Memorandum

City of Lawrence

Neighborhood Resources Department

TO:	Mayor Highberger, City Commission
FROM:	Neighborhood Resources Advisory Committee, Greg Moore, Chairperson
CC:	Mike Wildgen, City Manager; Neighborhood Resources Department
DATE:	April 18, 2005
RE:	2005 CDBG/HOME Deliberations

As you know, the Mayor with approval of the City Commission appoints the Neighborhood Resources Advisory Committee (NRAC) as a citizen advisory committee.  The NRAC is primarily tasked with the allocation of the Community Development Block Grant (CDBG) and HOME Investment Partnerships Program (HOME) funds which the City receives each year as a federal entitlement.  The NRAC begins meeting in January of each year to review grant applications and to recommend allocation of funds to the various applicants based on previous strategic goals set by the Committee and subsequently approved by the City Commission.  Additionally, funding is recommended in accordance with federal statute and guidelines set by the U. S. Department of Housing and Urban Development (HUD).  A current top priority of both the NRAC and HUD is that of emergency shelter.  During 2004, the Community Drop-In Center and the Lawrence Open Shelter, two agencies that were operating as a day shelter and an emergency shelter, merged to form the Lawrence Community Shelter.  This merger, along with increased efforts of both The Salvation Army and Lawrence Community Shelter to coordinate services, has resulted in the implementation of 24/7 shelter operations in Lawrence. 

However, the expanded hours of the shelters, coupled with the expectation to provide case management services to people experiencing homelessness or who are at risk of homelessness, has resulted in increased operating costs for the shelters.   Unfortunately, in the wake of recent cuts to the CDBG program, (down $52,000 from 2004 and $200,000+ since 2001), the allocation of Public Service dollars has also significantly decreased (down $32,000 since 2001).  The Public Service portion of CDBG allocations may not exceed 15% of the CDBG grant and emergency shelter operations fall into this category.  By federal regulation, the Committee cannot increase the allocation to shelter operations (or any other public service activity such as neighborhood operating expenses or coordinator salaries) by shifting funds away from other categories such as Administration or Capital Improvements.  As a result, the NRAC believes that the recommended funding in the 2005 Investment Summary is the best solution at this time in view of current limited resources. 

The second priority set by the NRAC is continued neighborhood revitalization and in support of that priority, the NRAC has recommended funding levels at or slightly below 2004 allocations for Neighborhood Operating Expenses, Coordinator Salaries, and Neighborhood Cleanups, various capital improvements to the Achievement Place for Boys, Ballard Community Center, ELNA Van Go Mobile Arts Building Acquisition, and Health Care Access, as well as allocations to the various programs administered by the Neighborhood Resources Department including Comprehensive Rehab, the HOOT First Time Homebuyer Program, Weatherization, and Emergency and Furnace Loan Programs, and the Independence, Inc. Accessible Housing Program and Home of Your Own (HOYO). 

The NRAC appreciates the efforts and accomplishments of The Salvation Army, Lawrence Community Shelter, the Taskforce on Homeless Services, and others to address and alleviate the homeless situation in Lawrence.  Additionally, the NRAC supports and applauds any effort by the City Commission to allocate additional general operating funds during the current budget process to agencies that are providing emergency shelter and/or case management activities for those persons experiencing homelessness, or who might be on the brink of homelessness.

The NRAC thanks the City Commission for this opportunity to serve the Lawrence community and is available for questions, suggestions, or comments.