City Council
MEETING DATE: 6/13/2018
TITLE:
Title
Approve the Community Development Block Grant FY 2018 Annual Action Pan for submittal to HUD
End
FROM:
John A. Corella, P.E. - City Engineer
Vincent Lopez - Senior Administrative Analyst
RECOMMENDATION:
Recommendation
Approve the FY 2018-2019 Annual Action Plan (AAP) for submittal to HUD and authorize the City Manager (or designee) to execute the new SF-424 application to receive entitlement funding.
Body
BACKGROUND:
Under the Community Development Block Grant (CDBG) program, the awarded funding from HUD allows the City to carry out a wide range of community development activities directed toward revitalizing neighborhoods, economic development, and providing improved community facilities and services. Grantees such as Cathedral City must give maximum feasible priority to activities which benefit low- and moderate-income persons. Grantees must also carry out activities which support in the prevention or elimination of slums or blight.
Additionally, grantees may fund activities when the grantee certifies that the activities meet other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community where other financial resources are not available to meet such needs. CDBG funds may not be used for activities which do not meet these broad national objectives.
DISCUSSION:
The Annual Action Plan (AAP) outlines a summary of the actions, activities, and programs that will take place during the next fiscal year to address the priority needs and specific objectives identified in the 2017 -2021 Consolidated Plan. The AAP identifies the relationship between federal resources and the specific objectives created to address priority needs identified the strategic plan.
ADMINISTRATIVE ALLOWANCE:
Administrative CDBG funding will be used to manage the overall program processes and planning. The CDBG Program requires that no more than twenty percent (20%) of the entitlement award be spent on Administrative activities. The Administrative Allowance may be used to fund program planning activities such as the development of comprehensive plans, community development plans, energy strategies, capacity building, environmental studies, neighborhood plans and other plans. Administrative CDBG funding includes salaries, wages and related costs of City Staff involved in program management, monitoring, and evaluation.
The Administrative Cap allowance is also proposed to fund fair housing activities through Inland Fair Housing and Mediation Board (IFHMB). IFHMB is a non-profit, public benefit corporation that serves San Bernardino County and parts of Riverside and Imperial Counties. IFHMB assist individuals in resolving issues related to housing discrimination, homeownership sustainability, rental complaints, and disputes in court through the provision of resource recommendations, education, and mediation. IFHMB will be used to provide valuable feedback in preparation of the AFH.
PUBLIC SERVICES ALLOWANCE:
The CDBG program requires that no more than fifteen percent (15%) of the entitlement award be spent on funding public services for low- and moderate-income residents in Cathedral City. For Fiscal year 2018 - 2019, CDBG funds will be used to fund agencies that provide services to seniors and provide homeless services in Cathedral City.
This year the City is proposing to fund the Cathedral City Senior Center to provide programs and activities for the senior community such as Meals on Wheels, Mobile Pantry, Group Exercise, Healthy Aging and Bilingual Outreach Program. This grant allocation will be used for both personnel and non-personnel services needed to administer the activities and programs for senior citizens.
The City is also proposing to fund CVAG’s Coachella Valley (CV) Housing First program. This center offers shelter and other supportive services for homeless individuals, families and veterans to help them get back on their feet. As part of the strategic plan to end homelessness in Riverside County, the City of Cathedral City will continue to fund this cause in an ongoing effort to provide the necessary services to make a difference in the community.
As a result of the proposed allocations, the Public Services Allowance has $22,062 remaining that may be directed by the City Council to increase an existing allocation, an allocation to an existing qualified public service entity or allocate toward the public improvement projects.
PUBLIC IMPROVEMENT ALLOWANCE:
West Whitewater Neighborhood:
The City is proposing to allocate CDBG funding to a Project located in Census Tract 449.07 in the westside of the Whitewater Neighborhood. The scope of the Project will be to reconstruct and rehabilitate three residential street blocks bound between Mission Indian Trail to the south and Ramon Road to the north. The three blocks encompass Shifting Sands Trail, Whispering Palms Trail, and Sky Blue Water Trail between Ramon Road and Mission Indian Trail. These three street blocks encompass Block Groups 1 & 2 within Census Tract 449.07.
Ortega North Sidewalk Improvements:
The City is also proposing to continue the construction of sidewalk improvements along Ortega Road and adjoining streets. This Project initiated by the City in FY 2017 that will widen the northside of Ortega Road by constructing and installing sidewalk, curb and gutter. The City is proposing to use additional funding from the 2018 Program to complete this Project. This Project is located in Census Tract 449.15 in Block Group 2 (LOWMOD_PCT: 67%).
ENVIRONMENTAL ANALYSIS:
An environmental review record subject to the National Environmental Policy Act (NEPA) and/or California Environmental Quality Act (CEQA) for federally funded projects will be prepared on a Project-specific basis.
PUBLIC NOTIFICATON:
Once approved, the FY 2018-2019 Annual Action Plan will commence on July 1, 2018 to June 30, 2019. The Action Plan was made available for a 30-day public review and comment period from April 9, 2018 through May 8, 2018. The Draft Action Plan was posted on the City website, Cathedral City Senior Center, Cathedral City Branch Library, and City Hall.
After the 2018 Appropriations were announced, City Staff modified the Action Plan to reflect the adjustments to each allowance based on the entitlement award. The 2018 Draft Action Plan was made available for an additional 15 days to allow further public comments. The Action Plan was made available again between May 21, 2018 through June 5, 2018.
A public hearing will be held on June 13, 2018 at the regularly scheduled City Council meeting to give interested persons or parties an opportunity to comment on the proposed activities and projects of the Draft Action Plan.
FISCAL IMPACT:
For Fiscal Year 2018, the City has been tentatively awarded $613,753. Under HUD guidelines, the City must budget no more than twenty percent (20%) for administrative expenses and no more than fifteen percent (15%) for public and social services. The remaining balance will be allocated towards public improvements benefitting low-and moderate-income residents.
The City is proposing to set aside $104,750 for planning and administration and $18,000 allocated towards the Inland Fair Housing and Mediation Board (IFHMB) for its administrative cap. The City allocated $51,500 to CVAG’s CV Housing First Program and $18,500 towards the Cathedral City Senior Center.
For the Capital Improvement Cap, the City is proposing to program an additional $100,000 towards the 2017 Ortega North Sidewalk Project as the Engineer’s Estimate for this project exceeds the amount available to fund a project in the 2017 Program. The City is also proposing to allocate $298,941 to revitalize and repave three residential blocks in the West Whitewater neighborhood, a low- and moderate area of the City in Census Tract 449.17.
There is a remaining balance of $22,062 in the Public Service Cap. This balance may be directed by the City Council to increase an existing allocation, an allocation to an existing qualified public service entity or allocate toward the public improvement projects. The City Staff is recommending that this $22,062 be used for Public Improvements.
The amounts below illustrate how CDBG funds are proposed to be encumbered for the fiscal year 2018:
ATTACHMENTS:
FY 2018 Annual Action Plan