For City Council Meeting [May 14, 2019]
TO: Honorable Mayor and City Council
APPROVAL: Sean Grayson, Interim City Administrator
FROM: Perry Brents, Community Services Director
Title
Request City Council to Conduct a Public Hearing to Consider and Approve the City’s 2019-2020 Annual Action Plan (CDBG).
(ACTION)
Body
BACKGROUND:
The U. S. Department of Housing and Urban Development (HUD) requires that the City prepare and submit a Consolidated Plan One-Year Action Plan if it receives Federal funding under one or more of the following programs: Community Development Block Grant (CDBG), HOME, Housing for People with AIDS (HOPWA), and Emergency Solutions Grant (ESG). As a recipient of CDBG funds, the City has prepared a draft One-Year Action Plan (2019-2020) for review and consideration by the City Council and submittal to HUD.
The Action Plan will appropriate CDBG, funds to specific programs and projects for the 2019-2020 fiscal year. The City will be receiving $1,196,679 in federal community development funds for the 2019-2020 Program Year. In addition, the City has a total of $187,993 of prior year funds that remained on projects and/or activities that were completed and closed out. As a result, the City has a total of $1,384,672 in CDBG funds available to commit to eligible projects.
ANALYSIS/DISCUSSION:
As a prerequisite to receiving its annual CDBG allocation, the City is required to submit a One-Year Action Plan. The Action Plan delineates Rialto’s plan for the use of its 2019-2020 CDBG funds. It describes the resources available for program implementation; activities to be undertaken during Program Year 2019-2020; 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 Consolidated Plan One-Year Action Plan, for Program Year 2019-2020, 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 City is allocating CDBG funds to programs and projects in the Draft Action Plan using an estimated HUD grant amount of $1,196,679 (similar to PY 18-19) to facilitate the citizen participation and approval process. In the event that the final formula grant amount of CDBG funding received from HUD is higher or lower than the planned amount, the CDBG Ad-Hoc Committee is recommending that staff adjust the funding amounts for each program and project identified in the Action Plan proportionally and in compliance with regulatory requirements for funding allocations. The funding levels used in attached Exhibits A through D reflect the estimated allocation of CDBG funds.
As a prerequisite to submitting its Annual Action Plan, the City’s Citizen Participation Plan and CDBG implementing regulation require that a public meeting be held to allow citizens and public service agencies the opportunity to express their views concerning the use of said funds. Said public meeting was held on April 3, 2019 before the Ad-Hoc Committee. This year the City received a total of 14 applications comprised of ten (10) public service agencies, three (3) 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.
A public hearing before the City Council is required to allow citizens to comment on the proposed use of the CDBG funds and to consider and approve the City’s 2019-2020 Consolidated Plan One-Year Action Plan. In addition, the draft One-Year 2019-2020 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 Consolidated Plan One-Year 2019-2020 Action Plan. The public hearing was noticed for May 14, 2019 at 6:00 p.m., at City Council Chambers, 150 S. Palm Avenue, Rialto, CA 92376 (see attached notices).
The attached tables (Exhibits A-D) will provide a summary of the projects that were recommended by the Ad-Hoc Committee for funding consideration under the 2019-2020 Program Year. The tables will identify that the total amount of funds available to be committed during the 2019-2020 Program Year, of $1,384,672, is proposed for allocation within the three categories.
Exhibits “B” through “D” provide the breakdown of funds proposed under the Administration, Public Service and Capital Improvement categories.
ENVIRONMENTAL IMPACT:
The request is not a "Project" as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a "Project" means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY:
Guiding Principle #4 of the City’s General Plan states:
Rialto is an Active Community. Our community will support the creation and maintenance of attractive parks, recreational facilities, and gathering places that meet the needs of our residents.
LEGAL REVIEW:
The City Attorney has reviewed and approved the staff report
FINANCIAL IMPACT:
The funding for the proposed 2019-2020 CDBG projects totaling $1,384,672 will come from the City’s 2019-2020 allocation and prior year unallocated CDBG funds from the U.S. Department of Housing and Urban Development (HUD). Upon submittal and approval of the City’s Annual Plan by HUD, funds equal to this amount will be available to the City.
RECOMMENDATION:
Staff recommends that the City Council solicit public comments from interested citizens and to consider and approve the City’s Consolidated Plan 2019-2020 One-Year Action Plan.