Miscellaneous Correspondence. COUNTY IF!NA NROE
KEY WEST, 33040 '. I
0001
(305) 294-4641 n a
MEMORANDUM
DAM: DECEMBER 6, 1983
TO: ALL OOUNTY COMMISSIONERS
FROM: W H MTNA G . HARVEY , CHAIRMAN - MAYOR
BOARD OF COUNTY COMMISSIONERS
Wilhelmina Harvey, District 1
Ed Swift, District 2
MAYOR Jerry Hernandez, District 3
Alison Fahrer, District 4
Mayor Pro tern Ken Sorensen, District 5
SUBJECT: Material from Grant writer, Mr. Bob Bensko, on
Block Grant Programs; forwarding of
Enclosed is information packet on the U. S. Housing and Urban
Development (HUD) small cities and counties Block Grant Program
for which we are holding public hearings on Dec. 15th and Dec. 16th.
Additional application information will be fourthcoming.
dj*�'
Wilhelmina G. Harvey
Mayor of Monroe County
WGH/dp
cc: Mr. Kermit Lewin, County Administrator
Mr. Ed Stickney, Public Works Director
Mr. Lucien Proby, County Attorney
Mr. Danny Kohlage, Clerk of Court
CITIES D
AND
JCJuS INPAC T FR0riRA fli
Qpj)'_IC,,,i.jT I'I ANuriL
NOVEMBO.R, 19�3
LFPAR : CF CC'itiNUf I T Y AFFAIRS
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FLORIDA DFPAR-MENT OF CNIIMUN'ITY AF AIPS
John M. DeGrov,,, Secretary
DIVISION OF LOCAL RFS.OURCF
James F, Murley, Director
BUREAU OF LOCAL GOVERNMENT ASSISTANCE
Ann
Perrotta, Bureau Chief
Dick Studebaker, Assistant Bureau Chia(
Rod Wesi.alI Ann Getman
Gail Buck Tom Jackson
Harold EastmanDoug Lees
Rikka Flemming Henry Turner
2571 Executive Center Circle, East
Tallahassee, Florida 32301
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904-43,- 3644
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GENERP L INFORMATION
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1111'I:O."UCi' i.0il
The purpose of this Applicr?n` 11,1jiu- 1 is to provide i_nf:ori:r, guidance
and instructions to local cover)... -kits that are planning to ap?l� kor Sr.ants from
the Florida Deportment o'. Gortimur-.i_ty Affairs' Sm.-.1.1 Cities Co!ranunity Ik:velopmc•nt
Block Grant (CDBG) Pro,)rani and the CDBG Jobs Impact Pr oe. ram.
The Small Cities CDBG Progr.ani, authori...ed. by Title I of th-1 Ind
Community Development Act of 1974, as amended, provides assist-ance to local
governments in meeting their housing and con::uunity development needs. The 1981
amendments provided that beginn:i.nt, in 1982, States could elect to assume
responsibility for adinini.,tration of the Small. Cities Program. Florida elected
to assume responsibility for administration of the program beginning in 1.983.
The Florida Sm:.I.1 Cities Co;r,Munity Development Block Grant Act, Chapter
83-205, Laws of Florida allo,..s the State of Flori dr; to accept and administer the
Small Cities .funds for the prim': ry purpose: of allowing local govern;cent, to
undertake activities vrhich would benefit lour and moderate income persons, help
eliminate slums and blight, or meet other urgent community development needs.
The Act also gives the Department: of Community Affairs (DCA) the authority to
administer the CDBG Program and sets forth guidelines for the Department's
distribution of these funds. DCA Rule 9B-25 establishes administrative
procedures by which these funds are made available to local governments for
community development activities. Since DCA is author.i.z^d to administer the
regular CDBG Program, it will also administer in 1983 Emergency Jobs Bill
supplemental funds appropriated by Congress ii.� March, 1983. DCA Rule 9B-26 sets
forth program procedures for malting these supplemental funds available-to'
vailableto
eligible local governments.R'.w (V)
The. Applicant Manual is intended to explain, describe, and annplify both
the Florida Act and ll"1 Rule t" 3-25 anu 9B 2(i� but i.o. no insu nce shall it-
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supersede the Act nor the rules governing tiie prograui;s. The manual is only
applicable to the portions of the Florida Small Cities CDBG Program under the
authority of: the Florida_ Department of Community Affairs and the Jobs Impact
Program. Applicants are encouraged to consult the admini.str,,ti.ve rules as well
as this manual prior to submitting an application to the Department.
I. GENERAL INFORMATION.
A. Submission Dates.
The deadline for submission of applications for the Jobs Impact Program
is December 1`6,. 283. The deadline for submission of applications for the CDBG
Small Cities Program is December 21, 1983. Three copies of each application
must be submitted. At least one copy must contain original signatures.
If hand delivered, applications must he delivered to the Clifton
Building; Koger Executive Center; 2661 Executive Center Circle, West;
Tallahassee, Florida; Third Floor, Room 326 and stamped received by 5:00 p.m. on
the deadline date. If mailed, applications must be postmarked by midnight of the
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deadline date. Applicaticr,s which do not meet these dcndlines will not be
consideL:ed . Applicatio;!:; should be addressed to: Ann Perrot:ta, Chief; I
of Local Governm_r:t Assistance; 2571. Executi�,_, Center Circle, East; Tallahr
Florida 32301.
B. EZiible Applicants.
1. _P.a,ulnr Sma.l_.l Cities Corrnun ty Develop iie., iT Block Grunt (CDBG)
Pr.opram.
Small Citics are incorporated units of general local governmen
with populations of less than 50,000 and counties with populations of less
200,000 and are the only applicants'eligible to apply for grants under the
Florida Small Cities:, CDEG Program. The following units of local government
not eligible:
# Metropolitan cities eligible to participate in a
U.S. Department of Housing and Urban Development
(MUD) entitlement pt:ogram;
* Urban counties;
Units of local government participating in an urban
county or metropolitan city CDb'G entitlement program;
Indian tribes eligible for assistance under Section
107(a)(3) of the Housing and Community Development Act.
Local governments requesting that the Department honor a prig
HUD funding commitment shall be ineligible to apply for additional state `
for Housing and ;neighborhood and Commercial Revitalization grants o:ithin t
-cycle for which multi -year funding has been honored.
Those cities which have elected to withdraw from the urban c�
entitlement program in order to compete in the State Small Cities CDB,G Pru '.
may apply for State program funds if they are in the final year of an
entitlement commitment and if all current. CDBG projects are nearing
(approximately 80%) completion. A complete list of the cities and countic-
eligible to participate in the FY 1983 Small Cities CDBG Program -is inclu
Appendix A of this manual.
2. Jobs Impact PToQram.
Units of local government eligible to apply for funding und(
regulor CDBG Program are also eligible to apply for funding under the Job:
Impact Program. Local governments with prior HUD CDBG multi -year commitm:
are also eligible to apply under this program.
3. Governor's Discretionar Jobs Impact Pro gram Fund.
L_ _ _1 _ .?,._.__ _
Applicants who apply for funds under the Governor's Discret;f:
Jobs Impact- Program Fund shall not be eligible to compete for funding und�
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regular porn}_on of the Jobs Impact Program.
C. .ap^s of Ap.>>lications.
Applications may be submitted individually or jointly.
1. Indivi.di.�_-,1 Applj at �.ons.
Local governments may submit- applications to undertake eligible
activities within their jurisdiction. The geographical area of a jurisdiction
may be the corporate limits of the municipality, its extraterritorial
jurisdiction or areas outside its jurisdiction,'depending on the project
activities.
Applicants may submit one application for each of the following
categories: housing, neighborhood and commercial revitalization and one
application under the Jobs Impact Program.
2. Joint Ap -i.cations.
In cases where mutual action on the part of two or more local
governments, including counties, is necessary to resolve a.common problem
shared by the local governments, a joint application may be submitted by the
cooperating local governments. The necessity for mutual action must be clearly
documented in the Target Area Needs Form (DCA-S).
a. Restrictions.
Local governments submitting a joint application cannot submit
an additional individual application for funding under that same category but
may submit an application under another category. Local governments submitting
a joint application under the Small Cities Program can submit an additional
individual application for funding under the Jobs Impact Program.
b. Interlocal Agreements.
A written interlocal agreement between the participating local
governments must be submitted with joint applications. The agreement should
designate the unit of government that will serve as the lead agency in
submitting the application and in implementing the proposed activities. A
sample interlocal agreement is included in Appendix B of this manual.
3. Activities Outside an Applicant's Boundaries
An applicant may conduct eligible block grant activities outside
its corporate boundaries, provided the applicant demonstrates that the
activities are appropriate to meeting the locality's needs and objectives and is
consistent with State and local law. This provision allows the applicant to use
CDBG funds for activities carried out in a metropolitan city or an urban county,
if there is a demonstrated overlapping need. Where this is the case, the
applicant must enter into an interlocal agreement to certify that it has the
legal authority to carry out the proposed activities in these areas.
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D. Di ctribiition of Prcyram Fund:;.
Applicants may submit one application for each of the following two
areas: Housing and Neighbor hood "and Commercial Revitalization categories of i
regular CDBG Progran and the Jobs Impact Frogram. Applicants may also apply v
to three (3) times in any one annual funding cycle for a grant under the
Economic Development Program category implemented by the Florida Department o;
Commerce. An applicant may receive a grant award from each of these areas.
1. Cate or}� Fundi.n �Level.s .
a. Regular Program.
The FY '83 federal allocation for the Florida Small Cities Ci
program is $26,182,000. The Florida Department of Community Affairs expects t
distribute to eligible local governments approximately $13,543,270 through t1c,
competitive process. The amount of funds available in each category is as
follows:
housing - 40 % or $7,851,171
Neighborhood and Commercial Revitalization -
29 % or $5,692,099
Thirty percent (30%) or $5,888,378 has been allocated to the
Economic Developurlit category administered by the Florida Department of
Commerce. The remaining one percent (1%) has been allocated to the regional
planning councils to provide application and planning assistance to eligible
local governments.
b. Jobs Impact Program.'-'/61
The FY '83 federal allocation for the Florida Small Cities,,:'
Jobs Impact Program is $4,835,000. Of the total funds available, eighty pert.
(80%) of the funds will be utilized under the regular program and twenty pert
(20%) of the funds will be reserved in the Governor's Discretionary Fund.
Local governments may submit one application comprised of or s
or more eligible activities vhich will benefit low and moderate income persoi,.
help eliminate slums and blight, or meet other urgent community development
needs. In addition,the proposed activity must assist the unemployed and nee0
to the extent practicable where unemployment is highest and has been high for
the longest period of time; for purposes which have the greatest immediate
employment impact and in a manner which maximizes immediate creation of new
employment opportunities to individuals who.were unemployed at least 1.5 of ti:
26 weeks before ?`larch 24, 1983. The application should provide evidence that
programs operated under the Jobs Training Partnership Act (JTPA) and the
Wagner-Peyser Act have been notified of proposed activities under the .Jobs
Impact Program. Applications may be submitted under either the regular porti
of the Jobs Impact Program or the Governor's Discretionary Fund. There is no
limit to the number of projects for %.,hich a local government may apply; howe%
the total grant request may not exceed $750,000.
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2. Grant Size _+nd J.opu?at-J.on Groups.
a. Regular Program.
There is no mini-mum.amount for which v.n applicant may apply or
be alrrrded funding; however, grant ceilings related to population size of the
applicant have been established. These ceilings establish limits on the amount
of funds that may be requested in a single application by a community of a
certain size. Population size is based on 1980 U.S. Census of population
counts. In the.case of county applications the population will include only the
unincorporated area of that county. Joint applicants will base their grant
ceilings on the population size of the largest local government participating
in the joint application.
When deciding to submit an application for funding, communities
should pay careful attention to the population sizes and grant ceilings listed
below to determine the amount of funds for which they can apply.
Population Grant Ceiling
1 - 2,999 $500,000
3,000 -9,999 $650,000
10,000 - above $750,000
b. Jobs Impact Program.
There is no minimum amount of funding for which a coimnunir.y may
apply under the Jobs Impact Program or Governor's Discretionary Fund. However,
the maximum grant award to any eligible community will be $750,000 regardless of
the community's population size.
E. Eligible Ac.tivities.
Eligible activities mean those community development activities
authorized in s. 105(a) of Title I of 'the Housing and Community Development Act
of 1974, as amended, and in applicable federal regulations. The Department will
use the CDBG Rules and Regulations, Subpart C. Section 570.200 - 570.207 as
published in the September 23, 1983, Federal Register, to distinguish eligible.
and ineligible activities. The Department of Community Affairs retains the
authority to determine eligibility of any and all proposed activities.
Applicants should note that activities are eligible only to the extent
to which they address the needs of low and moderate income per!,r.)ns, or aid -in
the prevention or elimination of slums or blight or meet other urgent community
development needs.
In general, the following categories contain the major types of
activities that are eligible for funding under the Small Cities Program:
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h.. Hou i.n,• Category.
/ Local governments' submitting applications under the Ilousi.
category shall propose as their primary objective to improve housing Condit
or expand housing opportunities primarily for low and moderate income perse:"
Examples of eligible activitie's that .could achieve this objective include
rehabilitation of houses in a target area., demolition of dilapidated housir
the relocation of residents to safe, sanitary and decent housing,
energy -efficient improvements, code enforcement, land assembly, or historic.;
preservation.
Complementary activities in the housing program category
those eligible activities which are appropriately related and are in suppoy.
the primary activity for which grant funds are being requested. The amount:
funds requested for complementary activities shall represent no more than 2;.
the total funds being requested by the applicant.
2. Neighborhood and Commercial Revitalization Category.
Local governments submitting applications under this cater
shall propose as their primary objective to conserve and revitalize declin
target area neighborhoods or commercial target areas by addressing the majc
problems contributing to the decline being experienced in these areas. Ex,-:.
1 of activities that could achieve this objective include, but are not limits
j improvements to deteriorating infrastructure; provision of.basic*services,
i as roads, water., sewer, and.drainage facilities; the rehabilitation of
neighborhood facilities that provide community services for the target area
residents; construction of facilities for the handicapped; downtown or
neiuhborhood commercial redevelop.,nent. Or housing activities, where the
additional activi.tie, would constitute more than 20% of the total grant amc
3. Jobs Impa.^t: Program.
There are three (3) major project areas which are eligible and
the Jobs Impact Program.
a. General Projects.
All activities eligible under the regular CDBG Program arc
eligible under the Jobs Impact Program with the exception of recreational
activities. Recreation activities are not eligible for funding under the J
Impact Program.
b. Public Services.
Up to 30% of Jobs Impact funds may be proposed for public
service activities as long as these activities complement and relate to oth
community development activities undertaken in the target area. However, C.
those public service activities which serve basic needs that have experienc
reduction in other resources within the past 18 months will be considered f
funding.
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LocE'il governments are re i.tired to provide an up --front- cash
r.-.ritch. on the salaries, paid to. persons employed in public service projects. The
cash match is 50 Laid Y�viy come from other public or pVivate sources. The match
fu..',s must be deposited in a separate account prior to the receipt of grant
fund,.
c. Economic Devcloprient Projects.
All applications requesting funding for economic development
projects must contain a ratio of total dollar amount of all private funds to
Jobs Impact Program funds of no less than 2:1 (for every one ($1) dollar of
I.ubl.ic funds spent, two ($2) dollars of. private .funds must be spent on the
project). Applications must also contain legally binding commitments from
financial institutions, lessors and other participants in the project without
whom the project could not be. completed as proposed. Grant funds will be
released after private funds have been invested or on a prorated basis.
d. Governor's Discretionary Fund.
The eligible activities are the same as under the Economic
Development portion of the Jobs Impact Program. Projects proposed under this
fund must:
1) Have an exceptionally high leveraging ratio wherein the
ratio of nonpublic funds to public funds invested in the project is equal to or
greater than 20:1. In other words, for every one ($1) dollar of public funds_
invested in the project there must be at least twenty ($20) dollars of private
funds invested.
2) Demonstrate that the project will make a significant impact
on the area and which, in the Governor's judgement will be of substantial
economic benefit to.the entire state.
3) Contain legally binding commitments from financial
institutions, lessors and.other participants in the project without whom the
project could not be completed as proposed.
4. Determi.ninr EliibilitI.
Applicants should ch-ck.t:he basic eligible activities listed in
Subpart C of the CDI3G regulations, Section 570.201, to determine which
activities will be eligible. If -there are special requirements outlined in
24CFR Part 570, CDEG regulations dated September 23, 1983, then the applicant
must demonstrate how the proposed project meets those special considerations.
Parking facilities, fire protection facilities, and public services are examples
of eligible coimwiunity development activities which must meet: other special
requirements. The Department of Community Affairs retains the authority to
determine eligibility of any and all proposed activities.
If there are further questions about- the eligibility of proposed
activities, call the•Departmc:nt for guidance.
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ROMP SEVEN
MANAGEMENT CONSULTANTS
1017 Varela Street
Key West, Florida 33040
(305)-294-0621 May 15, 1985
Mayor Wilhelmina G. Harvey
Monroe County Courthouse
Commission Offices
310 Fleming Street
Key West, Florida 33040
Re: Group Seven, Inc. Fee for HUD Rental Rehabilitation Program
Dear Mayor Harvey;
Please place the following item on the May 24, 1985 Monroe County Commission
Agenda to be held in Plantation Key.
"Approval for payment of Group Seven, Inc. (Robert R. Bensko, Grants
Writer) fee for acquisition of a $1,100,000 HUD Rental Rehabilitation
Project, with a $550,000 grant to rehabilitate 110 units -Fee $18,450."
Your office should receive notification of the award through the U.S. Represen-
tative's office by the end of this week. Please note that the number of units
has been slightly reduced from 125 units to 110 units due to an oversubscription
of funds for the whole state. We will, however, endeavor to increase the number
of units and grant funds as they become available.
According to the HUD consultants and my own inquiries and research, an effort is
being made in Congress to allow HUD to extend its Rental Rehab program into the
U.S. Farmer's Home Administration jurisdiction - in our case, the Upper I:eys.
Apparently, the Congress failed to provide the Farmer's Home Administration
equivalent rental rehab program with a rent subsidy program. This is why it
is not workable as it now stands.
Meanwhile, every effort is being made to aid the Hibiscus Park area in their
Housing Program. I obtained home owner construction applications from the
Farmer's Home Agency and forwarded them to Mrs. Beverly Johnson of the Upper
Keys Committee for their use, and apprised her of what was taking place with
the rental rehab program. When the HUD program is extended into the Upper Keys,
there will be sufficient units to service that area.
I will prepare a rental rehab program description for publication when the grant
announcement is formally made. It has taken a great effort by many, especially
the Monroe County Commission, to construct a housing project of this magnitude,
and its implementantion should be properly acknowledged.
Sincerely,
Robert R. Bensko
ROUP SEVEN
MANAGEMENT CONSULTANTS
1017 Varela Street
Key West, Florida 33040
(305) 294-0621
May 14, 1985
-STATEMENT OF SERVICES -
Project development, application preparation and $18,450
grant acquisition for a $1,100,000 HUD Rental
Housing Rehabilitation Project with a $550,000
grant. There will be no charge for the several
million dollars in rent subsidies that are
awarded to the Monroe County Housing Authority.
The activities cover the period from November,
1984 until the present. The services included
project coordination with HUD, the Housing
Authority, the HUD and Housing Authority
Consultants and the County Planning Department.
The fee calculation is in accordance with our
contract with the County, and is detailed on
the attached page.
Total Due $18,450
UP SEVE
MANAGEMENT CONSULTANTS May 14, 1985
GROUP SEVEN FEE CALCULATION FOR
MONROE COUNTY HUD RENTAL REHABILITATION PRO(.�RAM
Project Cost $11,100,000 ($550,000 grant + $550,000 Developer
Match)
Project Development Fee
0-$50,000 2% x $50,000 = $1,000
$1,050,000
$5031000-$2009000
1.5% x $1501,000 =
900, 00
$2,250
$200,000-$5001p000
.75o x $300,000 =
600,000
$211250
$500,000-$750,000
5o x $250 000 =
$11250
0��
$750,000-$1,100,000
.2o x $350,000 =
$ 700
SUBTOTAL PREPARATION FEE
$7050
Performance Incentive
Fee (Grant $550,000 x 20) _
$11,000
TOTAL FEE DUE
$18,450
Note: The original grant request was for $625,000; however, the grant was
reduced because of a shortage of statewide funds. It is anticipated
that a grant increase may come at a later date.