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21-504ORDINANCE NO. 21-504 AN ORDNANCE OF THE CITY OF DENTON APPROVING A SECOND SUBSTANTIAL AMENDMENT TO THE CITY’S 2020 ACTION PLAN FOR HOUSING AND COMMUNITY DEVELOPMENT; AUTHORIZING THE INTERIM CITY MANAGER TO SIGN AND SUBMIT THE SECOND SUBSTANTIAL AMENDMENT; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, in July 2020 the City of Denton (“City”), as a Community Development Block Grant (“CDBG”) Entitlement City and a Home Investment Partnerships (“HOME”) Participating Jurisdiction, submitted to the U.S. Department of Housing and Urban Development (“HUD”) an action plan for Housing and Community Development for allocating the City’s 2020- year, August 1, 2020 through July 31, 2021, entitlement funds, program income, and reallocated fUnding from previous years (the “2020 Action Plan”) as authorized by the City pursuant to Ordinance No. 20-1265; and WHEREAS, prior to the submission of the 2020 Action Plan, the City was the recipient of an initial round of Community Development Block Grant-Coronavirus funding in the amount of $618,736 (“CDBG-CVI Funds“) authorized by the Coronavirus Aid, Relief, and Economic Security Act of 2020 (“CARES Act”) to be used to prevent, prepare for, and respond to the COVID- 19 pandemic; and WHEREAS, the City’s 2020 Action Plan included the CDBG-CVI Funds as unprogrammed, reserving the use of the CDBG-CV 1 Funds to be identified in the future; and WHEREAS, in September 2020 the City was allocated a subsequent round of Community Development Block Grant-Coronavirus funding in the amount of $866,704 (“CDBG-CV3 Funds“) authorized by the CARES Act to be used to prevent, prepare for, and respond to the COVID-19 pandemic, which funds were at such time unprogrammed; and WHEREAS, in December 2020 pursuant to Ordinance No. 20-2367, the City approved and authorized the City Manager, or his designee, to sign and submit to HUD a “substantial amendment” pursuant to 24 C.F.R. §91.505 (2020) to the City’s 2020 Action Plan for Housing and Community Development identifying the use of $800,000 of the previously unprogrammed total of $1,485,440 in CDBG-CVI Funds and CDBG- CV3 Funds for the Hotel Voucher Program and reserving the use of the remaining unprogrammed $685,440 to be identified in the future; and WHEREAS, the City has now developed and is seeking approval of, and authorization for, the Interim City Manager, or her designee, to sign and submit to HUD a second “substantial amendment” pursuant to 24 C.F.R. §91.505 (2020) to the City’s 2020 Action Plan for Housing and Community Development identifying the use of the remaining unprogrammed funds in the amount of $685,440 for six eligible projects, which second substantial amendment will be substantially in the form attached hereto as Exhibit A (the “Second Substantial Amendment to the 2020 Action Plan”); and WHEREAS, the Citizen Participation Plan process and requirements have been met in connection with the Second Substantial Amendment to the 2020 Action Plan and via approved HUD waivers allowing use of a 5-day virtual public comment period intended to permit communities to quickly respond to the growing spread and effects of COVID-19 and to facilitate assistance to those economically impacted by COVID-19; and WHEREAS, the City Council of the City hereby finds that the Second Substantial Amendment to the 2020 Action Plan is in the public interest; NOW THEREFORE, THE couNcn OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The findings and recitations contained in the preamble of this Ordinance are incorporated herein by reference. SECTION 2. The Second Substantial Amendment to the 2020 Action Plan is hereby approved. SECTION 3. The Interim City Manager, or her designee, is hereby authorized to sign and submit to HUD the Second Substantial Amendment to the 2020 Action Plan. SECTION 4. The Interim City Manager, or her designee, is hereby authorized to handle all fiscal and administrative matters related to the Second Substantial Amendment to the 2020 Action Plan SECTION 5. This Ordinance shall become effective immediately upon its passage and approval. Th, m,ti,n t, ,PP,o„, this O,dina„,, w„ m,d, by -Toy, O\ bN uf\ and seconded by I)pb n', for,c\\(_r . The Ordinance was passed and approved by the following vote n - Q : Aye Nay Abstain Absent Gerard Hudspeth, Mayor: Birdia Johnson. District 1 : Connie Baker. District 2: Jesse Davis. District 3 : John Ryan, District 4: Deb Armintor, At Large Place 5: Paul Meltzer, At Large Place 6: -L 34 -JL \/‘ -L -1 / PASSED AND APPROVED this the q th _day 2021 GERARD HUDSPETH, MAYOR ATTEST: ROSA RIOS, CITY SECRETARY Allllllllf ABY:. APPROVED AS TO LEGAL FORM: AARON LEAL, CITY ATTORNEY "= Exhibit A 2020-2022 CONSOLIDATED PLAN & 2020 ACTION PLAN for housir\6 ar\d eoruMural:y developMent DRAFT SUBSTANTIAL AMENDMENT 2 TO 2020 ACTION PLAN EXPECrED 3-YEAR FUNDING AMOUNT 2020-2022 $1,516,065 $3,155,382 • CDBG • HOIVIE CBDG-CV STRATEGIC & AcrioN PLAN PRIORITIES HOUSEHOLDS I PRIORITY 123 [ AFFORDABLE HOUSING 7 CAn MAKING HOMELESSNESS ' "~’" RARE, BRIEF, & NONRECURRING 4,500 I PUBUCSERVICES 2 4 f 0 0 0 Er A :I E1£f1fga)1(i b 1l:+:i JM P R 1C)V E 1M E N T S PLANNING & ADMINiSTRATION A REPORT FOR THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Community Development Block Grant {CDBG) Program HOME Investment Partnerships (HOME> EXECUTIVE SUIVllVIARY In March 2020, Congress passed the Coronavirus Aid, Relief and Economic Security Act (CARES Act) that made available $5 billion in supplemental Community Development Block Grant (CDBG) funding for grants to prevent, prepare for, and respond to coronavirus (CDBG-CV grants). Additionally, the CARES Act provides CDBG grantees with flexibilities that make it easier to use CDBG-CV grants and fiscal years 2019 and 2020 CDBG Grants for coronavirus response and authorizes Department of Housing and Urban Development (HUD) to grant waivers and alternative requirements. On April 2, 2020, HUD made the first-round funding allocations for CDBG grantees from the CARES Act funding to prevent, prepare for, and respond to coronavirus (CDBG-CVI grants). The City of Denton received $618,736 in round one. On September 15, 2020, HUD notified the City that it would be allocated an additional $866,704 from the third round of CARES Act CDBG funds (CDBG-CV3). This increases the total unprogrammed CARES Act funding available to $1,485,440. Source CDBG-CVI CDBG-CV3 Amount $618,736 $866, 704 TOTAL Overview of Provisions Related to the CDBG-CV Allocation • • • • • • • Extends the deadline for submission of the FY19 and FY20 consolidated plan/action plans. The due date is now August 16, 2021. Suspends the 15% cap on public services during the emergency, including FY19 and FY20 CDBG-CV funds must be COVID-19 related. 5-day public comment period through a waiver. Suspends in-person public hearings; allows grantees the option of holding virtual hearings through a waiver. Allows HUD to waive further program requirements (except for requirements related to fair housing, nondiscrimination, labor standards, and the environment). States and local governments may reimburse costs of eligible activities incurred for pandemic response regardless of the date. The City of Denton submitted these two waivers for the CDBG program with the 2020-22 Consolidated Plan submittal. The waiver requests were accepted by HUD and became effective on August 10, 2020. Substantial Amendment #1 In December of 2020, Denton City Council approved Substantial Amendment #1 to the City’s 2020 Action Plan authorizing the use of $800,000 of CDBG-CV funding for the extension of the alternative shelter approach in the form of a Hotel Voucher Program for people experiencing homelessness during the pandemic. Staff procured local hotel and security services for the Hotel Voucher Program, which provides forty (40) room vouchers to local nonprofit providers to temporarily shelter people experiencing homelessness in a non-congregate setting. The City continues to collaborate with the procured hotel vendor and nonprofit agencies that serve people experiencing homelessness to deliver the Hotel Voucher Program. After City Council approved the first substantial amendment to the City’s 2020 Action Plan authorizing the use of $800,000 of CDBG-CV funding for the extension of alternative shelter for people experiencing homelessness during the pandemic, the remaining amount of CDBG-CV funds available is $685,440. Substantial Amendment #2 In January 2021, the Community Development Advisory Committee (CDAC) and Human Services Advisory Committee (HSAC) received a total of twenty-five (25) funding requests for the 2021/22 Community Development Grant Program. Staff reviewed submitted applications and determined that six (6) requests were eligible for CDBG-CV funding. This document will serve as Substantial Amendment #2 to program the remaining balance of $685,440 with CDBG CV-1 and CV-3 funds. CITIZEN PARTICIPATION The 2020-21 Citizen Participation Plan was followed on the 2020 Action Plan Substantial Amendment #2. A notice on the Substantial Amendment was posted in the Denton Record Chronicle on Sunday, April 25, 2021. The affidavit of publication is included in Attachment 2. The notice provided a summary of the amendment and a 5-day comment period from April 26, 2021, through April 30, 2021. On August 11, 2020, the U.S. Department of Housing and Urban Development released a Notice providing waivers for the CARES Act. The waivers included that public comment period of no less than 5-day comment period is required. A summary of the amendment was posted on the Community Development webpage. A notice was sent out through Constant Contact to interested citizens, previous clients, committee members, local churches, participating lenders and realtors, neighborhood associations, and social services agencies. Staff also worked with Public Affairs to post information on the amendment on social media Below are the comments received during the 5-day comment period from April 26, 2021, through April 30, 2021: 1. {This section will be updated at the end of the comment period based on the comments received.} All comments received were considered in the development of the 2020 Action Plan for Housing and Community Development Substantial Amendment #2. Expected Resources Details about how we intend to spend specific grant resources in specific activities which tie back to our larger Strategic Plan Goals. Anticipated Resources Program Source of Funds Uses of Funds Prior Year Resources Expected Amount Available Year 1 Expected Amount Available Remainder of ConPian $ Annual Allocation: $ Program Income: $ m1 $ Narrative Description $ M CVI m federa • Public Improvements • Public Services • Homeless Services • Public Improvements • Public Services • Homeless Services $618,736 SO 0 r•mMMaM CDBG- CV3 Public- federal $866,704 SO 0 C $ 1,485,440 $0 0 SO Table 59 - Expected Resources – Priority Table Annual Goats and Objectives Goals Summary Information Goal Name Start End Year Year L61(ego rv Geographic Area Needs Addressed Funding0 LLJtiU/FIUIVI L b ($hll UUtCO rnli M Homelessness Rare, Brief and Non recurring Non-Housing Community Development: Public Services Non-Housing Community Development: Public Facilities, Public Improvements and Infrastructure 2 Homeless- ness Denton City Limits H) and At-Risk $60,457 CDBG-CV ndicator M Homeless/At- Risk Individuals 6,745 LM 1 Individuals mo Community Development Denton City Limits Public Services $185,500 CDBG-CV o Community Development Denton City Limits Public Facilities, Public Improvements and Infrastructure $439,483 CDBG -CV 21,000 LM Individuals Table 60 – Goals Summary Goal Descriptions 1. Making Homelessness Rare, Brief and Nonrecurring - The City is providing support for the community’s Collective Impact Project, 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 and 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 Non-Housing Community Development: Public Services - The City will assist 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 include but not be limited to: a) housing (emergency, supportive and permanent); b) food security; c) health, mental health and behavioral health care; d) family stability; e) special needs populations (senior, disabled, victims of domestic violence); f) making homelessness rare, brief and nonrecurring; g) transportation access; and h) economic security Non-Housing Community Development: Public Facilities, Public Improvements and Infrastructure - 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. 2 3 Projects On April 2, 2020, HUD made the first-round funding allocations for CDBG grantees from the CARES Act funding to prevent, prepare for, and respond to coronavirus (CDBG-CVI grants). The City of Denton received $618,736 in round one. On September 15, 2020, HUD notified the City that it would be allocated an additional $866,704 from the third round of CARES Act CDBG funds (CDBG-CV3). This increases the total CARES Act funding made available to the City of Denton to $1,485,440. SF-424 applications for CDBG-CV are available in the appendix section. Source CDBG CV-1 CDBG CV-3 Total Substantial Amendments Su®EFltlal Annin Substantial Amendment #2 Total for Substantial Amendments Amount$(M $866, 704 $ 1,485,440 Amount MEggII@ Below is a list of CDBG-CV funded activities for Substantial Amendment #2: CDBG-CV Projects Award 1 Children’s Advocacy Center for Denton County, Inc. 2 City of Denton – Hotel Voucher Program 3 Denton Assistance Center – Denton Community Food Center Addition 4 Health Services of North Texas, Inc. 5 SPAN, Inc. 6 The Salvation Army – Denton Total $85,000 $43,226 $439,483 $75,000 $25,500 $17,231 $685,440 Project Summary Information Project Name rtedGoats Su Needs Addressed Funding Description 0 N/A Public Services Public Services CDBG-CV: $85,000 Funding for direct client services to help child abuse victims and families needing services. 9/30/2022 553 persons 1 Children’s Advocacy Center for Denton County, Inc Ta root Aron DOO Target Date Estimate the number and type of families that will benefit from sed activitiesthe pr Location Description Planned Activities roject Name Target Area Goats Supported Needs Addressed Funding Description ODO 306 N. Loop 288, Denton Texas Funds will cover a portion of victim service costs. 021 Denton Communitv Food Center Additio M Public Facilities, Public Improvements and Infrastructure Public Facilities, Public Improvements and Infrastructure CDBG-CV $439,483 Project consists of expanding the Denton Community Food Center to help grow the food distribution capacity to provide food from a central community storehouse to families struggling with hunger insecurity. 7/31/2022 21,000 low income people [1 Target Date Estimate the number and type of families that will benefit from the pr sed activitiesODO Location DescriDtion Denton Community Food Center is located at 306 N. Loop 288 in Denton Funds will be used for construction costs of addition. 0 Hm Public Services Public Services Planned Activities Project Name Goals Su rted Needs Addressed 'rvices of North Texas Tarant Arna DOO Funding Description CDBG-CV: $75,000 Provide quality primary medical care on an affordable sliding- fee scale, for patients of all ages including women’s health and prenatal care. Services include treatment for acute & chronic physical and behavioral conditions, immunizations, well visits, care management, and access to specialty care. Target Date Estimate the number and type of families that will benefit from the proposed activities Location Description 9/30/2022 The project will benefit 5,200 extremely low to moderate- income individuals. Health Services of North Texas, Inc. funded activities take place at the following location(s): 4304/4308 Mesa; 306 N Loop 288, Ste 201; 3537 S 1-35, Ste 210 Funds will pay a portion of the medical care delivery costs. 021 Hotel Voucher Pro M Making Homelessness Rare, Brief and Nonrecurring Making Homelessness Rare, Brief and Nonrecurring CDBG-CV $43,226 The Hotel Voucher Program will have forty rooms (40) vouchers available to local nonprofit providers to house people experiencing homelessness. The City will enter into a Service Agreement with the procured hotel vendor and into MOUs with any local qualified nonprofit agencies that currently serve people experiencing homelessness who wish to access the hotel voucher program. 07/31/2022 13 homeless persons lanned Activities roject Name Target Area Goals Supported Needs Addressed Funding Description i r Target Date Estimate the number and type of families that will benefit from the proposed activities Location Description This is a city-wide program. Applications are taken at local non-profit agencies. CDBG-CV funds will be utilized to pay for hotel vouchers for homeless persons and security services at selected hotel. Planned Activities roject Name Target Area Goals Supported Needs Addressed Funding Description B M Public Services Public Services CDBG-CV: $25,500 Special Programs for Aging Needs (SPAN), Inc. to provide senior nutrition program providing nutritional home delivered and congregate meals for senior adults in Denton. 9/30/2022 895 low and moderate-income City of Denton residents. 2f).21 SPy/\N_ Inc Target Date Estimate the number and type of families that will benefit from activitiesthe pr scriptlonLocation Planned Activities roject Name Target Area Goals Su rted Needs Addressed Funding Description ooosed De Select Senior Centers and Senior Apartments Communities Funds will pay for a portion of the cost for meals. 021 The Salvation Armv of Dentoa Making Homelessness Rare, Brief and Nonrecurring Homelessness and At-Risk CDBG-CV: $17,231 (CDBG funds of $17,769 was also awarded) The Salvation Army Denton Corps to provide assistance with food provided during the K.A.R.E. Kitchen daily meals and Food Pantry for clients experiencing homelessness and LMI households 9/30/2022 7,849 persons that are homeless or at-risk of homelessness 6P DOO Target Date Estimate the number and type of families that will benefit from the pr activities Location scrlption Planned Activities ooosed De 1508 East McKinney Street, Denton TX 76209 Funds will cover a portion of the cost for K.A.R.E. Kitchen supplies, food pantry items, and a portion of the salary for a cook