For City Council Meeting March 26, 2024
TO: Honorable Mayor and City Council
FROM: David N. Carmany, City Manager
AUTHOR: Cynthia Alvarado, Director of Parks, Recreation & Community Services
Title
Consider setting a Public Hearing for April 23, 2024, to solicit public comments from interested citizens for the City’s 2024-2025 Community Development Block Grant Annual Action Plan.
RECOMMENDATION
Staff recommends that the City Council:
1) Set a Public Hearing for April 23, 2024, to solicit public comments from interested citizens in order to adopt the 2024-2025 CDBG annual plan.
Body
BACKGROUND
The City of Rialto is a recipient of Community Development Block Grant (CDBG) funds which provides annual grants on a formula basis to states, cities, and counties to develop viable urban communities by providing decent housing and a suitable living environment, and by expanding economic opportunities, principally for low- and moderate-income persons. The program is authorized under Title 1 of the Housing and Community Development Act of 1974, Public Law 93-383, as amended 42 U.S.C. 5301 et seq. The program was designed to reinforce several important values and principles of community development from the U.S. Department of Housing and Urban Development (HUD).
As a prerequisite to receiving its annual CDBG allocation, the City is required to submit a One-Year Action Plan. The Action Plan appropriates CDBG funds to specific programs and projects for the 2024-2025 Fiscal Year (FY). The City expects to receive $1,200,000 in federal CDBG funds. In addition, the City has a total of $325,156.56 of prior year funds that remained from projects and/or activities that were completed and closed out. As a result, the City has a projected total of $1,525,156.56 in CDBG funds available to commit to eligible projects.
The 2024-2025 program was reviewed by the CDBG ad-hoc subcommittee on March 7, 2024.
ANALYSIS/DISCUSSION
The City of Rialto is allocating CDBG funds to programs and projects in the Draft Action Plan using an estimated HUD grant amount of $1,200,000 and carryover funds in the amount of $325,156.56. As a result, the City has a projected total of $1,525,156.56 in CDBG funds available to commit to eligible projects.
Annually, the City can utilize up to 20% ($240,000) of their CDBG allocation for Administration of CDBG programs, this includes Fair Housing Services.
In addition, the City can utilize up to 15% ($180,000) of its CDBG allocation for Public Service activities.
Table 1 provides a summary of available funding, separated by source as follows:
The One-Year Action Plan describes the resources available for program implementation; activities to be undertaken during Program Year 2024-2025; a monitoring plan; the City’s homeless and anti-poverty strategies; and coordination efforts that have or will be undertaken to implement the Action Plan.
The Action Plan provides recommendations for funding by the Rialto CDBG Ad-Hoc Committee. The recommendations are separated into three categories:
1) Administration
2) Public Services and
3) Capital Improvement Projects.
The initial steps in preparing the City’s One-Year Action Plan began with a City-issued Notice of Funding Availability (NOFA) for CDBG funds on January 19, 2024. The City held a public meeting in front of the Ad-Hoc Committee on March 7, 2024. This year the City received a total of 11 applications comprised of six (6) public service agencies, four (4) capital improvement projects, and one (1) Fair Housing and Landlord-Tenant service program. Each agency was given an opportunity to present its program and make a formal request for CDBG funding. Funding recommendations made by the Ad-Hoc Committee, which are proposed below, were placed in the 2024-2025 Draft Annual Action Plan. The plan was made available to the public on March 22, 2024.
Summary of Each Proposed Subrecipient
1. Legal Aid Society of San Bernardino
• Provides free outreach, education, and direct legal services. Prevent, reduce homelessness, pursue safety through protective orders, child custody orders.
• Proposed to serve 150 persons in FY 24/25
• Received $28,179 in FY 23/24
• Office located in San Bernardino, CA
2. National Council of Negro Women: NCNW Bethune Center
• Provides job training, academic enhancements skills, occupational skills, training, leadership development opportunities.
• Proposed to serve 26 persons in FY 23/24
• Received $42,000 in FY 23/24
• Monitoring conducted 11/20/23: No major concerns identified
• Office located in Rialto, CA
3. Rialto Family Health Services: Veterans Affairs Assistance Program
• Provide alternative, temporary, and/or permanent living arrangements, job assistance, accessing disability benefits, and discharge upgrades for veterans.
• Proposing to serve 40 persons in FY 23/24
• Received $35,000 in FY 23/24
• Monitoring conducted 11/15/23: No major concerns identified
• Office located in Rialto, CA
4. Stronger Together Now IE:
• Provide three free community events by providing access to economic opportunities, recreational activities, cultural enrichment, and community support.
• Proposed to serve 30 Households in FY 24/25
• Funding Requested: $30,600
• Offices located in San Bernardino, CA
5. Sunrise Church of California: Mobile Food Distribution
• Provides delivery of food, emergency relief boxes with baby items, and senior products.
• Proposing to serve 150 persons in FY 24/25
• Received $10,000 in FY 23/24
• Monitoring conducted 11/10/23: No major concerns identified
• Office located in Rialto, CA
A public hearing before the City Council is also required to allow citizens to comment on the proposed use of the CDBG funds and to consider and approve the City’s 2024-2025 One-Year Action Plan. Therefore, the One-Year 2024-2025 Action Plan must be made available to the general public for a period of 30 days in order to provide them with an opportunity to review the Ad-Hoc Committee’s recommendations for funding. In compliance with the City’s approved Citizen’s Participation Plan and CDBG implementing regulation 24 CFR 92-105, a Public Notice was published to solicit public comments from interested citizens and to consider and approve the City’s One-Year 2024-2025 Action Plan. The public hearing was noticed for April 23, 2024.
ENVIRONMENTAL IMPACT
The request is not a Project as defined by Section 15378 of the California Environmental Quality Act (CEQA).
GENERAL PLAN CONSISTENCY
Guiding Principle 1: Rialto is a Family First Community
• Essential Community services and amenities must meet the needs and desires of our families.
Guiding Principle 3: Rialto’s Economic Environment is Healthy and Divers
• Our City Government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of citizens and is a good place to do business.
Guiding Principle 4: Rialto is an Active Community
• We will continue to participate in community-based events that enrich our lives.
LEGAL REVIEW
.
The City Attorney's Office has reviewed the staff report.
FINANCIAL IMPACT
Operating Budget Impact
The funding for the proposed 2024-2025 CDBG projects totaling as estimated $1,525,156.56 will come from the City’s 2024-2025 allocation and prior year unspent CDBG funds from the U.S. Department of Housing and Urban Development (HUD).
Capital Improvement Budget Impact
There is no impact to the Capital Improvement Budget.