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265412 WHITF�, - CITV CLERK 1 PINK - FINANCE GITY OF SAINT PAITL COIII1C11 , BLUER �-�IAVORTMENT File NO. �� °� _ r ' ou cil Resolution . Presented By Referred To Committee: Dat�e�. "� Out of Committee By Date ;. WHEREAS, the City Council on February 20, 1975, (C.�� No. 265033) di,d -r-: approve St. Paul'e firat year Co�nunity Development Block '�rant program for submission to the Federal Department of Houeing and Urban Development, and WEIEREAS, the Department of Housing and Urban Development, as part of its review of St. Paul's Community Development application hae requested clarification and modification of parte of th� appli.cation (HUD letter to Mayor Cohen attached�, and WHEREAS, a reeponse to the issuee raiaed by HUD has been prepared, and ie attached to this reaolution, and WEIEREAS, it is in the best interest of the City of St. PauZ to modify ite firat year Community Development Block Grant application to insure timely HUD approval, now therefore, be it RESOLVED, that Mayor Lawrence D. Cohen ie suthorized to modify St. Paul 's first year Conanunity Development B1ock Grant application, as indicated in the attached reeponee to HUD and to tranamit it to the proper HUT) officiale. COUIVCILMEN Yeas Nays Requested by Department of: Sylvester Lr" i Hozza �� [n Favor . e $�!�lti1. � �'� � Against BY "��"'' Christenaen T Tedesco - � Mme.Pr iden $ett�er Hunt _ Form Appr by City A rney Adopted by Council: Date �� Certi ' sed b cil Secretary �Y ' By Approv d by Mayor: Date 1 ? �� Approved by Ma for Submission to Cou ' B BY\ � , �! MAY � T 1975 �� ' PtJEN'pf, • o�,a�•'"_ -. yo� DEPARTNIENT OF HOUSING AND URBAN DEVELOPMENT ,* • �' _• *p MINNEAPOLiS—ST. PAUL ARCA OFFICE � 1�� ' GRIGGS—MIDWAY BUII.D!NG. 1821 UNIVERSITY AVENUE • �>a��3�� ga�� ST, PAUL, MINNESOTA 55104 �5�� . ,3A3a N+ . . REGIO\ V � � 1�� 30Q Socca Wac:cer Drive � . Ch:caga, Illiacis 60600 � - IN REPIY REFER TO: 5.6CPD rionorable La�.arence D. Ca'nen �rlayor of St. Paul 347 City Ha11 St. Paul, ?tisinesota 55102 � Dea-r �-layor Cohen: SU�TECT: Coira�r:�ity Development Block Grant St. Paul, Nliruzesota F�e.a. Office staff has c�pleted a series of technical reviews of your appli- ca'-�..i.on for Cor�nmmity Develo�ane.nt Block Grants. 'I'�zese reviews have raised auest.ions in several areas. While non2 of these q_uestion will preclude _ approval o� St. Paul's application, c�e would apnreciate your response to tne c�,ents which folla�. T:�.e prirn�sy question raisecl concerns the first year goal for utilizing Szc-`�..i.on 8 fu��ds in your Housing A�sistance Plan. Your plan indicated a aoal of l,l'00 tmits of Section 8 subsidies for existing units. I appre- ciate the fact that this goal was set prior to any clear indication of - Sectian 8 resaurc�s. It has naa been determined, ha��ever, that of th� ap�-roximately 1,200 Section 8 imits to be advertised in the �in Cities ��trot.�olitan area; only slightly rrore tn.an 40 o will be for �.isting ; ho�asing. It is also our understanding that the units allocated to the � �iri.nesota Housing Finance Ageney will be used for new construction �- � clusiv�.ly. It is clear, therefore, that St. Paul will not be able to ; ��et its goal ior Section 8 funds in existing units. As I stated. pre- ' viously, tnis will not preclude approval. Nevertheless, I would urge you ; to revise yosr Housin� Assistance Plan with a first year goai that will i rtore cl��ely confonn with the information outlined above. I also want to 4 assure yo�a, that if, for any reason, additional resources of Secti.on 8 ( �:its bec�??� advisable, allocation of these resources to St. Paul will � I r_ot be j�pardized sole?y on the basis of a laaer annual goal in your � Nousing �.ssistance Plan. � . . * � � 2 265�1� In adlitian, the follcx�ring technical questions were raised. l. �'o funds have been budgeted to meet interest and other costs which :•rill accrue to the �TDP program dur�ng tha next 12-15 mon�zs. You _ siiould revise your program and budget to reflect this cost ($303,000 for interest on :�IDP ter�.,orary loan to September, 1976) or indicate your c��nitrnent of the nec2ssary f�ds fran the contingency account. �n'e are required to condi��,onally approve your entire applicatian :ritil t'zis matter is resolv�d. 2. Activities listed �d�.r ".�c�ninistration of Ccr�nnunity Developme�zt - Citizen Participation" haw been listed as "ex�npt". These activi- ties are exen�t anly if they are limited to cce�uni.u�i.ty develognent � planning or policy-planning mana�nent capacity. If this is the case, no additional action is necessary. If citizen partici.pation activities are not limited to these areas, an envirorffnental review will be required. 3. It is our �s-�derstandir.g that funds ma.y be available from other sou.�ces for a rodent control program. F'unds for this project will be conditionally approved until th� requir�ents of Sec. 570.607 of �he regulations for C�nity Development Bloc'� Grants have been satisiied. 4. ��Ie i�ve noted t.he s�zm of e�timated cost in colim�n 5a of tne Cca�anu- nity Develorar.ent Program does not coincide caith line 16 of the Ca:�un:.ty Develo�zt Budq�t. It <<�ou�_d be nelpful if ccrrected copie� �il.d be provided in the near future. S. Fsnds for the Fi�I� project have been incorrectly allocated. to line 9 of your budget. They should be shawn on line 15. � I ��uld like to add, that in general, we find St. Paul has done an admisable 'i joc in prexring the various e1�._r!'rs of the applicatian. Tf:e conments con- � tained in tzis 1.�tter are intended only as questions and concerns which can be resolvea in a cooperative atmosphere. Final processing of your applica- �ion will proceed in the inLer'�-m. ; ; Please contact me or any rneribers of my staff if we can be of assistance in i clarif�-ing these matters. Sincerely, ------.� �� +-►-.1 � Thcxnas T. Feeney � Area Director ' � �� . NQUSIT,G ASSISTP,'JCE PLA;d - REVISED FIRST YEA� GOAL CITY OF SRI;dT PAUL, t�IIP}'IcSOTA TF,SLE III ANidllAL GCAL FOR HOUSIrdG ASSIST:".'aCE Table at�acned. Firsi year goal has been r�vise� to refi ect new i nfornati on on avai i a�i e resources. TABLE iV LOCATION OF LO'�lER-IhICO�'1F HOUSITlG Housing Assistance Pian t2xi, p. 33. A.7 . New Canstruction. The first sent�r�ce concerning the exclusion of ne�f� construction from � first year goals no long�r applies bzcause oT n�w i nfor►*iati on as to the date by �ini ch commi trR2nts wi71 be requir�d in the first y�3r funding cycle. �iay, 7 97� 1 i . i { � �i . . . . � r...� !:'.�.��-J . � ♦ . . �i�.�� .�. G j_�1��1 � �•. U.S. Gc+�%,�-�.Ty,c^:T G� f-!:;L'�:N�.A;�:u liF.5:,:1 D^vELOrti:=NT PFy�ISC1� . ��.��;�;� w.��a,u:� PL;-;�� jl�AR ', �.�;L� tli - �.('�:��:L Cv�� r�� Hi=,�i:5�i';= Aa=�1Si�:P=�� :;,� ..:.�= �- :.?�LiC,:Ni 2. APPLtG.:Tk�N NU:.S9�� 3. Q CP.IGir�,..L ; . �AP,.�Er3��!=�:T ! City of Saint Pau1 �. Fno,��,.� ,.�� { - Fro�..: i n: M1UM�=RS OF UhliS (excep: es r,a.�dl FIRST Y'cAa GO;L "THr�E YEAR GO�:�' � �. e:;s=_��nir _ TY�=S OF tiNfTS TY?cS CF U�:�i5 TGl'::L TOT;-.L I�ew Ex;s: RehaS. , i'.etiv Exis; Fehzb. • 1. �c�a� i 1677 660 � 300 717 � �. `L�_�, ,, ! 616 250 150 I Zl 6 t - � ! r. r�o��:_=:� �a�ce � 360 1 GO 50 216 - . �_ �-�`� . 695 310 100 285 � ' � __ s�u=c�� e= :..�:s�atic� � � + _ ' 4 .. �:;� - ; �. stc-,oy a•- 40p* 400* 0 � :.Wi�L`;VT I S � .'JI'f � — ��.� .Ql.a S Q $ �J $ J 1 � - - e. co LLC�K ��an��s � 1 b7 167 � ' �. c�F_a � 140 140 � � � z. s::,�= :.�s��:=s 360 3b0 I � � i�=,�,'''Cons�ruc�i�on �' � ; ` 1 . ;•��FA �°_hab b. 83 83 ` i.',H�A Secti�n 8 � � ` 350 3�0 1 50 � .�He� + 175 � f � � � �Y�a�a.�r�a.,?.'"�Cn�" �und 175 W ' 152 152 � � ; Ci�� `toa��'Grani - ; � � ��;_�_r�„�-:�,,t ( ; � � .. _X??A:y:,7'^`3 �: PRi��E:I:u - - *tlri t and dol 1 ar amounts sncv�rn under "i . HUD" do not i ncl ude state agency Section 8 resources listed separatzly be7o�,v. Projected state agency a!�ount for re.� construction is an additional $9�i�,007 for the 3Q0 units . - , ir�icated. Projected state agenc� amount for rehabilitation units is �165,000. � - ; , ; - r - i � ^-•��_;; j � '-cz�'a�� z�y S:zce zy•,cY a-.oun'S Inclu�ed ( F_=-?'.=.ZG f �� ,_,�i � . � � � �65�'�`� l. The $303,000 for interest on NDP temporary loans has been tentatively assi�ned to contingencies, line 17. Refer ta the revised Community Development Budget attached and specifically to page 3, line 16 of the attachnents. 2. "Administration of Community Development--Citizen Participation" is limited to community development planning or policy-planning management capacity. It is our understanding that this activity is exempt from environ.�aental review. 3. �here is another potential source of funding for a roc3ent control program. T'ne Department of Health, Education and Welfare (HEW) is authorized to fund rodent control projects through the Public Health Services Act (Title III, Section 314(e) . This program is identified in the 1974 Catalog of Fed�ral Domestic Assistance on page lb5 as 13.257 Urban Rat Control. Tt1e St. Paul Department of Community Services, Division of Health, has applied to the HEW, Region V Office, for funds under the Urban Rat Control Program on several occasions. The most recent application to HEW was in February of 1975. The Division of Health Personnel has been informed by HEW staff verbally that funding is not available for this program. We have now requested that they inform us in writing that funds are not available and we are currently awaiting receipt of this letter. It is, therefore, our position that the City of St. Paul has met the requirements of Section 570.607 of the Community Development regulations. 4. TY��e list of activities inserted in the Conanunity Development Program did not include funds programmed for certain property management costs. The following line item should have been included in the program: Property management and maintenance $234,331 (includes purchase of equipment from AiDP) The addition of the dollar amount for the above activities wi1L bring the totaZ of Iine 5a of the Community Development Program to $18,309,331, which matches line 16 of the Commiinity Development Budget. Resources for this activity will come from the Program Inco�e identified in Section F, line 4 of the Co�nunity Development Budget. Because of the nature of this line item, we do not propose to perform an ezvironmental assessment of it, unless your office insists that we do this. 5. Please refer to the revised Community Development Budget attached for a correction of the assignment of tunds for HELP. rorm npprovad OMB No. 63—R147! � U.S. DEPART?v1ENT OF HOUSING ANU URBAN DEVELOPHIENT A. (� ORIGINAL B. APPUCATION NO. � - ' C�MMU�1tlTY DEVELOPM�NT BUDGET O AMENDMENT 1 ° C. NA!�tE OP APPtICANT D. PROGRAM YEAR • C1tV Oi St. Paul FR M: 7��-�7S -ro: 6/30/ LINe , E. PROGRAM ACTIVITY NO. � - �. I ACQUISITION OF REAL PftOPERTY 3,613�IHI 2. � PU9LIC WQRKS, FACILITIES,SITE IMPROVEMENTS 3 ]L}2 ']1,2 � 3 � CCDE ENFORCEMENT 1 30I 349 i 4. � CLEARANCE,DEMOLITION, REHABILITATION 2 O99 S3O 5. R5HA8SLITATION LOANS AND GRANTS �. �FSH 8S2 � 6. SPECIA�PROJECTS FOR ELDERLY AND HANDICAPPEO � — 7. PAYMENTS FOR LOSS OF RENTAL INCOME — 8. DISPpSITION OF REAL PROPERTY O OOO 9. PROVISION OF PUBl.1C SEAVICES _ 10. PAYMENT OF NON-FEDERA�SHARES _. 11. COMALETION OF URBAN RENEWAL PROJECTS _Q_ 12. RELOCATION PAYMENTS ANO ASSISTANCE L OS9 SSO 13. PL.AtiNING AND MANAGEMENT DEVELOPMENT 3g7 HSO 14. ADMINiSTRATIVE 1 69H OOO � 75. COi�ITfNUAT10N OF MODEI GTIES ACTIVITIES 1 HH 3O7 E t6. Si18TOTAt 18 309 331 17. CONTiNGENCIES AND/OR UNSPECIFIED LOCA�OPTION ACTIVITIES(Not to exceed!0%of[ine 16J 875 669 18. TOTAL PROGRAM ACTiVITY COSTS 19 185 OOd � F. RESOURCES FOR PROGAAM ACTIVITY COSTS ` t. � ENTITLE�AENTAMOUNT IH H3� OOO � 2. LESS DEQUCTIONS 3. ENTITLEMETvTAVAILABLE FOR BUDGETACTIVITIES g � 4. PROGRAMINCOME 3SO OOO I i 5. SURPLUS FROM URBAN RENEWALPROJECTSETTLEMENT —�— 6. IOAN PROCEEDS — � 7. UNOBLIGATED FUNDS-PRIOR PROGRAM YEAA — ! 8. TOTAL RESOURCES FOR PROGRAM AC7iVITY COSTS 7.9�IHS�OOO I Q Check box if carts include indirect cosis which requix app�ova!oja cost aIlocat�on plart as required by Fedeml Management Cimtlar 74-4, FlUD-7Q75.5 l�a7a► - i ' COIN.^7tNITY DEVELOPMENT - BLOCK PROGRAM [� BUDGET 2l)��_�� CD-1 ATTACFi:`�fENT TO OtiIBV063-R-i!�71 Budget by line ifiem and what it consists of by Progras per original document as approved by City Council. LI'�E 1 - ACQUISITION Proora� r'� 5 - House Recycling - Pilot Prooram $ 240,000 ��15 - Angus Anex Acquisitioa 225,000 �r21 - Acquisition and Relocation - Danny's Rubbish 125,000 4r`22 - Peter's Meats 200,000 �r23 - Douglas School Site - Open Space 75,000 ��25 - Phalen Area ITA 180,000 ��32 - Selby-Dale, Dale to Victoria 237,500 i�33 - St. Albans ITA 50,000 �f35 - St. James Church Area 170,500 �-`38 - Territorial Road - Housing Site 213,000 If43 - St. Adalberts Area - Phase I 388,000 �f44 - Arundel-Mackubin, North End East 142,000 ��45 - Block 35 - Red Cross Block 236,600 ��46 - ITA �rl, West Seventh Street 360,000 �648 - Hammond School Site 523,000 $3,365,600 Direct Salary Costs 247,581 �. GRAND TOTAL $3,613,181 LI�E 2 - PUBLIC WORKS, FACILITIES, SITE IMPROVEMENTS Pragran ��' 4 - Project Improvement Program - CRA $ 900,000 �frl4 - Payne Avenue Parking Lots 100,000 �17 - Davis School 35,000 i618 - Riverside Park 97,000 ��19 - WiZder Square 54,000 i�24 - Lincoln, Phalen, Sibley School Rough Grade and Fill in Site 40,000 ��26 - Hanline-Hague Playgrounds 75,000 i627 - Plaryland Park Improvements (Rest room facilities) 35,000 ;�33 -__ St. Albans ITA 250,000 rr34 - Northeast Quadrant Project 241,000 �39 - So. St. Anthony Park, Construct Playground Building 370,000 f�41 - West of Raymond Street 408,710 '�42 - ITA District 1r`3 321,847 ��47 - Public Improvements ITA ��'1 500,000 9r48 - Na�ond School Site 62,750 $3,490,307 Direct Salary Costs 252,405 GRAND TOTAL $3,742,712 L��E 3 - CODE ENFORCE�iENT �f5�`�,� . Pro;ra� ir 3 - Code Enforcement - CRA's $ 300,000 ��25 - Phalen Area ITA 15,000 ��33 - St. Albans ITA 250,000 ��37 - CRA - Southeast of Hill Scno•�1 100,000 �`40 - ITA East of 280, North of University 250,000 �r42 - Tho�as-Dale ITA District ��3 298,298 $1,213,298 Direct Salary Costs 88,05I GRAND TOTAL $1,301,349 LINE 4 - CL��RANCE, DEMOLITION, REHABILITATION Program �� 5 - Housing Recycling - Pilot Program $ 100,000 �� 6 - Demolition and Street Removal 725,000 4�12 - Rodent Control 50,000 4�33 - St. Albans ITA 40,000 �636 - Marshall Webster House Moving 330,000 ��37 - CRA - Southeast of Hill School 300,000 ;f43 - St. Adalberts Area 32,500 $1,577,500 Direct Salary Costs 522,030 GRAND TOTAL $2,099,530 LI\E 5 - RE� LOANS & GRANTS Program �� 1 - Rehab Loans $ 400,OQ0 �� 2 - Rehab Grants 600,000 $1,000,000 Direct Salary Costs 458,852 GRAIVD TOTAL $1,458,852 LIi�E 6 - SPECIAL PROJECTS ELDERLY & HAI�IDICAPPED None $ -0- LI�E 7 - PAYl�tTS FOR LOSS OF RENTAL INCOME None $ -0- LI�E 8 - DISPOSITIOV Advertising, Sales Promotion, etc. $ 60,000 LIVE 9 - PROVISION FOR PUBLIC SERVICES I3one $ -0- LINE 10 - PAY�NT OF NON-FEDERAL SHARE None $ -0- -2- ,�.IVE 11 - CO�iPLETION OF URBAN RENEWr1L PROJECTS . None $��'`��,� LItiE 12 - RELOCATI0�1 PAYMENTS E�tiD ASSISTA�'�CE Program i� 5 - House Recycling - Pilot Program $ 60,000 ��13 - Union Gospel Mission 144,000 �`21 - Danny's Rubbish 25,000 ��23 - Douglas School Site - Open Space 25,000 ��25 - Phalen Area ITA 105,000 ��32 - Selby-Dale, Dale to Victoria 103,500 i.35 - St. James Church Area 72,50d 4�38 - Territorial Road - Housing Site 65,000 ��43 - St. Adalberts Area - Phase I 316,500 ��44 - Arundel-Mackubin, North End East 147,200 i�45 - Block 35 - Red Cross Block 44,600 i646 - ITA ��1, West Seventh Street 290,000 4�48 - HaBmond School Site 260,000 $1,658,300 Direct Salary Costs 401,250 GRAND TOTAL $2,059,55Q LI\TE 13 - PL�'v':VING AND MANAGE1�fENT DEVELOPMENT Provision has been made for all of the salary costs identified as the City Planning Commission and $125,000 of the HRA planning staff. $ 387,850 LIivE 14 - ADIiINISTP.ATION Prograra ��11 - Support Services $1,503,000 " ��33 - St. Albans ITA 10,000 �:49 - Kipps Glen Terrace Sewer Project 10,000 Property Management 110,000 Purchase of Equipment from NDP 65,000 $1,698,000 LIVE 15 - MODEL CITIES lv'eighborhood Justice Center $ 30,000 Program �r16 - Help Development Corporation - Equity Funding 500,000 ��28 - Health Clinic 480,000 �r29 - Willow - Seaior Citizens 223,525 ��30 - Hallie Q. Brown 143,000 �631 = Model Cities - Denonstration �rant Project Continuation Thereof 75,000 Administration Costs 358,801 $1,810,326 Direct Salary Costs 77,981 GRAD,'D TOTAL $1,888,307 LINE 16 - CO:�'TIiVGENCIES Program ��20 - Interest on N�JP Loans $ 303,000 Not Earmarked 572,669 $ 875,669 -3- . � • � ��5�_�,� ATTACI�'IENT TO HUD-7015.5 CO:�'Il`�IIJNITY DEVELOPMENT BUDGET Total of Column 5A Community Development Program $ 18,075,000 Additional Items provided for in Budget Disposition Expense Advertising, Sales Promotion, Etc. $ 60,000 Property Management Expense 110,000 Purchase of Equipment from NDP 65,000 $ 235,000 Total $ 18,310,000 Total Line 16 - Budget $ 18,309,331