Doing More with Less

Posted by Judy Perlman on November 30, 2015

The rust belt city of Flint, Michigan enjoyed a vibrant economy throughout the ‘40s and ‘50s with a robust auto industry and manufacturing sector that supported it. Over the next 60 years, however, Flint lost much of this industry and corresponding tax base, and by 2010, its population had dropped to nearly half of 1950 levels. These demographic and economic reversals were so drastic that in 2010, 60 percent of Flint’s young people were living in poverty.

In Flint’s Division of Community and Economic Development (CED), staff reductions caused by falling city revenues presented a challenge for the City to continue in its ability to administer its HUD programs. The problem became so acute that in 2013, Flint was unable to administer its home repair program at all, and the City was hard-pressed to process CDBG, ESG, and HOME funds for projects already in the pipeline.

HUD, which provides technical assistance to communities across the country to work through these types of complex challenges, asked us to help, and Cloudbust consultants got to work facilitating a strategic planning process for a task force comprised of community leaders from Flint’s philanthropic community and co-chaired by its Local Initiatives Support Corporation’s Program Officer. Several recommendations came out of this task force, which included shifting administrative and programmatic activities to partner organizations with the capacity to carry out the specific HUD programs.  Meanwhile, the City retained complete oversight of HUD-funded programs, including distribution of funds, compliance, reporting, and ensuring these programs were achieving outcomes.

With the support of elected and appointed officials, we began formally reaching out to partners and developing comprehensive agreements regarding roles and responsibilities in how these programs would be carried out. The strategy of reshaping partnerships to improve service delivery is paying off. Over the past year, the initiatives have demonstrated real impact:

  • Home Repair. Staff cuts had forced the city to close its Emergency Repair program. Through a new agreement, CED transferred administration of the program to Genesee County Community Action Resource Department (GCCARD). The recrafted Emergency/Home Repair initiative assisted more than 50 low-income households with emergency repair funds in the program’s first year, and is on pace to serve as many as 65 households in its second. The program operates through a single intake process, using both Community Development Block Grant and HOME funds, and leveraging Weatherization resources wherever possible.
  • Consolidating Homelessness Assistance. Previously, local homelessness agencies received Emergency Solutions Grant (ESG) funds from two different sources: the City of Flint and Metro Community Development, the local agency that administers state ESG funds. Local agencies had to deal with two sets of contract documents, different invoicing and reimbursement schedules and points of contact, and separate rules for each funding source. We transferred administrative responsibility for ESG to Metro Community Development with the net effect being 1) streamlining and accelerating invoice processing and contracts for participating homeless agencies; and 2) issuing funds (and services) far more efficiently than in the past.
  • Youth Recreation. Due to the complexity of administering CDBG Public Service funds, CED had previously awarded funds for these activities to just three large agencies, despite wanting to make youth recreation funds available more widely.  The City worked out an arrangement whereby the United Way of Genesee County applied for and received a large Public Services grant, for which it performs all administrative, fiscal, and reporting activities. In turn, the United Way used the funds to implement a simplified mini-grant program which allowed a broader group of neighborhood-based groups to receive funds and deliver youth programming. This approach brought CDBG funding to 21 organizations in the first year, reaching many more children and supporting a far broader array of recreational activities within the City of Flint.

The circumstances leading up to the funding crises—and subsequent staff losses within Flint’s Division of Community and Economic Development, are indicative of the larger problems that have plagued Rust Belt cities, but this necessary service redesign was undertaken thoughtfully and is succeeding in reshaping and improving the ways in which critical services and resources reach city residents. New partnerships have allowed CED staff to focus more on oversight and planning, while extending services to new groups of residents and agencies, and strengthening ties to the local community.

About the author more ยป

Judy Perlman is a consulting manager with The Cloudburst Group, which works with distressed communities across the United States to improve housing, homelessness, and community development programs. She has held leadership positions as a provider and advocate to the housing and homelessness community in Massachusetts for more than 20 years.

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