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FY12 Municipal Planning Grant (MPG)

Program Description

Program Overview

For fiscal year 2012, the Department of Economic, Housing and Community Development

(DEHCD) will grant approximately $400,000 to municipalities to promote community planning,

revitalization and development activities that maintain Vermont’s land use goal of compact

settlements separated by rural lands.

Statewide Planning Goals

The Municipal Planning Grant (MPG) program funds a

wide range of municipal planning projects as allowed (b) It is also the intent of the

legislature that municipalities… shall

by 24 V.S.A. §4306 (b). This year, projects that promote engage in a continuing planning

smart growth will be given priority. These may include process that will further the following

bylaw updates, planning for downtown, village center, goals:

growth center or neighborhoods and municipal plans (1) To establish a coordinated,

and updates that further smart growth as well as comprehensive planning process and

economic development planning. policy framework to guide decisions

by municipalities, regional planning

commissions, and state agencies.

The maximum grant amount is $15,000 (or $25,000 for

consortia). As initiated last year, applicants are now (2) To encourage citizen participation

required to provide a cash match for any grant request at all levels of the planning process...

over $8,000 (or $15,000 for consortia). Projects

(3) To consider the use of resources

requesting $8,000 or less will require no matching and the consequences of growth and

funds. development...



(c) In addition, this chapter shall be

Grant funds are regionally apportioned, based on the used to further the following specific

percentage of municipalities with confirmed planning goals:

processes within each of the 11 Regional Planning

Commission (RPC) regions. Eligible municipalities (1) To plan development so as to

maintain the historic settlement

compete within their region for grant funding. Funding pattern of compact village and

decisions are made by the DEHCD Commissioner, urban centers separated by rural

based on the competitive criteria listed under Grant countryside…

24 V.S.A. § 4302

Selection Process below. Low scoring applications will

not be funded.



Grant-Related Dates:

RPC Confirmation of Municipal Planning Process: by September 30, 2011

Application Deadline: September 30, 2011, 11:59 p.m.

Award Decisions: End of November, 2011

Mid-project Report Due: September 24, 2012

Project Completion and All Funds Spent: May 17, 2013

Final Report and Products Submitted: electronically or postmarked by June 17, 2013.



Program Description ― FY12 Municipal Planning Grant ― Page 1

Vermont Department of Economic, Housing and Community Development, May 31, 2011

MPG projects must be completed within 18 months. No time extensions are granted.



Who Can Apply?

Municipalities with a local planning process that has been confirmed by September 30, 2011

are eligible to apply for grants of up to $15,000. Municipal confirmation includes formal plan

approval by the Regional Planning Commission (RPC) as required by 24 V.S.A. §4350.

Municipalities without a confirmed local planning process may apply but only to create a

municipal plan intended for regional approval.



Municipal organizations other than the planning commission (such as the conservation

commission) may apply for a grant, but only with prior approval of the planning commission

and selectboard. Each municipality may submit only one application per year.



More than one municipality may apply jointly for a consortium application (up to $25,000).

Consortia applications must address a shared issue and must identify a lead municipality to

administer the project and the funding. All municipalities in a consortium must have a

confirmed local planning process by September 30, 2011. None may apply for an individual

MPG the same year.



Funding

Municipalities may apply for any dollar amount between $1,500 and $8,000 without a local

match requirement. (Minimum grant award is $1,500.) Any amount above $8,000 will require a

50% local cash match for the additional amount granted by the state. The maximum amount of

grant funds will be $15,000.



MATCH CALCULATION BASED ON MPG (STATE FUNDS)

b X .50 = c

a. b. c. d.

MPG Amount over Local Cash Match Total Project Cost

(State Funds) $8,000 50% of (b)

$10,000 $2,000 $1,000 $11,000

12,666 $4,666 $2,333 $15,000

$15,000 $7,000 $3,500 $18,500





MATCH CALCULATION BASED ON PROJECT COST

B÷3=C

A. B. C. D.

Total Project Cost Amount over Local Cash Match MPG

$8,000 1/3 of (B) (State Funds)

$11,000 $3,000 $1,000 $10,000

$15,000 $7,000 $2,333 12,666

$18,500 $10,500 $3,500 $15,000







Program Description ― FY12 Municipal Planning Grant ― Page 2

Vermont Department of Economic, Housing and Community Development, May 31, 2011

Consortia applications are capped at $25,000 with a local 50% cash match for any amount

granted above $15,000.

Any source of cash match funds may be used -- federal, other state grants, municipal, private or

non-profit. Contribution of staff or others’ time cannot be offered as a match. RPC staff

consulting that is supported by other documented funds may be used as a match. Match funds

will require documentation in the close-out. If a project is completed with less expended than

the total project cost, the match funds required will be reduced proportionately.



Municipalities with large, multi-year projects are encouraged to break projects into related,

stand-alone phases that each produce a particular product upon completion ― then apply for

one phase each year. However, because funds are allocated competitively each year, MPG

support for subsequent phases cannot be guaranteed. Consultants working on an earlier phase

of a multi-phase project may be selected for the project phase funded by the MPG.



DEHCD reserves the right to award less than the amount of the municipality’s request, based on

availability of funds.



Eligible Activities

The Municipal Planning Grant program supports a range of projects relating to planning and

land use and promotes cooperation, collaboration and the exchange of ideas. Eligible projects

must have a clear connection to planning and implementation of the municipal plan and will be

reviewed for conformance with the Regional Plan.

Funds may be used (but are not limited) to:

 Underwrite expenses for public meetings and hearings, informational workshops, citizen

surveys, outreach and notification costs;

 Support research, data collection, capacity studies, inventories and mapping.

 Pay planning and zoning staff for work on a grant project that is beyond their normal

duties. (Contact DEHCD for clarification before submitting an application that would

reimburse municipal staff for work on a grant project.) ;

 Pay consultants, administrative staff, interns, regional planning commission staff, or legal

fees associated with the project;

 Purchase development rights, easements, and titles of properties for housing and

conservation purposes identified in the municipal plan;

 Purchase materials needed to produce a plan, bylaw, or implement or administer the

project, like writing supplies, maps and copies.



Funds may not be used to:

 Support political activities;

 Support projects incompatible with the Regional Plan;

 Pay Regional Planning Commission dues;

 Reimburse expenses incurred before the grant is awarded;

 Subsidize tax mapping (see Mapping Notes below);

 Pay planning commission members or municipal staff for performance of their normal

duties;



Program Description ― FY12 Municipal Planning Grant ― Page 3

Vermont Department of Economic, Housing and Community Development, May 31, 2011

 Capitalize a “reserve” fund for use beyond the grant period;

 Purchase computer hardware, software or other equipment.



MAPPING NOTES:

 Parcel mapping projects are only eligible if there is a clear connection to planning and

other Chapter 117-related activities and involve creating GIS parcel layers as part of a

larger planning project. We do not fund mapping for property tax assessment purposes.

For parcel mapping projects, please allocate the percentage of anticipated use for tax

purposes from other funding sources.

 GIS mapping must follow applicable VGIS data guidelines or standards.



SINGLE PROJECT:

Due to the short timeline for these grants and limited funding available, only one project can be

funded in each grant cycle. If multiple products with multiple consultants are proposed, an

application is likely to be deemed to have more than one project. Town plans and bylaws are

usually considered two separate projects and typically require separate applications. However,

an issue-oriented amendment of both a section/chapter of the plan and the associated bylaws

to implement the section can be proposed as one project.





DEHCD Guidance for Municipal Plan Updates

Municipal plans expire in five years unless they are readopted. See 24 V.S.A. §4387. Options for re-

adoption can range from simple to complex, including the following:



1. Readopt with minor updates. If no new issues of significance have arisen in the community

since the last plan adoption the existing municipal plan can be readopted with only minor edits

to the document. This would involve bringing the plan up-to-date with any available new data

and reporting changes in the status of implementation strategies.



2. Issue-oriented amendment. Any time a municipality engages in focused planning on a

particular topic, such as for energy, fluvial erosion hazards, or village development, the

municipal plan could be readopted to incorporate that work. Once the plan is readopted for

any purpose, the 5-year time period is re-set.



3. Major rewrite. When new issues of concern arise in a municipality that require a

comprehensive planning approach to address, then a major town plan overhaul may be

necessary, requiring extensive public participation and re-examination of the goals and

objectives.



MPG applications will be given priority for municipal plan updates or amendments that address a

pressing need. Plan updates that occur mainly because the 5-year cycle is coming due will not be

considered a funding priority.









Program Description ― FY12 Municipal Planning Grant ― Page 4

Vermont Department of Economic, Housing and Community Development, May 31, 2011

Smart Growth Principles Grant Selection Process

means growth that: (Competitive Criteria)

(A) Maintains the historic development DEHCD uses competitive criteria and statewide priorities

pattern of compact village and urban to score and rank applications. The statewide priorities

centers separated by rural countryside.

are updated annually to comply with policy initiatives or

(B) Develops compact mixed-use legislation. Grants are awarded based on the application

centers at a scale appropriate for the

community and the region. scores and the amount of grant funds available within

the respective regions. The DEHCD Commissioner

(C) Enables choice in modes of

transportation. reserves the sole right and responsibility to allocate

grant resources.

(D) Protects the state's important

environmental, natural and historic

features, including natural areas, water Applications are scored using the following statewide

quality, scenic resources, and historic

priorities and criteria:

sites and districts.

(E) Serves to strengthen agricultural and

1. Application Quality – Up to 15 points

forest industries and minimizes conflicts

of development with these industries. The application is complete, well-written, internally

(F) Balances growth with the availability

consistent, and realistic; it describes a single, clearly

of economic and efficient public utilities defined project.

and services.

(G) Supports a diversity of viable 2. Realistic Work Plan & Budget – Up to 20 points

businesses in downtowns and villages. The work plan is well developed and tasks are

(H) Provides for housing that meets the appropriate for the proposed budget. Costs are well-

needs of a diversity of social and income documented. For multi-phased projects, the first phase

groups in each community. has been well executed and subsequent phases are well-

(I) Reflects a settlement pattern that, at defined.

full build-out, is not characterized by:

(i) scattered development located outside 3. Clear Linkage of Proposed Project to the Municipal

of compact urban and village centers Plan – Up to 20 points

that is excessively land consumptive;

For bylaw, capital budget, special studies and other types

(ii) development that limits

of projects, the project implements the ideas and actions

transportation options, especially for

pedestrians; set forth within the municipal plan. Language within the

plan that describes the project or elements of the project

(iii) the fragmentation of farm and forest

land; is included with the application.

(iv) development that is not serviced by

municipal infrastructure or that requires If the project is for a new or updated municipal plan, the

the extension of municipal infrastructure plan or update will address pressing planning concerns in

across undeveloped lands in a manner the community and the need is well-articulated (A

that would extend service to lands

located outside compact village and recently expired plan or pending expiration of a plan

urban centers; alone is not considered a pressing planning concern –

(v) linear development along well- see DEHCD Guidance sidebar above). Specific policies in

traveled roads and highways that lacks the current plan that need revision are provided with an

depth, as measured from the highway. explanation as to why an amendment is needed and why

24 V.S.A. § 2791 (13) it is needed now.







Program Description ― FY12 Municipal Planning Grant ― Page 5

Vermont Department of Economic, Housing and Community Development, May 31, 2011

4. Citizen Participation / Partnerships & Outreach – Up to 15 points

Citizen participation activities intended to educate and involve the public in planning, are

integrated into the work plan, as appropriate to the project. And the application

demonstrates cooperation or coordination with relevant local and/or regional organizations

and partners.



5. Statewide Priorities – Up to 30 points

Priority projects for FY12 are:

a. Bylaw updates intended to correct clear conflicts with the municipal plan, and bylaw

updates that address the smart growth principles in 24 V.S.A. § 2791 (13) – see sidebar on

page 5.

b. Infrastructure planning in support of compact centers and smart growth. Projects could

include but are not limited to: Capital Improvement Planning (structured to implement

the municipal plan and further smart growth principles); facility inventory, mapping and

needs identification; conceptual design/visioning; and developing policies relating to

sewer, water, storm water, energy, transportation, green infrastructure and/or

communications infrastructure.

c. Updating or amending a Municipal Plan for the purpose of addressing the smart growth

principles. (A recently expired plan or pending expiration of a plan alone is not considered

a priority.)

d. Updating or amending a Municipal Plan for the purpose of adding an economic

development element as required by 24 V.S.A. § 4382 (a)(11). This new requirement

passed by the legislature in 2011 requires that municipal plans include:

(11) An economic development element that describes present economic conditions and the location, type,

and scale of desired economic development, and identifies policies, projects, and programs necessary to

foster economic growth.



Bonus Points: Projects within and related to an existing designated downtown, village center,

or growth center are eligible for bonus points (20 points for downtowns and 10 for all other

state designations). The relationship of the project to the designation must be clearly described

in the application for the bonus points to apply.



NOTE:

 Poor administrative performance on previous MPG grants will affect the

competitiveness of an application.

 When application scores are tied and only one can be selected for funding, preference

will be given to the municipality without a recent Municipal Planning Grant, or for

plans/bylaws that are most out-of-date. Otherwise these factors will not influence

ranking of applications.

 Experience has shown that funding the development of plans and bylaws to include

“adopted” versions as a deliverable product is not realistic. Municipal planning and

achieving community consensus takes time. Applicants are therefore encouraged to use







Program Description ― FY12 Municipal Planning Grant ― Page 6

Vermont Department of Economic, Housing and Community Development, May 31, 2011

the grant for activities leading up to (and including) distribution of a draft plan or bylaw

for the first required public hearing by the planning commission.



Grant Awards and Administration

Award notices are sent via email to successful applicants through the online Grants

Management System. In the event of partial funding, applicants are asked to submit a modified

work plan and budget. Grant agreements and other required documents will be made available,

also online, shortly thereafter. Completion and electronic submittal of these forms will be

required for payment. All grants management forms and instructions will be available through

the grants management system. Details of payment and reporting are as follows:



First Payment – Upon execution of the grant agreement, requisition may be made for an

advance payment of 40% of the award.

Second Payment – Mid-project reports are due September 24, 2012. Requisition for 30% of

the award may be submitted along with the progress report.

Final or Close Out Reimbursement – Up to 30% of the award is made on a reimbursement

basis. The reimbursement is made when the project and its deliverables are complete as

detailed in Attachment A of the Grant Agreement, the expenditures are properly budgeted

and documented (copies of invoices and canceled checks or a detailed transaction report)

showing that the funds were spent for the purposes specified in the grant agreement.

Invoices must show that grantees have spent or obligated all grant funds and match funds,

if applicable, no later than May 17, 2013. Funds that are unused as of that date, as well as

expenditures that are ineligible or have not been documented, must be returned to DEHCD.



While grant activities must be completed by May 17, 2013, grantees have up to one month

after that date to assemble the final report. Final reports must be submitted online no later

than June 17, 2013.



Minor alterations to the work plan or the approved budget may be allowed but only upon

request and approval from DEHCD. Substantial alterations are not allowed and the end product

must remain the same. No grant extensions are offered. Projects that cannot be completed

within the grant period under the terms of the grant agreement are closed out. The grant will

cover eligible work completed and documented costs, however, ineligible or undocumented

costs must be returned.



Purchase of goods and services through the grant must conform with the Procurement

requirements that will be Attachment D to the Grant Agreement. Any employees of the

municipality who will be compensated for work through the grant must keep a log of hours for

work performed on the grant project.



All final products and public communication must acknowledge funding from the Municipal

Planning Grant Program, administered by the Vermont Department of Economic, Housing &

Community Development, Agency of Commerce & Community Development. This helps

increase the likelihood that grant funding will be available in future years.





Program Description ― FY12 Municipal Planning Grant ― Page 7

Vermont Department of Economic, Housing and Community Development, May 31, 2011



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