Agenda - 10-06-20; 5-b - Second Public Hearing on CDBG-CV Grant Application for Emergency Housing Assistance

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3 INTRODUCTION NC Commerce's Rural Economic Development Division (REDD) will administer the Community Development Block Grant Coronavirus(CDBG-CV)funds awarded to the State by the U. S. Department of Housing and Urban Development (HUD)to support North Carolina's COVID-19 response efforts.This allocation was authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), Public Law 116-136, which was signed by President Trump on March 27, 2020,to respond to the growing effects of this historic public health crisis. Initially, REDD makes available approximately$27.5 million through awarding grants to non-entitlement communities (i.e., incorporated municipalities under 50,000 and counties under 200,000 in population). The North Carolina CDBG-CV Program is designed to help a non-entitlement municipality or county to prepare, prevent, or respond to the health and economic impacts of COVID-19.The activities must be most critical to their locality and primarily for their low-and moderate-income residents. Beginning September 1, 2020, REDD will award CDBG-CV funds on a first-come,first-served basis with a focus on local needs identified by the community in collaboration with state and local health officials. Applicants may view current COVID-19 metrics on the North Carolina Department of Health and Human Services website at https://covidl9.ncdhhs.gov/. AREAS OF FOCUS FOR CORONAVIRUS RESPONSE As noted by Governor Roy Cooper, "efforts to support families, small business, and economic recovery remain critical" during the COVID-19 pandemic. In support of these public health and economic recovery goals, North Carolina CDBG-CV Program projects must incorporate at least one of the following as an area of focus: ❑ Support families and communities through telehealth support and other public services. ❑ Protect the most vulnerable and high-risk populations. ❑ Assist small businesses with economic recovery. ❑ Address testing, tracing, and trends. FUNDING PRIORITIES BY ELIGIBLE ACTIVITY The State has established the following funding priorities by eligible activity: • Public Service:The priority in this category is subsistence payments to prevent evictions and utility disconnections. Food distribution,testing and diagnosis, and employment training for health care workers on the frontlines are also prioritized. • Public Facilities: The priority in this category is broadband services and enhancing internet access that supports increased connectivity to schools,jobs, and healthcare. This category also includes building rehabilitation or improvements to support activities such as repurposing buildings into patient treatment centers. • Economic Development: The priority in this category is to provide financial assistance to businesses with 100 or fewer employees, including microenterprises with five or fewer employees. The focus is to support businesses that manufacture medical supplies, and to help small businesses impacted by COVID-19 create and retain jobs.