Explanation
BACKGROUND: The Department of Finance and Management, Grants Management Section anticipates an annual entitlement funding award for the Community Development Block Grant (CDBG) program from the U.S. Department of Housing and Urban Development (HUD). This ordinance is needed to appropriate and authorize the expenditure of a portion of the CDBG award in order to post timely financial transactions for grant-funded programs. There will be subsequent ordinances submitted to appropriate the remaining grant funds, and authorize additional agreements and expenditures for various CDBG activities.
The Community Development Block Grant (CDBG) Entitlement Program provides annual grants on a formula basis to cities and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low-and moderate-income persons. All City CDBG expenditures must be consistent with the community needs, priorities, and strategies stated in the City’s Draft 2025-2029 Consolidated Plan, which is pending adoption by City Council as Ordinance #2968-2024 and to be submitted to HUD for approval thereafter.
The appropriations requested in this ordinance align with the Draft FY 2025 Annual Action Plan and are contingent on approval of the Draft FY 2025 Annual Action Plan through Ordinance #2968-2024. Listed below are the programs and Subrecipient Agreements funded by the actions outlined in this Ordinance.
City of Columbus Department of Finance and Management - Grants Management Administration - $730,705.00
Legal Aid of Southeast and Central Ohio - Fair Housing Services Program - $250,000.00
Habitat for Humanity MidOhio - Roof Replacement Program - $565,000.00
Columbus Housing Partnership Inc., dba Homeport - Framingham Village HVAC Improvements - $201,922.00
Legal Aid of Southeast and Central Ohio - Housing Conditions Program - $125,000.00
Ohio Domestic Violence Network - Relocation Assistance Program - $150,000.00
Franklinton Development Association - Financial Life Skills Program - $63,800.00
Helping Hands Health and Wellness Center, Inc. - Free Care Program - $50,000.00
Charitable Pharmacy of Central Ohio - Rx to Breathe Program - $200,000.00
Mid-Ohio Foodbank, dba Mid-Ohio Food Collective - Eastland Prosperity Center - $2,000,000.00
Helping Hands Center for Special Needs, dba Bridgeway Academy - Roof Renovation - $150,000.00
Columbus Early Learning Centers - Play Areas Turf Installation - $300,000.00
This Ordinance will also authorize Agreements, but will not appropriate funds at this time for the following projects:
Directions for Youth & Families, Inc. - Ohio Avenue Youth Center
Community Development for All People - Campus Improvements Project
Maryhaven Inc. - Exterior and Security System Improvements
Franklinton Development Association - Franklinton Community Hub
FISCAL IMPACT: The CDBG program is primarily funded with entitlement awards by the U.S. Department of Housing and Urban Development. However, certain grant programs may generate revenue that must be spent on furthering CDBG programming as required by the grantor. The anticipated FY 2025 entitlement award is estimated at $7,500,000.00. This ordinance will authorize the appropriation and expenditure of $4,806,427.00 (Fund 2248).
EMERGENCY DESIGNATION: An emergency exists in the usual daily operation of the Department of Finance and Management in that it is immediately necessary to appropriate and authorize the expenditure of these funds and authorize these Subrecipient Agreements so that the Department of Finance and Management can prepare and execute Subrecipient Agreements and complete other necessary steps prior to the commencement of the Fiscal Year on January 1, 2025 to comply with federal requirements, all for the immediate preservation of the public health, peace, property, and safety.
Title
To authorize and direct the Director of Finance and Management to appropriate and authorize the expenditure of $4,806,427.00 in CDBG grant funds (Fund 2248) from the U.S. Department of Housing and Urban Development; to authorize the Director of Finance and Management to enter in Subrecipient Agreements with community-based partners to undertake eligible activities; and to declare an emergency. ($4,806,427.00)
Body
WHEREAS, the City of Columbus is an entitlement community and a Participating Jurisdiction of the U.S. Department of Housing and Urban Development, and the City is a current recipient of Community Development Block Grant funds from HUD; and
WHEREAS, $7,500,000.00 in entitlement grant funds are anticipated from the U.S. Department of Housing and Urban Development for the Community Development Block Grant program for Fiscal Year 2025; and
WHEREAS, it is necessary to appropriate and authorize the expenditure of $4,806,427.00 from Fund 2248 for the programs and Subrecipient Agreements as listed above; and
WHEREAS, under 24 CFR §570.500(c), the City of Columbus may select organizations as Subrecipients to undertake eligible Community Development Block Grant activities; and
WHEREAS, the City wishes to use these funds to support local community-based organizations whose work advances HUD’s National Objectives, the City’s Consolidated Plan goals, and the City’s Opportunity Rising aspirations; and
WHEREAS, the City held a competitive process inviting organizations to apply for CDBG funding support and received 62 CDBG funding proposals representing requests totaling more than $31 million; and
WHEREAS, the City has selected the following programs and organizations to carry out various eligible activities as described in the Draft FY 2025 Annual Action Plan contingent on approval of Ordinance #2968-2024: Department of Finance and Management - Grants Management Administration - $730,705.00; Legal Aid of Southeast and Central Ohio - Fair Housing Services Program - $250,000.00; Habitat for Humanity MidOhio - Roof Replacement Program - $565,000.00; Columbus Housing Partnership Inc., dba Homeport - Framingham Village HVAC Improvements - $201,922.00; Legal Aid of Southeast and Central Ohio - Housing Conditions Program - $125,000.00; Ohio Domestic Violence Network - Relocation Assistance Program - $150,000.00; Franklinton Development Association - Financial Life Skills Program - $63,800.00; Helping Hands Health and Wellness Center, Inc. - Free Care Program - $50,000.00; Charitable Pharmacy of Central Ohio - Rx to Breathe Program - $200,000.00; Mid-Ohio Foodbank, dba Mid-Ohio Food Collective - Eastland Prosperity Center - $2,000,000.00; Helping Hands Center for Special Needs, dba Bridgeway Academy - Roof Renovation - $150,000.00; Columbus Early Learning Centers - Play Areas Turf Installation - $300,000.00; Directions for Youth & Families, Inc. - Ohio Avenue Youth Center; Community Development for All People - Campus Improvements Project; Maryhaven Inc. - Exterior and Security System Improvements; and Franklinton Development Association - Little Bottoms Free Store; and
WHEREAS, the Director of the Department of Finance and Management is the Responsible Entity for HUD Environmental Review Records and the City will complete Environmental Review Records for HUD programs in advance of committing funds; and
WHEREAS, it has become necessary in the usual daily operation of the Department of Finance and Management to authorize the Director to enter into Subrecipient Agreements with the organizations listed above; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Finance and Management in that it is immediately necessary to appropriate and authorize the expenditure of these funds and authorize these Subrecipient Agreements so that the Department of Finance and Management can prepare and execute Subrecipient Agreements and complete other necessary steps prior to the commencement of the Fiscal Year on January 1, 2025 to comply with federal requirements, all for the immediate preservation of the public health, peace, property, and safety; Now, Therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That from the unappropriated monies 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, 2025, the sum of $4,806,427.00 is appropriated in Fund 2248 Community Development Block Grant Fund per the account codes in the attachment to this ordinance.
SECTION 2. That the expenditure of $4,806,427.00 is authorized within the CDBG Fund 2248 per the accounting codes in the attachment to this ordinance.
SECTION 3. That the Director of Finance and Management is hereby authorized and directed to enter into Subrecipient Agreements with the organizations listed below to carry out the work described in the Draft FY 2025 Annual Action Plan, contingent on approval of Ordinance #2968-2024:
Legal Aid of Southeast and Central Ohio - Fair Housing Services Program - $250,000.00
Habitat for Humanity MidOhio - Roof Replacement Program - $565,000.00
Columbus Housing Partnership Inc., dba Homeport - Framingham Village HVAC Improvements - $201,922.00
Legal Aid of Southeast and Central Ohio - Housing Conditions Program - $125,000.00
Ohio Domestic Violence Network - Relocation Assistance Program - $150,000.00
Franklinton Development Association - Financial Life Skills Program - $63,800.00
Helping Hands Health and Wellness Center, Inc. - Free Care Program - $50,000.00
Charitable Pharmacy of Central Ohio - Rx to Breathe Program - $200,000.00
Mid-Ohio Foodbank, dba Mid-Ohio Food Collective - Eastland Prosperity Center - $2,000,000.00
Helping Hands Center for Special Needs, dba Bridgeway Academy - Roof Renovation - $150,000.00
Columbus Early Learning Centers - Play Areas Turf Installation - $300,000.00
Directions for Youth & Families, Inc. - Ohio Avenue Youth Center
Community Development for All People - Campus Improvements Project
Maryhaven Inc. - Exterior and Security System Improvements
Franklinton Development Association - Franklinton Community Hub
SECTION 4. That the monies appropriated in the foregoing Section 1 shall be paid upon the order of the respective department directors or elected officials for which the appropriations are made, except that small claims in amounts not to exceed two-thousand five-hundred dollars ($2,500.00) may be paid as authorized by Chapter 335 of the Columbus City Code as amended; and except that payments or transfers between departments, divisions or funds of the City may be made by the City Auditor; and except that payments for premiums for official bonds, depository commissions, employees’ hospitalization, life insurance, pensions, dental insurance and prepaid legal services, shall be made on the order and approval of the Director of the Department of Finance and Management or City Auditor; and that no order shall be drawn or money paid except upon voucher, the form of which shall be approved by the City Auditor.
SECTION 5. That, except in the matter of payrolls providing for the payment of the salaries of officers and employees regularly employed by the City and extraordinary emergencies, no warrant shall be issued in liquidation of vouchers, unless the department contracting the expense shall have first obtained an order duly certified that there are sufficient funds appropriated to the credit of the proper funds from which the expenditure is to be made, which certificate must be obtained prior to the incurrence of the obligation, and the head of any department or division authorized to contract expenditures will be held personally responsible for any obligation incurred contrary to the provisions of this section. Except that such certificate shall not be issued for obligations pertaining to “Capital Outlay” in programs or activities funded by federal or state categorical grants without the prior approval of the Director of the Department of Finance and Management; such prior approval must be obtained before submission of any requisition for items coded as “Capital Outlay” to the Department of Finance and Management. The Director of the Department of Finance and Management will review such requests for conformity with the approved budget.
SECTION 6. That it is understood that this Council is not making specific appropriations for each item of every classification herein before contained but only for the classifications per the account codes in the attachment to this ordinance. The itemized classification shall, however, constitute limitations on the powers of the several department heads as granted in Section 3, and no such officer shall make any expenditure for any other purpose in any amount beyond that of the particular classification; provided, however, that transfers may be made from one Object Level 1 to another, within any one department or division. Transfers of sums exceeding $100,000 shall be authorized only by ordinance of Council. Transfers of sums of $100,000 or less shall be approved by letter with the signatures of the head of the department, the Director of the Department of Finance and Management, the City Auditor and the Chairman of the Finance Committee.
SECTION 7. That the Director of the Department of Finance and Management may be required to transfer funding from one subfund to another within the Fund 2248, Community Development Block Grant Fund due to the availability of funding based on federal requirements of grants based accounting and account coding will be provided to the City Auditor.
SECTION 8. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated and authorized for expenditure, and the City Auditor shall establish such accounting codes as necessary.
SECTION 9. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modification associated with this ordinance.
SECTION 10. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby 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.