The Consolidated Plan and Annual Action plan are requirements of the U.S. Department of Housing and Urban Development (HUD) that cities must prepare in order to receive federal monetary assistance from HUD programs. The Consolidated Plan is a comprehensive strategy developed by the community addressing the affordable housing and community development needs present within the community. Ultimately, the Consolidated Plan will be used to implement the Community Development Block Grant (CDBG) program over the course of the next five years.

The Annual Action Plan for the 2020-2021 Plan Year was approved by the City Council on July 28, 2020, and included as a section in the 2020-2024 Consolidated Plan, reflected the following activities to be undertaken for fiscal year October 1, 2020 - September 30, 2021.  

The City Council approved a substantial amendment to the Plans on January 26, 2021, to incorporate and program an additional $416,286 in COVID relief funds. That substantial amended resulted in the following allocations:

As noted in January, the proposed activities reflected staff recommendations to address community needs responsive to COVID-19. However, recommendations as to how best to fund these proposals could change based on funding availability and demand for services. As such, future amendments will be made in accordance to HUD's guidelines and the City of Allen's Citizen Participation plan as amended. This proposed amendment is a result of that process.

Based on six months of implementation of the previously approved activities, City Staff has observed trends indicating that there is more demand for funding for the Small Business Grant Program than the Utility Billing Assistance Program. As such, this substantial amendment is proposed to move funds between activity areas as summarized in Attachment 1. It should be noted that the City's Citizen Participation Plan defines a non-substantial amendment as one that reallocates no more than 25% of funds between program areas. Non-substantial amendments do not require a public process or City Council action. The City initiated a 15% non-substantial amendment in February 2021 to move funds between activities. The aggregate of the previous non-substantial amendment and what is currently proposed exceeds 25% and thus requires a substantial amendment and related public process.

The public comment period was advertised and conducted in accordance with the City of Allen's Citizen Participation Plan as amended and Texas Local Government Code, Chapter 373.

A presentation and formal opportunity for comment were offered at the following times.

• Monday July 12, 2021, at 2 p.m. in the City Council Conference Room
• Tuesday July 27, 2021, before the City Council in conjunction with this item

Copies of the draft amendments were also made available for public review and comment at the following locations from June 24, 2021, through July 27, 2021:

• City of Allen Web Site: www.CityofAllen.org/CDBG
• In person, by appointment only, from 8:30 a.m. - 4:30 p.m. M-F in the Community Enhancement Office located on the 1st Floor of City Hall, 305 Century Parkway Allen, TX

As of the date of drafting this report no comments have been received.         

A summary of the Amended 2020-2021 budget is as follows:

The Amended 2020-2021 Annual Action Plan allocates $1,108,207 for the various CDBG and CDBG-CV activities. These are grant funds with no impact on the general fund. 

Staff recommends that the City Council adopt a Resolution approving a substantial amendment to the 2020-2024 Consolidated Plan and 2020-2021 Annual Action Plan for the Community Development Block Grant (CDBG) Program. 

I make a motion to adopt Resolution No. ____________ approving a substantial amendment to the 2020-2024 Consolidated Plan and 2020-2021 Annual Action Plan for the Community Development Block Grant Program.