Title
Public Hearing to Consider Amendments to the Fiscal Years 2008-2015 Community Development Block Grant (CDBG) Action Plans, and Authorize the City Manager to Negotiate and Execute Related Documents, Agreements, and Modifications. (Housing 236)
Body
To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Interim City Manager
Re: Public Hearing to Consider Amendments to the Fiscal Years 2008-2015 Community Development Block Grant Action Plans, and Authorize the City Manager to Negotiate and Execute Related Documents, Agreements, and Modifications
BACKGROUND
The City of Alameda 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 million 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 to HUD an annual Action Plan 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 the 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. This has been an ordinary part of the CDBG process since the program's inception in 1974. Recently, HUD has made additional efforts to ensure that uncommitted or unexpended federal funds are utilized promptly. For the CDBG program, uncommitted funds will be recaptured if not used within eight years of the original entitlement allocation.
The proposed reprogramming of remaining funds from various years will ensure that entitlement funds are utilized in the community and not recaptured. Staff is proposing amendments to the 2008-2015 Consolidated Plan.
All citizen participation requirements have been met for the public hearing, with publication of the public hearing notice in the October 16, 2015 Alameda Journal and local Chinese and Spanish language newspapers. Provisions for non-English speaking residents and persons with disabilities are also available upon request.
DISCUSSION
Staff is proposing amendments to the 2008-2015 Consolidated Plan to reprogram one-time funds that are available due to changes in previously approved projects and activities. The total CDBG funding available to re-program from FY 2008 through FY 2015 is approximately $135,824. Of the total amount, $73,945 will be reprogrammed for clearance activities including the site-specific environmental assessment and technical reports for the North Housing Project (90-unit homeless accommodation on 13 acres); $21,975 to replace the Woodstock Park building doors; $33,151 (in various amounts) for the Residential Rehabilitation Program repair grants; and $6,753 of Public Services funds for the Alameda Food Bank, Building Futures for Women and Children Midway Shelter, Family Violence Law Center, and Legal Assistance for Seniors. These public service reprogramming recommendations have been considered and approved by the Social Service Human Relations Board. Staff is recommending reprogramming of these funds to be used for eligible activities as shown in Exhibit 1.
Following Council approval, grant modifications will be implemented. The form of grant modification is the same as previously approved by the City Council and the City Attorney.
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 Community Development Department CDBG account (Fund 236, Program 6235.1, Object Number 61060).
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
The proposed Action Plan amendments are consistent with the City's CDBG Five-Year Consolidated Plan and citizen participation requirements.
ENVIRONMENTAL REVIEW
The execution of related agreements and final funding commitments are subject to satisfactory environmental clearance under 24 CFR Part 58 and those requirements have been satisfied.
RECOMMENDATION
Hold a public hearing to consider amendments to the Fiscal Years 2008-2015 Community Development Block Grant Action Plans, and authorize the Interim City Manager to negotiate and execute related documents, agreements, and modifications.
Respectfully submitted,
Vanessa M. Cooper, Housing Authority Executive Director
By,
Claudia Young, Housing and Community Development Program Manager
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibits:
1. Proposed CDBG Reprogramming Activities