The 2017 - 2018 Annual Action Plan is required by the U.S. Department of Housing and Urban Development (HUD) for participation in the Community Development Block Grant Program.  The Plan identifies what activities the City will implement and describes how funds will be spent for the next program year.  The Annual Action Plan implements the Five-Year Consolidated Plan, adopted by the Council in 2015, which determines the community's housing needs and establishes goals for the 2014-2019 Plan Years.

The requirements for this Plan are set forth in detail through federal regulations and include public comment periods and hearings. The public hearings are an opportunity for citizens to comment on the proposed activities. Two public hearing opportunities were offered this year. The first public hearing was held at 7:30 p.m. on July 12th at the Joe Farmer Recreation Center and the second will be held in conjunction with this item. As of the date of drafting this communication no public comments have been received. The draft Plan is currently available on the City's website as part of a 30-day comment period.  Once the Plan is adopted by the City Council, it will be submitted to HUD for approval.  Funded activities will begin October 1, 2017. A summary of the 2017-2018 budget is outlined below.

Plan Year 2017-2018 Budget Summary

In addition to allocating the 2017-2018 funds as shown above, the proposed Action Plan will also reallocate previously approved Plan Year Administration Funds in the amount of $11,984 to the Owner-Occupied Housing Rehabilitation Program. These Administration Funds have gone unused for multiple years and would be better used through the Owner-Occupied Housing Rehabilitation Program.

In addition to the amounts detailed above it is estimated that approximately $95,000 will be carried over from Plan Year 2016-2017 to the 2017-2018 Owner-Occupied Housing Rehabilitation Program. These funds are already committed to projects, but will not be completed and paid by the end of the fiscal year.  In summary, taking all funding into consideration, the City will have the following available for use in Plan Year 2017-2018:

Based on the City's current rehabilitation waitlist, it is estimated that approximately $200,000 will be spent in the first quarter of Fiscal Year 2018.

I make a motion to approve the 2017-2018 Annual Action Plan for the CDBG Program.