Explanation
BACKGROUND: This legislation authorizes the appropriation of $540,000 and the expenditure of $794,310.13 of General Government Grant Funds from Neighborhood Stabilization Program (NSP1) program income and cancelled obligations. Funds are needed to obligate and expend for eligible projects and activities associated with the NSP.
This modification to the City's NSP1 budget results in a greater than 20% increase in one activity's original budget (Neighborhood Stabilization Fund). Therefore, since the City considers an increase greater than 20% a substantial change it is submitting to the U.S Department of Housing and Urban Development (HUD) a substantial amendment to the NSP1 plan. A public comment period was conducted per NSP1 guidelines for 15 calendar days.
This ordinance is submitted as an emergency so as to allow the expenditure of funds to be made prior to the end of the grant's required expenditure deadline of March 3, 2013 as mandated by the City's NSP1 Grant Agreement with the U.S. Department of Housing and Urban Development.
FISCAL IMPACT: This ordinance authorizes the transfer of $210,000.08 and the appropriation of $540,000. The $794,310.13 of NSP Funds must be expended in Neighborhood Stabilization Program eligible projects and activities. Of the $794,310.13, $540,000 is from program income and $254,310.13 is from cancelled obligations.
Title
To authorize and direct the City Auditor to cancel $210,000.08 from an Auditor's Certificate; to authorize the transfer of $210,000.08 within the General Government Grant Fund; to authorize the appropriation of $540,000 from the General Government Grant Fund, Neighborhood Stabilization Program 1 grant, to the Department of Development; to authorize the Director of the Department of Development to provide loans and grants to eligible projects and activities associated with the Neighborhood Stabilization Program; to authorize the expenditure of $794,310.13 from the General Government Grant Fund; and to declare an emergency. ($794,310.13)
Body
WHEREAS, this legislation authorizes the appropriation of $540,000 of NSP1 Program Income and expenditure of $794,310.13 from the General Government Grant Fund to provide funding for the Department of Development obligations and expenses relating to the Neighborhood Stabilization Program; and
WHEREAS, the City of Columbus receives program income from prior investments of NSP1 funds and has NSP1 Funds various homeownership housing development projects in. The $794,310.13 of program income and canceled obligations must be expended in Neighborhood Stabilization Program eligible projects and activities; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to appropriate and expend said funds so expenditures can be made by the end of the grant period, thereby preserving the public health, peace, property, safety and welfare; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the City Auditor be and is hereby authorized to cancel $210,000.08 from Auditor's Certificate No. AC 031393 as follows:
AC 031393-002 $135,110.48
AC 031393-003 $ 9,889.60
AC 031393-005 $ 65,000.00
Total: $210,000.08
Section 2. That the City Auditor be and is hereby authorized and directed to transfer, within the General Government Grant Fund, Fund No. 220, Grant Number 440500, $210,000.08 as follows:
FROM:
Division / Object Level One / OCA Code / Amount
44-01 / 01 / 440501 / $ 135,110.48
44-03 / 01 / 499049 / $ 65,000.00
44-10 / 01 / 440505 / $ 9,889.60
Total: $210,000.08
TO:
Division / Object Level One / Object Level Three / OCA Code / Amount
44-10 / 05 / 5528 / 440506 / $210,000.08
Section 3. That the sum of $540,000.00 is hereby appropriated from the unappropriated balance of the General Government Grant Fund, Fund 220, Grant 440500 and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ending December 31, 2012 to the Department of Development, Division 44-10, Object Level One 05, Object Level Three 5528, OCA Code 440506. That funds are hereby deemed appropriated in an amount not to exceed $540,000.00 as cash is available in the grant.
Section 4. That the Director of the Department of Development is hereby authorized to provide loans and grants to eligible projects and activities associated with the Neighborhood Stabilization Program.
Section 5. That for the purpose as stated in Section 4, the expenditure of $794,310.13 or so much thereof as may be necessary, is hereby authorized from the Department of Development, Division 44-10, Fund 220, Grant 440500, Object Level One 05, Object Level Three 5528, OCA Code 440506, as cash becomes available in the grant.
Section 6. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.