The city’s strategy for how to spend about $1.6 million in funding from the U.S. Department of Housing and Urban Development will be up for discussion on Monday’s meeting of the Columbia City Council, as will a plan to give the Columbia Housing Authority $2 million in assistance with replacing public housing on Park Avenue.
The council will hear a proposed update of its 2020-2024 Consolidated Plan to allocate a little more than $1 million in Community Development Block Grant funding and $603,540 in HOME allocations, according to a staff memo to the council. Columbia gets CDBG and HOME money annually.
The action plan is intended to have impact in four major areas: affordable housing, economic and workforce development, neighborhood revitalization and stabilization, and community facilities.
The city identified 16 objectives as a part of the plan. Of these, they include financial assistance and education to new homebuyers and tenants, construction on public facilities and areas, improvements to accessibility conditions and assisting small businesses in an effort to retain jobs.
The largest delegation of CDBG funds in fiscal year 2023 will be $182,039, which the city will use to rehabilitate homes. The largest amount of HOME money — $133,186 — will go to the city for homeownership assistance.
The plan calls for distributing some of the money to local organizations. Love Columbia, for example, would get $125,000 to acquire and demolish homes for future redevelopment, while Fun City would receive $175,000 to buy land. Central Missouri Community Action would get $100,000 for home building.
Park Avenue public housing project
The agenda also includes a bill that would authorize the city to provide $2 million from American Rescue Plan Act money to help the Columbia Housing Authority replace public housing apartments on Park Avenue. The council committed to the plan in September to support the authority’s application for low-income housing tax credits.
The funding will be given as a 0% interest loan and will be forgivable after 20 years, according to a staff memo.
The housing authority plans to remove 70 apartments and build 79 new ones. The apartments slated to be demolished were built in 1964. They have significant foundation problems, electrical issues and collapsing sewer lines, the memo said.
The new apartments will be accessible and energy efficient, according to the memo. The authority plans to build 22 one-bedroom, 36 two-bedroom, 15 three-bedroom and four four-bedroom apartments.
Broadway hotel sidewalk closure
A resolution that would authorize the closure of a sidewalk along Walnut Street between Orr Street and Hubble Drive and lane shifting of traffic on the street also is on the agenda. It would accommodate construction of a second tower at The Broadway hotel.
The City Council in 2017 approved tax increment financing to assist with the expansion of the hotel. Owner Dave Parmley said at the time that he anticipated construction would begin in the spring of 2018.
Plans for the $20 million, eight-story tower include 80 new guest rooms and suites, ground-floor meeting rooms and a top-floor ballroom.
Marijuana tax
The council also will introduce an ordinance imposing an additional tax of 3% on the retail sale of recreational marijuana. This tax was approved during the April 4 municipal election by a vote of 12,165 in favor to 5,757 against, according to a staff memo.
This sales tax will become effective on Oct. 1, but the city won’t get any of the revenue until Jan. 10. Revenue from businesses that file tax reports quarterly won’t come until March 10.
The final vote on the marijuana tax is scheduled for the council’s May 1 meeting.