ITEM: 12.5 ADMINISTRATION - Bob Fiske, Community Standards Director
Title
ALLOCATION OF CDBG FUNDS FOR IMPROVEMENTS AT BLAINE COURTS AND CLOVERLEAF COURTS APARTMENT BUILDINGS.
Background
The Blaine Area Development Company (BADC) uses the Federal program of Community Development Block Grant (CDBG) funds to provide loans to local businesses. The Department of Housing and Urban Development (HUD) requires that the BADC fund have no more than $300,000 in the account. The BADC currently has an excess of $500,000 and therefore HUD requires that the money be reallocated to another CDBG qualified project(s) in Blaine or the funds will either be reallocated to another Anoka County project or returned to HUD.
Community Standards Director Bob Fiske was informed of the excess funds and was asked to identify any projects in future budgets which would be eligible for these funds, that could be completed at either of the city owned senior apartment buildings.
Community Standards Director Bob Fiske consulted with Housing Specialist Linda Barthel and reviewed items that were being proposed in the capital budgets for both buildings for the next few years. Because these are Block Grant Funds the City will not be required to pay back any of the funds obtained through this process. The following are the projects and items that staff believes would be a good use of the funds.
At Cloverleaf Courts, 1011 Cloverleaf Parkway, a project to renovate and upgrade the community room was proposed for the 2012 Capital Budget but was removed and was to be reconsidered in a future budget year. This project included the replacement of all tables and chairs in the community room, replacement of the window treatments and replacement of counters and cupboards. This work would also include electrical, plumbing, flooring and new small appliances. Total estimated cost for this project is $51,778.00. See attached spreadsheet for detailed breakdown of all costs.
At Blaine Courts, 701 85th Avenue, there are several projects under current capital budget consideration and future budgets. The largest project addresses concerns and issues that have been a problem in the past pertaining to the drainage from the buildings into the parking lot causing ice issues in the winter months and also the general condition of the aging parking lot. This project would add gutters and downspouts from the garages and the apartment building and drain the runoff into new underground drain pipes directly into the storm sewer, which would eliminate the ice issue in the parking lot. It also includes the milling, overlaying and stripping of the deteriorating parking lot and some landscaping changes. In addition to the parking lot upgrades, three smaller projects are proposed and would include the replacement and updating of the monument sign, the exterior lights on the building, garages and in the parking lot. As well as replacing 3 garage doors and the openers for those doors. A total estimated cost for these projects is $120,681.00. These items were originally proposed to be spread out in the capital budgets for the next several years.
The next request is for several miscellaneous items to be completed at Blaine Courts. Including new paint and furniture for the lobby, replacement of 7 A/C units, elevator upgrades, a new phone system and new door entry system for better security. The estimated cost is $21,785.00.
Finally, on November 10, 2011 an inspection was conducted by the State Boiler Inspector and a correction notice was issued for the installation of new reset controls and emergency shutoff switches for the boilers at both Cloverleaf Courts and Blaine Courts. Twins Cities Christian Homes has had discussions with the State Inspector and had gotten approval to make these required changes over the next two years. However, with these funds being available we would be able to make the changes this summer when the boilers are not running. The estimated cost is $ 8254.00.
The estimated total for all projects as listed is $202,498.00. As mentioned earlier, the funds for these projects would be CDBG funds and would not have to be paid back by the city, resulting in the city having to budget for less in future capital budgets.
Recommendation
By motion approve the resolution.
Body
WHEREAS, the City of Blaine has excess Community Development Block Grant (CDBG) funds; and
WHEREAS, Anoka County is requiring the City of Blaine to spend down those funds or return them to Anoka County who will then return them to HUD; and
WHEREAS, a need has been identified at both Blaine Courts and Cloverleaf Courts for several repairs and updating of the interiors and exteriors; and
WHEREAS, the expenses totaling $202,498.00 are eligible for use of CDBG funds.
NOW, THEREFORE, BE IT RESOLVED, that the Blaine City Council approve the allocation of $202.498.00 in CDBG Funds for the eligible expenses as attached for Blaine Courts and Cloverleaf Courts.