The city of Bessemer Economic and Community Development Department has been notified by the U.S. Department of Housing and Urban Development of a funding error in the city’s FY21 Community Development Block Grant, or CDBG, allocation.
HUD has adjusted the city’s allocation from the initial allocation of $590,045 for FY21 to $598,741 for the grant period. The city’s FY2021 Action Plan has been adjusted to account for the increase in funding.
The notice from HUD also grants waivers for the public comment period, reducing it from the normal 30 day period to a three-day period, to account for the funding error. The city of Bessemer’s Citizen Participation Plan, Section 5.3, allows for the city to use waivers in the event HUD issues such waivers.
In accordance with the HUD notice and waivers, the city has adjusted the amounts in its FY21 Action Plan to include the additional funding. An additional $5,000 will be allocated to the city’s Down Payment Assistance program and an additional $3,696 will be included in the Public Improvements category.
An outline of the updated 2021 CDBG Action Plan is below. Public comments will be accepted from Tuesday, June 15 to Friday, June 18. All written comments should be sent to Mr. Abraham Ward, Economic and Community Development, City Hall, Bessemer, 1700 Third Avenue North, Bessemer, AL 35020, email to firstname.lastname@example.org or call 205-424-4060., ext. 4233.
FY 2021 Action Plan
PROPOSED STATEMENTS OF COMMUNITY DEVELOPMENT OBJECTIVES AND PROJECTED USE OF FUNDS CITY OF BESSEMER, ALABAMA
As set forth in 24CFR Part 91, the U.S. Department of Housing and Urban Development (HUD) requires jurisdictions to incorporate their planning and application requirements into one five year document called the Consolidated Plan. In turn, an Annual Action Plan must be then prepared for each year of the Consolidated Plan. The following constitutes the FY2021 Action Plan.
The projected use of funds stated herein has been developed so as to give maximum priority to activities that will benefit low-to-moderate income persons, or aid in the prevention or elimination of slum and blight. The projected use of funds is consistent with the City’s established strategy of stabilizing the community and reversing negative trends associated with urban decay and blight.
Community Development Objectives:
To encourage neighborhood stability through physical improvements and housing rehabilitation.
To improve economic development by encouraging business development and job creation.
To foster increased production and home ownership for low to moderate income families.
2021 CDBG ACTION PLAN BUDGET
USES OF CDBG FUNDS
ADMINISTRATION $ 99,000.00
PLANNING COST $ 35,000.00
DELIVERY COSTS $ 86,000.00
LEAD TESTING (HOUING) $ 15,045.00
EMERGENCY GRANTS $ 150,000.00
DOWN PAYMENT (HOUSING) $ 90,000.00 (reflects additional funding)
PUBLIC IMPROVEMENT $ 103,696.00 (reflects additional funding)
PUBLIC FACILITIES $ 50,000.00
BUS SHELTERS $ 50,000.00
TOTAL FY2021 CDBG GRANT $ 598,741.00 (corrected allocation)
PROGRAM INCOME (Projection) $ 80,000.00
TOTAL FUNDS FOR FY21 $ 678,741.00
PROJECTED USE OF
FY2021 PROGRAM INCOME:
PROGRAM ADMINISTRATION (20% of Program Income)
Housing Revolving Fund: $12,000.00 (20% of Housing Program Income)
Revolving Fund: $ 4,000.00 (20% of Housing Program Income)
PROJECTED PROGRAM INCOME RECEIPTS
Projected Housing Revolving Loan
Program Income: $ 60,000.00
ECONOMIC DEVELOPMENT LOAN PROGRAM
Projected Economic Development
RL Program Income: $ 20,000.00
Program Income $ 80,000.00
The City of Bessemer will submit a “Final Statement of Community Development Objectives and Projected Use of Funds” to the U.S. Department of Housing and Urban Development on or before April 23rd, 2021.
CITIZEN COMMENTS PERIOD:
The City of Bessemer, office of Economic and Community Development, welcomes all Public Comments on the above Action Plan, which will be advertised for a period of 3 days beginning on June 14 and ending June 15, 2021.
All written comments should be sent to Abraham Ward, Economic and Community Development, City Hall, Bessemer, 1700 3rd Avenue North, Bessemer, AL 35020. Email to email@example.com or call 205.424.4060. Ext. 4233
Copies of the Action Plan are available for public inspection, during normal business hours, in the Bessemer Public Library, 400 19th St North Bessemer and in the Office of Economic and Community Development on the 2rd Floor of Bessemer’s City Hall. Office hours are 8:00am to 4:45 pm. However, due to COVID-19 restriction our Action Plan can be viewed on our City Website. www.bessemeral.org