Agenda Item # 1
Columbus Consolidated Government
Council Meeting
May 26, 2015
Agenda Report # 114
TO: Mayor and Council
SUBJECT: Allocation of CDBG funds to the Booker T. Washington
Redevelopment Project
INITIATED BY: Laura McCool, Community Reinvestment
Recommendation: Approval is requested to allocate up to $2,500,000 in
Community Development Block Grant (CDBG) funds for the redevelopment of the
Booker T. Washington Apartments (BTW) located at 500 5th Avenue. The CDBG funds
would be used towards the demolition and site work activities.
Background:
? On May 31, 2013 Resolution No. 176-13 was passed which authorized the City
Manager to enter into an agreement with the Columbus Housing Authority to
provide financial assistance to construct the Booker T. Washington Apartments.
? A Memorandum of Agreement was entered into on May 31, 2013 between the City
and Columbus Housing Authority which the City agrees to contribute a sum of
$2,500,000 to the development. At the time the proposal was originally brought
before Council the City was requesting the use of Economic Development reserves
and the General Fund-Fund Balance.
? The original agreement was for the City to pay the Columbus Housing Authority
$400,000 per year for 5 years with a final payment of $500,000 in the 6th year
beginning in FY 2015. Since that time it has been agreed upon to begin payments
in FY 2016 at a rate of $500,000 per year for 5 years.
? After researching our CDBG funding allocation and eligibility requirements,
it has been determined that CDBG funds may be used towards this project. Now
instead of the total amount of $2,500,000 being funded from the Economic
Development reserves and the General Fund - Fund Balance, we would like to be
able to utilize CDBG funds to this project which would offset the impact to the
general fund budget.
Analysis: A resolution is needed to authorize the use of CDBG funds towards
this development to be in compliance with the requirements of the U.S.
Department of Housing and Urban Development (HUD).
Projected Annual Fiscal Impact Statement: The funding for the Booker T.
Washington development project would come from the annual CDBG funding award
from HUD and CDBG program income. The CDBG funds being allocated towards this
development are from prior year allocations and program income that were not
expended on projects and future allocations from the yearly entitlement funds.
The amount of funds disbursed each year would be based on the current balance
of unallocated CDBG funds, the annual allocation of CDBG funds from HUD, and
the actual costs for the demolition and eligible site work activities. The
amount of funds available each year will be determined during the formulation
of the Annual Action Plan.
Financial Considerations: The sources of federal funding for the City's
contribution towards this redevelopment will be the Community Development Block
Grant (CDBG) in the amount up to $2,500,000.
Legal Considerations: Council must approve the use of CDBG funds for this
development in order to be in compliance with HUD.
Recommendations/ Actions: Approve the attached Resolution authorizing up to
$2,500,000 in Community Development Block Grant (CDBG) Program funds to be
utilized for demolition and site work activities for the Booker T. Washington
Apartments located at 500 5th Avenue, Columbus, Georgia.
A RESOLUTION
NO. ______
A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH THE
HOUSING AUTHORITY OF COLUMBUS TO PROVIDE COMMUNITY DEVELOPMENT BLOCK GRANT
FUNDS (CDBG) TO ASSIST WITH THE DEVELOPMENT OF THE BOOKER T. WASHINGTON
APARTMENTS - PHASE II LOCATED AT 500 5TH AVENUE.
WHEREAS, the Consolidated Government of Columbus, Georgia desires to utilize up
to $2,500,000 in Community Development Block Grant (CDBG) funds for the
demolition and eligible site work activities for PHASE II of the Booker T.
Washington Apartment Redevelopment Project located at 500 5th Avenue, Columbus,
Georgia; and,
WHEREAS, the proposed project meets the National Objective of providing
low- to moderate-income housing and is consistent with the Consolidated
Government of Columbus's 5-Year Consolidated Plan; and,
WHEREAS, the proposed project will clearly eliminate objectively
determinable signs of blight and provide affordable housing units to citizens
within the community.
NOW, THEREFORE, THE COUNCIL OF COLUMBUS, GEORGIA, HEREBY RESOLVES AS FOLLOWS:
That the City Manager is hereby authorized to enter into an agreement
with the Housing Authority of Columbus for the use of Community Development
Block Grant (CDBG) funds for demolition and site work activities for the Booker
T. Washington Apartments Redevelopment Project- Phase II located at 500 5th
Avenue, Columbus, Georgia.
___________
Introduced at a regular meeting of the Council of Columbus, Georgia,
held the _________ day of _____________, 2015 and adopted at said meeting by
the affirmative vote of ____________ members of said Council.
Councilor Allen voting __________.
Councilor Baker voting __________.
Councilor Barnes voting __________.
Councilor Buck voting __________.
Councilor Davis voting __________.
Councilor Henderson voting __________.
Councilor Huff voting __________.
Councilor Thomas voting __________.
Councilor Turner Pugh voting __________.
Councilor Woodson voting __________.
_______________________________ _________________________
Tina B. Washington, Clerk of Council Teresa Pike Tomlinson, Mayor
Attachments
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