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 2018-19. (Housing 236)
Body
To: Honorable Mayor and Members of the City Council
From: Jill Keimach, City Manager
Re: Public Hearing to Consider Approving the Housing and Community Development Needs Statement for the Community Development Block Grant (CDBG) Annual Plan for Fiscal Year 2018-19
BACKGROUND
The City of Alameda is an entitlement recipient of CDBG funds from the U.S. 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) 2018-19. 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.
All citizen participation requirements have been met for the public hearing, with publication of the notice in the December 8, 2017 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 November 30, 2017, and prepared a statement to support the staff recommendation for the FY 2018-19 Needs Statement (Exhibit 1). SSHRB also completed a Community-wide Needs Survey on December 13, 2017, and the preliminary summary findings are attached as Exhibit 2.
The approved Needs Statement will be included in the upcoming CDBG FY18-19 Notice of Funding Availability (NOFA)/ Request for Proposals (RFP). The proposed RFP schedule is included in Exhibit 3 for reference only. It is anticipated that the NOFA/RFP will be released in early March 2018 with responses due approximately three weeks later.
Alameda’s FY 2018-19 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, 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.
Staff is recommending that the City Council approve the Needs Statement prepared by SSHRB. The approved Needs Statement will inform staff’s funding recommendations to the City Council. The recommended public service funding will be part of the FY18-19 Action Plan to be considered by the City Council in May 2018.
FINANCIAL IMPACT
There is no financial impact from conducting a Public Hearing to determine FY 2018-19 housing and community development needs. Although the CDBG Entitlement allocations for FY 2018-19 have not yet been published, staff anticipates receiving approximately $1,053,123 in Entitlement Funds and $150,000 of Program Income.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
Execution of related agreements and final funding commitments are subject to satisfactory environmental clearance under 24 CFR Part 58.
ENVIRONMENTAL REVIEW
This action is exempt from California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines, sections 15061(b)(3) (general rule). 15183 (projects consistent with a community plan, general plan or zoning) and 15378(b)(4) (other governmental fiscal activities), each of which provides a separate and independent basis for CEQA clearance and when viewed collectively provide an overall basis for CEQA clearance.
RECOMMENDATION
Approve the housing and community development needs statement for the CDBG Annual Plan for FY 2018-19.
Respectfully submitted,
Debbie Potter, Community Development Director
By: Lisa Fitts, CDBG Management Analyst, Housing Authority
Financial Impact section reviewed,
Edwin Gato, Acting Finance Director
Exhibits:
1. SSHRB Needs Statement for CDBG FY 2018-19 Action Plan
2. SSHRB Community-Wide Needs Survey Preliminary Summary Findings
3. City of Alameda 2018-19 NOFA/RFP Schedule
4. Proposed Priority Needs Objectives
cc: Social Service Human Relations Board