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and

Reinvestment Act

of 2009

City Funding Book

Version 1 (February 19, 2009)

Compiled by:

The League of California Cities

Table of Contents

I. Preface.............................................................................................................................................. 1

II. General and Accountability Provisions of ARRA ........................................................................ 2

III. Things Cities Should Know............................................................................................................ 3

IV. Community Development, Economic Development and Housing

A. Community Development Block Gant ..................................................................................... 4

B. Neighborhood Stabilization Program........................................................................................ 5

C. HOME Investment Partnerships ............................................................................................... 6

D. Public Housing Capital Fund.................................................................................................... 7

E. Homelessness Prevention.......................................................................................................... 8

F. Assisted Housing Stability and Energy and Green Retrofit Programs ...................................... 9

G. Economic Development Administration ................................................................................ 10

H. Community Development Financial Institutions.................................................................... 11

I. Lead Paint Removal ................................................................................................................. 12

J. Corporation for National and Community Service .................................................................. 13

V. Transportation

A. Transit Capital Assistance ...................................................................................................... 14

B. New Starts.............................................................................................................................. 16

C. Rail Modernization ................................................................................................................. 17

D. Highway Infrastructure ........................................................................................................... 18

E. Competitive Surface Transportation Program......................................................................... 20

G. Airport Improvement Program ............................................................................................... 21

H. High Speed Rail Corridors and Intercity Rail Passenger Service........................................... 22

VI. Public Safety/Homeland Security

A. COPS (Community Oriented Policing Services).................................................................... 23

B. Byrne JAG - Formula.............................................................................................................. 24

C. Byrne JAG - Competitive ....................................................................................................... 25

D. Internet Crimes Against Children ........................................................................................... 26

E. Violence Against Women ..................................................................................................... 27

F. Assistance to Firefighters Grants (Fire Stations)..................................................................... 28

G. Wildland Fire Management .................................................................................................... 29

H. Public Transportation Security Assistance ............................................................................. 30

I. Emergency Food and Shelter .................................................................................................. 31

VII. Environment

A. Clean Water and Drinking Water Grants and Loans ..............................................................32

B. Brownfields............................................................................................................................34

C. Hazardous Substance Superfund.............................................................................................35

VIII. Energy

A. Energy Efficiency and Conservation Block Grants ..............................................................36

B. Weatherization Assistance ....................................................................................................39

C. Electricity Delivery and Energy Reliability ..........................................................................40

D. Energy Efficiency and Renewable Energy R&D..................................................................41

IX. Telecommunications

A. Broadband Technology Opportunities Program ...................................................................42

1

Preface

On February 17, 2009 President Barack Obama signed into law the American Recovery

and Reinvestment Act (ARRA) of 2009. The stated purpose of the ARRA is:

(1) To preserve and create jobs and promote economic recovery.

(2) To assist those most impacted by the recession.

(3) To provide investments needed to increase economic efficiency by spurring

technological advances in science and health.

(4) To invest in transportation, environmental protection, and other infrastructure

that will provide long-term economic benefits.

(5) To stabilize State and local government budgets, in order to minimize and

avoid reductions in essential services and counterproductive state and local tax

increases.

The ARRA funds investments in many programs, including health care, energy,

infrastructure, education, and public safety. The total cost of the package is $828 billion,

and consists of nearly $396 billion for upgrades to transportation, infrastructure,

construction, health care programs, education and housing assistance, and energy

efficiency projects, $144 billion in state and local fiscal relief, and $288 billion in

personal and business tax credits.

Unprecedented accountability and transparency requirements are also included in the

ARRA. To meet these requirements, the government has set up a website

(Recovery.gov) that will list each recipient of funds and project details.

California cities have expressed great interest in the ARRA, and the funding it offers.

The League of California Cities has compiled this “City Funding Book” to assist cities in

their pursuit for funding. There will be regular updates made available on the League’s

website at www.cacities.org as more information becomes available.

2

General Provisions

• Prohibited Uses: No funds can be used for zoo’s, aquariums, golf courses, swimming

pools, or casinos.

• Buy American Provisions prevail, but can be waived by the heads of federal agencies.

• Federal prevailing wage policy applies.

• Compliance with the National Environmental Policy Act is required.

Accountability and Transparency Provisions

• Grant recipients (Mayor, Governor, General Manager) must certify that infrastructure

investments have received the full review and vetting required by law and that the

recipient accepts responsibility as an appropriate use of taxpayers dollars.

Certification posted on www.recovery.gov and the local website.

• Quarterly reports on the infrastructure investments made, including the purpose, cost,

rationale and contact for concerns, detailed information on subcontracts. This

information will be posted on www.recovery.gov.

• Recipients must register with the Central Contractor Registration administered by the

Office of Management and Budget. Cities can register at www.grants.gov.

• Any federal agency Inspector General can review concerns raised by the public with

findings posted on a website.

• New federal agency established to coordinate and conduct oversight of covered funds

to prevent fraud, waste and abuse. Will also advise the President on the

implementation of the recovery.

• Federal agencies can adjust administrative costs allowed to assist state and local

governments with the cost of recovery record keeping and reporting.

• State and local whistleblowers are protected.

3

Things Cities Should Know

How To Read This Book:

This book is organized by federal agency. Each page begins with the title of a particular

program. Each page is organized into the following sections:

• Total Funding Available: This is the total funding of the program. It is important

to note that not all funding will be accessible to cities.

• Overview: This is a brief overview of the program.

• Special Factors: This section contains new or modified program requirements

and provisions.

• How to Access Funding: This is the section that will explain how cities can

receive funding. This section will most frequently be revised updated versions of

this book.

• Contact Information: Who to contact with questions

• League Staff Contact: The staff person who compiled the information and/or the

lead staff person for that issue area.

Registration Information for Federal Government Grants:

The federal government uses a central website for all discretionary grant applications,

known as FedConnect. While this website does not always have all the details on every

grant, cities will be required to register on this website for funding. Cities can preregister

with FedConnect now. Potential applicants need to obtain a DUNS (Data

Universal Numbering System) number. A DUNS number is a unique number that

identifies an organization and helps track the distribution of grant money. The web link

for submitting applications through FedConnect is:

https://www.fedconnect.net/FedConnect/PublicPages/FedConnect_Ready_Set_Go.pdf.

Before submitting an application through FedConnect each organization must complete

the following steps:

● Step 1: Request a DUNS Number at

http://fedgov.dnb.com/webform/displayHomePage.do

● Step 2: Register with the Central Contractor Registry (CCR) at

http://www.ccr.gov/.

● Step 3: E-Business Point of Contact must register in FedConnect at

https://www.fedconnect.net/FedConnect/.

Please allow 21 days to complete the registration process.

How Can I Tell If A Section Has Been Updated?

In updated versions of the book, new or modified information will be highlighted in

yellow. In addition, each page will indicate the date on which it was updated.

Community, Economic ARRA of 2009 – City Funding Book

Development. & Housing League of California Cities

4

Community Development Block Grant

Total Funding Available: $1.0 Billion

Overview: CDBG funds may be used to provide affordable housing, services, and jobs

for the most vulnerable in our communities. Generally, appropriations are allocated to

states and local jurisdictions. Entitlement communities are comprised of central cities of

metropolitan statistical areas; metropolitan cities with populations of at least 50,000; and

qualified urban counties with a population of 200,000 or more (excluding the populations

of entitlement cities). States distribute CDBG funds to non-entitlement localities not

qualified as entitlement communities.

HUD determines the amount of each grant by using a formula comprised of several

measures of community need, including the extent of poverty, population, housing

overcrowding, age of housing, and population growth lag in relationship to other

metropolitan areas.

Not less than 70 percent of CDBG funds must be used for activities that benefit low- and

moderate-income persons. In addition, each activity must meet one of the following

objectives: benefit low- and moderate-income persons, prevention or elimination of

slums or blight, or address community development needs having a particular urgency

because existing conditions pose a serious and immediate threat to the health or welfare

of the community for which other funding is not available.

Special Factors: Funds will remain available September 30, 2009. Recipients must give

priority to contracts based on bids within 120 days from the date the funds are made

available to the recipient. Funds must supplement other funding sources, not supplant.

The HUD Secretary will establish requirements to expedite use of funds.

How to Access Funding: Funds will be distributed under the same CDBG formula used

in 2008. See 42 U.S.C. § 5301 et seq.)

Federal Contact: Department of Housing and Urban Development

Community Development Block Grant Program

http://www.hud.gov/offices/cpd/communitydevelopment/programs/

State Contact: Department of Housing and Community Development

Community Development Block Grant Program

http://www.hcd.ca.gov/fa/cdbg/PlanTech.html

League Staff Contact: Bill Higgins, higginsb@cacities.org, (916) 658-8250

Last update: 2/18/09

Community, Economic ARRA of 2009 – City Funding Book

Development. & Housing League of California Cities

5

Neighborhood Stabilization Program

Total Funding Available: $2.0 billion

Overview: The Neighborhood Stabilization Program provides emergency assistance to

state and local governments to acquire and redevelop foreclosed properties that might

otherwise become sources of abandonment and blight within their communities. The

Neighborhood Stabilization Program (NSP) provides grants to purchase foreclosed or

abandoned homes and to rehabilitate, resell, or redevelop these homes in order to

stabilize neighborhoods and stem the decline of house values of neighboring homes.

The $2 billion in new funding may be used for the same purposes as provided in the

Housing and Economic Recovery Act of 2008 (with some changes), but the funding

formula will be more competitive.

Special Factors: Secretary will ensure grants are made in areas of greatest number and

percentages of foreclosures. Additional consideration will be given for grantee capacity

to execute projects, leveraging potential, concentration of investment to achieve

neighborhood stabilization, and other factors at the discretion of the Secretary.

Secretary will obligate all funding within one year. Eligible entities are states, local

governments and nonprofit entities. Secretary can also establish minimum grant size.

Grantees must expend at least 50 percent of funds within 2 years, and all of the funds

within 3 years.

There are several other rules that apply to leasing and rights of subsequent property

owners after they take interest in a formally foreclosed property.

How to Access Funding: Secretary will publish criteria within 75 days after enactment.

All applications due within 150 days of enactment.

Federal Contact: Department of Housing and Urban Development

Neighborhood Stabilization Program

www.hud.gov/offices/cpd/communitydevelopment/programs/neighborhoodspg/

State Contact: Department of Housing and Community Development

Neighborhood Stabilization Program

www.hcd.ca.gov/fa/nsp/

League Staff Contact: Bill Higgins, higginsb@cacities.org, (916) 658-8250

Last update: 2/18/09

Community, Economic ARRA of 2009 – City Funding Book

Development. & Housing League of California Cities

6

HOME Investment Partnerships

Total Funding Available: $2.25 Billion

Overview: HOME provides formula grants to States and localities that communities

use-often in partnership with local nonprofit groups-to fund a wide range of activities that

build, buy, and rehabilitate affordable housing for rent. This grant provides an additional

amount for capital investments in low-income housing tax credit projects.

Special Factors: Funds remain available to HUD until September 30, 2009. Housing