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HomeMy WebLinkAbout25-193 Annual Action Plan 2025 1 OMB Control No: 2506-0117 (exp. 09/30/2021) Annual Action Plan 2025 2 OMB Control No: 2506-0117 (exp. 09/30/2021) Executive Summary AP-05 Executive Summary - 24 CFR 91.200(c), 91.220(b) 1. Introduction This document serves as the City of Denton's 2025 Action Plan for the Community Development Block Grant (CDBG) and HOME Investment Partnerships Program (HOME). In accordance with 24 CFR Part 91.220 of Title I of the Housing and Community Development Action of 1974, as amended, the City of Denton is required to submit a One-Year Action Plan to the U.S. Department of Housing and Urban Development. The plan outlines the specific projects and services that will be funded during the 2025-26 program year (October 1, 2025, through September 30, 2026) to address Denton's strategies stated in the 2023-2027 Consolidated Plan for Housing and Community Development. The 2025 Action Plan covers the third year of Denton’s current 2023-2027 Consolidated Plan for housing and community development. The City of Denton is currently an entitlement city for the Community Development Block Grant (CDBG) Program and a participating jurisdiction for the HOME Investment Partnership (HOME) Program. SF-424 applications and certifications for CDBG and HOME are available in the appendix section (ATTACHMENT 1). Also, included in the appendix are the HUD assurances and certifications. The City of Denton's total federal and program income funding for 2025 is $2,322,832.05 (including $545,619.45 in CDBG and HOME Reprogrammed Funds and CDBG program income). In the previous year, the City of Denton also allocated an estimated HOME program income during the annual Action Plan. The City of Denton has decided to allocate the actual HOME program income received during the 2024-25 program year during the following program year in the 2025 Action Plan. The table provides a breakdown of available funding by grant. A total of $1,674,727.26 in CDBG and HOME funds were allocated to eligible projects. The amount requested and eligible for HOME funds was less than the amount available, so $648,104.79 is available as unprogrammed funds. The unprogrammed funds will be allocated through a substantial amendment process required by HUD by the end of the year. Most of the 2025 CDBG and HOME activities will meet the HUD national objectives of benefitting low and moderate-income persons, except for administration activities. The table below provides a summary of the categories for benefitting low and moderate-income persons and the percentage of Annual Action Plan 2025 3 OMB Control No: 2506-0117 (exp. 09/30/2021) total funding available in the 2025-26 program year. A total of 82% of all CDBG funds and 40% of all HOME funds have been allocated to low and moderate-income activities. This percentage for the HOME grant will increase to 96% when the unprogrammed funds are allocated to eligible HOME projects. Amendments: The City of Denton is amending the following Action Plans: a) The 2022 Action Plan to reallocate $100,000 in CDBG funds. The substantial amendment would reallocate the balance from the Rental Repair Program to the Minor Repair Program. The Rental Repair Program has not received enough applications to allocate the CDBG funds. b) The 2024 Action Plan to reallocate $424,793.36 in HOME funds that were unprogrammed in the 2024 Action Plan. The substantial amendment would reallocate the unprogrammed funds to the Denton Affordable Housing Corporation 2025 project. Funding Source Funding Amount Community Development Block Grant- Estimate 1,049,336.00 Community Development Block Grant- Program Income1 4,000.00 Community Development Block Grant- Reallocated Funds 103,578.26 CDBG4 TOTAL 1,156,914.26 HOME Investment Partnership Grant 462,239.32 HOME Investment Partnership- Actual Program Income1 265,637.28 HOME Reallocated Funds2 438,041.19 HOME TOTAL 1,165,917.79 TOTAL 2,322,832.05 Funds Programmed to Activities in Action Plan 1,674,727.06 Unprogrammed Funds (HOME) 648,104.79 1Based on HUDs recommendation the actual 2023-24 Program Income will be allocated in the 2025 Action Plan. Also, 2022-23 Program Income was not programmed in the 2023-24 AP, so will be allocated in the 2025-26 AP. 2Reallocated funds are from completed 2022-2024 projects with residual funds and cancellation of a program. Table 1 - CDBG/HOME Funding National Objectives CDBG Grant % of Grant HOME Grant % of Grant L/M Income Area Benefit 268,000 23% L/M Income Limited-Clientele 157,400 14% L/M Income Housing 521,647.26 45% 471,590 40% TOTAL 947,047.26 82% 471,590 40% Total Funds Available 1,156,914 1,119,694.79 Table 2 - National Objectives Annual Action Plan 2025 4 OMB Control No: 2506-0117 (exp. 09/30/2021) 2. Summarize the objectives and outcomes identified in the Plan This could be a restatement of items or a table listed elsewhere in the plan or a reference to another location. It may also contain any essential items from the housing and homeless needs assessment, the housing market analysis or the strategic plan. 3. Evaluation of past performance This is an evaluation of past performance that helped lead the grantee to choose its goals or projects. Evaluation of past performance Below is a summary of the number of households or persons served through the CDBG and HOME grants from the 2023 Consolidated Annual Performance and Evaluation Report which is the most recently completed year. The 2023 Action Plan was the first year of Denton’s 2023-2027 Consolidated Plan. Staff focused on housing and public services with an emphasis on homeless assistance and public facility improvements. Below is an overview of the proposed priorities, actual accomplishments, and expenditures by grant including an expenditure rate. 2023 Action Plan goals focused on affordable housing (88 persons assisted), public facility improvements (2,400 persons assisted), and public services activities (547 persons assisted) with an emphasis on homeless assistance (314 persons assisted) for a total of 3,349 persons assisted. 2023-27 CONPLAN PRIORITY / ACTIVITY PERSON ASSISTED CDBG Expenditures HOME Expenditures HOME-ARP Expenditures Total % Affordable Housing 88 $434,770 $211,342 $0 $646,112 41% Making Homelessness Rare, Brief, and Nonrecurring 314 $49,834 $0 $248,028 $297,862 19% Public Services 547 $912,267 $0 $0 $91,267 6% Public Facilities, Improvements, and Infrastructure 2400 $304,728 $0 $0 $304,728 19% Planning and Administration 0 $180,668 $58,619 $1,646 $240,934 15% Total 3349 $1,061,267 $269,961 $249,674 $1,580,902 100% Table 3 - HUD Expenditures and Persons Assisted by ConPlan Priorities 4. Summary of Citizen Participation Process and consultation process Summary from citizen participation section of plan. Annual Action Plan 2025 5 OMB Control No: 2506-0117 (exp. 09/30/2021) Citizen participation and stakeholder consultation are a key component to our City’s Action Plan. Community Services took the following measures to encourage citizen participation throughout the year and additional information and supporting documentation is available in the appendix (Attachment 2): • Strategic Partnerships and Collaborations. The City of Denton has a very strong network of service providers including those providing housing, education, health care and other needed services. The City engages in ongoing active participation in various boards, coalitions, and committees with a commitment to building and maintaining strong collaborative relationships with community partners and interest groups. The City obtains real-time data on community needs from active, participating members of the community including representatives from organizations providing public services, community residents and engaged stakeholders. Over the past five years, the United Way of Denton County, the City of Denton, the Denton Independent School District, and other organizations have joined together to review and discuss the provision of services in the Denton area to maximize the benefits derived from available resources. • Online Survey. Web-based surveys are an effective means to complement paper-based or other traditional methods of data collection. Using web-based surveys allows us to reach a greater proportion of the population because they are easily distributed and reach people who rely exclusively on electronic media for news and information. The City collected surveys from October 24, 2024, through November 29, 2024, which generated 39 responses in total. The survey questions focused on housing and community development needs. Community Development utilized social media and solicited City Council, community partners (nonprofits, boards, coalitions, committees), and various city departments and housing providers to assist in distributing the survey across the community. Paper surveys were also made available upon request. • Funding Workshop. The City hosted a Funding Priority Workshop on November 13, 2024, at 6 p.m. at the Development Service Center (401 N. Elm St. Denton, TX 76201) to provide an update on current funding initiatives and obtain feedback from the community for the prioritization of funds. The workshop was promoted via email listserv, social media, the City’s website, flyers posted in city facilities, and a newspaper ad. Spanish translations were available. Staff made a presentation to review funds and annual performance and solicited comments on how federal funds should be utilized in the community. No comments were received. • Public Comment Period. A draft of the 2025 Annual Plan was placed on public display for 30 days beginning from May 19, 2025, to June 20, 2025. Posted an advertisement in the Denton Record Chronicle. Posted draft plan on the City’s website. Solicited comments through Constant Contact, social media, the City’s website, flyers posted in city facilities, information circulated on the local Denton Television channel, and a newspaper ad. • Public Hearing. Conducted a final public hearing on June 17, 2025, during the City Council Meeting Regular Session to obtain comments on the proposed use of funds for 2025 Action Plan. The public hearing was promoted through Constant Contact email blast, social media, a webform on the City’s website, the City’s local television channel, and an ad in the local paper. Spanish translations were available. See ATTACHMENT 2 for Comments. 5. Summary of public comments Annual Action Plan 2025 6 OMB Control No: 2506-0117 (exp. 09/30/2021) This could be a brief narrative summary or reference an attached document from the Citizen Participation section of the Con Plan. A summary of public comments received during the funding workshop, public hearing, results of the public survey, during the 30-day comment period are available in attachment 2. The appendix also includes supporting documentation on the outreach methods (ATTACHMENT 2). 6. Summary of comments or views not accepted and the reasons for not accepting them City Council, staff and the Community Services Advisory Committee (CSAC), an advisory council composed of Denton residents appointed by City Council, considered all public comments informing the development of the 2025 Action Plan. 7. Summary The 2025 Action Plan was developed by requesting public input regarding the use of federal funds. Housing and public facility funding applications were released December 2, 2024, and Human Services funding applications were released December 13, 2024. Application training was provided by the Community Services Staff on the combined community development funding application December 19, 2024. The CSAC reviewed and scored applications in March and April 2025, and the committee developed a set of funding recommendations May 2, 2025. The 2025 Action Plan was developed based on the CSAC recommendations. Annual Action Plan 2025 7 OMB Control No: 2506-0117 (exp. 09/30/2021) PR-05 Lead & Responsible Agencies – 91.200(b) 1. Agency/entity responsible for preparing/administering the Consolidated Plan Describe the agency/entity responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source. Agency Role Name Department/Agency CDBG Administrator Denton Community Development Division HOME Administrator Denton Community Development Division Table 4 – Responsible Agencies Narrative (optional) The City of Denton Community Services is the lead agency responsible for overseeing the development of the Consolidated Plan for the City of Denton. Community Services also administers the Community Development Block Grant (CDBG) and the HOME Investment Partnerships (HOME) Grant. Consolidated Plan Public Contact Information City of Denton Community Services 401 N. Elm Street Denton, Texas 76201 Phone: (940) 349-7726 Annual Action Plan 2025 8 OMB Control No: 2506-0117 (exp. 09/30/2021) Fax: (940) 349-7753 E-mail: communitydevelopment@cityofdenton.com Website: http://www.cityofdenton.com Annual Action Plan 2025 9 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-10 Consultation – 91.100, 91.200(b), 91.215(l) 1. Introduction The City of Denton encourages the participation of all citizens in the development of the Consolidated and Action Plans and in the review of progress in implementing planned activities. The City of Denton utilizes a variety of methods to consult with residents, social service providers, and community development organizations, and to enhance coordination between public and assisted housing providers and private and governmental health, mental health, and service agencies. Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l)) The participation process for the Consolidated Plan included public hearings, a 30-day public comment period, a community survey for citizens and non-profit agencies, participating in coalitions and committees including focus groups, consultation with various city departments, and consultation with housing providers. The City particularly encouraged involvement by low- and- moderate-income households residing in areas targeted for program activities as required by the Citizen Participation Plan. Special effort is made to assure that low- and moderate-income persons, households in areas assisted by program activities, and persons with special needs have opportunities to participate. The City enhances coordiantion between public and assisted housing providers and private and governmental health, mental health and service agencies by holding public meetings, utilizing public comment periods; administering commuinty surveys accessible online and in print for citizens and non- profit agencies, through active participating in coalitions and committees, by maintaining ongoing consultation with various city departments; and ongoing consultation with hosuing providers including nonprofits and the Denton Housing Authority. Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness. The Continuum of Care (CoC) sets priorities for housing and supportive services to benefit persons experiencing homelessness. The City actively participates in the Balance of State CoC and the local homeless coalition, the Denton County Homeless Coalition. Annual Action Plan 2025 10 OMB Control No: 2506-0117 (exp. 09/30/2021) This collaboration supports developing the framework for local housing focused on strategies for making homelessness rare, brief, and nonrecurring. The collaboration (consultation) with the CoC has led to full implementation of Denton’s Coordinated Entry System (CE), offering a centralized, community-wide coordinated system of prioritizing and moving people experiencing homelessness to permanent housing. CE data is collected and shared safely between service providers and allows our local system to quickly identify, assess, and refer unhoused folks to housing assistance and supportive services that promote housing stability based on their level of need and special population prioritization status (Veterans, Chronically Homeless, and Victims of Domestic Violence). This data is collected and disseminated through a dashboard provided to the public: https://www.unitedwaydenton.org/homelessness-data-denton-county. Working in collaboration and in support of the priorities, CoC grants are awarded locally to provide housing and supportive services. In Denton, these funds support permanent supportive housing projects, support for Coordinated Entry/HMIS, and Rapid Re-housing so individuals and families can transition out of homelessness into permanent housing. Coordination with the Continuum of Care offers both entities expanded access to funding, quality collaborative tools, and greater knowledge of resources. Coordination with the CoC offers several benefits to the City of Denton and the CoC. Collaboration includes improved data collection and better management of available resources by improving the Homeless Management Information System (HMIS). The City invests public funds for HMIS, including assistance with licenses and funding for a staff position at the United Way of Denton County for HMIS/Coordinated Entry support in Denton. CoC collaboration improves the relevance of data collected through the annual Point-in-Time (PIT) homeless count and annual Housing Inventory Count (HIC). In consultation with the CoC, the City of Denton staff work with private partners and neighboring entitlement communities to implement the PIT and HIC collaboratively across Denton County. Describe consultation with the Continuum(s) of Care that serves the jurisdiction's area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration of HMIS ESG consultation is not applicable since Denton does not receive ESG funds from HUD as an annual entitlement. However, Texas Department of Housing and Community Affairs (TDHCA) does manage the local competition for the State Entitlement ESG funds. 2. Describe Agencies, groups, organizations and others who participated in the process and describe the jurisdiction’s consultations with housing, social service agencies and other entities Annual Action Plan 2025 11 OMB Control No: 2506-0117 (exp. 09/30/2021) Table 5 – Agencies, groups, organizations who participated 1 Agency/Group/Organization Committee on Persons with Disabilities Agency/Group/Organization Type Other government - Local Special Needs Citizen Committee What section of the Plan was addressed by Consultation? Public Services and Public Facilities Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Review committee reports and actions, present to committee on City programs. OUTCOMES: Committee develops recommendations for improvement of local services and infrastructure for persons with disabilities. 2 Agency/Group/Organization DENTON AFFORDABLE HOUSING CORP Agency/Group/Organization Type CHDO What section of the Plan was addressed by Consultation? Affordable Housing Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? DAHC participates with the DC Behavioral Health Leadership Team, DC Homelessness Leadership Team along with the City and distributed City online survey through DAHC. OUTCOMES: Partners with City and other organizations to create/preserve affordable rental housing. 3 Agency/Group/Organization Denton County MHMR Center Agency/Group/Organization Type Mental Health Service Organization What section of the Plan was addressed by Consultation? Public Services Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? DCMHMR participates with the CoC, DC Behavioral Health Leadership Team, DC Homelessness Leadership Team along with the City and distributed City online survey through DCMHMR. OUTCOMES: To improve and expand Mental Health resources/services including PSH. Annual Action Plan 2025 12 OMB Control No: 2506-0117 (exp. 09/30/2021) 4 Agency/Group/Organization Denton County Public Health Department Agency/Group/Organization Type Public Health Department, Coalitions What section of the Plan was addressed by Consultation? Public Services Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Coalition of multiple local services providers including the City and distributed City online survey through DCPH. OUTCOMES: Identify community needs, address gaps in services, and expand resources. Engage in planning activities to improve, expand, and coordinate Healthy Community resources/services. 5 Agency/Group/Organization Denton Housing Authority Agency/Group/Organization Type PHA What section of the Plan was addressed by Consultation? Affordable Housing Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Requested information and data from DHA on public housing needs and distributed City online survey through DHA. OUTCOMES: Local housing organizations will work to provide additional affordable housing for Housing Choice Voucher holders and others. Opportunities for better coordination of affordable housing needs including planning. 6 Agency/Group/Organization Denton County Food Insecurity Group Agency/Group/Organization Type Public Services Assistance Group What section of the Plan was addressed by Consultation? Public Services Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Coalition of multiple local services providers including the City. City participates in biweekly meetings. OUTCOMES: Collaborate to identify community needs, address gaps in services, and expand resources to decrease food insecurity. Annual Action Plan 2025 13 OMB Control No: 2506-0117 (exp. 09/30/2021) 7 Agency/Group/Organization Denton Independent School District Agency/Group/Organization Type Services-Education Public Education Entity What section of the Plan was addressed by Consultation? Economic and Public Services Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Joint City and DISD meetings are hosted. OUTCOMES: Increase intergovernmental collaboration and identify partnerships necessary to address community needs. 8 Agency/Group/Organization Denton County Behavioral Health Leadership Team Agency/Group/Organization Type Quasi-Governmental Collective Impact Initiative What section of the Plan was addressed by Consultation? Homelessness Strategy Public Services Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? City works in collaboration with partners to increase intergovernmental collaboration and identify community needs. OUTCOMES: Enhance the behavioral health outcomes of all partners by facilitating a shared vision, shared measurements, mutually reinforcing activities, and continuous communication. 9 Agency/Group/Organization Denton County Homelessness Leadership Team Agency/Group/Organization Type Quasi-Governmental Collective Impact Initiative What section of the Plan was addressed by Consultation? Homelessness Strategy Public Services Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? City in public-private partnership by funding the UW initiative. City works in collaboration with partners to increase intergovernmental collaboration and identify community needs. OUTCOMES: Making Homelessness Rare, Brief, and Nonrecurring. Annual Action Plan 2025 14 OMB Control No: 2506-0117 (exp. 09/30/2021) 10 Agency/Group/Organization Denton County Workforce Success Leadership Team Agency/Group/Organization Type Quasi-Governmental Collective Impact Initiative What section of the Plan was addressed by Consultation? Economic Mobility, Financial Stability Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? City works in collaboration with partners to increase intergovernmental collaboration and identify community needs. OUTCOMES: Enhance the workforce success outcomes of all partners by facilitating a shared vision, shared measurements, mutually reinforcing activities, and continuous communication. 11 Agency/Group/Organization Texas Homeless Network Agency/Group/Organization Type Lead Agency for the Balance of State CoC What section of the Plan was addressed by Consultation? Homelessness Strategy Public Service Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Continuous collaboration and consultation regarding homeless needs in the Denton area. OUTCOMES: Making Homelessness Rare, Brief, and Nonrecurring. 12 Agency/Group/Organization Local Broadband Companies- Frontier Communications, Spectrum, and Charter Communications Agency/Group/Organization Type Local Broadband Companies What section of the Plan was addressed by Consultation? Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Reviewed data from local broadband companies, including upload and download speeds, to determine the need for broadband wiring and connections for low and moderate-income households. Annual Action Plan 2025 15 OMB Control No: 2506-0117 (exp. 09/30/2021) 13 Agency/Group/Organization Local Emergency Management-City and County of Denton Emergency Management, FEMA Region VI Agency/Group/Organization Type Local Emergency Management Agencies What section of the Plan was addressed by Consultation? Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agencies developed the Denton County Hazard Mitigation Action Plan that identified natural disasters as having the potential to cause damage in the county. The plan was reviewed to determine the impact on low- and moderate-income areas. Identify any Agency Types not consulted and provide rationale for not consulting The City made every effort to consult all Agency types, including Broadband and Emergency Management. Other local/regional/state/federal planning efforts considered when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? Continuum of Care Assessment of Fair Housing City of Denton (North Texas Regional Housing Assessment) AFH-AFFH Denton Plan 2040 City of Denton Needs Assessment, Market Analysis, AFH-AFFH Denton Development Code City of Denton Needs Assessment, AFH-AFFH 2022 Denton Mobility Plan City of Denton Needs Assessment, AFH-AFFH Parks Master Plan City of Denton Needs Assessment Annual Action Plan 2025 16 OMB Control No: 2506-0117 (exp. 09/30/2021) Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? Collective Impact Initiaitves United Way of Denton County Needs Assessment ALICE (Asset Limited, Income Constrained, Employed United Way of Denton County Needs Assessment CHIP (Community Health Improvement Plan) Denton County Health Department Needs Assessment County Health Rankings and Road Map Denton County Health Departement Needs Assessment Regional Data and Analysis North Texas Council of Governments Needs Assessment, Market Analysis Denton County Hazard Mitigation Plan Denton County Emergency Management Needs Assessment Broadband Plan City of Denton Needs Assessment Table 6 – Other local / regional / federal planning efforts Narrative (optional) Annual Action Plan 2025 17 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-12 Participation – 91.105, 91.200(c) 1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting The City of Denton utilizes a variety of methods to encourage ongoing participation from residents, social service providers and community development organizations. In order to broaden the citizen participation process during the 2025 Action Plan, residents were able to access a brief survey regarding the use of CDBG, HOME, and other funding targeted to assist low and moderate-income individuals and households. The survey was promoted via email listserv, social media, the City’s website, flyers posted in libraries and recreation centers and an ad in the local paper. The survey was available October 2024 through November 2024, and the City received thirty-nine responses (39). A summary of survey results is located in the appendix (Attachment 2). The opportunity for residents to provide comments and ideas without attending a public hearing gave staff additional information on existing programs and what can be done to improve services. In the online survey, the top three needs in community services, housing assistance, infrastructure, and special populations that respondents stated the City should fund are as follows: • Affordable Housing: Provide housing for vulnerable populations (80%); New affordable rental units (62%); and homebuyer and homeowner repair assistance (62%) • Making Homelessness Rare, Brief, and Nonrecurring: Increase transitional housing (54%); Increase permanent supportive housing (54%); and increase and improvement to mental health services (54%) • Public Services: Health and mental health services (82%), affordable childcare (62%), and transportation services (49%) • Public Improvements and Infrastructure Needs: Improve roads and sidewalks (77%); assist non-profits with improving their facilities (64%); and new or improve community centers (44%) This Action Plan includes CDBG and HOME funds for many of the top needs that respondents stated that the City should fund, such as affordable housing, reducing and/or eliminating homelessness, childcare centers and services, health services, and transportation assistance. The city continues to allocate General Funds to also assist with the top needs such as services for neglected/abused children, health services, mental health, and homeless initiatives. Annual Action Plan 2025 18 OMB Control No: 2506-0117 (exp. 09/30/2021) Citizen Participation Outreach Sort Order Mode of Outreach Target of Outreach Summary of response/attendance Summary of comments received Summary of comments not accepted and reasons URL (If applicable) 4 Online Survey (1) All city residents and organizations. 39 surveys were completed. See summary of the comments. Attachment 2 Comments regarding City services not pertaining to eligible activities under CDBG or HOME funding were not incorporated into the plan(s). Funding Priority Survey (Oct. 2024 to Nov. 2024) 5 Social Media All city residents and organizations Residents were requested to attend hearings, complete surveys and provide comment. Included with Sort Order 1 through 4 above as applicable. N/A Posting during survey and comment periods on social media. 6 Denton Television All city residents and organizations. Posted during survey and public comment periods. Included with Sort Order 1 through 4 above as applicable. N/A Posting during survey and comment periods 7 Community Development Email Listserv (3 times) Service providers, residents in low/mod areas, Neighborhood Associations and local churches. Residents were requested to attend hearings, complete surveys and provide comment. Included with Sort Order 1 through 4 above as applicable. N/A December 16, 2024, January 10, 2025, and May 13, 2025 Table 7 – Citizen Participation Outreach Annual Action Plan 2025 19 OMB Control No: 2506-0117 (exp. 09/30/2021) Annual Action Plan 2025 20 OMB Control No: 2506-0117 (exp. 09/30/2021) Expected Resources AP-15 Expected Resources – 91.220(c)(1,2) Introduction Details about how we intend to spend specific grant resources in specific activities which tie back to our larger Strategic Plan Goals. The anticipated federal resources below are based on final HUD allocation amounts. Anticipated Resources Program Source of Funds Uses of Funds Expected Amount Available Year 1 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ Annual Action Plan 2025 21 OMB Control No: 2506-0117 (exp. 09/30/2021) Program Source of Funds Uses of Funds Expected Amount Available Year 1 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ CDBG public - federal Acquisition Admin and Planning Economic Development Housing Public Improvements Public Services 1,049,336.00 4,000.00 103,578.26 1,156,914.26 2,098,672.00 In the 2025 Action Plan, the City of Denton included $103,578.26 as prior year funds. A substantial amendment for the 2022 Action Plans was completed to reallocate $100,000 in CDBG funds. The substantial amendment reallocated the funds from the Rental Repair Program since it had not received enough applications to expend the CDBG funds. A minor amendment for the 2023 Action Plan was also completed to reallocate $3,589.83 ($165.94 from Denton County Friends of the Family and $3,412.32 from Denton City County Day School) remaining from activities that were completed with a fund balance. The CDBG prior funds for $103,578.26 were allocated to the Minor Repair Program. Annual Action Plan 2025 22 OMB Control No: 2506-0117 (exp. 09/30/2021) Program Source of Funds Uses of Funds Expected Amount Available Year 1 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ HOME public - federal Acquisition Homebuyer assistance Homeowner rehab Multifamily rental new construction Multifamily rental rehab New construction for ownership TBRA In the 2025 Action Plan, the City of Denton included $438,041.19 as prior year funds. A substantial amendment for the 2024 Action Plan was completed to allocate $424,793.36 in HOME funds. The substantial amendment would reallocate 2024 HOME funds of $244,400 to the Denton Affordable Housing Corporation Robertson Project from the cancelled DAHC Camelot project. The DAHC Camelot project was cancelled since it was determined that the project would not provide permanent housing, so it is not HOME eligible. The substantial amendment would also allocate $180,393.36 from 2024 HOME unprogrammed funds that were not allocated during the 2024 Action Plan due to insufficient HOME applications. Prior year funds also include a minor amendment for 2022 and 2023 HOME funds to reallocate from residual funds from completed projects. The 2022 HOME residual funds of $3,589.83 Annual Action Plan 2025 23 OMB Control No: 2506-0117 (exp. 09/30/2021) Table 8 - Expected Resources – Priority Table Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied The CDBG and HOME activities leverage other funding sources to carry out various activities. For the 2025-26 program year, CDBG and HOME projects will leverage an additional $27,220,564 in federal, state, local, and private funds and include the following: Proposed General Funds for human services activities $377,955 Federal Funds for human services activities $3,784,058 State Funds for human services activities $5,553,985 Local Funds for human services activities $2,724,985 Private Funds for human services activities $13,675,852 Private Funds for affordable housing activities $1,103,729 Total Federal, State, Local, and Private Funding $27,220,564 The above list includes proposed General Fund allocations from the City of Denton. General fund recommendations will be considered during the normal budgeting cycle and considered for approval in September 2025. Annual Action Plan 2025 24 OMB Control No: 2506-0117 (exp. 09/30/2021) The HOME program requires a participating jurisdiction to provide a 25% match of the federal HOME funds. The City of Denton's local match for the HOME program is $106,219.75 for the 2025-26 program year. The 25% match of federal HOME grant excludes administrative allowances of 10%, program income, and CHDO operating funds. The City of Denton will provide the match from a variety of sources, including the following: Residual balance of match from prior years. Local and state funding provided to Denton Affordable Housing Corporation and Habitat for Humanity of Denton County on eligible HOME projects, such as funds from the Federal Home Loan Bank, Denton County Housing Finance Corporation, and Texas Department of Housing and Community Affairs. General Funds provided on eligible HOME projects through the Affordable Housing Fee Grant Program. Annual Action Plan 2025 25 OMB Control No: 2506-0117 (exp. 09/30/2021) If appropriate, describe publically owned land or property located within the jurisdiction that may be used to address the needs identified in the plan Not applicable. Discussion See discussion in previous sections. Annual Action Plan 2025 26 OMB Control No: 2506-0117 (exp. 09/30/2021) Annual Goals and Objectives AP-20 Annual Goals and Objectives Goals Summary Information Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 1 Affordable Housing 2023 2027 Affordable Housing Denton City Limits Affordable Housing CDBG: $521,647.26 HOME: $471,590.00 Public service activities for Low/Moderate Income Housing Benefit: 52 Households Assisted 2 Making Homelessness Rare, Brief and Nonrecurring 2023 2027 Homeless Denton City Limits Making Homelessness Rare, Brief and Nonrecurring CDBG: $45,437.00 Homeless Person Overnight Shelter: 240 Persons Assisted 3 Public Services 2023 2027 Non-Housing Community Development Denton City Limits Public Services CDBG: $157,400.00 Public service activities for Low/Moderate Income Housing Benefit: 900 Households Assisted 4 Public Facilities, Improvements and Infrastructure 2023 2027 Non-Housing Community Development Denton City Limits Public Facilities, Improvements and Infrastructure CDBG: $268,000.00 Public Facility or Infrastructure Activities for Low/Moderate Income Housing Benefit: 8320 Households Assisted Annual Action Plan 2025 27 OMB Control No: 2506-0117 (exp. 09/30/2021) Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 5 Planning and Administration 2023 2027 Planning and Administration Denton City Limits Planning and Administration CDBG: $209,867.00 HOME: $46,223.00 Table 9 – Goals Summary Goal Descriptions 1 Goal Name Affordable Housing Goal Description Support the provision of quality housing by increasing the availability/accessibility of affordable housing. The City will address the priority need by funding the following activities: Home Repair Programs; Homebuyer Assistance Programs; new construction of affordable housing; homelessness prevention (non-HOME rental assistance); rapid re-housing; and supportive services. 2 Goal Name Making Homelessness Rare, Brief and Nonrecurring Goal Description The City is providing support for the community’s Collective Impact Initiative, the Denton County Homelessness Leadership Team that seeks to: a. Increase leadership, collaboration, and engagement, with a focus on providing and promoting collaborative leadership at all levels of government and across all sectors b. Strengthen the housing crisis response system’s capacity to implement successful interventions to make Homelessness Rare, Brief and Nonrecurring. c. Increase access to housing, by providing emergency, affordable housing and permanent supportive housing. d. Increase economic security, by improving access to education and increasing meaningful and sustainable employment and improving access to mainstream programs and services to reduce financial vulnerability to homelessness. Annual Action Plan 2025 28 OMB Control No: 2506-0117 (exp. 09/30/2021) 3 Goal Name Public Services Goal Description The City will support nonprofit organizations in carrying out public service activities assisting low-income persons, children/youth, seniors, persons with disabilities, and persons experiencing or at-risk of homelessness. Services will address the following: economic stability, education access and quality, health care access and quality, neighborhood and built environment, and social and community context. 4 Goal Name Public Facilities, Improvements and Infrastructure Goal Description Provides funding for public facility and infrastructure improvements. Public facility projects benefit LMI persons by creating/improving public services facilities such as ADA accessibility and increasing public service locations. Infrastructure improvement projects benefit LMI neighborhoods by improving existing infrastructure such as street improvements; installation of new sidewalk, water and sewer lines, and drainage improvements; improving and expanding park and recreational facilities. 5 Goal Name Planning and Administration Goal Description Planning, management, and operations related to developing, administering and carrying out the 2023-2027 Consolidated Plan Strategic Plan and Annual Goals and Objectives. Annual Action Plan 2025 29 OMB Control No: 2506-0117 (exp. 09/30/2021) Projects AP-35 Projects – 91.220(d) Introduction The City of Denton is currently a Community Development Block Grant (CDBG) entitlement and a participating jurisdiction for the HOME Investment Partnership (HOME) Programs. Applications for Federal Assistance for CDBG and HOME are available in the appendix section. The City of Denton's estimated total federal funds and program income funding for the 2025-26 program year is $2,322,832.05 and includes $541,619.45 in CDBG and HOME reprogrammed funds from prior year funds. Besides the federal funds, the City of Denton is also leveraging an additional $1,316,405.00 in local funds from the City of Denton General Funds for public services, homeless council initiatives, and administration. Please note that Table 10 shows the list of projects that are recommended to be funded with General Funds for the 2025-26 fiscal year. Table 11 is the list of projects that will be funded with federal funds from the U.S. Department of HUD for the 2025-26 program year. Project Name and Amount Children’s Advocacy Center $40,388 Court Appointed Special Advocates $35,340 Communities in Schools $35,340 Cumberland Youth and Family Services $16,155 Denton Christian Preschool $30,291 Denton City County Day School $15,145 Denton County MHMR Center $30,291 Giving Grace $36,854 Our Daily Bread $39,378 Opening Doors International Services, Inc. $15,145 PediPlace $35,339 Refuge for Women $15,360 SPAN, Inc. $7,687 The Salvation Army $25,242 Total General Fund - Human Services Grant $377,955 As far as the PY25 HOME allocation, not all the 2025 HOME funds were allocated in the 25AAP. The balance of unprogrammed funds of $648,104.79 will be programmed through a substantial amendment to be submitted to HUD in the Fall of 2025. Annual Action Plan 2025 30 OMB Control No: 2506-0117 (exp. 09/30/2021) 25 HOME Grant DAHC Project $471,590.00 Admin Funds $46,223.00 Total Funds Programmed $517,813.00 Less Program Income -$265,637.28 Less Reprogram Funds -$438,041.19 Less HOME Grant -$462,239.32 Difference Between Funding Available and Programmed Funds = Unprogrammed Funds -$648,104.79 Projects # Project Name 1 2025 Community Development Administration 2 2025 Denia Park Shade Structures Project 3 2025 Denton Affordable Housing Corporation Homebuyer New Construction 4 2025 Denton County Friends of the Family 5 2025 Denton County Friends of the Family Project 6 2025 Fred Moore Scoreboards Project 7 2025 Health Services of North Texas 8 2025 Minor Repair Program 9 2025 PARD Summer Kids Camp 10 2025 SPAN, Inc. Table 10 - Project Information Describe the reasons for allocation priorities and any obstacles to addressing underserved needs The City’s approach to prioritization of needs identified in the Consolidated Plan were the result of enhanced coordination between public and private partners and through organized citizen participation activities. (SP-25). Allocations are based on needs analysis, the purpose and eligibility of Consolidated Plan funds, and the availability of City General Funds to meet a wide variety of needs. As identified in the City’s Consolidated Plan, funding allocation is prioritized for projects that addressess economic stability, education access and quality, health care access and quality, neighborhood, and built environment and social and Annual Action Plan 2025 31 OMB Control No: 2506-0117 (exp. 09/30/2021) community context that affect a wide range of health, functioning, and quality-of-life outcomes and risks. The City of Denton’s CDBG and HOME allocations have not been sufficient to allow for the funding of extensive housing, economic development or public works projects. For the City’s priority goals related to Affordable housing; Making Homelessness Rare, Brief and Nonrecurring; Public Services; Public facility and public improvement projects; each are prioritized by identified need and funding is allocated based on available funding and eligibility of projects. Annual Action Plan 2025 32 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-38 Project Summary Project Summary Information Annual Action Plan 2025 33 OMB Control No: 2506-0117 (exp. 09/30/2021) 1 Project Name 2025 Community Development Administration Target Area Denton City Limits Goals Supported Planning and Administration Needs Addressed Planning and Administration Funding CDBG: $209,867.00 HOME: $46,223.00 Description Program administration for the CDBG and HOME grants and include program manage, coordinator, and monitoring associated with carrying eligible activities. Program will be carried out by the Community Services Department. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities N/A Location Description Administration services are carried at the Community Development Division at 401 N. Elm St., Denton Texas 76201. Planned Activities Funds will be used to cover the cost of planning, adminstering, operating, and monitoring the CDBG and HOME grants. 2 Project Name 2025 Denia Park Shade Structures Project Target Area Denton City Limits Goals Supported Public Facilities, Improvements and Infrastructure Needs Addressed Public Facilities, Improvements and Infrastructure Funding CDBG: $250,000.00 Description Project includes the purchase and installation of a shade structure at Denia Park to provide areas of shade for park visitors. Project will be carried out by the Parks and Recreation Department. Project is located in a low-moderate area. Target Date 9/30/2026 Annual Action Plan 2025 34 OMB Control No: 2506-0117 (exp. 09/30/2021) Estimate the number and type of families that will benefit from the proposed activities 5,595 low to moderate income people Location Description Denia Park, 1001 Parvin St, Denton, TX 76205 Census Tract 208.00 Block Group 2 and 3 Census Tract 209.00 Block Group 2 Census Tract 210.00 Block Group 4 Census Tract 213.04 Block Group 2 Planned Activities Funds will cover the cost of purchase and installation of a shade structure. 3 Project Name 2025 Denton Affordable Housing Corporation Homebuyer New Construction Target Area Denton City Limits Goals Supported Affordable Housing Needs Addressed Affordable Housing Funding HOME: $471,590.00 Description Project consists of housing development and operating costs of three single-family homes for low-income homebuyers. Project will be carried out by Denton Affordable Housing Corporation, a certified CHDO. HOME funds include $438,041.19 in 2024 reallocated funds. Funding also includes the following: $438,041.19 in 2024 HOME funds with $23,600 in operating costs and $33,548.81 in 2025 HOME funds with $23,111 for CHDO Operating Costs. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 3 low-to-moderate income households Location Description 418 Robertson St., Denton Texas Planned Activities Funds will cover the cost of new housing construction and homebuyer assistance for three single-family homes. Funds will also be used for CHDO operating expenses for DAHC. 4 Project Name 2025 Denton County Friends of the Family Annual Action Plan 2025 35 OMB Control No: 2506-0117 (exp. 09/30/2021) Target Area Denton City Limits Goals Supported Making Homelessness Rare, Brief and Nonrecurring Needs Addressed Making Homelessness Rare, Brief and Nonrecurring Funding CDBG: $45,437.00 Description Provide shelter that is equipped to improve clients' sense of safety, provide support in overcoming the impact of violence and abuse and begin the process of helping the client achieve and maintain self- sufficiency free from family violence. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 240 Presumed Benefit persons Location Description Address is suppressed. Planned Activities Funds will partially cover the cost of the Shelter Director salary 5 Project Name 2025 Denton County Friends of the Family Project Target Area Denton City Limits Goals Supported Making Homelessness Rare, Brief and Nonrecurring Needs Addressed Making Homelessness Rare, Brief and Nonrecurring Funding CDBG: $53,000.00 Description Project consists of making needed repairs to the home including adding ADA accessibility features. The home will be available as a transitional house when a family leaves emergency shelter and increase housing stability. Project will be carried out by the Denton County Friends of the Family. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 1 Presumed Benefit household Location Description Address is suppressed Annual Action Plan 2025 36 OMB Control No: 2506-0117 (exp. 09/30/2021) Planned Activities Funds will cover the cost of the home repairs including adding accessibility features. 6 Project Name 2025 Fred Moore Scoreboards Project Target Area Denton City Limits Goals Supported Public Facilities, Improvements and Infrastructure Needs Addressed Public Facilities, Improvements and Infrastructure Funding CDBG: $18,000.00 Description Project includes the purchase and installation of scoreboards for the football and softball fields at the Fred Moore Park. Project will be carried out by the Parks and Recreation Department. Project is located in a low- moderate income area. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 2,725 low- and moderate-income persons Location Description 701 Wilson St. Denton, TX 76205 Census Tract 21202 Block Group 1 and 2 Planned Activities Funds will cover the cost and installation of scoreboards for the football and softball fields. 7 Project Name 2025 Health Services of North Texas Target Area Denton City Limits Goals Supported Public Services Needs Addressed Public Services Funding CDBG: $50,485.00 Description Provides quality primary medical care for impoverished and uninsured/underinsured patients of all ages (including women's health and prenatal care). Target Date 9/30/2026 Annual Action Plan 2025 37 OMB Control No: 2506-0117 (exp. 09/30/2021) Estimate the number and type of families that will benefit from the proposed activities 201 low-to-moderate income individuals Location Description 4401 N. I-35, Ste. 312, Denton, TX 76207 Planned Activities Funds will cover the cost of healthcare services for low to moderate- income individuals 8 Project Name 2025 Minor Repair Program Target Area Denton City Limits Goals Supported Affordable Housing Needs Addressed Affordable Housing Funding CDBG: $468,647.26 Description Program addresses urgently needed repairs of homes (repairs costing less than $24,500). This program can stabilize a home within the city limits of Denton until a rehabilitation can be done. Program will be managed by the Community Services Department. CDBG funds includes $138,578.26 in 2022 reallocated funds. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 48 low and moderate-income households Location Description This is a city-wide program. Applications are taken at the Community Development Division at 401 N. Elm St., Denton Texas 76201 Planned Activities Funds will be used for rehabilitation costs for minor repairs. 9 Project Name 2025 PARD Summer Kids Camp Target Area Denton City Limits Goals Supported Public Services Needs Addressed Public Services Funding CDBG: $43,922.00 Annual Action Plan 2025 38 OMB Control No: 2506-0117 (exp. 09/30/2021) Description City of Denton Summer Kids Camp will provide full or partial scholarships for a summer day camp program to income-eligible kids in need of quality care, mentoring, development of life skills, leadership, respect for others and respect for self. Program will be carried out by the Parks and Recreation Department. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 57 low and moderate-income persons low and moderate-income households Location Description Civic Center, Denia Recreation Center, McMath Middle School, and MLK Recreation Center Planned Activities Funds will cover the cost of camp scholarships. 10 Project Name 2025 SPAN, Inc. Target Area Denton City Limits Goals Supported Public Services Needs Addressed Public Services Funding CDBG: $17,556.00 Description Special Programs for Aging Needs (SPAN), Inc. to provide senior nutrition program providing nutritional home delivered and congregate meals for senior adults in Denton. Target Date 9/30/2026 Estimate the number and type of families that will benefit from the proposed activities 402 persons low and moderate-income persons. Location Description 1800 Malone St. Denton, TX 76201 Planned Activities The funds will cover a portion of the cost of meals. Annual Action Plan 2025 39 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-50 Geographic Distribution – 91.220(f) Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed The City of Denton’s CDBG and HOME allocations have not been sufficient to allow for the funding of large or extensive housing, economic development or public works projects. Geographic standards do not apply to city-wide home repair, homebuyer assistance, and public services grant programs. As required by CDBG guidelines, public facility and public improvement projects have been completed in residential areas meeting HUD’s low to moderate-income standards. All investments in public facilities and/or public improvements are based on requests received from residents of the low to moderate- income block groups and other areas of the city. After a request has been made, an assessment is made to determine the need for the improvement and the project cost. With support of staff recommendation on the appropriate use of CDBG funds and available projects eligible under the CDBG allocation, the City’s Community Services Advisory Committee evaluates which requests meet the community development needs and make recommendations to City Council. Geographic Distribution Target Area Percentage of Funds Denton City Limits 100 Table 11 - Geographic Distribution Rationale for the priorities for allocating investments geographically The City of Denton does not currently direct its investments in specific geographic areas. Discussion See above discussion. Annual Action Plan 2025 40 OMB Control No: 2506-0117 (exp. 09/30/2021) Affordable Housing AP-55 Affordable Housing – 91.220(g) Introduction Based on the goal to assist forty-eight (48) households in our Minor Repair Programs, assist one (1) household with rental repairs through Denton County Friend of the Family, and provide funding for the CHDO’s New Construction program assisting three (3) households, the City’s one-year goal is to assist fifty-two (52) households in 2025-26 Program Year with CDBG and HOME. One Year Goals for the Number of Households to be Supported Homeless 1 Non-Homeless 51 Special-Needs 0 Total 52 Table 12 - One Year Goals for Affordable Housing by Support Requirement One Year Goals for the Number of Households Supported Through Rental Assistance 0 The Production of New Units 3 Rehab of Existing Units 49 Acquisition of Existing Units 0 Total 52 Table 13 - One Year Goals for Affordable Housing by Support Type Discussion In addition to CDBG/HOME activities, the City also fund $135,000 for a Development Fee Grant program through the general fund to assist nonprofit housing developers. The grant reduces development costs by covering development fees to support new construction of Affordable Housing Units. The city expects to receive applications for 7-9 projects in the 2025-26 fiscal year. As a requirement to receive federal funding from the U.S. Department of Housing and Urban Development (HUD), the City of Denton Community Services Department prepares and submits a five- year Consolidated Plan (ConPlan) and an annual Action Plan. The annual Action Plan outlines how federal Community Development Block Grant funds, HOME funds and other federal and non-federal program funds will be used by the City in the upcoming fiscal year. When the City helps homeowners for HOME-assisted housing units, the purchase price and appraisal value may not exceed 95% of the median purchase price for the city. The HUD-derived formula for Annual Action Plan 2025 41 OMB Control No: 2506-0117 (exp. 09/30/2021) determining home values used data from July 2016 through June 2021 and was implemented beginning in June 2022. These data lagged the market and have limited what activities the city can fund based on these lower values. The city, per HUD guidelines, performed its own market study to determine more accurate values using more recent data. The proposal was submitted in the 2023 Action Plan, and we intend to also include the higher values for the 2025 Action Plan. The City is updating the median home values for use in HOME programs. The HUD derived data for use with HOME grant funding and homebuyer assistance programs used home sales data from July 2016 through June 2021 with implementation beginning in June 2022. Historically, home sale data from such a recent study would provide data accurate enough to effectively operate the programs. However, given that home values and purchase prices are increasing rapidly, the HUD data is low compared to the current market. As per HUD guidelines, the city performed its own market study to determine home values for the city of Denton for use in determining HOME value limits. HOME-assisted housing units may not exceed 95% of median purchase price for the city. The newer data from the city’s market study increases that threshold providing a wider variety of housing for which the city may provide assistance. City of Denton Proposed New Value Limits City of Denton, Texas Compilation of Single Family Existing Real Estate Sales for a 12-Month Period March 2022 – February 2023 Insufficient data available for new construction; new construction and existing single-family home values are combined. Annual Action Plan 2025 42 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-60 Public Housing – 91.220(h) Introduction The Denton Housing Authority (DHA) was formed in 1970 to address the housing needs of low-income families in the city of Denton. DHA does not manage any public housing units. DHA currently administers 1,876 Housing Choice Vouchers (also referred to as Section 8 or HCV) and a Self- Sufficiency/Homeownership Program. DHA administers various public facility corporations and tax credits to operate other multi-family properties such as the Veranda, Eighteen51 Brinker, Ridgecrest Apartments, The Beverley, The Hightone, The Woodlands of Denton, Square 9 Apartments, 16Ten East, Discovery Park, Mayhill Crossing, Elan Denton and Renaissance Courts Townhomes. In addition, DHA operates Heritage Oaks and the Pecan Place Apartments which provides affordable housing for seniors. Actions planned during the next year to address the needs to public housing Not applicable. Actions to encourage public housing residents to become more involved in management and participate in homeownership Not applicable. If the PHA is designated as troubled, describe the manner in which financial assistance will be provided or other assistance Not applicable. Discussion See above discussion and in previous sections including NA-35 and MA-45. Annual Action Plan 2025 43 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-65 Homeless and Other Special Needs Activities – 91.220(i) Introduction This section describes the activities planned during the 2025-26 program year to address the needs of persons who are homeless and other non-homeless needs. It includes CDBG/HOME and General Fund activities. Describe the jurisdictions one-year goals and actions for reducing and ending homelessness including Reaching out to homeless persons (especially unsheltered persons) and assessing their individual needs  Increase Street Outreach efforts to connect with people experiencing homelessness living unsheltered.Fund Street Outreach Program with General FundsFund a Stability Case Worker with General Funds to support engagement and case management for unhoused folksFund Staff to support annual Point in Time Count with General FundsThe City will work with community partners to secure other funding sources Addressing the emergency shelter and transitional housing needs of homeless persons  Increase the number of short-term supportive and long-term permanent affordable housing units for both individuals and families with children.Fund Our Daily Bread with General Funds and ARPA FundsFund Our Daily Bread and Giving Grace for TBRA and supportive services with HOME ARP GrantFund Denton County Friends of the Family Emergency Shelter with CDBG fundsThe City will work with community partners to secure other funding sources Helping homeless persons (especially chronically homeless individuals and families, families with children, veterans and their families, and unaccompanied youth) make the transition to permanent housing and independent living, including shortening the period of time that individuals and families experience homelessness, facilitating access for homeless individuals and families to affordable housing units, and preventing individuals and families who were recently homeless from becoming homeless again  Increase funding for Rapid Re-Housing for families and individuals including housing location and stabilization resources. Fund TBRA and Supportive Services Programs with HOME-ARP GrantFund Interfaith – Utility Assistance with General FundsFund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Housing Priority List (HPL)The City will work with community partners to secure other funding sources Annual Action Plan 2025 44 OMB Control No: 2506-0117 (exp. 09/30/2021)  Increase specialized housing for those in Permanent Supportive Housing (PSH) for those with prioritized special needs. Fund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Housing Priority List (HPL)Collaboration with TX Balance of State Continuum of Care Programs  Making the transition to permanent housing and independent living.Fund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Housing Priority List (HPL)Collaboration with TX Balance of State Continuum of Care (CoC)Housing Crisis Response System: Collaboration with CoC funded PSH programs at Giving Grace and Denton County MHMR  Shortening the length time that individuals and families experience homelessness.Fund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Housing Priority List (HPL)Fund Transitional Shelter (ARPA)  Facilitating Access.Fund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Homeless Information Management System (HMIS)Housing Crisis Response System: Housing Priority List (HPL)Housing Crisis Response System: Housing Navigator, Landlord Outreach Program Helping low-income individuals and families avoid becoming homeless, especially extremely low-income individuals and families and those who are: being discharged from publicly funded institutions and systems of care (such as health care facilities, mental health facilities, foster care and other youth facilities, and corrections programs and institutions); or, receiving assistance from public or private agencies that address housing, health, social services, employment, education, or youth needs.  Increase funding for Diversion (rapid resolution for diverting people from homelessness Annual Action Plan 2025 45 OMB Control No: 2506-0117 (exp. 09/30/2021) quickly).Fund United Way Homeless Initiatives and Barriers Fund with General FundsHousing Crisis Response System: Coordinated Entry (CE)Housing Crisis Response System: Housing Priority List (HPL)Fund Street Outreach Program with required budget item for DiversionThe City will work with community partners to secure other funding sources Discussion The Housing Crisis Response System (HCRS) is the City’s approach for a coordinated systems approach to identifying those experiencing homelessness, preventing homelessness when possible, connecting people with housing quickly and providing services when needed. While the 2025 Action Plan submitted to HUD may only include the goals for CDBG and HOME funds, the City invests general fund resources to strengthen the HCRS as a part of our goal to Make Homelessness Rare, Brief, and Nonrecurring. Therefore, all resources by source are described above. Annual Action Plan 2025 46 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-75 Barriers to affordable housing – 91.220(j) Introduction: This section describes the activities planned during the 2025-26 program year to address barriers in affordable housing identified in the 2023-2027 Assessment of Fair Housing and Affirmatively Furthering Fair Housing Goals (AFH-AFFH). Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment Details regarding the actions committed to remove or ameliorate the Barriers to Affordable Housing Responses are reflected in the City’s Assessment of Fair Housing and Affirmatively Furthering Fair Housing Goals (AFH-AFFH) in the 2023- 2027 Consolidated Plan. The work plan includes 6 separate goals with proposed actions that are intended to remove barriers to affordable housing: • Increase access to affordable housing in high-opportunity areas o Coordinate with Denton County Transportation Authority to improve access to transit resources (stops, route locations, schedules, and covered bus stops to provide shelter in inclement weather.) o Continue housing programs Housing Tax Credit program, Home Repair and Home Buyer Assistance programs, and incentivization of private development through the implementation of the Affordable Housing Strategic Toolkit o Provide public service funding that contributes to economic stability, neighborhood, education, food security, community, safety and social healthcare system to promote all areas of Denton. • Increase supply of affordable housing units o Continue to provide a Housing Tax Credit Application in support of the rental housing for low-income households. o Continuation of high-performing housing programs designed to ensure that affordable, accessible housing is created and preserved in Denton. o Seek opportunities to collaborate with housing service providers who support the creation of new housing and preservation of existing affordable housing, o Implement activities in support of the Denton Affordable Housing Strategic Toolkit’s Five Strategies – infill development, zoning relief and variances, increase capacity and resources, preservation, and increase access to information. o Utilize 2023 Affordable Housing General Obligation Bond funds to implement strategies within the Affordable Housing Strategic Toolkit. • Increase supply of accessible, affordable housing for persons with disabilities o Continued HOME funding provided to the City’s Community Housing Development Organization, the Denton Affordable Housing Corporation, with an emphasis on accessible units. Annual Action Plan 2025 47 OMB Control No: 2506-0117 (exp. 09/30/2021) o Ensure efforts to increase supply of affordable housing units includes persons with disabilities. • Make investments in targeted neighborhoods to improve access to opportunity o Support local networks working on social issues to create a strategy to improve access to opportunity for targeted neighborhoods. o Coordinate with the Denton County Transportation Authority (DCTA) to improve access to transit resources. o Implement activities in support of the Denton Affordable Housing Strategic Toolkit’s o Increase access to information and resources on fair and affordable housing ï¿§ Support training opportunities on the City’s programs and Fair Housing for local real estate professionals, property owners, and managers. ï¿§ Attend fair housing training when available to keep staff apprised of any recent changes to fair housing laws ï¿§ Implement the City of Denton’s non-discrimination ordinance. • Increase supports and services for residents with housing assistance: o Provide public service funding that contributes to the following: economic stability, education access and quality, health care access and quality, neighborhood and built environment and social and community context. o Improve the housing crisis response system programs to people experiencing or at-risk of experiencing homelessness. Discussion: See discussion above. Annual Action Plan 2025 48 OMB Control No: 2506-0117 (exp. 09/30/2021) AP-85 Other Actions – 91.220(k) Introduction: This section reports additional effects the City will undertake during the 2025-26 program year to address residents’ housing and community development needs. Actions planned to address obstacles to meeting underserved needs Please see sections AP-55, AP-65, and AP-75. Actions planned to foster and maintain affordable housing Please see sections AP-55 and AP-75. Actions planned to reduce lead-based paint hazards During the 2025-26 program year, the City actions will be:  Ensure that all regulatory requirements regarding lead-based paint are met throughout any housing rehabilitation construction activity performed by the City on homes constructed prior to 1978 including the Minor Repair Program, Rental Repair Program, Homebuyer Assistance Program, Habitat for Humanity of Denton County, and Denton Affordable Housing Corporation’s Rental Rehabilitation and Denton County Friends of the Family Project.  Seek opportunities to educate the public, housing services customers, and affordable housing partners, and contractors regarding the hazards of lead-based paint. Actions planned to reduce the number of poverty-level families During 2025-26 program year, the City actions will be: 1. Affordable housing assistance programs:Allocate CDBG and HOME funding to implement or provide grants for Preserving Affordable housing through Repair, Renovation and Rental Rehabilitation projects.Allocate General Funds to the Development Fee Grant to projects in support of the creation of Affordable Housing unitsAllocate funding for utility assistance programs that increase Housing Stability and Prevent Homelessness (See also: AP-65):Allocate General funding for Public Services Grants for rental assistance increase Housing Stability and Prevent Homelessness. Implement Affordable Housing Assessment with Bond funds. 2. Allocate CDBG and General Funds for Public Services, Facility, and/or Infrastructure Grants to combat Food Insecurity. 3. Allocate CDBG and General Funds for Public Services, Facility, and/or Infrastructure Grants to increase availability and access to Health, Mental Health, and Behavioral Health Care. Annual Action Plan 2025 49 OMB Control No: 2506-0117 (exp. 09/30/2021) 4. Allocate CDBG and General Funds for Public Services, Facility, and/or Infrastructure Grants to improve Family Stability by improving safety, support, and opportunity including access to affordable childcare. 5. Allocate CDBG and General Funds for Public Services, Facility, and/or Infrastructure Grants to increase availability and access to services for special needs populations (seniors, disabled, veterans, abused and neglected children, and victims of domestic violence) (See also: AP-65). 6. Allocate CDBG and General Funds for Public Services, Facility and/or Infrastructure Grants to make homelessness rare, brief, and nonrecurring (See also: AP-65). 7. Intergovernmental collaboration and Public Services, Facility and/or Infrastructure Grants to increase access to Transportation increasing housing and workforce stability. 8. Allocate CDBG and General Funds for Public Services Grants to increase access to mobility, educational programs, and workforce development for Economic security. Actions planned to develop institutional structure The City has defined the strategies below:  Develop and maintain a coordination system across service sectors and cultivation of systems to better match services to identified need;  Identify and continuously evaluate the strengths and gaps in housing and supportive services including improving systems to share best practices information across sectors; and  Collect and utilize data that informs system-wide based decision making for prioritizing and selecting high performing projects. During the 2025-26 program year, City actions related to institutional structures will be:  GOAL 1: Affordable Housing(See Also: AP-55, AP-75)Implementation of Affordable Housing Assessment with Bond funds  GOAL 2: Make Homelessness Rare Brief and Nonrecurring(See Also: AP-65)Continue collaboration among governments and community partnersACTIONS: Financial and Human Resources in Support of Denton County Homelessness Leadership Team in partnership with the United WayACTIONS: Financial and Human Resources to Improve Housing Crisis Response System.  GOAL 3: Non-Housing Community Development: Public Services(See Also: AP-55, AP-65, and AP-75)Continue collaboration among governments and community partnersACTIONS: Financial and Human Resources in Support of local nonprofits through grants and other programs.ACTIONS: Participate in Intergovernmental groups, local Coalitions, and Community Annual Action Plan 2025 50 OMB Control No: 2506-0117 (exp. 09/30/2021) Meetings to discuss solutions for improved community response systems to complex social issues.  GOAL 4: Non-Housing Community Development: Public Facilities, Public Improvements and InfrastructureCoordinate Public Facilities, Public Improvements and Infrastructure projects to improve neighborhoods. Actions planned to enhance coordination between public and private housing and social service agencies The City of Denton has a very strong network of service providers including those providing housing and supportive services. The City has a partnership with the United Way of Denton County, in three Collective Impact projects, the Denton County Behavioral Health Leadership Team, Denton County Homelessness and Housing Leadership Team, and the Denton County Workforce Success Leadership Team. These projects bring public and private agencies together to review and discuss the provision of services in the Denton area to improve systems and maximize the benefits derived from available resources. In addition, Denton has several work groups, committees, collaborations, and coalitions that have been developed to assist in enhancing coordination of services:  Denton County Behavioral Health Leadership Team and Homelessness Leadership Teams  Denton County Homeless Coalition  Committee on Persons with Disabilities  Denton County Food Security Task Force Healthy Communities Coalitions (specific issues discussed including mental health) City of Denton staff including Community Development staff will continue to actively participate in the above committees during the 2025-26 program year. The City is part of a strong team of service providers who are working to improve services. Discussion: While the 2025 Action Plan submitted to HUD may only include with the goals for CDBG and HOME funds, the City invests general fund resources to address residents’ housing and community development needs. Therefore, all resources by source are described above. Annual Action Plan 2025 51 OMB Control No: 2506-0117 (exp. 09/30/2021) Program Specific Requirements AP-90 Program Specific Requirements – 91.220(l)(1,2,4) Introduction: Below are specific requirements for the Community Development Block Grant and the HOME Investment Partnership Program. Community Development Block Grant Program (CDBG) Reference 24 CFR 91.220(l)(1) Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out. 1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 0 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 0 3. The amount of surplus funds from urban renewal settlements 0 4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0 5. The amount of income from float-funded activities 0 Total Program Income: 0 Other CDBG Requirements 1. The amount of urgent need activities 0 2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income.Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan. 0.00% Annual Action Plan 2025 52 OMB Control No: 2506-0117 (exp. 09/30/2021) HOME Investment Partnership Program (HOME) Reference 24 CFR 91.220(l)(2) 1. A description of other forms of investment being used beyond those identified in Section 92.205 is as follows: The City of Denton does not utilize other forms of investment beyond those identified in 92.205(b). The City will not permit other forms of investment without the prior approval of HUD. Annual Action Plan 2025 53 OMB Control No: 2506-0117 (exp. 09/30/2021) 2. A description of the guidelines that will be used for resale or recapture of HOME funds when used for homebuyer activities as required in 92.254, is as follows: The City of Denton will utilize recapture for homebuyers for the HOME program including any projects funded with HOME Program Income (PI). The policy provides guidelines that will be used for recapture of HOME funds when used for homebuyer activities under the Homebuyer Assistance Program as required in 24 CFR 92.254. All homebuyers sign a HOME written agreement with the City outlining the affordability period and recapture provisions. For HOME-assisted homebuyer units the period of affordability is based upon the direct HOME subsidy provided to the homebuyer that enabled the homebuyer to purchase the unit. Any HOME program income used to provide direct assistance to the homebuyer is included when determining the period of affordability. Recapture provisions will be used when the homebuyer transfers the property either voluntarily or involuntarily during the period of affordability. If the home is transferred during the affordability period, a portion of the net sales proceeds, if any, are returned to the City of Denton. The amount subject to recapture is reduced based on a pro rata reduction during the affordability period. The funds returned are equal to the amount of HOME funds invested less the amount for each full month that the homebuyer has occupied the house as principal residence. Any funds remaining after the distribution of the net sales proceeds to all lien holders, including the City of Denton, will be returned to the homeowner. In the event of a sale, short sale or foreclosure, the amount recaptured will be limited to the amount of net sales proceeds’ available at the time of such occurrence. If there are insufficient funds remaining from the sale of the property, the City will recapture less than or none of the recapture amount due and maintain data in each individual file that provides the amount of the sale and the distribution of the funds. The Recapture mechanisms used to secure the affordability of the HOME-assisted unit are recorded in accordance with state law with a promissory note, deed of trust and written agreement with the City of Denton. The affordability period stated in the note and deed of trust is the minimum period for the project. In all cases, the amount to be repaid is the subsidy provided directly to or on behalf of the homebuyer for closing costs and is limited to the net proceeds of the sale, which is defined as the sales price minus the first lien and seller paid closing costs and includes only the following items to the extent actually incurred: brokers commission, reasonable attorney fees, and any transfer tax or recording fee payable by the seller. 3. A description of the guidelines for resale or recapture that ensures the affordability of units acquired Annual Action Plan 2025 54 OMB Control No: 2506-0117 (exp. 09/30/2021) with HOME funds? See 24 CFR 92.254(a)(4) are as follows: Federal assistance will be provided in the form of a 0% interest, forgivable deferred payment loan (DPL) and will be secured by a HOME Written Agreement, fully executed and dated by all applicable parties and a Promissory Note and Deed of Trust. The Deed of Trust is recorded in the Real Property Records of Denton County. 4. Plans for using HOME funds to refinance existing debt secured by multifamily housing that is rehabilitated with HOME funds along with a description of the refinancing guidelines required that will be used under 24 CFR 92.206(b), are as follows: The City of Denton does not currently use HOME funds to refinance existing debt secured by multi- family housing that is being rehabilitated with HOME funds. 5. If applicable to a planned HOME TBRA activity, a description of the preference for persons with special needs or disabilities. (See 24 CFR 92.209(c)(2)(i) and CFR 91.220(l)(2)(vii)). The City of Denton currently does not fund an activity utilizing HOME funds for TBRA activities. 6. If applicable to a planned HOME TBRA activity, a description of how the preference for a specific category of individuals with disabilities (e.g. persons with HIV/AIDS or chronic mental illness) will narrow the gap in benefits and the preference is needed to narrow the gap in benefits and services received by such persons. (See 24 CFR 92.209(c)(2)(ii) and 91.220(l)(2)(vii)). The City of Denton currently does not fund an activity utilizing HOME funds for TBRA activities. 7. If applicable, a description of any preference or limitation for rental housing projects. (See 24 CFR 92.253(d)(3) and CFR 91.220(l)(2)(vii)). Note: Preferences cannot be administered in a manner that limits the opportunities of persons on any basis prohibited by the laws listed under 24 CFR 5.105(a). 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