1. Public Hearing Community Development Block Grant Disaster Recovery (CDBG-DR)2 Agency of Commerce and Community Development Department of Economic, Housing and Community Development White River Junction, VT June 27, 2013

2. Community Development Block Grant – Disaster Recovery (CDBG-DR)2 PUBLIC HEARING AGENDA Overview CDBG-DR – Requirements Proposed Timeline Draft Action Plan Clarifying Questions & Answers Public Input

3. Community Development Block Grant – Disaster Recovery (CDBG-DR) Overview Federal Register Notice – Official Notice –Funding from the U.S. Department of Housing & Urban Development (HUD) –Released, May 29, 2013 –Effective, June 3, 2013 –Follows & includes rules in other Sandy Federal Register notices release 4/19/13 & 3/5/2013 Presidentially-declared disasters –DR-1995, April 23-May 9, 2011 Flooding –DR-4001, May 26-27, 2011 Flooding –DR-4022, August 27-September 2, 2011 Tropical Storm Irene –*DR-4043, May 20, 2011 Flooding* –*DR-4066, June 29, 2012 Tornado & Flooding*

4. Community Development Block Grant – Disaster Recovery (CDBG-DR) What Does this mean for VT? $17,932,000 CDBG-Disaster Recovery funding Assist communities with disaster relief, long-term recovery and restoration of: –Infrastructure –Housing –Economic Development

5. Community Development Block Grant – Disaster Recovery (CDBG-DR) Allocation based on HUD’s best available data of unmet needs for all affected areas from Presidentially- declared disasters that occurred in 2011 and/or 2012. Allocation Methodology- Federal Register- Appendix A. pg. 32266 Ensure funds address unmet needs within the “most impacted and distressed” counties and municipalities In VT at least 80% ($14,345,600) must be expended in Washington, Windsor and Windham Counties

6. Community Development Block Grant – Disaster Recovery (CDBG-DR) Requirements Funds must be targeted “Most impacted or distressed areas” In VT at least 80% ($14,345,600) must be expended in Washington, Windsor and Windham Counties At least 50% of funds must directly benefit low and moderate income person At least $8,966,000 80% and below area median income (AMI) Up to 50% of funds may assist activities under Urgent Need or prevention/elimination of slums and blight

7. Community Development Block Grant – Disaster Recovery (CDBG-DR) 2 Year Expenditure Requirement Duplication of Benefit -Assistance provided deducted from estimated damage Insurance FEMA assistance SBA disaster loans -Subrogation Agreement Must repay Federal Disaster Assistance If other funds are received at a later date Discovery of available funds at a later date

8. Community Development Block Grant – Disaster Recovery (CDBG-DR) Flood Insurance Requirements –Property located in 100 year flood plain or Special Flood Hazard Area (SFHA) – must maintain flood insurance –If not maintained, no additional future assistance to the property –Duty to Notify in event of transfer of property Environmental Review –Caution – Historic Preservation/Archaeological issues –8 Step Flood Plain process Procurement –Competitive process, open and fair –Cannot be Debarred, Excluded Parties List

9. Community Development Block Grant – Disaster Recovery (CDBG-DR) Labor Standards –Davis Bacon wage rates Not applicable to owner-occupied, single family Not applicable to <8 units of multi-family Affirmatively Furthering Fair Housing Civil Rights and Fair Housing Act

10. Community Development Block Grant – Disaster Recovery (CDBG-DR) Timeline State must submit Certification to HUD by July 3 rd State must develop and release Draft Action Plan to public by August 23 rd State will have a minimum 7 day Public Comment Period on Draft Plan and Submit Final Action Plan to HUD by Sept 3 rd HUD issues approval within 45 days Must draw funds within 60 days

11. Community Development Block Grant – Disaster Recovery (CDBG-DR) Action Plan must be amended within 90 days of approval to include projection of expenditures & outcomes Action Plan considered a living document –Will be amended as projects are awarded Substantial Amendments –Change in Program benefit or eligibility –Allocation or re-allocation of $1 million –Deletion or addition of an activity

12. Community Development Block Grant – Disaster Recovery (CDBG-DR) Eligible Uses Buyouts of flood damaged properties in flood plain; Rehabilitation of homes and buildings damaged by the disaster; Relocating residents, local government facilities and businesses to safer areas;

13. Community Development Block Grant – Disaster Recovery (CDBG-DR) Eligible Uses Repair and reconstruction of municipal infrastructure – roads, culverts, buildings; Homeownership activities such as down payment assistance, interest rate subsidies and loan guarantees;

14. Community Development Block Grant – Disaster Recovery (CDBG-DR) Eligible Uses Business financial assistance –Create or retain jobs –Interest rate buy downs –Rent subsidies –Lost rental revenue –Downtown Revitalization

15. Community Development Block Grant – Disaster Recovery (CDBG-DR) Eligible Uses New housing production to replace lost units Public services, counseling Matching funds –Economic Development Authority grants (EDA) –Hazard Mitigation Grant Program (HMGP) Debris removal not covered by FEMA or other available resources;

16. Community Development Block Grant – Disaster Recovery (CDBG-DR) Eligible Uses Debris removal not covered by FEMA, or other resources Disaster recovery planning; Grant administration and program delivery costs.

17. Community Development Block Grant – Disaster Recovery (CDBG-DR) CDBG-DR 1 Funding up-date Total Allocation$21,660,211 –State Administration (5 yrs)$ 1,083,011 Grant Total$20,577,200 –Competitive Grants$ 8,750,000 –State Direct Grants$ 9,661,179 –Contingency (10%)$ 2,166,021

18. Community Development Block Grant – Disaster Recovery (CDBG-DR) CDBG-DR 1 Funding up-date Competitive Grants Awarded $6,072,182 State Direct Grants Awarded$9,661,179 Total Awarded as of 6/1/13$15,733,361 –Competitive Remaining$2,677,818 –Contingency (10%)$2,166,021 –Total Remaining $4,843,839

19. Community Development Block Grant – Disaster Recovery (CDBG-DR) DRAFT Action Plan – Development Assessment of remaining Unmet Needs –Analysis of Data - Recovery efforts to date –CDBG-DR 1 Grants/projects with additional needs- (buy-outs, business assistance, public housing & mobile-home park relocation) Housing Business community (including Agriculture & Downtowns) Infrastructure - roads, culverts, bridges, buildings Planning

20. Community Development Block Grant – Disaster Recovery (CDBG-DR) DRAFT Action Plan – Development Letters of Interest (LOI’s) Consultation with partners & agencies Public Input Balanced with HUD requirements (targeting, expenditure timelines, LMI)

21. Community Development Block Grant – Disaster Recovery (CDBG-DR) Application Process Eligible Applicants –Municipalities –Non-profit Organizations –For-profit Organizations –Developers –State Agencies

22. Community Development Block Grant – Disaster Recovery (CDBG-DR) Applications submitted online –Intelligrants Management system Threshold Review –10% Match (cash, cash-in-kind, grant or loans) –Implementation grant, maximum request $1M –Planning grant, maximum request $100K

23. Community Development Block Grant – Disaster Recovery (CDBG-DR) Threshold Review – cont’d –Address Presidentially declared disaster –Eligible Activity per Federal Register –Meets a National Objective 50% of allocation - Low/Moderate Income (LMI) 50% of allocation – Urgent Need

24. Community Development Block Grant – Disaster Recovery (CDBG-DR) Competitiveness Review –Need –Impact –Feasibility Consultation with other State agencies

25. Community Development Block Grant – Disaster Recovery (CDBG-DR) Scoring Review, page 23-24 of Draft Action Plan –Need 50 pts –Impact25 pts –Feasibility25 pts

26. Community Development Block Grant – Disaster Recovery (CDBG-DR) CD Specialist summarizes for CD Board CD Board deliberates –Makes recommendation to Agency Secretary Secretary makes final award decision

27. Community Development Block Grant – Disaster Recovery (CDBG-DR) State will be accepting CDBG-DR applications –Early September, after HUD’s approval of Action Plan Applications will be submitted online –Intelligrants Management System Expectation of review and funding decision –Within 30 days

28. Hazard Mitigation Grant Program (HMGP) – Buy outs

29. Community Development Block Grant – Disaster Recovery (CDBG-DR2) Public Hearing Commences Adjourn E-Mail Comments - ACCD.CDBGDisasterRecovery@state.vt.us http://accd.vermont.gov/strong_communities/opportunities/funding/cdbgdr

30. Community Development Block Grant – Disaster Recovery (CDBG-DR) Staff Contact Information Josh Hanford, CD Director Josh.Hanford@state.vt.us Ann Karlene Kroll, Grants Management Director AnnKarlene.Kroll@state.vt.us George Sales, Grants Management Specialist George.Sales@state.vt.us Nathan Cleveland, Community Development Specialist Nathan.Cleveland@state.vt.us Nathan.Cleveland@state.vt.us