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(DCA) has allocated approximately $9,000,000 to the economic development category for proposed projects that will increase employment opportunities for low and moderate income households in Florida. For the Commercial Revitalization, Housing Rehabilitation, and Neighborhood Revitalization CDBG categories, the FY 2000/01 grant application cycle is currently open and will be closing on May 31, 2000. The CDBG Program is a federal program that provides funding for housing and community development. In 1974, Congress passed the Housing and Community Development Act, Title I, and created the CDBG Program. Administered by the U. S. Department of Housing and Urban Development, the program consists of two components — an entitlement program that provides funds directly to large urban areas, and a small cities program which funds rural community activities. In 1981, the law was amended to allow states to administer the program on behalf of small local governments, or non -entitlement communities. Cities with a population less than 50,000 and counties having a population less than 200,000 are eligible to participate in the Small Cities CDBG proles►• The purpose of the May 9, 2000 public hearing is for the Board of County Commissioners (Board) to obtain public input regarding the county's overall community development needs and to consider applying for a Community Development Block Grant (CDBG). To submit a CDBG application, the Board must obtain public input on the county's proposed CDBG activities during two public hearings; the May 9'b public hearing will qualify as the first public hearing. Should an opportunity arise for using CDBG funds in this fiscal year, a second public hearing will be held, at which time a CDBG application would be presented for public comment and Board approval. The deadline for submitting a commercial revitalization, housing rehabilitation, or neighborhood revitalization CDBG application is May 31, 2000. For economic development CDBG applications, the application cycle opened on March 31, 2000. In FY 1999/2000, the Board approved two CDBG applications. One application requested funds from the economic development CDBG category and was submitted to the Department of Community Affairs (DCA) in October 1999. Another application requested funds from the neighborhood revitalization CDBG category and was submitted to DCA in June 1999. Economic Development Application In the economic development application, the county requested $750,000 for an economic development project proposed by CRA Care Centers (a privately owned company) in the Wabasso area. According to the application, the funds would be lent to CRA Care Centers so that CRA Care Centers could construct an assisted living facility in the unincorporated area of the county. In return for receiving the loan from the county, CRA Care Centers had committed to create at least twenty- sixnew jobs. Of those twenty-six new jobs, fourteen jobs (51%) would be made available to persons from low to moderate income households. On January 28, 2000, DCA notified Indian River County that its economic development CDBG application was within the fimdable range for a grant award and that funds were reserved for Indian River County. To access those fiords, the county was required to submit to DCA an executed Grant Agreement and all necessary support documents by March 28, 2000. Those support documents were to be provided by CRA Care Centers. As of the date of this staff report, the county has not received the necessary support documents from CRA Care Centers and, therefore, has been unable to forward an executed Grant Agreement to DCA. MAY 099 2000 -29- BOOK