Title
Public Hearing to Consider Amendments to the Community Development Block Grant Action Plans for Fiscal Years 2020-21 through 2022-23 to Fund American with Disabilities Act (ADA) Improvements, Alameda Food Bank Relocation and Infrastructure Replacement at Bessie Coleman Court, and Authorize the City Manager to Negotiate and Execute Related Documents, Agreements and Modifications. (City Manager’s Office 20321843)
Body
To: Honorable Mayor and Members of the City Council
From: Jennifer Ott, City Manager
EXECUTIVE SUMMARY
The purpose of the public hearing is to consider approving amendments to the Community Development Block Grant (CDBG) Action Plans for fiscal years 2020-21 through 2022-23 to fund non-housing public improvements, including Americans with Disabilities Act (ADA) upgrades throughout the City, the Alameda Food Bank relocation and tenant improvements and the sewer lateral and transformer replacement at Bessie Coleman Court, a supportive housing provider. To fund the proposed activities, staff proposed to: 1) reallocate the previously awarded, and now available unexpended, $519,051.64 of CDBG funds, and 2) reprogram CDBG entitlement funds to pay for CDBG-eligible public improvements.
BACKGROUND
The City of Alameda (City) is an entitlement recipient of Community Development Block Grant (CDBG) funds from the Federal Department of Housing and Urban Development (HUD). Each year, the City receives an allocation of approximately $1,000,000 of CDBG funding. CDBG funds can be used to finance programs and activities that benefit low- and moderate-income households, and to help prevent or eliminate blight. To receive CDBG funding, the City must submit an annual Action Plan to the Department of Housing and Urban Development (HUD), detailing the programs and activities that address the needs identified in the City’s approved Five-Year Consolidated Plan. The Action Plan is approved by City Council and includes programs, activities, and the associated funding amounts for the fiscal year. A public hearing is required for any amendment to the annual Action Plan if the City cancels an activity, adds an activity, or substantially changes the purpose, scope, location, or beneficiaries of an activity.
If a program or activity is cancelled or does not use the total funding allocation, the remaining funds are carried forward to the next fiscal year. Until these funds are specifically reprogrammed, the grant year remains open. HUD requires that any uncommitted or unexpended federal funds be utilized promptly. This recommended action is to reprogram the City’s available unexpended funds for identified needs including ADA curb ramp improvements throughout the City, the Alameda Food Bank relocation and tenant improvements and utility projects for Bessie Coleman Court. Staff is proposing amendments to the Action Plans for Fiscal Years (FY) 2020-21 through 2022-23 to reprogram these funds.
In accordance with 24 CFR 91.105(c)(2) and subpart B of the federal regulations relative to citizen participation for Community Planning and Development Programs, on April 2, 2024, City Council will consider proposed amendments to the CDBG Action Plans for fiscal years 2020-21 through 2022-23, reallocating $519,051.64 of CDBG funds.
All citizen participation requirements have been met for the public hearing, with publication of the notice in the March 1, 2024 Alameda Journal, as well as in Chinese, Spanish, Tagalog, and Vietnamese-language newspapers. Accommodations are available for non-English speaking residents and persons with disabilities to participate in the public comment process.
DISCUSSION
Each year staff receives approval from City Council regarding recommendations for activities to be funded with the annual allocation of CDBG and HOME funds. In May 2020, City Council approved the Five-Year (FY 2020-25) Consolidated Plan and first year of the Five-Year Action Plan, and in May 2021, 2022, and 2023, the Action Plans were approved. Each annual Action Plan includes carry forward funds (i.e., unexpended funds) from the prior year and those remaining funds are allocated within the same grant year until a project is complete or a project is identified and funds are reprogrammed to the new project.
Staff is proposing amendments to the Action Plans for fiscal years 2020-21 through 2022-23 to reprogram $519,051.64 in CDBG funding. Reprogramming these funds for new projects will help ensure timely expenditure of resources in fiscal year 2023-24 and make funds available to projects that need these funds to proceed. Therefore, staff is recommending reprogramming of these funds to be used for the eligible activities.
Staff recommends allocating the funds for the public improvements category so that they may be used for any of the three potential projects.
1) The City’s Public Works Department is preparing an ADA Self-evaluation and Transition Plan (ADA Plan) which will guide future priorities and investments to reduce barriers to accessibility and is anticipated to come to City Council for approval in Spring 2024. ADA accessible curb ramps were identified and Public Works can use up to $300,000 to construct approximately 30 curb ramps by the end of FY 2023-24. Doing so addresses a need identified in the ADA Plan and helps draw down CDBG funds, as required.
2) The Alameda Food Bank is relocating from its current location to 677 West Ranger Avenue and would use the remaining CDBG funds to support relocation and tenant improvement projects in the new building.
3) Building Futures is seeking funds for Bessie Coleman Court, a supportive housing project, to replace the sewer lateral and an electrical transformer. Separately, the project has applied for residential rehabilitation funds to renovate the housing.
Approval of this item will make the funds available to be used on any of the three projects. Since the projects for Bessie Coleman Court could be funded with either public improvement funds or residential rehabilitation funds and because the needs exceed the available funds, staff is recommending to use residential rehabilitation funds first for Bessie Coleman Court since they are already available. Staff will complete the necessary environmental review process prior to executing contracts.
Following City Council approval, grant modifications and/or new agreements will be implemented to carry out the approved activities. The form of grant modification and/or new agreement is the same as previously approved by the City Council and the City Attorney’s office.
ALTERNATIVES
• Staff recommends that City Council hold a public hearing to consider an amendment to the FY 2020-21 through 2022-23 CDBG Action Plans and authorize the City Manager to negotiate and execute related documents, agreements, and modifications to implement the programs described above.
• While CDBG regulations require that a public hearing be held to amend the Action Plan, the City Council may modify the recommendations prior to acceptance.
• City Council could decline to move forward with amending the FY 2020-21 through 2022-23 CDBG Action Plans at this time. Staff does not recommend this option as it would result in unused funds remaining to be allocated.
FINANCIAL IMPACT
There is no impact on the General Fund. The funds available to be reprogrammed within the CDBG Action Plans are budgeted in the Housing and Human Services CDBG Fund (Fund 203).
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
Project HH5 in the Strategic Plan: Coordinate with the Alameda Food Bank on their relocation; and Project TIE 19 in the Strategic Plan: Implement ADA Plan for City facilities, programs, streets and sidewalks.
ENVIRONMENTAL REVIEW
Under federal law, the execution of agreements and final funding commitments related to this action are subject to satisfactory environmental clearance pursuant to 24 CFR Part 58. Additionally, this action does not constitute a “project” as defined in California Environmental Quality Act (CEQA) Guidelines Section 15378 and therefore no further CEQA analysis is required.
CLIMATE IMPACT
There are no climate impacts from conducting a public hearing to amend the City’s CDBG Action Plans for fiscal years 2020-21 through 2022-23.
RECOMMENDATION
Staff recommends that City Council hold a public hearing to consider amendments to the CDBG Action Plans for fiscal years 2020-21 through 2022-23 to fund ADA improvements, Alameda Food Bank relocation and infrastructure replacement at Bessie Coleman Court and authorize the City Manager to negotiate and execute related documents, agreements and modifications.
Respectfully submitted,
Amy Wooldridge, Assistant City Manager
By,
Lisa Fitts, Housing and Human Services Manager
Andre Fairley, Management Analyst
Financial Impact section reviewed,
Margaret O’Brien, Finance Director