MARCH 17, 2004

WAYNESBORO, PA 17268

PUBLIC HEARING RE: 2004 CDBG PROGRAM

Council President Charles McCammon called the public hearing to order at 7:15 p.m., with the following in attendance:

Borough Council Members - Richard George, Jahnathan Cain, Charles McCammon, Ardie Winters and Andrew Benchoff (John Cook was absent)

Mayor Louis M. Barlup, Jr.

Borough Staff - Lloyd R. Hamberger, II, Borough Manager

Denny Benshoff, Maintenance Superintendent

D. Lloyd Reichard, II, Borough Solicitor

Others - Ed Geubtner and Erik Genga, Mullin & Lonergan Associates

Mr. McCammon explained that the purpose of this hearing was to receive comments and input on the proposed 2004 Community Development Block Grant program for the Borough of Waynesboro. This is the second (and last) hearing required by the CDBG program.

Council has selected the following items for the 2004 CDBG program:

1. Street improvements in Lower Income Areas $ 60,000

2. Housing Rehabilitation for Lower Income Homeowners $ 44,926

3. Downtown Revitalization including Infrastructure and

Building Improvements $ 60,533

4. Administration $ 36,320

TOTAL: $201,779

The Borough is also considering a change to its FY 1999 CDBG program. The change will involve transferring $16,144 from the remaining line items to the Street Improvements line item. This will involve the deletion of the Housing Rehabilitation and Barrier Removal line items. The funds will be used for improvements to streets within the Borough.

This hearing was advertised in accordance with rules and regulations of the CDBG program.

Mr. McCammon introduced Ed Geubtner and Erik Genga of Mullin and Lonergan Associates, who are the Borough's CDBG consultants. Mr. Geubtner will explain the program and proposed projects, and answer any questions. Following his presentation, input and comments would be received from the public. Members of the public wishing to make comments were asked to give their name and address for the record, and to speak concisely and to-the-point.

Mr. Geubtner noted that this is the second public hearing required for the Borough's FY 2004 program. At their regular meeting following the hearing, Council will pass a resolution to authorize filing an application for the April 16^th deadline. In addition, the resolution authorizes the Council President to sign all papers required in connection with the proposed grant application. Mr. Geubtner also noted that Council is considering making modifications to the FY 1999 program. He explained that monies were utilized for various budgeted projects, and there are some "leftover" funds which will be utilized now for additional street improvement projects. Once the Borough's intended modifications are approved by DCED, close-out procedures can begin.

At the last meeting of the Downtown Revitalization Committee, Mr. Geubtner talked with members regarding the Town Center and the current facade program. Certain revisions were made to the program in order for it to qualify under CDBG regulations. He explained that, in 2002, the Waynesboro Planning Commission prepared a report and passed a resolution certifying the Town Center Redevelopment Area as blighted, and therefore a Redevelopment area pursuant to the Pennsylvania "Urban Redevelopment Law" Act. The primary reason for this certification was to satisfy the CDBG program requirement that communities show how any or all activities proposed for funding are eligible and how they meet one of the three national objectives of the program. Town Center improvements qualify as activities which aid in the prevention or elimination of slums and blight - including, improvements to the facades of buildings, as well as street, curb, sidewalk and lighting improvements. He provided a handout for those in attendance further outlining this explanation. The only caveat with that national objective is that the primary purpose of the CDBG program is to satisfy the needs of low/moderate income people. Therefore, you are required to spend at least 70% of the funding for activities that satisfy those needs. The housing rehabilitation program automatically qualifies as meeting that objective, as assistance is only offered to those people who present income information and are qualified.

Erik Genga briefly reviewed the activities proposed for inclusion in the Borough's 2004 program, the total of which are approximately $201,779. He noted that the amount allocated for the housing rehabilitation program should assist approximately three (3) units, depending on the work needed at each. Street improvements will also be included -- if those chosen are within the two existing block groups qualified, no surveys will be required. However, any street improvements proposed outside of those areas will need to follow the appropriate qualification procedures. Funding budgeted for downtown revitalization includes facade improvements; and the administrative costs listed are typical.

The hearing was then opened for comments from Council or the public.

Phil Cosentino, Franklin County Legal Services, was present. He explained that Franklin County Legal Services was originated by the Franklin County Bar Association in 2002 for the purpose of providing legal services to those who can't afford them. Their scope includes civil matters regarding housing issues, protection from abuse, custody agreements; and assistance to the elderly including advance care directives, wills, etc. He explained that they adhere to low income guideline limitations, and aim at meeting a need in Franklin County that wasn't previously being met. Their office is located in Chambersburg; and, to date, they have provided services to 696 clients. Mr. Cosentino estimated that one in every four of their clients are from the Waynesboro area.

Franklin County Legal Services is requesting the appropriation of $8,000 from the Borough of Waynesboro's CDBG program. They have requested and already received CDBG funding from the Borough of Chambersburg. Mr. Cosentino mentioned several current funding sources; and added that they will still provide services as best they can to residents of Franklin County, regardless if funding is received from Waynesboro or not. Their current expenses are kept at a minimum - there are two attorneys who work for the program, with no support staff. They use various attorneys' offices in municipalities where their clients are located, and many times meet with elderly clients in their homes. They feel renting office space would not be an effective use of their precious resources.

Mayor Barlup cautioned that, even though a client may have a Waynesboro mailing address, that doesn't mean they are a resident of the Borough of Waynesboro. He questioned if they solicit funding from the townships (Washington and/or Quincy), as their populations are much greater than the Borough's. Mr. Geubnter explained, however, that the Townships do not receive CDBG monies. Mayor Barlup added that they could allocate monies from their respective annual budgets. Mr. Cosentino noted that they have just recently begun their operations, and are pursuing various avenues as they become available.

Ed Geubtner informed Council members that "what they are requesting is eligible and fundable". He noted that only Franklin County, Chambersburg and Waynesboro are entitlement communities for CDBG monies; and added that Waynesboro money must be spent for Waynesboro citizens (this would have to be documented). The maximum amount permitted to be budgeted for public services is 15%. A subrecipient agreement and subsequent audit would both be required. As Legal Services has received CDBG funding from the Borough of Chambersburg, they are well aware of these regulations.

Hearing no further questions or comments, the hearing was adjourned at 7:40 p.m.

Respectfully Submitted,

Melinda S. Knott

Administrative Assistant