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File #: 2010-0194    Version: 1
Type: Ordinance Status: Passed Finally
File created: 3/2/2010 In control: Committee on Finance and Law
On agenda: Final action: 6/22/2010
Enactment date: 6/22/2010 Enactment #: 21
Effective date: 6/28/2010    
Title: An Ordinance supplementing the Pittsburgh Code, Title One, Administrative, Article VII, Procedures,by adding Chapter 164, entitled Use of Community Development Block Grant (CDBG) funds
Sponsors: Reverend Ricky V. Burgess, Darlene M. Harris, Theresa Kail-Smith
Indexes: PGH. CODE ORDINANCES TITLE 01 - ADMINISTRATIVE
Attachments: 1. 2010-0194.doc
Title
An Ordinance supplementing the Pittsburgh Code, Title One, Administrative, Article VII, Procedures,by adding Chapter 164, entitled Use of Community Development Block Grant (CDBG) funds


Body
Whereas, the City of Pittsburgh is a current recipient of CDBG funding, which is administered by the U.S. Department of Housing and Urban Development ("HUD"); and

Whereas, the CDBG program provides communities with resources to, inter alia, provide benefits to low and moderate income communities, to eliminate slum and blight, and to resolve urgent needs threatening the health and welfare of a community; and

Whereas, 24 CFR § 570.489(d), which governs HUD Program Administrative requirements, includes a provision that requires recipients to "[e]nsure that funds received under [it] are not used for general expenses required to carry out other responsibilities of state and local government"; and

Whereas, an improper practice of using CDBG funds to replace monies that a local government would otherwise provide in its operating budget in order to help maintain service levels is in direct contradiction with 24 CFR § 570.489(d) and is referred to as "supplanting;" and

Whereas, it is important for the City to verify that that its CDBG funds are allocated in accordance with all applicable federal requirements and to ensure that supplanting does not occur.

Therefore be it resolved that the Council of the City of Pittsburgh hereby enacts as follows:

Section 1. The Pittsburgh Code of Ordinances, Title One, Administrative, Article VII, Procedures is hereby supplemented as follows:

Chapter 164. Use of Community Development Block Grant (CDBG) funds

164.01 The City's use of CDBG funds shall provide an increased benefit to CDBG eligible.
No CDBG funds shall be used to supplant local general fund revenues for any purpose. All CDBG disbursements other than administrative costs must demonstrate an increased benefit to CDBG eligible communitie...

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