FLOOD07316

• County: Statewide
• Basin: Statewide
• Title: Community Block Grant Applications Review 1984
• Date: 3/19/1984
• Prepared For: State of Colorado
• Prepared By: CWCB
• Floodplain - Doc Type: Flood Documentation Report

APPLICATION NO.: 85-604

APPLICANT: City of Montrose (Town of Ridgway)

2. PUBLIC/PRIVATE
COMMITMENTS

L M I H I
I I X I
CIty of Montrose is proposing to contrIbute 29% or
$36,375 of the total admin. budget from 1986 ,general
funds. This is to cover 3/4 of proj. administrative
I salary. Montrose & Ridgway will both waive bldg. permit
I fees. Cash value: Montrose = $1,528, Rid wa = $1,105.
on rose : 1 Y WI con rl u e , 0 I n- In serv.
This includes office space, utils. and prof. support
services from other city employees.
Ridgway: Town will provide office space.

Farmers Home Administration has agreed to assist with
processing FmHA 502 and 504 loans.

.

a. Local Financial
COlllllitments

b. Local Non-Financial
COlllllitments

c. Other Commitments

3. MANAGEMENT
CAPABILITY

L I M I H I
I X I I

b. Budget

Qualified, experienced COBG rehabilitation staff.
Good record keeping and project files.

Administrative budget is 27% of total project budget.
COBG administration share is 18.8% of total COBG budget.
Budget is for an 18-month time period. Salaries for 2 I
full-time and 2 part-time staff comprise 83% of total I
admin. budget. Admin. budget appears to be high. Admin. I
cost on a per unit basis is approx. $5,000. Comparables I
range from $2,000 to $3,000 per unit. I
I
Oemonstrated knowledge of compliance requirements from I
previous experience of administering COBG funded program. I
Environ. compliance will be addressed through environ. I
review process. I
I

a. Staff and
Contrac tors

c. Statutory/Regula-
tory Compliance

.

PRO STATEMENTS:

o The multi-jurisdictional approach should provide cost effective delivery of
services to a small rural community (Ridgway).

o An intercity agreement has been executed between Montrose and Ridgway.

o Proposed project furthers Montrose's objective to upgrade and preserve existing
housing stock.

o Estimated rehabilitation cost per unit for both Montrose ($12,500) and Ridgway
($15,000) is reasonable and realistic.

CON STATEMENTS:

o Administrative cost appears to be high for an 18 month program to rehab 26
units. Applicant contributes high cost to travel and need for two building
seasons for Ridgway due to weather and location which directly increases wages
and cost of doing business.

o Even pro-rated for 18 month time frame, salaries appear high. They make up 83%
of administrative budget.

o Progress to date on Montrose's 84 COBG project is unsatisfactory. City was
awarded $300,000 for rehab of 20 homes. One unit completed as of 2-1-85. First
draw for program funds was November, 1984. Current COBG funds are approximately .
10% drawn down and project is not scheduled to be completed until October,
1985. Slow progress of 1984 program will affect the timely start-up of a new
program.

COMMENTS:

o Local Priority: 1 of 1.
o Eligibility of activities: Eligible.
o Validity of National Objectives: Valid as Low/Mod Benefit.

o Travel cost is high due to distance between Montrose and Ridgway - 23 miles one
way.