Submitted By
Tammie Grossman, Development Customer Services Director
Reviewed By
A.M. Zayyad
Agenda Item Title
Title
A Motion to Re-Allocate $57,515 in Unspent Community Development Block Grant-Coronavirus (CDBG-CV) Funding by Adding the $57,515 to CDBG Public Services Funding and Distributing it to the Nine (9) Local Non-Profits Previously Approved for Public Services Funding, Per Village Staff’s Recommendations and Direct Staff to Prepare the Necessary Documents for Board Consideration
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Overview
Overview
The Village received $1,259,754 in Community Development Block Grant-Corona Virus (“CDBG-CV”) funds. In 2020 the Village Board designated $550,000 of the CDBG-CV funds for the DCS Department to administer a Business Assistance Loan Program to help Oak Park businesses create and/or retain jobs for workers with incomes at or below 80% of the AMI for Cook County. In 2020 and 2021, 84 grant applications were approved and a total of $492,485 was loaned out to Oak Park businesses, leaving $57,515 in unspent program funds. This motion recommends the re-allocation of the unspent $57,515 in CDBG-CV funding (Business Assistance Loan Program) to CDBG-CV Public Service funding, increasing the amount available for Public Service Funding from $162,107 to the proposed new $219,622 and reallocating this grant money to the nine (9) local non-profits previously approved for said funding.
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Recommendation
Recommendation
Approve the Motion
Fiscal Impact
The $57,515 in unspent CDBG-CV (Business Assistance Loan Program) fund would be made available to the nine (9) local non-profits previously approved for Public Services funding. This re-allocation of funding would bring the total CDBG-CV Public Services funding from $162,107 to $219,622.
Background
On June 15, 2020, the Village Board approved a resolution authorizing the use of $300,000 of CDBG-CV funds to establish a Business Assistance Loan Program. On October 5, 2020, the Village Board approved an additional $250,000 in funding for this same purpose. In both 2020 and 2021, this $550,000 in Business Assistance Loan funding was utilized to help Oak Park businesses create and/or retain jobs for workers with incomes at or below 80% of the AMI for Cook County. In total, 84 grant applications were approved, assisting 55 separate Oak Park businesses. A total of $492,485 was loaned out to these 55 businesses, leaving $57,515 in unspent CDBG-CV program funds.
Further, on July 20, 2020, the Village approved resolutions designating $162,107 in CDBG-CV Public Service funding to the following nine (9) local non-profits: Beyond Hunger ($85,000), Hephzibah ($10,000), New Moms ($20,000), Oak Leyden ($3,947), The Infant Welfare Society, Children’s Clinic ($6,000), Thrive ($3,930), UCP Seguin ($15,974), Way Back inn ($7,256), and West Cook YMCA ($10,000).
If the Village Board approves the re-allocation of this unutilized $57,515 in CDBG-CV funding, the additional Public Services Funding to the nine (9) previously qualified local non-profits would utilize the same disbursement percentage as previously approved, as follows: Beyond Hunger ($30,158), Hephzibah ($3,548), New Moms ($7,096), Oak Leyden ($1,400), The Infant Welfare Society, Children’s Clinic ($2,129), Thrive ($1,394), UCP Seguin ($5,668), Way Back inn ($2,274), and West Cook YMCA ($3,548).
Alternatives
None.
Previous Board Action
On June 15, 2020, the Village approved the designation of $300,000 in CDBG-CV funding to be utilized for a Business Assistance Loan Program. On October 5, 2020, the Village approved adding $250,000 in CDBG-CV funds to this program, bringing the total amount available for the loan program to $550,000.
On July 15, 2020, the Village Board also approved $162,107 for CDBG-CV Public Service funding to nine (9) local non-profit entities.
Citizen Advisory Commission Action
The Community Development Citizen Advisory Committee (CDCAC) did not review or make a recommendation on CDBG-CV funds. Village staff did communicate with the Chair regarding the process for funding recommendations.
Anticipated Future Actions/Commitments
If the Village Board approves the re-allocation of the $57,515 in unspent CDBG Business Assistance Loan Program resources to be utilized for CDBG-CV Public Service Funding purposes, Village staff will request new proposals from the nine (9) previously funded local non-profit organizations as a part of the increased Public Service funding.
Intergovernmental Cooperation Opportunities
As a member of the Cook County HOME Consortium, the Village communicates with Cook County on CDBG-CV assistance, as they are the lead agency of the Consortium.