STRATEGIC PRIORITY: Economic and Neighborhood Vitality
AGENDA DATE: December 8, 2021
COUNCIL DISTRICT(S): All
DEPARTMENT: Department of Housing & Neighborhood Revitalization
EXECUTIVE: Dr. Eric A. Johnson
______________________________________________________________________
SUBJECT
title
Authorize (1) the American Rescue Plan Act (ARPA) Neighborhood Revitalization Program (“Program”) to (a) provide for grants of up to $100,000.00 per household for targeted home repair in qualified census tracts (QCTs); and (b) to support necessary water and sewer infrastructure improvements in QCTs; (2) creation of two positions to assist in the administration of the program; and (3) execution of all documents and agreements necessary to implement the Program, including but not limited to agreements with homeowners, subrecipients, contractors, and/or administration agreement(s) for the Program and change orders/amendments - Not to exceed $11,250,000.00 - Financing: U.S. Department of Treasury - Coronavirus Local Fiscal Recovery Funds
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BACKGROUND
On September 22, 2021, City Council voted on the annual budget which included ARPA funding for this Program in the amount of $11,250,000.00 to provide preservation of affordable housing and water/sewer infrastructure improvements in QCTs, including but not limited to Freedman’s towns, Tenth Street Historic District, 5-Mile Neighborhood and Joppa/Joppee.
The U.S. Department of The Treasury (Treasury) presumes that certain types of services are eligible uses when provided in a QCT, to families living in QCTs, or when these services are provided by Tribal governments.
The term “qualified census tracts” <https://www.huduser.gov/portal/datasets/qct.html> means any census tract which is designated by the U.S. Department of Housing and Urban Development (“HUD”) and, for the most recent year for which census data are available on household income in such tract, either in which 50 percent or more of the households have an income which is less than 60 percent of the area median gross income for such year or which has a poverty rate of at least 25 percent.
The pandemic is forcing families to make difficult choices as they respond to COVID-19, such as cover mortgage and health related expenses vs ongoing housing maintenance, maintenance is often lowest on the list of priorities. Further, households have been confined to residences and have engaged in more activities not previously or traditionally conducted in the home due to COVID-19 such as schooling and work, which has caused greater wear and tear on aging housing stock that need repairs thus making the living situation more difficult. This reality though, places a homeowner at greater risk of homelessness and their home may become condemned or they continue to live in substandard conditions. Our neighborhoods including the ones in the qualifying census tracts, are feeling the effects of deferred maintenance on properties, and many buyers have had to set aside their dream of ownership. The qualifying census tracts often have infrastructure related issues as well that make home repair or new development costly. ARPA relief can give city residents the help they badly need to invest in their properties, invest in infrastructure improvements and help us create more owner-occupied homes in city neighborhoods.
A healthier home is also more likely to keep the applicant healthy as they protect themselves from COVID-19 and or recover from this deadly disease.
This action will authorize the establishment of the Program as described in Exhibit A to (1) provide a grant of up to $100,000.00 per household for home repair and allow for necessary water and sewer infrastructure improvements in QCTs and; (2) the execution of all documents and agreements necessary to implement the Program.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
The Housing and Homelessness Solutions Committee was briefed regarding this matter on October 25, 2021 and November 9, 2021.
On June 23, 2021, City Council authorized the acceptance of grant funds from the U.S. Department of Treasury for the Coronavirus Local Fiscal Recovery Fund to provide relief during the ongoing COVID-19 pandemic by Resolution No. 21-1149.
On September 22, 2021, City Council authorized the final reading and adoption of the appropriation ordinance for the FY 2021-22 City of Dallas Operating, Capital, and Grant & Trust Budgets, which included the ARPA funds from the U.S. Department of Treasury for the Coronavirus Local Fiscal Recovery Funds by Resolution No. 21-1590.
FISCAL INFORMATION
|
Fund |
FY 2021-22 |
FY 2022-23 |
Future Years |
|
Coronavirus Local Fiscal Recovery Fund |
$11,250,000.00 |
$0.00 |
$0.00 |