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CDBG PROGRAM MEMO TO: Mayor & Clty Councll FROM: Jlm Kerrlgan DATE: March 21, 1985 SUBJECT: Year XI (1985) Urban Hennepln County CDBG Program At the Apr1l 2 Counc1l meet1ng, a publ1C hear1ng 1S scheduled to cons1der the C1ty'S proposed use of ltS 1985 (Year XI) Urban Hennep1n County Commun1ty Development Block Grant (CDBG) plann1ng allocat1on of $113,293. As you w1ll recall, last year the Counc1l elected to J01n w1th the County on th1S program, rather than compete on our own as we had 1n the past. To be a fundable CDBG act1v1ty, a project must address one of the three HUD establ1shed program pr1or1t1es: - benef1t low and moderate 1ncome persons - el1m1nate slums & bl1ght - Address urgent communlty need. Overall, the CDBG Program lS geared toward types of act1v1t1es as opposed to those 1n f1eld, Wh1Ch are for the most part dealt programs. "br1ck and mortar" the soc1al serV1ce w1th through other Enclosed 1S a copy of the County Statement of ObJect1ves Wh1Ch 1dent1f1es Urban Hennep1n County Commun1ty Development needs, Wh1Ch should be addressed through the use of CDBG funds. Overall these obJect1ves and needs 1dent1f1ed are cons1stent wIth those of the CIty. For the most part, hous1ng related needs (l.e. add1t1onal hous1ng and ma1nta1n1ng the eX1stlng stock for low/moderate 1ncome) have always been a top prIorIty for the C1ty. The maJor1ty of CDBG fundlng rece1ved by Hopklns 1n the past has gone toward hous1ng rehabll1tat1on. Slnce 1974 approxImately two mllllon dollars has been spent 1n th1S effort w1th 155 hous1ng un1 ts be1ng 1mproved. The Cl ty uses Sect10n 8 gU1del1nes 1n determ1n1ng el1g1b1llty and thus the program d1rectly benef1ts the low and moderate 1ncome. At the present t1me we have only approx1mately $35,000 rema1'n1ng to be expended In thIS area. Because of the Ilm1ted amount of dollars we w1ll be rece1v1ng from the County th1S year, 1t IS the staff recommendat1on that all the fundIng allocat1on exclud1ng 5% for adm1n1strat1on (lnclud1ng necessary aud1ts) be programmed to contlnue the Houslng Rehab1l1tat1on Program. One benef1t that we w1ll have wIth th1S new fund1ng 1S that we wlll be able to offer the program c1tyw1de. In the past we were restr1cted to the central area of the CIty. Thus many IndIvIduals who are In need of hous1ng Improvements, and have prev10usly not been able to part1c1pate because of locat1on, w1ll now be el1g1ble.