HomeMy WebLinkAboutBlock Grant Program - 2016 STATE OF WASHINGTON, COUNTY OF KING } City of Renton ing commercial buildings.
AFFIDAVIT OF PUBLICATION Notice oiPublic Hearing Generally, a minimum of
Community Development $10,000 in assistance per prop-
Block Grant(CDBG)Funds erty is offered in the form of a
Proposed Use of forgivable loan, which must be
PUBLIC NOTICE 2016 CDBG Funds matched dollar-for-dollaz by
NOTICE IS HEREBY GIVEN the applicant. Owners of prop-
Linda M Mills, being first duly sworn on oath that she is the Legal that the aenco� c�ri coun��� n� ert;es or b„S;�esses �W;tn ia�a-
Advertising Representative of the fixed the Sth day of October at lord consent) located within the
7:00 pm as the date and time fot Downtown and South Renton
a public hearing to be held in the areas are eligible. The com-
Council Chambers of Renton bined areas are defined as
City Hall, Seventh Floor, 1055 S.
Renton Reporter Grady Way, Renton, WA 98057, properties generally bounded
to provide an oppoRunity for by Rainier/Shattuck Avenue
public comment on the allocation south; South 7th StreedGrady
of CDBG funds. Public comment �'ay; Main Avenue South/
a weekly newspaper, which newspaper is a legal newspaper of �s requested on cne proposed Houser way; a�a cne Cedar
2016 CDBG allocations. River/South Tobin Street,. Res-
general circulation and is now and has been far more than six months 2016 Funds idential p�opert�es o� residen- �
prior to the date of publication hereinafter referred to, published in The City will receive an estimat- tial Uses Wttn�n m�Xea-Use P�o-
the En lish lan ua e continuousl as a weekl news a er in Kin ed $s99,bsa �n 20�6 cDsc jects are not eligible. For more
g g g Y �' P p g funds. The allocation after con- information, contact John Col-
County, Washington. The Renton Reporter has been approved as tractual Set as�aes, covering King i,,,,,, commu��cy �e�e�opmenc
a Legal Newspaper by arder of the Superior Court of the State of coUn�� administration �a hu- Project Manage�, c�cy of
man service program costs, is es- Renton Community & Eco-
Washington for King County. t�maced to be $377,80Q which nomic Development Depart-
The notice in the exact form annexed was published in regular issues tne c+cy �s proposing to allocate ment at 425-430-6589, or�
as follows: lum(a�rentonwa. ov
of the Renton Re orter and not in su lement form which was �
P � PP � I) Pianning and Administra- This notice is available in alter-
regularly distributed to its subscribers during the below stated period. c;o,,: $s9,96s or the maximum nate fo�,,,acs upon �egUesc for
The annexed notice, a: amount ailowable under the (ndividuals with disabilities. All
. � program to plan and administer �nterested parties are invited to
Public Notice the use of CDBG funds. attend the public hearing and
2) Economic Development: present written or oral comments
Of the estimated $317,832 in regarding the proposal. Renton
remaining CDBG funds, the City Hall is compliant with the I
was published on September 25, ZOIS. City proposes to allocate them American Disabilities Act, and I
to continue the Downtown �nterpretive services for the heaz-
Commercial Rehabilitation and �ng impaired will be provided I
FaFade Improvement Loan upon prior notice. Call
The full amount of the fee charged far said foregoing publication is Program. The program pro- (425)-430-6510 for additional ;n- �
the sum of$176.88. ��aes financial assistance to formation.
. , `,,`�������' property and business owne�s Jason Seth
�' ``�\ N SH /��� to renovate and improve exist- Ciry Clerk
-''/'�' /d'l � ``� PN FAy i�� Published in the Renton Reporter
' lllCla M111S �����5g10 N F,�:����� � September 24,2015.#1418939
Legal Advertising Representative, Renton Reporter � `� •�� ��:�o:
Subscribed and sw to me t is 25th day of September, 2015. =a?° NO T A R Y N� _
_ � pUBLIC :�=
.. ;� �
:N'9j,' os-��-,9����:
, �c'•••......• �� ��
Polly Ann S e herd otary Public for the State of Washington, ����,�;'W PS`\���
Residing in Federa Way,Washington
STATE OF WASHINGTON, COUNTY OF KING }
AFFIDAVIT OF PUBLICATION
CITY OF RENTON
NOTICE OF
PUBLIC NOTICE PUBLIC HEARING
RENTON CITY COUNCIL
Linda M Mills, being first duly sworn on oath that she is the Legal NOTICE IS HEREBY GIVEN
Advertising Representative of the that the Renton City Council has
fixed the Sth day of October,
20I5,at 7:00 p.m. as the date and
time for a public hearing to be
heid in the seventh floor Council
Renton Reporter �hambers of Renron City Hall,
1055 S. Grady Way, Renton,
98057,to consider the following:
2016 Community Development
a weekly newspaper, which newspaper is a legal newspaper of Block Grant(CDBG)Funds
The City will receive an estimat-
general circulation and is now and has been far more than six months ed $s99,6a2 �n ao�6 cDB� �
prior to the date of publication hereinafter referred to, published in funds. The allocation after �o„-
the En lish lan ua e continuousl as a weekl news a er in Kin tractual sec-as�aes �s esc�matea
g g g Y Y P P g at $377,800 which the City is
County, Washington. The Renton Reporter has been approved as proposing to allocate as follows:
a Legal Newspaper by order of the Superior Court of the State of >> Planning �a Administra-
tion: $59,968 or the maximum
Washington for King County. amount allowable under the
The notice in the exact form annexed was published in regular issues program plan to administer tne
of the Renton Re orter and not in su lement farm which was use ofcDs�fUnas.
p � pp � 2) An estimated $317,832 pro- �,
regularly distributed to its subscribers during the below stated period. Posed to be auo�acea to�onc�n- ,
ue the Downtown Commercial
The annexed notice, a: Rehabilitation and Fa�ade
Public Notice Improvement Loan Program.
This notice is available in alter-
nate formats for individuals with
disabilities upon request. All
was published on September 18, 2015.
interested parties are invited to
attend the public hearing and
present written or oral comments
regazding the proposal. Written
comments submitted to the City
The full amount of the fee charged for said foregoing publication is Clerk by 5:00 p.m. on the day of �
the SUm Of$111.63. the hearing will be entered into
the public hearing record. Ren-
,,/'y� ", ton Ciry Hall is in compliance
� �f���`� ,���l,� �����`,�Ni S/�l,���/� Acth and in erpret ve sDrvi ce�s�tfor
�:inda Mills � ,, Fp �
� r ••••• • /� the hearing impaired will be pro-
Legal Advertising Representative, Renton Reporter ti v;�5`�`G" £-ro•, t�` '� vided upon prior noc��e. cau
Subscribed and sworn e this 18th day of September, 2015. ;�;or y�;:o� format4�30-6510 for additional �n-
— a �v NOTARY = �ason seth
' p�gLIC : Z� Deputy City Clerk
�N�� ��O� Published in the Renton Reporter
i '• 9;'� � Se tember 18, 2015. #1417775
Y g , �'9�c��''�5:'�:'' \'��.`� p
Poll Ann Sh erd, o Public for the State of Washin ton ,
Residing in Federal ay,Washington ���i�����WAs����`�
�w.r+ ,� .
PROCLAMATION
a) Fire Prevention Week-October 4-October 10, 2015.A proclamation by Mayor Law was read
declaring October 4 to 10, 2015 to be "Fire Prevention Week" in the City of Renton in
commemoration of the Great Chicago Fire of 1871, which killed more than 250 persons, left
100,000 homeless, and destroyed more than 17,400 buildings; and encouraged all citizens to
join in this special observance. Fire Marshal Anjela St.John accepted the proclamation,
explaining the history of Fire Prevention Week in the United States. She also thanked Council
for its support and reported that this year the fire prevention campaign focuses on the value
of having working smoke alarms installed where you sleep.
MOVED BY PRINCE,SECONDED BY PAVONE,COUNCIL ADOPT THE
PROCLAMATION AS READ.CARRIED.
b) Domestic Violence Awareness Month-October 2015.A proclamation by Mayor Law was
read declaring October 2015 to be "Domestic Violence Awareness Month" in the City of
Renton,and encouraged everyone in the Renton community to take an active role in
supporting all victims so they can lead healthy lives safe from violent and abusive behavior.
Domestic Violence Victim Advocate Tina Harris accepted the proclamation and thanked
Council and City officials for supporting efforts to end domestic violence.
MOVED BY PALMER,SECONDED BY TAYLOR,COUNCIL ADOPT THE
PROCLAMATION AS READ.CARRIED.
c) Housing America Month-October 2015.A proclamation by Mayor Law was read declaring
October 2015 to be "Housing America Month" in the City of Renton, and encouraged all
citizens to join in this special observance. Renton Housing Authority Program Coordinator
Kellee Rodriguez accepted the proclamation and thanked Council for the proclamation.
MOVED BY PRINCE,SECONDED BY PAVONE, COUNCIL ADOPT THE
PROCLAMATION AS READ. CARRIED.
SPECIAL PRESENTATION
State of the County-King County Councilmember Reagan Dunn. King County
Councilmember Reagan Dunn presented the annual State of the County Address. He
discussed the following topics:
• Passage of the County's first biennial budget of 9.9 billion dollars.
• Structure of the King County Council and various committees he is involved in.
� Public Transit issues.
• Flood District updates regarding benefits to Renton.
• Eastside Rail Corridor- Master Planning update.
Additionally Councilmember Dunn answered questions/concerns raised by Council and
thanked them for their hard work.
PUBLIC HEARING
Allocation and Use of 2016 Community Development Block Grant(CDBG) Funds.This being
the date set and proper notices having been posted and published in accordance with local
and State laws, Mayor Law opened the public hearing to consider the allocation and use of
the 2016 CDBG funding recommendations.
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 2
�irrr v�
Economic Development Director Cliff Long reported that CDBG funds are allocated by the
Department of Housing and Urban Development(HUD) and are received through an interlocal
agreement with King County. He stated that the CDBG is a flexible program that provides
communities with resources to address a wide range of unique community development
needs. Beginning in 2015,the City allocated discretionary CDBG funds to be used for
economic development activities along with human services programs, and the 2016
allotment is estimated to be at$599,682.
Mr. Long further laid out the City's plans on how to use the 2016 allotment:
YEAR ACTIVITY NATIONAL OBIECTIVE AMOUNT
2016 King County Contractual Set Asides Not Applicable
- General Administration $59,968
- Capital Administration $11 994
,
- Housing Stability Program $29,984
- Housing Repair Program 119 936
Subtotal $221,gg2
City Planning and Administration Not Applicable $59,968
Commercial Rehabilitation (Facade Low-and Moderate- $317,832
Improvement Loan Program) Income Area Benefit
2016 TOTAL $599,682
Additionally, Mr. Long explained how the Downtown Commercial Rehabilitation and Facade
Improvement Loan Program would work, as well as its purpose which is to incentivize and
assist property owners to rehabilitate commercial buildings, encourage private investment,
provide marketable space for businesses, and achieve significant visual improvements in the
downtown area.
Councilmember Persson requested that an update be provided to Council regarding the sale
and/or lease status, and the status of the application, regarding the Downtown Commercial
Rehabilitation and Facade Improvement Loan Program for the building located at 801 S. 3rd
St.
Staff recommended that following the public hearing,Council approve the Committee of the
Whole Committee Report recommending concurrence with the staff recommendation to
approve the allocation and use of the City's 2016 CDBG funds as detailed above.
Public Hearing Audience Comments: Dave Brethauer,Seattle, owner of the Renton Western
Wear/Cortona Building, shared how the Downtown Commercial Rehab and Facade
Improvement Loan Program will benefit his building. Mr. Brethauer further explained that he
intends to use the loan for additional improvements to the building to help attract new
tenants and help increase economic activity in the area. Mr. Brethauer thanked City staff for
working with him and helping him achieve these goals.
MOVED BY PRINCE, SECONDED BY PERSSON,COUNCIL CLOSE THE PUBLIC
HEARING. CARRIED.
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 3
�rr' �r++`
UNFINISHED BUSINESS
Following the close of the public hearing, Council President Prince presented a Committee of the
Whole report recommending concurrence in the staff recommendation to approve the allocation
and use of the City's 2016 Community Development Block Grant(CDBG)funds. The allocation
and use of funds will be as listed below:
YEAR ACTIVtTY NATIONAL OBJECTIVE AMOUNT
2016 King County Contractual Set Asides Not Applicable
- General Administration $59,968
- Capital Administration $11,994
- Housing Stability Program $29,984
- Housing Repair Program 119 936
Subtotal $221�gg2
City Planning and Administration Not Applicable $59,968
Commercial Rehabilitation (Facade Low-and Moderate- $317,832
Improvement Loan Program) Income Area Benefit
2016 TOTAL $599,682
MOVED BY PRINCE,SECONDED BY PAVONE,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION.CARRIED.
ADMINISTRATIVE REPORT
Deputy Public Affairs Administrator Preeti Shridhar reviewed a written administrative report
summarizing the City's recent progress towards goals and work programs adopted as part of
its business plan for 2015 and beyond. Items noted were:
• Public Works Maintenance Services Worker Kip Braaten was among 55 participants who
competed in the 2015 APWA National Snow"Roadeo" held in Loveland, CO Wednesday,
September 30th. Kip took third place in the loader obstacle course and finished 28th in
the truck competition.
• Preventative street maintenance will continue to impact traffic and result in occasional
street closures through October 31, 2015.
AUDIENCE COMMENT
The following individuals from Cannabis Organization of Retail Establishments(CORE)
addressed Council regarding Marijuana regulation in the City of Renton, offering their
assistance in putting forth thoughtful regulations that would ensure a legal, safe and
sustainable cannabis industry within Washington State.Additionally,they recommended that
council make minimal changes to the number of retailers within their jurisdiction or buffer
zones, and informed Council that they are happy to assist with crafting robust policies that
objectively maintain public health and safety standards in the face of scrutiny and skepticism.
• Logan Bowers, Seattle
• Lewis McMurran, Des Moines
October 5, 2015 REGULAR COUNCIL MEETING MINUTES q
� �
COMMITTEE OF THE WHOLE ���D SY
COMMITTEE REPORT }�`PPR C�`.
��� C�u� �
October 5, 2105 ��g� ��
Zo .�
2016 Community Development Block Grant Funds
(September 14, 2015)
The Committee of the Whole recommends concurrence in the staff recommendation to
approve the allocation and use of the City's 2016 Community Development Block Grant
(CDBG) funds. The allocation and use of funds will be as listed below:
King County-City Joint Agreement/Contractual Set-asides
■ County Administration: $ 59,968
■ County Capital Administration: $ 11,994
■ Housing Stability Program: $ 29,984
■ King County Housing Repair Program: 119 936
Subtotal $221,gg2
Planning &Adminstration $ 59,968
Downtown Commercial Rehabilitation & Fa�ade Improvement Loan Program 317 832
TOTAL $599,682
d Prince, Council President
cc: Cliff Long, Economic Development Manager
John Collum,Community Development Project Manager
Dianne Utecht,.Community Development Block Grant Specialist
2016
�
Communit Develo ment Block Grant Funds
y p
Allocation & Use .
Public Hearin
g
Presented to the Renton City Council I
October 5, 2015 �
Agenda Item S.a.
� CITY OF
_ �
�� �� �
�
m ni Develo ment 61ock Grant
Com u t
Y p
CD6G Fund Allocation & Use Summar
v
�
• 2016 : Utilize $599 682 in new CDBG funds for
�
Ki n Cou nty contractua I set-asides, City
g
planning and administration, and City economic
development activities
�
CITY OF
. `
�n c�� �
CDBG Back r n
g
ou d
• City of Renton receives an annual allotment of CDBG funds
via an agreement with King County.
— CDBG is a flexible program that provides communities with �
resourcestoaddressawide rangeof uniquecommunity
development needs.
— Program utilizes federal funding that is administered through the
U. S. Department of Housing and Urban Development (HUD).
• Beginning in 2015, City allocated discretionary CDBG funds to
be used for economic development activities. �
• 2016 allotment is estimated to be $599,682.
CITY OF
� �
� ��
Q
C
DBG Fundin Plan
g
, . • ' • ' • � �iiiii��
�
2016 King County Contractual Set-asides Not Applicable �
- General Administration $ 59,968
- Capital Administration $ 11,994
- Housing Stability. Program $ 29,984
- Housing Repair Program 119 936
Subtotal $ 221,882
City Planning and Administration Not Applicable $ 59,968
Commercial Rehabilitation (Fa�ade �ow- and Moderate-lncome
Improvement Loan Program) Area Benefit $ 317,832 �
2016 TOTAL $ 599,682
� CITY OF
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D wnt wn Commercial Rehabilitation
0 0
a nd Fa ade I m rovement loa n Pro ra m
� p g
�.
.�������#�4� �
• Pur ose
p
— { ncentivize and assist property owners to
rehabilitate commercial buildings
— Encourage private investment
— Provide marketable space for businesses �
— Achieve significant visual improvements
_ _ _.._���;�,�,
k'� �AMC0R4
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• E � igi bi � ;ty:
-- Owners of properties or businesses (with landiord consent)
-- Located within Downtown and South Renton subareas �
• Application package required
• loan potentially forgivable based upon performance
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Recommendation
• On September 28, 2015, staff briefed the Committee of
the Whole (COW) on the recommended allocation and
use of the City's 2016 CDBG funds as provided in the �
staff presentation and issue paper.
• Council holds Public Hearing on October 5, 2015 (per
public notice) to provide opportunity for public
comment on the recommended allocation and use plan .
• Fol lowi ng pu bl ic hea ri ng a nd consideration of pu bl ic
comment, Council is requested to approve a COW
Committee Report recommending concurrence with �
staff recommendation and proposed changes (if any)
based upon any Council discussion .
CITY OF
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e) City Clerk submitted a request for partial release of easement by Paul Ebensteiner of Lozier at
Whitman Court, LLC, for the Whitman Court PUD Townhomes Development located in the
vicinity of NE 4th St. and Whitman Ct. NE. Refer to Utilities Committee.
f) City Clerk submitted a request for partial release of easement by Christopher Santoro of
Reserve at Renton Partners, LLLP,for the Renton Center Senior Living property located at 625
Renton Center Way SW. Refer to Utilities Committee.
g) City Clerk reported the results from the 9/1/2015 bid opening for CAG-15-134- Logan Ave. N -
Airport Way to N 6th St. project; and submitted the staff recommendation to accept the lowest
responsive bid submitted by Johansen Excavating, Inc. in the amount of$4,424,412.72. Council
Concur.
h) City Clerk submitted the 8/4/2015 Primary Election certification from King County Records and
Elections as follows: Council Position No.4—Charles D.Seil 419 votes—5.08%; Ryan Mclrvin
5,034 votes—61.05% NOMINATED; Monique Taylor-Swan 2,741 votes-33.24% NOMINATED;
Write-in 52 votes-0.63%. None; Information Only.
j i� Community& Economic Development Department recommended setting a public hearing on
v 10/5/2015 to consider approving the 2016 Community Development Block Grant allocation of
funds for human services and economic development activities.Council Concur.
j) Fire &Emergency Services Department recommended approval of an award letter from the
Washington State Military Department to accept Department of Homeland Security Emergency
Management Performance Grant funds in the amount of$88,167 to support the emergency
management program. (See below for resolution.J Council Concur.
k) Police Department recommended approval of a Cost Reimbursement Agreement with the King
County Sheriff's Office to receive funds in the amount of$40,298.37 for the purpose of verifying
the address and residency of registered sex and kidnapping offenders residing within the City
limits of Renton. Council Concur.
I) Transportation Systems Division recommended approval of Supplement#3 to CAG-13-142,with
Perteet, Inc., in the amount of$811,730 to extend the completion date and provide
construction management services for the Logan Avenue North (Airport Way to North 8th
Street) Improvement Project. Refer to Transportation (Aviation)Committee.
m) Transportation Systems Division recommended approval of a 35-year land lease of the 820
parcel to Rainier Flight Service, and approve the sublease of the 820 parcel to The Boeing
Company under Amendment No. 7 to LAG-10-001.Annual leasehold revenue generated would
be $53,555.29. Refer to Transportation (Aviation)Committee.
n) Transportation Systems Division recommended approval of an amendment to the Boeing
Employee Flying Association Lease (LAG-001-87) lease agreement for a land rental rate
adjustment from$0.62 to$0.7252 per square foot per year in accordance with a January 2015
lease arbitration decision.Council Concur.
o) Transportation Systems Division recommended approval of an amendment to the Bosair, LLC
Lease (LAG-12-004) lease agreement for a land rental rate adjustment from $0.63 to$0.7252
per square foot per year in accordance with a January 2015 lease arbitration decision. Council
Concur.
September 14, 2015 REGULAR COUNCIL MEETING MINUTES
, . ,
� `"�'"'` AGENDA ITEM #7. i)
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SUBJECT/TITLE: 2016 Community Development Block Grant Funds
RECOMMENDED ACTION: Council Concur
DEPARTMENT: Community& Economic Development
STAFF CONTACT: Cliff Long, Economic Development Director
EXT.: 6591
. • .
Expenditure Required: ;$599,682 'TransferAmendment: $ N/A
Amount Budgeted: $ N/A Revenue Generated: $ 599,682
Total Project 8udget: �, ���$N/A; . CityShare'Fotal Pro�ec�; $ NjA
, � . �
The City of Renton is required to hold a public hearing to provide an opportunity for public comment on its
proposed allocation and use of 2016 Community Development Block Grant (CDBG) funds.
In 2016, the City is estimated to receive $599,682 in CDGB funds. From that amount, the City must first
;,�, provide contractual set-asides per the Joint Agreement with King County consisting of County Administration
($59,968), County Capital Administration ($11,994), Housing Stability Program ($29,984; provides rent and
mortgage assistance to prevent individuals or families from eviction), and King County Housing Repair Program
($119,936; provides interest free loans and emergency grant services to low- and moderate-income
homeowners to repair their homes). The net amount available for the City's use after set-asides is estimated
to be$377,800.
Of the$377,800 remaining after set-asides,the City proposes to allocate $59,968 for Planning and
Administration, leaving a balance of$317,832 that is proposed to be allocated to continue the Downtown
Commercia) Rehabilitation and Facade Improvement Loan Program ("Program"). The Program currently
utilizes CDGB monies to incentivize and assist property and business owners to rehabilitate existing
commercial buildings in the combined Downtown and South Renton subareas of the City Center Community
Plan, as part of an effort to encourage private investment, attract new and expanding businesses, and provide
additional economic opportunities to an area where at least 51% of its residents are low-and moderate-
income persons.
:
A. Issue Paper
B. Facade Improvement Loan Program Brochure
� ' � � � •
Authorize a public hearing date on October 5, 2015, for public comment on the City's proposed allocation and
use of 2016 CDBG funds for human services and economic development activities.
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AGENDA ITEM #7, i)
DEPARTMENT OF COMMUNITY CITYOF �
& ECONOMIC DEVELOPMENT —_ —..----�Renton Q
M E M O R A N D U M
DATE: September 14, 2015
T0: Ed Prince, Council President
Members of Renton City Council
VIA: Denis Law, Mayor
FROM: Chip Vincent, Community& Economic Development Administrator
STAFF CONTACT: Cliff Long, Economic Development Director
John W. Collum, Community Development Project Manager
SUBJECT: 2016 Community Development Block Grant(CDBG) Funds
ISSUE:
Should the City of Renton hold a public hearing to provide an opportunity for public comment
on its use of 2016 CDBG funds for human services and economic development activities?
RECOMMENDATION: `�
Authorize a public hearing date on October 5, 2015 for public comment on the City's proposed
allocation and use of 2016 CDBG funds for human services and economic development
activities.
BACKGROUND SUMMARY:
The City of Renton is required to hold a public hearing to provide an opportunity for public
comment on its proposed allocation and use of 2016 CDBG funds. Staff recommends that
Council set October 5, 2015 as the public hearing date. Upon approval of the date, the City
Clerk will publish a public notice announcing the hearing date.
Starting with its 2015 CDBG funding, along with some unallocated 2014 CDBG monies, Council
approved using these valuable federal dollars for local economic development activities along
with King County-operated human services activities that are typically funded through this
source. Staff will recommend that Council continue allocating CDBG monies for both types of
services with its upcoming 2016 CDBG funding.
In 2016, the City is estimated to receive $599,682 in CDBG funds. From that amount, the City
must first provide contractual set-asides per the City's joint agreement for CDBG funding with
King County("Joint Agreement"), some of which fund important human service programs that
provide valuable assistance to Renton residents. The set-asides consist of:
�
. . . j
� `''� AGENDA ITEM #7, i)
Ed Prince,Council President
Page 2 of 4
September 14,2015
`�rr�'
■ County Administration: $ 59,968
■ County Capital Administration: $ 11,994
■ Housing Stability Program: $ 29�ggq
(provides rent and mortgage assistance to prevent
individuals or families from eviction)
■ King County Housing Repair Program: $119,936
(provides interest-free loans and emergency grant services to
low-and moderate-income homeowners to repair their homes)
The net amount available for the City's use after set-asides is estimated to be $ 377,800.
Of the remaining$377,800, the City proposes to allocate $59,968 for Planning and
Administration (the maximum amount allowed), leaving a balance of$317,832 that is proposed
to be allocated to continue the Downtown Commercial Rehabilitation and Fa�ade Improvement
Loan Program ("Program").
The Program was approved as part of Council's action last year to allocate CDBG monies to fund
local economic development activities, in an effort to provide financial assistance as an
incentive for owners in the Downtown and South Renton subareas (as designated in the City
Center Community Plan) to rehabilitate their commercial buildings, improve existing building
"�"' facades, encourage private investment, provide marketable space for new and expanding
businesses, achieve significant visual improvements, and improve the combined subareas'
overall health and safety.
Each specific project to be funded through CDBG must be an eligible activity under the U. S.
Department of Housing and Urban Development regulations ("HUD regulations"), meet a
national objective in accordance with HUD regulations, and comply with the Joint Agreement.
In this case, the Program has been designed to target the HUD CDBG national objective of
"Low-and Moderate-Income Area Benefit," which requires that at least 51% of the residents
residing in a primarily residential area are low- and moderate-income persons. Recent census
data shows that the combined Downtown and South Renton subareas meet this requirement.
Commercial building rehabilitation is a common activity in any community's economic
development program to spur private investment. Cities throughout the country have
developed programs where property and business owners are offered grants or loans at
favorable terms. The grants or loans are used as incentives to encourage physical
improvements and correct code violations that combat blighting conditions in existing
buildings, as well as to encourage the creation ofjobs. The resulting improvements will also
benefit residents of the surrounding neighborhoods, including low- and moderate-income
households that depend upon the goods and services provided within their local communities.
�.
� • - �
`'�'"" `"� AGENDA ITEM #7. i)
Ed Prince,Council President
Page 3 of 4
September 14,2015
�
Generally, the Program provides a minimum of$10,000 in assistance per property, offered in
the form of a no interest,forgivable Ioan which must be matched dollar for dollar by the
applicant. Owners of properties or businesses (with landlord consent) located within the
Downtown and South Renton subareas are eligible.The combined subareas are defined as
properties generally bounded by Rainier Avenue/Shattuck Avenue South (west), South 7th
Street/Grady Way(south), Main Avenue South/Houser Way (east), and the Cedar River/South
Tobin Street (north). Residential properties or residential uses within mixed use projects are
not eligible. Interested borrowers with eligible projects are required to submit an application
package to be considered for funding.
Since release of the Program earlier this year, Economic Development staff has held several
pre-application meetings with and fielded numerous telephone and email inquiries from
interested property and business owners. So far, staff has received two applications for
funding. The first is for rehabilitation of the old Renton Western Wear building located at 724
South 3rd Street, whose owner proposes to make over$500,000 worth of renovations to the
building's exterior, along with significant additional improvements to the building's interior to
accommodate an office use on the second floor and three-to-four retail tenant spaces on the
first/ground floor. Staff and the property owner have agreed upon an initial set of loan terms
and a loan agreement is being drafted. Staff is recommending that the Program's loan
committee (consisting of representatives from the City's Finance and Community & Economic
Development departments and a local financial institution) approve the owner's request of ""'�
$200,000 in Program funding to support the rehabilitation project, which is expected to start
construction this fall.
For the second application, staff is currently working with another property owner along
Downtown's South 3�d Street to develop fa�ade improvement concepts for two side-by-side
buildings. Each building contains one vacant tenant space that can support a new business.
Staff is supportive of utilizing Program funding for this application (currently estimated at
approximately$25-30,000), based upon its location in the downtown core and availability of
two retail spaces in renovated buildings that can support new businesses bringing employment
opportunities and attracting more customers to the area.
Staff believes that once construction of these two projects starts later this year, interest in the
Program will increase and additional monies will be needed in 2016 to satisfy demand for
rehabilitation assistance for existing commercial buildings.
`wrwr�`
. , r
� `� AGENDA ITEM #7. i)
Ed Prince,Council President
Page 4 of 4
September 14,2015
�
CONCLUSION:
CDBG funds can provide a source of funding to continue economic development activities in the
combined subareas to incentivize improvements to commercial buildings in 2016. The
improvements are expected to create additional economic opportunities and stimulate
reinvestment in the Downtown/South Renton area, which has been deemed a priority area for
economic development. Furthermore, the improvements will benefit the area's residents,
including low-and moderate-income persons. Allocation of other CDBG funds to satisfy
contractual set-asides per the Joint Agreement will ensure that important human service
programs provided by King County to Renton residents will continue. By scheduling a public
hearing for October 5, 2015, the Council will provide an opportunity for public comment on the
allocation of the City's 2016 CDBG funding for these purposes in accordance with HUD
regulations.
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Action Steps... About...
I...Review the Program Guidelines at The City of Renton is offering financial
www.rentonwa.gov/facadeprogram. assistance to upgrade business
2...Contact City of Renton program staff to discuss storefronts in the downtown area.
eligibility. Through the Downtown Commercial
Rehabilitation and Fa�ade
3...Submit application to City's Community& Improvement Loan Program,the City
Economic Development Department(CED), hopes to encourage investment in
including all requested attachments. Downtown,attract new and expanding
IF APPLICATION APPROVED... businesses,achieve significant visual
improvements,and improve
4...Submit additional information required by Downtown's overall economic health
Program Guidelines and program staff to CED, and safety.
including all requested attachments.
5...Receive funding approval from Program Loan The City will provide loans to several
Committee. businesses or property owners for
projects in 2015,with minimum loan
6...Work with program staff to develop loan amounts starting at$10,000 and
documents,provide any necessary closing maximum amounts subject to eligibility ,
information,and close loan. and availability of funds.
7...Construct project improvements,with City loan
proceeds provided on a reimbursement basis
(unless otherwise noted in loan documents).
8...Maintain uses and property while contributing
to the revitalization of Downtown Renton!
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Downtown & South Renton �
FaCts... Combined Subareas
- ,
' ', _ _i '
■Loan Amount: Minimum of$10,000;maximum
subject to eligibility and availability offunds. -
■Matching Funds: Loan recipient to provide -
matching funds in an amount at least equal to . ' "° , `
the requested loan.
■Loan Term/Interest: Upto 5 years with 0%
interest;loans may be forgivable subjed to " '
performance. � � �,
■Fees: No application fee. Loan recipients subjed
R, ..
to Loan Origination Fee of$150,or 0.25%of �
the actual loan amount(whichever is greater) � �;
and Closing Costs(including any legal fees)of . �%'=
� .
50%of total actual costs.
■Eligible Applicantr. ��
o For-profit or nonprofit operating businesses ,
(new or existing)seeking to locate or expand
(with landlord/property owner authority). ^ -
, �,
o Owners of existing buildings(vacant or - ,,�� .
occupied)with a re-use plan. ��' -
■Eligible Uses:
o Improvements to existing commercial
building facades,including windows,doors, `
walls,roof,foundation,paint,awnings,
signage,light fixtures,etc. o soo ,,o N
o Upgrades to bring existing commercial �°°'
buildings into compliance with current codes Commxinity&EconomkDevelopment �
LE'OYy'WKwR AMI�Mnmwkl�
(correcting existing code violations). .�,,,„, �.�,,,�
o Off-site infrastrudure upgrades that are a _�,..�r�'.,''�`� ����
' �„�f� 'l��!�; �j�oownwwn a s.rteneon caneinse suc.�a
requirement of a city-approved development { , - �:
plan.
Existing buildings must be located within the Downtown or South Renton combined subareas as designated within the City Center Community Plan(see boundaries above).�
o Soft costs(professional fees,consultant
studies,property reports,etc.)related to
eligible uses. '
■CDBG: Projectsselectedforfundingmustcomply Project Evaluafion...
with guidelines established bythe U.S.Housing � ��{ �
and Urban Development Department's CDBG I
program.
Projects seeking to be funded must demonstrate a
■Use Provision: Properties with improvements reasonable level of feasibility and impact on improving I
utilizing loan proceeds are subject to the economic viability of the downtown area. Applicants
recordation of a lien or deed of trust placed and projects will be evaluated in the context of ineeting
against the property for the term of the loan, criteria in the areas of feasibility,project impact/public
including provisions that uses and condition of benefit,quality and significance.
the property are adequately maintained.
�
'�"" City of Renton '"�"'
Notice of Public Hearing
Community Development Block Grant(CDBG) Funds
� Proposed Use of 2016 CDBG Funds
NOTICE IS HEREBY GIVEN that the Renton City Council has fixed the 5th day of October at 7:00 pm as the date and time
for a public hearing to be held in the Council Chambers of Renton City Hall, Seventh Floor, 1055 5. Grady Way, Renton,
WA 98057,to provide an opportunity for public comment on the allocation of CDBG funds. Public comment is
requested on the proposed 2016 CDBG allocations.
2016 Funds
The City will receive an estimated $599,682 in 2016 CDBG funds. The allocation after contractual set asides, covering
King County administration and human service program costs, is estimated to be$377,800,which the City is proposing
to allocate as follows:
1) Planning and Administration: $59,968 or the maximum amount allowable under the program to plan and
administer the use of CDBG funds.
2) Economic Development: Of the estimated$317,832 in remaining CDBG funds,the City proposes to allocate
them to continue the Downtown Commercial Rehabilitation and Fa�ade Improvement Loan Program.The
program provides financial assistance to property and business owners to renovate and improve existing
commercial buildings. Generally, a minimum of$10,000 in assistance per property is offered in the form of a
forgivable loan, which must be matched dollar-for-dollar by the applicant. Owners of properties or businesses
(with landlord consent) located within the Downtown and South Renton areas are eligible. The combined areas
are defined as properties generally bounded by Rainier/Shattuck Avenue South; South 7th Street/Grady Way;
Main Avenue South/Houser Way; and the Cedar River/South Tobin Street,. Residential properties or residential
uses within mixed-use projects are not eligible. For more information, contact John Collum, Community
Development Project Manager, City of Renton Community& Economic Development Department at 425-430-
6589, or jcollum@rentonwa.�ov.
This notice is available in alternate formats upon request for individuals with disabilities. All interested parties are
invited to attend the public hearing and present written or oral comments regarding the proposal. Renton City Hall is
compliant with the American Disabilities Act, and interpretive services for the hearing impaired will be provided upon
prior notice. Call (425)-430-6510 for additional information.
�
ason Seth
City Clerk
Published: Renton Reporter
September 18 and 25, 2015
Account No. 50640
� �
CITY OF RENTON
NOTICE OF PUBLIC HEARING
RENTON CITY COUNCIL
NOTICE IS HEREBY GIVEN that the Renton City Council has fixed the 5th day of October,
2015, at 7:00 p.m. as the date and time for a public hearing to be held in the seventh
floor Council Chambers of Renton City Hall, 1055 S. Grady Way, Renton, 98057, to
consider the following:
2016 Community Development Block Grant (CDBG) Funds
The City will receive an estimated $599,682 in 2016 CDBG funds. The
allocation after contractual set-asides is estimated at $377,800 which the
City is proposing to allocate as follows:
1) Planning and Administration: $59,968 or the maximum amount
atlowable under the program plan to administer the use of CDBG
funds.
2) An estimated $317,832 proposed to be allocated to continue the
Downtown Commercial Rehabilitation and Fa�ade Improvement
Loan Program.
This notice is available in alternate formats for individuals with disabilities upon
request. All interested parties are invited to attend the public hearing and present
written or oral comments regarding the proposal. Written comments submitted to the
City Clerk by 5:00 p.m. on the day of the hearing will be entered into the public hearing
record. Renton City Hall is in compliance with the American Disabilities Act, and
interpretive services for the hearing impaired will be provided upon prior notice. Call
(425) 430-6510 for additional information.
i
�
(
Jason Set
Deputy City Clerk
Published: Renton Reporter
September 18, 2015
Account No. 50640