Title
Dept/ Agency: Economic and Housing Development
Action: (X) Ratifying (X) Authorizing ( ) Amending
Type of Service: Application and Acceptance of Grant Funds
Purpose: To apply and accept of grant funds from the United States Department of Housing and Urban Development for the identification and removal of barriers to affordable housing production and preservation.
Entity Name: United States Department of Housing and Urban Development (HUD)
Entity Address: 451 7th Street, S.W., Washington, DC 20410
Grant Amount: $4,000,000.00
Total Project Cost: $0.00
City Contribution: $0.00
Other Funding Source/Amount: $0.00
Grant Period: August 23, 2024 through September 30, 2029
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale (X) Grant ( ) Sub-recipient ( ) n/a
Additional Information:
The United States Department of Housing and Urban Development (HUD)
Pathways to Removing Obstacles to Housing (PRO Housing) supports communities who are actively taking steps to remove barriers to affordable housing, such as:
• Barriers caused by outdated zoning, land use policies, or regulations;
• Inefficient procedures;
• Gaps in available resources for development;
• Deteriorating or inadequate infrastructure;
• Lack of neighborhood amenities; or
• Challenges to preserving existing housing stock such as increasing threats from natural hazards, redevelopment pressures, or expiration of affordability requirements.
body
WHEREAS, communities nationwide are suffering from a lack of affordable housing and housing production is not meeting the increasing demand for accessible and available units in many urban and rural areas, particularly areas of high opportunity; and
WHEREAS, in July 2023, the United States Department of Housing and Urban Development (HUD) announced the Pathways to Removing Obstacles to Housing (PRO Housing) competitive grants program to provide Eighty-Five Million Dollars and Zero Cents ($85,000,000.00) in funding for communities across the country to identify and remove barriers to affordable housing production and preservation; and
WHEREAS, the City of Newark’s Office of Affordability and Sustainable Housing submitted a comprehensive grant application requesting Ten Million Dollars and Zero Cents ($10,000,000.00) - the maximum grant amount; and
WHEREAS, HUD received considerable interest in the first round of PRO Housing funding. Applications were submitted from more than (175) communities - representing a wide variety of demographics, geographies and population sizes - across (47) States and territories. Successful applicants demonstrated a commitment to eliminating barriers to housing and progress toward creating more housing forward communities; and
WHEREAS, on June 26, 2024, the White House and HUD announced (21) awards totaling nearly Eighty-Five Million Dollars and Zero Cents ($85,000,000.00) under the Pathways to Removing Obstacles to Housing (PRO Housing) Fiscal Year 2023 Notice of Funding Opportunity; and
WHEREAS, the City of Newark (the “City”), as a result of this application, was awarded Four Million Dollars and Zero Cents ($4,000,000.00) for the purposes of updating its local housing plans, revising land use policies, streamlining the permitting process, providing construction funds, and taking other actions to create more housing-forward communities. Located in one of the least affordable regions of the country, the City, will use its PRO Housing grant to continue the implementation of its updated local land-use regulations, which will significantly increase the speed at which affordable housing can be generated; and
WHEREAS, the City desires to accept said grant funds; and
WHEREAS, the City will also use the funding to expand its Live Newark Homeowner Assistance Program of forgivable down payment loans to first time homebuyers and for home repairs. In addition, the grant will help further the Equitable Investments in Newark Communities (EINC) Program, which enables the development or rehabilitation of homes, while simultaneously expanding opportunities for minority/women-owned business enterprise developers and contractors; and
WHEREAS, the City received the formal funding approval/agreement from HUD on August 23, 2024.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. This Resolution ratifies and authorizes the Mayor of the City of Newark and/or his designee, the Business Administrator and/or, the Deputy Mayor/Director of the Department of Economic and Housing Development, to apply for and accept the United States Department of Housing and Urban Development (HUD) grant funding in the amount of Four Million Dollars and Zero Cents ($4,000,000.00).
2. The Municipal Council hereby ratifies its authorization of this grant application from the date of the application’s submission to the date of adoption of this authorizing Resolution.
3. The resulting grant award from HUD is hereby accepted.
4. The Mayor of the City of Newark and/or his designee, the Business Administrator, and/or the Deputy Mayor/Director of the Department of Economic and Housing Development, is hereby authorized to file the electronic acceptance necessary to accept the grant award.
5. The Municipal Council hereby ratifies the acceptance of this grant award from the date that the electronic acceptance was filed to the date of the adoption of this authorizing Resolution.
6. The Mayor of the City of Newark and/or his designee, the Business Administrator, and/or the Deputy Mayor/Director of the Department of Economic and Housing Development, is hereby authorized to receive and expend the grant award commencing on August 23, 2024 through September 29, 2029.
STATEMENT
This Resolution ratifies and authorizes the Mayor of the City of Newark, and/or his designee, the Business Administrator and/or the Deputy Mayor/Director of the Department of Economic and Housing Development to apply and accept the United States. Department of Housing and Urban Development for grant funding in the amount of $4,000,000.00.