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HomeMy WebLinkAboutMN-IURA-2024-03-22 108 E. Green St. Ithaca, NY 14850 (607) 274-6565 MINUTES ITHACA URBAN RENEWAL AGENCY BOARD 8:30 A.M., Friday, March 22nd, 2024 Common Council Chambers, Third Floor (City Hall) 108 E. Green St., Ithaca, NY 14850 Members: Chris Proulx, Chair; Karl Graham, Vice-Chair; Robert Cantelmo (Mayor); Donna Fleming; Shaianne Osterreich; Ducson Nguyen (Common Council Liaison) [virtual] Excused: None. Vacancies: 0 IURA Staff: Nels Bohn; Anisa Mendizabal [virtual]; Charles Pyott [virtual] City Staff: Lisa Nicholas, Director of Planning & Development Department Guests: None. I. Call to Order Chair Proulx called the meeting to order at 8:36 A.M. II. Agenda Additions/Deletions None. III. Public Comments Mendizabal reported that Susan Holland submitted the following comments regarding the 2024 Action Plan development process. “Hello Anisa, Nels and the IURA Board, Thank you for the continued support over many years for our Work Preserve Job Training programs and we appreciate the email detailing the latest challenges to funding. And thank you for all the time you have spent on this. We see from Anisa's email of March 21st: Recommendation(s) specific to your organization: WP Job Training: Job Placements (ED Category) — Recommended funding $40,000 (scaled) WP Job Training: Job Readiness (PS Category) — Recommended funding $9,500 (scaled) Our response: we were disappointed in the amounts and on paper, a 43% cut. During the last years, we responded to the community needs for better and more recruitment to reach our most vulnerable and potential workers. We did that with the Park Foundation Green Job Starter Kit. We expect to recruit and complete 10-15 assessments in 2024 and expect more than 20 in 2025. From those assessments, we will exceed our readiness trainee and placement numbers for Work Preserve. We hire experienced and skilled staff and want to continue to pay salaries that are commensurate with this excellent and difficult work. Approved: 4/26/24 IURA Minutes March 22, 2024 Page 2 of 8 For FY2024 WP needs, we applied for $20,000 for 20 people (PS category/WP training) and $67,500 for 6 people (ED category/WP Placements). At the recommended funding levels, we will be able to train only 9- 10 people and place 3-4 people. This will directly impact our Summer Youth Employment Services work during Summer 2025 and we will not be able to host the cohort without another source of funding. We expect these awarded funds for FY2024 to be expended before Spring 2025. I'd also ask that you refer to our letter of March 6th (attached) as well for further comments. Lastly, the administrative time needed to apply for further grants (what I was in the midst of, when the news came) is a constant for this program. To offset our losses and as an experienced/established nonprofit, each member of our team supports the WP program through other private and public grants, in-kind time, Significant Elements revenue and donations so that the program can continue. Public incentives like CDBG and through the good work of the IURA, Ithaca has the power to be the backbone of excellent workforce development and set an example nationwide. But as it decreases, we all find ourselves fighting for dollars while the needs increase all around us. We would welcome any additional support for our Work Preserve program. Thank you for listening and again, for your support, Susan Holland Executive Director Historic Ithaca” IV. Review of Meeting Minutes: December 15, 2023, January 26, 2024, & February 23, 2024 Graham moved, seconded by Fleming, to approve the meeting minutes, with no modifications. Carried Unanimously: 5-0 V. 2024 HUD Entitlement Grant Action Plan Bohn remarked the following updated version of the Job Readiness, Training, and Placement Programs Outcomes Summary chart was included in the meeting agenda packet, with three revised job placement outcomes highlighted. A. Disclosures of Potential Conflicts of Interest Osterreich disclosed she used to serve on the Downtown Ithaca Children’s Center (DICC) Board. IURA Minutes March 22, 2024 Page 3 of 8 B. Review of Revised Anticipated Funds Available Mendizabal noted IURA staff slightly revised the total anticipated HOME Investment Partnerships Program (HOME) funds to $353,000 and Community Development Block Grant (CDBG) Program funds to $782,000. C. Recommendations from Economic Development Committee (EDC) Proulx announced that the Committee ranked its priorities, as listed below: 1. ED Loan Fund: $130,00-160,000 We feel it is important to retain a healthy loan fund balance to support loans in the community for new or expanding businesses that create/retain jobs; and not only spend on workforce development activities. 2. Work Preserve: $67,500 Fully funded. This is a consistent high performing program that serves a high need population that is well leveraged with other funding sources. 3. Expanded ReUse Training Opportunities: up to $109,217 Fully fund the staff position, as well as 50-75% of the stipends (10-15 individuals.) This is also a consistent high performing program, however we recognize we may not be able to fully fund it this year, and this level seems reasonable to allow it meet or exceed prior year targets. 4. HETP: $0-38,000 We fully support this program and its outcomes. However, we understand from IURA staff that they may not need the funding based on funding still available from prior years. So, it may be possible to not fund the program this year and put the funding toward other non-ED needs for CDBG funding. We leave that up to your committee. 5. Career and Resources Program: $0 While the request is low, the committee did not think that the application materials nor the presentation at the public hearing contained a clear objective/outcome and/or use of funds. Bohn added that IURA staff reached out to Hospitality Employment Training Program (HETP) staff about the status of their prospective reimbursement requests to the IURA, but he has not yet received a response. It seems likely the currently proposed $19,000 in CDBG funding for the 2024 HETP program should be enough to sustain the program until the 2025 Action Plan funding cycle. D. Recommendation from Neighborhood Investment Committee Graham reported on the Committee’s recommendations. Housing Applications The Committee strongly supported The Beacon project and wanted to provide at least some funding for it to demonstrate community support for the project. Similarly, the Committee strongly supported the 113-115 Cleveland Avenue project, consistent with the Committee’s support of for-sale homes to low- to moderate- income (LMI) families. The Committee also strongly supported the Housing Scholarship Program and Minor Repair Program, both of which it recommended fully funding. Given the comparative lack of HOME funds, the Committee recommended funding the Security Deposit Assistance Program at less than $10,000 than requested. It recommended fully funding the Housing Inspections for the Security Deposit Assistance Program, since the inspections are mandated by HUD. IURA Minutes March 22, 2024 Page 4 of 8 The Committee discussed The Meadow on Seneca project extensively, but concluded the application was not quite fully developed enough to fund. There was also some concern about the mix of residents, especially in terms of the safety of domestic violence survivors. Proulx asked how IURA’s 2023 funding commitment of $199,900 in Housing Development Action Grants (HODAG) funds for The Beacon project would relate to any IURA 2024 IURA funding allocation. Mendizabal replied the $199,900 in 2023 funds could be considered a pre-commitment of HOME funding for the 2025 Program Year. Given that HUD’s anticipated 2025 HOME award to the IURA may be reduced, compared to prior years, it is possible the $199,900 would comprise the majority of HOME funds the IURA is able to allocate in 2025. The $35,612 in proposed 2024 HOME funding could either supplement a future HOME funding commitment, or the HODAG funding commitment could be provided as a HODAG low-interest loan. Osterreich asked how long the loan term would be if INHS ends up receiving the funds in the form of a HODAG loan. Bohn remarked the purpose of the IURA’s 2023 HODAG funding commitment was to demonstrate all of the project’s funds are fully committed, when INHS applies to the State for funding. The HODAG funding commitment could then be converted to HOME funding (~6-9 months later). If it remained a HODAG loan, it would need to have a 30-year term at a very low interest rate. Economic Development Applications The Committee believed that, since each application is designed to serve low-income and otherwise vulnerable populations, each project should be funded. Black Hands Universal (BHU) has applied to the IURA for funding over the past 2 years, so one reason the Committee wanted to fund it this year was to help fund positions that would continue to help BHU with its recordkeeping and reporting obligations. The proposed $13,332 in funding would go towards two staff positions. The Committee believed Finger Lakes ReUse, Inc. (FLRU) has been doing a great job with its job placements, so it recommended fully funding the program at $137,483. Since HETP currently has remaining funds from prior years, the Committee believed partial funding to be sufficient. Although the Committee recognized Historic Ithaca, Inc. has been doing a good job with its Work Preserve Job Training: Job Placements program, given the comparative lack of funds, the Committee funded it at $40,000. Finally, the Committee wanted to fund the Economic Development Loan Fund (ED-LF) with the minimum amount the Economic Development Committee (EDC) recommended. Public Facilities Applications Graham reported the Committee discussed the 200 Cecil A. Malone Dr. Pedestrian Improvements project for and decided to fund $160,000 of the $181,640 request. In terms of the DICC ADA Upgrades & Modifications project, since Downtown Ithaca Children’s Center (DICC) indicated the project could be scaled down, the Committee funded it at $20,617, for internal ADA improvements and labor. While the Red & White Café seems like a great project, the Committee did not believe it is quite ready for funding at this point. Public Services Applications The Committee funded the 2-1-1 Information & Referral Helpline with Housing Navigation program at $17,015 of the $27,500 requested, since it believed the Human Services Coalition of Tompkins County, Inc. (HSC) was best situated, of the all the applicants, to make up the difference. The Committee believed A Place to Stay for Homeless Women (APTS) is a wonderful project, so agreed to fully fund it. While the Committee strongly supported the Housing Scholarship Program, due to lack of funding it decided to fund the Housing Scholarships Personnel Support program at $13,125 of the requested $32,871. IURA Minutes March 22, 2024 Page 5 of 8 The Committee recommended funding the Immigrant Services Program (ISP) at $20,000 of the requested $40,000, due to some remaining prior year balances. The Committee recommended funding the Work Preserve Job Training: Job Readiness program at $9,500 of the requested $20,000. Due to lack of funds, the Committee did not fully fund the Security Deposit Assistance Intensive Staffing program, allocating $3,000 of the requested $6,000 to it. While the Community Bike Shop was believed to be a good project, the Committee wanted to prioritize funding existing projects; and there was also a question about whether some commercial bike shops perform pro bono work. The Collaborative Street Outreach Program made an excellent presentation and created a strong case, so the Committee funded it at $15,660 of its $22,000 request. There was some disagreement on the Committee regarding the Youth Empowerment Project, but the majority of the Committee believed the organization should be able to obtain funding for the program from another source. E. IURA-Recommended Draft 2024 City of Ithaca Action Plan Proulx proposed the Board begin by preliminarily adopting the Neighborhood Investment Committee’s (NIC) funding recommendations and make any amendments, as necessary. After further discussion, the Board agreed on the recommendations enumerated in the following amended resolution. Graham moved, seconded by Cantelmo (as amended): Draft 2024 Action Plan: City of Ithaca — HUD Entitlement Program WHEREAS, the City of Ithaca (City) is eligible to receive an annual formula allocation of funds to address community development needs through the U.S. Department of Housing & Urban Development (HUD) Entitlement program from the Community Development Block Grant (CDBG) Program and the HOME Investment Partnerships (HOME) Program funding sources, and WHEREAS, the City has contracted with the Ithaca Urban Renewal Agency (IURA) to administer, implement, and monitor the City’s HUD Entitlement Program in compliance with all applicable regulations, and WHEREAS, on an annual basis, an Action Plan must be submitted to HUD to access HUD Entitlement Program funding allocated to the City, and WHEREAS, the 2024 Action Plan identifies a specific list of budgeted community development activities to be funded from the 2024 HUD Entitlement Program allocation and associated funds administered by the IURA, and WHEREAS, the IURA employed an open and competitive project selection process for development of the 2024 Action Plan in accordance with the City’s Citizen Participation Plan, and WHEREAS, a two-part Public Hearing to review 2024 Annual Action Plan proposals was held on February 23, 2024 and March 1, 2024, and WHEREAS, due to the delayed adoption of the Federal 2024 budget, the U.S. Department of Housing and Urban Development (HUD) has yet to release the 2024 CDBG and HOME funding allocations for the City, and IURA Minutes March 22, 2024 Page 6 of 8 WHEREAS, anticipated funds to be allocated through the 2024 Action Plan funding process include the following: $622,000.00 CDBG 2024 Allocation $160,000.00 CDBG 2024 Projected Program Income $277,000.00 HOME 2024 Allocation $76,000.00 HOME Recaptured/Unallocated Funds $1,135,000.00 Total, and WHEREAS, the IURA developed a draft 2024 Action Plan for public comment and Common Council consideration that includes contingencies to accommodate the possibility that actual HUD allocations may differ from anticipated allocations; now, therefore, be it RESOLVED, that the IURA hereby adopts the attached summary table titled “IURA Recommended Draft 2024 Action Plan, City of Ithaca, NY,” dated March 22, 2024, and forwards it to the City of Ithaca Common Council for review and recommends its approval for allocating the 2024 HUD Entitlement Program award, along with associated funds listed above; and be it further RESOLVED, should the City’s 2024 HOME allocation be greater than anticipated, funding for the following recommended activities will be increased: 1. Up to $10,000 will be directed to Project #5, “Security Deposit Assistance for Vulnerable Households,” (CCTT), and 2. Any remaining amount will be directed to Project #1, “The Beacon” (INHS). RESOLVED, should the City’s 2024 HOME allocation be less than anticipated, funding for the following recommended activities will be decreased: 1. HOME funding will be reduced from Project #1, “The Beacon” (INHS), and substituted with a Housing Development Action Grants (HODAG) funding commitment, and 2. Up to $20,000 will be reduced from Project #2, “113-115 Cleveland Ave.” (INHS). RESOLVED, should the City’s 2024 CDBG allocation be greater than anticipated, funding for the following recommended activities will be increased: 1. If the CDBG allocation is $80,000 or more than anticipated, Project #10, “DICC ADA Upgrades & Modifications” (DICC), will be fully funded. 2. If the CDBG allocation is less than $80,000 more than anticipated, or if there is funding remaining after fully funding Project #10, “DICC ADA Upgrades & Modifications” (DICC), Project #17, “Collaborative Street Outreach Program” (OAR), will be funded to the maximum allowable level under the Public Services cap, then 3. Economic Development Loan Fund (EDLF) up to $160,000, then 4. Project #9, “200 Cecil A. Malone Dr. Pedestrian Improvements” (City of Ithaca), will be fully funded, and finally 5. Any additional remaining CDBG funds will be allocated to the Economic Development Loan Fund (EDLF). IURA Minutes March 22, 2024 Page 7 of 8 RESOLVED, should the City’s 2024 CDBG allocation be less than anticipated, funding for the following recommended activities will be decreased: 1. Project #9, “200 Cecil A. Malone Dr. Pedestrian Improvements” (City of Ithaca), by up to $20,000, then 2. Economic Development Loan Fund (EDLF) by the remaining difference. 3. To meet the reduced Public Services cap, funding to Project #11, “2-1-1 Information & Referral Helpline with Housing Navigation” (HSC), will be reduced accordingly, and be it further RESOLVED, that the Urban Renewal Plan shall be amended to include activities funded in the adopted 2024 Action Plan. Carried Unanimously: 5-0 Proulx remarked that Osterreich asked some good questions earlier in the meeting about how to better evaluate the job training and placement programs. He suggested inviting all job training/placement program applicants to a future meeting to engage in a productive dialogue, explore potential synergies between organizations, and investigate any obstacles to successfully attaining outcomes. It is difficult to have a meaningful discussion during the standard 12-minute Public Hearing presentation limit. Bohn agreed that is a great idea. Staff could formulate some standard questions in advance that applicants could be prepared to respond to. Mendizabal added that since each organization tracks job placements in slightly different ways, IURA staff may be able to identify ways to revise the reporting forms to increase the clarity and accuracy of the reporting process. In terms of the Public Hearing presentation process as a whole, Graham observed, some applicants do not leave enough time for the Q&A portions of their presentations. Mendizabal suggested shortening the presentation time to 8 minutes and having a standard Q&A time of 4 minutes. Graham asked how the IURA should proceed in terms of altering the application/presentation process. Proulx replied it would make the most sense for the Neighborhood Investment Committee (NIC) to begin the process of identifying any potential changes. Osterreich added, although the applicants’ presentations are definitely important, she believes the Q&A portion of the meetings is more important; so perhaps as much time as possible could be dedicated to Q&A. Also, the IURA Board’s time spent engaging in Q&A should not be held against the applicants, so perhaps the time-limit should not include Q&A. Mendizabal remarked the IURA could even begin each of the applicant’s presentation time with the Q&A, based on the contents of their applications. Proulx noted that written questions from the IURA in advance would most likely be very helpful for the presenters and increase the accuracy of their responses. Osterreich suggested possibly adding a question to the application forms for existing programs to provide a precise status of their previous year’s expenditure of IURA funds and obstacles to the timely submission of reimbursement vouchers, so that the IURA can have that information up front. IURA Minutes March 22, 2024 Page 8 of 8 Proulx also noticed the budget information is frequently inconsistent on the applications (e.g., Uses & Sources tables should balance out to $0.0), so perhaps there is some way to ensure it is consistent. Mendizabal replied IURA staff could explore a few ideas to implement that. Also, a number of applicants do not use the actual budget form provided by the IURA, which is perplexing given how explicit the instructions are. Osterreich suggested requiring applicants to participate in a workshop, prior to submitting applications. VI. New/Other/Old Business A. Review of IURA Financials: February 2024 Bohn reviewed the Grants Summary, explaining the left-hand “On Schedule” column calls out any projects (with a ) that are not progressing on schedule and may need attention. It is still uncertain if the IURA will meet its annual CDBG spend-down ratio deadline, although it will be very close, either way. All loan payments are current as of today. All lease payments are also current as of today, except Southside Community Center (SCC). B. REPORTS: IURA Chair, Mayor, Common Council Liaison, & Staff Mayor’s Report None. IURA Chairperson In response to an earlier staff inquiry, Proulx remarked the final 2024 Action Plan funding allocations could be rounded to the nearest $5 or $10, or similar minor adjustments could be made. No objections were raised. Common Council Liaison Report Nguyen expressed appreciation to the IURA Board and staff for all the considerable work spent on the annual Action Plan development process. Staff Report None. VII. Adjournment The meeting was adjourned by consensus at 10:54 A.M. — END — Minutes prepared by C. Pyott, edited by N. Bohn.