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FY20 COMPANION TO 1 YEAR ACTION PLAN - YEAR 5 of 5 - JULY 3 2019 CITY OF SALEM FY20 COMPANION to, and ONE-YEAR ACTION PLAN (YEAR 5 OF 5 OF THE 5-YEAR CONSOLIDATED PLAN) JULY 1, 2019 – JUNE 30, 2020 FISCAL YEAR 2020 (HUD 2019 FUNDS) JULY 3, 2019 Kimberley Driscoll Mayor Tom Daniel, AICP Director of Planning & Community Development Kathleen Winn Deputy Director of Planning & Community Development Jane A. Guy Assistant Community Development Director TABLE OF CONTENTS FOR BOTH THE FY20 COMPANION AND FY20 ACTION PLAN FY20 COMPANION Introduction ................................................................................................................................................... i CDBG 101: What Can Be Funded? ............................................................................................................ i FY20 Action Plan Summary of Proposed Activities .................................................................................. iii Other Resources………………………………………………………………………………………………………………………………..ix FY20 ACTION PLAN Executive Summary ....................................................................................................................................... 1 AP-05 Executive Summary - 91.200(c), 91.220(b) .................................................................................... 1 PR-05 Lead & Responsible Agencies - 91.200(b) ...................................................................................... 7 AP-10 Consultation - 91.100, 91.200(b), 91.215(l) ................................................................................... 8 AP-12 Participation - 91.401, 91.105, 91.200(c) ..................................................................................... 17 Expected Resources .................................................................................................................................... 21 AP-15 Expected Resources – 91.420(b), 91.220(c) (1, 2) ........................................................................ 21 Annual Goals and Objectives ...................................................................................................................... 25 AP-20 Annual Goals and Objectives………………...……….………………………………………………………………………. 25 AP-35 Projects - 91.420, 91.220(d) ......................................................................................................... 31 AP-38 Project Summary .......................................................................................................................... 33 AP-50 Geographic Distribution - 91.420, 91.220(f) ................................................................................ 43 AP-75 Barriers to Affordable Housing - 91.420, 91.220(j) ...................................................................... 44 AP-85 Other Actions - 91.420, 91.220(k) ................................................................................................ 46 Program Specific Requirements .................................................................................................................. 51 AP-90 Program Specific Requirements…………………………………………………………………………………………….….51 Appendix 1. LMI Map 2. Application for Federal Funding (SF-424) & Certifications 3. Citizen Participation Comments Part 1 - Public Participation Process Part 2 - Review of Draft Plan Written comment received i Introduction The Federal funding that Salem will receive for FY20 includes $1,065,891 in CDBG funds, an estimated $145,619 in HOME funds and a projected $100,000 in program income. Total proposed expenditures based on current estimates of funding to be available are $1,311,510. Many activities leverage funding from other sources to maximize the impact of the federal dollars the City receives. Together, these resources fund a wide range of activities designed to develop and maintain affordable housing, improve neighborhood public facilities, provide economic opportunities, improve access for people with disabilities, provide critical public services, assist people who are homeless, and prevent homelessness. The City bases its funding allocations on needs identified, proposed activities and accomplishments to meet those needs and estimated funding needed to reach the goals and accomplishment levels. 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” below)  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 Map in Appendix). 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 (i.e. Salem’s downtown)  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 ii Eligible Activities CDBG funds may be used for a variety of activities. In general, the activities fall into these categories:  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 area1. Below are the income limits in effect for Salem as of June 1, 2018. Income Limits Household Size ONE TWO THREE FOUR FIVE SIX SEVEN EIGHT MODERATE (80% of Median) 56,800 64,900 73,000 81,100 87,600 94,100 100,600 107,100 LOW (50% of Median) 37,750 43,150 48,550 53,900 58,250 62,550 66,850 71,150 VERY LOW (30% of Median) 22,650 25,900 29,150 32,350 34,950 37,550 40,150 42,750 1 Salem’s median income is $113,300 as of 4/24/2019 iii FY20 Action Plan Summary of Proposed Activities The following section describes the activities proposed for FY20 in the categories of Affordable Housing, Economic Development, Neighborhood Improvements, Public Services and Planning & Administration that will be undertaken with CDBG and/or HOME funds. The activities listed are a combination of those managed by the city and by community organizations. Typically, the City identifies activities to be funded from a specific year’s resources, but for some projects, such as multi-year funding commitments or construction projects, the activity may be completed in the following fiscal year or undertaken over several fiscal years. It is not uncommon for the City to have projects that are ongoing from a previous fiscal year. FY20 Affordable Housing Activities  Housing Rehabilitation Loan Program The Housing Rehabilitation Loan Program provides technical and financial assistance to help homeowners make needed improvements to their properties. The program’s primary objectives are the elimination of lead paint, hazardous health and safety conditions, code violations, and barriers to accessibility. The program rehabilitates owner-occupied single and multi-family properties, which also creates and/or improves rental opportunities. As requested by residents to address the issue of substandard rental housing, this program also addresses building code violations and health and safety issues in investor-owned properties with preference to locations in low to moderate income neighborhoods. Upon completion of the rehabilitation, and for at least 15 years thereafter, all rental units assisted with federal funding will be restricted to affordable rents.2 This year the City is considering expanding the program to non-federally assisted Salem Housing Authority properties. Projected Accomplishments: 3 Housing Units Rehabbed with CDBG Proposed Funding: $80,000 CDBG; $141,250 HOME (If Salem’s HOME allocation is more/less than estimated, HOME funds for this activity will be adjusted by the difference). This activity will also use carried over funding from FY19 (for additional units).  First-Time Homebuyer Downpayment Assistance Loan Program The First-Time Homebuyer Downpayment Assistance Loan Program provides 0 percent interest, deferred- payment loans to households that wish to purchase a home in the City of Salem. The loan is deferred, as long as ownership of the property is not sold, transferred or refinanced. This program provides renters with the opportunity to become homeowners, while potentially freeing up a rental unit for another family. Projected Accomplishments: 0 Households Assisted Proposed Funding: $0.00 CDBG This activity will use carried over funding from FY19. TP 2PT Rents are established by HUD annually. Housing Forum held March 5, 2019 iv  Rental Downpayment Assistance Program The Rental Downpayment Assistance Program, administered through local social service agencies, provides assistance to low- and very low-income Salem residents to help pay first and last month’s rents and security deposits to enable them to obtain decent housing or to help subsidized rents on a temporary basis for families escaping violence. Projected Accomplishments: 0 Households assisted Proposed Funding: $0.00 HOME This activity will use carried over funding from FY19.  Tenant Based Rental Assistance (Housing First) Tenant Based Rental Assistance will target homelessness in Salem through North Shore Community Action Programs. It will provide 12-24 months of temporary rental assistance for high risk homeless individuals. Support services will be provided separately through the agency. Projected Accomplishments: 0 Individuals assisted Proposed Funding: $0.00 HOME This activity will use carried over funding from FY19.  Affordable Housing Development Pool of funds for when opportunities arise for pre-development, acquisition and/or rehabilitation of affordable housing units (at or below 80% of AMI) by non-profit housing developers and/or CHDO’s. Projected Accomplishments: To be determined. Proposed Funding: Carried over CDBG from FY19 will be used for specific development projects to be determined.  Rehabilitation Administration Provides for the administration costs necessary to manage our rehabilitation programs, including inspectional services, mortgage filings, salary, benefits and non-salary expenses. Proposed Funding: $87,600 CDBG; approximately $4,369 HOME Fiscal Year 2020 Economic Development Activities  Small Business Financial Assistance Programs The City provides financial assistance to local business owners through its Business Loan Program and Storefront Improvement Program, which are operated out of a funding pool. The Salem Business Loan Program works to expand financing opportunities for local entrepreneurs, while creating jobs for low- and moderate-income individuals and revitalizing the city’s downtown and income-eligible neighborhoods. The program provides low-interest loans to qualified entrepreneurs to cover the gap between the amount of financing needed for an economic development project and the amount that conventional lenders can finance. Funds are available for acquisition, construction, or rehabilitation of real property and for financing First small business client to utilize a new incubator space managed by North Shore CDC. v related to the purchase of equipment, fixtures, inventory, leasehold improvements and working capital. Terms/conditions of the loans vary. The Storefront Improvement Program is designed to encourage private investment and reinvestment by new and existing property/business owners in eligible commercial districts, by offering a one-to-one match for façade improvements. The match from the city is up to $5,000 for each storefront. Projected Accomplishments: 1 business assisted, minimum of 2 jobs created Proposed Funding: $70,000. This activity may also use any carried over funding from FY19.  Business Technical Assistance The City helps to coordinate and fund technical assistance services to local business owners. In FY20, the City will continue to fund the Salem Main Streets Downtown Program. The goal of the Program is to assist in the revitalization of downtown Salem as a vibrant year-round retail, dining and cultural destination through business recruitment, retention and promotion. Main Streets works with entrepreneurs and business owners to secure needed resources and navigate approval processes. Main Streets also works to improve the downtown business climate in support of additional economic development. Technical assistance is also provided to new and existing businesses by the City’s Economic Development Planner, who administers the City’s financial assistance programs and provides administration to the Salem Redevelopment Authority, which has approval authority over projects occurring in the Downtown Area (slum/blight area). Continuing this year will be assistance for a Small Business Engagement Program that will serve minority entrepreneurs with a business workshop series, mentoring sessions, networking groups and referrals to partner agencies. The program will assist the development and growth of immigrant-owned businesses that provide products and services to the Point Neighborhood. Projected Accomplishments: 50 business owners/potential owners assisted, minimum 4 jobs created Proposed Funding: $140,000 vi Fiscal Year 2020 Neighborhood Improvement Activities  Parks, Public Facilities & Infrastructure Improvements Various improvements to publicly owned resources in eligible neighborhoods. Improvements may include, pedestrian circulation, safety and aesthetics, accessibility improvements, trash receptacles, traffic improvements, lighting, public art, signage, cleanup of vacant lots and open space improvements, as well as improvements to fire stations, other public facilities and public infrastructure. Improvements under consideration include improvements to one or more fire stations, improvements to Palmer Cove Park, Gallows Hill Park, the On-Point Teen Center and/or improvements to school recreational facilities. Projected Accomplishments: Various park, public facility and infrastructure improvements Proposed Funding: $243,200  Downtown/South River Improvements Undertake infrastructure improvements to support Salem's slum/blight area (downtown) and complement ongoing Economic Development activities. The Downtown is bounded roughly by Bridge Street to the north, Peabody Street to the south, Summer Street to the west, and the Salem Common to the east. The MBTA's Salem commuter rail station parking lot, located just north of Bridge Street, is included within the Downtown, as is the South River located to the South. Just a couple years ago, the properties along the Downtown side of the South River included several vacant business spaces, including a large empty parcel that had several failed attempts at development. However, more recently, this area has started to go through a positive transition that the City would like to help further along. One building that had been vacant for over a year, as well as a former tire shop, revived as new restaurants. Notch Brewery opened its brewery with a tasting room and outdoor patio facing the South River. The Salem Waterfront Hotel has received all local permits needed to undertake an expansion of their hotel by 42 rooms within a new building on a currently underutilized lot that sits alongside of the South River. The City is pursuing state level permits and funding opportunities to dredge the South River, with the end goal of making a portion of the river open to recreational boating. The City recently acquired a large vacant parcel in the middle of this activity, currently undergoing construction as a new waterfront park. These activities will all help alleviate slum/blight conditions, create jobs and encourage further development. The City intends to complement these efforts and other downtown efforts by contributing public investment to help further spur private investment and to help bring new customers to fledgling businesses, further increasing the vitality of the area, and thereby reducing slum/blight. Activities may include street/sidewalk improvements, pedestrian circulation, safety and aesthetics, accessibility improvements, tree planting, trash receptacles, traffic improvements, lighting, public art, signage and open space improvements, as well as improvements to public facilities and public infrastructure. Examples could be the continuation of the Harborwalk or installation of permanent year-round or seasonal lighting as public art. Projected Accomplishments: Facility and infrastructure improvements and/or public art Proposed Funding: $0.00. This activity will use carried over funds from FY19 Gallows Hill Park vii  Neighborhood Street and Sidewalk Improvements/Tree Planting The City’s Street Improvement Program funds the repaving of streets, installation of curb cuts/crosswalks, replacement of sidewalks and planting of street trees in eligible neighborhoods or the downtown slum/blight area. Proposed Funding: $140,000 Note: The City is also considering submitting an application for a Section 108 loan in FY19, in order to undertake comprehensive street improvements (street paving, sidewalk replacement, curbcuts and crosswalk installations) in the Point Neighborhood or other eligible neighborhoods. The Neighborhood Improvement category will also include $15,000 for program delivery costs. Fiscal Year 2020 Social Services Activities  Community Support Services This program provides grants to nonprofit agencies for social service programs that assist homeless individuals and families, as well as low- and moderate-income Salem residents in need. Funded programs are selected through a competitive Request for Proposal process. Proposed Accomplishments: Grants for approximately 29 social service agency programs to assist an estimated 8,800 persons. Proposed Funding: $174,883 Fiscal Year 2020 Social Services Funding Proposals Received: Located within or steps from the Point Neighborhood:  Catholic Charities - Homeless Prevention Program  HAWC – Children’s Services for Domestic Violence Victims in Emergency Shelter  Disability Resources Center - Housing Assistance Services  Leap for Education - College and Career Ready Program  North Shore CDC - Family Resource Center  North Shore Community Health – Increased Access to Behavioral and Medical Services to Homeless Individuals  Salem Community Child Care – Kindergarten Afterschool Program  Salem Police Department - Point Targeted Patrols  VOCES - Hispanic Education Program  Open Door Immigration Program – Increasing Community Access to Immigration Legal Services Located in Downtown Salem:  Lifebridge - Medical & Outreach Supportive Services  New Liberty Innovation School – Teacher Home Visits & Family Engagement Above: Fairy house planning Below: The final result viii  Salem YMCA - Afterschool Program Located within Salem:  Aspire Developmental Services, Inc. – Early Intervention Program  Bentley Academy Charter School – Home Visits & Family Engagement  Boys & Girls Club of Greater Salem - Power Hour  Eastgate Christian Fellowship - Joseph’s Storehouse Food Pantry (withdrawn)  Inversant – Salem Families College Savings Program  The North Shore Moving Market – Food Delivery for Elderly and Disabled persons  Salem Council on Aging - Senior Transportation Program  Salem Council on Aging –Creative Arts Program for Senior Citizens  Salem Council on Aging –Muscle Strength & Endurance for Senior Citizens  Salem Park, Recreation & Community Services – Enrichment Playground Programs (Palmer Cove and Memorial Parks)  The Salvation Army - Homeless Prevention Program  The Salvation Army – Winter Emergency Cot Shelter  Wellspring House - MediClerk Job Training Program Located outside Salem (but available to Salem residents):  Citizens Inn, Inc. – Haven from Hunger Food Pantry  North Shore Community Action Programs, Inc. - Homeless Prevention Program Fiscal Year 2020 Planning & Administration Activities  General Program Administration This activity provides for the necessary general administration costs of the CDBG program oversight and coordination. It also includes the development of plans and studies and the provision of public information. General administration costs are capped at 20 percent of the available CDBG funds. Proposed Funding: $215,208 (salary, benefits, non-salary expenses, studies). This may include funds required to match grant funds being provided by Massachusetts Historical Commission to undertake Survey and Planning Grant projects and/or other grant-funded projects. In 2018, the DPCD & other City offices moved to a newly redeveloped building. ix Other Resources Many activities leverage funding from other sources to maximize the impact of the federal dollars the City receives. In addition to the City, several housing and community development programs are carried out by non-city agencies that operate through a variety of resources. This section describes the anticipated resources that assist Salem residents in addition to CDBG and HOME funds. These include leveraged funding for Salem’s CDBG and HOME activities, financial resources for Salem’s community partners and other services and resources available to Salem residents. The dollar amounts are best estimates and do not indicate a minimum or maximum amount that will be leveraged. Anticipated Financial/Leveraged Resources While it is not possible to anticipate every source of funding, examples of anticipated funding resources from other federal, state and private sources for the City of Salem Department of Planning & Community Development for FY20 are below. This is in addition to City Capital Improvement Program, Community Preservation Act, General and other local funds. The dollar amounts are best estimates and do not indicate a minimum or maximum amount that will be leveraged. This includes full amounts applying for, applied for, awarded or awarded and partially spent for all programs and projects to be undertaken by the DPCD or in conjunction with other City departments - not just those leveraged with CDBG funds: Source Amount Federal Sources (Non-CDBG or HOME): U.S. Dept. of Transportation Passenger Ferry Grant Program $3,400,000 Environmental Protection Agency - Revolving Loan Fund awarded with Peabody, MA - for use over 5 years 1-/2014-9/2019 (includes remaining loan funds and program income) $760,645 State Sources: MassHousing Planning for Housing Production $58,887 Executive Office of Energy and Environmental Affairs – Subdivision Grant $45,000 Massachusetts Cultural Council (awarded for Charter Street Cemetery Restoration) $125,000 MS DCR: Mass Trails grant for Szetela Lane shared-use path extension (applied) $300,000 Gateway Cities (289 Derby Street construction) $1,100,000 MA Division of Conservation Services – Parkland Acquisitions and Renovations for Communities (Gallows Hill Park renovation) $400,000 Seaport Economic Council Program (small boat facilities) $1,000,000 EOHED – MassWorks Infrastructure Program FY2016 (awarded for Bridge Street project through Engineering Dept.) $3,181,471 MassDevelopment TDI Affiliate District for Congress Street (estimate) $20,000 Essex County Community Foundation – Arts & Culture Grant (expecting to apply) $30,000 Massachusetts Emergency Management Agency (hazard mitigation plan) $16,666 Tufts Health Plan Foundation (Shuttle Study through Council on Aging) $30,000 Private/Other Sources: National Grid (EV charging stations) – (applying up to) $10,000 Tony Hawk Foundation (Brennan Skatepark) $5,000 x On the next few pages, we have included tables for several key organizations, (Salem Housing Authority, North Shore Community Action Programs, Inc., Lifebridge and North Shore Community Development Coalition). Each indicates the funding year that they provided, representing typical leveraged funds. Salem Housing Authority for year ending September 30, 2019: Source Amount Federal Sources U.S. Department of Housing and Urban Development Housing Assistance Payments $12,667,776 HUD Capital Fund Program $70,669 HUD Federal Public Subsidy $140,640 State Sources: MA Dept. of Housing & Community Development 4001 $978,954 MA Dept. of Housing & Community Development MRVP $183,117 MA Dept. of Housing & Community Development Formula Funding $695,138 North Shore Community Development Coalition FY2018 (1/1/18-12/31/18) Source Amount Federal Sources HOME Funds – Harbor Lafayette Homes $504,614 DOL – YouthBuild $453,263 AmeriCorps & WIOA – Youth $65,410 State Sources MA Dept. Elementary Secondary Education & DTA $287,877 Local/City Sources CDBG Salem $55,000 CDBG Peabody $8,000 Private/Other Sources Grants/Foundations $365,393 Events $112,000 Contributions $103,000 Community Investment Tax Credit $299,000 DHCD – Housing Initiative Funds $669,388 DHCD – Housing Stabilization Funds Loan $363,485 Pathways $20,000 Eastern Bank Tax Exempt Bonds $2,979,324 Developer & other Real Estate Income Salem CPA Funds Other Loans – Harbor Lafayette – Private CEDAC – Harbor Lafayette $1,035,000 $100,000 $449,900 $363,516 North Shore CDC funding for real development estate development projects is listed on the next page. xi NORTH SHORE CDC: SALEM REAL ESTATE DEVELOPMENT SOURCE SUMMARY 2009-2020 Harbor and Congress Street The Project Name Palmer Cove Salem Point II Lafayette Homes Residences Lighthouses Lafayette Housing Affordable Housing Units 15 77 27 64 46 79 Year Completed 2009 2015 2019 2017 2022 est. 2021 est. FEDERAL LIHTC 846,995 5,151,000 1,937,458 7,472,103 4,812,269 5,500,000 City/Consortium HOME 450,000 300,000 50,000 150,000 350,000 Community Development Block Grant (CDBG) 50,000 Tax Credit Assistance Program (TCAP) Federal Historic Tax Credits (FHC) 1,811,000 3,331,332 2,000,000 Federal Subtotal 846,995 7,412,000 2,237,458 10,903,435 4,962,269 7,850,000 STATE Affordable Housing Trust (AHT) 1,211,922 1,000,000 1,000,000 1,050,000 CATNHP 750000 Housing Stabilization Fund (HSF) 1,211,923 700,000 1,450,000 500,000 HPSTF Facilities Consolidation Fund (FCF) 548,580 State HOME 550,000 550,000 Housing Innovations Fund (HIF) 573,081 230,402 500,000 1,000,000 1,165,000 Danvers State Preservation Fund 182,000 State Low-Income Housing Tax Credits (STC) 1,182,600 2,699,520 2,070,000 State Historic Tax Credits (SHC) 1,221,750 1,254,000 1,500,000 Green Aff Hsg Dev Program MassHousing Design Grant Brownfields Redevelopment Fund 55,750 Community-Based Housing 585000 LEAN Multi-family Program 25,995 360,824 State Subtotal xii North Shore Community Action Programs, Inc. FY 20 funding resources/projected revenues: Source Amount Federal Sources Emergency Food and Shelter Program 13,370 Federal Indirect LIHEAP (Fuel Assistance) 2,539,775 Community Services Block Grant 351,153 HEARTWAP 254,639 HOME (City of Salem) 30,000 HOME (North Shore HOME Consortium) 225,000 Community Development Block Grant (City of Salem) 9,000 Community Development Block Grant (City of Peabody) 10,000 DOE – Action, Inc. 21,000 Title III Older Americans Act (NESE) 3,000 Title III Older Americans Act (LGSS) 2,500 HOPWA (Lynn Housing Authority & Neighborhood Development) 50,000 State Sources Department of Housing & Community Development 2,235,518 Department of Elementary & Secondary Education 265,000 Local/City Sources Peabody Municipal Light Plant 30,000 Danvers Electric 7,000 Trust Fund (Salem) 14,000 Private/Other Sources Donations 128,000 Private Contracts & Grants 73,000 Tuition & Fees 1,723,000 Lifebridge FY20 funding sources/anticipated leveraged funds: Source Amount Federal Sources HUD – ESG (Emergency Solutions Grant) $218,313 State Sources: DHCD $650,399 Local/City Sources: CDBG $9,800 Private/Other Sources: Donations $500,000 Private Contracts & Grants $250,000 Commercial Income $500,000 Private Client Fees $99,000 xiii Services In addition to financial assistance provided to Salem residents through the City and its community partners, there are numero us programs and services available to Salem residents. Some are funded through CDBG. Some non-CDBG funded resources not previously mentioned in this plan include, but are not limited to: Greater Lynn Senior Services - THE RIDE THE RIDE paratransit service provides door-to door, shared-ride transportation to eligible people who cannot use fixed-route transit (bus, subway, trolley) all or some of the time because of a physical, cognitive or mental disability. THE RIDE is operated by the Massachusetts Bay Transportation Authority (MBTA) in compliance with the federal Americans with Disabilities Act (ADA). THE RIDE in North area of Massachusetts is provided through Greater Lynn Senior Services (GLSS). GLSS provided 30,085 total trips for Salem residents in FY18, including Ride trips under GLSS (55), Ride trips under The Ride Access Center (28,505) and non-Ride trips (1,525). Disability Resource Center ( formerly Independent Living Center of the North Shore and Cape Ann, Inc.) The Disability Resource Center is a service and advocacy agency for people of all ages who live with all types of disabilities within City of Salem and 24 other municipalities on the North Shore and Cape Ann. DRC is run by and for people with disabilities. The agency is available to provide information and resources regarding disability related services and programs for people living with disabilities. The agency assists people with completion of SSI/SSDI, food stamps and various housing applications and so much more. DRC hosts a monthly “Affordable Housing Application Workshop” where staff are available in a group setting to offer guidance on completing the Standard Universal Application for State Aided Housing (UHA) used to apply for public housing across Massachusetts. Approximately 100 people annually are assisted in learning about housing opportunities, complete housing applications (UHA, Section 8 centralized waiting list or regional Section 8 waiting list, and privately operated subsidized housing opportunities.) Community workshops also provide a variety of information on how to find affordable, accessible, and available housing with a focus on Salem housing opportunities, as well as a housing rights workshop to inform persons with disabilities regarding their rights as tenants, reasonable accommodation requests, as well as what to disclose about one’s disability when applying and searching for housing. North Shore Community Development Coalition The North Shore CDC invests in neighborhoods to create thriving communities, striving to provide quality affordable housing and foster economic empowerment and community development on the North Shore. Located in the Point Neighborhood, its residents make up the majority of their clients. North Shore CDC continues to advance quality programming that offers residents in the region basic life skills to aid in achieving economic stability and a self -sufficient life. Programming includes YouthBuild North Shore, (education and workforce development for youth ages 16-24), Students Taking Action in Community Development First Jobs program (Youth ages 14-21) Adult Education Classes (High School Equivalency Diploma 18 years and older), Small Business Engagement, Homeownership Workshops and Counseling, English Language Learners Classes, Mobile Food Pantry, Family Stability counseling and U.S Citizenship Classes. Annual numbers for FY18 include: • Financial counseling – 9 workshops; 42 clients served one-on-one counseling • Housing applications – 38 • First Time Home Buyer – N/a for FY18 • ESL/ELL Classes – 112 residents served xiv Catholic Charities Catholic Charities North began more than 95 years ago with initial sites in Salem and Lynn. The programs at Catholic Charities North strive to prevent hunger and homelessness for local families in a financial emergency; engage youth in education and employment programs focused on long term solutions to poverty; and support families in their effort to build safe, nurturing environments for children. The Salem office, in the Point Neighborhood, offers basic needs, family support, ESL/ELL classes and counselling services. Just over 50% of Catholic Charities Salem Basic Needs clients reside in the Point Neighborhood. Budgeting and financial education are offered to all Basic Needs clients. The agency will also assist with providing information and assistance with applications upon request. HAWC HAWC provides free, confidential services and support to victims of domestic abuse residing in 23 cities and towns on Massachusetts’ North Shore. HAWC services include a 24-hour hotline, emergency shelter, support groups, advocacy and education, community education, legal services and children’s services, including a Parent-Child Trauma Recovery Program. Advocates meet with individuals one-on-one to support them with identifying their needs and accessing resources. The agency is headquartered at Shetland Properties in the Point Neighborhood. Advocates are also available at North Shore Medical Center, Salem District Court and Essex Probate Court in Salem. In 2018, HAWC's two contracts with the Department of Public Health for its shelter and community- based programming were renewed for 11 years of funding, ensuring the agency remains a steadfast resource for survivors for years to come. HAWC is also celebrated its 40th anniversary in 2018 as the domestic violence agency of the North Shore. Citizens Inn Citizens Inn works on an individual basis to help families and individuals who are experiencing a housing crisis or food insecurity. Their full spectrum of services provides comprehensive assistance to each person based on their specific needs. Citizens Inn, now merged with Haven from Hunger, has served the North Shore for over 36 years. Their programs – Citizens Inn Between, Citizens Inn Transition, Citizens Inn Homes, and Citizens Inn Haven from Hunger – are designed to help their clients prepare for and transition to a sustainable life. Through their work, they not only provide a safe place to stay and a meal on the table, but offer tools to empower their clients to find permanent solutions to break the patterns of instability in their lives. Nearly one third of their residents are from Salem and/or find housing in Salem upon exit from temporary family shelter, while 49% of the food pantry clients at Haven from Hunger are Salem residents. North Shore Community Action Program Inc. North Shore Community Action Programs, Inc. (NSCAP) provides social services that enable low- income families and individuals to obtain the skills and knowledge they need to become economically self-sufficient, and civically engaged, leading lives with dignity and respect. To achieve its mission, NSCAP provides a range of programs and services in five key areas: Education and Training, Economic Stabilization, Housing and Homelessness Prevention, Energy Services, and Home Care. As part of Energy Services, NSCAP's Fuel Assistance program provides heating assistance to eligible households in Salem. For FY18, 903 Salem families were determined eligible for $678,102 in benefits. NSCAP also assists clients who receive case management (shelter clients, chronically homeless and chronically ill clients, Adult Education clients, representative payees, etc.) with preparation of applications for benefits such as MassHealth, food stamps/SNAP, Fuel Assistance, and Social Security. xv Other agencies/collaborations Salem High School has 14 different advanced placement offerings in 7 different academic areas, as well as pathways leading to certifications in 6 different career and technical areas. Pathways include English/Language Arts, Mathematics, Social Studies, Science Technology & Engineering (Environmental, Traditional or Medical Track), World Language, Marine Corps Junior ROTC, Visual Arts, Digital Media, Performing Arts (Drama, Music), and Career & Technical Education (Automotive, Culinary, Electrical, Building & Property Maintenance, Early Education and Care, Medical Assisting, and Accounting/Finance). New Liberty Charter School provides academic skill, employability and personal stability programs for homeless and at-risk students, and partners with North Shore CDC to provide a YouthBuild program. The Boys and Girls Club of Greater Salem provides engaging programs for teens promoting academics, citizenship and positive behaviors, while helping teens think about the future by exploring their interests, understanding different careers and helping identify different paths to success. In addition, they offer licensed after school programs, providing a safe environment with activities to promote healthy social, emotional and physical development. They also offer a youth drop-in program that focuses on character and leadership, education and career, the arts and sports, fitness and recreation. Salem State University offers many programs that are available to residents, teachers and Salem High School students. Along with non-credit classes and programs, the community can enjoy award- winning theatrical performances and art exhibitions, along with many other cultural events, benefit from the print and electronic resources of the library, or bring the family to an exciting athletic event. There are part-time degree programs and institutes, athletic camps and clinics, the Center for the Arts, and the Explorers Institute for Learning & Retirement. Salem State has opportunities for all Salem community members to engage, learn and become inspired. State Agencies - Salem is fortunate to also host many State offices, several of which are located in or near the Point neighborhood. Agency offices in Salem include, but are not limited to, the Salem Juvenile Court, Probate and Family Court, Transitional Assistance Department, Department of Children & Families, North Shore Career Center, MA Rehabilitation Commission and the Committee for Public Counsel – Children and Family Law Division and Youth Advocacy Division. Links to social service agency websites are located at http://www.salem.com/planning-and-community-development/pages/dpcd-links The Disability Resource Center also provides an on-line “yellow pages” of resources. It is located at https://disabilityrc.org/il-resources/yellow-pages. 1 Executive Summary AP-05 Executive Summary - 91.200(c), 91.220(b) 1. Introduction Each year, the City of Salem receives funds from the U.S. Department of Housing and Urban Development (HUD) to undertake housing and community development activities. These funds are used to undertake housing, community and economic development projects and programs that assist low- to moderate-income individuals, 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. Together, the Consolidated Plan and the Annual Action Plans provide a record of how Salem evaluated its needs and presents a blueprint of how it will use the federal funds to be received. The Consolidated Plan establishes a vision for attaining a higher quality of life for low- and moderate-income residents and the annual Action Plan outlines specific activities that work toward accomplishing that vision. Salem's current Consolidated Plan was completed in 2015, along with the Fiscal Year 2016 Action Plan (Year 1). This document is the City of Salem's Action Plan for Fiscal Year 2020 (Year 5). It describes the activities that the City will undertake in the next fiscal year (July 1, 2019-June 30, 2020) with Community Development Block Grant (CDBG) and Home Investment Partnership (HOME) funds. These funds can be used for projects or programs undertaken by the City or by organizations engaged by the City. Community Development Block Grant (CDBG) funds are used to benefit low- and moderate-income persons or to prevent or eliminate slums or blight in Salem through a variety of community development programs. CDBG is a formula-based program designed to develop viable urban communities by providing decent housing, a suitable living environment and expanded economic opportunities for persons of low- and moderate-income. In addition, Salem is a member of the North Shore HOME Consortium and receives an allocation of Home Investment Partnership (HOME) funds. The City of Salem is one of thirty member communities in the North Shore HOME Consortium. HOME funds are dedicated solely for housing programs, and can be used to fund a wide range of activities that build, buy and/or rehabilitate affordable housing for rent or home ownership. Please note that while our narratives discuss the use of HOME funds, this year we have removed all HOME funding from the IDIS tables, because these funds are reported through the Consortium. However, because HOME funds were unnecessarily included in the 5-Year Consolidated Plan tables, this may result in some inconsistences in accomplishments reporting. The FY20 Action Plan, including appendices, will be located at www.salem.com., along with a companion document that provides a summary of activities proposed for FY20. 2 2. Summarize the objectives and outcomes identified in the Plan In 2006, HUD devised a means to uniformly measure accomplishments funded through its housing and community development programs. In doing so, HUD determined that activities should meet one of three specific objectives and three outcomes. They are: Objectives Activities must meet one of the following three objectives: Suitable Living Environment - In general, this objective relates to activities that benefit communities, families or individuals by addressing issues in their living environment. Decent Housing - Activities found under this objective cover the wide range of housing possible under HOME or CDBG. This objective focuses on housing programs where the purpose of the program is to meet individual family or community needs and not programs where housing is an element of a larger effort. Such programs should be reported under Suitable Living Environment. Creating Economic Opportunities - This objective applies to economic development, commercial revitalization or job creation activities. Outcomes Activities must work to achieve one of three outcomes as follows: Availability/Accessibility - This outcome category applies to activities that make services, infrastructure, public services, public facilities, housing, or shelter available or accessible to low- and moderate-income people, including persons with disabilities. In this category, accessibility does not refer only to physical barriers, but also to making the affordable basics of daily living available and accessible to low and moderate income people where they live. Affordability - This outcome category applies to activities that provide affordability in a variety of ways in the lives of low- and moderate-income people. It can include the creation or maintenance of affordable housing, basic infrastructure hook-ups, or services such as transportation and day care. Sustainability - Promoting Livable or Viable Communities - This outcome applies to projects where the activity or activities are aimed at improving communities or neighborhoods, helping to make them livable or viable by providing benefit to persons of low- and moderate-income or by removing or eliminating slums or blighted areas. The table below summarizes the proposed projects’ objectives and outcomes for FY20. 3 Objectives and Outcomes 3. Evaluation of past performance During the many years of Salem’s CDBG Program, the City has made significant improvements to the City’s physical and social environment for its low- and moderate-income residents. The CDBG program has had a strong impact in Salem, as seen through the numerous homes rehabilitated, neighborhood facilities and infrastructure improved, businesses strengthened, jobs created and families served through our public service agencies. The annual Consolidated Annual Performance and Evaluation Report (CAPER) provides an analysis of the accomplishments and progress the City has made toward meeting the goals and objectives laid out in its Five Year Consolidated Plan. The FY19 CAPER, for the current fiscal year, will be available by September 30, 2019. The most recent CAPER, for FY18, evaluated the third fiscal year of the current Five Year Consolidated Plan. HUD calculated that 99.6% of CDBG funds spent in FY18 directly benefited low- and moderate-income persons. The FY18 CAPER is available at the City of Salem Department of Planning and Community Development (DPCD), the Salem Public Library and on the City’s website at https://www.salem.com/sites/salemma/files/uploads/caperfy18finalcorrect112918.pdf . Housing Housing Rehabilitation Loan Program Decent Housing Affordability 3 Housing Units* Affordable Housing Development (HOME funds)Decent Housing Affordability To be determined* Rehabilitation Adminstration (inspections, mortgage filings, salary, benefits, non-salary expenses) Economic Development Business Technical Assistance Creating Economic Opportunities Availability/ Accessibility 50 Businesses; 4 Jobs Small Business Finanancial Assistance Programs Creating Economic Opportunities Affordability 1 Business; 2 Jobs Neiighborhood Improvement Activities Neighborhood Street & Sidewalk Improvements/Tree Planting Suitable Living Environment Sustainability Locations to be determined* Park/playground, Public Facility & Infrastructure Improvements Suitable Living Environment Sustainability Various infrastructure improvements* Downtown Improvements Creating Economic Opportunities Sustainability Infrastructure improvements* Program delivery (placeholder) Social Service Activities Community Support Services Suitable Living Environment Availability/ Accessibility 8,800 Persons Not-Applicable to Salem's Performance Measurement General Program Administration (salary, benefits, non- salary expenses, planning studies & reports) *Activities may also use carried over funds to complete outcomes from a prior year or to add to noted outcomes for the current year AffordabilityFirst Time Homebuyer Programs Decent Housing 0 Households* 4 The chart illustrates FY18 spending by category, as a percentage of overall CDBG and HOME expenditures. 4. Summary of Citizen Participation Process and consultation process As part of the process in developing the 2015 Consolidated Plan, public input was sought from residents, businesses, social service organizations and various stakeholders. A series of nine community meetings and focus groups were held throughout the city and targeted various neighborhoods and populations. Individual stakeholder interviews were conducted along with an online survey in English and Spanish. The result was a comprehensive strategy for the use of Salem’s federal housing and community development funds for July 2015 through June 2020. Identifying the needs of the community is an on-going process. Each year, the City holds additional public hearings and comment periods to review those goals and to make specific recommendations for programs and initiatives to be undertaken in a given year. For the fifth year Action Plan, citizen participation included a public hearing in January, 2019 and the collection of written comment. In order to include broad public participation, outreach to participate included an English/Spanish legal notice in the Salem News. An English/Spanish public notice was posted at City Hall and City Hall Annex, was sent to the Salem Public Library, Salem Council on Aging and the Salem Housing Authority for posting, was provided to all City Councillors, was placed on the City’s website and was mailed to various social service agencies and neighborhood associations, as well as the Citizens Advisory Committee members. A press release was sent to the Salem News, Salem Gazette and other media. An English/Spanish Community Bulletin Board request was posted with Salem Access Television. Affordable Housing 24% Neighborhood Improvements 38% Economic Development 9% Planning & Administration 16% Public Services 13% FY18 CDBG & HOME Expenditures by Category 5 The City will publicize the availability of the draft Action Plan and the date/time of the public hearing and the public comment period in several ways, targeting residents, businesses, social service organizations and civic groups:  An English/Spanish Community Bulletin Board request at Salem Access Television.  An English/Spanish legal ad published in the Salem News indicating the availability of plans and providing notice of the 30-day comment period and scheduled public hearing.  English/Spanish notices posted at City Hall and City Hall Annex and on www.salem.com.  Notices provided to the Salem Public Library, Salem Council on Aging and the Salem Housing Authority, and e-mailed or mailed to several social service agencies, neighborhood associations and Citizens Advisory Committee members. Notices emailed to the Salem H.O.P.E. distribution list.  Press release to the Salem News, the Salem Gazette and other media. Copies of the plans are provided to the Salem Housing Authority and Salem Public Library for public viewing and copies are available at the Department of Planning & Community Development. Copies of the plan are provided to the members of the Citizens Advisory Committee via email. The plan is made available for download on www.salem.com. Copies of the draft plans are available for attendees of the public hearing. Copies of the draft plans are provided to the Salem City Council. The City Council approves the submission of the Application for Federal Assistance. Public hearing minutes are located in the Appendix. 5. Summary of public comments On January 17, 2019 a public meeting was held for all interested persons at City offices at 98 Washington Street. Spanish translation was available. A public participation guidebook was provided to all attendees. There were nine attendees. Comments summarized: Minutes of the public hearing are located in the Appendix, along with a copy of a written submission. The Draft Action Plan, along with an updated Citizens’ Participation Plan, was made available for a 30- day public comment from May 30, 2019 through June 28, 2019. A second public hearing was held for all interested persons at City offices at 98 Washington Street on June 20, 2019. There were no attendees. An email was received from Darlene Story of Catholic Charities. She stated that she would “want to express the need for the continued support for homeless prevention for the residence of Salem.” 6. Summary of comments or views not accepted and the reasons for not accepting them All comments and views were taken into consideration in preparation of this Action Plan. 6 There were no comments or views that were not accepted. 7. Summary The Federal funding that Salem will receive for FY20 includes $1,065,891 in CDBG funds and a projected $100,000 in program income for a total of $1,165,891. This Action Plan will identify the projects that will be funded from this total through the tables found in AP-35. In addition, the Salem will receive an estimated allocation of $145,619 in HOME funds through the North Shore HOME Consortium, bringing the total proposed expenditures based on current estimates of funding to be available to $1,311,510. The majority of HOME funds will likely be utilized through the Housing Rehabilitation Loan Program. However, it is possible that a portion may be provided to a sub- recipient for Rental Downpayment Assistance, Tenant Based Rental Assistance or other Affordable Housing. It is estimated that at least 70 percent of the FY19 CDBG funding and 100 percent of the HOME funding will be used for activities that benefit persons of low- and moderate-income. The pie chart below illustrates the city’s proposed FY20 spending by category, as a percentage of estimated CDBG and HOME funds. While the City typically identifies activities to be funded from a specific year’s resources, for some projects, such as multi-year funding commitments or construction projects, the activity may be completed in the following fiscal year or undertaken over several fiscal years. It is not uncommon for the City to have projects that are ongoing from a previous fiscal year. Many activities leverage funding from other sources to maximize the impact of the federal dollars the city receives. Together, these resources fund a wide range of activities designed to develop and maintain affordable housing, improve neighborhood public facilities, provide economic opportunities, improve access for people with disabilities, provide critical public services, assist people who are homeless, and prevent homelessness. The City bases its funding allocations on needs identified, proposed activities and accomplishments to meet those needs and estimated funding needed to reach the goals and accomplishment levels. 7 PR-05 Lead & Responsible Agencies - 91.200(b) 1. Agency/entity responsible for preparing/administering t he Consolidated Plan The following are the agencies/entities responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding source. Agency Role Name Department/Agency CDBG Administrator SALEM Department of Planning & Community Development Table 1 – Responsible Agencies Consolidated Plan Public 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 T: 978-619-5685 E: jguy@salem.com Economic Development, $210,000 , 16% Affordable Housing, $313,219 , 24% Neighborhood Improvements, $398,200 , 30% Planning & Administration, $215,208 , 17% Public Services, $174,883 , 13% FY20 Proposed Expenditures (CDBG & HOME) 8 AP-10 Consultation - 91.100, 91.200(b), 91.215(l) 1. Introduction The City of Salem uses CDBG funds to support specific projects and initiatives that are needed by its residents and that meet HUD’s national goals and objectives. Identifying the needs of the community is an on-going process. In 2014, the City of Salem retained Community Opportunities Group, Inc. (COG) to prepare its Five Year Consolidated Plan (covering city Fiscal Years 2016-2020) and first year Action Plan (FY16). In developing the Consolidated Plan, a series of nine community meetings and focus groups were held throughout the city, including a public hearing. The meetings were held at the Salem Housing Authority, at neighborhood meetings within specific wards with large low- and moderate-income (LMI) populations, in the City Hall offices, at community organizations, and at Salem State University to reach broad population. The focus groups targeted persons with disabilities, housing providers, businesses and seniors. Individual stakeholder interviews were conducted with city staff, social service providers, residents, business owners, and other persons and organizations familiar with local needs. In addition, COG interviewed and consulted with staff from provider agencies who serve Salem residents, both located in and outside of Salem. Also, an on-line survey (in Spanish and English) generated 318 responses. The purpose of this process was to obtain an understanding of the population’s needs and the resources available to address the needs, as well to gain an understanding of gaps of needed programs and services. This process also served to assist the City in determining how HUD, along with other federal and state and private funds could be used most effectively. While many of the various local and regional agencies have a good awareness of the existence of other agencies and their respective programs and services, the consultation process helped to refresh inter-agency coordination. In May, 2015, after months of public hearings and public comment, the City adopted the Five Year Consolidated Plan, highlighting the community development needs and goals for July 2015– June 2020. Each year, the City holds additional public hearings and comment periods to review those goals and to make specific recommendations for programs and initiatives to be undertaken in a given year. The result is the annual Action Plan, designed to put into action the goals and strategies established in the Consolidated Plan. It is important to note that the Action Plan is not a budget, but rather a planning tool that outlines the priorities and activities that the City will undertake to address housing, community and economic development needs. Proposed activities must meet HUD’s eligibility rules, and must be consistent with the Consolidated Plan. The City identifies estimated costs for each proposed activity included in this document. During the year, should the cost of the proposed activities change, these values can be adjusted. In addition, the City can reallocate unused funds to assist new programs that may be developed during the course of the year, or to supplement existing activities that require additional funding. 9 Provide a concise summary of the jurisdiction’s activities to enhance coordination between public and assisted housing providers and private and governmental health, mental health and service agencies (91.215(l)). The City works cooperatively with private housing providers and private and governmental health, mental health, and service agencies and other interested parties to implement its Consolidated Plan. The DPCD leads Salem H.O.P.E. (Human Organization Partnership Effort), a networking group of human service agencies that serves Salem residents. H.O.P.E. provides an opportunity for agencies to learn about the services being provided by other agencies in order to fill in gaps, coordinate efforts and avoid duplication of services. All human service agencies are invited to attend the quarterly Steering Committee breakfast meetings held at rotating agency locations. Through this program, agency representatives are (re-)introduced to each other and exchange information, announcements and updates. The DPCD coordinates with the SHA to address the housing needs of Salem’s lower-income residents. Proposed development sites or demolition or disposition of existing public housing developments must follow established regulatory procedures administered by City agencies. Some of these, such as the Board of Appeal and Planning Board have staff support from the DPCD. The City also works with nonprofit agencies to administer social service activities. The City issues annual Requests for Proposals (RFP) for public services, housing services, and economic development funding to undertake priority programs outlined in the Consolidated Plan. Additionally, the City cooperates and coordinates with other agencies and funding sources to support specific activities. Examples of these include MassHousing’s “Get the Lead Out” and Massachusetts Housing Partnership’s “Soft Second Mortgage” programs. The City of Peabody is the lead community for the North Shore HOME Consortium. Salem works with the consortium to coordinate the implementation of its HOME-funded programs. Salem also works with local CHDOs and CDCs to carry out priority activities. The City also issues an annual RFP to municipal departments to request funding to undertake public facility and infrastructure improvements in LMI and/or slum/blight neighborhoods. Describe coordination with the Continuum of Care and efforts to address the needs of homeless persons (particularly chronically homeless individuals and families, families with children, veterans, and unaccompanied youth) and persons at risk of homelessness. Homeless needs in the area are primarily serviced through the Gloucester/Haverhill/Salem/Essex County Continuum of Care (CoC), referred to as the North Shore Continuum of Care Alliance. The lead entity is the City of Peabody, which also oversees the North Shore HOME Consortium. The CoC receives funds through the McKinney-Vento program, which are distributed directly to area organizations, such as Salem-based Lifebridge. 10 NSCAP coordinates the North Shore Housing Action Group (NSHAG), which is a regional network of providers and organizations who work to address the needs of those who are homeless or at risk of becoming homeless with the aim to enhance coordination and communication among providers. Salem uses its CDBG funds to address homeless needs and conduct homelessness prevention activities through an annual housing/public service funding award process. Funded programs for homeless may include HOME-funded rental down payment (first/last/security) or tenant based rental assistance, and/or CDBG funded homelessness prevention emergency assistance and medical or outreach services. NSCAP, Salvation Army, Catholic Charities and Citizens Inn, among others, administer the services. In 2014, the Mayors of Salem and Beverly created a task force to better address homelessness. Included were representatives of city departments and service agencies. In February, 2017, Salem, Beverly and Peabody executed an inter-regional MOU on homelessness, which included a commitment to support the production of permanent supportive housing for lower income families and individuals at risk of homelessness in each participating community over 5 years (2017-2022), which would result in 100 family and 60 individual units. In July, 2017, Salem held a Public Dialogue to involve residents, business owners, community groups, and homeless individuals in a conversation on how the community can collectively address homelessness. A presentation introduced the Collaborative of Hope and outlined existing statistics and practices, along with new strategies. Resulting efforts included:  Added police patrols and training (i.e. the distribution of Homeless Solutions & Resources: A Police Officer’s Guide to Policing the Community).  Funded with CDBG, outreach workers on call out of the Salem Police Department in partnership with North Shore Community Health, to connect homeless with health and other services.  Establishing hope@salem.com to report non-emergency transient or homeless issues.  Monthly meetings of organization representatives (i.e. City of Salem, Salem Police Dept., North Shore Community Health Center, Lifebridge, NSCAP and the North Shore Workforce Investment Board).  High Risk Homeless Task Force, where service providers review the cases of high-risk individuals and work to address individual needs.  Launching the ChangeIt campaign, an alternative giving option for people to “text to give”. Donors text Salem to 50555 to make a $5 donation, with the dual goal to raise donations for programs and decrease panhandling, which often goes to feed addictions or other unhealthy behavior. Another public meeting was held in April, 2018. Included were updated calls for service statistics (that resulted in adjusted patrol schedules), information regarding housing being made available to homeless persons, outreach caseworker's summary of the types of assistance provided to approximately 70 homeless individuals, discussion of potential day programs (which helps reduce loitering by homeless individuals, while providing a comfortable space for access to services) and the formation of community coalitions. 11 In August, 2018, the City replaced an existing Rental Downpayment Assistance Program agreement with NSCAP, with a new, Tenant Based Rental Assistance agreement to target funds for housing Salem’s highest risk homeless individuals. A second agreement has since been issued On April 1, 2019, Lifebridge opened a day center 3 days per week that welcomes, mostly chronic, homeless individuals. It is a safe place to gather and have positive socialization, while at the same time building trust toward service providers, so that they may be connected to appropriate services. Describe consultation with the Continuum(s) of Care that serves the jurisdiction’s area in determining how to allocate ESG funds, develop performance standards for and evaluate outcomes of projects and activities assisted by ESG funds, and develop funding, policies and procedures for the operation and administration o f HMIS No community or agency within Salem’s jurisdiction receives a direct award of ESG funds. 2. Agencies, groups, organizations and others who participated in the process and consultations See Table 2 starting on next page. 12 Table 2 – Agencies, groups, organizations who participated 1 Agency/Group/Organization NORTH SHORE COMMUNITY ACTION PROGRAM (NSCAP) Agency/Group/Organization Type Services - Housing Services-Children Services-Elderly Persons What section of the Plan was addressed by Consultation? Housing Need Assessment Market Analysis Anti-poverty Strategy Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the Five Year Consolidated Plan, Deric LePard of North Shore Community Action Program (NSCAP) was consulted via phone interview. He provided information which was incorporated into the Needs Analysis and Market Analysis. NSCAP will continue to coordinate with the city to implement strategies that provide community services. For the FY 20 Action Plan, Deric LePard was present at the Public Hearing and provided comment on current needs. He stated that affordable housing is the number one need. Second is the consistent need for rental arrearage and utility assistance, which really makes a difference for stability. Persons with disabilities are often lower income and it can be overwhelming and stressful to come up with first, last, security and moving costs and that rental start-up assistance is a huge help. All comments are considered during the development of the plan. 2 Agency/Group/Organization DISABILITY RESOURCE CENTER ( FORMERLY INDEPENDENT LIVING CENTER OF THE NORTH SHORE & CAPE ANN, INC.) Agency/Group/Organization Type Services-Persons with Disabilities What section of the Plan was addressed by Consultation? Housing Need Assessment Non-Homeless Special Needs Market Analysis 13 Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the Consolidated Plan, Mary Margaret Moore of the Independent Living Center of the North Shore and Cape Anne participated in focus groups in the public participation process. Information provided by the organization was incorporated in the Needs Analysis and Market Analysis. All comments are considered during the development of the plan. 3 Agency/Group/Organization Brookhouse Home for Women Agency/Group/Organization Type Services-Elderly Persons What section of the Plan was addressed by Consultation? Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the FY20 Action Plan, Laurie Fullerton was present at the Public Hearing and stated that the Brookhouse Home is for women 65+ and they get calls almost daily about housing. They rely on grants to address building issues that are due to the building’s age. They have individuals with behavioral health issues and they are slowly transitioning to meet the greatest needs. All comments are considered during the development of the plan. 4 Agency/Group/Organization Salem Housing Authority Agency/Group/Organization Type PHA What section of the Plan was addressed by Consultation? Public Housing Needs Market Analysis Other Actions in FY20 Action Plan 14 Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the Consolidated Plan, the Salem Housing Authority was consulted via meeting and phone interview to determine the agency's most pressing needs. In addition, the SHA's Comprehensive Plan must take into account the findings of the Consolidated Plan and the City of Salem must certify that the documents are consistent. Information provided by the SHA was incorporated throughout the Consolidated Plan. For the FY20 Action Plan, the SHA was consulted to update information provided during the Consolidated Plan process and last year's Action Plan and CAPER process. 5 Agency/Group/Organization North Shore Community Development Coalition Agency/Group/Organization Type Housing Regional organization Planning organization Community Development What section of the Plan was addressed by Consultation? Housing Need Assessment Non-Homeless Special Needs Market Analysis Economic Development Anti-poverty Strategy Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the Consolidated Plan, the North Shore Community Development Coalition provided input through focus group meetings and interviews, and contributed data for the Needs Analysis and Market Analysis. NSCDC will continue to coordinate with the City of Salem to carry out projects in implementation of the Strategic Plan. For the FY20 Action Plan, NSCDC was consulted to update information provided during the Consolidated Plan process and last year's Action Plan and CAPER process. All comments are considered during the development of the plan. 6 Agency/Group/Organization North Shore Community Health Center 15 Agency/Group/Organization Type Services – Children Services – Elderly Persons Services – Persons with Disabilities Services – Persons with HIV/AODS Services – homeless Services – Health Health Agency What section of the Plan was addressed by Consultation? Homeless Needs – Chronically homeless Homeless Needs – Families with children Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? For the FY20 Action Plan, Linda Weibner was present at the Public Hearing and stated a lot of her patients are homeless and some have issues paying for utilities. Identify any Agency Types not consulted and provide rationale for not consulting Please see PR-10 in the 5-Year Consolidated Plan for a complete list of agencies consulted during its development. For the Five Year Consolidated Plan, to the City’s knowledge, it consulted with all relevant agency types. There were a few individual agencies for which contact was attempted but were unable to reach. 16 Other local/regional/state/federal planning efforts considered when prep aring the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? Continuum of Care City of Peabody Salem DPCD works directly with Peabody and member agencies in implementation of the Strategic Plan to support and enhance its existing programs that address at-risk and homeless families. North Shore HOME Consortium Consolidated Plan City of Peabody HOME programs overlap with affordable housing-related goals in the Consolidated Plan. Salem Housing Authority Comprehensive Plan Salem Housing Authority The Salem Housing Authority seeks to address the housing needs of lower- income residents in Salem. NSWIB 2015-2017 Strategic Plan North Shore Workforce Investment Board, Inc. The WIB seeks to create economic opportunities that benefit low- and moderate-income residents and align with the anti-poverty strategy of the Consolidated Plan. Downtown Salem Retail Market Strategy/Action Plan Salem Redevelopment Authority The SRA seeks to create economic opportunities that benefit low- and moderate-income residents and to improve the downtown which is designated as a slum & blight area. Table 3 - Other local / regional / federal planning efforts Narrative The Department of Planning and Community Development (DPCD) coordinates and communicates with other municipal departments, local and regional agencies, and public and private housing organizations. The DPCD coordinates the Salem H.O.P.E. effort and communicates regularly with subcontracted agencies delivering social services and subrecipients of federal funds. DPCD also works with the Salem Housing Authority (SHA), nonprofit organizations, and housing developers to produce affordable housing in the City. The strength of these relationships is beneficial in streamlining housing development and leveraging additional funds for projects. 17 AP-12 Participation - 91.401, 91.105, 91.200(c) 1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting For the fifth year Action Plan, citizen participation included a public hearing in January, 2019 and the collection of written comment. In order to include broad public participation, outreach to participate includes an English/Spanish legal notice in the Salem News and an English/Spanish notice posted at City Hall & City Hall Annex. Notices were provided to the Salem Public Library, Salem Council on Aging and the Salem Housing Authority for posting. An English/Spanish Community Bulletin Board request was posted with Salem Access Television. Notices and a cover letter were provided to all City Councillors. A press release was sent to the Salem News, the Salem Gazette and other media. The public hearing notice was also posted on the City’s website and was mailed or emailed to various social service agencies and neighborhood associations, as well as the Citizens Advisory Committee members. Public hearing minutes are provided in the Appendix. The City publicized the availability of the draft Action Plan and the date/time of the public hearing and the public comment period in several ways in order to obtain broad public comment. Information regarding the expected draft plan availability and the upcoming comment period and public hearing was provided to those attending the Salem H.O.P.E. meeting in March, 2019. An English/Spanish Community Bulletin Board request was provided to Salem Access Television. An English/Spanish legal ad was published in the Salem News indicating the availability of plans and providing notice of the 30-day comment period & scheduled public hearing. English/Spanish notices were posted at City Hall and City Hall Annex and on www.salem.com. Notices were provided to the Salem Public Library, Salem Council on Aging and the Salem Housing Authority, and were mailed or emailed to several social service agencies, neighborhood associations and Citizens Advisory Committee members. The notices were also emailed to the Salem H.O.P.E. distribution list. A press release was sent to the Salem News, the Salem Gazette and other media. Copies of the plans were provided to the Salem Housing Authority and Salem Public Library for public viewing and copies were available at the Department of Planning & Community Development. Copies of the plan were provided to the members of the Citizens Advisory Committee. The plan was made available for download on www.salem.com. The public comment period commenced on May 30, 2019 and ended on June 28, 2019. A public hearing was held on June 20, 2019 at City Hall Annex. Copies of the draft plans are provided to the Salem City Council. The City Council approved submission of the Application for Federal Assistance in June, 2019. 18 Citizen Participation Outreach Sort Order Mode of Outreach Target of Outreach Summary of response/attendance Summary of comments received Summary of comments not accepted and reasons URL (If applicable) 1 Public Meeting Non-English Speaking - Specify other language: Spanish Non- targeted/broad community City Councillors, Citizens Advisory Committee, public service agencies On January 17, 2019 a public meeting was held for all interested persons at City offices at 98 Washington Street. Spanish translation was provided. A public participation guidebook was provided to all attendees. There were nine attendees. Affordable housing is priority, particularly senior housing. Consistent need for rental arrearage and utility assistance and assistance with rental start-up costs. Populations in need are persons with disabilities, low income and elderly. Concerns about lengthy waiting lists for affordable senior housing. Good practice used by the City to use CDBG to leverage other funding sources. All comments and views were taken into consideration in preparation of this Action Plan. The City continues to fund housing projects to add affordable units, provide emergency funds for rental arrearages and utilities to help avoid eviction, to provide rental start- up assistance and provide various public service programs including services to assist with housing (including assistance for seniors, disabled, and homeless individuals). 19 Sort Order Mode of Outreach Target of Outreach Summary of response/attendance Summary of comments received Summary of comments not accepted and reasons URL (If applicable) 2 Newspaper Ad Non-English Speaking - Specify other language: Spanish Non- targeted/broad community City Councillors, Citizens Advisory Committee, public service agencies See summary of citizen participation above for full description of newspaper ads, public notices and press releases issued - both at the start of the Action Plan process and upon availability of the Draft FY20 Action Plan. No written comments were received. All comments and views were taken into consideration in preparation of this Action Plan. 3 Public Meeting Non-English Speaking - Specify other language: Spanish Non- targeted/broad community City Councillors, Citizens Advisory Committee, public service agencies On June 20, 2019 a public meeting was held for all interested persons at City offices at 98 Washington Street. Spanish translation was available. Copies of the Draft Action Plan were available. There were no attendees present No comments were received N/A 20 Sort Order Mode of Outreach Target of Outreach Summary of response/attendance Summary of comments received Summary of comments not accepted and reasons URL (If applicable) 4 Newspaper Ad Non-English Speaking - Specify other language: Spanish Non- targeted/broad community City Councillors, Citizens Advisory Committee, public service agencies See summary of citizen participation above for full description of newspaper ads, public notices and press releases issued - both at the start of the Action Plan process and upon availability of the Draft FY20 Action Plan. An email was received from Darlene Story of Catholic Charities. She stated that she would “want to express the need for the continued support for homeless prevention for the residence of Salem.” All comments and views were taken into consideration in preparation of this Action Plan. Table 4 – Citizen Participation Outreach 21 Expected Resources AP-15 Expected Resources – 91.420(b), 91.220(c) (1, 2) Introduction The City of Salem receives Community Development Block Grant (CDBG) funds from HUD to benefit low - and moderate-income persons or to prevent or eliminate slums or blight in Salem through a variety of community development programs. CDBG is a formula-based program designed to develop viable urban communities by providing decent housing, a suitable living environment, and expanded economic opportunities for persons of low- and moderate-income. As one of thirty member communities of the North Shore HOME Consortium, Salem receives an allocation of Home Investment Partnership (HOME) funds from HUD. HOME funds are dedicated solely for housing programs, and can be used to fund a wide range of activities that build, buy and/or rehabilitate affordable housing for rent or home ownership. The Consortium, through its lead community of Peabody, submits a Consolidated Plan for operating the HOME program. The City of Salem will not use HOME funds to refinance any existing debt secured by multi-family housing developments. Along with HUD funds, Salem's housing and economic loan programs generate program income, which the City directs to existing or new programs as needed. Income is generated as loans are repaid or recaptured from an assisted property or business. The City typically receives program income funds each year and they help extend its ability to support CDBG-eligible activities. The Federal funding that Salem will receive for FY20 includes $1,065,891 in CDBG entitlement funds. We estimate program income of $100,000 (from housing and ED loan repayments). Some prior year resources may be available in FY20, such as unspent/unprogrammed dollars. However, it is unknown how much will be carried over until after FY19 closes. Additional federal funds include an estimated $145,619 in HOME funds. In addition to these resources, many activities leverage funding from other government and private sources to maximize the impact of the federal dollars the city receives. The Community Preservation Act (CPA) was adopted by Salem voters in 2012. It established a local dedicated fund for the purpose of open space, historic preservation, outdoor recreation and community housing projects. It is financed by a property tax surcharge of 1%, along with annual matching funds from the statewide CPA Trust Fund. These funds can be used for a variety of purposes, including activities that acquire, create, preserve, support and rehabilitate/restore housing for low- and moderate-income households. An appointed committee recommends how the funds will be utilized each year. Massachusetts CPA regulations require that a minimum of 10% of annual CPA revenues be set aside or spent for each of the program areas, including affordable housing, open space and recreation, and historic preservation, with the remaining 70% to be allocated to any one or more of 22 these program areas. In the Five Year Consolidated Plan, the city projected an estimated $531,000 annually from both local and matching funds in future years (based on FY16 funding estimates). Several housing and community development programs are carried out by non-city agencies that operate through a variety of funding resources. Together, these resources fund a wide range of activities designed to develop and maintain affordable housing, improve neighborhood public facilities, provide economic opportunities, improve access for people with disabilities, provide critical public services, assist people who are homeless, and prevent homelessness. Salem will continue to work with community and regional partners to identify further funding opportunities that can be used to support affordable housing and other objectives served by CDBG programs. 23 Anticipated Resources Program Source of Funds Uses of Funds Expected Amount Available Year 4 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ CDBG public - federal Acquisition Admin and Planning Economic Development Housing Public Improvements Public Services 1,065,891 100,000 0 1,165,891 0.00 CDBG is a formula-based program that provides decent housing, a suitable living environment, and expanded economic opportunities for persons with low- and moderate income. This is Year 5 of the 5-Year Consolidated Plan. Therefore, there would be no remaining funds following this year. Table 5 - Expected Resources – Priority Table Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied The following are the funds typically leveraged:  First Time Homebuyer Program: matching funds and financing were projected for approximately $131,500 annually. In FY18, homebuyers provided $84,712 in private funds, as well as obtained $1,066,054 in financing from a primary lender.  Housing development projects by non-profit developers combine Low-Income Housing Tax Credits and other state, federal funding, as well as private fundraising, grants, financing, and program fees . The 27 SRO units at Harbor and Lafayette Homes (financing closed March, 2018) will have total development cost of $7.4M, of which $50,000 is HOME and $100,000 i s CPA.  State programs such as Get the Lead Out have been used to assist in home rehabilitation.  The Salem Main Streets Program leverages funds through business contributions and donations, as well as event fees and donations to cover costs: $20,000-$80,000 annually.  Community Preservation Act funding ($383,155 toward housing to date) has been utilized for 4 affordable housing project for a total of 109 housing units. Two projects are complete, one is under construction and one is in pre-development. 24  Salem is a Gateway City, making it eligible for certain State funds.  The City’s Capital Improvement Program provides funding annually on a project-specific basis for both CDBG and non-CDBG activities.  Other sources include the City's General Fund, State Chapter 91 and various federal, state and private grant or loan programs for brownfields, parks, and infrastructure improvements. Examples of these include Parkland Acquisitions and Renovations for Communities (PARC), Environmental Protection Agency, National Endowment for the Arts, MassDevelopment Brownfields Assessment Program, MA Office of Coastal Zone Management, MassWorks, and the Massachusetts Preservation Projects Fund. The City may also seek state grants including Green Communities, the Cultural Facilities F und, and the Gateway Cities Park Program.  Most subrecipient agencies use CDBG as a portion of their overall activity budgets. Examples of several agency funding sources are provided in the appendix. Other funding sources include federal and state grants, p rivate grants and donations, and program income.  The City provides about $550,000 annually for planning and administration funds.  Additional planning funds and technical assistance have been obtained through Massachusetts Historical Commission and Metropolitan Area Planning Council.  Salem was recently awarded a $59,000 MassHousing grant to implement the City's Imagine Salem vision by studying neighborhood mixed use zoning, conducting a citywide public engagement campaign around affordable housing needs and advancing a new inclusionary zoning ordinance.  The City is also considering submitting an application for a Section 108 loan in FY19, in order to undertake comprehensive street improvements (street paving, sidewalk replacement, curbcuts and crosswalk insta llations) in the Point Neighborhood. A listing of anticipated leveraged funds for FY20 is found in the FY20 Companion document, including anticipated Federal, State and private funding resources for the City of Salem and several key organizations. If appropriate, describe publically owned land or property located within the jurisdiction that may be used to address the needs identified in the plan None have been identified at this time. 25 Annual Goals and Objectives AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e) Goals Summary Information Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 1 Housing Rehabilitation Programs 2015 2019 Affordable Housing Affordable Housing CDBG: $167,600 Homeowner Housing Rehabilitated: 3 Household Housing Unit 2 Affordable Housing 2015 2019 Affordable Housing Affordable Housing CDBG: $0.00 Rental units rehabilitated: Household Housing Unit 3 First Time Homebuyer Program 2015 2019 Affordable Housing Affordable Housing Homeownership Assistance CDBG: $0.00 Direct Financial Assistance to Homebuyers: 0 Households Assisted 4 Small Business Financial Assistance Programs 2015 2019 Non-Housing Community Development Economic Development CDBG: $70,000 Jobs created/retained: 3 Jobs Businesses assisted: 2 5 Business Technical Assistance 2015 2019 Non-Housing Community Development Economic Development CDBG: $140,000 Jobs created/retained: 4 Jobs Businesses assisted: 50 6 Community Support Services 2015 2019 Homeless Non-Homeless Special Needs Public Services CDBG: $174,883 Public service activities other than Low/Moderate Income Housing Benefit: 8800 Persons Assisted 7 Neighborhood Improvements Activities 2015 2019 Non-Homeless Special Needs Neighborhood Public Facilities and Infrastructure CDBG: $398,200 Public Facility or Infrastructure Activities other than Low/Moderate Income Housing Benefit: 12,180 Persons Assisted 26 Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 8 Downtown Improvements 2015 2019 Non-Housing Community Development Downtown Public Facilities and Infrastructure CDBG: $0.00 Public Facility or Infrastructure Activities other than Low/Moderate Income Housing Benefit: 4735 Persons Assisted Table 6 - Goals Summary Estimate the number of extremely low-income, low-income, and moderate-income families to whom the jurisdiction will provide affordable housing as defined by HOME 91.215(b) Estimates for HOME funds are provided through the North Shore Home Consortium’s Action Plan. Note: The City of Salem has also targeted $215,208 in CDBG funds for General Program Administration (salary, benefits, non-salary expenses, planning studies & reports, grant matching funds) to provide for CDBG program oversight. Goal Descriptions See Table on next page. 27 1 Goal Name Housing Rehabilitation Programs Goal Description The majority of Salem’s housing stock pre-dates 1949. While older homes are an integral part of Salem's history and neighborhood fabric, they also require a great deal of maintenance and may not meet current building codes. In response to this issue, the City administers a Housing Rehabilitation Loan Program (funded with both CDBG and HOME funds) to provide low-interest loans to owners of single and multi-family properties to address cost-prohibitive health and safety issues. Through the rehabilitation of existing housing stock, more homeowners, as well as tenants residing in rental units, can live in decent housing. Previously, the City expanded the program to investor-owners with low- to moderate-income tenants, to address code compliance and health and safety issues and to maintain affordable, quality rental properties and to discourage the conversion of affordable rental units into market rate condominiums. In June, 2007, the North Shore HOME Consortium voted to adopt the federal Energy Star Standards. The implementation of this new policy for the use of HOME funds began in October, 2007. All new HOME-assisted units are required to be certified as Energy Star compliant whenever either new construction is involved or where the rehabilitation of an existing structure involves the gutting of the structure to the bare walls. Homeowners are also referred to NSCAP’s weatherization program, where they can get energy-efficiency work undertaken, and then utilize Salem’s loan program, thereby reducing the homeowner’s loan burden. In addition, the City offers deleading assistance for homeowners with a lead poisoned child through MassHousing’s Get the Lead Out Program. This program can be combined with the City’s Housing Rehabilitation Loan Program. As a Local Rehabilitation Agency (LRA) for the Get the Lead Out Program, Salem is responsible for intake of application information, technical assistance, working with the applicant through the construction process and acting as the escrow agent for the loan funds. 2 Goal Name Affordable Housing Goal Description Salem utilizes CDBG, HOME and CPA funds to provide a local match for non-profit development projects that result in long- term and permanent affordable housing, often by creating new affordable housing units through the conversion of old, abandoned or underutilized buildings and. A pool of funds for affordable housing is often set aside to provide resources for the City or a nonprofit partner, such as the North Shore CDC or Harborlight Community Partners, to take advantage of opportunities that arise to acquire available abandoned, derelict properties and turn them back into decent, affordable homes. The local match shows City support so that these agencies can leverage financing from various other funders. Salem will continue to work with nonprofit partners, as well as to negotiate on a case-by-case basis with private developers, to facilitate the creation of new affordable housing units. 28 3 Goal Name First Time Homebuyer Program Goal Description The City continues its goal to provide families with the opportunity to own their first home through the First-Time Homebuyer Downpayment Assistance Loan Program (FTHB). In addition to basic downpayment assistance, the program offers a $1,000 increase over the maximum loan amount for homeowners who complete First-Time Homebuyer Counseling through a qualified training program. In addition to administering the First-Time Homebuyer Downpayment Assistance Loan Program, DPCD staff provides assistance to coordinate other resources for down payment assistance, such as homeownership programs offered by MassHousing, as well as supporting first time homebuyer education workshops provided by various organizations. 4 Goal Name Small Business Financial Assistance Programs Goal Description Businesses often need additional assistance and more creative financing options than may be offered by banks. Even the very best innovative new business idea often has difficulty filling the “gap” between what they can invest and what banks will loan, versus the cost of the project. Without capital, new equipment or storefront improvements, some of the best small businesses can fail. The Salem Business Loan Program offers expanded financing opportunities for local entrepreneurs, while creating jobs and revitalizing the city. The program provides these types of loans:  Microenterprise Assistance - provides loans to low- to moderate-income entrepreneurs to assist with their microenterprise business (5 or fewer full-time employees, including the owner)  Commercial Revitalization - provides loans to business owners in the downtown and eligible neighborhood districts to assist with the exterior rehabilitation of their business and/or to correct code violations  Special Economic Development - provides loans to business owners throughout the city in exchange for job creation and/or job retention for low- and moderate-income people. Low-interest loans for commercial, industrial or mixed-use projects help create and retain jobs while improving the appearance of neighborhoods and promoting economic growth. The DPCD will continue to work with business owners to help finance a small project or to assist with gap financing of larger projects. The Storefront Improvement Program helps to improve the physical appearance of districts by advocating for appropriate design and historic preservation. By offering small business loans and grants toward new signage and façade improvements, the City is helping to enhance our historic neighborhood business districts with financial incentives to Salem business and property owners. Furthermore, the City has developed the City of Salem Commercial Design Guidelines to help business and property owners with appropriate design. Copies are free at the DPCD office or on the City’s website. 29 5 Goal Name Business Technical Assistance Goal Description Often small business owners need some degree of technical assistance to help them with managing or growing their business. The needs of local entrepreneurs range from business planning, drawing up financial statements, or navigating the city permitting process. The City’s Economic Development Planner assists with new business location or existing business relocation, walks new businesses through permitting processes, coordinates available loan programs, coordinates the development of tax increment financing agreements, coordinates the development of neighborhood and economic development plans, manages the Salem Main Streets and North Shore CDC’s Small Business Engagement contracts and liaises between businesses and the Salem Redevelopment Authority, as well as with state economic development agencies to provide businesses with access to tax credits and other incentives. The City works in collaboration with several agencies to improve economic opportunity in Salem by providing technical assistance to businesses. The Salem Main Streets Initiative, North Shore CDC, Salem Partnership, Salem Chamber of Commerce, Destination Salem, SBA Small Business Development Center and Salem State University Assistance Corporation’s Enterprise Center each work in cooperation with the City to support local business, with some of the programs targeted toward low-income, minority and female entrepreneurs. The City offers a “Doing Business in Salem Guide” that is available on the City’s website. 6 Goal Name Community Support Services Goal Description Along with housing services to help provide decent, affordable housing and economic development activities to help provide good jobs at good wages, individuals and families may have additional needs that are specific to their household. The Five Year Consolidated Plan identified the need for various social service programs to primarily benefit Salem’s low- to moderate-income population and those with special needs (i.e. physically or mentally disabled, elderly or frail elderly, youth, non-English speaking residents, persons living with HIV/AIDS, substance abusers and homeless persons and families). Each year, Salem sets aside funds for social service programs to address these special needs. Through a Request for Proposals process, the city makes awards to nonprofit service organizations that offer such services. Public services eligible for funding include, but are not limited to, employment, crime prevention, child care, health, substance abuse, education, fair housing counseling, energy conservation, recreation programs, food programs and services for senior citizens. Target populations include, but are not limited to, persons with HIV/AIDS, abused children, battered spouses, elderly and frail elderly, minorities, non-English speaking residents, residents of public assisted housing, persons who are mentally ill or mentally retarded, substance abusers, youth and persons with disabilities. Funding proposals received are available for viewing at the DPCD. 30 7 Goal Name Neighborhood Improvements Activities Goal Description Residents depend on neighborhood infrastructure and public facility improvements to make the city the livable community that it is. By continually investing in neighborhoods, Salem strives to be the best place it can be for people to live and work. In FY20, the City will continue the investment in eligible neighborhoods through public infrastructure and traffic improvements (i.e. street paving, new sidewalks, curbcuts/crosswalks, traffic/pedestrian improvements and the removal of architectural barriers), public art and through neighborhood improvement initiatives (e.g., parks/playgrounds, lighting, trash receptacles, tree planting, signage and bike paths). The City will continue to invest in efforts that strengthen its public facilities, including improvements to fire stations. Salem’s goal to have a new senior center will be realized in the Fall of 2018. 8 Goal Name Downtown Improvements Goal Description Healthy vibrant downtown and neighborhood commercial districts are essential to Salem’s overall economic health. Salem will continue to work toward the implementation of the Salem Downtown Renewal Plan, including historic preservation, public art and other improvements that help discourage neglect and disinvestment and eliminate slums/blight. Table 7 – Goal Descriptions 31 AP-35 Projects - 91.420, 91.220(d) Introduction - Salem will carry out the following programs to address the goals identified in the Five Year Consolidated Plan (Note: some activities will use prior year funds):  Housing Rehabilitation Program - Offer financial and technical assistance to eligible homeowners and investor-owners to improve housing units, including improvements for accessibility.  Affordable Housing - Support for local non-profit housing organizations and CHDOs seeking to acquire, create, preserve, and/or renovate affordable units.  First Time Homebuyer Program - Financial assistance to eligible households in the form of loans for downpayments and closing costs.  Small Business Financial Assistance Programs - Business Loan Program and Storefront Improvement Program for new, emerging or expanding small businesses that create or retain jobs for low- and moderate-income workers or eliminate or prevent blight, address building code violations and/or improve access, and/or leverage private investment.  Business Technical Assistance - Technical assistance, training, design guidance, location service and referrals for owners of microenterprises or businesses that create or retain jobs for low- and moderate-income workers. Program delivery for the business loan program, oversight of the Salem Redevelopment Authority and funding for the Salem Main Streets Program and the micro-enterprise programs offered by Salem State University’s Enterprise Center.  Neighborhood Improvement Activities - Public facility and infrastructure improvements that enhance the quality of life in eligible neighborhoods, such as, parks/playgrounds, tree planting, lighting, signage, bike paths, streets, sidewalks, crosswalks, pedestrian safety, trash receptacles, traffic calming, accessibility, public art, senior center, fire stations, schools, etc.  Community Support Services - Grants to nonprofit agencies for social services programs such as homelessness and foreclosure prevention, housing education, food distribution, homeless services, job training, senior transportation, childcare, crime prevention, immigrant services (cultural orientation and acclimation), ESL and citizenship education, youth activities, senior services, adult education (financial literacy, computer training, etc.) and substance abuse prevention, and other programs that advance self-sufficiency, reduce household financial burdens or improve the quality of life, as well as other special services (legal assistance, program navigation guidance). Also to support programs that provide supplemental education and/or engagement programs to increase public school students’ academic achievement.  Planning & Administration - Planning and general administration necessary to provide the tools needed to manage the CDBG program, as well as the development of plans and studies and the provision of public information.  Downtown Improvements - Public facilities and infrastructure improvements that are located in Salem’s slum/blight area and/or that benefit people with disabilities, such as lighting, signage, pedestrian safety, streets, sidewalks, crosswalks, trash receptacles, accessibility, public art and/or tree planting. 32 # Project Name 1 Affordable Housing 2 Housing Rehabilitation Programs 3 First Time Homebuyer Program 4 Small Business Financial Assistance Programs 5 Business Technical Assistance 6 Neighborhood Improvement Activities 7 Community Support Services 8 Planning & Administration 9 Downtown/South River Improvements Table 8 – Project Information Describe the reasons for allocation priorities and any obstacles to addressing underserved needs During the development of the Five Year Consolidated Plan, Salem residents identified the community development needs and goals for Fiscal Years 2016-2020. The priority needs identified during the extensive public process included the need for affordable housing, economic development, neighborhood improvement, and social services. The City has based its funding allocations on the identified needs. The proposed activities and expected accomplishments are intended to address those needs, with the goals and accomplishments calibrated to projected funding levels. At least 70% of the FY20 CDBG funding will be used for activities that benefit low- and moderate-income persons.  Affordable Housing - Approximately 14.4% of CDBG funding (including estimated program income) in FY20 will be allocated to affordable housing, along with 100% of Salem’s HOME funding allocation through the North Shore Home Consortium. This funding will be used to facilitate rehabilitation, acquisition and rental assistance for low- and moderate-income households.  Economic Development – The City intends to allocate approximately 18% of its CDBG funding for FY20 to efforts to revitalize commercial districts, improve exterior building facades, and assist new and existing business owners (including microenterprises), through financial and technical assistance.  Social Services – In FY20, the City intends to allocate the maximum allowable amount of 15% to support a broad range of social service programs that are consistent with the needs and goals identified in the Five Year Consolidated Plan.  Public Facilities and Infrastructure Improvements - Approximately 34% of the City’s FY20 CDBG funding will be allocated towards public facilities and infrastructure improvements projects in LMI neighborhoods and in the Downtown Urban Renewal District.  Program Administration - Not more than 20% will be allocated for the necessary general administration costs for program oversight and coordination, including plans and studies. 33 AP-38 Project Summary Project Summary Information1 Project Name Affordable Housing Target Area Goals Supported Affordable Housing Needs Addressed Affordable Housing Funding $0.00 Description Support local non-profit housing organizations and CHDOs seeking to acquire, create, preserve and/or renovate affordable units. Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities Salem will use carried over CDBG and HOME funding to complete the activities noted in a prior year's Action Plan (FY18). These funds have not been associated with a specific development project. The goals indicator for FY18 was set at a minimum of 2 units for LMI families. Location Description The location of the minimum of 2 units utilizing FY18 funds has not been determined. Planned Activities 2 Project Name Housing Rehabilitation Programs Target Area Goals Supported Housing Rehabilitation Programs Needs Addressed Affordable Housing Funding CDBG: $167,600 Description Offer financial and technical assistance to eligible homeowners and investor-owners to improve housing units, including improvements for accessibility, through the Housing Rehabilitation Loan Program. Target Date 6/30/2020 34 Estimate the number and type of families that will benefit from the proposed activities It is estimated that a minimum of three families of low to moderate income will be assisted. This activity may also use carried over funding from the prior year to complete additional units. Location Description Addresses will be determined from applications for assistance that will be submitted by homeowners. Planned Activities Housing Rehabilitation Loan Program Inspectional Services Rehabilitation Administration 3 Project Name First Time Homebuyer Program Target Area Goals Supported First Time Homebuyer Program Needs Addressed Homeownership Assistance Funding CDBG: $0.00 Description Financial assistance to eligible households in the form of loans for downpayments and closing costs through the First Time Homebuyer Downpayment assistance Loan Program. Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities Salem will use carried over CDBG funding to complete the activities noted in a prior year's Action Plan (FY19). As of 5/21/19, these funds had not been associated with a specific address. The goals indicator for FY19 was set at 5 LMI households. Location Description Locations to be determined upon receipt of program applications from eligible households. Planned Activities Loan pool for downpayment assistance loan program. As individual activities are set up for first time homebuyer loans, the loan pool is reduced. 35 4 Project Name Small Business Financial Assistance Programs Target Area Goals Supported Small Business Financial Assistance Programs Needs Addressed Economic Development Funding $70,000 Description Provide a Business Loan Program and a Storefront Improvement Program for new, emerging or expanding small businesses that create or retain jobs for low- and moderate- income workers, address building code violations and/or handicapped access, and/or leverage private investment. Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities It is estimated that one business will be assisted, creating a minimum of 2 LMI jobs. Location Description Point Neighborhood, Downtown Salem (slum/blight area) or other eligible LMI commercial areas. Planned Activities Small Business Loan Program Storefront Improvement Program 5 Project Name Business Technical Assistance Target Area Goals Supported Business Technical Assistance Needs Addressed Economic Development Funding CDBG: $140,000 36 Description Offer technical assistance, training, design guidance, location service and referrals for owners of micro-enterprises or businesses that create or retain jobs for low- and moderate-income workers. Provide program delivery for the business loan program, technical support to the Salem Redevelopment Authority and funding for the Salem Main Streets Program and North Shore CDC’s Small Business Engagement Program. Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities It is estimated that a minimum of four LMI jobs will be created, as well as a minimum of fifty businesses assisted. Location Description Point Neighborhood, Downtown (slum/blight area) and other LMI commercial areas. Planned Activities Salem Main Streets Program Economic Development Program Delivery North Shore CDC Small Business Engagement Program 6 Project Name Neighborhood Improvement Activities Target Area Goals Supported Neighborhood Improvements Activities Needs Addressed Neighborhood Public Facilities and Infrastructure Funding CDBG: $398,200 Description Undertake public facility and infrastructure improvements that enhance the quality of life in eligible neighborhoods such as, parks/playgrounds, clean-up of vacant lots, open space improvements, tree planting, lighting, signage, bike paths, streets, sidewalks, crosswalks, pedestrian access & safety, trash receptacles, traffic calming, public art, accessibility, senior center, fire stations, teen center, schools, etc. Target Date 6/30/2020 37 Estimate the number and type of families that will benefit from the proposed activities Projects will be undertaken in LMI neighborhoods. Per the American Community Survey 2011-2015 5-year estimates, it is estimated that Salem has 21,395 or 52.7% residents that are LMI persons. LMI neighborhoods have 17,600 persons of which 12,180 or 69.2% are LMI persons. We have used 17,600 as the estimated for the number of persons to be assisted. Location Description All activities will be undertaken in eligible LMI neighborhoods. Planned Activities Street & Pedestrian Improvements Tree Planting Park/playground Improvements Lighting Installations Point Neighborhood Improvements Council on Aging Improvements Public Art 7 Project Name Community Support Services Target Area Goals Supported Community Support Services Needs Addressed Public Services Funding CDBG: $174,883 38 Description Provide grants to nonprofit agencies for social service programs such as homelessness or foreclosure prevention, housing education, food distribution, homeless services, job training, senior transportation, child care, crime prevention, immigrant service, ESL and citizenship education, youth activities, senior services and activities, adult education (financial literacy, computer train, etc.) and substance abuse prevention, and other programs that advance self-sufficiency, reduce household financial burdens or improve the quality of life, as well as other special services (legal assistance, program navigation guidance). Also to support programs that provide supplemental education and/or engagement programs to increase public school students' academic achievement. Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities Approximately 8,800 persons will be assisted through approximately 29 social service programs. It is estimated that 97% of the persons served will be low to moderate income. Location Description Not applicable 39 Planned Activities Grants for up to 28 social service programs. Fiscal Year 2020 Social Services Funding Proposals Received: Located within or steps from the Point Neighborhood:  Catholic Charities - Homeless Prevention Program  HAWC – Children’s Services for Domestic Violence Victims in Emergency Shelter  Disability Resources Center, Inc. - Housing Assistance Services  Leap for Education - College and Career Ready Program  North Shore CDC - Family Resource Center  North Shore Community Health – Increased Access to Behavioral and Medical Services to Homeless Individuals  Salem Community Child Care – Kindergarten Afterschool Program  Salem Police Department - Point Targeted Patrols  VOCES - Hispanic Education Program  Open Door Immigration Program – Increasing Community Access to Immigration Legal Services Located in Downtown Salem:  Lifebridge - Medical & Outreach Supportive Services  New Liberty Innovation School – Teacher Home Visits & Family Engagement  Salem YMCA - Afterschool Program Located within Salem:  Aspire Developmental Services, Inc. – Early Intervention Program  Bentley Academy Charter School – Home Visits & Family Engagement  Boys & Girls Club of Greater Salem - Power Hour  Eastgate Christian Fellowship - Joseph’s Storehouse Food Pantry (withdrawn)  Inversant – Salem Families College Savings Program  Salem Council on Aging - Senior Transportation Program  Salem Council on Aging –Creative Arts Program for Senior Citizens  Salem Council on Aging –Muscle Strength & Endurance for Senior Citizens  Salem Park, Recreation & Community Services – Enrichment Playground Programs (Palmer Cove, 289 Derby and Memorial Parks) 40  The North Shore Moving Market – Food Delivery for Elderly and Disabled Persons  The Salvation Army - Homeless Prevention Program  The Salvation Army – Winter Emergency Cot Shelter  Wellspring House - MediClerk Job Training Program Located outside Salem (but available to Salem residents):  Citizens Inn, Inc. – Haven from Hunger Food Pantry  North Shore Community Action Programs, Inc. - Homeless Prevention Program 8 Project Name Planning & Administration Target Area Goals Supported Housing Rehabilitation Programs Affordable Housing First Time Homebuyer Program Small Business Financial Assistance Programs Business Technical Assistance Community Support Services Neighborhood Improvements Activities Downtown Improvements Needs Addressed Affordable Housing Homeownership Assistance Economic Development Public Services Neighborhood Public Facilities and Infrastructure Downtown Public Facilities and Infrastructure Funding CDBG: $215,208 Description Cover costs associated with planning and general administration in order to provide the tools needed to manage the CDBG program, as well as the development of plans and studies and the provision of public information. This includes funds to match grant funds being provided by the Massachusetts Historical Commission Survey and Planning Grant Program and/or other grant programs. 41 Target Date 6/30/2020 Estimate the number and type of families that will benefit from the proposed activities Not applicable Location Description Not applicable Planned Activities General Program Administration Planning Studies Provision of public information 9 Project Name Downtown Improvements Target Area Goals Supported Downtown Improvements Needs Addressed Downtown Public Facilities and Infrastructure Funding CDBG: $0.00 Description Undertake infrastructure and public facility improvements to support Salem's slum/blight are (downtown) and complement ongoing Economic Development activities. Projects may include street & sidewalk improvements, pedestrian circulation, safety, access and aesthetics, accessibility improvements, tree planting, trash receptacles, traffic improvements, lighting, signage and open space improvements, as well as improvements to public facilities and public infrastructure. The City may also look at various locations in the downtown for consideration of public art projects. Target Date 6/30/2020 42 Estimate the number and type of families that will benefit from the proposed activities 4735 persons are located within the block groups that comprise the Downtown (slum/blight area): 2045003 – pop 710 2045002 – pop 1250 2042002 – pop 495 2042003 – pop 1250 2043001 – pop 1030 Location Description Salem's downtown (slum/blight area) is just south of the North River and west of Salem Harbor. The area is bordered by dense, mostly residential areas on all sides. It is bounded roughly by Bridge Street to the north, Peabody Street to the south, Summer Street to the west, and the Salem Common to the east. The MBTA's Salem commuter rail station parking lot, located just north of Bridge Street, is included within the Downtown. Planned Activities Slum/blight area improvements are the City's contribution to economic activity and private investment. 43 AP-50 Geographic Distribution - 91.420, 91.220(f) Description of the geographic areas of the entitlement (including areas of low -income and minority concentration) where assistance will be directed As of 4/1/19, HUD announced the publication of low- and moderate-income summary data based on the American Community Survey 2011-2015 R-year estimates (2015 ACS). A map of the 2015 Census block groups (see Appendix) is used to identify low- to moderate-income (LMI) areas. According to the 2015 ACS, Salem is now 52.7% LMI, with block groups of lower income concentration in the neighborhood roughly between Boston Street and Dunlap/Balcomb Streets; the area bordered by Witch Way, Puritan Road, Ord and Summit Streets, Berube Road, Rawlins and Boston Streets and the City of Peabody line, the neighborhood bordered by Boston, Pope, Proctor, Jackson and Wilson Streets and Jefferson and Highland Avenues; and a large, contiguous, 9 block group area that includes portions of the downtown, the Point Neighborhood and South Salem, boarded by Bentley, Essex, Summer, Broad Street and Hathorne Streets, Jefferson Avenue, crossing over to and along the railroad thru to the bike path parallel to Raymond Road until the Marblehead line, then proceeding up Lafayette Street to Willow Avenue and the Atlantic Ocean, (with the exception of one block group – 2042.004). There is overlap between the Downtown and the Point Neighborhood, which also has the highest concentration of minority residents. Rationale for the priorities for allocating investments geographically The City typically supports programs that benefit low- and moderate-income households or specific population groups such as senior citizens, disabled persons and minorities. Although some programs support the needs of these populations throughout the city, many activities are targeted to specific neighborhoods with concentrations of low- and moderate-income households. When prioritizing activities, the City pays special attention to those low- and moderate-income neighborhoods where the greatest needs have been identified and whose public facilities and infrastructure are in the worst condition. In addition, the City has also undertaken improvements in the Downtown Urban Renewal Area, which is designated as a Slum and Blight District. Discussion In accordance with CDBG regulations, the City can undertake specific activities, such as street, sidewalk and playground improvements in the low- and moderate-income neighborhoods or in neighborhoods meeting the definition of “slums and blight.” With the change to 52.7% LMI city-wide, the City has an opportunity for expansion of CDBG programs and improvements to places that may not be located within LMI areas, but may still serve LMI populations. To this end, the City will look closely at activities that can address comprehensive needs. In addition, the Housing Rehabilitation Loan Program, First- Time Homebuyer Downpayment Assistance Loan Program, and the Small Business Loan Program will continue to be offered citywide, to allow any low- to moderate-income individual or household to take advantage of their availability. 44 AP-75 Barriers to affordable housing -91.420, 91.220(j) Introduction Throughout the process of gathering input through public meetings and through interviews with service providers, business associations, and housing professionals during the 5-Year Consolidated Plan process, the City did not find that its housing policies create impediments to fair housing. Compared to other cities and towns within the region, Salem offers a greater diversity of housing, and a higher proportion of affordable housing overall, having exceeded the State’s 10% affordable housing goal. Nonetheless, several factors contribute to the difficulty of increasing the availability of affordable housing, including a shortage of land, environmental conditions, constraints on development finance, and the lack of regulatory tools to require affordable housing in new developments. Like other communities, Salem is not in control of all of these barriers. Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies aff ecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment Salem’s zoning does not require developers to provide affordable housing via an inclusionary zoning ordinance. As a result, the redevelopment of obsolete residential and commercial space for new condominium or rental housing has produced higher-end units that are not affordable to a large percentage of the City’s existing residents. While the infusion of more people and disposable income in the downtown area supports local economic development goals, a lack of a sufficient supply of housing for low-, moderate-, and middle-income households may create negative social and economic consequences for the City as a whole. The City will:  Continue to negotiate the inclusion of affordable units in private housing developments.  Continue to utilize Massachusetts’ Chapter 40B Comprehensive Permit program which enables the City to waive local zoning requirements including density, height, and use, for developments to create new affordable housing.  Expand affordable housing stock through work of the Affordable Housing Trust Fund Board (AHTF). Utilizing a $59,000 housing planning grant from Massachusetts Housing Partnership (MHP), the AHTF has begun to implement the vision of the city’s recent “Imagine Salem” planning process. The project supports Salem’s efforts to meet new housing demand, estimated by the Metropolitan Area Planning Council, of 2,700 new housing units by the year 2030. The AHTF is evaluating opportunities to leverage public owned land for affordable housing. The City is collaborating with MHP to identify the sites that would be the easiest for Salem to move towards a Request for Proposal for disposition. MHP will assist the City in providing third party technical assistance to do a Phase I Environmental, Site Survey and flagging (identifying also extent of abutters encroachment) and some borings to understand geotechnical conditions. Once the technical assistance is done, MHP staff will work with City to put together fiscally- 45 feasible options that meet community needs/goals and help craft an RFP for developers. Discussion There are regulatory barriers that prevent the full realization of Salem’s vision for housing growth. Among these barriers are regulations relating to the inability to use historic buildings in single-family zones as multi-family, parking requirements, and dimensional requirements. The City will continue to review the existing zoning ordinance and identify opportunities to make changes that would reduce barriers to housing production while also protecting neighborhood character. For example: - In the summer of 2018 the parking minimums in the North River Canal Corridor (NRCC) Zoning District, a corridor in walking distance to the commuter rail, were reduced from 2 spaces per unit to 1.5 spaces per unit. - The City is currently developing a permitting path that will allow for large historic buildings in single-family residential zones that were developed for a use other than housing, e.g. religious uses, to be adaptively reused as multifamily uses. - The AHTF has identified updating the Accessory Dwelling Unit (ADU) ordinance as a priority for 2019. The current ADU limits the eligibility of ADUs to units that will be occupied by family members and/or caretakers to the main residential unit. In addition, the ordinance requires a special permit to create an ADU. The goal of updating the ordinance is to look at ways to remove exclusionary barriers in the ordinance, i.e. the family and caretaker requirement and identify whether there is an opportunity to allow ADUs by right rather than requiring a special permit. While the accessory units created through the amended ordinance will not be deed restricted affordable housing, these are naturally more affordable than a standard market rate 1- or 2-bedroom apartment in Salem. Thus, the units created as a result of the amended ordinance will increase the housing stock and the range of housing options. - The City is analyzing data on the usage of variances for multi-family development to identify whether there are opportunities to amend the dimensional standards and/or revising the dimensional relief process from a variance to a special permit. 46 AP-85 Other Actions - 91.420, 91.220(k) Introduction This section addresses other actions that the City of Salem will undertake including:  Actions planned to address obstacles to meeting underserved needs;  Actions planned to foster and maintain affordable housing;  Actions planned to reduce lead-based paint hazards;  Actions planned to reduce the number of poverty-level families;  Actions planned to develop institutional structure; and  Actions planned to enhance coordination between public and private housing and social service agencies. Actions planned to address obstacles to meeting underserved needs The Five Year Consolidated Plan outlines several barriers to housing affordability and reducing the impacts of poverty in Salem: the cost of permitting and developing land with environmental constraints, the lack of regulatory tools to require or encourage affordable housing in new developments, the lack of resources to finance affordable housing development, an economy imbalanced by lower-wage jobs, and local government’s dependence on the property tax to finance City services. Like other communities, Salem is not in control of all of these barriers, and as a result, its ability to solve them is constrained by financial resources and legal requirements. Nevertheless, Salem has identified several strategies to overcome these obstacles in its goals to increase affordable housing, provide a decent living environment, and increase economic opportunities for low- and moderate-income residents.  The City will continue to support the creation of new affordable housing units, neighborhood improvement projects, and anti-poverty strategies through partnership with non-profit entities, supplementing state and federal subsidies with local funding, and case-by-case negotiation with private developers.  The City will continue to utilize tools such as the Chapter 40B Comprehensive Permit program to exempt developments which create affordable housing from local land use regulations.  Utilize local funding through the Community Preservation Act to facilitate affordable housing development. Actions planned to foster and maintain affordable housing The following summarizes Salem’s strategy to address housing needs, which includes both new housing production and preserving the existing housing stock for working families. Key components are:  Producing New Housing Units - Working with private and nonprofit developers, such as North Shore CDC and Harborlight Community Partners, Salem supports the creation of affordable 47 housing units through the conversion of underutilized buildings and parcels, often assisted with Salem's CDBG, HOME and/or CPA funds.  Preserving Existing Affordable Units - Salem has several private rental developments with affordable units utilizing subsidies that will expire after a period of time. The city continues to negotiate the extension of affordability for expiring subsidized units.  The City negotiates with developers on a case-by-case basis for 10% affordable units.  The City's Community Preservation Act funds require a minimum spending (or reserve) of 10% of the annual budget on affordable housing projects.  The Salem Housing Authority (SHA) currently administers 1,117 Section 8 vouchers of which 929 are leased units in Salem and 171 are leased in other communities, and currently administers 17 for other communities/housing authorities in Salem. The SHA administers 16 vouchers through the DMH program, as well as 125 project-based vouchers. The SHA owns and manages a portfolio of 715 units of public housing for low income elderly, family, and handicapped residents scattered across the city. Funding to preserve and maintain these properties is provided by DHCD and HUD.  Community Teamwork, Inc. in Lowell currently administers the following vouchers in Salem: AHVP (1), MRVP (47 mobile), MVRP Project Based Vouchers (35).  Providing First-Time Homebuyers Assistance - The City provides families with the opportunity to own their first home through the First-Time Homebuyer Downpayment Assistance Loan Program. The program also offers an additional $1,000 for homeowners who complete Homebuyer Counseling. DPCD staff also provide assistance to coordinate other resources for homebuyers, such as programs offered by MassHousing, as well as supporting first-time homebuyer education workshops provided by various organizations.  Rehabilitation of Existing Housing - While older homes are integral to Salem’s history and neighborhood fabric, they require a great deal of maintenance and may not meet current building codes. In response, the City administers a Housing Rehabilitation Loan Program to provide low-interest loans to owners of single and multi-family properties to address health and safety issues. The program was expanded to investor-owners with low- to moderate-income tenants to maintain affordable, quality rental properties and to discourage the conversion of affordable rental units into condominiums. Homeowners are also referred to NSCAP’s weatherization program for energy-efficiency work before utilizing Salem’s loan program, thereby reducing the homeowner’s loan burden. In addition, the City offers deleading assistance for homeowners with a lead poisoned child through MassHousing’s Get the Lead Out Program, which can be combined with the City’s Housing Rehabilitation Loan Program.  Working Regionally to Increase the Supply of Housing - As the housing market is not confined to city boundaries, ongoing multi-jurisdiction cooperation is needed to address the region’s lack of affordable housing. No one city or town can, or should, bear the responsibility of providing all of the region’s affordable units. Salem is committed to working with its partners in the North Shore HOME Consortium and with the region’s mayors to encourage the development of housing 48 throughout the area in an effort to increase the supply of housing for all. Actions planned to reduce lead-based paint hazards The Salem Board of Health disseminates information regarding the proper disclosure of lead hazards upon selling or renting a housing unit and inspects rental units for lead paint hazards. In Salem, a landlord is required to obtain a Certificate of Fitness inspection when an apartment becomes vacant. Board of Health personnel conduct this inspection and enforce the State Sanitary Code for Housing. When the information is sent to the landlord prior to this inspection, a letter describing the Federal law is included, as is a copy of the Tenant Notification Form in English and Spanish. Also, the Board of Health periodically sends notification of regulations regarding lead-based paint to area realtors. In addition, Board of Health personnel are trained Lead Determinators. Should the Board receive a call from a tenant who is concerned that there may be lead-based paint in his/her apartment, potentially affecting their children under six years of age, the Board is able to send out a Sanitarian to conduct a Lead Determination. If lead paint is detected, an order is sent to the landlord requiring compliance with the State Lead Law. The Board ensures compliance with the order. The Massachusetts Childhood Lead-Paint Poisoning Prevention Program is notified of the results of all Lead Determinations. In cooperation with the Commonwealth of Massachusetts and other municipal departments, the City of Salem, through its DPCD, works to decrease the number of housing units containing lead-based paint hazards. The City actively works to reduce lead-paint hazards in pre-1978 housing occupied by lower- income households through the City of Salem’s Housing Rehabilitation Loan Program. Through the Salem Housing Rehabilitation Loan and Get the Lead Out Programs, the City provides loan funds for qualified applicants for lead testing, hazard reduction and abatement activities, and temporary relocation reimbursements. Lead-based paint hazard control measures are consistent with the federal Title X requirements and State lead based paint regulations. MassHousing’s Get the Lead Out Program is also available to homeowners with a lead poisoned child. Finally, all participants in the First-Time Homebuyer Downpayment Assistance Loan Program are given a copy of the EPA brochure “Protecting Your Family from Lead in Your Home.” Actions planned to reduce the number of poverty-level families Salem uses CDBG and other funds to pursue an anti-poverty strategy carried out by the City and a variety of social service subrecipients. The strategy consists of four components: education, job training, affordable housing and social services. Education An adequate school system is crucial to reducing poverty in future generations. The City has used state funding to renovate and improve its educational facilities and provide school-age children with an environment conducive to learning. The Salem Public Schools support bilingual classroom settings and 49 technology-based training that will enable those with lower incomes to improve their job opportunities. The school choice program gives residents more choices about the school they want their children to attend, and offers education focused specific skills, such as science and technology and communication and community service. Salem’s Parent Information Center coordinates the school choice program designed to improve racial balance within the school systems, and provides information about adult education programs designed to help low-income families. The City will continue to support various educational programs for youth, adults, and the Spanish- speaking population with CDBG funds, which may include Salem Public Schools, and programs administered by non-profit agencies such as Aspire Developmental Services, Inc., LEAP for Education, the Boys and Girls Club, Wellspring House, North Shore Community Development Coalition, and VOCES. Job Training and Employment Resources Salem collaborates with numerous job training, and workforce development programs in the region such as The North Shore Career Center and the North Shore Workforce Investment Board. The City will continue to use CDBG funds to support job training and employment assistance programs, such as the Wellspring House MediClerk Program. Affordable Housing Providing adequate, affordable housing for low- and moderate-income residents is critical to the success of an anti-poverty strategy. City agencies such as the Salem Housing Authority and the DPCD are committed to providing safe, appropriate, and affordable housing opportunities to very-low, and low- and moderate-income family, elderly, and disabled households. In addition, many housing providers and social service agencies work in concert to combat poverty in Salem. The City’s established partnerships with agencies such as the NSCAP, the North Shore HOME Consortium and the North Shore Community Development Coalition increase its success at bringing services to lower income residents and encouraging them to participate in revitalizing their community. Social Services Through a competitive funding round, the City of Salem uses CDBG funds to support 20-25 non-profit social service programs annually. These organizations provide services to help families meet the costs of living, promote family self-sufficiency, serve special populations and/or provide crisis intervention assistance – programs seeking to break the cycle of poverty. CDBG funds support several programs which indirectly assist with housing in many ways such as increased pay (i.e. job training, ESL programs) and decreased monthly expenditures (i.e. child care, food programs) so households can better afford rent or mortgages. There are also many non-CDBG funded programs available to Salem residents to help 50 households overcome various obstacles to self-sufficiency. Actions planned to develop institutional structure The Department of Planning and Community Development (DPCD) administers the City of Salem Community Development Program as well as the formula funding received by the North Shore HOME Consortium for which the City of Peabody is the lead agency. Under the direction of the Director of Planning and Community Development, the Assistant Community Development Director manages and monitors Salem’s community development programs. Salem’s housing programs are administered by the DPCD Housing Coordinator under the direction of the Director of Planning and Community Development. In addition, local non-profit agencies, CHDOs and CDCs administer certain housing activities. Many housing activities leverage funds through private lender financing. City departments undertake certain CDBG-funded activities, such as the tree planting program, sidewalk replacement, street paving and curbcut installation. These departments may subcontract work under public bidding procedures and provide requests for reimbursement and any required documentation (i.e., prevailing wage documentation) to the DPCD. Each year the City of Salem issues a Request for Proposals to nonprofit organizations that offer social service, housing or economic development programs. CDBG funds are awarded to organizations that demonstrate programmatic needs and the capacity to administer the proposed program. The City’s Assistant Community Development Director coordinates the management of the public service and housing subcontracts and the Economic Development Planner coordinates the management of the economic development subcontracts. In general, DPCD staff carries out the remaining activities, including the hiring of consultants or other private businesses through established municipal purchasing procedures. The City’s auditing firm audits Salem’s CDBG program delivery system annually. In addition, HUD staff conducts periodic reviews and grant monitorings. The City promptly implements recommendations arising as a result of these reviews. The DPCD continuously works to improve upon its methods and procedures for the administration of its programs. Actions planned to enhance coordination between public and private housing and social service agencies DPCD will continue to administer Salem H.O.P.E. (Human Organization Partnership Effort), a networking group of human service agencies that serve Salem residents, offering a forum for agencies to learn about the services being provided by other agencies in order to fill in gaps, coordinate efforts and avoid the duplication of services. All human service agency representatives are invited to attend the quarterly Steering Committee breakfast meetings held at rotating agency locations. Through this program, agency representatives are introduced to each other and exchange information, announcements and updates. 51 Program Specific Requirements AP-90 Program Specific Requirements - 91.420, 91.220(l)(1,2,4) Introduction Over the past five years, Salem met all timeliness requirements, and program expenditures were consistent with its Five Year Consolidated Plan and annual Action Plan goals. Funds drawn down are always used within the year they are received; no program income is carried over. Community Development Block Grant Program (CDBG) Reference 24 CFR 91.220(l)(1) Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out. 1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 0 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 0 3. The amount of surplus funds from urban renewal settlements 0 4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0 5. The amount of income from float-funded activities 0 Total Program Income: 0 Other CDBG Requirements 1. The amount of urgent need activities 0 2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income. Overall Benefit - A consecutive period of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan. 70.00% Discussion This AP covers July 1, 2019-June 30, 2020 (Salem's FY20, using HUD 2019 funds). We estimate receiving $100,000 in program income during this program year. All program income received in FY20 will be reported and spent under FY20. We do not have any lump sum drawdown agreements, nor reimbursements other than program income, made to the local account, expected to be available during FY20. Salem intends to spend at least 70% of CDBG funds to benefit persons of low and moderate income in FY20. The City of Salem primarily funds activities that serve low- to moderate-income households (limited clienteles) or activities within majority low- to moderate-income neighborhoods, typically reaching a percentage of 89% or higher (99.6% in FY18). Appendix 1 - Map 2 - Application for Federal Funding and Certifications 3 - Citizen Participation Comments  Part 1 - Public Participation Process  Part 2 - Review of Draft Plan  Written Comment Received Appendix 1 – LMI Map Appendix 2 - Application for Federal Funding & Certifications Hard copy - See next pages in Final Action Plan. IDIS – See separate attachment. Appendix 3 – Citizen Participation Comments Part 1 – Public Participation Process Public Hearing, 6:00 PM, January 17, 2019 Staff Present: Jane Guy, Assistant Community Development Director Naomi Francisco, Housing Coordinator & Spanish translator Kate Newhall-Smith, Principal Planner Attendees: 9, plus 3 city staff All attendees were provided a guidebook handout. Jane Guy, Assistant Community Development Director opened the Community Development Block Grant public hearing. Ms. Guy introduced Naomi Francisco, Housing Coordinator, stating that Ms. Francisco, if required, was available for Spanish translation. Ms. Guy stated that the purpose of the meeting was to obtain citizen views on Salem’s housing, community, and economic development needs and priorities in order to prepare the FY20 Action Plan, which starts on July 1st. This is for funding the City will receive, including Community Development Block Grant and HOME monies from the federal government. Ms. Guy stated that the Action Plan is a one-year document that outlines the activities that will be undertaken using these funds and includes activities identified as priorities from the 5-year Consolidated Plan completed in 2015. The upcoming year will be the fifth year of the Consolidated Plan; another plan will be started next year. Ms. Guy indicated that the 5-year Consolidated Plan from 2015, current Action Plan for FY19 and end of year report from June, 2018 (Caper FY18) were available for view on the table to anyone interested to see what kinds of things have been funded in the past. All the documents are available at online at www.salem.com . Ms. Guy stated that, as of this date, the City has not been informed of the FY20 allocation and will be using last year’s allocation as estimates. For CDBG FY18 the allocation was $1,053,238 and HOME (Home Investment Partnerships) was $162,324. In order to utilize these funds, activities must be considered eligible by HUD standards to primarily serve low to moderate income residents, households or neighborhoods. Ms. Guy identified on a map the low-income areas, by census track, where physical improvements can be undertaken, such as tree planting, sidewalks, new parks and street paving. She stated that for households there are income guidelines, provided in the handout, that determine the eligibility for use of programs, such as first-time homebuyer or housing rehabilitation programs or for loans through the business loan program. She added that funds also serve social service agencies that serve low to moderate income residents, for which the income guidelines are used to determine eligibility for programs, such as food or homeless programs, or the Boys and Girls Club youth program, noting that there are about 26 programs that are funded each year for public services. Ms. Guy stated that CDBG funds can be used to create jobs and introduced Kathryn Newhall- Smith, the new Economic Development Planner, adding that eligibility and job creation are requirements for loans through the business loan program, and that jobs created are documented in the year-end report. Ms. Guy stated that funded programs range from the business loan program to create or retain jobs, housing rehabilitation loan program, first time homebuyer loan program, access improvements for persons with disabilities, public facilities improvements, such as improvements to a firehouse or playground, infrastructure improvements, such as tree planting, sidewalks, curb cuts and street resurfacing, studies, such as a study to preserve a historic building, and grants to social service agencies for various programs, such funds to prevent addiction, food pantries, youth activities, senior transportation, child care, neighborhood police bike patrols and job training. Ms. Guy further stated that funded activities can be projects or programs managed directly by the City of Salem or they can be projects or programs managed by other organizations, such as when grants are provided to agencies such as North Shore Community Action Programs, North Shore CDC, Boys & Girls Club, and various others. Ms. Guy stated the handout has a schedule of the Action Plan process. The Request for Proposals to enable the non-profit agencies to request funds was mailed out this week and proposals are due February 23, 2019. She noted that the process kicks off with this public hearing, then the funding requests will be received, the Action Plan will be drafted and the plan will be made available for a 30-day public comment period - currently scheduled for the end of March. She noted that the timetable is contingent upon what happens with the Federal government shutdown and a public meeting cannot occur until the City is informed of its allocation - noting that, last year, the allocation notification was received two months late. She stated that there will be ample notification as to when the next public meeting will he held, but that the plan will not be written with the proposed physical activities/programs until the allocation is announced. She stated that the timetable in the handbook will probably be pushed out a bit. Ms. Guy asked the public what they feel are priorities, if there are any new or increased priorities since the Consolidated Plan in 2015, if there are any things that are less of a priority now, or if there are particular activities suggested that would meet the needs. Ms. Guy asked those speaking to first state their name, and asked if there were any questions regarding the program. Linda Stark stated that she was a resident concerned about housing. She asked how many people are on the committee that make the decisions on which funds get allocated to the different organizations in Salem that submit fund requests. Ms. Guy explained that once the proposals are received, she will make recommendations that are reviewed by the Director of Planning and Community Development and then by the Citizens Advisory Committee. Ms. Stark asked how many members were on the committee, stating that she received an email from Ward Councilor Christine Madore asking to be on a committee, which she thought was for housing. Ms. Guy asked if it was for the Community Preservation Committee. Ms. Stark replied that it was for housing, for which she has an interest and for which she responded she would be on the committee. She thought it was regarding low-income housing. Ms. Guy responded that perhaps it was the Affordable Housing Task Force. There is also the Community Preservation Committee, which deals with housing, recreation and historic resources. Ms. Stark asked if the City turns requests away. Ms. Guy replied in the affirmative. She stated there is a rating system based on the findings of the Consolidated Plan. For example, housing is a high priority and youth programs are medium priority. If a program is not high or medium priority, then it’s considered a low priority, and it’s unlikely that it will be funded. High priorities are likely to get funded. She stated that there a lot of agencies that submit every year and many get level funded. A new program would need to be high priority, such as one that addresses the opioid crisis, in order to likely get funded - but the funded program could end up bumping another program out, because only 15 percent of the allocation can be spent on public services. She noted that the City spends this maximum annually, because there are so many needs. Ms. Guy clarified that the annual allocation (i.e. $1,053,238 million), plus the program income received from the previous year, multiplied by 15 percent determines the maximum that can be allocated for public services for this year. Ms. Stark questioned who sets the 15 percent limit. Ms. Guy responded that it is HUD, the Federal government. Ms. Stark asked if it was nationwide. Ms. Guy responded in the affirmative. Ms. Stark asked if the available summary of the prior year will show where last year’s dollars were spent. Ms. Guy replied in the affirmative, and stated that the end of year report (CAPER), is on the table and is available for the audience to breeze through. It is also available online at www.salem.com under studies and reports. The section entitled Community Development Block Grant has the Consolidated Plan, and several years’ Action Plans and end of year reports. Ms. Stark asked if the Mayor has to approve anything. Ms. Guy replied in the affirmative, noting that the Mayor has the final say. Ms. Stark asked if it goes before City Council. Ms. Guy replied in the negative, noting that the only thing that goes before City Council is the application for Federal funding, so that they can approve the submission of the CDBG grant application. William Dowd, from the Salem Gazette, stated that a lot of the times the City leverages grant monies with other funds such as CPA, of which Lafayette Park is one example. He questioned how much money was used for that particular park, and asked if there are other examples. Ms. Guy replied that, in the CAPER, there is a section on leveraged funds. She noted that this project probably received PARC funding and/or other types of funds and that it often takes funds from different sources to make a project work. Mr. Dowd stated it was interesting to see and that it’s a Beverly Strauss asked what CAPER stands for. Ms. Guy replied that it is Consolidated Annual Performance and Evaluation Report. Ms. Strauss asked if nonprofits submit reports each year. Ms. Guy replied that the agencies submit annual proposals. Ms. Strauss asked if, after so many years, is it decided to look for new people or organizations. Ms. Guy replied that when the Request for Proposal is issued, any agency is welcome to submit a proposal. She noted that it’s based on needs and that high priority programs are going to be funded first. She added that there have been programs that have been dropped, because they were either not priority, or because the agency was underserving. Sometimes the amount of funding to one agency is reduced and increased for another. Ms. Strauss inquired as to how the City monitors the organization, in general, and if larger cities have larger budgets. Ms. Guy replied that funds are allocated by a federal formula that is based on various data including the age of housing, lead paint statistics, etc. She stated that the formula is applied each year, and sometimes there are new CDGB communities that come on board, and sometimes others drop out. She stated that each community is going to get a different amount of funding. Ms. Guy replied that as far as monitoring of programs, for public services, agencies are required to provide monthly reports before an invoice can be processed and the invoice needs to include proof of payment. For instance, if the program is to provide childcare and the program is paying the salary for the person doing the childcare, they must provide us with proof that this person was paid the salary. For the children assisted, although anonymous, the statistics on the households are also required. The agency must have documentation in their files on household income for each household. Ms. Guy further stated that periodical site visits are conducted, for which she and Ms. Francisco monitor and review all files. Therefore, there’s ongoing monitoring through monthly reports, along with onsite monitoring. Deric Lepard stated that he works for North Shore Community Action Programs, one of the agencies that has benefitted. He stated that through speaking with other staff and reviewing the community needs assessment of their strategic plan, one of the areas they consistently see a need is rental arrearages assistance. He stated that rents are going up and it only takes one bump in the road for someone to fall behind and when resources are available to prevent them getting to the next step of eviction, it really can make a difference, so that people don’t have to go down that road. He added that utilities (such as if someone is in threat of having their electricity shut off or they’ve utilize their fuel assistance benefit and they don’t have enough heat), is also what they are seeing as some of the greatest needs. Mr. Lepard further stated that they recently completed a consumer survey and heard that stability in someone’s family to not become homeless, to be able to stay in the school system or in an apartment, is some of the greatest needs that they are seeing. He added that in the needs assessment, emergency financial assistance was the second need, with affordable housing being number one. In particular, when they asked about underserved populations, people with disabilities was number one, which is often where there’s a lower income. Mr. Lepard stated he had been speaking with someone about start-up assistance (noting that NSCAP has been awarded moneys, is spending it very quickly and will be out before too long), and it was discussed that it’s a lot of money to come up with first, last, security and moving costs based on a disability income. He questioned how the person could make it work. He stated that it was very overwhelming and stressful for the individual and that when this assistance is available to low income people, it is a huge help for which he thanked the City. Linda Weibner, Social Worker at the Salem Family Health Center on Congress Street, stated a lot of her patients are homeless, and some have issues paying for utilities. She stated that a patient who was living at the Howard Street rooming house, a place that was recently condemned because of a pipe burst leaving water everywhere, is now homeless again. Ms. Weibner inquired about funds or programs for the neighborhood where the clinic is located, which is down-trodden - noting that the handout states that CDBG can aid in the prevention and elimination of slums or blight. Jane Guy asked the address of the clinic. Ms. Weibner replied that it is at 47 Congress Street at the corner of Harbor. Ms. Guy replied that the street is in an eligible area, but for the building, the owner would need to contact Ms. Francisco, if they are seeking assistance for the units. There are requirements if you are a property owner or an absentee landlord and need assistance. The assistance is in a form of a loan with mortgages and requirements to which they would have to adhere. Ms. Weibner asked if there were any plans to renovate in that area, noting there is a lot of subsidized housing. She asked if there are any plans in the upcoming year, such as converting the St. Joseph school. Ms. Guy stated the school is owned by the Archdiocese and there was a memorandum of agreement that was signed a while ago, but she did not know the status. She is aware they were encouraged to do housing and that it’s what they’ve been doing with a lot of their properties that have been decommissioned. The City was pushing for housing; it’s not owned by the city. David Friedberg, realtor, stated he was interested in housing for low income and elderly, and inquired about the citizen’s task force, and if it changes every year, how does one get on it, what’s the make-up, how long does one stay on and who decides who’s on it. Ms. Guy responded that there are a few different task forces, and that the Citizens Advisory Committee is only active committee when called upon annually to look at proposals for funding. There’s an Affordable Housing Task Force, of which Amanda Chiancola staffs and who would be a good person to speak with. Ms. Guy did not know if there are any openings. Mr. Friedberg stated he wasn’t necessarily looking to be on the task force, but was curious about whose eyes are on this, what are their qualifications and how do they get on, because the eyes should be really good ones, the head should be really good and that his community may know of someone. He noted that the realtors were asked to bring someone on for historic preservation. Ms. Guy stated that a realtor is required for the Salem Historical Commission. She noted that the names of all board members should be included on the city website. Mr. Friedberg asked that, with housing having a high priority rating, if the priority ratings are numbers of something that has been established, if they consistent or if they have changed and how does he get to know that. Ms. Guy stated housing is the Mayor’s highest priority and the reason why the Affordable Housing Task Force was established. Ms. Chiancola is working full force on this issue and is the best person to speak with. Mr. Friedberg asked if the amount of money for housing is consistent on a percentage basis or does it fluctuate. He stated that he knows it’s a high priority and that Salem’s prices are too high and asked if the amount of money for housing generally stays about the same percentage. Ms. Guy replied that for CDBG and HOME, the city will get requests from North Shore CDC or Harborlight Community Partners for help with funding to purchase a property and rehabilitate it, which enables them to apply for other grants, etc. This community match gives them the ability to go to other funding sources and say the city supports it. The agencies can also apply for Community Preservation Act funds, and then apply to banks and for tax credits. Developing housing is a very complicated financial process with millions of dollars needed in the end for a project. The City has assisted with quite a bit of housing with CDBG and Community Preservation Act funding. The City has assisted with over 100 units of housing with CPA money over the last four to five years. Mr. Friedberg asked, with regard to individuals who cannot pay their rent, if there are contingency monies set aside, or emergency appropriations. Ms. Guy replied in the affirmative, stating that Mr. Lepard referred to this funding, which is provided to NSCAP and other agencies, such as Catholic Charities and Salvation Army. If someone is behind on their rent or utilities, they can contact one of these agencies for assistance. Funding is also available for first, last and security through NSCAP and Citizen’s Inn. A member of the audience asked if the Citizen’s Inn was a shelter. Ms. Guy stated it’s an agency that has housing, shelter and runs Haven from Hunger, as well as other programs to advocate for lower-income people. They are located in Peabody, but serve the whole North Shore. Mr. Dowd asked about the Mayor’s Task Force. Ms. Guy replied that there is a Mayor’s Task Force for homelessness, which is a meeting with providers to address homelessness issues. There have been a couple public hearings, increased Police patrols, a recent meeting with faith leaders and the city continues to work on homelessness issues. A member of the audience asked how the process of helping the homeless was going. Ms. Guy stated the City is partnering with NSCAP to provide a housing first program, where funds are targeting the highest risk persons on the street, the chronic homeless. Rather than first finding someone a job and then an apartment, the first need is getting the person housed, so they can be stabilized. The goal is to assist the highest risk, chronic homeless, for which three have been housed and off the street in just the last few months. Ms. Guy stated there are also outreach workers, one through North Shore Community Health, and one through the Salem Police Department, who try to connect with folks to get them the services that they need, such as doctor and dentist appointments, to try to regulate their meds, to assist with nutrition or to get them to come in to Lifebridge for food and other services. A member of the audience asked if the city is initially paying the rent of those individuals housed because they may not have a job and, if they do, it may not be enough. Ms. Guy replied that in the short term HOME funding is used for tenant based rental assistance to get someone housed. Once in housing, they can start working on things like getting them a job. She noted that some are on social security, which can also be used to get them stabilized. Laurie Fullerton from the Brookhouse Home for Women on Derby Street commented that the Brookhouse serves the elderly women of Salem which is supported by the State Department of Transitional Assistance and Medicaid. She stated that the home gets almost daily calls about housing. Women 65 and older can reside there. They are a resource for the city, but are somewhat under the radar. Ms. Fullerton stated that the home is non-profit and relies on grants, such as the Cummings Foundation, which provided funding to repair the roof, and noted that the home has a lot of issues due to the building being very old, having been built in the 1800’s. Ms. Fullerton asked if there are partnerships for a place like the Brookhouse home, such as to partner with on grant applications. Ms. Guy asked if Ms. Fullerton was looking to partner with another agency for physical improvements or for programs. Ms. Fullerton stated the needs are not the same as some of the questions raised tonight. She stated that she was curious if anyone had ideas about working more closely with some issues the city is facing because the home is like a resource, but is under the radar. Ms. Guy replied that she was willing set up time to further discuss what Ms. Fullerton may have in mind, noting that the City partners with a lot of agencies in different ways, depending of what the needs are and what the agency would like to offer. Ms. Fullerton stated the home has some individuals with more behavioral health issues living there and it is slowly transitioning to meet the greatest needs. A member of the audience stated affordable housing is a priority and it is a bad situation in Salem. She questioned how to get developers that want to build affordable housing. Ms. Guy replied that there are a couple good developers that have been creating affordable housing such as Harborlight Community Partners and North Shore CDC. She stated that North Shore CDC constantly has something in the works, further commenting that housing is what the Affordable Housing Task Force is working on. She stated that the Affordable Housing Task Force is a great resource and recommended attendance at their meetings. A member of the audience asked if Beverly or other surrounding communities had more affordable housing than Salem. Mr. Lepard stated that Lynn has. Ms. Guy stated that Salem has one of the highest percentages of affordable housing within the 30 North Shore Home Consortium communities and believes its only second to Georgetown. Salem has approximately 12.5 percent of its total units as affordable. Mr. Friedberg stated that a community needs a minimum of 10 percent of affordable units in order to apply for certain programs. Ms. Guy stated that the community percentages as of 2015 are listed in the 2015 Consolidated Plan. Mr. Friedberg stated he was at one of the City Council meetings and one of the Councillors spoke, who was in his 70’s and who had made it known he was looking forward to retiring and living in senior housing, but commented that there isn’t enough, and that he was told there are people on list that never make it to senior housing, due to how long it takes to get housing. Mr. Friedberg mentioned he was aware that there are certain historic buildings that are being targeted for overlay to be able to provide more housing and but he didn’t think there was any promise or commitment for a very high percentage of moderate or low-income and no mention of senior housing. He stated that it’s a pretty big deal for people who don’t own a property they can sell at an older age and it’s very hard for them to stay here. If they own a home, it’s easier, but they still have healthcare to worry about, so he would like to see more of senior housing. A member of the audience commented that she visits Council on Aging facilities for her job and that every town and city have the same problem with a very long waiting lists for senior housing. Ms. Francisco stated there’s an eight-year waiting list through Salem Housing Authority for the disabled and elderly. Mr. Friedberg asked at what age can someone start the application process. Mr. Lepard replied that it was 60. A member of the audience stated that Massachusetts, while expensive, is paradise compared to Texas, due to the available resources here. There were no further comments, Ms. Guy thanked the participants and the meeting was adjourned. Part 2 – Review of Draft Plan Public Hearing, scheduled for 6:00 PM, June 20, 2019 Staff Present: Jane Guy, Assistant Community Development Director Naomi Francisco, Housing Coordinator & Spanish translator Amanda Chiancola, Senior Planner Attendees: There were no attendees present Part 3 – Written Comment Received An email was received from Darlene Story of Catholic Charities. She stated that she would “want to express the need for the continued support for homeless prevention for the residence of Salem.”