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32787.1 <br />r" " '" 'i�' <br />TO: <br />Mayor and City Council <br />FF-OM* <br />Mark ; ernhardson, City <br />Administrato''(1��� <br />COTE: <br />March 27, 1987 <br />�. <br />a. <br />SUBJECT: <br />Community Development <br />Block Grant Funning <br />Year XIII <br />;,ublic Bearing <br />At*achmtt,ts: A. Gerhardson Memo Community Development Block <br />Grant - Previous Projects Dated March 23, 1987 <br />B. Hennepin Economic Resource Organization Letter <br />Dated February 25, 1987 <br />C. Hennepin County Year XIII Urban Hennepin <br />County C.D.B.G. Program Grant Dated January 29, <br />1987 <br />ISSUE - <br />1. To hold the rcquirFd public hearing for C.D.B.G. program. <br />2. Determination of how Orono's $23,775.00 C.D.B.G. funds is to <br />be allocated for 1987. <br />INTP,ODUCTION_ - Community Development Block Grant funds are one of <br />two funding sources the City of Orono receives from the Federal <br />Government. (The other is Federal Revenue Sharing which the City <br />did not anticipate receiving for ,987 when it did its budgeting.) <br />This source which was originated in the mid 70's was made <br />available for a fairly broad range of activities that fell within <br />the realm of community development. As noted in the attached <br />memo from John outlining the various projects, Orono has used <br />this in various areas, the most recent of which was substantial <br />assistance to qualifying individuals in the Crystal Bay sewer <br />project area in an amount of approximately $190,000 for both <br />hookups and assessments grants. (This has been a combination of <br />the yearly grants Orono has received together with the receipt of <br />C.D.B.G. discretionary fund- from the County.) <br />Budgeting for this program is done separately from the City's <br />regular budget cycle as the size of the allocation is not <br />determined until Ft,br3ury of each year and the City is not the <br />actual final recipient. In past years ')rono has received in the <br />range of $30,000, howf�ver, this amount is decreasing because of <br />reductions on the Federal level. It is anticipated that this <br />program may last for a fr-w more yc.ar�, but wi 1 1 he ,at reducer] <br />funding levels. Orono is a recipient of these funds through a <br />cooperative program from 11onnepin County and as such is not a <br />direct rpc1plent. f'houlJ the County Select to change their <br />program Orono's funding coult.i .also be affected. (Unlike <br />I <br />