City Council Meeting Date: June 18, 2024
To: Mayor and City Council
City Administrator
From: Jake Reilly, Community Development Director
Title
Consider Resolution Authorizing Submittal of Application to the U.S. Department of Housing and Urban Development PRICE Program
Body
Action Requested:
The Northfield City Council consider a Resolution authorizing application to U.S. Department of Housing and Urban Development PRICE Program.
Summary Report:
The U.S. Department of Housing and Urban Development (HUD) has issued a Notice of Funding Opportunity (NOFO) which appropriates $235 million in competitive grant funding for the preservation and revitalization of manufactured housing and eligible manufactured housing communities. Congress has directed HUD to undertake a competition using the Community Development Block Grant (CDBG) statutory and regulatory framework for this first-of-its-kind initiative. The Preservation and Reinvestment Initiative for Community Enhancement supports communities in their efforts to maintain, protect, and stabilize manufactured housing and manufactured housing communities (MHCs).
Of the $235 million available in PRICE funding, $210 million is reserved for the main PRICE competition (PRICE Main), of which $11 million is intended for Tribal Applicants (with $1 million reserved for Tribal Applicants), and $25 million is reserved for a pilot program (PRICE Replacement Pilot) to assist in the redevelopment of manufactured housing communities as replacement housing that is affordable. The PRICE Main funding will support low- and moderate-income homeowners with manufactured housing units and manufactured housing communities with critical investments such as repairs, infrastructure improvements, upgrades to increase resilience, services like eviction prevention and housing counseling, and planning activities such as those needed to transition to resident-managed communities. The PRICE Replacement Pilot will enable the replacement of manufactured housing units, especially those in disrepair, with up to four units of affordable housing - gently increasing density and ensuring affordability for years to come.
Staff intends to apply for the minimum allocation of $5,000,000 in order to create a repair/replacement program for manufactured home owners in existing parks and homes in Northfield and Rice County under the “PRICE Main” competition. And for an additional $5,000,000 under the PRICE Replacement Pilot in order to spur additional density and capitalize on underutilized properties already zoned for manufactured homes.
More information is available on the attached Frequently Asked Questions (FAQ) document and the Quick Summary documents.
The resolution will be sent out via supplemental prior to the meeting.
Alternative Options:
None recommended.
Financial Impacts:
The program does not require a match, however, projects that demonstrate leverage will be awarded points commensurately.
Tentative Timelines:
The FAQ states that projects are expected to be able to begin in fall 2024.