5 YEAR CONSOLIDATED PLAN GUIDEBOOKHOW SALEM USES CDBG AND HOME FUNDS
The following chart illustrates the categories of activities the City
funded during FY2015-2019 utilizing CDBG and HOME funds.
CONTACT INFORMATION
For inquiries or to send written comment contact:
City of Salem
Department
of Planning & Community Development
98 Washington Street
Salem, MA 01970
Att: Jane A. Guy, Assistant Community Development Director
978-619-5685
jguy@salem.com
CITY OF SALEM
FIVE-YEAR CONSOLIDATED PLAN
Public Participation Guidebook
CITY OF SALEM
KIMBERLEY DRISCOLL, MAYOR
Department of Planning & Community Development
Tom Daniel, AICP
Director of Planning and Community Development
Kathleen Winn
Deputy Director of Planning and Community Development
Jane A. Guy
Assistant Community Development Director
Affordable
Housing
(Includes HOME)
29%
Neighborhood
Improvements
26%Economic
Development
15%
Public Services
13%
Planning &
Administration
17%
FY2015-2019 CDBG & HOME Expenditures by Category
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INTRODUCTION
Each year, the City of Salem receives federal funds for housing and
community development activities. These funds are used to undertake
housing, community and economic development projects and programs
that assist very low, low and moderate income families and
neighborhoods. In order to receive these funds, the City must prepare a
Consolidated Plan every five years, as well as annual Action Plans to
implement the five-year plan.Salem’s last Consolidated Plan was
completed in 2015, following a process that involved gathering
information from many sources to identify needs that exist in Salem.
The result of this research was the development of a comprehensive
strategy for the use of Salem’s federal housing and community
development funds in order to fill gaps identified during the
Consolidated Plan process.The annual Action Plan puts into action the
goals and strategies established in the Consolidated Plan.
Public Participation
To develop the Consolidated Plan and the annual Action Plan, the City
seeks input from residents, businesses, social service organizations and
civic groups.The public is encouraged to participate in a series of
hearings,neighborhood meetings and focus groups.In addition to
public meetings, the City conducts interviews with local organizations
and individuals familiar with local needs. Citizens may also submit
written comments or express their opinions to city representatives,
such as the Mayor, a city councilor or a department director.
Following the gathering of community input, the City will prepare a
draft plan that describes Salem’s housing and community development
needs and establishes funding priorities and goals or targets for the use
of federal funds that the City expects to receive over the next five years.
The draft plan will be made available for a 30-day public comment
period, during which a second public hearing will be held.
Why Participate?
The City of Salem wants to ensure that its housing and community
development funds meet priority needs.In the last 5 fiscal years, the
City has received a total of $5,032,577 in Community Development
Block Grant (CDBG) funds which were used for a variety of housing
and community development activities. In addition, Salem is a member
of the North Shore HOME Consortium, which the City of Peabody
administers for 30 participating communities.As a Consortium
member, Salem receives a portion of the region’s allocation of Home
Investment Partnership (HOME) funds.In the last 5 fiscal years, Salem
has received $593,348 in HOME Program funds.
ABOUT THE HOME PROGRAM
The HOME Program was established by Congress in 1990. The purpose of the
HOME Program is to increase the supply of safe, decent, sanitary and
affordable housing for income-eligible households (see Income Limits). As
Salem is part of the North Shore HOME Consortium, the Consortium
prepares and submits a separate Consolidated Plan to apply for HOME funds
on behalf of the City and many other participating communities on the North
Shore. HOME funds may be used to fund a variety of housing activities
including:homebuyer programs, construction of rental housing, rehabilitation
of privately-owned housing, and tenant-based rental assistance.
HOME FUNDS ALLOCATED TO SALEM FY1995-2020
FY1996-2000 $861,513
FY2001-2005 $1,029,101
FY2006-2010 $968,121
FY2011-2015 $686,222
FY2016-2020 $593,348
ANNUAL HOME FUNDS ALLOCATION
2010-2011 $208,768
2011-2012 $181,248
2012-2013 $102,250
2013-2014 $93,621
2014-2015 $100,335
2015-2016 $84,612
2016-2017 $101,296
2017-2018 $99,497
2018-2019 $162,324
2019-2020 $145,619
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City of Salem
Low to Moderate Income Neighborhoods
(April 1, 2019)
Shaded areas indicate Salem neighborhoods in which more than 51% of
residents have very low,low,or moderate incomes.Urban Renewal
Area (downtown) boundary is black.Boundaries are approximate and
subject to change.
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CONSOLIDATED PLANNING PROCESS
The Five-Year Consolidated Plan is used by the City of Salem to coordinate
efforts to meet a wide variety of housing, community and economic
development needs. As required by federal law, the Consolidated Plan
includes a formal public participation process, which is described in the
City’s Citizen Participation Plan. The intent of the process is to:
Identify the housing and community development needs of various
populations by gathering data and public opinion on needs, problems
and gaps in services.
Set priorities.
Determine goals and strategies for meeting the City’s housing and
community development needs, and outline how federal funds will be
used to address them over the next five years.
Produce an Action Plan that describes how federal funds will be used
to implement them during the first year. The Action Plan is the only
component of the Consolidated Plan that must be prepared annually.
Needs Assessment
The Consolidated Plan must include a Needs Assessment, which considers
issues such as:
The housing needs of elderly and non-elderly homeowners and
tenants;
Special needs of the elderly, frail elderly, persons with HIV/AIDS,
persons with alcohol/other drug addiction, disabled persons,
developmentally disabled persons and persons with severe mental
illness;
Homeless needs for individuals and families, including:
Needs for emergency, transitional and permanent housing;
Supportive services such as job training, case management,
substance abuse treatment, mental health care, housing placement
and life skills training;
Estimated needs of chronic substance abusers, seriously mentally
ill, dually-diagnosed, veterans, persons with HIV/AIDS, victims of
substance abuse and youth;
Community needs such as anti-crime programs, economic
development, infrastructure, public facilities, public services,
programs for seniors and youth;
An analysis of the Housing Market, considering the existing housing
supply, housing demand, the condition and cost of housing in Salem,
accessibility, and other factors, such as foreclosures.
Problems caused by lead paint in older housing units;
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The need for strategies to combat poverty;
Barriers to affordable housing, such as inadequate government
resources, a shortage of programs to help renters become first-time
homebuyers, rental housing costs, or regulations that make it
difficult to build affordable housing; and
Housing discrimination, such as by landlords, lenders, real estate
agents, and others with a role in the sale or rental of housing units
Eligible Activities
CDBG funds may be used for a variety of activities. In general, the activities
fall into the categories listed below:
Anti-Crime Programs
Economic Development
Homeless & HIV/Aids Programs
Housing
Infrastructure
Planning & Administration
Public Facilities
Public Services
Senior Programs
Youth Programs
What Does “Very Low, Low or Moderate Income” Mean?
Each year HUD publishes “income limits” that define very low, low and
moderate income levels used in several housing and community development
programs. The income limits are determined by household size and the median
incomes in a particular area. Below are the income limits in effect for Salem as
of June, 2019.
Income Limits
Household Size ONE TWO THREE FOUR FIVE SIX SEVEN EIGHT
MODERATE
(80% of Median)62,450 71,400 80,300 89,200 96,350 103,500 110,650 117,750
LOW
(50% of Median)41,500 47,400 53,350 59,250 64,000 68,750 73,500 78,250
VERY LOW
(30% of Median)24,900 28,450 32,000 35,550 38,400 41,250 44,100 46,950
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CDBG 101: What Can Be Funded?
Although CDBG funds can be used for many types of housing,
community and economic development activities, some restrictions
apply. CDBG funds must be used for an eligible activity,must address
at least one of three “national objectives” set by Congress,and a
majority of the funds must be spent on activities that benefit very low,
low or moderate income people.
National Objectives
Benefit to very low, low and moderate income persons
Activities that serve a “limited clientele”
Limited clientele refers to certain populations presumed by
HUD to have very low, low or moderate incomes: abused
children, battered spouses, elderly persons, severely
disabled adults, homeless persons, illiterate persons,
persons living with AIDS and migrant farm workers.
Serving people with incomes below the very low, low or
moderate income threshold (see “Income Limits”).
Area benefit activities
Activity conducted in a service area that is primarily
residential, and at least 51% of the residents have very low,
low or moderate incomes (see Low/Mod Neighborhood
Map). The activity must meet the needs of very low, low
and moderate income persons.
Job creation or retention activities
At least 51% of the jobs created or retained must be
available to and held by very low, low or moderate income
people.
Aid in the prevention or elimination of slums or blight
Area Basis -Must be a formally designated area
Spot Basis –Only a limited set of activities qualify
Urban Renewal Area
Meet a need having a particular urgency
Recent emergency conditions only, posing an immediate threat
to health or welfare of community and no other funding is
available.
CONSOLIDATED PLAN PROCESS
Community Meeting Schedule
DATE/TIME LOCATION TARGET POPULATION
Wednesday, September 18,
2019, 8:30 a.m.
Old Town Hall, 32 Derby
Square, 2nd Floor
Joint Committee on Economic
Development ~ Business
groups, businesses, business
district groups, residents &
interested persons
Wednesday, September 18,
2019, 10:30 a.m.
Salem Housing Authority,
27 Charter Street
Salem Housing Authority
tenants & interested persons
Wednesday, September 25,
2019, 2:00 p.m.
City Hall Annex, 98
Washington Street, 1st
Floor
Housing Focus Group ~
Housing service providers,
social service agencies &
interested persons
Wednesday,September 25,
2019, 6:00 p.m.
Public Hearing
City Hall Annex, 98
Washington St., 1st Floor
General public ~
Spanish translation provided
Monday, September 30,
2019, 6:00 p.m.
Espacio Community Room,
105 Congress Street
Homeowners/tenants/
businesses ~ hosted by Point
Neighborhood Association ~
Spanish translation provided
Tuesday, October 1, 2019,
6:00 p.m.
Community Life Center,
401 Bridge Street
Affordable Housing Trust ~
Housing service providers,
social service agencies,
homeowners,tenants &
interested persons
Wednesday, October 2,
2019, 9:30 a.m.
Community Life Center,
401 Bridge Street
Senior citizens & interested
persons
Tuesday, October 15, 2019,
4:30 p.m.
Commission on Disabilities
Public Meeting
Salem Access Television,
285 Derby Street
Persons with disabilities,
service providers ~ hosted by
Salem Disabilities Commission
Tuesday, October 15, 2019,
2019, 7:00 p.m.
Salem State University
Enterprise Center, 121
Loring Avenue
South Salem Neighborhood
Association -Homeowners/
tenants, businesses &
interested persons
Comments may also be submitted via an online poll which will be available
9/18/2019 through 10/30/2019:
https://www.surveymonkey.com/r/salemconplan2020
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CONSOLIDATED PLAN PROCESS
Overall Timeframe
Task Date
Neighborhood meeting and focus group presentations
(see community meeting schedule)9/18/2019-10/15/2019
Public Hearing –6:00 p.m.,98 Washington Street 3rd
Floor 9/25/2019
On-line poll 9/18/2019-10/30/2019
Preparation of draft plans by consultant November,2019-
March,2020
Draft Consolidated Plan and Action Plan available 30
day comment period
March-April 2020
(tentative)
Public Hearing –6:00 p.m.,98 Washington Street 3rd
Floor Presentation of draft plans to Citizens Advisory
Committee
April 2020 (tentative)
City Council approval of Application for Federal Funding April 2020 (tentative)
Application for Federal Funding, five-year Consolidated
Plan and one-year Action Plan submitted to HUD May 2020
ABOUT THE CDBG PROGRAM
Background
The Community Development Block Grant (CDBG)has been a very important
federal program for cities across the United States since 1974. Administered by
the U.S. Department of Housing and Urban Development (HUD), CDBG is
available to two groups of recipients: “entitlement cities” like Salem, which
receive an allocation from HUD each year, and all 50 states. Small, non-
entitlement communities compete for CDBG funds by applying to the
Massachusetts Department of Housing and Community Development
(DHCD), which administers the state’s CDBG allocation. CDBG funds can be
used for projects or programs run by the City of Salem or by organizations
hired by the City.
CDBG FUNDS ALLOCATED TO SALEM FY1991-2020
FY1991-1995 $5,782,000
FY1996-2000 $7,180,000
FY2001-2005 $6,971,000
FY2006-2010 $5,874,862
FY2011-2015 $5,111,955
FY2016-2020 $5,032,577
ANNUAL CDBG FUNDS ALLOCATION
2010-2011 $1,245,477
2011-2012 $1,042,096
2012-2013 $903,833
2013-2014 $968,058
2014-2015 $952,491
2015-2016 $952,642
2016-2017 $995,257
2017-2018 $965,549
2018-2019 $1,053,238
2019-2020 $1,065,891
Note: These amounts do not include CDBG program income or HOME funds
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