HomeMy WebLinkAbout02-20-2008 Housing & Community Development Commission
AGENDA
HOUSING AND COMMUNITY DEVELOPMENT COMMISSION
EMMA HARVAT HALL, CITY HALL
WEDNESDAY, FEBRUARY 20, 2008
6:00 P.M.
1. Call Meeting to Order
2. Public Comment of Items Not on the Agenda
3. Discussion Regarding Applications for FY09 Community Development Block Grant
(CDBG) and HOME Investment Partnership Program (HOME) Funding
-- Question/Answer Session
4. Adjourn
,~ !
-~ = -4>>
~~ai!i:~
~~..aal'
~-
CITY OF IOWA CITY
MEMORANDUM
TO:
FROM:
DATE:
RE:
Housing and Community Development Commission
Community Development Staff
February 16, 2007
FY09 CDBG/HOME Funds Available and Breakdown by Category
The City received 27 applications requesting $2,948,149 in CDBG/HOME funding. Last
year the City received 20 applications requesting $2,346,185. The City expects to have
available $1,688,745 in federal funds (includes FY09 entitlements plus program income)
from the U.S. Department of Housing and Urban Development (HUD). Congress
approved the HUD budget. Unfortunately, there was an approximate 4% cut to the
CDBG entitlement and a 3% cut in the HOME entitlement from last year. Iowa City has
received an approximate 25% reduction in HUD entitlement funds over the last seven
years.
After removing the Council approved set-asides and earmarks for housing rehabilitation
($244,417 set aside plus revolving loan fund income generated by the housing
rehabilitation program), economic development ($82,890), Aid-to-Agencies ($105,000),
and program administration and planning ($215,579), the City of Iowa City has
approximately $1,040,859 available to allocate to FY09 project requests.
Upon reviewing the FY09 requests, please review the strategic plan in the 2006-2010
CITY STEPS document. CITY STEPS is used as a guide in the allocation process and
uses five-year priorities, strategies and goals to address the needs of low-income
persons for housing, jobs and services in Iowa City. The attached chart identifies how
much in funds has been allocated to each CITY STEPS category to date compared to
the targets set in CITY STEPS.
Because CITY STEPS is a multi-year plan it is important thatwe annually address the
strategies and goals to ensure that they are being met. These goals, and the City's
effort to meet these goals, will be the method HUD uses to measure the City's
performance and compliance with the CITY STEPS plan.
As a reminder, it is the policy of the City Council to allocate $105,000 of the public
service funds to the annual operating expenses of Human Services Agencies, as part of
the City's Aid to Agencies budget. This leaves approximately $9,300 for other public
service activities. The funds in the public services category represent our "cap" on
public services as identified in federal law (15% of the CDBG entitlement plus prior year
program income).
Please note that the dollar amounts assigned to housing and public facilities are
somewhat flexible. A minimum of $747,549 must be allocated to HOME eligible
housing activities. The total allocation for public service projects is not flexible and may
not exceed $9,300.
February 16, 2008
Page 2
Also, please remember that a requirement of the HOME program is that not less than
15% of the HOME allocation, at least $92,055 this upcoming fiscal year, be reserved for
Community Housing Development Organizations (CHDOs). Of the FY09 housing
applicants, The Housing Fellowship and HACAP qualify as CHDOs. HOME funds may
also be used for CHDO operating expenses. The total amount that may be allocated in
FY09 is $30,685 (5% of the HOME entitlement). Funds allocated to CHDO operating
expenses do not count towards the CHDO set-aside amount.
Sources of FY09 Funds
FY09 CDBG Entitlement (4% cut from last year)
FY09 HOME Entitlement (3% cut from last year)
FY09 Anticipated CDBG Program Income
FY09 Anticipated HOME Program Income
Prior Year Unexpended CDBG Funds
Prior Year Unexpended HOME Funds
$651,045
$613,700
$120,000
$100,000
$29,000
$175,000
TOTAL $1,688,475
There is a possibility that additional funds may be available for HOME and CDBG
projects. Staff has conservatively estimated program income and there are funds in our
line of credit that staff must review and determine if the City may allocate these funds in
this allocation cycle. Before the March meeting, staff will advise the commission if there
are any changes to the budget as presented in this memo.
If you have any questions about the amounts available for allocation or about the
allocation process feel free to contact Steve Long or Tracy Hightshoe at 356-5230.
t/)
a.~
wo
I-Q;'ifl
t/) en 00
~~~
()
~ ~cf?
o 'ifl 'ifl 0 0
-000011)0
N -T""
'ifl
~~ ~cf?
CG 0 0 'ifl 'ifl 0 0
.a~M..........NO
U....- -T""
<
O'>T""'VI.(')COI{)
O'>'VI'--T""T""~
I.(') CO 1'--0('1') I{)
S cri Lei T""" ri CO" CO"
ONNCOO'>CO"'-
I-('I')I'--('I')('I')CO~
('1')" EI7 EI7 EI7 EI7 I{)"
EI7 E.9-
o 0 000'0
OEl7E17E17E17E17E.9-
-
)-
LL
000000
mEl7E17E17E17E17E.9-
~
LL
J!)
Q)
en
....
CG
l-
t/)
a.
w
l-
t/)
~
()
o
-
"C
e
CG
Co
E
o
()
t/)
c
o
;;
CG
U
o
<
CG
::I
-
U
<
'V 'V 'VO
T""NI'--E17
00 CO_ 0'>_ 'V_
OO'>T""<O
)-OON
LLT""NT""
T""-EI7E17
EI7
1'--0)
NC")
COO
~ 0"
N(O
N(O
EI7 ~.:
E.9-
T""O'>OONC\I
N<OOOI'--(O
.....00'>('1')01'--0
o cri Lei 0'>- T""" N CO"
)-O'>OT""'VNCO
LL<O('I')T""T""N~
EI7 EI7 EI7 EI7 EI7 ~.:
E.9-
~
o
C)CD
evO
.,)-
nsLL
()
en
c.
w
I-
en
~
-
()
~
.Q
'VCOOI.(')I'--~
CO'VOT""T""~
1'--0'>001'--~
ci r--: cD N ri 0"
NT""T""I.(')NC")
I.(')NT""NNC")
~ EI7 EI7 EI7 EI7 C\I"
EI7 E.9-
I/) I/)
Q) Q)
:E U
'0 '2:
rn Q)
0) U. (/)
.~ U ,U_
1/):=
::J..o..o
o ::J ::J
I 0....0....
-
c:
Q)
E
Q.
o
Q)
> c:
Q) 0
0:;::::;
,~ ~
-
E .!Q
o c:
Oc: E ""
~
U "C .0
W<I::r-
-
as
.,
o
I-
t/)
a.~
w 0
I-Q;'ifl
t/) en 0
~~N
()
'ifl'ifl~
11)00
N~II)
'ifl
Ci'ifl'ifl'ifl~
.a::~~b
u
<
'VN('I')OO)
<OI'--<OEI7O)
I.(')I'--N I{)
S cri ct5 ~ 0)"
o I.(') COO C\I
I-('I')'VI.(') C")
EI7 ~ ~ C")"
EI7 EI7 E.9-
0000
OEl7E17E17E17
-
)-
LL
0000
cnEl7E17E17E17
o
)-
LL
e~
'C'"")-
eLL
N
I
U)
e
e
N
>-.....
u.~
f/)
Q)
+:;
'S;
..
(,)CD
c;~
C
.-
f/)
::I
o
:J:
...
.2
f/)
c
o
~
(,)
o
.....
i
ONNO~
EI7 I'-- 'V EI7 ~
1'--0 CO
CO T"" 0)"
T""O'> 0
<Ov ~
EI7 EI7
OOT""O~
OEl7NEI7C\1
000
o 0'> 0)"
00'>0)
~ ~ ~
~
E.9-
'VOOO~
<OOOEl7(O
I.(')ON "'-
0'>- ci T""- 0" '*-
I.(')I.(')T"" C\I0
T""COI.(') I{),,"-
EI7 EI7 EI7
~~
co Q)
1-0::
0)
c:
-g ~
.- c:
Q.::J
::J 0
So
o 0)
.!.. c:
Q) ,-
c: I/)
;: g
OI
~ ......
E.9- ~
~
t:::
:2
~
.....
.Ct)
.t:
~
"C
- ~
.s 0
~ "f.
HOUSING AND COMMUNITY DEVELOPMENT COMMISSION
FYo9 CDBG/HOME QUESTION/ANSWER SESSION
EMMA HARV AT HALL, CITY HALL, IOWA CITY
WEDNESDAY, FEBRUARY 20,2008
TIME AGENCY NAME CONTACT PHONE # E.MAIL
HOUSING
6:10 pm Southgate Development. - Homeownership Dennis Craven 337-4195 dcraven@sgdev.net
6:20 pm The Housing Fellowship - CHDO Operating Maryann Dennis 358-9212 housing@qwestoffice.net
6:30 pm The Housing Fellowship - CHDO Pre-Dev. Loan Maryann Dennis 358-9212 housing@qwestoffice.net
6:40 pm The Housing Fellowship - Rental Maryann Dennis 358-9212 housing@qwestoffice.net
6:50 pm HACAP - Transitional Housing AI Axeen 337-5765 aaxeen@hacap.org
7:00 pm Isis Investments LLC - Rental Salome Raheim 530-4375 salome-raheim@att.net
7:10 pm Chauncey Swan LP - Rental Tracy Falcomata 338-7600 info@burnshousing.com
7:20 pm Dolphin International LLC - Homeownership Arvind Thakore 224-622-1171 arvind 1 OO_us@yahoo.com
7:30 pm ICHA - TBRA Steve Rackis 887-6065 steven-rackis@iowa-city.org
7:40 pm ICHA - Homeownership Steve Rackis 887-6065 steven-rackis@iowa-city.org or deb-
briggs@iowa-citv.org
BREAK
PUBLIC SERVICE
8:00 pm LIFE Skills, Inc. - Transportation Gillian Fox 354-2121 gfox@lifeskills-inc.com
8:05 pm VNA - Operations Suellen Novotny 337-9686 novotnys@vnaic.org
8:10 pm Local Foods Connection - Operations Laura Dowd 338-2010 localfoodsconnection@yahoo.com
8:15 pm Shelter House- Operations (STAR program) Crissy Canganelli 338-5416, crissy@shelterhouseiowa.org
X10?
8:20 pm Compeer - Operations P. Kelley & M. 338-7884, compeer@meimhc.org or
Strechen X245 patricia-kellev@uiowa.edu
8:25 pm Extend the Dream Foundation - Operations Tom Walz 530-8765 thomas-walz@uiowa.edu
8:30 pm Arc of Southeast Iowa - Operations Bill Reagan 351-5017 wmreagan@iowatelecom.net
8:35 pm Free Medical Clinic - Operations Sandy Pickup 337 -9727 spickup3@mchsi.com
8:40 pm MECCA - OperationslTransportation Ron Berg 351-4357 rberg@meccaia.com
BREAK
PUBLIC FACILITIES
8:55 pm MECCA - Facility Rehabilitation Ron Berg 351-4357 rberg@meccaia.com
9:00 pm Dolphin International LLC - Playground Arvind Thakore 224-611-1171 arvind100_us@yahoo.com
9:05 pm Extend the Dream Foundation - Facility Rehab. Tom Walz 530-8765 thomas-walz@uiowa.edu
9:10 pm Arc of Southeast lowa- Facility Rehabilitation Bill Reagan 351-5017 wmreagan@iowatelecom.net
9:15 pm Free Medical Clinic - Building Acquisition Sandy Pickup 337-9727 spickup3@mchsi.com
9:20 pm Twain Elementary - Playground Sharon Locke 688-1165 locke.sharon@iccsd.k12.ia.us
9:25 pm NCJC - Facility Rehabilitation Brian Loring 358-0438 brian-Ioring@ncjc.org
9:30 pm DVIP - Facility Rehabilitation Kristie Doser 351-1042, dvip@avalon.net or
X112 kristiedvip@southslope.net
s:ldevlcommdevlcdbghomelfy09Ifeb20signupsheet.doc
I ~ j
-....= -II'
:t~~!='t
~ ,,~,
.................
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Chauncey Swan LP - Affordable Rental Housing
Number Pag~ 1
Project Address Corner of College & Gilbert Street, Iowa City
Activity Type Housing
CITY STEPS Priority Anti-poverty plan and strategies - housing support services/facilitate
increased capacity of area housing providers (page 127)
CITY STEPS Goal IV B. Affordable Housing: Production of New Rental Units
Achieved (Page 101)
Beneficiaries NA - Pre-Development Loan
Amount Requested $18,000
Repayment Terms 2 year loan at prime minus two interest rate. Applicant requests that
the funds be forgiven if the project is deemed infeasible.
Period of Affordability NA
Percent of Project 86% (City considers L1HTC as public funds, the State of Iowa
Publicly Funded considers them private funds)
Leveraging City Funds $360.11 in other funds for each CDBG/HOME dollar requested
Property Taxes Paid according to Iowa law for LIHTC projects
I ~ I
--=- -It
~~~i!='t
::: __,~
~........
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
The application requests funds for environmental review, site planning and
site acquisition - long term lease negotiation expenses for a November 2008
L1HTC application. The proposed project will include 40 2-bedroom
apartments affordable to households under 60% mfi. The final project is
dependent upon environmental and site planning considerations.
The application references various studies, including the 2007 Affordable
Housing Analysis that demonstrates the community need for affordable
rental housing. Affordable housing for families are virtually nonexistent
downtown as most affordable options found in the downtown area are for
elderly and persons with disabilities.
The proforma and budget will change based on final design. As submitted
the average cost per unit is $162,498. Applicant requests that if the project
does not proceed, the funds be forgiven. Under HOME regulations, the
funds must be repaid. Only certified Community Housing Development
Organizations (CHDO) are granted this provision for pre-development
expenses (environmental, site planning, etc.). As project costs will be
incurred before determining if the project is feasible, if funded, the project
must either be considered a loan or as an administrative expense under the
HOME or CDBG programs. Staff will need to determine if sufficient funds are
available in the administrative budget. Funds could also be sought from the
City's general fund if there is sufficient Council interest.
The applicant has shown an ability to work with a variety of agencies and
organ izations
The general partner of Chauncey Swan LP, Burns & Burns LC, has received
a number of City, State of Iowa HOME and L1HTC awards. The general
partner has successfully managed hundreds of thousands of dollars of
HOME funded projects. Burns & Burns has experience and a successful
track record with the acquisition, construction and management of affordable
housing. Prior Iowa City HOME and L1HTC projects include Concord
Terrace, Lexington Place, Whispering Garden and Melrose Ridge.
1. The Council has not considered a long term lease for this property. The
Council must consider if they are interested in pursuing redevelopment
of this parcel and what type of development.
2. The site has several environmental concerns such as flood plain issues,
possible soil contamination, and the removal of the electric substation.
3. A new proforma must be submitted upon final design.
2
I ~ I
t~~~'t
~ _.t'-
...,..~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Dolphin International LLC - Affordable Homeownership
Number Page 17
Project Address 2401 Highway 6, Iowa City
Activity Type Housing
Low - Owner-occupied housing for small and large families (31-
CITY STEPS Priority 80%ami)
CITY STEPS Goal IV.B. Affordable Housing - Acquisition of Existing Units
Achieved Assistance to Homebuyers to Purchase Existing Housing
Page 102
0-30% mfi 0%
31-50% mfi 10%
Beneficiaries 51-60% mfi 10%
61-80% mfi 80%
Over 80% mfi 0%
Amount Requested $425,000
Repayment Terms Conditional Occupancy Loan (COL)
Period of Affordability 10 years
Percent of Project Difficult to determine due to questions about the proposed budget.
Publicly Funded
Leveraging City Funds Difficult to determine due to questions about the proposed budget.
Property Taxes The homeowners will pay property taxes.
I ~ 1
--= -It
!~~~'!
:::: ..-.~
................
CITY OF IOWA CITY
STAFF ANAL YSIS
Homeownership is a strategy to help low-moderate income
households gain self-sufficiency, stabilize families & neighborhoods
and to build wealth. CITY STEPS encourages the use of
down payment assistance for the purchase of existing housing units
as a way to provide affordable housing to low-moderate income
households.
This project proposes to rehabilitate the interior and exterior of Lake
Point Enclave (formerly known as Lakeside Apartments) and to create
Documentation of homeownership opportunities through down payment assistance to
Project Need households with incomes 31 - 80% (majority between 61 - 80%) of
the median income. The application states that the proposed
mortgage payment will be close to the current rents which are below
HUD FMR figures.
The recently completed Affordable Housing Market Analysis
encourages redevelopment of residential areas close to employment
centers and public transportation. This project is near shopping,
public transportation and employment.
Up to 89 units will be assisted with $5,000 to $10,000 (depending on
the size and final number of renovated units) in down payment
assistance. The homebuyer will work with a lender for the remainder
Project Budget of the financing. The applicant is proposing down payment assistance
Discussion for up to 10% of the purchase price.
The applicant will be donating $12,000 in administrative services to
the proiect.
The applicant is proposing to partner with local organizations to
Project Coordination provide homebuyer education and will require that homebuyers attend
eight hours of classes for first time homebuyers. It is assumed that
with Existing Services & the applicant is referring to the Homebuyer Education course that is
other Services Available
in the Community offered through a partnership with the Iowa City Housing Authority
and the Iowa City Area Association of Realtors.
The principals of the project have never worked with CDBG or HOME
Applicant History or funds, however, the architect and consultant have worked with
Capacity to Successfully CDBG, HOME and TIF funds. The principals of the project have
Complete the Proposed experience with distressed properties and the architect and consultant
Project are currently working with TIF and HOME funds to redevelop a
historic building in Aurora, IL.
2
Summary of Items
to be Addressed
1.
2.
3.
4.
5.
6.
7.
8.
The budget appears to be incomplete, please explain project
costs and sources/uses of funds.
Applicant is proposing that a 0% Conditional Occupancy Loan
(COL) be placed on each home for a period of 10 years. City
policy states that a home buyer can choose one of the two
options listed below, however the policy does allow for
exceptions.
1) 20-year loan with no payments until the homeowner
sells, transfers title or rents the property or when the 20-
year term expires, whichever happens first.
2) Make monthly payments on a 30-year loan at 0% int.
Please explain why you are proposing an exception to the City
policy and also explain the terms that you are proposing (will
the funds be paid pack after 10 years or will the loan be
forgiven after 10 years?)
If a homebuyer purchases a home that was constructed prior
to 1978 the home will have to be tested for lead-based paint.
Please explain how the lead testing and clearance will be
administered.
Please describe the use of volunteers as stated on the
budget page.
Please explain the proposed homebuyer education courses.
It is difficult to determine if the applicant is providing the
mortgage or if potential homeowners will be accessing private
financing. Please explain.
All rehabilitation will be subject to federal labor provisions
(Davis-Bacon "prevailing" wages) for the proposed work.
Will the project proceed with partial funding?
3
I ~ I
!~~~Ilt
::: "_,~
"""',-.&a-
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Hawkeye Area Community Action Program
Number Transitional Housing, Page 30
Project Address Census Tracts 5,6 &13, Iowa City
Activity Type Housing
CITY STEPS Priority HIGH (Transitional Housing)
CITY STEPS Goal Improve transitional housing programs for families. (Page 108)
Achieved
Beneficiaries 0-30% mfi - 100% (Presumed Benefit)
Amount Requested $325,000
Repayment Terms Conditional Occupancy Loan
Period of Affordability HOME regulations require 15 years, applicant proposes 20
years
Percent of Project 100%
Publicly Funded
Leveraging City Funds $0.00 in other funds for each HOME dollar requested
Properly Taxes Tax Exempt
I! I
--= -.t
!~~!:'t
~ "'_,~
....,...,~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinauon
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
HACAP is requesting funds to purchase three rental units to be placed in
their Local Transitional Housing Program. According to the application,
HACAP has a waiting list of 61 families (71 adults and 112 children). CITY
STEPS identifies transitional housing as a "high" priority and a bridge
between emergency shelter and permanent housing. Local emergency
shelters are the main referral source to this program. Participants in the
transitional housing programs will all be below 30% of median family income
and rent is determined by the household's ability to pay. As rent is based on
ability to pay, rarely will the applicant receive full fair market rent.
100% of the project is publicly funded. Based on the proforma, the project is
not viable as expenses exceed revenue the first two years, even in the
absence of debt service (no loan payments). Applicant states a conditional
occupancy loan is necessary as the level of income is not enough to
maintain the costs of supervision, maintenance, support services and case
management. Applicant receives federal dollars for support services and
case management. Will applicant receive additional funding for support
services for an additional three units? Support services provided at a HOME
specific unit contribute to the HOME match requirement, but are not an
eligible HOME expense and must be considered separately. Applicant, as a
CHDO, can request operating expenses under CHDO Operating funds.
For the past couple of years, applicant has purchased newer condominium
units. Applicant states the amount under misc. operating expenses includes
condo association dues. What is paid through condo association dues varies
based on each association (taxes, insurance, maintenance, etc.). Once sites
are identified, a new proforma must be submitted that is site specific to
evaluate if there are funds available for debt service.
Case management provides coordination and referral to existing services to
avoid duplication and streamline services. MECCA offers 12 transitional
housing units to families recovering from substance abuse. There is no
other transitional housing providers in Iowa City that serve families.
HACAP began the Transitional Housing Program in 1987 and operates
scattered site single family transitional housing units of various sizes in
Johnson County. HACAP administers and operates several federal and
locally funded programs. As evidenced by their previous transitional housing
projects, which have been completed on schedule and within budget,
HACAP has demonstrated the capacity to complete the project.
Applicant is currently in non-compliance with the FY06 project due to non-
payment of funds. Applicant entered a loan agreement with the City with the
following term: 0% over 30 years. First payment was due July 1,2006.
Applicant requested that the financing terms change to a Conditional
Occupancy Loan. Staff must review this request and perform a site specific
review of the units to determine if debt service is feasible.
2
Summary of Items
to be Addressed
1) Applicant is proposing a conditional occupancy loan to acquire three
properties. City policy states that non-profit developers are eligible for up
to a 30-year amortized loan at 0% interest. Please explain why you are
proposing an exception to the City policy.
2) Before recommending a conditional occupancy loan, staff must review
the proforma based on the specific units purchased. A new proforma
must be submitted upon property selection.
3) Have other possible funding sources been researched such as State
HOME funds as this project is 100% funded by City HOME dollars?
4) If units are acquired that were built before1978 there will be additional
expenses related to lead based paint.
5) Davis Bacon or "prevailing wages" will apply if necessary to bring the
acquired unit up to building code.
3
I ~ I
-....= -It
~~~~'t
~ -..,
...,.,~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Iowa City Housing Authority - Affordable Homeownership
Number Page 46
Project Address Citywide
Activity Type Housing
CITY STEPS Priority low - Owner-occupied housing for small and large families
CITY STEPS Goal IV.B. Affordable Housing - Acquisition of Existing Units
Achieved Assistance to Homebuyers to Purchase Existing Housing
Page 102
0-30% mfi 0%
31-50% mfi 14%
Beneficiaries 51-60% mfi 57%
61-80% mfi 29%
Over 80% mfi 0%
Amount Requested $330,000
Conditional Occupancy loan (GOl)
Repayment Terms If unit remains owner-occupied for five years, the lien will be released
and the loan will be forgiven.
If the unit is sold prior to five vears, the loan will be paid back.
Period of Affordability 5 years
Percent of Project 9.8%
Publicly Funded
Leveraging City Funds $ 8.78 in other funds for each local HOME dollar requested
Properly Taxes The homeowners will pay property taxes.
I! I
--= -It
~~~~'r
:::: "_,~
...,...,.,........
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Homeownership is a strategy to help low-moderate income households gain
self-sufficiency, stabilize families & neighborhoods and to build wealth. CITY
STEPS encourages the use of down payment assistance for the purchase of
existing housing units as a way to provide affordable housing to low-
moderate income households.
The project budget shows that 35 units will be assisted with an average of
$8,500 in down payment assistance (maximum of $10,000) and the
homebuyer will work with a lender for the remainder of the financing. The
applicant is proposing down payment assistance for up to 10% of the
purchase price.
The applicant is requesting that about 9% or $30,000 be used for project
delivery, so $300,000 will be available to potential homebuyers and $30,000
will be used for administration costs.
Applicant has a significant amount of volunteer hours committed through its
successful Homeownership Education Class.
The applicant has shown an ability to work with a wide variety of for profit
and not for profit agencies and organizations. One example is the HUD
certified Homebuyer Education course that is offered through a partnership
with the Iowa City Housing Authority and the Iowa City Area Association of
Realtors.
The Iowa City Housing Authority annually administers over $7 million in
federal funds and they have received and successfully administered a
number of City HOME awards.
1.
Applicant is proposing that a 0% Conditional Occupancy Loan (COL) be
placed on each home for a period of 5 years. City policy states that a
home buyer can choose one of the two options listed below, however the
policy does allow for exceptions.
1) 20-year loan with no payments until the homeowner sells,
transfers title or rents the property or when the 20-year term
expires, whichever happens first.
2) Make monthly payments on a 30-year loan at 0% interest.
Please explain why you are proposing an exception to the City policy.
If a home buyer purchases a home that was constructed prior to
1978 the home will have to be tested for lead-based paint. Please
explain how ICHA will administer the lead testing and subsequent
clearance.
Will the project proceed with partial funding?
If the homebuyer remains in the home for more than five years, the lien
is released and no funds are returned to the program. Please explain.
Homebuvers must sian a recapture aareement approved bv the City.
2.
2.
3.
4.
2
I ~ 1
--= -II'
f~~;!='t
~ ,,~,
.....,............
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Iowa City Housing Authority - Tenant Based Rental Assistance
Number (TBRA)
Page 55
Project Address Citywide
Activity Type Housing
High - Small Related Renter\Large Related Renter-
cost burdened> 30% with incomes at or below 30% of
the median income
CITY STEPS Priority
Medium - Elderly Related Renter - cost burdened> 30%
with incomes at or below 30% of the median income
CITY STEPS Goal IV B. Affordable Housing/Rental Assistance (page 101)
Achieved
Beneficiaries 0-30% mfi 100%
Amount Requested $220,800
Repayment Terms Grant
Period of Affordability NA
Percent of Project 64%
Publicly Funded
Leveraging City Funds , $ 0.57 in other funds for each local HOME dollar requested
Property Taxes Indirectly, private owners/landlords providing rental units pay property
taxes.
I ~ I
--= -...
!~ji~1lt
::: -..,
..............
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
CITY STEPS recognizes that rental assistance is the most often cited
and important need identified by low-income persons due to the high
market rents in Iowa City. As of 1/16/08, the ICHA reports 841
families on the Housing Choice Voucher (HCV) waiting list. Of which,
14 are elderly families, 146 are families with disabilities and 598 are
families with children.
The proposed project will assist 50 low-income elderly and disabled
households along with households with children under 18 (25
households per year over a 2-year period) with direct housing
assistance to landlords on behalf of eligible participants.
TBRA will mitigate the impact of Federal budget reductions in the
HCV program and allow the ICHA to provide immediate assistance
and maintain assistance to low income families.
In the proposed project, participants pay no more than 30% of their
adjusted gross income towards rent. The ICHA anticipates that they
will subsidize approximately 64% of the contract rent. The HUD
calculated per unit cost for the ICHA is $368/month. The tenant is
responsible, on average, for approximately 36% the contract rent to
private landlords scattered throughout Iowa City.
Families participating in the proposed project will remain on the HCV
and Public Housing waiting lists. When they reach the top of either
list, the ICHA will process their applications and transition the families
into the HCV or Public Housing program.
The ICHA received and successfully administered $159,564 in FY06
TBRA funds. ICHA also received $200,000 in TBRA funds in FY07
and that project is currently active with $179,823 remaining. It also
maintains public housing units and administers the Housing Choice
Voucher Program. The ICHA has received HUD's High Performance
designation status for 10 consecutive years.
1.
2.
Discuss possibility of partial funding if necessary.
HOME rules allow the applicant to use TBRA outside of Iowa
City, what limitations would applicant set regarding portability
and how many clients would be served outside of Iowa City?
Will applicant have a minimum tenant rent level?
Discuss availability of accessible rental units.
3.
4.
2
I ~ I
-...= -It
~~~~!:'t
~ -..,
....,.............
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Isis Investments, LLC - Affordable Rental Housing
Number Page 66
Project Address Citywide, Iowa City
Activity Type Housing
CITY STEPS Priority High - large related - (0-30% of MI)
CITY STEPS Goal IV B. Affordable Housing: Production of New Rental Units
Achieved (Page 101)
Beneficiaries 0-30% mfi - 60%
31-50% mfi - 40%
Amount Requested $235,000
$186,000 30-year loan with 0% interest, 15- year deferment; $49,000
Repayment Terms grant
Period of Affordabi/ity HOME regulations require 15 years, applicant proposes 15 years
Percent of Project 35%
Publicly Funded
Leveraging City Funds $1.84 in other funds for each HOME dollar requested
Property Taxes Yes. The applicant estimates annual tax payments of $9,500.
I ~ I
!:~~~'t
~ --.,
....,."......I.L.
CITY OF IOWA CITY
Documentation of
Project Need
Project Budget
Discussion
,
STAFF ANAL YSIS
Project Coordination
with Existing Services &
other Services Available
in the Community
The applicant proposes to acquire and rehabilitate five - three
bedroom homes to rent to low income households. Households will
be allowed to spread their security deposit and utility deposits over
several months to provide greater access to affordable units.
Applicant references several studies documenting the need for
additional affordable housing units in Iowa City. The project
addresses Iowa City's current and projected demand for affordable
housing for low-income households, removes the barriers for security
and utility deposits and supports families in developing skills to
manage and maintain a single family home.
It is the goal of CITY STEPS to acquire and rehabilitate 20 affordable
rental units annually. Creating affordable housing from existing stock
is cost-effective. Applicant will offer the opportunity for the household
to purchase the home after being a tenant for at least 12 months.
Applicant requests funds for the downpayment of five single family
homes. Applicant will secure private mortgages for approx. 65% of
the acquisition price. The proposed budget shows an average cost
of $133,326 per unit. Debt coverage ratio is 1.12-1.26 through years
2-10 (No HOME debt included).
Proforma Concerns: Year one includes the gross rental income for
five units ($994/month per unit), however only identifies the debt
service for two properties. Staff analysis looked at Years 2-20.
Applicant requests a deferred payment loan until year 15; however no
additional debt service is included in Years 15-20. The proforma did
not budget for management fees and reserves. The applicant may
forego management fees; however staff recommends that reserves
be funded for long-term viability. Applicant estimated only $4,000 in
rehabilitation costs per home. The figure may be low depending on
what the home needs and if lead stabilization/clearance testing is
required.
The applicant will work with the Iowa City Housing Authority to assist
tenants with asset-building and homeownership.
2
Applicant has implemented a similar project with private funds and
Applicant History or currently owns and manages four properties as affordable rental
Capacity to Successfully homes. The owner has administrative and financial management
Complete the Proposed experience. As the School of Social Work Director she was
Project responsible for 30 faculty and staff and a general operating budget of
over three million dollars of grants and contracts.
1) Applicant is proposing a deferred payment loan with 0% interest
and a partial grant to acquire five properties. City policy states
that for-profit developers are eligible for up to a 3D-year
amortized loan at prime rate minus two points. Please explain
why you are proposing an exception to the City policy.
2) What expenses are included in misc. operating expenses?
3) Must households have a Section 8 Voucher to rent the units and
Summary of Items for the project to be viable?
to be Addressed 4) Will applicant be able to find homes in the price range sought in
areas encouraged by Council for affordable housing?
5) If a tenant purchases the home within 15 years, a resale
agreement approved by the City's Community Development
Dept. must be signed by the proposed buyer.
6) Depending on HCDC's award, a new proforma will be needed to
determine how much debt the project can support and level of
subsidy (grant) necessary.
3
!! I
-....= -..
~~~;!:'t
~ ".I~
......,-AL.
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Southgate Development Services LLC -
Number Affordable Homeownership
Page 83
Project Address 1958 Broadway Street, Iowa City
Activity Type Housing
CITY STEPS Priority Low - Owner-occupied housing for small and large families (31-50% ami)
Medium - Owner-occupied housing cost burdened >30% (0-30% ami)
CITY STEPS Goal IV,B. Affordable Housing - Acquisition of Existing Units
Achieved Assistance to Homebuyers to Purchase Existing Housing
Page 102
0-30% mfi 12%
31-50% mfi 75%
Beneficiaries 51-60% mfi 13%
61-80% mfi 0%
Over 80% mfi 0%
Amount Requested $200,000
Repayment Terms Conditional Occupancy Loan (COL)
Period of Affordability 5 - 10 years
Percent of Project 10%
Publicly Funded
Leveraging City Funds $10,00 in other funds for each local HOME/CDBG dollar requested
Property Taxes The homeowners will pay property taxes.
I ~ I
-....= -It
~~~;!::'t
~ _!!L~
.......-I.L.
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Homeownership is a strategy to help low-moderate income households gain self-
sufficiency, stabilize families & neighborhoods and to build wealth. CITY STEPS
encourages the use of downpayment assistance for the purchase of existing
housing units as a way to provide affordable housing to low-moderate income
households.
This project proposes to rehabilitate the interior and exterior of the Broadway
Condominiums and to create homeownership opportunities through
down payment assistance to households with incomes 30 - 60% (majority
between 31 - 50%) of the median income. In most cases, the mortgage
payment will be either below or very close to HUD FMR figures.
The recently completed Affordable Housing Market Analysis encourages
redevelopment of residential areas close to employment centers and public
transportation. This project is near shopping, public transportation, child care
and employment.
Up to 36 units will be assisted with $5,000 to $10,000 (depending on the size
and final number of renovated units) in downpayment assistance. The
home buyer will work with a lender for the remainder of the financing. The
applicant is proposing downpayment assistance for up to 10% of the
purchase price.
The applicant will be donating over $60,000 in brokerage, marketing and
administrative services to the proiect.
The applicant is proposing to partner with local non-profits and schools to
provide volunteer labor for the interior renovations which will reduce the cost
to the homebuyers and provide training for students and volunteers.
Southgate Development Services LLC is a local real estate development,
management and construction company with many years of experience in the
Iowa City area. Southgate is also experienced with administering projects with
Davis-Bacon wage rates.
1.
Applicant is proposing that a 0% loan be placed on each condo unit. City
policy states that a homebuyer can choose one of the two options listed
below, however the policy does allow for exceptions.
1) 20-year loan with no payments until the homeowner sells,
transfers title or rents the property or when the 20-year term
expires, whichever happens first.
2) Make monthly payments on a 30-year loan at 0% interest.
Please explain why you are proposing an exception to the City policy
and the type of loan you are proposing. (COL, declining balance, etc...)
Will the funds recycle back to the City when a homeowner sells or if
after the affordability period, will the lien be released and then the loan
becomes a grant?
The proposed project site was constructed prior to 1978 so the units
will have to be tested for lead-based paint. Please explain how the lead
testing and clearance will be administered.
All rehabilitation will be subject to federal labor provisions (Davis Bacon
"prevailing" wages) for the proposed work. 2
2.
3.
I ~ I
--= -lit
f~~~'t
~ ...!!.!.-'-
........~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page The Housing Fellowship, Affordable Rental Housing
Number Page 116
Project Address Citywide, Iowa City
Activity Type Housing
CITY STEPS Priority High - Small related - cost burdened >30% (0-30% of MI)
High - Small related - cost burdened >50% (31-50% of MI)
CITY STEPS Goal IV B. Affordable Housing: Production of New Rental Units
Achieved (Page 101)
Beneficiaries 31-50% mfi - 100% (75% of THF tenants have incomes between 0-
30%)
Amount Requested $499,750
Repayment Terms 30 Year loan at 0% interest
Period of Affordability HOME regulations require 20 years, applicant proposes 30 years
Percent of Project 96% (City considers L1HTC as public funds, the State of Iowa
Publicly Funded considers them private funds)
Leveraging City Funds $2.60 in other funds for each HOME dollar requested
Property Taxes Paid according to Iowa law for L1HTC projects. The applicant
estimates tax payments of $7,909 to $13,869 per year.
I! I
~~~~'r
~ --.,
................
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services A vai/able
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
The application references various studies, including the Maxfield Housing
Market Analysis and cm STEPS plan. Both of these documents
demonstrate the community need for affordable rental housing. The Iowa
City Housing Authority has over a year waiting list for those meeting the
City's residency requirements for Section 8 assistance.
It is the goal of cm STEPS to construct 20 new affordable rental units
annually. This project proposes to purchase 10 residential lots scattered
throughout Iowa City and then apply to the Iowa Finance Authority for Low
Income Housing Tax Credits (UHTC) in order to construct 10 two-bedroom
homes at a rent affordable to those at or below 50% mfi.
Approximately 54% of the project is publicly funded, 96% if you include the
tax credits. The proposed budget shows an average $179,975 per unit cost.
Debt coverage ratio is 1.21-1.31 through years 1-10. The applicant has
indicated that they will apply for UHTCs and State HOME funds in November
2008.
The Housing Fellowship will receive a developer fee of $150,000 for the
$1,799,750 project (8% of the project cost). This is standard under both
the tax credit program and allowable under the HOME program. Non-profits
are encouraged to allow for the fee in order to pay for the extra time and
effort involved with the development of affordable housing through the
complicated tax credit process. The second page of the proforma is not
complete as is does not include tax, UHTC, depreciation, and reserve
calculations to accurately compute the return on investment.
The applicant has a long history of working with a variety of agencies,
organizations and private businesses to ensure the success of each project
and of the families living in each home. The THF has applied and received
L1HTC for a rental housing project (preservation) and is involved in the
management of three separate limited partnerships.
Applicant has successfully managed hundreds of thousands of dollars of
CDBG and HOME funded projects. THF has experience and a successful
track record with the acquisition, construction and management of affordable
housing. THF qualifies as a Community Housing Development Organization
(CHDO). In FY06 THF was allocated $175,000 out of an $812,404 request.
The project was not able to proceed after two purchase offers were declined
and THF was not able to obtain the necessary financing to make the original
project feasible. The City and THF terminated the agreement for
convenience.
1. What happens if the project does not receive UHTCs and\or State
HOME funds?
2. Will the applicant be able to purchase 10 lots by November 2008 to
apply for LIHTCs? In addition to these lots, applicant is currently
searching for 6 lots under the FY08 HOME award to submit a combined
UHTC application.
3. What expenses are included in misc. operating expenses?
2
I ~ 1
--= -...
~~~~'t
:::: -..,
....,...,.,-Aa-.
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page The Housing Fellowship, CHDO Operating Expenses
Number Page 95
Project Address 322 E. 2nd. Street, Iowa City
Activity Type Housing
CITY STEPS Priority High - Other public services
CITY STEPS Goal Anti-poverty plan and strategies - housing support
Achieved services/facilitate increased capacity of area housing providers
(page 127)
Beneficiaries Agency wide. Owns and manages 132 affordable rental units.
Amount Requested $50,000 (Due to HOME requirements, allocation can't exceed
5% of HOME allocation or $30,685)
Repayment Terms Grant
Period of Affordability NA
Percent of Project 16% of the 2008 calendar year administrative expense budget.
Publicly Funded
Leveraging City Funds $5.30 in other funds for each HOME dollar requested
Property Taxes Tax Exempt
I ~ I
--= -lit
!~~i!!=1lt
~ "-Im~
~...I.L.
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
The Housing Fellowship (THF) has been in operation since 1990. THF now
owns and manages 132 affordable rental units occupied by low-income
households, developed and sold 14 owner-occupied homes into a land trust
to ensure permanent affordability and administers a revolving loan fund for
low-income renters to pay for security deposits. The financial management
responsibilities have grown extensively. In addition to the units they own and
manage, THF manages the finances for two Low Income Housing Tax Credit
projects.
THF currently has five full time employees. THF has experienced cash flow
problems over the last couple of years. The CHDO funds requested will help
THF achieve financial stability, provide adequate replacemenUrepair
reserves and prevent further sales of THF rental units. The 2007 Affordable
Housing Market Analysis encourages the City to increase the capacity of
non-profit housing providers that develop affordable housing.
The project is an operational grant allowed under the HOME program. The
HOME program caps CHDO operating expense to 5% of the HOME
allocation or $30,685. Funds allocated for CHDO operating expenses are
not an eligible cost for CHDO set-aside funds. This project can also be
funded partially through CDBG funds as a public service project; however
any CDBG funding provided would be subject to the CDBG cap on public
services.
The applicant has a long history of working with a variety of agencies,
organizations and private businesses to ensure the success of each project
and of the families living in each home.
Applicant has successfully managed hundreds of thousands of dollars of
CDBG and HOME funded projects. THF has experience and a successful
track record with the acquisition, construction and management of affordable
housing. THF qualifies as a Community Housing Development Organization
(CHDO). In FY06 THF was allocated $175,000 out of an $812,404 request.
The project was not able to proceed after two purchase offers were declined
and THF was not able to obtain the necessary financing to make the original
project feasible. The City and THF terminated the agreement for
convenience.
1. THF received CHDO operating funds last year. What is the plan to
become financially stable in subsequent years?
2. What will happen if funding is not approved for this position?
2
I ~ 1
-....= -III'
:t~';:!:'t
~ _-L'
.....,-M-
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page The Housing Fellowship, CHDO Pre-Development Loan
Number Page 105
Project Address 322 E. 2nd Street, Iowa City
Activity Type Housing
Anti-poverty plan and strategies - housing support
CITY STEPS Priority services/facilitate increased capacity of area housing providers
(page 127)
CITY STEPS Goal IV B. Affordable Housing: Production of New Rental Units
Achieved (Page 101)
Beneficiaries NA - Pre-Development Loan
Amount Requested $15,000
Loan at 0% interest to be repaid when applicant obtains
Repayment Terms construction financing. The funds are waived if the project is
deemed infeasible.
Period of Affordability HOME regulations require 20 years, applicant proposes 30 years
Percent of Project 23%
Publicly Funded
Leveraging City Funds $3.43 in other funds for each HOME dollar requested
Property Taxes Paid according to Iowa law for LIHTC projects
I! 1
--= -...
~~~~'t
~ -..,
~...I.L.
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
The application requests funds for predevelopment expenses
(architect, appraisal, L1HTC fees, market study, consultant and
environmental costs) for a November 2008 L1HTC application that will
create up to 20 affordable rental homes. Project specific pre-
development assistance is intended to assure that CHDOs have
access to funds for up-front, eligible project expenditures. The
preparation of a L1HTC application is time consuming and expensive
and L1HTC projects often have multiple layers of subsidized financing.
Applicant has limited cash flow to explore the feasibility of this project.
The pre-development loan will remove this barrier and allow for a well
designed, financially feasible project.
The 2007 Affordable Housing Market Analysis encourages the City to
increase the capacity of non-profit housing provides with access to
pre-development assistance.
23% of the project is publicly funded. 77% of the pre-development
costs will be paid through the tax credit syndicator. Under HOME
regulations, if the project is deemed unfeasible the pre-development
loan may be waived for CHDOs only. The purpose of this provision is
to provide CHDOs an opportunity to identify and investigate possible
projects. If the project is unable to proceed for reasons that are
beyond the control of the CHDO, the CHDO is not financially
burdened by exploring the project's feasibility.
To be eligible for a pre-development loan, the funds must be project
specific and must receive HOME funds for development.
The applicant has a long history of working with a variety of agencies,
organizations and private businesses to ensure the success of each
project and of the families living in each home. The THF has applied
and received L1HTC for two prior rental housing projects.
Applicant has successfully managed hundreds of thousands of dollars
of CDBG and HOME funded projects. THF has experience and a
successful track record with the acquisition, construction and
management of affordable housing. THF qualifies as a Community
Housing Development Organization (CHDO).
1. Will the applicant be able to purchase 10 lots by November 2008
to apply for L1HTCs? In addition to these lots, applicant is
currently searching for 6 lots under the FY08 HOME award to
submit a combined 2008 L1HTC application.
2
I ~ I
--= -It
f~~!:'t
~ _-L'
.......,-..a.a...
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page The Arc of Southeast Iowa - Supported Employment (pg. 207)
Number
Project Address 2620 Muscatine Ave. Iowa City, IA 52240
Activity Type Public Service
CITY STEPS Priority High - Employment Training
CITY STEPS Goal Facilitate supported employment services for persons with special
Achieved needs.
(pg. 124)
Beneficiaries 0-31%MFI 100%
Amount Requested $2,500
Repayment Terms Grant
Period of Affordability NA
Percent of Project 60.9%
Publicly Funded
Leveraging City Funds $ .64 in other funds for each CDBG dollar requested
Property Taxes NA
I ~ I
f~~~~'t
:::: ,,~,
.....,.., ...AL.
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of Application utilizes several different funding sources to provide
Project Need supported employment. Their request is for individuals who do not
qualify for any of available funding streams.
Project Budget The total public (CDBG) cost per person is $416.66.
Discussion
Project Coordination The Arc works with a number of disability service providers in the
with Existing Services community. An example is if they have a job opportunity but none of
& other Services their clients match, they share information with Goodwill Industries
Available in the who could refer a client for the job.
Community
Applicant History or
Capacity to The Arc has provided supported employment to people with
Successfully disabilities for over 20 years.
Complete the
Proposed Project
Summary of Items 1) Other sources of funding (pg 209) did not indicate the type or
status.
to be Addressed 2) What source of funding is available for ongoing support?
I ~ I
--= -..~
~~ji!:~
~-~,
.....,...,.........
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Compeer of Johnson County (pg. 216)
Number
Project Address 507 E College St, Iowa City 52240
Activity Type Public Services
CITY STEPS Priority High - Health Services
CITY STEPS Goal Provision of Health Services: Continue support of health, dental and
Achieved HIV/AIDS Services (pg. 115)
o -30% MFI 83.3%
Beneficiaries 31 -59% MFI 8.3%
51 - 80 % MFI 8.3%
Amount Requested $3,000
Repayment Terms Grant
Period of Affordability NA
Percent of Project 22%
Publicly Funded
I
Leveraging City Funds $6.88 for each CDBG dollar requested
Property Taxes NA
I ~ I
!~~~'t
~~"_I'
..... -...loa-
CITY OF IOWA CITY
STAFF ANAL YSIS
Johnson County Mental Health/Developmental Disabilities Unit Needs
Documentation of Assessment (2003) ranked opportunities for socialization at # 8 (out
Project Need of 12 priority needs). In 2001 Compeer Advisory Board conducted
survey with 35 out of 42 respondents stating they desired a
community friend.
Project Budget Applicant provides $6.88 in other funds for every CDBG dollar
Discussion requested.
ProjectCoordinauon Location at the Community Mental Health Center (donated space)
with Existing Services
& other Services which is good for consumers as they usually are familiar with the
Available in the setting. Utilizes space at the Rec Center and local churches for board
Community meetings, social activities and fundraising.
Applicant History or
Capacity to Applicant received CDBG funding in FY 07. Staff had some difficulty
Successfully
Complete the getting complete information (e.g. income verification).
Proposed Project
1) Average length of match?
Summary of Items 2) How does this Compeer group compare to others re: budget, staff
and number of matches?
to be Addressed 3) Previously there has been director turnover. How does this affect
the program?
I ~ I
!~~~'t:
~ -~,
....., .........
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Extend the Dream Foundation (pg. 223)
Number Financial Technical Assistance
Project Address 401 S. Gilbert St. Iowa City, IA
Activity Type Public Service
CITY STEPS Priority Medium - Services to Persons with Disabilities
High - Micro-Businesses
CITY STEPS Goal Provide Employment Training and Education (pg. 122)
Achieved
Beneficiaries o - 30% MFI 50% 51 - 80% MFI 3%
31 - 50% MFI 41% 81 - 100% MFI 6%
Amount Requested $1,500
Repayment Terms Grant
Period of Affordability NA
Percent of Project 10%
Publicly Funded
Leveraging City Funds $9.00 in other resources for each CDBG dollar requested.
Property Taxes Tax exempt
I ~ j
~~~~'t
~ "!!L~
......., -AIL.
CITY OF IOWA CITY
STAFF ANAL YSIS
Applicant started Uptown Bill's Small Mall in 2001 as a micro-
enterprise incubator for low income person with disabilities. Applicant
now has nine businesses in three locations. During this time the
Documentation of applicant has had various help with financial management and
Project Need recordkeeping functions, however the organization has very limited, if
any, paid staff and is managed by a full-time volunteer director.
Applicant requests funds to purchase financial management services
(bookkeeping, accounting and tax assistance).
Project Budget The majority of the project budget, $12,000, is donated volunteer time
Discussion from the executive director. According to information provided, he is
providing between 9 and 10 hours per week to financial management.
Project Coordination Extend the Dream has been working with several community partners
with Existing Services through referrals for micro-enterprise or e-commerce training and
& other Services hosting meeting spaces for various non-profit organizations. EDF
Available in the works with LIFE Skills, Systems Unlimited, MECCA, CMHC, Elder
Community Services and STAR homeless outreach. Goodwill also provides
employment training to adults with disabilities
Applicant has received CDBG and HOME funds in the past for
various projects. During prior monitoring visits, various items were
noticed that were not in compliance with HUD requirements. The
Applicant History or most important item being that EDF must have a financial system that
Capacity to provides control and accountability over funds and assets, identifies
Successfully the source and application of federal funds, provides source
Complete the documentation, has basic accounting records, and ensures an
Proposed Project adequate separation of financial duties. EDF has worked to resolve
some of these issues; however the organization must incorporate a
financial management system operated on a long term basis that will
meet federal standards.
1) How many hours and services for $3,000?
Summary of Items 2) What is the plan for long-term financial sustainability and long-term
to be Addressed financial management?
I ~ j
--= -..~
:f~~;!:~
~ ..-~
.....,~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page IC Free Medical Clinic (FMC) - Pharmacy Assistance Program
Number (pg. 233)
Project Address 2440 Towncrest Dr. Iowa City
Activity Type Public Service
CITY STEPS Priority High - Health Services
CITY STEPS Goal Provision of Health Services: Continue support of health, dental, and
Achieved HIV/AIDS services. (pg 115)
Beneficiaries 0-31% MFI 98.8%
31 - 50 % MFI 1.1%
Amount Requested $10,000
Repayment Terms Grant
Period of Affordability NA
Percent of Project 2%
Publicly Funded
Leveraging City Funds $47.32 in other funds for each CDBG dollar requested
Property Taxes Tax exempt
I ~ j
--= -It
!~~~~'t
~ -..,
"""""',....Ia-.
CITY OF IOWA CITY
STAFF ANAL YSIS
In FY07, the Free Medical Clinic had 5,944 patient visits for 2,516
individuals. 1,905 or 32% of the, visits were for chronic ailments such
as diabetes, hypertension, asthma and depression. FMC submits
applications to drug assistance programs to treat these conditions for
approximately 125 patients per month (average patient is on 3 - 4
medications).FMC requests funding for a pharmacy technician to help
Documentation of provide access to prescription medications for patients with chronic
Project Need illness. Applicant notes that there are no other free services in Iowa
City that provide on-going health care for low-to-moderate income
persons.
In FY07, FMC provided nearly 8,000 prescriptions to patients.
Without this service, FMC states their clients would go untreated,
show up in local emergency rooms, and would be unable to maintain
emplovment or manaqe health complications.
Applicant provides $47.32 in other funds/resources for every CDBG
dollar requested. The total public (CDBG) cost per person is $33.33.
Project leverages $424,000 in donated prescription medications in
Project Budget FY07.
Volunteer pharmacists fill the prescriptions and dispense the
Discussion medication at a value of $17,500 annually.
The applicant received CDBG funds for operational expenses in
FY01,
FY03, FY04, FY05, FY06, FY07, and FY08.
Project Coordination The Free Medical Clinic has a long history of working with a variety of
with Existing Services agencies and organizations in Iowa City, such as Shelter House,
& other Services
Available in the DVIP, U of I Hospital and Clinics, U of I Dental School, MECCA,
Community STAR and many private health care professionals.
Applicant History or The Free Medical Clinic has successfully administered CDBG funds
Capacity to in previous years. Additionally, the clinic has a 30 plus year history of
Successfully operating the clinic and overseeing renovations funded with grants
Complete the
Proposed Project and donation.
Summary of Items 1) How will applicant locate funds for operational costs in the future?
to be Addressed 2) Discuss implications of partial funding.
I ~ I
--= -It
~~~!:'t
=: ..~~
......,-..&a-
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page LIFE Skills Inc. - Evening Club Transportation (pg. 238)
Number
Project Address 403 Hwy 1 West, Iowa City, IA 52246
(Evening Club - 300 block of E. College)
Activity Type Public Service
CITY STEPS Priority High-Transportation Services
Medium-Services to Persons with Disabilities
CITY STEPS Goal Improve access to transportation (pg 117)
Achieved Provision of Training in Life skills (pg 118)
Beneficiaries 0- 31 % MFI 100%
Amount Requested $4,336.
Repayment Terms Grant
Period of Affordability NA
Percent of Project 29%
Publicly Funded
Leveraging City Funds $2.43 in other funds for each CDBG dollar requested.
Property Taxes NA
I ~ I
--= -..
!~~~;!:'t
~ "_,~
....-.,.......-
CITY OF IOWA CITY
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinaffon
with Existing Services
& other Services
Available in the
Community
Applicant History or
Capacity to
Successfully
Complete the
Proposed Project
Summary of Items
to be Addressed
STAFF ANAL YSIS
LIFE Skills provides an evening club in the downtown area of Iowa
City that provides a safe and welcoming place for persons with mental
illness to socialize and participate in group activities.
The need for evening/weekend social/recreational activities for
persons with mental illness was identified in the 1996 survey as #1
and in 2003, it was ranked # 6 (Johnson County MH/DD Services).
Applicant provides $2.43 in other funds for every CDBG dollar
requested.
LIFE Skills' Evening Club works with other community providers
(Successful Living, Hillcrest, and Community Mental Health Center)
who provide support services to individuals with mental illness.
LIFE Skills has managed local, state, and federal funding for 19 years
with good reviews from funders. Yearly independent audit is done.
1) What is daily average attendance and what is the number of
increased clients participating (anticipated 33% increase - pg 243)?
2)Conflicting Mileage Estimate - 12,388.5 (pg. 243) and 2,478 (pg.
245)?
For the 12,388.5 estimate that equals 35 miles per each day (354
days per year) the evening club is open.
3)Question 11 needs to be answered.
4)Question 12 - will all 37 individuals use transportation? % of Iowa
City residents? 99 % That leaves a 1/3 of a person.
5)Discuss implications of partial fundinq.
I ~ 1
--= -"
!~~~'t
~ --~,
......~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Local Foods Connection (pg. 249)
Number Executive Director's Salary
Project Address PO Box 2821, Iowa City
.
Activity Type Public Service
CITY STEPS Priority High - Health Services (medical, dental, nutrition, preventive care)
CITY STEPS Goal Support food and nutrition services for low income residents. (pg.
Achieved 115)
0-31%MFI 93%
Beneficiaries 31 - 50% MFI 5.1%
51 - 80% MFI 1.9%
Amount Requested $8,000
Repayment Terms Grant
Period of Affordability NA
Percent of Project 32%
Publicly Funded
Leveraging City Funds $2.12 in other resources for each CDBG dollar requested.
Property Taxes NA
I ~ j
!~~!:tt
~ -..,-
........,:.;..
CITY OF IOWA CITY
STAFF ANAL YSIS
Local Foods Connection was formed in 1999 to purchase fresh,
organic produce, meat products and baker items from local small
family farmers and donate these goods to low-moderate income
households. As part of their mission the organization also provides
Documentation of clients with nutritional education. CITY STEPS lists Health Services
Project Need as a high priority and has a short-term objective to support food and
nutrition services for low income residents.
In 1999, the organization assisted one client; in 2007, the
organization served 20 Iowa City households (approximately 40
persons) and six local human services agencies and raised $26,000
in donations.
Project Budget The Director will donate a two-thirds position to continue and foster
Discussion organizational growth. The value of the donated labor is estimated at
$16,960.
Project Coordination The applicant state it collaborates with and receives referrals from the
with Existing Services Crisis Center Food Bank to assist individuals with special nutritional
& other Services needs. IN FY 09, applicant will take referrals from the Arc of
Available in the Southeast Iowa, Hope United Methodist Church, Crisis Center,
Community Shelter House/STAR and the UIHC Lions Club.
Applicant History or Applicant was selected by the New Pioneer Co-op to be the recipient
Capacity to
Successfully charity for it's "Donate Your Dividend Check" program. In 2007, they
Complete the received $15,000 from 1200 members. The applicant has received
Proposed Project funding from several organizations.
1) Discuss how agency or household shares work. How much food is
involved in one share and how long does the household receive
Summary of Items services?
2) The organization provides nutrition education. Who provides this
to be Addressed service and what are their qualifications?
3) Discuss plan for long-term financial sustainability.
4) Discuss implications of partial fundinQ.
I ~ I
~~~~'t
~ -..,
......,.........
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page MECCA IICARE (pg. 260)
Number
Project Address 438 Southgate, Iowa City, IA 52240
Activity Type Public Service
CITY STEPS Priority High - Provision of Health Services
High - Transportation
CITY STEPS Goal Continue support of health, dental, and HIV/AIDS services. (pg. 115)
Achieved Improve access to transportation (pg. 117)
Beneficiaries o - 80% MFI 100%
Amount Requested $5,600
Repayment Terms Grant
Period of Affordability NA
Percent of Project 85%
Publicly Funded
Leveraging City Funds $ .18 in other funds for each CDBG dollar requested.
Property Taxes Tax Exempt
I ~ j
.::;~=_......
~~~:~!:'"!.
~ ....!...'-
.....~
CITY OF IOWA CITY
STAFF ANAL YSIS
Support groups offer a facilitated environment for HIV/AIDS clients to
Documentation of find peer support and take advantage of ICARE resources.
Project Need Transportation assistance is key in accessing resources (UIHC,
grocery shopping).
Project Budget CDBG funds would be used to fund new weekly support group
Discussion activities and transportation assistance.
Project Coordination
with Existing Services ICARE is the community provider of HIV/AIDS services. In assisting
& other Services their clients, they interact with health care providers, landlords, and
Available in the community agencies (e.g. Crisis Center for food).
Community
Applicant History or
Capacity to MECCA/I CARE has received CDBG funding for several projects and
Successfully
Complete the has been successful in completion of them.
Proposed Project
Summary of Items 1) pg. 264 - question 12 Client population states that only 31 % are
residents of Iowa City (13/42). Does the request reflect 1/3 of the
to be Addressed cost for support groups?
2
I ~ 1
-....= -.t
~~~~;!:'t
:::: ..~~
.....,..,---.....
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Shelter House - Outreach Services Coordination ICash Match
Number (pg. 267)
Project Address 331 N. Gilbert, Iowa City
Activity Type Public Service
CITY STEPS Priority High - Homeless Needs
CITY STEPS Goal Expanding staff and capabilities within the existing system to provide
Achieved improved service and expanding available services. (pg. 108)
Beneficiaries Presumed Benefit (Homeless)
Amount Requested $7,500.
Repayment Terms Grant
Period of Affordability NA
Percent of Project 81%
Publicly Funded
Leveraging City Funds $59.44 in other funds for each CDBG dollar requested.
Property Taxes Tax exempt
I ~ I
!~~~'t
~ ..-.~
......~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services
& other Services
Available in the
Community
Applicant History or
Capacity to
Successfully
Complete the
Proposed Project
Summary of Items
to be Addressed
Shelter House is proposing case management/outreach services to
an estimated 450 persons annually. The proposed project will count
towards a cash match requirement for the federal Supported Training
and Access to Resources (STAR) program. The STAR grant requires
$106,750 in local cash match to leverage $448,000 in federal funds.
The primary service activity of the program is Employment Assistance
to persons who are homeless.
All of the CDBG funds requested are targeted for operational
expenses (salaries) for outreach and case management functions.
Volunteers are anticipated to provide 750 hours of general
administrative assistance to the proposed project for a value of
$7,500.
Referrals to local human service organizations are essential to the
success of this project. The function of the outreach coordinator is to
focus on expediting access to local mental health and substance
abuse resources, employment, housing and other corollary
community based and public resources.
Shelter House has been successful in completing a number of similar
public service and public facility CDBG projects.
1) CDBG funds were used to provide a portion of the cash match
required to leverage the STAR grant in previous years. Does Shelter
House anticipate difficulty with raising the remaining cash match
requirement for FY 09?
2) How many of the 450 clients identified in the application will
participate in STAR?
3) The program goals indicate percentages: please provide number of
individuals for the most recent annual time period.
4) This would be the eighth year of funding for this activity. What is
STAR's long-term plan for generating local cash match?
I ~ 1
--= -It
~~~~~'t
:::: ,,~,
........,---.....
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Visiting Nurse Association of Johnson County [VNA] (pg. 278)
Number
Project Address 2943 Sierra Court, Iowa City
Activity Type Public Service
CITY STEPS Priority High Health Services
CITY STEPS Goal Continue support of health, dental and HIV/AIDS services (pg. 115)
Achieved
Beneficiaries o - 30% MFI 93.3%
31 - 50% MFI 6.6%
Amount Requested $5,000
Repayment Terms Grant
Period of Affordability NA
Percent of Project 16%
Publicly Funded
Leveraging City Funds $5.12 in other funds/resources for each CDBG dollar requested
Property Taxes Tax exempt
I ~ j
--= -..
!~~l!='t
::: ,,~,
"'-",-Aa....
CITY OF IOWA CITY
STAFF ANAL YSIS
The Visiting Nurse Association is requesting assistance in covering
the cost of home health services to 15 low-income Iowa City residents
requiring care related to mental health disorders. Services provided
Documentation of assists person with chronic mental illness to function at their highest
Project Need level of independence in the least restrictive environment. In 2007,
VNA provided 300 nursing visits to 14 individuals with no health
insurance coverage. Patient fees for these individuals amounted to
$2,000.
All of the CDBG funds are targeted for operational expenses
Project Budget (salaries) for the nursing visits. Applicant enter volunteer utilization
Discussion on question # 10; however the volunteers utilized are not in
connection with this specific program.
Project Coordination
with Existing Services The VNA works actively with the client's physician/psychiatrist and
& other Services other community agencies that may be working with the individual.
Available in the
Community
Applicant History or
Capacity to VNA has experience administering grants/funding from the State of
Successfully Iowa, Johnson County, and the United Way.
Complete the
Proposed Project
1) How does VNA services differ from those provided by the
Community Mental Health Center or Hillcrest Services? Please
Summary of Items describe VNA's relationship with other community providers.
2) What are VNA's long-term plans for generating funding for this
to be Addressed program?
3) This is applicant's 3rd request for CDBG funding. Options for long-
term fundinQ.
I ~ 1
--= -..
!~~~l!:'t
~ -.,
...,.~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Arc of Southeast Iowa
Number Page 131
Project Address 2620 Muscatine Avenue, Iowa City
Activity Type Public Facility
CITY STEPS Priority High - Youth Centers
Medium - Services for Persons with Disabilities
CITY STEPS Goal Provision of dependent care facilities: Support development of
Achieved respite care, childcare and family resource centers. (Page 112)
0-30% mfi - 44 %
Beneficiaries 31-50% mfi - 12%
51-80% mfi - 21%
Over 80% mfi - 23%
Amount Requested $5,851
Repayment Terms Earned Grant. Compliance period of 1.95 years.
Period of Affordability NA
Percent of Project 100%
Publicly Funded
Leveraging City Funds $0 in other funds for each CDBG dollar requested
Property Taxes Applicant is responsible for taxes until March 2009
$30,724 per year
I ~ j
~~~~'t
~ ,,~,
......~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinauon
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Applicant provides approximately 353 children, adults and their
families with developmental disabilities with advocacy, respite,
supported community living, attendant care, intermittent medical
monitoring treatment, supported employment, support group,
education, day camps and other related services. Applicant
requests funds for an alarm system and security lighting for their
parking lot behind the buildinq.
Applicant requests 100% in CDBG funds. No applicant match is
noted.
Applicant partners with the City of Iowa City Parks and
Recreation to provide faCilities in conjunction with their summer
day camps. Applicant has a history of working with Johnson
County Mental Health/Development Disabilities. The focus of
the agency is to provide services and advocacy to children with
disabilities and their families. Goodwill provides employment
training to adults with disabilities.
Applicant has served the disabled community for 51 years and
has over 200 employees. Arc has received federal, state and
local funds to administer programs. Applicant employs a
professional administrative staff.
1. Applicant does not provide any matching funds. If partial
funds are awarded, will the project proceed?
2. Why is the alarm system necessary? Has there been a
prior problem with unauthorized persons in the building
or break-ins?
3. Will applicant have the budget to pay the ongoing alarm
system expenses?
4. Federal labor provisions will apply to this project (Davis
Bacon - prevailing wages)
2
I! 1
!~~~!:'t
~ ....~
...,..,~
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Dolphin International LLC, Lake Point Enclave
Number Page 141
Project Address 2401 Highway 6 East, Iowa City
A ctivity Type Public Facility
CITY STEPS Priority Low - Recreational Facility
CITY STEPS Goal Provision of additional parks and recreation facilities: Develop
Achieved additional open space in low-income neighborhoods.
Page 113
Beneficiaries Area Benefit (Census Tract 18, Block Group 1) 55.8% LMI
Amount Requested $84,500
Repayment Terms Earned Grant. Compliance period of 31.67 years.
Period of Affordability NA
Percent of Project 87%
Publicly Funded
Leveraging City Funds $0.15 in other funds for each CDBG dollar requested
Property Taxes Yes. $342,000 per year. Each homeowner or condo owner
pays taxes.
I ~ I
-,...= -..
~~~!::'t
~ ....,-
.....~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinauon
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Applicant proposes to place a play structure on private property off
Lakeside Drive that will be accessible to all neighborhood residents.
The new structure will replace playground equipment installed in the
1960s. The playground improvements will serve the proposed 358
households at Lake Point Enclave, but also the surrounding low-
income neighborhoods. The next public, open space with playground
structures is Fair Meadows Park (adjacent to Wood Elementary) 3/8
of a mile from site. Ongoing maintenance would be completed by
applicant.
Applicant requests 87% in CDBG funds. Applicant will provide
$21,000 for the assembling and installation of the playground
equipment and sidewalk expenses. The budget states fence or
sidewalk. Applicant states if no fence is built, the funds will be used
for a secondary sidewalk connection from the complex through the
park area.
The applicant will be investing approximately $8.59 million to the
rehabilitation of the complex.
Applicant will work with the City of Iowa City Parks and Recreation to
determine the appropriate equipment for the site. Fair Meadows Park
is the nearest public park to the site.
The principals of the project have never worked with CDBG or HOME
funds, however, the architect and consultant have worked with
CDBG, HOME and TIF funds. The principals of the project have
experience with distressed properties and the architect and consultant
are currently working with TIF and HOME funds to redevelop a
historic building in Aurora, IL.
1. Applicant requests 87% of the project costs in CDBG funds. If
partial funds are awarded, will the project proceed?
2. Applicant must consent to a mortgage on the property for the
amount of CDBG funds allocated and ensure public access to
the playground during the compliance period of 31 years.
3. Please submit price quotes for the proposed playground
equipment.
4. Will applicant have the budget to pay the ongoing
maintenance expenses? Will there be a provision in the
condo association fees for a playground reserve?
5. Federal labor provisions will apply to this project (Davis Bacon
- prevailing wages)
2
I ~ I
~~~~'t
~ ....,
..... ...&L.
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Domestic Violence Intervention Program (DVIP)
Number Page 151
Project Address Confidential
Activity Type Public Facility
CITY STEPS Priority High - Emergency Shelter
CITY STEPS Goal Strategy: Improve and maintain existing shelter facilities. (Page 108)
Achieved
Beneficiaries Presumed benefit (Nature of Activity)
Amount Requested $13,979.39
Repayment Terms Earned Grant. Compliance period of 4.66 years
Period of Affordability NA
Percent of Project 89%
Publicly Funded
Leveraging City Funds $ 0.12 in other funds for each CDBG dollar requested
Property Taxes Tax exempt
I ~ I
~:i;~~~'t
~ -_.~
.....~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
DVIP provides shelter, crisis intervention and support services to
victims of domestic violence and their children. A critical aspect of the
program is to provide a safe environment while the client moves
beyond the initial stages of crisis. The shelter has housed more than
4,500 women and children since the facility was constructed in 1993.
Applicant requests funds to place a security monitor near the front
door, repair shelter resident restrooms & showers and to replace the
original wood privacy fencing in the back yard.
CDBG funds make up approximately 89% of the project's budget.
Applicant secured bids for the expenses stated in the budget
breakdown, so the costs appear to be valid.
DVIP collaborates with a wide range of community groups working on
housing issues and support services, such as Shelter House, Iowa
City Housing Authority, STAR, The Housing Fellowship, Home Ties,
DHS, Iowa Workforce Development, Johnson County Coalition
Against Domestic Violence and the Local Homeless Coordinating
Board.
DVIP has received a number of CDBG funding awards, including
funds to construct and subsequently rehab the current facility. In the
past, DVIP has shown sufficient capacity to complete the projects.
However, there is a concern about staff capacity to adequately
administer a federally funded construction project. Specifically,
regulations regarding Davis-Bacon labor provisions.
1.
DVIP anticipates fundraising to provide the stated project
match of $1,700. Has fundraising already begun for this
project?
The quote for the fence from Menards appears to be for
materials only. Is there a cost estimate for installation of the
fence?
If partially funded, will the project continue?
All work will be subject to federal labor provisions (Davis
Bacon "prevailing" wages) and must comply with federal
procurement standards (competitive bids) for the proposed
work.
2.
3.
4.
2
I ~ I
--= -It
~~~!='t
~ ....,
....,.., ....AL
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Extend the Dream Foundation - Facility Rehabilitation
Number Page 161
Project Address 2203 F Street
Activity Type Public Facility
CITY STEPS Priority High - Micro-Businesses
CITY STEPS Goal Provide Employment Support Services: continue to support agencies
Achieved that provide microenterprise/entrepreneurial development (Page 124)
0-30% mfi - 53%
Beneficiaries 31-50% mfi - 12%
51-80% mfi - 24%
Over 80% mfi -11%
Amount Requested $4,610
Repayment Terms Earned Grant. Compliance period of 1.54 years.
Period of Affordability NA
Percent of Project 82%
Publicly Funded
Leveraging City Funds $0.22 in other funds for each CDBG dollar requested
Property Taxes Tax Exempt
I ~ 1
-....= -..
!~~~'t
~ "-!-m~
..........&L..
CITY OF IOWA CITY
STAFF ANAL YSIS
Applicant requests funds to replace part of the roof and to replace the
roof/gutters to the e-commerce center. The site also houses
applicant's three rental units, partially financed with HOME funds, on
the second floor.
Documentation of
Project Need The focus at EDF is on improving the lives of persons with disabilities
through employment training and ownership opportunities. The E-
commerce center houses three microenterpdses as well as a
computer classroom to teach persons with disabilities how to utilize
ecommerce to enhance their income.
Project Budget Applicant proposes to provide $1,000 for the proposed project.
Discussion Applicant has received construction bids for the work proposed.
Extend the Dream has been working with several community partners
ProjectCoordinaffon through referrals for micro.:.enterprise or e-commerce training and
with Existing Services & hosting meeting spaces for various non-profit organizations. EDF
other Services Available works with LIFE Skills, Systems Unlimited, MECCA, CMHC, Elder
in the Community Services and STAR homeless outreach. Goodwill also provides
employment training to adults with disabilities.
Applicant has received CDSG and HOME funds in the past for
various projects. During prior monitoring visits, various items were
noticed that were not in compliance with HUD requirements. The
Applicant History or most important item being that EDF must have a financial system that
provides control and accountability over funds and assets, identifies
Capacity to Successfully the source and application of federal funds, provides source
Complete the Proposed
Project documentation, has basic accounting records, and ensures an
adequate separation of financial duties. EDF has worked to resolve
some of these issues; however the organization must incorporate a
financial management system operated on a long term basis that will
meet federal standards.
2
Summary of Items
to be Addressed
1. Applicant purchased the property in July 2005 with
CDBG/HOME funds. A building permit was issued in October
of 2005. The building has not passed inspection due to
lighting concerns and the stair riser height must be altered.
Housing & Inspection Services must complete a final
inspection after applicant resolves all issues. Before
additional CDBG funds are invested in this building, all prior
code violations must be addressed.
2. If allocated funding, the work can't be performed until July.
Can the work wait until July or will further damage be
incurred?
3. Federal labor provisions will apply to this project (Davis Bacon
- prevailing wages)
3
I! I
ta:~~~'t
:::: ",~,
....",.,-Aa...
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Iowa City Free Medical Clinic - Building Acquisition
Number Page 171
Project Address 2440 Towncrest Drive, Iowa City
Activity Type Public Facility
CITY STEPS Priority Low - Health Facilities
High - Health Services
Provision of Health Facilities: Support expansion needs of existing
CITY STEPS Goal medical/dental facilities. (page 113)
Achieved Provision of Health Services: Continue support of health, dental and
HIV/AIDS services. (paqe 115)
Beneficiaries 0-30% mfi 99%
31-50% mfi 1%
Amount Requested $300,000
Repayment Terms Earned Grant. Compliance period of 99 years
Period of Affordability NA
Percent of Project 59%
Publicly Funded
Leveraging City Funds $ 0.69 in other funds for each CDBG dollar requested
Property Taxes Tax exempt
I ~ 1
--= -..
~~~~'t
~..-.,
....~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinauon
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Applicant is applying for funds to assist with the acquisition of their
facility that they are currently leasing. The Free Medical Clinic (FMC)
treats over 2,500 patients annually. The clinic provides free medical
and dental services to uninsured low to moderate income persons.
The project also meets the CITY STEPS goal of continued support of
health, dental and HIV/AIDS services.
CDBG funds make up approximately 59% of the project's budget.
The volunteer contribution is in the form of contributions made by the
volunteer Board of Directors who will be managing the project. There
would be a large savings in lease payments if the building was
purchased, but not sure about the increase in maintenance costs.
The Free Medical Clinic has a long history of working with a variety of
agencies and organizations in Iowa City, such as the Arc of Johnson
County, Crisis Center, Elder Services, 4Cs, Goodwill, Iowa City
Hospice, Shelter House, DVIP, Neighborhood Centers, U of I
Hospitals and Clinics, U of I Dental program, MECCA, and many
private health care professionals.
The Free Medical Clinic has successfully administered CDBG funds
in previous years. Additionally, the clinic has a 30-plus year history of
operating the clinic and overseeing renovations funded with grants
and donations.
1.
If partially funded, can applicant contribute more to the
project? Does FMC have a capital reserves budget?
Has the applicant researched the idea of renting out the lower
level to increase the income?
How was the requested amount of $300,000 figure arrived?
Does the applicant have a letter from a lender stating the
amount that could be loaned?
What is the current monthly rent payment and does it include
utilities or maintenance costs? What is the proposed
mortgage payment?
If there is a monthly cost savings, how will FMC utilize the
proposed savings?
2.
3.
4.
5.
2
I ~ j
~~~~'t
:::: ..!!!-,
.....,--.....
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page MECCA - Facility Rehabilitation
Number Page 181
Project Address 430 & 438 Southgate Avenue, Iowa City
Activity Type Public Facility
.
CITY STEPS Priority Low - Health Facilities
High - Health SeNices
CITY STEPS Goal Provision for Health Facilities; support expansion needs of
Achieved existing medical facilities (p-113)
0-30% mfi - 62%
Beneficiaries 31-50% mfi - 9%
51-80% mfi - 3%
Over 80% mfi - 26% (includes 736 clients that did not disclose income)
Amount Requested $48,523
Repayment Terms Earned Grant. Compliance period of 16.17 years.
Period of Affordability NA
Percent of Project 92%
Publicly Funded
Leveraging City Funds $0.09 in other funds for each CDBG dollar requested
Property Taxes Reduced rate paid for 12 housing units: $25,OOO/year
I! 1
!~~~::':'t
~ ..~~
..........&L..
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Applicant provides substance abuse counseling and treatment
along with HIV/AIDS services to approximately 3,000 people a
year. MECCA offers 12 transitional housing units and houses a
32 bed inpatient residential facility with 2 detox rooms (6 beds)
for those receiving substance use disorder treatment. The
residential facility has not been updated since 1985, except for
carpet (2006) and a bathroom renovation (2001). Applicant
request funds to paint the residential bedrooms, halls, offices,
and treatment areas and bathroom renovations.
The transitional housing units were constructed in 2001. A
playground area was established adjacent to the building with a
small play structure for children. Applicant states there are no
areas or facilities for older children and teens. Applicant
request funds to install a concrete pad, basketball hoop, and
landscaping improvements so that the play area can
accommodate various ages.
CDBG funds make up approximately 92% of the project's
budget. The remaining funds are committed. Applicant has
received funds from the Community Foundation of Johnson
County and will receive donated labor from three area master
gardeners for the playground project.
MECCA collaborates with a wide range of community
organizations such as the Johnson County Empowerment
Board, Juvenile Crime Board, Iowa City Schools, Alcohol
Awareness Work Group and receives referrals from the US
Probation Office, Iowa Dept. of Corrections, Bureau of Prisons
and DHS.
MECCA has received a number of CDBG funding awards,
including funds to construct the current facility in 1985, the
transitional housing facility in 2001 and a facility rehabilitation
project (carpet) in 2006. Applicant has received federal, state
and local funds to administer programs. Applicant employs a
professional administrative staff.
1. 92% of the project is publicly funded, if partially funded
will the project continue?
2. Federal labor provisions will apply to this project (Davis
Bacon - prevailing wages)
2
I ~ j
~~~_......
~~~!:'"!.
~ --!-,
.....rY-
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Neighborhood Centers of Johnson County - Facility
Rehabilitation
Number Page 191
Project Address 2105 Broadway Street, Iowa City
Activity Type Public Facility
High - Neighborhood Facilities
CITY STEPS Priority High - Child Care Centers
CITY STEPS Goal Support development of childcare facilities (Page 112)
Achieved Provision of Neighborhood Facilities (Page 113)
Beneficiaries 0-30% mfi 100%
Amount Requested $54,200
Repayment Terms Earned Grant. Compliance period of 18.07 years.
Period of Affordability NA
Percent of Project 96%
Publicly Funded
Leveraging City Funds $ 0.04 in other funds for each CDBG dollar requested.
Property Taxes Tax exempt
I ~ 1
!~~~'r
~ ",~,
~~
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
ProjectCoordinauon
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
CITY STEPS, the Local Homeless Coordinating Board and local human
service organizations recognize the need for affordable dependent care.
The space capacity at the Broadway Neighborhood Center has not
increased in the past 10 years; however, programming demand has
nearly tripled in the past 10 years. It is anticipated that over 1,000 people
will be assisted at the Broadway Neighborhood Center in FY09, all of
whom will be below 30% of the area median income.
Project proposes to use funds at the Broadway Neighborhood Center for
1) replacing the back deck; 2) replacing windows for childcare programs;
3) addition of a small retaining wall in the back yard; 4) construct a
screen for the dumpster; 5) concrete and asphalt repairs to the parking
lot.
The CDBG funds make up 96% of the total project budget. The
remainder of the funds will be coming from NCJC and have been
committed.
There was no mention of how the applicant arrived at the construction
estimates.
NCJC has a long history of coordinating with area non-profits,
organizations, neighborhood groups, neighborhood businesses and local
community leaders. There is no duplication of services as there are
limited subsidized day care options in the area.
NCJC has been successful in completing a variety of CDBG funded
public service and public facility projects over the last 20 years. NCJC
has received a number of CDBG allocations for both the Pheasant Ridge
Neighborhood Center and for the Broadway Neighborhood Center. The
funds were expended in a timely manner. Applicant operates with a
budget of approximately $1,900,000 and 55 full-time staff. They are
accredited by the National Association for the Education of the Young
Child (NAEYC) and have the capacity to complete the proposed project
successfully.
1. Will the project continue if partial funded?
2. Has NCJC researched other funding opportunities for the project?
3. How were the cost estimates for the proposed improvements
completed?
4. Does applicant have a capital reserve budget?
5. All work will be subject to federal labor provisions (Davis Bacon -
prevailing wages) and must comply with federal procurement
standards (competitive bids) for the proposed work.
6. Please explain why the FY08 funds have not been expended.
2
I ~ j
!~~~'t
~ -!!!-,
......,........
CITY OF IOWA CITY
FY09 CDBG/HOME APPLICANT REVIEW
STAFF REPORT
Project Name & Page Twain Elementary, ICCSD
Number Page 198
Project Address 1355 Deforest Avenue, Iowa City
Activity Type Public Facility
CITY STEPS Priority High - Neighborhood Facilities
CITY STEPS Goal Provision of Neighborhood Facilities: explore the need; plan and
Achieved construct neighborhood facilities (Page 113)
0-30% mfi - 0%
Beneficiaries 31-50% mfi - 66% (Reported for 0-50%)
51-80% mfi - 8%
Over 80% mfi - 26%
Amount Requested $60,000
Repayment Terms Earned Grant. Compliance period of 20 years.
Period of Affordabi/ity NA
Percent of Project 47%
Publicly Funded
Leveraging City Funds $0.90 in other funds for each CDBG dollar requested
Property Taxes Tax Exempt
I! I
!:~~~~'t
~ "I!!!!.!.-'-
......-..&.L..
CITY OF IOWA CITY
STAFF ANAL YSIS
Documentation of
Project Need
Project Budget
Discussion
Project Coordination
with Existing Services &
other Services Available
in the Community
Applicant History or
Capacity to Successfully
Complete the Proposed
Project
Summary of Items
to be Addressed
Twain Elementary has 254 students and serves 40 preschool aged
children in two separate preschool programs. The school partners
with Neighborhood Centers of Johnson County for both extended day
care and preschool programming. 74% of Twain's students qualify for
the free and reduced lunch program and Twain's attendance area
includes Census Tract 18, Block group 2, where over 57% of the
households are low to moderate income. CITY STEPS encourages
the addition of parks and recreational facilities in low-income
neighborhoods.
Based on the district's safety assessment, all the aging equipment at
Twain has been removed or will be in the near future. Only one play
structure that can handle approximately 30-40 children will remain.
There is no equipment accessible to pre-school aged children on site.
Applicant requests funds to install two playground structures that will
serve preschool aoed children and upper orade students.
The applicant requests 47% of the project costs. The Twain PTO has
raised $17,405 towards the project in addition to their annual $8,000
operating budget and has researched and applied for various grants
throughout the community.
The ICCSO does not provide funds for playground equipment. It is
the responsibility of each school's parent organization (PTO) to
purchase the necessary equipment.
Twain partners with several local organizations to improve student
outcomes. Neighborhood Centers of Johnson County provides
extended day care and preschool programming on site.
The ICCSO has successfully administered previous COBG projects
and has experience working with a variety of federal and non-federal
funding sources.
1. Please provide details and price quotes for the proposed
equipment.
2. The City can not attach a lien to land owned by another public
entity. The school district must consent to enter a COBG
agreement with the City and maintain the improvements over the
20 year compliance period if fully funded.
3. Based on installation costs, Davis Bacon (prevailing wages) may
apply to the project.
4. No equipment may be ordered and no work can commence until
all environmental review requirements are completed.
2