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Home My WebLink AboutResolution No. 2018-18 RESOLUTION NO. R2018-18 A RESOLUTION OF THE CITY OF FRIENDSWOOD, TEXAS, REQUESTING THE GENERAL LAND OFFICE OF TEXAS TO CONSIDER THE LOCAL CHALLENGES TO DISASTER RECOVERY CONCERNING THE BENEFIT REQUIREMENT FOR HOUSING AND URBAN DEVELOPMENT COMMUNITY DEVELOPMENT BLOCK GRANT DISASTER RECOVERY FUNDS BE USED TO SUPPORT LOW-TO-MODERATE-INCOME PERSONS AND SUPPORTING GALVESTON COUNTY'S AND LEAGUE CITY'S EFFORTS IN SEEKING A WAIVER. * * WHEREAS,Federal Register,FR-6066-N-01,Section VI.A.8,page 5855,statute requires that not less than 70 percent of aggregate of Community Development Block Grant (CDBG) program funds be used to support activities benefitting low-to-moderate-income persons; and WHEREAS, the City of Friendswood, Texas, is requesting the State of Texas pursue maximizing flexibility in the use of Housing and Urban Development (HUD) Community Development Block Grant disaster recovery(CDBG-DR)funds by request of a waiver from HUD or by State Administrative action, if sufficient authority exists, to seek a reduction and/or reconsideration in the 70%overall benefit requirement; and WHEREAS, based on our experience with previous recovery efforts during Hurricanes Rita and Ike, restricting the majority of funding to activities that only benefit low-to moderate- income persons results in disparities in housing recovery assistance and can prevent the implementation of critical infrastructure and mitigation projects that benefit entire communities; and WHEREAS, natural disasters, and the associated impacts to the citizens of Texas, are not restricted to mostly low-to moderate-income areas since many households and communities across the State of Texas have undergone massive setbacks due to Hurricane Harvey regardless of income levels; and WHEREAS, maximum flexibility in the use of CDBG-DR funds is essential to ensure a robust and lasting recovery and to help our communities better prepare for future storms. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD,TEXAS: Section 1. That the City of Friendswood, Texas, respectfully requests the General Land Office of Texas seek a waiver to the 70 percent overall benefit requirement which is allowed under FR-6066-N-01, Sections IV and VI, for CDBG-DR funds be used to support low- and moderate- income persons. Section 2. That the City of Friendswood, Texas, supports Galveston County and League City's efforts in seeking said waiver of CDBG-DR funds support low-to-moderate-income persons threshold. Section 2. That the City of Friendswood, Texas, supports Galveston County and League City's efforts in seeking said waiver to allow funding for infrastructure and housing programs in our cities and county. Section 3. The City Council of the City of Friendswood hereby ratify the Mayor's signature on a joint letter, included hereto as Exhibit A, to Commissioner George P. Bush of the Texas General Land Office seeking reconsideration of the low-to-moderate-income thresholds. PASSED,APPROVED AND ADOPTED this the loth day of September,2018. •.Mike Fore• n Attest: ••�� '• :4 `r".nAtit- L-� •U • "IL :G • Melinda Welsh, TRMC o City Secretary • .A Air .�fr R2018-18 '•9,'<(,• •••3. P� . OF Ter-, '. P5 E OF Tyler Drummond Mark Henry Chief of Staff _ Dianna Martinez 4,•, County Judge Office Coordinator County of Galveston ;o Linda Bilotta Liechty ; Administrative Assistant °f "` - Galveston County Courthouse 722 Moody Avenue,Galveston,Texas 77550 August 28,2018 Commissioner George P.Bush Texas General Land Office P.O. Box 12873 Austin,TX 78711-2873 RE: Local Challenges to Disaster Recovery Dear Commissioner Bush, It has been one year since Hurricane Harvey brought historic rainfall and flooding to Galveston County, flooding over 20,000 homes and displacing thousands of families throughout our community. We are writing to you today because we are finding several challenges ahead regarding the CDBG-DR funding for infrastructure and housing programs in our cities and county.After speaking with your staff on several occasions, as well as having discussions with the Department of Housing and Urban Development (HUD),we believe there is no adequate relief in sight,and respectfully ask for you to personally look into this and assist our community. As stated in the Federal Register, FR-6066-N-01, Section VI.A.9, page 5855, the statute requires each funded activity to meet a national objective of the CDBG program, including the national objective of benefitting low-to-moderate income (LMI) persons. Based on our experience with previous recovery efforts during Hurricanes Rita and Ike, restricting infrastructure funding to activities that only benefit areas that are mostly LMI can prevent the implementation of critical projects that benefit entire communities. Natural disasters, and the associated impacts to the citizens of Texas, are not restricted to mostly LMI areas. Many households and communities across the state have undergone massive setbacks due to Hurricane Harvey regardless of income levels.Maximum flexibility in the use of CDBG-DR funds is essential to ensure a robust and lasting recovery and to help our communities better prepare for future storms. Infrastructure/Non-Housing Projects From a conference call between the GLO, HUD,Congressman Randy Weber,and Galveston County, we were informed that HUD's LMI requirement is being mandated on a statewide level. However, we are being told that the GLO has decided to calculate LMI at the local municipal and county level.The GLO's calculation of LMI at the local level will prevent cities and the county from spending allocated recovery dollars due to our communities all being under the LMI threshold.This action will further delay recovery in our communities and our greatest fear is the dollars we are prevented to spend will get reclaimed back into the region and redistributed to areas that meet the LMI requirements - leaving our cities and county more vulnerable to future storms. August 28,2018 Page 2 of 2 One of your Senior Deputy Directors, Pete Phillips, spoke at a GLO multi-county meeting in Fort Bend about how an infrastructure project as a whole can obtain LMI status. An infrastructure project can meet current LMI requirements, if a portion of the overall project effects an LMI area and its result enacts a benefit to the LMI community. Looking at this from the view point of Director Phillips, when we look at the drainage areas affected by Hurricane Harvey,we should examine them with a two-pronged approach.The first approach would be to have adjoining cities coordinate efforts in locating the LMI areas affected within that drainage project. Together those cities should combine their efforts to have an engineering team scope the drainage project, that way they arc not considered a city-by-city project and the LMI status is captured for the whole project. If necessary, a second-pronged approach in the same manner can be achieved by combining drainage projects within multi-county areas. Brazoria,Galveston and Harris Counties will most definitely have an LMI population that falls within those waterway and drainage areas. CDBG-DR Housing Over the past year, we have heard from a number of elected officials, including you, that recovery will be managed at the local level. However, what we are seeing develop is a top-down approach in having programs managed directly from Austin. This is not the local control and involvement explained to us over the past year. Galveston County will not be successful in getting its citizens back to normalcy if the GLO runs programs from a top-down approach directed from Austin using outdated and unsubstantiated data created by FEMA to build their CDBG application database. To create a benefit to an area effected by Hurricane Harvey you must establish direct communication and outreach within those communities.You cannot rely on skewed FEMA Inspection Data and/or "windshield reports". Each city and community in Galveston County has areas of LMI; local government is best familiar with those demographics and would be best to establish that rapport. Public forums, local faith-based organizations, outreach, going door-to-door; all are similar to the efforts during Hurricane IKE recovery;would be the best option. Local government also has superior knowledge pertaining to the local workforce. Local administration of a CDBG Housing Program will create economic stimulus for the area. As an example, the housing downturn in Galveston County starting in 2008-2009 lasted well into 2012. During that time Galveston County's CDBG Housing Program for Hurricane Ike was well underway. It helped sustain the local economy and provided workforce relief to the county's local communities. To note, when Galveston County managed its own I lousing Program after I lurricane Ike (Rd. 1 & Rd. 2), we did so by spending less than 2% of the program dollars on administrative costs. Running the programs from Austin, we arc seeing administrative costs being discussed at the 5%-10% range of the net federal dollars. Again, we believe these programs can be better managed and save taxpayer dollars by allowing them to be administered at the local level. Every dollar saved on administrative costs is another dollar allocated to our communities to help rebuild. We are respectfully requesting that you take our concerns into consideration and develop actionable plans to address them so our communities can recover. As of right now,we are not seeing the type of response needed in helping us rebuild. Sincerely, -7:24--A/ Mark Henry Mayor Pat Hallisey Mike orema Galveston County Judge City of League City City o • wood