Item Coversheet
ITEM 4.
Hurricane Recovery Items - Administrative Agenda

AGENDA ITEM REPORT

DATE:November  7, 2023 
DEPARTMENT:County Manager
REQUESTER:Glen Salyer 
TITLE:Authorize Public Comment Period for Proposed CDBG-DR Action Plan Amendments 
I.MOTION REQUESTED
 Authorize the publication of amendments to the CDBG-DR Action Plan for a 30-day public comment period.
II.ITEM SUMMARY
 Authorizes solicitation of public input on proposed amendments to Lee County’s Action Plan for Community Development Block Grant – Disaster Recovery funding during a 30-day public comment period. The proposed amendments will be published after HUD approves the original plan submission, and comments will be accepted online or via email for a minimum of 30 days. Comments received will be incorporated into the final amendment prior to BoCC approval and submission to HUD.
III.BACKGROUND AND IMPLICATIONS OF ACTION
 A)Board Action and Other History
  

In accordance with Federal Register Notice 90 FR 32046 and as approved by the Board of County Commissioners, Lee County submitted the Action Plan for Community Development Block Grant – Disaster Recovery (CDBG-DR) funds on September 19, 2023.

 

As project planning progresses and community needs shift, changes to program policies and funding allocations may be required within the Action Plan. As required Lee County's CDBG-DR Citizen Participation Plan, the proposed amendments will be published for public review for a period of not less than 30 days.

 B)Policy Issues
  

Per Section III.C.6 of the Consolidated Notice, Federal Register 90 FR 32046. Lee County is required to create a substantial amendment to the CDBG-DR Action Plan for any changes that expand the eligible beneficiaries of activities, add or delete an activity, any relocation of funds that exceeds 5 percent of the total approved budget and any other material changes. 

 

Lee County Administrative Code 3-17 Grant Program Administrative Procedures requires each department to ensure compliance with all grant terms and requirements. 

 C)BoCC Goals
  Meets requirements for HUD grant funding, which provides for recovery funding in Lee County. 
 D)Analysis
  

The U.S. Department of Housing and Urban Development (HUD) announced that Lee County will receive $1,107,881,000 in funding to support long-term recovery efforts following Hurricane Ian (FEMA – 4673 – DR) through the Office of Disaster Recovery (ODR) within the Office of Community Planning and Development. Community Development Block Grant-Disaster Recovery (CDBG-DR) funding is designed to address needs that remain after all other assistance has been exhausted. Program rules are detailed in 90 FR 32046 (May 18, 2023) and other relevant federal statutes and regulations. (See: https://www.hud.gov/sites/dfiles/CPD/documents/6393-N-01CDBG-DR-Allocations.pdf)

Proposed amendments to the Action Plan are outlined below: 

Affordable Housing Development and Preservation

  • Increase maximum per unit subsidy from $200,000 to $250,000 and reduce the number of units anticipated to be developed from 1,750 to 1,400.
  • Change mortgage terms for newly constructed single-family homes from a 20-year period with no amortization to a 6.667% annual amortization from years 6 through 20.

 

Individual Housing Programs

  • Clarify that homebuyers seeking home purchase assistance must have been residents of Lee County at the time of the storm.
  • Include prioritization for households with children.
  • Remove requirement that rental properties must have had renters at the time of the storm.
  • Expand the definition of housing units that are not suitable for rehabilitation.
  • Change the Voluntary Residential Buyout program to an Acquisition program to allow flexibility in the future use of properties (including greenspace, passive recreation, or additional land uses determined to be of public benefit). 
  • The estimated number of households provided housing through Voluntary Residential Acquisition is being reduced from 129 to 85 due to funding being moved from this project to HMGP Public Facilities and Infrastructure Match.

Public Facilities and Infrastructure

  • On October 23, 2023, the Florida Division of Emergency Management announced the addition of $95,551,136.58 to Lee County’s allocation of HMGP funds. Lee County will be required to provide a new total match of $143,860,463. To meet the new match requirement, Lee County is reallocating $30,529,268, from the Voluntary Residential Acquisition project. 
  • Change project name to include “Public Facility” to ensure clarity that match may be provided for public facilities or infrastructure. 
  • Remove maximum per project award amount. Lee County will determine maximum amounts on a case-by-case basis, as necessary to meet global match requirements.

 

Planning

  • Change threshold requirement for planning to ensure that the applicant has provided evidence that the planning effort will be undertaken within the entity's area of jurisdiction.

 

Other Clarifications

  • Change “municipalities” to “Units of General Local Government” throughout the Program Details section of the Action Plan to ensure inclusion of all eligible applicants.  
  • Clarify that additional eligibility criteria for all programs will be defined in program policies and procedures.
  • Remove statutory citations, only regulatory citations are needed within the action plan.
  • Other minor edits to ensure consistency across the document.
 E)Options
  
IV.FINANCIAL INFORMATION   
 A)Current year dollar amount of item:
No funding required.
 B)Is this item approved in the current budget?Yes
 C)Is this a revenue or expense item?N/A
 D)Is this Discretionary or Mandatory?Discretionary   
 E)Will this item impact future budgets?
If yes, please include reasons in III(D) above.
No
 F)Fund: Federal Grants through General Fund
Program: CDBG-DR
Project: CDBG-DR
Account Strings: 11137113301  
 G) Fund Type?General Fund   
 H)Comments:
 
V.RECOMMENDATION
 Approve  
VI.TIMING/IMPLEMENTATION
 Action Plan amendments will be submitted to HUD upon approval by the Board. HUD estimates amendment approval to be provided within 45 days. Programmatic changes will be implemented after HUD approval.
VII.FOLLOW UP
 The BoCC will review public comments received and approve submission of the amended Action Plan to HUD during the December 19, 2023 BoCC meeting. 
REVIEWERS:
DepartmentReviewerActionDate
County ManagerSalyer, Glen Approved10/31/2023 - 12:09 PM
Budget ServicesHenkel, Anne Approved10/31/2023 - 12:41 PM
Budget ServicesWinton, PeterApproved10/31/2023 - 1:16 PM
County AttorneySwindle, AmandaApproved10/31/2023 - 1:56 PM
County ManagerSalyer, Glen Approved10/31/2023 - 4:06 PM