REPORT TO THE HOUSING AND COMMUNITY DEVELOPMENT COMMISSION FEBRUARY 28, 2018 FROM: JENNIFER CLARK, Director Development and Resource Management Department THROUGH: KELLI FURTADO, Assistant Director Development and Resource Management Department BY: Thomas Morgan, Manager, Housing and Community Development Development and Resource Management Department SUBJECT ..Title Workshop on the evaluation and scoring of applications for federal entitlement funds from the U.S. Department of Housing and Urban Development (HUD) related to the 2018 - 2019 Annual Action Plan ..Body RECOMMENDATION There is no action required as this Item is a workshop. EXECUTIVE SUMMARY A workshop to brief the Housing and Community Development Commission (HCDC) members on the methodology for evaluating and scoring 2018 - 2019 applications received in response to the Consolidated Notice of Funding Availability (Consolidated NOFA) for federal entitlement funds, in preparation for the HCDC Applicant Presentation Public Hearing scheduled and noticed for March 14, 2018. BACKGROUND The City of Fresno (City) is the annual recipient of federal entitlement funds from HUD. These funds are provided through the Community Development Block Grant (CDBG), the HOME Investment Partnerships (HOME); the Emergency Solutions Grant (ESG), and the Housing Opportunities for Persons With AIDS/HIV (HOPWA) programs. As a condition of receiving these funds, the City is required to prepare an Annual Action Plan detailing the uses of the federal dollars and the benefits to low and moderate income persons. Citizen Participation and Timelines City staff began preparation of the 2018 - 2019 Annual Action Plan by conducting Community Workshops on January 9, 2018 and January 17, 2018. The workshops were provided at the Columbia Elementary School at 1025 South Trinity Street and Living Grace Fellowship Church, 3239 West Ashlan Avenue and covered basic information on the CDBG, HOME, ESG and HOPWA programs. The citizen participation process, and the steps and timeline for identifying and selecting activities for 2018 - 2019 funding were also covered. The Community Workshops were followed by a Community Needs Public Hearing at the January 24, 2018 meeting of the HCDC. The planning process continued with the release of the Consolidated NOFA and Information Guide and Applications on February 1, 2018. CDBG, HOME Tenant Based Rental Assistance (TBRA), ESG and HOPWA applications will be due March 1, 2018. Applicants will make oral presentations to the HCDC during a Public Hearing on March 14, 2018. HCDC recommendations will be provided for consideration. Upon completion of a draft 2018-2019 Annual Action Plan, there will be a 30 day public review period. The City Council is scheduled to hold a Public Hearing and consider the proposed 2018-2019 Annual Action Plan on May 10, 2018. 2018-2019 Federal Entitlement Funding HUD has not announced the 2018-2019 award amounts. However, the City expects to receive the following approximate entitlement funding for 2018 - 2019: - CDBG: $6,422,423 - ESG: $569,903 - HOME: $2,204,672 - HOPWA: $441,305 Scoring Process Nonprofits and other public agencies submitting applications by March 1, 2018, have been invited through the Consolidated NOFA to present the merits of their respective projects to HCDC on March 14, 2018. A book including all submitted applications for CDBG, ESG, HOME TBRA, and HOPWA will be provided to HCDC members prior to the March 14, 2018 meeting. The HCDC will review, evaluate and/or score the CDBG, HOME TBRA, ESG and HOPWA applications as follows: * HOME TBRA, ESG, HOPWA: Applications will be pre-scored by a committee of subject and technical matter experts prior to HCDC review. The scoring committee is scheduled to meet on March 12, 2018. The results will be presented to the HCDC on March 14, 2018 for review and evaluation. * HOME new construction and substantial rehabilitation funds will be set-aside in the Annual Action Plan, but specific awards will be made following the completion of HUD required, extensive underwriting and due diligence requirements. Projects will not be reviewed or scored through the HCDC during the process described for March 14, 2018. * CDBG: Applicants will be eligible to receive up to 100 points on their applications. Prior to the March 14, 2018 meeting, staff will have reviewed and evaluated the applications and determined threshold eligibility and provided a score of up to 20 points based on the qualifying criteria. The HCDC will review and evaluate the applications, and provide scoring of up to 80 points based upon the standards set forth. Any projects deemed ineligible for HUD funding will be noted, but based on prior requests by the HCDC, staff scores will not be presented until after the HCDC member scoring portion has been completed. The signed and dated score sheets will be completed by the HCDC following oral presentation at the March 14, 2018 HCDC Public Hearing. The results will be tabulated and ranked following the meeting. The HCDC will provide recommendations on CDBG, HOME TBRA, ESG and HOPWA funding awards, as well as HOME new construction and substantial rehabilitation set-aside. Those recommendations will be provided to the Mayor and City Council as part of the 2018-2019 Annual Action Plan process. Attachments: Exhibit A - Consolidated Plan Priorities Exhibit B - Community Development Block Grant Program Exhibit C - HOME Investment Partnerships Program Exhibit D - Emergency Solutions Grant Program Exhibit E - Housing Opportunities for Persons With AIDS/HIV Program Exhibit F - CDBG Scoring Methodology and Sample Score Sheet