To: MAYOR AND CITY COUNCIL
From: JOHN LA ROCK, COMMUNITY SERVICES DIRECTOR
TITLE
title
CONTINUED PUBLIC HEARING TO CONSIDER AND APPROVE THE COMMUNITY DEVELOPMENT BLOCK GRANT 2020-2025 CONSOLIDATED PLAN AND FY 2020-21 ACTION PLAN
PROCEDURES:
1. Conduct a public hearing to solicit input from residents and interested parties regarding Community Development Block Grant (CDBG) programs and activities; and
2. Approve the 2020-25 Consolidated Plan and the FY 2020-21 Action Plan and provide direction on the recommended public service agency grant allocations; and
3. Authorize the City Manager to execute the grant application and certifications for submission to the U.S. Department of Housing and Urban Development (HUD); and
4. Authorize the Mayor and/or City Manager to execute the CDBG Funding Agreement upon HUD’s approval of the Action Plan on behalf of the City
end
EXECUTIVE SUMMARY
The five-year Consolidated Plan is required by the U.S. Department of Housing and Urban Development (HUD) in order for the City to receive federal housing and community development funds under the Community Development Block Grant (CDBG) Program. The overall goal of the CDBG program is to develop viable urban communities by providing decent housing, a suitable living environment, and expanding economic opportunities. The recommended five-year Consolidated Plan for 2020-25 is attached to this report.
The one-year Action Plan serves to address the goals set forth in the five-year plan through programs and activities to meet housing and community development needs. It is projected that the City’s FY 2020-21 CDBG allocation from HUD will be $286,252. The recommended 2020-21 FY Action Plan is attached to this report along with options for the proposed local public service agency grants.
The U.S. Department of Housing and Urban Development (HUD) requires that Community Development Block Grant (CDBG) entitlement communities hold public hearings to provide residents and other interested parties an opportunity to provide input on housing and community development needs in the City, and to incorporate the input into the five-year Consolidated Plan and one-year Action Plan.
The public hearing meets citizen participation requirements for staff’s development of the Consolidated and Annual Action Plans, which establish goals and activities for the CDBG Program.
BACKGROUND
The primary purpose of the CDBG Program, established under the Housing and Community Development Act of 1974, is to improve living conditions for low income persons in the community. Since 1974, the City has received CDBG entitlement funds totaling over $21.7 million for a variety of Capital Improvement projects and programs including housing rehabilitation; commercial rehabilitation; installing ADA curb ramps, renovation of senior centers; park improvements; and local public service agency funding.
Title I of the Cranston-Gonzalez National Affordable Housing Act requires that in order to apply for certain HUD programs, State and local governments must have an approved five-year Consolidated Plan. The Plan is used by state and local governments as a working guide for the application of resources to address local housing and community development needs.
The City’s One-Year Annual Action Plan will serve to address strategies and goals established in the 2020-25 Consolidated Plan and will provide guidance for the allocation of CDBG funding for City housing and community development activities for the upcoming fiscal year, July 1, 2020 - June 30, 2021. HUD has reported that the City of Redondo Beach will receive approximately $286,252 in CDBG entitlement funding for FY 2020-21. The history of CDBG funding levels for Redondo Beach and the local service agency grant program since FY 2001-02 is provided in the following chart and as an attachment to this report.
Fiscal Year Funding Agencies Fiscal Year Funding Agencies
2001-02 $575,824 $86,373 2002-03 $554,985 $83,245
2003-04 $511,786 $76,767 2004-05 $502,820 $75,423
2005-06 $476,221 $71,433 2006-07 $427,681 $71,433
2007-08 $425,168 $63,775 2008-09 $409,725 $61,458
2009-10 $412,441 $61,866 2010-11 $444,286 $66,642
2011-12 $369,902 $55,467 2012-13 $266,341 $39,951
2013-14 $287,842 $43,176 2014-15 $274,524 $41,179
2015-16 $266,182 $39,927 2016-17 $252,533 $37,880
2017-18 $246,581 $36,987 2018-19 $239,184 $35,878
2019-20 $246,581 $36,987 2020-21 $286,252* $42,938*
*Proposed FY 2020-21
The following activities and projects are proposed to be funded through the CDBG Program for FY 2020-21. Each activity is shown with a proposed CDBG funding allocation and the corresponding percentage of the projected overall $286,252 budget. There is a $75,250 carryover from the FY 2019-20 CDBG allocation as a result of the timing of invoices and ongoing projects. The carryover amount is available to be allocated to the Home Improvement and Public Facilities Programs during the new fiscal year to provide additional mobility and emergency repairs for low income and disabled residents. The funding allocations for Administration and the Public Service Agency Grants are fixed as per HUD guidelines noted below.
Home Improvement Program (Mobility Access/Emergency Repair Program)
The Mobility Access/Emergency Repair Program provides emergency and accessibility residential repair services to low income and disabled Redondo Beach homeowners. Under the Emergency Repair component, eligible repairs are restricted to those necessary to correct health and safety hazards, such as electrical, plumbing and heating repairs, and replacement of hot water heaters. Under the Mobility Access component, eligible repairs such as the installation of grab bars and access ramps are provided to disabled homeowners. Funding Allocation: $75,000 ($60,00 of FY 2020-21 grant; $15,000 FY 19-20 carryover).
Administration/Fair Housing
HUD regulations provide that 20% of the City’s FY 2020-21 entitlement grant can be used for program administration. The City will continue to contract with an outside consultant for administrative services to coordinate CDBG activities and reporting. In addition, as an entitlement community, the City is required by the U.S. Department of Housing and Urban Development to develop a fair housing program to help prevent, reduce and/or eliminate housing discrimination and other barriers to equal housing choice based on race, religion, gender, disability or age. In order to meet HUD fair housing requirements, the City will continue to contract with an outside agency to handle housing discrimination complaints filed by residents. Funding Allocation: $57,250 (allocation fixed at 20% as per HUD guidelines).
Public Service Agency Funding
HUD regulations provide that 15% of the City’s FY 2020-21 entitlement grant may be made available to fund public service agency programs ranging from family counseling, adult day care, senior lunch programs, senior in-home assistance, meal programs, independent living skills training and dental programs for children and adults. An RFP for these services was issued on January 13, 2020. Proposals received were evaluated over the course of the development of the 2020-21 Action Plan. Two options for Public service agency funding are provided in this report. Funding Allocation: $42,938, (allocation fixed at 15% as per HUD guidelines).
Public Service Agency Funding Option A
• 1736 Family Crisis Center is an emergency and transitional shelter which provides counseling, support, and referral services to women and youth who are victims of domestic violence. Funding: $13,000.
• Salvation Army Meals on Wheels Program is a program that provides hot meals delivered to the residences of the elderly and disabled. Funding: $7,938.
• South Bay Family Health Care Program provides free and low-cost dental services to qualified low income residents of Redondo Beach. Funding: $10,000.
• Disability Resource Center empowers people with disabilities to live independently in the community, to make their own decisions about their lives and to advocate on their own behalf. DRC provides services to all people with disabilities, regardless of their age, gender, ethnicity, sexual preference or disability type. Funding: $6,500.
• St. Paul’s United Methodist Church Project NEEDS is a program that provides meals to those individuals experiencing homelessness and distributes food from the food pantry to those in need. Funding: $5,500.
Public Service Agency Funding Option B
• 1736 Family Crisis Center is an emergency and transitional shelter which provides counseling, support, and referral services to women and youth who are victims of domestic violence. Funding: $14,650.
• Salvation Army Meals on Wheels Program is a program that provides hot meals delivered to the residences of the elderly and disabled. Funding: $9,041.
• South Bay Family Health Care Program provides free and low-cost dental services to qualified low income residents of Redondo Beach. Funding: $11,375.
• Disability Resource Center empowers people with disabilities to live independently in the community, to make their own decisions about their lives and to advocate on their own behalf. DRC provides services to all people with disabilities, regardless of their age, gender, ethnicity, sexual preference or disability type. Funding: $7,872.
Public Facilities and Improvements
The Capital Improvement Project to install curb cuts and disabled access ramps at locations throughout the City has been successful in increasing the mobility of the community. Project area emphasis has been given to public school locations as well as older adult living facilities. Funding Allocation: $186,314 ($126,064 of FY 2020-21 grant; $60,250 FY 19-20 carryover).
The 2020-2025 Consolidated Plan and 2020-21 Action Plan are developed according to the following schedule:
• City Council Public Hearing April 7, 2020
• 30-day public comment period April 8-May 8, 2020
• City Council adoption of Consolidated Plan May 5, 2020
and Action Plan
• Submit final Action Plan to HUD May 12, 2020
COORDINATION
As the Consolidated Plan and Action Plan are developed, Community Services Department staff coordinate with the City’s CDBG consultant and the Community Development and Financial Services Departments.
FISCAL IMPACT
Funding for the development of the FY 2020-2025 Consolidated Plan and FY 2020-21 Action Plan programs and activities are provided by the Department of Housing and Urban Development Community Development Block Grant Program.
APPROVED BY:
Joe Hoefgen, City Manager
ATTACHMENTS
1. 2020-2025 Consolidated Plan
2. 2020-2021 Annual Action Plan
3. Public service agency funding option A
4. Public service agency funding option B
5. Community Development Block Grant Funding, City of Redondo Beach FY 2001-02 through 2020-21
6. Notice of Public Hearing