Title
Public Hearing to Consider Approving the Housing and Community Development Needs Statement for the Community Development Block Grant (CDBG) Annual Plan for Fiscal Year 2016-17. (Housing 236)
Body
To: Honorable Mayor and Members of the City Council
From: Elizabeth D. Warmerdam, Interim City Manager
Re: Public Hearing to Consider Approving the Housing and Community Development Needs Statement for the CDBG Annual Plan for Fiscal Year 2016-17
BACKGROUND
The City of Alameda is an entitlement recipient of CDBG funds from the Federal Department of Housing and Urban Development (HUD). Each year the City receives an entitlement allocation of approximately $1 million of CDBG funding. CDBG funds finance programs and activities that benefit low- and moderate-income persons and households, while helping prevent or eliminate slums and blight. To receive CDBG funding, the City has to submit to HUD an Action Plan (Plan) detailing the programs, activities, and resources to address the housing and community development needs identified in the Five-Year Consolidated Plan.
CDBG regulations require that an annual public hearing be held to obtain views on current housing and community development needs relating to the Action Plan. This hearing provides an opportunity for input for Fiscal Year (FY) 2016-17. The Action Plan will identify local priorities and uses of CDBG and HOME funds to address needs in eligible categories. Eligible activities include housing development, property acquisition and rehabilitation, public facility capital improvements, public services, accessibility improvements, economic development, as well as planning and administrative activities. At least 70 percent of CDBG funds must benefit low- and moderate-income residents or neighborhoods. In addition, the total amount of CDBG funds obligated for public services activities must not exceed 15 percent of the annual entitlement allocation and prior year’s program income. Staff will be recommending two-year funding agreements for all public service providers.
All citizen participation requirements have been met for the public hearing, with publication of the notice in the January 1, 2016 Alameda Journal, as well as in Chinese, Vietnamese, Tagalog and Spanish-language newspapers. Accommodations are available for non-English speaking residents and persons with disabilities to participate in the public comment process.
DISCUSSION
The Five-Year Consolidated Plan is the foundation for identifying the priority housing and community development needs of the community, and is used to guide the development of Annual Action Plans during the five-year period covering FY 2015-16 through FY 2019-20. Priority needs in the Consolidated Plan include the following:
• Preserving and increasing affordable housing and supportive services;
• Reducing housing discrimination;
• Preventing and addressing homelessness;
• Addressing non-housing community development needs such as neighborhood improvements, public services, accessibility improvements and economic development.
To support the City’s effort to identify the social service needs of the community, the Social Service Human Relations Board (SSHRB) held a meeting on January 7, 2016, and prepared a recommendation for the FY 2016-17 Needs Statement for approval by the City Council included as (Exhibit 1). The approved needs statement will be included in the upcoming CDBG HOME FY 2016-17 Notice of Funding Availability ((NOFA)/Request for Proposals (RFP)). The proposed RFP schedule is included in Exhibit 2 for reference only.
Staff also conducted a Community Stakeholder Survey, which was made available online between October 28, 2015 and November 30, 2015. This outreach provided additional feedback on prioritizing public services needs. There were 62 responses and a summary of the survey results is included in Exhibit 3. The highest ranking priority was housing, followed by public facilities/infrastructure, and economic development.
Alameda’s FY 2016-17 Action Plan will identify local priorities and uses of CDBG funds to address needs in eligible categories. As noted above, eligible activities include housing development, property acquisition and rehabilitation, public facilities improvements, public services, accessibility improvements, economic development, and planning and administrative activities. At least 70 percent of CDBG funds must benefit low- and moderate-income residents or neighborhoods. A limited amount of funds may also be used to eliminate blight in selected areas. Exhibit 4 includes the objectives identified to meet the identified priorities. The identified priorities are affordable housing; homelessness; other special needs; and non-housing community development, which includes public services, economic development, and public facilities and infrastructure.
Based on testimony received at the SSHRB meeting and survey results, staff recommends that the City Council approve the Needs Statement as presented in Exhibit 1. The approved Needs Statement will inform staff’s and SSHRB’s public services funding recommendations to the City Council. The recommended public service funding will be part of the FY16-17 Action Plan to be approved by the City Council in May 2016.
FINANCIAL IMPACT
There is no financial impact from conducting a Public Hearing to determine FY 2016-17 housing and community development needs. Although the CDBG Entitlement allocations for FY 2016-17 have not yet been published, staff anticipates receiving approximately $1,039,953 in Entitlement Funds and $150,000 of Program Income.
ENVIRONMENTAL REVIEW
Execution of related agreements and final funding commitments are subject to satisfactory environmental clearance under 24 CFR Part 58.
RECOMMENDATION
Approve the housing and community development needs statement for the CDBG Annual Plan for FY 2016-17.
Respectfully submitted,
Victoria Johnson, Housing Authority Director of Housing and Community Development
By,
Claudia Young, Housing and Community Development Program Manager
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibits:
1. SSHRB Needs Statement for CDBG FY 2016-17 Action Plan
2. City of Alameda NOFA/RFP Schedule: FY 2016-17 CDBG Funding Timeline
3. Community Needs Survey Summary
4. Proposed Priority Needs Objectives
cc: Social Service Human Relations Board