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HomeMy WebLinkAbout04.24.2006COUNCIL WORK SESSION April 24, 2006 5:00 p.m. Council Chambers Members present: Mayor Hurley, Kincaid, Welper, Gunderson, Greenwood, Getty, Cole, Schmitt. Rudy Jones, Community Development Director, updated the council on the proposed CDBG and HOME Program budgets for the FY2007 Consolidated Plan. Mr. Jones explained that over the past five years CDBG funds have been reduced from $1.8 million to the current $1.4 million. Included in the $1.4 mill CDBG funds is $818,962 for single family rehabilitation. Over the years, the amount of funds awarded to non-profit organizations has been reduced, and there are no longer funds available for those organizations due to reduction in funding from the federal government. Mr. Jones explained the Section 108 BEDI grant in the amount of $10 million comes with no administration costs, the Economic Development Initiative grant has no administrative costs and the $200,000.00 IDED grant for new construction does not include administration costs. Eric Johnson, Chairperson of the .Community Development Board, explained Community Development has been focusing on housing for the past ten years and rehabilitation has always been the cornerstone. In 1998 they received $2.3 million CDBG funding and in 2007 they will receive $1.4 million. Administration costs have continued to increase due to salary increases and health insurance costs. The $2 million lead grant is matched with a certain amount of rehabilitation funds. Mr. Johnson reported Neighborhood Services was funded, but no outside agencies were funded. Mr. Jones stated that rehabilitation has been accelerated to meet the benchmark for the lead grant. They are looking at ending the grant four months earlier in order to position themselves for additional funding. Mr. Johnson noted that there is no funding for low-income sidewalk repair and emergency funding is gone, which are good programs that are not included in the FY2007 budget. Mr. Jones stated there are no funds for demolition, but one person is funded for that program. Mayor Hurley noted that Eric Thorson, City Engineer, has expressed concern that no CDBG funds have been budgeted to assist those who qualify for financial assistance in conjunction with the city's sidewalk repair program. In addition, a letter has been received from El Centro Latinoamericano asking that the city continue funding them. Mr. Thorson reported this year's inspection area is bounded by Williston -West 18 -Cedar River -East Ridgeway -Baltimore - Williston and is known as Zone 6. Mayor Hurley asked El Centro if they would be able to enter into a contract with the city and bill us for interpretation services they provide for the city. Gina Cassis, Director of El Centro Latinoamericano, responded they should be able to do that as they do it for other companies. A public hearing is on tonight's council agenda on the proposed CDBG and HOME Program budgets for the FY2007 Consolidated Plan. With no further business before the council, it was moved by Cole, seconded by Gunderson that the meeting be adjourned at 5:17 p.m. Ayes: Seven. Motion carried. Nancy Eckert City Clerk