
2. Project Name: HOME Line
3. Contact Person/ Phone No.
B. PROJECT DATA
1. CDBG Funding Requested $ 4,000
2. Is this an existing CDBG - funded project? No
Tenant Hotline Services
Mike Vraa; 612/728 -5770, x -113
3. Project Location: HOME Line's tenant services are citywide. Tenants call our free
hotline from their homes. Renter Education presentations are done in the local high schools.
Immigrant Outreach would be with individual groups in the communities where they reside
or where the social service provider is located. Our physical address is 3455 Bloomington
Avenue, Minneapolis. 55407
4. Project Description: (Describe the project in as much detail as possible,
including the local need(s) the project will address.) Renters make up nearly 5,104
households in Hopkins, and many of these families have low incomes. When renters have
problems involving their homes, those who don't know their rights and responsibilities
can end up living in housing that is unsafe, lose money that is rightfully theirs, or make
decisions that cost them their home. HOME Line provides renters with the tools
necessary to keep their homes safe and affordable.
HOME Line will provide three distinct, but related, programs as part of this grant: a
tenant hotline that provides free legal advice to tenants about landlord/tenant law, a high
school educational program, and our immigrant outreach program that provides services to
new immigrants. These services prevent problems ranging from homelessness to illness
from unsafe living conditions, and result in reducing the use of the city's emergency
resources.
While our services are available to all renters free of charge, over 96% of our Hopkins
callers are low or very -low income; three quarters (71 %) of Hopkins callers are women;
24% are racial minorities. Our programs are aimed at low- income renters, high school
students who are about to enter the rental market, and recent immigrants.
Tenant Hotline
The first of these programs is HOME Line's tenant hotline. The hotline began in 1992 as
a service to Suburban Hennepin County residents. Today we serve the entire state
(excluding Minneapolis) and have recently taken our 98,000th call. Three staff attorneys
work full time on the hotline along with 40 -60 law student volunteers each year. Hopkins
has accounted for 3,079 calls since 1992. Our tenant services to Hopkins have helped
save tenants at least $32,800. Last year alone we advised 134 callers from Hopkins. The
most common reasons Hopkins residents call our hotline are; repairs, evictions, security
deposits, questions about how proper notice to vacate is given, and break lease questions.
The need for this service in Hopkins is apparent -- Hopkins residents already rely on this
valuable service.
High School Renter Education Program
The second program is our high school presentation program. To date, we have spoken
to 927 classes (over 25,551 students) throughout the metro area. At Hopkins High
School alone, we have spoken to 33 separate classes (714 students). This presentation
has won awards from both Best Prep and B.E.E.F. (Business Economic Education
Foundation) for classroom speaking. The presentation focuses on the things that future
renters should know, including how to avoid evictions, how to select roommates, security
deposits and understanding leases. By offering free tenant hotline services and free high
school renter education programs for high school students, HOME Line has been
providing needed services for those most vulnerable.
Immigrant Outreach Project
The third program focuses on immigrant outreach efforts. According to the 2000 census,
foreign born people make up at least 2,390 or 14.3% of the Hopkins population (a
number which will surely continue to grow). Recognizing that many recent immigrants
are not sure where to find a variety of useful resources, HOME Line has recently begun
working to bridge this gap.
Many recent immigrant groups live and work in Hopkins and many of them are living in
rental housing with lower incomes and have no knowledge of their rental rights. It is
important that we train and work with those social service providers who have contact
with these new residents, so they too can use the tenant services to solve their rental
problems.
5. Consolidated Plan Priorities: Using the Priority Summary chart below,
identify what priority(ies) the project will meet. (Note: If a proposed project is a low
urban county priority, you must explain why it has a higher priority in your community.)
Priorities Use X to indicate
Rental Housing
Existing Housing (Rehabilitation)
First Time Homeownership
Homelessness
Special Needs Housing
Public Service
Neighborhood Revitalization
Transportation Services
x High
6. Describe anticipated results /accomplishments the project will have. (number of
persons to receive services, number of affordable housing units to be rehabilitated or built,
etc.) We anticipate between 130 and 140 callers utilizing our hotline services, representing
325 residents. We anticipate speaking at 3 high schools in Hopkins school districts, serving
75 students. The immigrant outreach will vary with community interest. Also see the
attached one -page sheet which covers what HOME Line has accomplished in Hopkins in
the past.
7. Implementation Schedule: (Ident major project tasks to occur during/ within the
first 12 months of the 18 month expenditure period. Expenditure period begins July 1,
2008 and ends December 31, 2009.)
Task: Renter counseling over hotline
Task: High school presentations
Task: Immigrant Outreach Project
Date Ongoing
Date Late fall and late spring
Date Ongoing
8. Budget: (Speck total project budget by major funding sources. Attach additional
listings where appropriate.)
FUNDING SOURCES
AMOUNT
CDBG $ 18,215
Prior Year CDBG Funding (for this project) $ 2 2,
Other Federal Funds (specify) $ 3 4, 800
Low Income Housing Tax Credits $ 0
State (specify) $ 21
Municipal $ 3 8, 225
Metropolitan Council $ 0
Private (specify) $ 178
Other (specify) $ 1,200
Project $ 280,651
HOME Line Renters' "Hotline"
Hopkins
Information on calls during the period 1/1/92 through 12/31/2007
Over the past sixteen years a total of 3,079
Hopkins renters have contacted HOME Line.
This represents service to approximately
7,697 residents when all family members
have been counted.
The vast majority (over 96 %) of Hopkins
callers to HOME Line are very -low and low
income. These income categories are those
used by the U.S. Department of H.U.D.:
Very -low: incomes below 50% of the metro median
Low: incomes between 50% and 80% of the metro
median
Moderate: incomes above 80% of the metro median.
High School Renter's Education
HOME Line's High School Renter's
Education Program provides advice on tenant
rights and responsibilities. This free
presentation covers most things that first time
renters are likely to encounter, including
roommate problems, evictions, security
deposits and repair problems.
In the last thirteen years, HOME Line has
been to Hopkins High School 33 times,
speaking to 714 students.
HOME Line has also sent speakers to many
property manager's meetings (including
Hopkins), continuing legal education
seminars and trainings for various
shelters /resource centers.
300 -
200 -
100 -
0
207 232 246 256 256 235 233 206
168 159 166 139 174 136 132 134
111111.I111 1111
92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07
Callers' Income 1992 -2007
Very Low
81%
Number of Calls Per Year
HOME Line has helped Hopkins residents
recover money from their landlords. Tenants
have received $15,400 back from improperly
withheld security deposits and $17,444 in rent
abatements (refunds for substandard
conditions). We have also helped prevent 95
evictions in Hopkins.
The Hotline receives over 9,000 calls per
year. Careful records are taken for each call,
including the reason the tenant called. These
are the top ten topics in Hopkins over the last
fifteen years (followed by the number of
calls):
1. Repairs
2. Evictions
3. Security Deposits
4. Notice to Vacate
5. Break Lease
6. Financial Aid
7. Tenant Screening
8. Housing Search
9. Lease Questions
10. Privacy /Intrusion
485
438
322
283
228
155
154
147
119
88