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2012 CDBG-Disaster Recovery Application Preparation July 30, 2013.

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Presentation on theme: "2012 CDBG-Disaster Recovery Application Preparation July 30, 2013."— Presentation transcript:

1 2012 CDBG-Disaster Recovery Application Preparation July 30, 2013

2 CDBG-DR- 2012  Webinar will last approximately 1.0 hours with time for questions at the end.  All phones of attendees will be muted  Questions will be available thru the Q&A function  The Audio and PowerPoint will be posted on DCED’s website 2

3 CDBG-DR- OVERVIEW I n 2011, Pennsylvania was impacted by three declarations of Presidential Disaster areas, including two major storm systems the 1 st being Hurricane Irene, and 12 days later Tropical Storm Lee causing catastrophic flooding in some areas of the commonwealth. The Department of Housing and Urban Development (HUD) has allocated to the Commonwealth $27,142,501 in Community Development Block Grant Disaster Recovery (CDBG-DR) funds for recovery efforts related to these events. 3

4 CDBG-DR 2012 APPLICATION PREPARATION This webinar will provide an overview of the CDBG-DR Guidelines and application process and address the following: Funding Priorities Eligibility Application Procedures Review Process Program Requirements and Waivers Web-links to resources CDBG-DR 4

5 CDBG-DR PRIORITIES Statutory Requirement Commonwealth must target funds - 80% to five hardest hit counties most impacted as HUD determined by the available data which includes Columbia, Wyoming, Bradford, Luzerne and Dauphin counties (at least $17,283,073) - 20% to the remaining 31 counties (up to $9,859,428) 5

6 ACTIVITIES AND BUDGETS Housing Buyouts - $2,000,000 Infrastructure Activities: $3,500,000 Economic Development Activities: $4,553,500 Planning Services: $1,357,125 Administration 2.5% - $678,562* (DCED is sharing 5% admin with Successful Applicants) * Other Housing Activities will be covered under a separate Webinar - includes $9,660,501 for rehabilitation, reconstruction, new construction 6

7 ELIGIBLE APPLICANTS Preference is for any unit of local government that is a federal or state entitlement community - Required plans in place - Financial Management system in place - Capacity to administer - Experience to administer on behalf of other units of local government, if applicable Other entities may apply – won’t receive funds until necessary plans are in place – capacity established 7

8 CDBG-DR ACTIVITIES Housing Buyouts May apply for non-FEMA assisted Housing Buyouts - Must be located in the 100 year Flood Plain or 500 year Flood Plain - Include FEMA determination of Benefit Cost Analysis (BCA) - Include required demolition costs, if applicable - Property cannot be developed – including flood walls or levees 8

9 INFRASTRUCTURE Public Improvements and Infrastructure Roads, bridges, curbs, gutters, sidewalks, water/sewer, utilities, etc. Infrastructure in-support-of new housing - streets, drainage, etc. Activities relating to energy conservation and renewable energy resources, incorporated into recovery efforts NOTE: Infrastructure projects must be eligible under CDBG guidelines CDBG-DR ACTIVITIES 9

10 CDBG-DR - ACTIVITIES Public Facilities Community Buildings, Parks, Senior Center, etc. Acquisition, construction, reconstruction or rehabilitation activities Transitional housing and emergency shelters Public Services Includes food banks, child care, health care, job training, nutrition services, operations costs for emergency shelter and transitional housing Code Enforcement Code enforcement in areas affected by disaster 10

11 CDBG-DR ACTIVITIES ECONOMIC DEVELOPMENT Physical Improvements to mitigate or reduce future damages to business caused by flooding Assistance to small business that sustained physical damage or economic loss NOTE: Assistance must be in the form of a loan with appropriate underwriting of the business 11

12 CDBG-DR - ACTIVITIES PLANNING ACTIVITIES Smaller maximum grant amounts available for “planning only” such as: - Creation / Update of Local Hazard Mitigation Plans (LHMP) - Creation / Update of comprehensive community development plans GENERAL ADMINISTRATION Limited to 2.5% of the total request 12

13 CONSTRUCTION REQUIREMENTS Planning and Floodplain requirements will be imposed on all municipalities assisted with CDBG-DR Funds. Local government applicants seeking funds must document the following: - Conformance with comprehensive plan and applicable local planning and zoning ordinances - Demonstrate Floodplain management ordinance and mapping have been updated. - Project will adhere to PA Uniform Construction Code 13

14 DUPLICATION OF BENEFITS (DOB) DR is the “funding source of last resort.” Verification that all other sources have been depleted (or unavailable provided application was made) prior to completion of the eligible activity Insurance payments, FEMA assistance, Small Business Administration assistance, funds from any other source that are available for the same purpose being applied for – are considered to be duplicated amounts Subrogation Agreement is REQUIRED – repayment of funds if another source is received or disclosed at a later date, 14

15 DOB cont’d. Given the complex nature of this issue, a separate notice regarding Duplication of Benefits can be found Federal Register Vol. 77, No. 73 / April 16, 2012 15

16 CDBG-DR NATIONAL OBJECTIVE Low/Mod Income (LMI) persons or households Area Benefit (LMA) Census Data (2000 LM data) or Survey – if significant housing development has been lost or constructed… need to factor in whether 2000 data is accuarate Limited Clientele (LMC) Income Qualified or Presumed Housing (LMH) LMJ (LMI Jobs) 16

17 CDBG-DR NATIONAL OBJECTIVE Current Low and Moderate-Income Limits available on HUD’s website At least 50 percent of DR funds must meet a National Objective benefitting Low/Mod Income (LMI) persons or households 50% can be used for activities that eliminate slum and blight or meet an urgent need Failure to adequately document compliance with the requirements will result in denial or possible payback of funds 17

18 CDBG-DR NATIONAL OBJECTIVE SLUM and BLIGHT REMOVAL - Spot Basis - Area Basis URGENT NEED NOTE: Regardless of the activity, documentation must be provided that supports that the damage occurred as a result of one of the three declared disasters or will mitigate future damage to community in designated area – see slide 20 18

19 CDBG-DR – APPLICATION SCORING Application being submitted by one of the five hardest hit Counties – up to 20 points. Activities proposed address full recovery from the disaster – up to 20 points. The identified benefit to low/mod income persons – up to 30 points. Community has the staff capacity to undertake activities in accordance with the regulations – up to 15 points. The ability to carryout activities in a timely manner – up to 15 points Leverage – Not required but will be provided extra points

20 APPLICATION PROCEDURES Applicants should submit a Single Application for Assistance online at (1) Original application is to be submitted to DCED and (1) copy must be submitted to the Regional Office Documentation, if available, must include but is not limited to: Photographs – Before and After Reports – FEMA Damage Assessment Report, Insurance Claim, Police, County Emergency Management, etc. Newspaper Articles Code Enforcement or Public Works reports Television news stories 20

21 APPLICATION PROCEDURES cont’d. Citizen Participation - At least one public hearing during the planning phase of the application submittal - Allow 7 days for comments - written comments received during the public hearing process must be considered and included with the application - Approval of the application by resolution 21

22 APPLICATION FORMS Activity Description Form Must clearly describe the problem, the solution, the connection to the disaster, readiness to proceed and the national objective justification Other Supporting Documentation – see slide 20 Four Factor Analysis Determine if the municipality has a prominent non-English speaking population that needs to be addressed Direct Benefit Activities 22

23 FEDERAL REQUIREMENTS DR activities must adhere to all applicable Federal and State CDBG Program guidelines and requirements : ENVIRONMENTAL REVIEW (NEPA) Citizen Participation Plan Procurement Policy Uniform Relocation Assistance Plan Section 3 Plan Fair Housing Plan 504 Plan Labor Standards - Davis Bacon Prevailing Wage requirements 23

24 CDBG-DR RESOURCES Applications are due by close of business (COB) on August 23, 2013. An electronic single application must be completed as well as a paper copy of the application postmarked no later than August 23, 2013 and submitted to DCED, Center for Community Financing. For CDBG-DR related activities, statutes and regulations, visit HUD’s Website at: development/rulesandregs development/rulesandregs 24

25 QUESTIONS Submit questions to DCED - Raise your hand in the Q&A function to ask a question Comments on Second Allocation - Anticipate a draft will be available on August 9-10 - Will be available for at least 7 days for public comment 25

26 DCED CDBG-DR STAFF Disaster Recovery EDA – John Guers (717) 720- 7427 Disaster Recovery EDA – Leigh Wintrode (717) 720-7424 Disaster Recovery EDA – Vacant – New Hire begins August 19 th Environmental Reviews – Chris Howe- (717) 720-7406 Chief, DCED, Center for Community Financing – Donna Enrico – (717) 720- 7343 DO NOT CONTACT YOUR Entitlement CDBG GRANT MANAGERS! 26

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