HomeMy WebLinkAboutFY12AAPDraftIowa City
FY12 ANNUAL ACTION PLAN
COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG)
HOME INVESTMENT PARTNERSHIP FUNDS
(HOME)
Planning and Community Development Department
May 2011
GENERAL
The Annual Action Plan (Action Plan) is submitted to the U.S. Department of Housing and Urban Development (HUD) and serves as
the formal application for the use of entitlement funds that are received by Iowa City.
The Action Plan defines the one-year activities in relationship to the five-year goals and objectives of CITY STEPS, Iowa City’s
Consolidated Plan for Housing, Jobs and Services for Low-Income Residents, covering City Fiscal Years 2011-2015.
The Action Plan provides a brief description of the programs and projects of Iowa City for FY12, the second year of CITY STEPS, as
well as funding announcements for the CDBG, HOME, ESG and other state and federal programs.
Table of Contents
Standard Form 424: CDBG & HOME Program .................................................................. i
Executive Summary 91.220(b) ...................................................................................... 1
Objectives and Outcomes
Evaluation of Past Performance
Citizen Participation 91.200 & 91.220(b) ...................................................................... 3
Resources and Objectives 91.220 (c) ............................................................................ 4
Federal Resources
Other Resources & Leverage
Annual Objectives (Table 3A)
Activities to be Undertaken & Outcome Measures 91.220 (d)(e) ................................. 7
Table 3C – Consolidated Plan Listing of Projects ......................................................... 8
Geographic Distribution 91.220 (f) ............................................................................. 37
Comparison of LMI Block Groups and Minority Concentration Map ............................... 39
FY12 Project Locations ......................................................................................... 42
Allocation Priorities – HCDC Memo ......................................................................... 43
Affordable Housing Goals 91.220 (g) .......................................................................... 51
Table 3B – Annual Housing Completion Goals
Public Housing 91.220 (h) .......................................................................................... 52
Homeless & Other Special Needs Activities 91.220 (i) ................................................ 52
Barriers to Affordable Housing 91.220 (j) ................................................................... 54
Other Actions 91.220 (k) ............................................................................................ 56
HOME Program Specific Requirements 91.220 (l) ....................................................... 59
Recapture/Resale Provisions
Fair Housing
Affirmative Marketing
Monitoring 91.230 ....................................................................................................... 65
Certifications 91.225 ................................................................................................... 67
Appendix A – Comments Received & Staff Response ................................................... 68
SF 424
The SF 424 is part of the CPMP
Annual Action Plan. SF 424 form fields are included in this document. Grantee information is linked from
the 1CPMP.xls document of the CPMP tool.
SF 424
91.220 (B) EXECUTIVE SUMMARY
Objectives & Outcomes
The Annual Plan articulates funding decisions for the next year of Community Development Block Grant and HOME Investment
Partnerships Program funds according to the long-term goals established in CITY STEPS, the city’s 2011-2015 Consolidated Plan.
The CP was guided by three overarching goals that are applied according to community needs. These goals are:
To provide decent housing by preserving the affordable housing stock, increasing the availability of affordable housing,
reducing discriminatory barriers, increasing the supply of supportive housing for those with special needs and transitioning
homeless persons and families into housing.
• To provide a suitable living environment through safer, more livable neighborhoods, greater integration of low and
moderate income residents throughout the city, increased housing opportunities and reinvestment in deteriorating
neighborhoods.
• To expand economic opportunities through more jobs paying self-sufficient wages, homeownership opportunities,
development activities that promote long-term community viability and the empowerment of low- and moderate-income
persons to achieve self-sufficiency.
Focus of the Plan
As required by the federal government, the identification of needs and the adoption of strategies to address those needs must
focus primarily on low- and moderate-income (LMI) individuals and households. The Consolidated Plan must also address the needs
of persons with “special needs” such as the elderly, persons with disabilities, large families, single parents and homeless individuals
and families.
Priorities
Iowa City is committed to allocating funds that serve the needs of low-to-moderate income residents. Households with incomes
less than 50% of the area median income, particularly those with extremely low incomes (less than 30% of area median income),
are particular priorities. The city has also identified special needs individuals as among those who face the greatest challenges and
who should receive high priority in the expenditure of federal funds, including at-risk children and youth, low income families, the
homeless and persons threatened with homelessness, the elderly, and persons with disabilities.
The Consolidated Plan planning process requires the city to specifically address needs and proposed strategies in the following
three areas: housing, homelessness and community development.
Based upon outreach efforts, the following community development and housing needs were determined to have a high priority
and will continue to be an emphasis of CDBG funding:
Housing
Non-student renter households up to 50% of MFI
Persons and families at-risk for homelessness
Owner-occupied housing units (elderly, small family, special needs)
Public Services
Crime prevention
Child care services
Youth programming
Life skills
Financial literacy
Substance prevention and care
Mental health
Public Facilities and Improvements
Facility improvements to the structures housing the public service providers
Economic Development
Micro-enterprise development
Outcome Performance Measures
Based on guidance provided by HUD, the following performance measurement system is utilized by the City of Iowa City. Simply
stated, performance measurement is an organized process for gathering information to determine how well programs and
activities are meeting established needs and goals. HUD needs this information in a common format to summarize program
outcomes at the national level. For each activity that the city funds, it must determine the goal of the activity based on local intent,
identify one objective and one outcome for each activity, indicate the objective and outcome in IDIS and report on applicable
indicators in IDIS and the Consolidated Annual Performance and Evaluation Report (CAPER). Each activity must have an outcome
statement. This outcome statement in its most basic form is the activity’s objective plus outcome.
Three specific objectives are relative to each activity funded. These include:
Creating (or Enhancing) Suitable Living Environments. Applicable to activities that are designed to benefit communities,
families, or individuals by addressing issues in their living environment. This objective relates to activities that are intended
to address a wide range of issues faced by low and moderate income persons, from physical problems with their
environment to social issues such as crime prevention, literacy, or elderly health services.
Providing Decent Housing. Applicable to housing programs where the purpose is to meet individual family or community
needs, and not programs where housing is an element of a larger effort (such as would otherwise be applied under the
“Suitable Living Environment” Objective).
Creating Economic Development Opportunities. Applicable to activities that are related to economic development,
commercial revitalization, or job creation.
Three specific outcomes are relative to stated objectives. These include:
Availability/Accessibility. Applicable to activities that make services, infrastructure, public services, public facilities,
housing or shelter available or accessible to low- and moderate income people, including persons with disabilities. In this
category, accessibility does not refer only to physical barriers, but also to making the affordable basics of daily living
available and accessible to low- and moderate-income people.
Affordability. Applicable to activities that provide affordability in a variety of ways to low- and moderate-income people. It
can include the creation or maintenance or affordable housing, basic infrastructure hook-ups, or services such as
transportation or day care. Affordability is an appropriate objective whenever an activity is lowering the cost, improving
the quality, or increasing the affordability of a product or service to benefit a low-income household.
Sustainability. Applicable to activities or services that are aimed at improving communities or neighborhoods, helping to
make them livable or viable by providing benefit to low- and moderate-income persons or by removing or eliminating
slums or blighted areas.
Evaluation of Past Performance
The City of Iowa City’s past performance in the administration and implementation of the CDBG and HOME programs has fulfilled
the spirit and intent of the federal legislation creating these programs. The city has facilitated affordability for decent housing,
availability and accessibility to a suitable living environment, sustainability of a suitable living environment and accessibility to
economic opportunities. The following is a summary of Iowa City’s past performance as reported to HUD in the FY2010
Consolidated Annual Performance and Evaluation Report (CAPER), the most recent report filed.
During FY2010, the City of Iowa City expended $973,347 in CDBG funds and $589,000 in HOME funds and leveraged $2,590,920 in
private and public funds. Leverage and beneficiary information for CDBG and HOME projects are realized when the project is
closed.
In administering its CDBG and HOME programs, the city continued to implement the priorities established in CITY STEPS, the
2006-2010 Consolidated Plan. The plan’s four major priorities and the FY10 projects to address these priorities are identified
below:
1) Provide housing opportunities that are decent and affordable.
By the end of the fiscal year, 29 owner-occupied rehabilitation projects were completed, 5 households received down payment
assistance to purchase a home, 3 homes constructed and sold to income eligible households, 4 units were acquired for affordable
rental or transitional housing and 37 households benefitted through rental rehabilitation.
2) Support homeless facilities and services.
The Shelter House was awarded funding for an outreach coordinator who assisted 410 persons who are homeless access needed
services as well as received funding to complete construction of a new 70 bed shelter completed in FY11. The Domestic Violence
Intervention Program used funds to rehabilitate their shelter for victims of domestic abuse. 333 persons utilized the shelter in FY10.
3) Support public facilities, accessibility and services.
FY10 funding provided needed additions and/or rehabilitation to six public facilities: United Action for Youth, Neighborhood
Centers of Johnson County, Arc of Southeast Iowa, Community Mental Health Center, MECCA, and First Mennonite (Home Ties
Additions). These organizations serve the following clienteles: youth, persons with disabilities, persons with chronic mental illness,
persons with alcohol and drug addiction and families in crisis, homeless or at risk of being homeless.
FY10 operational funding was provided to the Iowa City Free Medical Clinic, Shelter House, Successful Living, MECCA, United
Action for Youth and Elder Services Inc. These agencies served a total of 5,460 persons in FY10.
Program beneficiaries are counted in the fiscal year the project is completed.
4) Create jobs through economic development activities.
The CDBG Economic Development Fund was created to stimulate private sector investment that results in the creation of
permanent, private sector jobs with living wages for low-to-moderate income persons in Iowa City. All CDBG economic
development activities must meet the National Objective of benefiting low to moderate income persons. The program rule requires
that 51% of the jobs created or retained must be held or made available to low-to-moderate income persons based on family size or
the business must qualify as a micro-enterprise. The City reviewed three applications during FY10 and assisted one drywall
installation business that created 3.0 FTE jobs. One applicant was able to secure 100% private financing and the other application
was denied.
CITIZEN PARTICIPATION
Throughout the year the Housing and Community Development Commission (HCDC) holds public hearings to oversee the
operation of the Community Development Division, the Iowa City Housing Authority, monitor CDBG and HOME projects, and listen
to public input into these and other programs.
The City of Iowa City’s current 5-year Consolidated Plan (2011-2015 CITY STEPS) was adopted in December 2009. Numerous public
meetings and hearings were held to solicit public comment regarding the development of the CITY STEPS plan in accordance with
the City’s Citizen Participation Plan. The city ensured broad public participation in the development of CITY STEPS. The
stakeholders invited to participate in the Plan are identified on Page 12 of CITY STEPS as well as the comments and staff responses
received (p. 14 & 16).
HCDC and the City Council have held a number of meetings for the preparation of the FY12 Annual Action Plan and other HUD
related documents. The public has been invited to participate in all of the meetings and efforts were made to encourage and
increase citizen participation. The following is a chronology of the events, meetings, public hearings and actions taken in relation
to the FY12 Annual Action Plan and Iowa City’s 2011-2015 Consolidated Plan (a.k.a. CITY STEPS).
Dec. 17, 2010 Public notice that CDBG and HOME applications are available
Dec. 28, 2010 CDBG/HOME Applicant Workshop
Jan. 12, 2011 CDBG/HOME Applicant Workshop
Jan. 25, 2011 Applications due to City of Iowa City by 12 noon
Feb. 17, 2011 HCDC meeting question/answer discussion with applicants
March 10, 2011 HCDC meeting review of rankings & average funding
March 17, 2011 HCDC meeting: recommendation on funding awards
April 1, 2011 Draft Annual Action Plan – 30-day comment period begins
April 5, 2011 Council Sets FY12 Action Plan Public Hearing
April 8, 2011 Public Hearing Notice Appears in Press-Citizen
May 2, 2011 Expiration 30-day comment period on the FY12 Annual Action Plan
May 3, 2011 City Council: public hearing on the FY12 Annual Action Plan
May 3, 2011 City Council: resolution-approving the FY12 Annual Action Plan
Anticipated Dates
May 13, 2011 FY12 Annual Action Plan submitted to HUD
May 27, 2011 Submission of Environmental Review Record and FONSI (as applicable)
June 14, 2011 Submission of Request for Release of Funds
July 1, 2011 Start FY12 CDBG and HOME projects
In accordance with Iowa City’s Citizen Participation Plan, the draft Annual Action Plan was available during the public comment
period at the Iowa City Library, the Planning Community Development Office and on the city’s website at
www.icgov.org/actionplan. Special accommodations were available for persons with physical disabilities if the request was made at
least seven days prior to the scheduled meeting date. In FY12 no special requests were made.
PUBLIC COMMENTS RECEIVED
A 30-day public comment period regarding the FY12 Annual Action Plan ran from April 1, 2011 to May 2, 2011. A public hearing was
held on May 3, 2011. Comments received and staff response can be found in Appendix A.
RESOURCES & OBJECTIVES
Federal Resources
The city anticipates receiving the following funds during FY2012 to help support new affordable housing projects, housing
rehabilitation programs, and homeless outreach and prevention activities, along with its other CDBG/HOME initiatives.
Funding Sources, FY2012
Entitlement Revenue $1,880,183
CDBG
CDBG Annual Entitlement $722,192
Anticipated CDBG Program Income $65,000
Uncommitted/Returned Projects $175,000
Total CDBG $962,192
HOME
HOME Annual Entitlement $677,991
Anticipated HOME Program Income $90,000
Uncommitted/Returned Projects $150,000
Total HOME $917,991
Non-Entitlement Revenue
(Federal & Other)
$9,633,826
City General Obligation Bonds (GRIP) $200,000
CDBG Supplemental Disaster Recovery $1,390,278
I-Jobs UniverCity Project $625,000
Section 8 Funds (ICHA) $6,000,000
LIHTC (The Housing Fellowship – application pending) $1,418,548
Total Resources Anticipated $11,514,009
Other Resources and Leverage
Iowa City is fortunate to have active and vital organizations that provide housing and supportive services within the community. As
such, multiple resources (federal, state, local and private) are available for activities including housing, jobs and human services. In
addition to these funds, other resources like donations and volunteers are utilized.
According to the applications, we have been able to estimate that $3,049,970 in other funds will be leveraged. This amounts to
$1.62 leveraged for each dollar of local CDBG and HOME funds allocated by the City of Iowa City. In addition, other municipal
resources such as general fund expenditures, infrastructure improvements and tax exemptions may be used to meet the City’s
HOME match liability.
Actual leverage and HOME match figures will depend on the outcomes of the projects proposed in this annual action plan. Upon
completion of the FY12 projects the exact amount of other resources leveraged by these projects will be known and included within
the Consolidated Annual Performance and Evaluation Report. The City currently has $1,700,279 in excess match carried over from
previous years.
Private banks and lending institutions often provide significant capital to both Community Development Block Grant (CDBG) and
HOME Investment Partnerships Program (HOME) projects. Both the City and local organizations recognize this mutually beneficial
relationship. To promote the goals and objectives of the Consolidated Plan (a.k.a. CITY STEPS) both parties have taken steps to
strengthen and expand our partnerships.
As stated above, other resources include in-kind donations, volunteers, foundations and businesses. The following is a list of
organizations or groups identified as contributing to FY12 CDBG and HOME projects:
Private (donations)
Private (loans)
Private (foundations)
Private (faith based)
Public funds
United Way
Johnson County
In-kind Donations (skilled labor, goods, materials, waived fees)
Volunteers
City of Iowa City
University of Iowa Hospitals and Clinics
Low-Income Housing Tax Credits
Table 3A
Summary of Specific Annual Objectives – Program Year 2
*Outcome/Objective Codes
Availability/Accessibility Affordability Sustainability
Decent Housing DH-1 DH-2 DH-3
Suitable Living Environment SL-1 SL-2 SL-3
Economic Opportunity EO-1 EO-2 EO-3
Obj
#
Specific Objectives Sources of
Funds
Performance
Indicators
Expected
Number
Actual
Number
Outcome/
Objective*
Rental Housing Objectives
1.Increase affordability of decent housing
by acquiring & rehabilitating rental units
for LMI households (Includes new
construction).
HOME Housing Units 8 DH-2
2.Increase the capacity of nonprofit
organizations that develop affordable
housing
HOME Organizations 1 DH-2
Owner Housing Objectives
3.Increase affordability of decent housing
by rehabilitating and resale of owner
housing to income eligible households
(includes new construction).
HOME Housing Units 4 DH-2
4.Increase affordability of decent housing
by rehabilitating owner-occupied
housing.
HOME/
CDBG
Housing Units 35 DH-2
Homeless Objectives
5.Increase affordability of decent housing
for special needs populations
HOME Housing Units 3 DH-2
Special Needs Objectives
6.Increase affordability of decent housing
for special needs populations
HOME Housing Units 21 DH-2
7.Provide rental assistance to special
needs populations.
DH-2
Community Development Objectives
Infrastructure Objectives
Public Facilities Objectives
8.Assist with the renovation of a variety of
facilities that provide benefits to LMI
persons.
CDBG Public Facility 8 SL-1
Public Services Objectives
9.Address the greatest needs of the City’s
LMI and special needs populations with
needed services.
CDBG Persons 6,1
62
SL-1
Economic Development Objectives
10.Provide working capital, job training
funds to micro-enterprises or small
businesses to create jobs for LMI
persons
CDBG Businesses 3 EO-2
Other Objectives
Category Activity Requested Allocated Units/HH Assisted Source
IV Habitat For Humanity - Owner- occ. Rehab. 40,000$ 40,000$ 15 CDBG
IV Habitat for Humanity - Homeownership 180,000$ 180,000$ 4 HOME
The Housing Fellowship - CHDO Operating 40,000$ 33,900$ NA HOME
The Housing Fellowship - Pre Dev. Loan 10,500$ 10,500$ 8 HOME
Mayor's Youth - Rental Housing 99,800$ 99,800$ 8 HOME
United Action for Youth - Rental Housing 480,000$ 350,000$ 3 HOME
Successful Living - Rental Rehab. 92,500$ 52,000$ 9 CDBG
Systems Unlimited - Rental Rehab. 70,000$ 48,000$ 4 CDBG
Iowa City Housing Rehabilitation Program 123,885$ 18 CDBG
Iowa City Housing Rehabilitation Program 88,139$ 2 HOME
Total Housing: 1,012,800$ 1,026,224$ 71
Facilities Assisted
ICCSD Grant Wood Elementary - Utility Install. 33,400$ 33,400$ 1 CDBG
Neighborhood Centers of JC - Facility Rehab. 65,000$ 42,250$ 1 CDBG
DVIP - Facility Rehabilitation 6,500$ 6,500$ 1 CDBG
Mayor's Youth - Facility Rehabilitation 148,702$ 27,365$ 1 CDBG
Crisis Center - Parking Lot Improvements 170,000$ 25,000$ 1 CDBG
Arc of Southeast Iowa - Facility Rehab. 210,922$ 67,400$ 1 CDBG
MECCA - Facility Rehabilitation 16,293$ 16,293$ 1 CDBG
Old Brick Foundation - Accessibility 49,600$ 15,500$ 1 CDBG
Total Public Facilities 700,417$ 233,708$ 8
Persons Served
Neighborhood Centers of JC - Operations 32,321$ 15,000$ 16 CDBG
Neighborhood Centers - Aid to Agencies 33,000$ 60 CDBG
Crisis Center - Operations 11,092$ 11,092$ 850 CDBG
Crisis Center - Aid to Agencies 40,000$ (included) CDBG
Big Brothers Big Sisters - Equipment 11,640$ 5,200$ 76 CDBG
Big Brothers Big Sisters - Aid to Agencies 32,000$ (inlcuded) CDBG
Shelter House - Operations 50,000$ 15,000$ 630 CDBG
Table to Table - Operations 20,000$ 7,000$ 1,300 CDBG
Successful Living - Vehicle 6,000$ 6,000$ 30 CDBG
Emma Goldman Clinic - Equipment 50,000$ 25,000$ 3,000 CDBG
IC Free Medical Clinic - Operations 47,000$ 15,000$ 200 CDBG
Total Public Services 228,053$ 204,292$ 6,162
Entities Assisted
Iowa City Economic Development Fund 102,670$ 3 CDBG
Total Economic Development 102,670$ 3
HOME Program Administration 67,799$ NA HOME
CDBG Program Administration 157,438$ NA CDBG
Total Administration 225,237$ NA
Total CDBG 961,993$
Total HOME 830,138$
Combined Total 1,792,131$
Econ. Dev
Admin.
CDBG & HOME Activities, FY2012
Housing
Public
Facilities
Public
Services
ACTIVITIES TO BE UNDERTAKEN & OUTCOME MEASURES
The following table summarizes the FY2012 CDBG/HOME budget for the City of Iowa City. The Housing and Community
Development Commission recommended the allocation of $1,792,131 for activities related to CDBG and HOME. The city’s FY2012
program activities are anticipated to specifically benefit 71 housing units/households, 8 public facilities and 6,162 persons receiving
public services. The City anticipates that 100% of the CDBG funds will be used for activities that benefit persons of low and
moderate income.
TABLE 3C
Consolidated Plan Listing of Projects
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
Upon the sale of the home, the net proceeds (sale price, minus loan repayments and closing costs) shall be distributed
proportionately between the City, up to the Principal Amount (HOME subsidy to the Buyer), and the Buyer. No interest shall accrue
on the Principal Amount.
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
City of Iowa City Table 3C
Consolidated Plan Listing of Projects
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Consolidated Plan Listing of Projects
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Description of the Geographic Area
Priority CDBG funding areas in Iowa City include those areas where there is a high rate of low and moderate
income (LMI) persons. The following narrative describes the characteristics of these areas. Once Census 2010
information is received broken down by Census tract block information, the City will reevaluate concentration of
low to moderate income persons and racial minorities.
Between 1990 and 2000, the racial minority share of Iowa City’s population rose from 8.9% to 12.7%, an increase
of 2,558 residents, or 48%. Most of this increase was in the number of Blacks and persons of other races.
Between 2000 and 2007, the number of minorities in Iowa City rose from 7,886 to an estimated 8,868, an increase
of more than 12%. Persons of Hispanic origin, who may be of any race, also increased as a segment of the total
population. Between 1990 and 2000, Hispanic persons increased 80% from 1,018, representing 1.7% of the
population, to 1,833, representing 2.9% of the population. Estimates for 2007 for this ethnic group are not
available due to a small sample size.
2007
Sources: U.S. Census 1990 (SF1), 2000 (SF1), 2005-2007 American Community Survey Three-Year Estimates
1990
2000
Concentrations of Minority and Hispanic Persons
The following table presents population by race and Hispanic origin at the census tract level. CITY STEPS defines
areas of racial or ethnic concentration as geographical areas where the percentage of minorities or ethnic persons
is 10 percentage points or more than the City overall.
Across Iowa City, racial minority persons comprised 12.7% of the population in 2000. Therefore, an area of racial
concentration includes census tracts where the percentage of minority residents was 22.7% or higher. Only
census tract 4 met this criterion with 21.3% Asian/Pacific Islander residents compared to 5.7% for the City overall.
Persons of Hispanic origin represented 2.9% of the population in 2000. Therefore, an area of ethnic concentration
includes census tracts where the percentage of Hispanics is 12.9% or higher. No census tract in Iowa City met this
criterion in 2000.
Source: U.S. Census 2000 (SF-1, P1, P3, P4)
Low and Moderate Income Areas
The following table presents information regarding low and moderate income (LMI) persons in Iowa City. LMI
persons, as determined by HUD, have incomes at or below 80% of the median family income (MFI). In its 2009
estimates, HUD determined that there were 29,895 LMI persons in Iowa City, equivalent to 53.2% of the
population for whom this rate is determined. HUD reported that the FY 2009 MFI in Iowa City was $76,000.
In Iowa City, the number of LMI persons includes university students who are living away from home while
attending college (i.e., living in Iowa City for the purpose of attending college). The census counts these
individuals in the location of their “usual residence.” Usual residence is the place where a person lives and sleeps
most of the time. This place is not necessarily the same as the person's voting residence or legal residence. Also,
non-citizens who are living in the U.S. are included, regardless of their immigration status.
HUD defines an LMI census tract or block group as one in which 51% or more of the population have incomes of
80% or less of the MFI. According to these criteria, 13 of the city’s populated census block groups qualify as LMI
areas. Details on the LMI status of each census block group appear in the following table.
Note: Data includes all city residents.
Source: U. S. Department of Housing and Urban Development
Concentrations of LMI Persons and Minority Persons
Census tract 4, previously identified as an area of racial concentration, is also an LMI area with a percentage of
LMI persons at 54.3%. The following map illustrates this area.
The federal CDBG and HOME funds are intended to provide low and moderate income households with viable
communities, including decent housing, a suitable living environment, and expanded economic opportunities.
Eligible activities include community facilities and improvements, housing rehabilitation and preservation,
affordable housing development activities, public services, economic development, planning, and administration.
The system for establishing the priority for the selection of these projects is predicated upon the following
criteria:
Meeting the statutory requirements of the CDBG and HOME Programs
Meeting the needs of low and moderate income residents
Focusing on low and moderate income areas or neighborhoods
Coordination and leveraging of resources
Response to expressed needs
Sustainability and/or long-term impact, and
The ability to demonstrate measurable progress and success.
Iowa City will invest its CDBG funds in areas primarily impacted by non-student LMI persons. CDBG and HOME
funds will be focused in areas that are home to families, the elderly, the disabled and the homeless. Several of the
city’s LMI census areas are located in the downtown area and include the University of Iowa and a significant
rental housing stock that is predominantly occupied by students. In 2010, the City working in collaboration with
the University of Iowa and several community partners, initiated the UniverCity project. The project’s goal is to
create a healthy balance of owner occupied and renter households within downtown/university neighborhoods.
Although funds will not be used for student housing, funding will be available for rental housing in these
neighborhoods for families (non student households).
The City Council encourages the development of affordable housing throughout the city. With the goals of
avoiding placing new rental housing in areas with a concentration of poverty and to have diverse neighborhoods
in terms of a range of income levels, the City Council adopted a site location model on February 15, 2011 where
city funding would be available for the acquisition or construction of new affordable rental housing. This policy
does not apply to rental housing projects for the elderly or persons with disabilities as well as the rehabilitation of
existing rental properties. This allows the city to improve and stabilize rental housing in low income
neighborhoods and provide decent, safe and affordable housing throughout the city. The Affordable Housing
Location Model (see below) identifies where the city will provide funding for applicable rental housing sites.
Obstacles to Meeting Underserved Needs
The primary obstacle to meeting underserved needs is the limited resources available to address identified priorities.
Iowa City will partner with other public agencies and non-profit organizations, when feasible, to leverage resources and
maximize outcomes in housing and community development.
Basis for Allocating Investments
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City of Iowa City Econ Development Fund
UAY - Acquisition
MECCA - Facility Rehab Systems - Rental Rehab
Systems - Rental Rehab
Habitat - Homeownership
Emma Goldman - Equipment
Old Brick - Accessibility
Shelter House - Operations
Crisis Center - Operations
Mayor's Youth - Acquisition
Successful Living - Vehicle
Table to Table - Operations
ICCSD - Utility Installation
Mayor's Youth - Facility Rehab
Habitat - Owner-occupied Rehab
Arc of SE Iowa - Facility Rehab
City of Iowa City Rehab Program
Free Medical Clinic - Operations
Systems Unlimited - Rental Rehab
Successful Living - Rental Rehab
Neighborhood Centers - Operations
Neighborhood Centers - Facility Rehab
City of Iowa City - Administration
Crisis Center - Parking Lot Improvements
Neighborhood Centers - Employment Training
Housing Fellowship - CHDO Operating Expenses
Big Brothers & Big Sisters - Operations/Equip
Housing Fellowship - CHDO Pre-development Loan
Iowa City - CDBG/HOME FY12 Proposed Projects
¯
Proposed FY12 Projects
Activity
!(Housing Project
")Public Services
#*Public Facilities
G Administration & Planning 00.80.4
Miles Created: March 31, 2011Note: DVIP received CDBG funds for facility rehab. Location is confidential.
Allocation Priorities
MEMORANDUM
DATE: March 29, 2011
TO: City Council
FROM: Housing and Community Development Commission
RE: Recommendations for FY12 CDBG and HOME Funding
I.Housing projects recommended for funding
II.CDBG public facilities recommended for funding
III.CDBG public services projects recommended for funding
IV.Projects not recommended for funding
V.Applications withdrawn by applicant
I. Housing Projects Recommended for Funding
Requests totaled: $1,978,920 Amount allocated: $814,200
Applications received: 11 Applications funded: 8
IV Habitat for Humanity Housing Rank #H-1
Request $40,000 Recommended Allocation $40,000
(15 homes)
Category CDBG eligible housing
Increases accessibility.
Assists elderly to remain in their homes.
Agency has history of successful projects.
Utilizes volunteer time and in-kind contributions.
Recommended Financial Terms: Pending staff review.
IV Habitat for Humanity Housing Rank #H-2
Request $180,000 Recommended Allocation $180,000
(4 Homes)
Category HOME/CDBG eligible housing
Assists households under 50% of median income purchase an affordable
home.
Homes are energy efficient.
History of successful projects.
Large use of volunteer labor and other funds.
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Financial Terms: Recapture Provision. Upon sale by owner or no longer principal
residence, 100% of funds repaid from net proceeds at 0% interest.
The Housing Fellowship – CHDO
Operating
Housing Rank #H-3
Request $40,000 Recommended Allocation $33,900
Category HOME eligible housing
Helps build financial and administrative capacity of a local non-profit.
Improves transparency of public funding received by the organization.
Efficient organization with history of working with other resources and proven
track record of successfully providing affordable housing.
Financial Terms: Grant
Period of Affordability: NA
The Housing Fellowship - CHDO
Pre-Development Expenses
Housing Rank #H-4
Request $10,500 Recommended Allocation $10,500
Category HOME eligible housing
Helps build financial and administrative capacity of a local non-profit.
Award will allow local non-profit to explore affordable housing options.
Financial Terms: Loan to be repaid upon permanent financing at 0% interest.
Period of Affordability: NA
Mayor’s Youth – Rental Housing Housing Rank #H-5
Request $99,800 Recommended Allocation $99,800
(2 homes – 8 persons served)
Category HOME/CDBG eligible housing
Increases zero entry, wheelchair accessible rental housing supply for low-to-
moderate income persons with disabilities.
Responds to a high-level need identified in CITY STEPS.
History of partnerships with local agencies to work with persons with
disabilities and currently owns and or manages eight accessible housing
units.
Financial Terms: Pending staff review.
Period of Affordability: Pending staff review.
United Action for Youth – Rental
Housing
Housing Rank #H-6
Request $480,000 Recommended Allocation $350,000
(3 homes)
Category HOME/CDBG eligible housing
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Responds to a high-level need identified in CITY STEPS.
Innovative project to provide transitional housing to an at risk population of
older teens and teen parents.
Support services will also be provided through UAY.
UAY has a history of successfully using CDGB funds.
Financial Terms: Pending staff review.
Period of Affordability: Pending staff review.
Successful Living – Rental
Rehabilitation
Housing Rank #H-7
Request $92,500 Recommended Allocation $52,000
(9 unit SRO)
Category CDBG eligible housing
Responds to a high-level need identified in CITY STEPS.
Preserves existing affordable housing for persons leaving institutions and
those with special needs.
Provides much needed remodeling to a 1900’s era home that provides SRO
affordable housing.
Financial Terms: Pending staff review.
Period of Affordability: Pending staff review.
Systems Unlimited – Rental
Rehabilitation
Housing Rank #H-8
Request $70,000 Recommended Allocation $48,000
(4 homes)
Category CDBG eligible housing
Responds to a high-level need identified in CITY STEPS.
Preserves existing affordable housing for persons with disabilities.
Agency is a long time Iowa City provider of services to people with
disabilities, oversees a large budget and maintains a professional staff.
Repair housing for disabled persons that is in need of rehabilitation and
accessibility improvements.
Financial Terms: Pending staff review.
Period of Affordability: Pending staff review.
II. CDBG: Public Facilities Recommended for Funding
Requests totaled: $898,767 Amount allocated: $233,708
Applications received: 10 Applications funded: 8
Financial Terms for all public facility applicants: Conditional Occupancy Loan.
ICCSD – Grant Wood Elementary
– Utility Installation (fiber optics)
Public Facility Rank #PF-1
Request $33,400 Recommended Allocation $33,400
Work to be done in compliance with the
Davis-Bacon Act.
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Category CDBG – Public Facilities
Youth services are a high priority need in CITY STEPS.
This is viable project partnering a local school with a high percentage of low
income students, the ICCSD and Iowa City Parks and Recreation.
Project would allow more computer resources, including educational
programming and support, to be accessed to assist children by increasing
band width.
Neighborhood Centers of Johnson
County – Facility Rehab.
Public Facility Rank #PF-2
Request $65,000 Recommended Allocation $42,250
Work to be done in compliance with the
Davis-Bacon Act.
Category CDBG – Public Facilities
Youth services are a high priority need in CITY STEPS.
Longstanding successful neighborhood center in need of repair.
Increases support for existing youth programs.
DVIP – Facility Rehabilitation Public Facility Rank #PF-3
Request $6,500 Recommended Allocation $6,500
Work to be done in compliance with the
Davis-Bacon Act.
Category CDBG – Public Facilities
Emergency shelter is a high priority in CITY STEPS.
Shelter is heavily used and has a proven record of successfully using CDGB
funds to rehabilitate the facility.
Demand for shelter services.
Mayor’s Youth Empowerment
Program – Facility Rehabilitation
Public Facility Rank #PF-4
Request $148,702 Recommended Allocation $27,365
Work to be done in compliance with the
Davis-Bacon Act.
Category CDBG – Public Facilities
Responds to a high-level need identified in CITY STEPS.
MYEP provides services and programming to children with disabilities on the
first floor of a remodeled building—partially funded by past CDGB funding.
This funding would renovate the upstairs of the building and provide much
needed programming space. The space is currently not usable for client
needs.
Crisis Center – Parking Lot
Improvements
Public Facility Rank #PF-5
Request $170,000 Recommended Allocation $25,000
Work to be done in compliance with the
Davis-Bacon Act.
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Category CDBG – Public Facilities
Increases parking spaces, handicap spaces and a new driveway to assist with
traffic congestion and increase safety of clients, volunteers and staff.
The current parking lot is congested and inadequate. Volunteers and clients
are at risk. This grant would alleviate that problem for a very busy agency
as well as assist with congestion within the neighborhood and nearby
agencies.
Serves at-risk populations and those in crisis.
Arc of Southeast Iowa – Facility
Rehab.
Public Facility Rank #PF-6
Request $210,922 Recommended Allocation $67,400
Work to be done in compliance with the
Davis-Bacon Act.
Category CDBG – Public Facilities
Applicant provides services for children and adults with disabilities.
Installation of sprinkler system and bathroom/kitchen remodel will allow
expanded use of the existing facility.
Sprinkler system will increase safety.
Bathroom remodel will increase accessibility for those with mobility
impairments.
MECCA – Facility Rehabilitation Public Facility Rank #PF-8
Request $16,293 Recommended Allocation $16,293
Work to be done in compliance with the
Davis-Bacon Act.
Category CDBG – Public Facilities
CITY STEPS identifies health services as a high priority need.
Sole state funded provider of substance abuse intervention services in
Johnson County.
Replace old windows to decrease utility costs and improve the physical
environment.
Old Brick Foundation –
Accessibility
Public Facility Rank #PF-9
Request $49,600 Recommended Allocation $15,500
Category CDBG – Public Facilities
Project will replace a 30+ year door with a handicap accessible door. The
site houses the Agape Café, a free weekly breakfast program for the
homeless and at-risk populations.
Building is inaccessible – project will rectify that.
III. CDBG: Public Services Projects Recommended for Funding
Requests totaled: $430,393 Amount allocated: $99,292
Applications received: 17 Applications funded: 8
Financial Terms for all public service applicants: Grant.
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Neighborhood Centers of JC -
Operations
Public Service Rank #PS-1
Request $32,321 Recommended Allocation $15,000
Category CDBG - Public Services
Employment training is a high priority in CITY STEPS.
NCJC has a positive history of completing projects.
Project will partner with local agencies and will not duplicate services but
rather coordinate with existing community resources.
Project will address a growing need by providing comprehensive job training
for chronically unemployed persons.
Crisis Center - Operations Public Service Rank #PS-2
Request $11,092 Recommended Allocation $11,092
Category CDBG - Public Services
Over 90% of those served are very low-income (<30% AMI).
Activities that assist families maintain their housing is a high priority in CITY
STEPS
Project will assist families in a short term, crisis situation to maintain housing
and/or employment.
Coordinator will assist in managing this program as efficiently as possible.
Volunteer time is also integral to this project.
Big Brothers Big Sisters -
Equipment
Public Service Rank #PS-3
Request $11,640 Recommended Allocation $5,200
Compliance may exceed one year – will
end when equipment depreciates to
$5,000 or less.
Category CDBG - Public Services
Youth services are a high priority in CITY STEPS
Project is a one-time expense.
Project receives funding from Johnson County Extension as well as volunteer
time.
Training of Big Brothers Big Sisters mentors would be enhanced with
equipment.
Shelter House – Operations Public Service Rank #PS-4
Request $50,000 Recommended Allocation $15,000
Category CDBG Public Services
Homeless services are a high priority in CITY STEPS.
Helps meet increased operational expenses due to the shelter expansion and
increased demand until revenue streams meet the increased costs.
Agency is capable of raising additional funds.
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Table to Table - Operations Public Service Rank #PS-5
Request $20,000 Recommended Allocation $7,000
Category CDBG Public Services
Provides operation expenses to an agency that provides rescued food to
agencies providing services or shelter for homeless and those at risk of
hunger.
Long time successful non-profit that has not received CDBG funds.
Transports food that would otherwise be discarded to area non-profits at no
cost.
Distributes more than 1 million dollars in food with a modest budget and
much volunteer time.
Funds would meet a budget shortfall due to a one year loss in funding.
Anticipates a one-time request.
Successful Living – Vehicle
Purchase
Public Service Rank #PS-7
Request $6,000 Recommended Allocation $6,000
Compliance may exceed one year – will
end when equipment depreciates to
$5,000 or less.
Category CDBG - Public Services
Van purchase allows the agency to transport clients to various appointments,
services or events without relying on staff’s personal vehicles or through a
transportation service.
Clients need to be transported to therapeutic recreational or community
socialization opportunities. Activity supports mental health services.
Emma Goldman Clinic –
Software/Equipment
Public Service Rank #PS-9
Request $50,000 Recommended Allocation $25,000
Compliance may exceed one year – will
end when equipment depreciates to
$5,000 or less.
Category CDBG - Public Services
Will assist agency move to networked electronic records and assist agency
improve their service and enable health insurance payments.
Medical care and billing is increasingly dependent on electronic records.
Non-profit has long history of successfully providing health care.
Non-profit is committed to raising additional funds to complete this project.
One time request.
Iowa City Free Medical Clinic –
Operations
Public Service Rank #PS-10
Request $47,000 Recommended Allocation $15,000
Category CDBG - Public Services
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90% of those served are very low-income (<30% AMI).
Services provided free of charge.
Leverages high amounts of community and corporate resources.
Free Medical Clinic has successfully administered previous CDBG awards.
Award will assist in managing the care of patients with chronic illness,
specifically diabetes—an increasing need.
IV.Projects Not Recommended for Funding
The Commission notes that the need for housing and community development
funds far exceeds the availability. There were several projects that the
commission would like to fund or provide full funding, but given limited funds
were unable to do so.
Housing:
(H-9) Shelter House – Rental Housing, $275,000
(H-10) Dolphin International LLC – Rental Rehabilitation, $640,000
Public Facilities:
(PF-7) Community Mental Health Center – Accessibility, $170,000
(PF-10) Public Access Television – Facility Rehabilitation, $27,350
Public Services
(PS-5) United Action for Youth – Equipment, $6,900
(PS-8) DVIP – Equipment, $5,600
(PS-11) Compeer Program – Operations, $10,750
(PS-12) Mayor’s Youth Empowerment Program – Vehicle, $40,000
(PS-13) MECCA – Equipment, $6,690
(PS-14) Local Foods Connection – Operations, $16,000
(PS-15) Systems Unlimited – Vehicle, $44,650
(PS-16) Sudanese American Community Center - Operations, $50,000
(PS-17) Progressive Education – Operations, $21,750
V.Applications Withdrawn by Applicant
Iowa City Housing Authority – Tenant Based Rental Assistance, $51,120
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AFFORDABLE HOUSING GOALS
TABLE 3B ANNUAL HOUSING COMPLETION GOALS
ANNUAL AFFORDABLE RENTAL
HOUSING GOALS (SEC. 215)
Annual
Expected
Number
Complete
d
Resources used during the period
CDBG HOME ESG HOPWA
Acquisition of existing units 3
Production of new units 16
Rehabilitation of existing units 13
Rental Assistance
Total Sec. 215 Rental Goals 32
ANNUAL AFFORDABLE OWNER
HOUSING GOALS (SEC. 215)
Acquisition of existing units
Production of new units 4
Rehabilitation of existing units 35
Homebuyer Assistance
Total Sec. 215 Owner Goals 39
ANNUAL AFFORDABLE HOUSING
GOALS (SEC. 215)
Homeless 3
Non-Homeless 31
Special Needs 36
Total Sec. 215 Affordable
Housing
71
ANNUAL HOUSING GOALS
Annual Rental Housing Goal 32
Annual Owner Housing Goal 39
Total Annual Housing Goal 71
For the purpose of identification of annual goals, an assisted household is one that will receive
benefits through the investment of Federal funds, either alone or in conjunction with the
investment of other public or private funds.
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PUBLIC HOUSING
Public Housing Activities
The Iowa City Housing Authority is a division of the City of Iowa City established in 1969 to administer housing
assistance programs throughout its jurisdiction, including all of Johnson County and portions of Iowa and
Washington Counties. In calendar year 2009, the Housing Authority received $6 million for the Section 8 Housing
Choice Voucher Program. Of the total number of vouchers available to the Housing Authority, approximately
60% are utilized in Iowa City. The Self-Sufficiency/Homeownership program received a $119,332 grant.
The City of Iowa City owns and operates a public housing program. Public housing was established to provide
affordable, decent and safe rental housing for eligible low-income families, the elderly and persons with
disabilities. HUD distributes federal subsidies to the Iowa City Housing Authority (ICHA) to operate and manage
the properties. The City of Iowa City owns 81 units of public housing, while the ICHA serves as the landlord for the
units. In CY09, the Housing Authority paid approximately $315,530 to private sector contractors for the capital
improvement, general maintenance and repair of the Public Housing properties. Under HUD’s Public Housing
Assessment System, the Iowa City Housing Authority qualifies as a High Performer, thus enabling them to receive
bonus capital funds. The Housing Choice Voucher program also qualifies as a “High Performer” under HUD’s
Section Eight Management Assessment Program (SEMAP).
The ICHA offers several programs to public housing residents to encourage and promote access to
homeownership. Programs include the Affordable Dream Home Ownership Program (ADHOP), HCV
Homeownership Program and the Family Self Sufficiency Program.
The Affordable Dream Home Ownership Program is operated, managed and funded solely by the ICHA. It offers
opportunities for income eligible families to purchase newly constructed or newer homes. The families may
currently be assisted through the Public Housing or Section 8 Rental Assistance programs. .
The HCV Homeownership program permits eligible participants, the option of purchasing a home with HCV
assistance rather than renting. Public Housing tenants are eligible for a Special Admission to the HCV
Homeownership program if they have lived in a Public Housing unit longer than 1 year and their total tenant
payment (TTP) is higher than $499.
The Family Self-Sufficiency (FSS) Program promotes self-sufficiency and asset development by providing
supportive services to participants to increase their employability, to increase the number of employed
participants, and to encourage increased savings through an escrow savings program.
Addressing “troubled” designation
The Iowa City Housing Authority is not designated as a troubled agency by HUD.
HOMELESS AND SPECIAL NEEDS ACTIVITIES
In light of the limited amount of CDBG and HOME funds available to the City of Iowa City, not all of the area’s
homeless needs can be addressed using federal monies. The city does not receive Emergency Shelter Grant (ESG)
or HOPWA entitlement funds to assist with homeless needs, and it relies on a variety of community agencies to
provide basic needs assistance and other support for the local homeless population.
During FY12, CDBG and HOME funding for Iowa City will support programs to provide decent and safe living
environments for homeless and those at risk of becoming homeless. The City will fund necessary rehabilitation to
the Domestic Violence Intervention Program’s shelter for victims of domestic abuse as well as operational funds
to support Shelter House, a 70 bed general use shelter. CDBG funds will support Successful Living (provider of
transitional housing for persons with chronic mental illness) rehabilitate their 9 unit Single Room Occupancy
(SRO) property and Systems Unlimited will make necessary accessibility improvements and repairs to their
housing units serving persons with mobility impairments. HOME funds will be used to acquire a three unit
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apartment property by United Action for Youth to provide transitional housing for homeless teens or teen
parents. Mayor’s Youth Empowerment program will acquire land to construct two-four unit SRO properties for
persons with disabilities.
FY12 CDBG funds will also be directed to employment training through Neighborhood Centers of Johnson
County, in partnership with Goodwill and Kirkwood Community College, to chronically unemployed persons with
few job skills. Crisis Center will utilize CDBG funds to enhance their Emergency Assistance Program that provides
mortgage, rent, utility or employment needs for persons to maintain their housing or employment (assistance of
up to $100 no more than three times in one year).
The city maintains support for the Johnson County Local Homeless Coordinating Board, the region’s Continuum
of Care (CoC) organization. Several of the nonprofit social and human service agencies that provide services to
the homeless and those at risk of becoming homeless receive public and private funds that are used to operate
emergency shelters, transitional housing facilities and permanent supportive housing facilities throughout the
area. These funds are also used to provide supportive services such as case management, counseling, job training
and life skills classes.
The Continuum of Care (CoC) addresses the housing and supportive services needs in each stage of the
Continuum of Care process to help homeless persons make the transition to permanent housing and independent
living. The city will continue to support the CoC strategy to meet the needs of homeless persons and those at risk
of becoming homeless. Additionally, the city has identified strategies designed to address the needs of homeless
persons:
Advocate human services coordination.
Pursue a single application for service system entry.
Pursue the formation of a local computerized system that connect clients with services, serves as a
database, and provides inter-agency referrals.
Support continued funding of Johnson County Council of Governments (JCCOG) Human Services
Coordinator.
Support the Local Homeless Coordinating Board (LHCB).
Increase understanding of issues surrounding Johnson County homelessness.
Conduct a study of rural homelessness coordinated with JCCOG to determine the level of unmet
need, formulate outreach efforts and support requests for additional funding.
Conduct a survey to determine community attitudes surrounding affordable housing and homeless
organizations and participants.
Expand/Rehabilitate Emergency Shelter.
Improve and maintain existing shelter facilities.
Support expansion or addition of facilities to meet increased demand.
Expand staff within existing system to provide improved service.
Support plans for improving day shelter opportunities.
Expand available services such as social/case worker availability, facilities, childcare opportunities,
improved public and private transportation access, showers.
Supported Training and Access to Resources (STAR) program continuation.
Improve transitional housing programs for families.
Continue to develop scattered site, transitional housing programs requiring participation in
supportive services.
Provide transitional housing for single individuals.
Continue to develop Single Room Occupancy (SRO) type housing for persons living alone with
access to supportive services.
Continue support of transitional housing for unaccompanied youth.
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Provide special needs transitional housing.
Continue to support the development of transitional housing for persons with mental illness.
Provide services to support special needs populations in non-facility based care environments (i.e.
Compeer, Buddy System, Coaches).
The City of Iowa City’s Consolidated Plan identifies emergency shelter and supportive services for homeless or
near-homeless persons as high priorities. As the needs of these groups are vast and numerous, Iowa City has
allocated the maximum amount of CDBG funding possible to public services to assist human service
organizations. To the extent possible, the City provides support to the system of facilities and service providers
described in the homeless inventory above.
The Iowa City Housing Authority locally administers efforts that assist in homelessness prevention, including the
Section 8 voucher program and administration of 81 units of public housing for residents who are low income,
very low income and extremely low income. The Authority also administers a Tenant-Based Rental Assistance
program using HOME funds.
Assistance with rent and utility deposits is available for eligible households through Shelter House, Successful
Living, Inc. and the Hawkeye Area Community Action Program (HACAP). In addition, some private entities
provide small amounts of emergency assistance to those in need. However, access to such programs is extremely
limited and often for one-time assistance only.
The city’s strategy to serve the needs of persons threatened with homelessness is as follows.
Assist low-income households in maintaining and retaining their existing housing.
Establish/Improve emergency rent, mortgage and utility assistance.
Expand in-home support systems such as: living skills training; check in/on service; "buddy system"
supports/mentor program.
Increase accessibility to physical/mental health care.
Facilitate the development of countywide housing rehab programs.
BARRIERS TO AFFORDABLE HOUSING
The following public policy barriers were identified in the city’s 2008 Affordable Housing Study:
Zoning
There is an absence of developable land zoned for multi-family housing and available for purchase in Iowa City.
Undeveloped land that is already zoned for multi-family housing is largely controlled by developers that bring the
land to market on a gradual basis. Consequently, if a non-profit developer wishes to build multi-family units, he
must apply for a rezoning and endure the public hearing process, where NIMBYism (Not in My Back Yard) can
defeat the project.
Other
State and federal funding resources have continuously declined over the past several years with fewer resources
made available to finance affordable housing projects.
The following recommendations were identified in the 2008 Affordable Housing Study:
Change Public Perception
There is a perception amongst some that higher density, multi-family housing proposals consisting of affordable
housing opportunities are not appropriate for single family neighborhoods. While this rationale may be justified
in some instances, multi-family housing fronting along major thoroughfares, located at street intersections, and
in transition areas between residential and non-residential uses are appropriate. And, contrary to public belief,
well-designed and well-managed affordable housing developments do not decrease surrounding property values.
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Public Policy Recommendations
Increase the amount of land zoned for multi-family housing. Most, if not all, of the land currently
zoned for multi-family housing in Iowa City is either developed or not on the market. Affordable housing
developers are unable to make projects work financially on the few parcels that may be available because
(1) the land is too expensive, or (2) it is not zoned to an adequate density. Proactive, selective rezoning of
land within Iowa City by elected officials to expand the location of zoning districts that permit multi-
family housing by right will eliminate the opportunity for NIMBYists to object to development proposals
on a case-by-case basis.
Zone concurrently with all annexation actions. Iowa City should continue to enforce its policy of
zoning land upon annexation into the city, and Coralville, North Liberty and Tiffin should be encouraged
to do the same. Multi-family housing should be given a high priority during these procedures.
Adopt a mandatory inclusionary zoning ordinance. The Iowa City area is fortunate to have several
highly motivated non-profit and for-profit affordable housing developers. While these organizations are
highly capable, they lack the resources required to put a major dent in the region’s unmet affordable
housing need. Clearly, additional mechanisms are needed to expand the production of affordable
housing. One way of expanding production is to capitalize on the region’s dynamic real estate market by
using market-rate development to create the supply of affordable housing. Inclusionary zoning is a
“carrot and stick” approach to expanding affordable housing.
Identify potential redevelopment areas. Chapter 403 of Title IX of the Code of Iowa allows a city to
establish urban renewal areas to assist in the removal and redevelopment of blighted and substandard
properties. Cities can also undertake urban renewal activities that promote new economic, commercial,
and housing developments. These initiatives typically include the acquisition and demolition of
structures, utility and infrastructure installation, new infill housing, rehabilitation or conservation of
properties, and other development assistance utilizing tax increment financing (TIF). Obtaining the
designation of a Neighborhood Revitalization Strategy Area (NRSA) from HUD may be appropriate also.
The redevelopment of residential areas near employment centers and public transportation access can
help families decrease housing and transportation costs and their commuting time to work. Increasing
higher density housing in these areas can increase public transit ridership as well.
Preserve existing affordable housing units. Work with local non-profits that own and operate privately
subsidized housing that is at risk for conversion to market rate units. The potential for market rate
apartments occurs when HUD rental assistance contracts lapse. In a dynamic rental real estate market
such as Iowa City, owners of older rental developments may be anxious to reap the rewards of higher
rents. In many cases, these older affordable housing units are in need of rehabilitation. Iowa City and
other local units of government should establish a preservation dialogue with the owners of these older
properties in an effort to rehabilitate the units and maintain affordable rents. In many cases, these
projects may require an infusion of housing tax credits and HOME financial assistance.
Preserve existing manufactured home communities. Another affordable housing resource in Iowa City
that is worthy of preservation is the existing supply of mobile home parks. As a matter of public policy,
Iowa City has historically placed emphasis on the rehabilitation of existing mobile homes. The City
requested and received special permission from HUD to rehabilitate mobile home units with CDBG and
HOME funds. A strategy is needed to protect this public investment in mobile homes and mobile home
parks.
Encourage the development of new housing tax credit projects. New production is needed to expand
the supply of affordable housing. Local units of government should play a proactive role in identifying
sites for new affordable housing, including surplus property that is municipally-owned. Development
teams would then be encouraged to prepare and submit proposals. Local government should be
55
prepared to work with the development team to define an appropriate blend of expectations and
incentives that will result in a high quality project.
Treat non-profit organizations that specialize in affordable housing as a special class of developer.
Non-profit housing developers cannot compete on a level playing field with for-profit developers in the
absence of incentives. Non-profits typically do not have ready access to capital and are dependent upon
highly competitive public resources to finance their affordable housing projects. Incentives provided by a
municipality can foster a higher level of commitment from and a stronger desire to produce more
affordable housing units by local non-profits.
Streamline the permitting process for projects involving affordable housing.
Participate in the cost of financing infrastructure improvements for projects involving affordable
housing.
Waive local fees for non-profit organizations that develop affordable housing.
FY12 Actions
The city is actively involved in presenting to organizations in the region to educate persons about what is
affordable housing and who needs it. Presentations will continue during FY12. The city will also support the
Local Homeless Coordinating Board’s efforts to develop a campaign to educate the community on affordable
housing and put a face on who needs affordable housing.
The city will continue to review housing to be constructed with City or CDBG/HOME assistance to ensure it meets
the city’s Affordable Housing Design Guidelines. Quality design and neighborhood compatibility will assist with
neighborhood and community acceptance of affordable housing.
The city will support The Housing Fellowship’s application for Low Income Housing Tax Credits to construct eight
affordable rental homes in Iowa City. The city will support the rehabilitation of existing rental units in low income
neighborhoods and work with private property owners to preserve affordable housing throughout neighborhoods
in Iowa City.
The City will also work with the Human Rights Coordinator to provide Fair Housing updates to educate our local
commissions and boards.
OTHER ACTIONS
Address obstacles to meeting underserved needs, foster and maintain affordable housing
Evaluate and Reduce Lead Based Paint Hazards
Historically, very few children in Iowa City have been found to have elevated blood lead levels. The Iowa
Department of Public Health estimates there were 147 children with elevated blood lead levels in Johnson County
in 2009. When requested by parents or others, testing can be done by the Johnson County Health Department or
private hospitals and clinics. Iowa City's current primary initiative is public education on the potential hazards of
lead based paint. The City Department of Housing and Inspection Services distributes pamphlets and brochures
concerning lead based paint hazards to landlords when rental inspections are conducted. ICHA will continue to
ensure that all its public housing and Housing Choice Voucher rental units are lead safe.
The Housing Rehabilitation Office will continue to implement all aspects of the lead-based paint regulations. In its
efforts to evaluate and reduce lead-based paint hazards in all of its CDBG and HOME funded rehabilitation
projects, they provide information and outreach on the dangers of lead -based paint, as well as, guidance in the
identification and reduction of lead-based paint hazards to all program participants. Blood level tests may be paid
through the Housing Rehabilitation program for targeted populations such as children under 7 when needed.
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Two rehabilitation staff members are certified lead inspector/risk assessors and conduct visual risk assessments
and clearance tests on all applicable projects. Because the City does not own an XRF device, XRF testing is done
by a third party. All rehabilitation staff continued to receive lead education and training that they pass on to all
contractors, sub-contractors and others affiliated or working with the rehabilitation program. The staff continued
to place an emphasis on training new contractors in lead safe work practices, and forwarded these workers and
companies to a third party entity for training. Because of City-sponsored training in the past, the Rehabilitation
Program has access to 100+ workers representing a multitude of different companies that provide all of the
necessary contractor services (i.e. electrical, plumbing, painting, roofing, general contracting, cleaning
companies, etc.) which enable all rehabilitation projects to be completed in a safe and responsible manner. In
addition, the City now provides forgivable loans for portions of the lead costs on CDBG and HOME funded
projects.
Institutional Structure & Enhanced Coordination
Form of Government - The City of Iowa City is organized under the Council-Manager form of government. Iowa
City citizens elect seven Iowa City residents to the City Council for overlapping four-year terms. Four of the
Council Members, known as the Council Members At-large, are nominated and elected by the eligible electors of
the City at large. The other three are known as District Council Members and are nominated by the eligible
electors of their respective districts and elected by the qualified voters of the City at large. The Council, in turn,
selects one of its members to serve as mayor for a two-year term. The Mayor presides at the City Council
meetings and has one vote on the Council - the same as the other six members.
Departments of the City - The City of Iowa City principally administers its housing and community development
programs through the Planning and Community Development Department, Community Development Division
and the Iowa City Housing Authority. The Community Development Division coordinates all Consolidated
Planning initiatives of the City, including plan preparation with citizen and community participation and directly
manages all housing and non-housing activities funded with either CDBG or HOME funds.
The City Council is authorized to administer housing vouchers awarded by the U.S. Department of Housing and
Urban Development from the Section 8 Housing Choice Voucher (HCV) Program. The Iowa City Housing
Authority provides staff services to administer this assistance. In addition to the HCV Program, the Housing
Authority also administers a public housing program and homeownership assistance programs.
Citizen participation is integral to the ongoing management and oversight of the housing and community
development programs the City provides. The Council appoints a nine member citizen commission to assess Iowa
City’s community development needs for housing, jobs and services for low-to-moderate income residents and to
promote public and private efforts to meet such needs. The Housing and Community Development Commission’s
by-laws, when possible, requires representation from persons with expertise in construction and finance and one
member that receives rental assistance.
With respect to the consolidated plan’s homeless strategy, the City undertakes extensive consultation as part of its
consolidated planning effort; particularly in association with the Johnson County Local Homeless Coordinating
Board (LHCB) Continuum of Care’s planning process. The LHCB represents over 25 agencies in Iowa City
providing services to the homeless and low-income persons in Johnson County. The City works closely with the
LHCB to increase coordination between housing providers, health, and service agencies in addressing the needs of
persons that are chronically homeless.
Reduce the Number of Poverty-Level families
The City, Housing Authority, and the Johnson County Local Homeless Coordinating Board, work together to
address homeless and poverty issues. In addition to the activities outlined in the Annual Action Plan, the Housing
Authority provides supportive services and coordination with the agencies making up the Local Homeless
Coordinating Board to support families and individuals achieve their highest level of self-sufficiency.
With respect to economic development, the City has had a long-term partnership with the Iowa City Area
Development Group (ICAD) and the Iowa City Area Chamber of Commerce. ICAD is a private non-profit
organization whose mission is to position the region as a quality place to work. ICAD works as a confidential
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advocate for expanding businesses and new industries. ICAD helps businesses pursue state and local financial
assistance and serves as a liaison between the City of Iowa City Economic Development Division, the Iowa
Department of Economic Development, the University of Iowa and other entities. The Chamber of Commerce
works to enhance the business climate in Johnson County and provides educational programs on customer service,
human resources, and other issues relevant to small businesses.
Starting in FY03, the City of Iowa City set aside CDBG funds to provide gap financing or start-up capital to micro-
enterprises or small business creating jobs for low-moderate income persons. These funds are available
throughout the year, instead of a once a year funding cycle to allow greater flexibility and attract a greater
number of applicants. Since the Economic Development Fund started in July 2002, it has been successful in
attracting 40 eligible applicants. To date, the City Council has funded 20 economic development projects for
$786,806. As of May 2011, the Economic Development fund has $147,328 available to assist small businesses with
start-up or working capital expenses.
Minority Outreach
Community Development staff require that each CDBG and HOME recipient attend a City sponsored workshop
just prior to the beginning of each year to go over the CDBG and HOME regulations and reporting requirements.
At that workshop minority outreach is explained. In addition, staff sits down with the applicant after the
agreement has been signed, but prior to the letting of bids or the signing of contracts between the applicant and a
contractor, to go over each applicable regulation requirement. Staff provides a list of the minority plan rooms
and also a list of the targeted small businesses in the area.
Other actions planned during the year to address obstacles to meeting underserved needs.
The City created a citizen advisory group, the Housing and Community Development Commission (HCDC), in
1995, to assess Iowa City’s community development needs for housing, jobs and services for low and moderate
income residents, and to promote public and private efforts to meet such needs. HCDC leads the CDBG/HOME
allocation process to determine what projects will be awarded funds based on priorities established in CITY
STEPS, Iowa City’s Consolidated Plan for Housing, Jobs and Services for Low-Income Residents.
Each year the City and HCDC reviews applications on a competitive basis. The fact that a program or agency was
funded in a prior year does not ensure funding in subsequent years. The lack of adequate financial resources, in
relation to need, is the greatest obstacle facing the community. Housing and non-housing needs and services
simply exceed available resources. If additional funding were available, existing services could be expanded to
meet the needs of the community.
Due to limited funding and the prospect of reduced funding in subsequent years, the following considerations will
be made when determining to fund a project:
1)The project must be an identified CITY STEPS priority. Applicant must document the ability of the
project to address the specific need.
2)The project budget is justified and leverages other financial resources, including human resources.
Applicant must document efforts to obtain outside funding as well.
3)The project has a measurable impact in the community. The project primarily targets low-income
persons, utilizes community partnerships, and provides adequate benefits in relation to costs.
4)The applicant can maintain regulatory compliance. Applicant must demonstrate it has strong financial
skills, administrative capacity to complete a federal grant, and the ability to complete the project within
the required time period.
Iowa City has a long history of successfully implementing HUD funded programs. Serving the needs of the city’s
various special needs population drives the city’s consolidated planning efforts. Addressing the needs of the
homeless and special needs populations are high priorities for use of resources within Iowa City.
Fragmentation and duplication of services in Iowa City is a minor obstacle due to the communication and
coordination of existing service providers. Service providers are members of the Johnson County Local Homeless
Coordinating Board and participate in the local Continuum of Care planning.
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HOME PROGRAM SPECIFIC REQUIREMENTS
Recapture/Resale Provisions
Iowa City has elected to adopt the following recapture or resale provisions when HOME funds are used to create
affordable housing. Recapture guidelines are used for any homebuyer activity where the client receives direct
financial assistance, and resale is used when the homeowner does not receive direct financial assistance.
Recapture Provision
A recapture provision of the HOME regulations pursuant to CFR Part 24 92.254 (a)(5)(ii) will be used when HOME
funded assistance is provided to reduce the house selling price from appraised value to one of affordability
(affordability subsidy) for people at income levels of 80% or less of Iowa City’s median income. This will include
an affordability period based on the amount of HOME funds used for that purpose as indicated in the following
table. If downpayment assistance will be provided, that amount will be added to the total amount to determine
the affordability period.
> $15,000 5 years
$15,000-$40,000 10 years
> $40,000 15 years
Upon the sale of the home, the net proceeds (sale price, minus loan repayments and closing costs) shall be
distributed proportionately between the City, up to the Principal Amount, and the Buyer.
Example: How the money from the sale of the house will be distributed among the City, Recipient, and the Buyer.
The house is being sold for $150,000. The City is paid $33,210. The Buyer receives $39,790 from the sale of the
home. Recipient or the private lender will get $75,000. (The remaining $2,000 is "closing costs," such as abstract
update, attorney fees, and recording costs). When the City receives $33,210, the City will consider the promissory
note fully paid and will release the mortgage. The Buyer will not have to pay the City the difference between the
principal amount of $36,667 and $33,210.
Appraised Value of
the Property at Acquisition:
$136,667
HOME Investment
(Principal Amount):
$36,667
($36,667/$136,667) = 27%
Buyer Investment
(First Mortgage with Recipient
/private lender)
$100,000
($100,000/$136,667) = 73%
Sales Price (Upon Resale): $150,000
Buyer Loan Repayments $25,000
Closing Costs $2,000
NET PROCEEDS: $123,000
HOME Loan Repayment to City: $33,210 ($123,000 x 27% = $33,210)
Buyer Allocation: $89,790 ($123,000 x 73% = 89,790)
Buyer Payment to repay
Recipient/private lender first
mortgage:
$75,000
($100,00-$25,000 = $75,000)
Buyer Proceeds: $39,790 ($150,000-$75,000-$2,000 -$33,210
= $39,790)
Resale Provision
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A resale provision deed restriction will be used with an affordability period based on the amount of HOME funds
provided per the following table when HOME funds are used for a construction subsidy.
> $15,000 5 years
$15,000-$40,000 10 years
> $40,000 15 years
The affordability period shall begin with the original HOME assisted owner’s closing date. If the home does not
continue to be the principal residence of the buyer during the duration of the period of affordability, then the
housing will be sold only to a buyer whose family’s income does not exceed 80% of Iowa City’s area median
income as determined annually by HUD. The buyer shall use the home as their principal residence.
The purchase price must meet affordability requirements, defined in 24 C.F.R. 92.254 (a)(2)(iii), that the sale price
must not exceed the Single Family Mortgage Limit under Section 203(b) of the National Housing Act as
established by the HUD Field Office.
The original HOME-assisted owner is entitled to a sales price that reflects the homeowner recouping
homeowner’s own initial monetary contribution to buy the house and fair return on any capital improvements
made to the property during their ownership. The City will determine whether the sale price meets said
requirements and must approve the price before Buyers accept a purchase offer.
HOME regulations allow revocation of HOME’s affordability restrictions if an ownership interest is terminated
prematurely by foreclosure, transfer in lieu of foreclosure, or assignment of an FHA-insured mortgage to HUD.
A recipient may propose a different resale or recapture provision for a proposed project, however the City of Iowa
City must submit the proposed provision to HUD (either in the Annual Action Plan or later in the year) for review
and approval before a recipient enters an agreement with the City for the proposed project.
Under the HOME program, certain requirements must be placed on properties by means of deed restrictions or a
recorded note and mortgage. In FY2012, Iowa Valley Habitat for Humanity will provide direct homeownership
assistance to four households. In regard to this activity, the city has chosen to enforce the HOME period of
affordability via the recapture method. The recapture policy will be in effect for a time frame equal to the period
of affordability as described by HOME program regulations at 24 CFR 92.254(a)(5): a minimum of five years for
homebuyers receiving $15,000 or less in HOME funds; a minimum of 10 years for homebuyers receiving $15,001 -
$40,000 in HOME funds; and a minimum of 15 years for homebuyers receiving more than $40,000 in HOME funds.
Upon the sale by owner of these properties, or when the properties are no longer the primary residence for the
assisted households, homebuyers will be required to repay 100% of the HOME subsidy (Principal Amount) from
net proceeds at 0% interest. The homebuyer may resell the property on the open market to any willing buyer at
whatever price the market will bear. The city will require an appraisal to ensure market value of the property.
Justification of use of HOME funds for TBRA
The City did not allocate additional TBRA funds to the ICHA in FY12; however the Housing Authority will be
utilizing HOME funds from prior years in FY12 until the funding is depleted. There are three primary reasons for
using HOME funds for tenant-based rental assistance in Iowa City. These include:
High demand for affordable rental housing for non-student households. Much, if not most, of the rental
housing stock located within the downtown area and within close proximity to the University of Iowa is
marketed to student households. As a result, rental rates are based on a per-bedroom lease. For
example, a three-bedroom apartment targeted toward students might rent for $450/month per bedroom
resulting in a total apartment rent of $1,350/month. This rent is out of reach for a lower income family of
four searching for a three-bedroom unit. In order to make the local rental market more affordable to
lower income non-student households, the city uses HOME funds to subsidize the cost of monthly rent
for eligible renters.
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The waiting list for Section 8 Housing Choice Vouchers includes over 2,300 applicant households with an
average waiting time of 12-14 months. The use of HOME funds to supplement the Section 8 rental
assistance program enables to city to make more rental units affordable to lower-income households.
Federal funding for the federal Section 8 Housing Choice Voucher program has been severely decreased in
the recent past with no indication of increased budget authority in the near future. Consequently, the City
has capitalized on the use of HOME funds for tenant-based rental assistance to complement other on-
going affordable housing initiatives in Iowa City.
Affirmatively Furthering Fair Housing
The City of Iowa City prepared an Analysis of Impediments to Fair Housing Choice in 2008. The following
impediments were identified, along with recommendations to eliminate the impediments:
A. Lack of substantial equivalency between the federal Fair Housing Act and the Iowa City Human Rights
Ordinance
Impediment: The city could be the recipient of additional federal funds in its mission to eliminate housing
discrimination in Iowa City.
Recommendation: Revisit the potential for achieving substantial equivalency between the federal Fair Housing
Act and the Iowa City Human Rights Ordinance.
Communities that adopt fair housing legislation that is substantially equivalent to the Federal Fair Housing Act are
eligible to receive financial assistance from HUD to administer local fair housing laws. Any City that receives a
certification or interim certification of substantial equivalence and enters into a memorandum of understanding
(MOU) with HUD is eligible to participate in HUD’s Fair Housing Assistance Program (FHAP). During the City’s
first three years of participation in the FHAP, it would be eligible to receive up to $100,000 per year (up to
$300,000 over three years) in capacity building funds. Capacity building funds may be used for enforcement
activities and other activities that produce increased awareness of fair housing rights and remedies. The City is
already fulfilling the requirements of 24 CFR Part 115.202 relative to administration of its Human Rights
Ordinance. It seems only logical for the City to pursue federal financial support of its on-going fair housing
activities. While the process of becoming certified may require time and energy, the reward is significant. The
fact that Iowa City’s ordinance is more stringent than the Federal statute in terms of the number and types
protected classes does not preclude substantial equivalency.
2011 Update: The Iowa City Human Rights Commission revisited the potential for achieving substantial
equivalency between the Iowa City Human Rights Ordinance and the federal Fair Housing Act. Even though
communities that achieve substantial equivalency are eligible to receive funds for capacity building (e.g., funds to
be used for increased awareness), such certification would require the Commission to provide in the ordinance for
the prevailing party to collect attorney fees. In addition, the Ordinance would also have to state that the
Commission would provide the complainant with an attorney at no cost to the complainant if the complainant
chooses to pursue their claim in court. Both of these requirements obligate the Commission (i.e., the City) to pay
for such costs. The costs have the potential to be very high and would be financially difficult in the current
recession. Therefore, because the city has always processed and investigated housing complaints without federal
funds, it will continue to do so and reevaluate becoming substantially equivalent at another time.
B. Fair housing education and training to members of appointed boards and commissions
Impediment: Appointees to public boards and commissions may not have a working knowledge of fair housing
laws when making decisions on housing issues.
Recommendation: Provide fair housing education and training to members of the City’s appointed boards and
commissions that oversee housing matters.
A community's sensitivity to housing issues is often determined by people in positions of public leadership. The
perception of housing needs and the intensity of a community's commitment to housing related goals and
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objectives are often measured by board members, directorships and the extent to which these individuals relate
within an organized framework of agencies, groups, and individuals involved in housing matters. The expansion
of housing choice requires a team effort and public leadership and commitment is a prerequisite to strategic
action.
Engage the services of the Iowa City Human Rights Commission to provide annual training to the Housing and
Community Development Commission, the Planning and Zoning Commission and the Board of Adjustment, in
particular. The issues that come before these boards can have long-lasting impact on the quality of life in Iowa
City. Their decisions should be as informed as possible in the area of fair housing law to avoid creating or
perpetuating impediments to fair housing choice for City residents.
2011 Update: The staff of the Human Rights Commission has conducted training on fair housing and illegal
discrimination to the Housing and Community Development Commission and the Planning and Zoning Commission
within the last year.
C.Commitment to affordable housing activities
Impediment: The recent housing boom in Iowa City has made it more profitable for developers to construct
higher-end market rate housing. As a result, fewer affordable housing units are being developed by the private
market.
Recommendation: Continue the commitment by the City and the Community Development Office to affordable
housing activities (rehabilitation, home ownership, new construction). These activities provide a valuable
opportunity to improve housing choice for members of the protected classes who are most often low-moderate
income households.
2011 Update: The city continues its commitment to creating and preserving affordable housing opportunities for
lower income individuals and households through CDBG- and HOME-funded activities.
Affirmative Marketing for Housing Containing 5 or More HOME-Assisted Units
As required by HUD, the City of Iowa City and its subrecipients (public and private) follow affirmative marketing
rules. The City’s Affirmative Marketing Plan is below. Both public and private recipients of HOME funds are also
required to follow the affirmative marketing requirements in 24 CFR 92.351. City staff reviews these efforts
during annual monitoring visits.
AFFIRMATIVE MARKETING PLAN
CITY OF IOWA CITY, IOWA
1. Purpose
This Affirmative Marketing Plan is designed to conform to the requirements of the U.S. Department of
Housing and Urban Development (HUD) published at 24 CFR 570 (Community Development Block Grant
– CDBG) and 24 CFR 92 (HOME Investment Partnerships – HOME). The plan sets forth the City of Iowa
City’s procedures and requirements for affirmatively marketing housing units assisted with federal funds.
2. General Policy
It is the City’s policy to make available housing options to eligible persons from all socio-economic, racial,
ethnic and gender groups in the Iowa City housing market area and affirmatively market housing that is
assisted through programs administered by the City. To this end, the City will make efforts to
affirmatively market housing units to assure that individuals who normally might not apply because of
age, race, color, religion, creed, national origin, gender identity, sex, marital status, disability, sexual
orientation, the presence or absence of dependents, familial status or public assistance source of income
for housing:
Know about rental vacancies and opportunities to purchase homes.
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Feel welcome to apply or funds or receive housing assistance.
Have the opportunity to live in units assisted with public funds.
The City will work with subrecipients to ensure that housing units assisted with federal funds are made
available to persons on an equal basis.
3. Outreach to the Public, Owners and Potential Tenants – City Procedures
a. Media. The City will utilize local media to advertise (1) the availability of assistance and (2) the
availability of vacant housing units. Press releases will contain the Equal Housing Opportunity
slogan and a statement of affirmative marketing policy. Display ads, posters and other published
materials will contain the Equal Housing Opportunity logo and slogan.
The following media will be used for display advertising:
Iowa City Press-Citizen and/or Iowa City Gazette- newspapers
Local government access channel- cable TV
Press releases from the City are received by all area print and electronic media and may also be
found on the City’s website.
b. Other Means. The City will utilize other appropriate methods to inform the public. This may include
personal and written contact with organizations, such as those listed below, encouraging them to
make information on the vacant units available to all persons on an equal basis.
Business organizations- Iowa City Board of Realtors, Iowa City Apartment Owners and
Managers Association and local lending institutions.
University organizations- Housing Clearinghouse, Iowa Memorial Union and the Housing
Assignment Office, Burge Hall.
Other Organizations- Crisis Center, Greater Iowa City Housing Fellowship, LIFE Skills,
HACAP, and the Iowa City Housing Authority
The Iowa City Housing Authority will be of particular value in that it serves as the local Public Housing
Authority, receives referrals through a network of local human service agencies and maintains a current
waiting list of Section 8 eligible rentals.
Meetings of the Housing and Community Development Commission are open to the public and will serve
as another forum for announcing the availability of federal assistance and discussing the City’s
affirmative marketing policy for the program. Other public meetings, as needed, will be scheduled to
explain the City’s HUD funded programs to local organizations, property owners and tenants and discuss
the affirmative marketing policy and requirements of local and federal fair housing laws.
The staff of the Iowa City Human Rights Commission may be called upon to assist in explaining fair
housing laws and to review potential housing discrimination practices. In addition, the Iowa City Human
Rights office has added a full-time investigator who works with discrimination complaints.
4. Requirements and Procedures for Subrecipients
Property owners who participate in the CDBG and/or HOME programs will be required to comply with
the following affirmative marketing practices:
a. Include the Equal Housing Opportunity logo and slogan or statement in all advertisements
for vacant units in local media and printed material.
b. If a rental office is utilized or operated by the owner, whether on or off premises, display fair
housing posters in a conspicuous place.
c. Use the Iowa City Housing Authority’s waiting list of Section 8 eligible tenants as a source of
referrals for the rent-up of assisted units.
d. Provide written assurance to the City that units will be made available to prospective
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tenants on a non-discriminatory basis.
e. Maintain records of all efforts to affirmatively market vacant units. For example, copies of
newspaper ads and documentation of the owners’ contacts with the local business,
University and community service organizations and other efforts to publicize the
availability of the vacant units.
All HOME agreements shall contain language as required by 24 CFR 92.351.
5. Special Outreach Efforts
If, during the course of administering the CDBG and HOME programs, it is determined that special
outreach efforts are needed to attract persons of particular racial, ethnic or gender groups to vacant
units, the City may:
Conduct outreach and contact service organizations, churches and University clubs.
Notify the business, University and community service organizations listed in Section 3b
above of the special outreach needed.
Assist owners to locate prospective tenants by making referrals from the Iowa City Housing
Authority’s waiting list and target advertising as needed to expand the list.
The City can require that subrecipients begin their special outreach efforts immediately upon learning
that a vacancy will occur. Owners typically request a 30-day notice from current tenants planning to
terminate their tenancy so that the outreach efforts can begin before advertising to the general public.
6. Record-keeping Requirements
All records pertaining to affirmative marketing efforts of the City will be maintained by the City in
accordance with HUD Regulations. The City will ensure the subrecipients also maintain records to
document their affirmative marketing efforts.
The City will maintain records of the following:
Press releases and newspaper ads.
Copies of notices and documentation of contacts with the business, University and community
service organizations.
Documentation of monitoring visits with subrecipients.
7. Assessment of Affirmative Marketing Efforts
The City will conduct an annual assessment of the effectiveness of its affirmative marketing efforts for
the inclusion in the Consolidated Annual Performance and Evaluation Report to HUD. At a minimum, the
assessment will include:
a. A summary of good faith efforts by the City and participating subrecipients to affirmatively
market units.
To determine if good faith efforts have been made, the City will compare information
contained on the records to be kept with actions that were taken to carry out affirmative
marketing. (See Affirmative Marketing Reporting form).
b. The results of the affirmative marketing efforts may include age, race, color, religion, creed,
national origin, gender identity, sex, marital status, disability, sexual orientation, the
presence or absence of dependents, familial status or public assistance source of income
occupying assisted housing units. To determine results, the City will examine whether or
not persons from a variety of groups and persons with disabilities in the area applied for or
became tenants, homebuyers, or received rehab assistance. If it is found that a variety is
represented, particularly the targeted groups determined to be in need of outreach, the City
would assume the procedures were effective.
If it is determined that a participating subrecipient is not making good faith efforts to affirmatively
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market housing units, the City will take the following corrective actions:
a.The City will issue a written notice to the subrecipient stating reasons of non-compliance with
the terms of the CDBG and/or HOME agreement and corrective actions (e.g. advertising)
which must be taken by the owner within a specified period of time, not to exceed 60 days.
b.Continued non-compliance within the specified time period and, thereafter, during the term
of the CDBG and/or HOME agreement, will result in the City taking legal action to recover
100% of the assistance for the subrecipient’s project.
All cases of apparent discriminatory practices by subrecipients will be referred to the Iowa City Human
Rights Commission for review and remedial action under the housing provision of the Iowa City Human
Rights Ordinance.
8. Public Notice and Review
Copies of this Affirmative Marketing Plan will be made public and available for citizen review, upon
request, in the office of the Department of Planning and Community Development. (Revised 7/01)
Use of HOME Funds to Refinance Existing Debt (Multi-Family Housing)
Not Applicable – The City of Iowa City does not use HOME funds for this purpose.
Use of ADDI Funds
Not Applicable – The City of Iowa City does not receive ADDI funds.
MONITORING
Reporting
The city requires each organization receiving CDBG and/or HOME funds to submit quarterly reports. The
quarterly reports include information on the number of clients served, income level and race/ethnicity. The
reports also include a brief narrative providing an update of the activity. Each organization must also submit a
year-end report summarizing all required data as needed for entry into IDIS and for inclusion in the city’s CAPER.
Community Development staff perform on-site monitoring visits for each activity. All housing providers, during a
stated period of affordability or as required by agreement, must also submit an annual tenant rental housing
report to document compliance with all applicable regulations, specifically household income and program rents.
In addition, members of the City Council appointed citizen commission, Housing and Community Development
Commission, choose CDBG and/or HOME funded projects to visit and monitor.
The members meet with the project stakeholders to discuss the project, ensure that the project is proceeding
properly by serving the intended clientele and that it will be completed on time. The commission members then
report back to the full commission at a regularly scheduled meeting.
Timeliness of Expenditures
Community Development staff require that each CDBG and HOME recipient attend a city-sponsored workshop
just prior to the beginning of each year to review the CDBG and HOME regulations and reporting requirements.
The timeliness of expending the funds is one of the topics discussed at the workshop. In addition, each recipient of
CDBG and/or HOME funds signs a formal agreement after the funds have been released that includes a copy of
the City’s policy, as stated below:
From time to time there may be Community Development Block Grant (CDBG) and/or HOME Investment
Partnership Program (HOME) projects that do not meet the anticipated schedule for implementation as
presented to the Housing and Community Development Commission (HCDC). These circumstances may be due
to unforeseen events (e.g. unfunded applications for other financing). HCDC recognizes the need to utilize CDBG,
HOME and other funding as effectively and efficiently as possible to meet the needs of low-moderate income
household for housing, jobs and services within Iowa City.
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To assist HCDC in evaluating a project’s status and ability to proceed, the following policy is hereby adopted to
begin with Fiscal Year ’04 projects beginning July 1, 2003:
1. All CDBG projects will have entered into a formal agreement with the City of Iowa City for the utilization
of federal funds by September 30 each year. Should a recipient fail to meet this threshold, the project will
be reviewed by HCDC to evaluate if extenuating circumstances exist. If extenuating circumstances exist
and it is anticipated the project will proceed, a new timeline will be established for the completion of the
project. If circumstances do not warrant an extension of time, HCDC may recommend the recapture and
re-use of the funds to the City Council.
2. All CDBG projects (except applicants for LIHTCs) will have expended a minimum of fifty percent (50%) of
the assistance provided for the proposed project by March 15 each year. This provides the recipient with
approximately 255 days following the start of the fiscal year to reach this threshold for CDBG projects. All
HOME projects will expend their funds on a timely basis per the applicable HOME regulation. Should a
recipient fail to meet these thresholds, all unexpended CDBG/HOME funding will be recaptured by the
City of Iowa City and recommendations be made by the HCDC for re-use of the funds or HCDC may allow
the recipient to retain the funds for the previously approved project.
3. If housing projects are applying for other funds through various state or federal agencies, the recipient
must apply for those funds in the first available application period offered. Should a recipient fail to meet
this application threshold, all CDBG/HOME funding will be recaptured by the City of Iowa City and
recommendations be made by the HCDC for re-use of the funds.
4. Should a recipient be unsuccessful in obtaining the funds listed in the application in the application round
immediately following the allocation of local CDBG\HOME funds, and the project will not be able to
proceed without the aforementioned funds, all CDBG/HOME funds will be recaptured by the City of Iowa
City and recommendations be made by the HCDC for re-use of the funds or HCDC may allow the
recipient to retain the funds for the previously approved project. If the project is unsuccessful in obtaining
the required funds listed in the application after two consecutive funding rounds following the allocation
of local CDBG/HOME funds, the City of Iowa City will recapture all CDBG/HOME funds.
Housing Code Compliance
Each agreement between the CDBG/ HOME recipient and the city states the following: “The project shall be
completed in compliance with all applicable state and local building codes; and upon completion, shall be
operated in compliance with all applicable state and local laws.” Community Development staff verify that the
appropriate permits are taken out and that the City’s Housing and Inspection Services (HIS) department has
inspected the structure for compliance with local building codes and local rental inspection housing codes (if the
project is a rental project).
HIS annually inspects each HOME funded rental unit where the tenant receives Section 8 funds to ensure
compliance with housing codes. In addition, HIS inspects all rental units every two years to ensure compliance
with rental housing codes.
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Not Applicable — The City of Iowa City does not receive ESG funds.
Not Applicable — The City of Iowa City does not receive HOPWA funds.
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Many elements of this document may be completed
electronically, however a signature must be manually applied and the
document must be submitted in paper form to the Field Office.
This certification does not apply.
This certification is applicable.
NON-STATE GOVERNMENT CERTIFICATIONS
Affirmatively Further Fair Housing
Anti-displacement and Relocation Plan
Drug Free Workplace
Anti-Lobbying
Authority of Jurisdiction
Consistency with plan
Section 3
This certification does not apply.
This certification is applicable.
Specific CDBG Certifications
Citizen Participation --
Community Development Plan --
Following a Plan --
Use of Funds --
Excessive Force --
Compliance With Anti-discrimination laws --
Lead-Based Paint --
Compliance with Laws --
This certification does not apply.
This certification is applicable.
OPTIONAL CERTIFICATION
CDBG
This certification does not apply.
This certification is applicable.
Specific HOME Certifications
Tenant Based Rental Assistance --
Eligible Activities and Costs --
Appropriate Financial Assistance --
This certification does not apply.
This certification is applicable.
HOPWA Certifications
Activities --
Building --
This certification does not apply.
This certification is applicable.
ESG Certifications
CFR
CFR
CFR
CFR
CFR CFR
CFR
CFR
CFR
CFR
CFR
CFR
CFR
CFR
USC
This certification does not apply.
This certification is applicable.
APPENDIX TO CERTIFICATIONS
Lobbying Certification
Drug-Free Workplace Certification
Place Name Street City County State Zip
nolo contendere
101
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