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File #: 48186    Version: 1 Name: Authorizing the City of Madison to accept $550,000 in 2017 Housing Cost Reduction Initiative (HCRI) grant funds from the Wisconsin Department of Administration; and amending the Community Development Division's 2017 Adopted Operating Budget as appropriate
Type: Resolution Status: Passed
File created: 7/24/2017 In control: FINANCE COMMITTEE
On agenda: 9/5/2017 Final action: 9/5/2017
Enactment date: 9/8/2017 Enactment #: RES-17-00725
Title: Authorizing the City of Madison to accept $550,000 in 2017 Housing Cost Reduction Initiative (HCRI) grant funds from the Wisconsin Department of Administration; and amending the Community Development Division's 2017 Adopted Operating Budget as appropriate to recognize the associated revenues and commensurate expenditures, which exceed the amounts originally budgeted for 2017.
Sponsors: Samba Baldeh, Maurice S. Cheeks, Matthew J. Phair
Attachments: 1. HCRI Memo Approval of Additional Funds

Fiscal Note

The proposed resolution amends the 2017 Adopted Operating Budget for the Community Development Division (CDD) to reflect the actual grant award for the Housing Cost Reduction Initiative (HCRI) distributed by the Wisconsin Department of Administration. The actual grant award for 2017 is $550,000, an increase of $321,093 from what was anticipated in the 2017 Adopted Budget. The additional grant funding will increase the number of loans available for down payment and closing cost assistance.

 

Under the proposed amendment, funding will be appropriated by major as follows:

                     Revenue: (321,093)

                     Salaries: 82,500

                     Purchased Services: 238,593

 

Title

Authorizing the City of Madison to accept $550,000 in 2017 Housing Cost Reduction Initiative (HCRI) grant funds from the Wisconsin Department of Administration; and amending the Community Development Division's 2017 Adopted Operating Budget as appropriate to recognize the associated revenues and commensurate expenditures, which exceed the amounts originally budgeted for 2017.

Body

BACKGROUND

 

The City of Madison submitted a Housing Cost Reduction Initiative (HCRI) grant application to the Wisconsin Department of Administration's Division of Housing ("the State") in January 2017. In April 2017, the City received a letter awarding Madison $396,666 for the City’s down payment and closing cost assistance program, Home Buy the American Dream ("HBAD").  The HBAD program provides deferred down payment and closing cost assistance loans to low- and moderate-income residents.

 

Since the City's acceptance of that initial grant award, authorized in May 2017 (RES-17-00449), the State has awarded an additional $153,334 in HCRI grant funds to the City. This Resolution acknowledges and authorizes acceptance of the additional grant funds, and amends the Community Development Division's operating budget as appropriate to recognize the associated grant revenue and expenditures.

 

ACTION

 

WHEREAS, the City of Madison operates the Home Buy the American Dream ("HBAD") down payment and closing cost assistance program to support homeownership opportunities for low- and moderate-income residents; and, 

 

WHEREAS, the City of Madison Community Development Division’s 2017 Operating Budget anticipated $150,000 in Housing Cost Reduction Initiative (HCRI) funds for the HBAD program; and,

 

WHEREAS, the City of Madison Community Development Division applied for and was awarded a total of $550,000 in State HCRI funds to support the HBAD program for operating years 2017-2018;

 

NOW, THERFORE, BE IT RESOLVED, that the Common Council hereby authorizes the Mayor and the City Clerk to execute agreements with the State to accept a total of $550,000 in 2017-2018 HCRI funds; and,

 

BE IT FURTHER RESOLVED, that the Common Council hereby amends the 2017 Operating Budget of the Community Development Division to recognize the associated HCRI grant revenue and expenditures as appropriate.