Department of Community and Economic Development. Five-Year Consolidated Plan

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1 Department of Community and Economic Development Five-Year Consolidated Plan & Annual Action Plan

2 Acknowledgments This Consolidated Plan has been drafted with the input and suggestions of the City of Miami s leaders and administrators. Special thanks are extended to them. Mayor Tomas Regalado Commissioner Wifredo Willy Gort, District 1 Commissioner Marc Sarnoff, District 2 Commissioner Frank Carollo, District 3 Commissioner Francis Suarez, District 4 Commissioner Keon Hardemon, District 5 City Manager, Johnny Martinez We also would like to acknowledge the contributions of the following City Departments: Capital Improvements Program, Neighborhood Enhancement Team (NET), Parks and Recreation Department, and Planning & Zoning Department.

3 To: Citizens Reviewing the DRAFT of the City of Miami Consolidated Plan From: The Department of Community & Economic Development, City of Miami Date: January 28, 2014 Re: Consolidated Plan 14 18, City of Miami This document is a DRAFT of the Annual Action Plan for PY14 15 along with the Consolidated Plan of and Annual Action Plan for which once finalized will be submitted to the U.S. Department of Housing & Urban Development (HUD) electronically. This document is available for a 30 day comment period, in accordance to the most recent City of Miami Citizen Participation Plan. Any and all comments related to this plan should be directed to Robert Tazoe, Assistant Director, no later than February 26, 2014, via e mail to rtazoe@miamigov.com or via U.S. mail to: City of Miami, The Dept. of Community & Economic Development, Attn: Robert Tazoe, 444 SW Second Avenue, Second Floor, Miami, FL We suggest that submitted comments reference the particular part of the plan being addressed by noting the section (examples: SP 55; AP 75) somewhere within the comment(s). Along with your comment (s), you are asked to include your full name (first and last), as well as a phone number, mailing address, or e mail address, and the name of your public or private organization, should you be representing one. Comments submitted without a verifiable first/last name and contact information will not be included in the Plan, given our inability to verify the origination of the comment(s). Please note: In May 2012, HUD's Office of Community Planning and Development (CPD) introduced the econ Planning Suite, including the standardized Consolidated Plan template in IDIS (Integrated Disbursement and Information System) OnLine. IDIS is the nationwide database that provides HUD with funding data and current information regarding the program activities underway across the U.S. for the four CPD formula grant programs: CDBG, HOME, ESG, and HOPWA. HUHD now requires that all HUD funded entitlements enter their latest 5 year Consolidated Plan and Annual Action Plans in this webbased template whereby specific questions are noted and must be answered, specific graphics/tables are included and must be completed, and attachments are requested. This draft is a printed version directly from IDIS of HUD s required format, which means that the general design, formatting, layout and organization of this document CANNOT be modified. Thank you.

4 Executive Summary ES-05 Executive Summary - 24 CFR (c), (b) 1. Introduction The Five-Year Consolidated Plan is submitted to the U.S. Department of Housing and Urban Development (HUD) and serves as the planning tool for jurisdictions funded, under the Community Planning and Development (CPD) formula to include grant programs. The formula grant programs guided by the Consolidated Plan consist of the following: Community Development Block Grant (CDBG), HOME Investment Partnership (HOME), Housing Opportunities for Persons with AIDS (HOPWA) and the Emergency Solutions Grant (ESG) program. The Five-Year Consolidated Plan provides an assessment of the housing and community development needs in the City of Miami; a strategic plan for addressing these needs; and a specific one year Action Plan for the use of the U.S. Department of Housing and Urban Development formula grants funds. The Five-Year Plan is a document submitted to HUD with the intention of serving as a forecast instrument utilized to identify the comprehensive housing affordability strategy and as a community development plan for jurisdictions funded under the Community Planning and Development formula. Briefly stated, the Consolidated Plan is a detailed illustration of community development needs in the City of Miami and includes an analysis and inventory of community services; proposed funding to respond to community issues; and goals with objectives to address community priorities. To summarize, the Consolidated Plan serves the following functions: A planning document for the jurisdiction An application for federal funds under HUD s formula grant programs A strategy to be followed in carrying out HUD programs An action plan that provides a basis for assessing performance 2. Summary of the objectives and outcomes identified in the Plan Needs Assessment Overview The City of Miami is a bright and vibrant city, a city that has experienced, in the past decade, population growth and improvements to the median household income. However, city residents have not been able to keep up with the increasing high cost of living in the Miami area, as such 67 percent of city residents fit the low-to-moderate income category and nearly half of city households (46 percent) are cost-burdened. This is a city where socio-economic and housing trends for its residents are directly affected by a housing market that is driven by a large influx of foreign capital. The city is located in one of the top ten Metropolitan Statistical Areas (MSAs) with the widest wealth gaps and income disparities which correlates with the increasing housing costs city residents are experiencing. This trend has contributed to an excessive number of cost-burdened households and overcrowding in the city. In addition, population growth signals a higher demand/need for housing, especially for the city's older population which has

5 been increasing in the past few years. This segment of the population tends to be situated in the lower income bracket and depends, for the most part, on a fixed, limited income. Housing needs for non-homeless special needs population differ enormously based on specific population groups. Some groups have characteristics that make it very challenging to gather precise and up-to-date information about them. Nonetheless, the city was able to gather relevant data from different sources cited throughout the plan, but mainly on a County-specific basis that was utilized to address the housing needs of this segment of the population. This analysis can be found under section NA-45 of this plan. Addressing non-housing community development needs are also a high level priority for the DCED which focuses on stimulating neighborhood development through the implementation of programs and strategies to help counteract the effect of distressed neighborhoods in our communities through coordinated planning to integrate public services, economic development, infrastructure improvements and housing activities for low income households. Improved public services that provide services to the elderly, disabled individuals, youth, children, and provide employment training are important as a means to support our residents and to provide economic opportunities to families who, if it wasn't for the provision of these services, would not otherwise be able to work or look for employment. The DCED understands that economic development programs are vital for neighborhood revitalization; therefore, the department supports programs that help low-to-moderate income persons attain employment in conjunction to facilitating business development, it provides assistance for public facilities and parks to improve the health and welfare of communities, and it assists the city in supporting infrastructure improvements such as curbs, sidewalks, and street improvements to maintain and revitalize neighborhoods. In 2006, the U.S. Department of Housing and Urban Development implemented a new system to measure the performance of programs funded with federal entitlement dollars that would allow HUD to provide decision makers direct results to emphasize program outcomes for future funding consideration. As such entitlement jurisdictions are mandated to include outcome performance measure on all programs and activities. All activities must meet one objective along with one outcome: Objectives: 1. Creating suitable environments 2. Providing decent affordable housing 3. Creating economic opportunities Outcomes: 1. Availability/Accessibility 2. Affordability 3. Sustainability

6 3. Evaluation of past performance The economic downturn not only did it affect the city s housing market, but also brought with it a series of economic consequences that exacerbated the already weak economic outlook of many city residents, especially that of low income households. The City of Miami was also affected by severe budgetary cuts on the CDBG, HOME, and HOPWA programs that hindered the city s ability to provide all services needed in our neighborhoods. Nevertheless, the city was able to meet its FY Consolidated Plan objectives by working diligently with the Mayor and City Commissioners to bring forward a plan of action that attempted to minimize the effects of federal budget cuts by providing city funds to continue to provide social services to thousands of low income city residents. The City of Miami DCED has a very good track record for meeting its objectives outlined in the Consolidated Plan. The challenge has always been the limited resources it has to meet the needs and provide all the services necessary in this community which are described in the upcoming chapters of this document. The Needs Assessment and the Housing and Non-Housing Market Analyses sections show that through careful planning and investment, many of the issues surrounding the city could be addressed, but at this moment it is a goal difficult to attain as funding continues to dwindle and communities continue to corrode. 4. Summary of citizen participation process and consultation process The City of Miami focused on a comprehensive citizen participation process that targeted all of its stakeholders in an effort to create a well-balanced and sensitive Consolidated Plan where the needs of city residents, community-based organization, and private agencies were responsibly captured and addressed. The city's effort included notices in The Miami Herald, multiple blasts, printed flyers mailed out to agencies, press release distribution to media outlets, and public service announcements via the City's cable TV station. The city held one meeting per commission district. During these hearings, the city was able to properly capture the needs, concerns, and expectations many residents expressed, gathered suggestions and proposed avenues to alleviate those needs. The public meetings to discuss CDBG, HOME and ESG funding for the upcoming Five-Year Consolidated Plan were held after working hours. In addition, the city, as administrators of the HOPWA program, held two additional meetings to discuss the needs, expectations, and future plans for the allocation of program funds. 5. Summary of public comments For a summary of public comments please refer to the Citizen Participation section of this plan. This Section will be updated once the 30-day Comment Period concludes. 6. Summary of comments or views not accepted and the reasons for not accepting them All comments up to the date of issue of this plan have been accepted. This Section will be updated once the 30-day Comment Period concludes. 7. Summary The City of Miami FY Consolidated Plan aims to reduce the high levels of poverty that exists within its boundaries through its community and economic development efforts. The objective of this plan is to revitalize distressed neighborhoods by implementing community and economic development

7 strategies in an effort to improve the quality of life of low income city residents by providing them with access to services which aids them in achieving self-sufficiency and economic stability.

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