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Unique funding opportunity now available for Iowa City community development projects

Updated:  October 04, 2010

The repayment of a state-issued Community Development Block Grant (CDBG)
Community Disaster loan has created a unique funding opportunity for Iowa City
nonprofits, community organizations, housing developers, local businesses, and entities
that have ideas for community development projects. Tracy Hightshoe, Community
Development Planner for the City of Iowa City, said up to $2.8 million will be available
for reallocation for a wide range of CDBG-eligible projects, including housing, public
facilities, neighborhood or recreational facilities, economic development activities, and
infrastructure improvements. To be eligible, each project must meet at least one CDBG
national objective, primarily benefit low- to moderate-income people, or help to prevent
or eliminate slums and blight.

Community Development staff have stated that this is a rare opportunity for CDBG
projects, as the amount of funding currently available is nearly four times the annual
CDBG entitlement amount. They encourage applicants to be innovative and
comprehensive in their ideas and approaches toward community needs, and urge
applicants to contact them at 319.356.5230 to discuss their project before an application
is submitted. Funding requests must be for at least $50,000, and no more than $2.8
million.

Prior examples of CDBG community development projects include the construction of
the Pheasant Ridge childcare center, building acquisition for Free Medical Clinic,
additions at Crisis Center and Four Oaks, flood improvements to Ralston Creek, land
acquisition for affordable housing projects, rehabilitation of owner-occupied homes and
rental housing, the construction of a Family Resource Center at Grant Wood
Elementary, sidewalk improvements, façade improvements to commercial businesses or
districts, financial assistance to expand businesses, property acquisition and rehabilitation
for the Senior Center, land acquisition for Benton Hill Park, installation of a splash pad
at Wetherby Park, and many others. These funds may not be used for operational
funding, such as salaries, computers and software, utilities, or portable appliances or
equipment.

Applications will be available beginning Monday, September 20 on the City’s website at
www.icgov.org/fy11apps. Upon request, staff will e-mail the application materials and/or
provide paper copies. The deadline to submit applications is noon on Friday,
October 29, 2010.

The Iowa City Housing and Community Development Commission and the City Council
will review all requests and conduct a public allocation process to determine which
projects will receive funding. Funds are awarded according to the needs and priorities
outlined in the City’s 2010-2015 Consolidated Plan (CITY STEPS, located at
www.icgov.org/actionplan), as well as the project’s impact on the community, the
capacity of the organization to undertake the project, and their ability to complete it
within a tight time frame. The funds will become available around January 1, 2011, and
will be distributed to selected recipients upon City Council approval and after
applicants have entered into an agreement with the City.

For more information, contact City of Iowa City Community Development staff at
319.356.5230 or e-mail tracy-hightshoe@iowa-city.org.


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