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DEPARTMENT of ECONOMIC DEVELOPMENT. More Than Just Money Workshop York July 29, 2010 www.neded.org. COMMUNITY DEVELOPMENT . CRD AREAS OF ASSISTANCE. Community Development Block Grant (CDBG) Community Development Services Affordable Housing.
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DEPARTMENT of ECONOMIC DEVELOPMENT More Than Just Money Workshop York July 29, 2010 www.neded.org
CRD AREAS OF ASSISTANCE • Community Development Block Grant (CDBG) • Community Development Services • Affordable Housing
CDBG – TYPES Planning Public Facilities Water/Waste-Water assistance Tourism Development Initiative Downtown Revitalization Initiative Community Revitalization Housing
CDBG Eligible Applicants: Municipalities under 50,000 and every county. Cities of Lincoln and Omaha are entitlement communities and receive direct CDBG funding from HUD.
CDBG National Objectives: Benefiting low- and moderate-income persons; or Primary objective of CDBG, majority of funds must meet this requirement Aiding in the prevention or elimination of slums or blight More restrictive definition of slums or blight than what is required for Tax Increment Financing
CDBG PLANNING GRANT Eligible Activities—Planning: 1) Strategic planning 2) Analysis of impediments to fair housing choice 3) Functional/special studies 4) Neighborhood/comprehensive strategic development planning 5) Environmental and historic preservation studies 6)Community development and housing plans 7) Payment of reasonable administrative and audit costs 8) Needs Assessment 9) Infrastructure Plans 10) Central Business District
CDBG-CD/PUBLIC FACILITIES Eligible Activities: Public Worksa) Community centersb) Senior centersc) Fire stations/Fire trucksd) Accredited public librariese) Dependent (child & adult) caref) Primary health/mental careg) Water distributionh) Street, curb, gutter, sidewalk, storm sewer, sanitary sewer collection, flood control, drainagei) ADA modifications
CDBG-CD/WATER/WASTEWATER Eligible activities: Water/Wastewater a) Water source b) Storage c) Distribution d) Treatment e) Preliminary Engineering f) Sanitary sewer collection
CDBG-DOWNTOWN REVITALIZATION Phase I – Planning • $30,000 • 25% Local Match • Procure a consultant to develop a downtown revitalization action plan Phase II – Implementation • $350,000 • 25% Local Match • Implement action steps with CDBG-eligible activities
CDBG-DOWNTOWN REVITALIZATION Eligible Activities: ImplementationI) Public facility and infrastructure activities II) Loans to business for: • Façade improvements • Acquisition/Clearance • Code enforcement • Energy efficiency improvements • Accessibility improvements III) Historic restoration, rehabilitation, and preservation for physical structures and infrastructure
CDBG-DOWNTOWN REVITALIZATION Eligibility Requirements: • Local municipal unit of government with less than 20,000 in population • Designated Economic Development Certified Community • NCIP Leadership Community • Adopted comprehensive plan, zoning and subdivision ordinances, building codes, code enforcement, and a building permit process
Nebraska CDBG Awards do not include awards in entitlement cities of Lincoln and Omaha.
2010 ESTIMATED ALLOCATION • CDBG - $12,751,920 • Comprehensive Revitalization - $1,325,000 • Public Works - $2,887,712 • Water and Wastewater - $1,593,220 • Planning - $443,643 • Downtown Revitalization - $1,475,000 • Economic Development - $4,127,345 • Tourism Development - $900,000
CRD / CDBG PROJECT STAFF CONTACTS • Kevin Andersen…Planning , Downtown 402.471.3775 • Steve Charleston…CDBG manager 402.471.3757 • Bob Doty…Housing Manager 402.471.2095 • Terry McAuliffe…closeout 402.471.3742 • Libby Elder…action plan 402.471.3762 • Dave Honz…ED 402.471.3763 • Lara Huskey... CRD Director/ED 402.471.3759 • Merci Suarez…CD Public Works 402.471.6280
COMMUNITY DEVELOPMENT SERVICES • Leadership/volunteer training • Planning assistance and Recognition of accomplishments through the Nebraska Community Improvement Program (NCIP) • Community Development Assistance Act (CDAA): a possible tax opportunity for business contributions to community projects
COMMUNITY DEVELOPMENT ASSISTANCE ACT • Tax credits for community betterment/services in distressed communities • Must apply for issuance of 40% credits • Note definition for “distress” • Eligibility: business and individuals • Allowable credits: $25,000 with $350,000 statewide annually Contact: Kevin Andersen (402) 471-3775
COMMUNITY DEVELOPMENT SERVICES • Nebraska Community Improvement Program—NCIP • For more than 40 years, the NCIP has encouraged, supported, and recognized participating communities while building on the vitality of their strengths and resources. • Contact: Christina Bartels (402) 471-3172
COMMUNITY DEVELOPMENT SERVICES • Additional NCIP Programs • NCIP Leadership Challenge • NCIP Leadership Communities • Contact: Christina Bartels (402) 471-3172
HOUSING PRIORITY Respond to regional needs for affordable, decent, safe and appropriate housing as part of balanced economic development in Nebraska.
2010 HOUSING FUNDS AVAILABLE To be Determined CDBG $5,132,937 HOME + $4,000,000 NAHTF $9,132,937 (Based on the proposed 2010 Annual Plan)
NEB. AFFORDABLE HOUSING TRUST FUND • Financed with a documentary stamp tax • $1.20 tax for every $1,000 of valuation • All real estate transfers • Began in 1998 with documented need of $20 million per year minimum
REGIONAL DISTRIBUTION • Allocation of funds by “investment zone” • West (panhandle and southwest): $566,185 • Central (north and south central): $495,937 • Northeast (including Omaha): $590,946 • Southeast (including Lincoln): $847,428 • Homebuyer programs • Owner-occupied rehabilitation programs • Rental housing
ACCESSING FUNDS • Eligible Applicants • Units of Government • Non-profit Affordable Housing Organizations – 501(c)(3) or 501(c)(4) • Economic or Community DevelopmentOrganizations with affordable housing as part of their mission - 501(c)3 or 501(c)4 • Tribally affiliated non-profits • Public Housing Agencies
ANNUAL APPLICATION CYCLES • Applications • Guideline Workshops January 11, 12, 13, & 19, 2010 • Pre-applications Due February 25, 2010 (optional) • Applications Due May 6, 2010 for regional allocations • Applications Due July 30, 2010 for community owner-occupied rehabilitation programs • Applications Due April 23, 2010 for Low-income Housing Tax Credit Round II projects. • In Fiscal Year 2009 DED has received more than 60 pre-applications and applications for housing funds • Application guidelines were posted December 2009
INVESTMENT CONSIDERATIONS • Link to overall economic development strategy for the community • Organizational and staff capacity • Well documented housing need • Amount of leveraged funds committed • Competitive per unit subsidies • Serving lower incomes or special needs • Meeting Department priorities Requests usually range between $25,000-$400,000
HOUSING TEAM • Bob Doty – (402) 471-2095 • Housing Manager • Brian Gaskill – (402) 471-2280 • Northeast Nebraska • Kristi McClung – (308) 889-3420 • Western Nebraska • Pat Compton – (308) 865-6511 • Central Nebraska & Special Needs Housing • Lydia Wiles – (402) 471-4169 • Southeast Nebraska • Lindsay Schmuecker – (402) 471-6587 • Application Coordinator
Recent CRD Program Developments • Emergency Disaster Grant Funding • West Central Economic Development District • Dawson County • Central Nebraska Economic Development, Inc. • Blaine, Boyd, Brown, Cherry, Custer, Garfield, Greeley, Holt, Howard, Keya Paha, Loup, Rock, Sherman, Valley, and Wheeler Counties • Northeast Nebraska Economic Development, Inc. • Antelope, Boone, Burt, Colfax, Cuming, Dodge, Douglas, Knox, Madison, Nance, Pierce, Platte, Stanton, Washington, and Wayne Counties • The Housing Development Corporation • Adams, Nuckolls and Webster Counties
Q & A 1.800.426.6505www.neded.org