Title
Dept/ Agency: Administration/Office of Management and Budget
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: CDBG's Budget Appropriation
Purpose: CDBG Coronavirus Aid, Relief and Economic Security (CARES) Act funds to sub-grantees.
Entity Name: City of Newark
Entity Address: 920 Broad Street, Newark, New Jersey 07102
Total Grant Amount: $4,310,416.00
Grant Period: September 1, 2020 through August 31, 2021, until funds are expended
Funding Source: United States Department of Housing and Urban Development
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:
Apply and Acceptance Resolution to be submitted under separate cover by the Department of Administration, Legistar File ID #20-0970.
body
WHEREAS, Resolution 7R1-a, adopted by the Municipal Council on November 11, 2019, authorized the Mayor and the Business Administrator to file a Program Year 2019 One-Year Action Plan with the United States Department of Housing and Urban Development (HUD), which contained, among other items, a request for $7,136,919.00 in CDBG funding, $608,884.00 in ESG funding, and $5,841,359.00 in HOPWA funding, and further authorized the Mayor and the Business Administrator to enter into and execute grant documents with HUD as may have been necessary to receive said grant funds; and
WHEREAS, Resolution 7R1-a dated November 7, 2019, further authorized the acceptance of said grant funds; and
WHEREAS, on March 27, 2020, to assist communities in their efforts to prevent, prepare for and respond to the Coronavirus Pandemic (COVID-19), the Federal Coronavirus Aid, Relief and Economic Security Act (CARES) was signed into law and included supplemental formula allocations to HUD’s Community Planning and Development programs, with allocations of $4,310,416.00 in CDBG funds, $7,621,389.00 in ESG, and $842,513.00 in HOPWA funds for the City of Newark; and
WHEREAS, the City desires to further the public interest by obtaining these funds as an additional resource to be used to prevent, prepare for, and respond to the coronavirus pandemic (COVID-19) to meet the needs of the citizens of Newark; and
WHEREAS, on July 16, 2020, the Business Administrator signed and submitted to HUD a Substantial Amendment of the City’s 2015-2020 HUD Consolidated Plan and 2019 Annual Action Plan, which proposed a CARES Act Amendment, that included supplemental formula allocations to the City of Newark in the amounts of $4,310,416.00 in CDBG funding, $7,621,389.00 in ESG funding, and $842,513.00 in HOPWA funding, for a total of $12,774,318.00; and
WHEREAS, by an award letter dated July 28, 2020, HUD approved the City’s aforesaid Substantial Amendment (a copy of said award letter is attached hereto and made a part hereof); and
WHEREAS, the Mayor and the Business Administrator wish to accept the additional CARES Act funding and execute a grant agreement amendment for same; and
WHEREAS, no matching municipal funds are required for acceptance of the additional CARES Act funding; and
WHEREAS, no commitment of City resources or staff is required for acceptance of the additional CARES Act funding; and
WHEREAS, $4,310,416.00 is the entitlement amount for the Coronavirus Aid, Relief and Economic Security (CARES) Act; and
WHEREAS, the City of Newark desires to establish the block grant program and appropriate the funds to the various sub-grantees (ALL WARDS).
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The following amounts be appropriated for Community Development Block Grant-CARES Act.
PROJECT AMOUNT
CDBG-CV Allocation
Special Economic Development Activities
Salaries and Wages $-0-
Other Expenses $800,000
Microenterprise Assistance
Salaries and Wages $-0-
Other Expenses $1,800,000
Tenant Based Rental Assistance
Salaries and Wages $-0-
Other Expenses $1,300,000
Non-Profits
Salaries and Wages $-0-
Other Expenses $410,416
TOTAL CDBG-CV Act ENTITLEMENT $4,310,416.00
STATEMENT
The City of Newark has been awarded $4,310,416.00 for the Community Development Block Grant Coronavirus Aid, Relief and Economic Security Act (CARES Act). The United States Department of Housing and Urban Development has provided the funding.