REPORT TO THE CITY COUNCIL
January 29, 2015
FROM: JENNIFER CLARK, Director
Development and Resource Management Department
BY: CRYSTAL SMITH, Management Analyst III
Development and Resource Management Department
SUBJECT
Title
RESOLUTION - Adopt Amendment No. 2015-002 to the FY 2014-2015 Annual Action Plan authorizing $57,400 of Community Development Block Grant ("CDBG") funds for Homeless Services and $150,000 for a Lead Hazard Control Program from existing appropriations for use as grant program match; adopting the project location list for street and sidewalk improvements in the CDBG-funded Neighborhood Infrastructure Program; and authorizing the City Manager to sign all implementing documents required by HUD
Body
RECOMMENDATION
Staff recommends the Fresno City:
1. Approve a Resolution to adopt Amendment No. 2015-002 to the FY 2014-2015 Annual Action Plan authorizing $57,400 and $150,000 of CDBG funds for Homeless Services and a Lead Hazard Control Grant, respectively, to serve as a grant program match; and approving the project location list for street and sidewalk improvement projects in the CDBG-funded Neighborhood Infrastructure Program;
2. Authorize the City Manager to sign all implementing documents required by HUD and approved as to form by the City Attorney.
EXECUTIVE SUMMARY
The City of Fresno is an annual recipient of federal entitlement program funds from the U.S. Department of Housing and Urban Development ("HUD"). A condition of receiving these funds is the preparation of an annual action plan detailing program expenditures and the benefit to low and moderate-income persons. Staff proposes to amend the current year Annual Action Plan to change existing CDBG awards and create programs that will serve as a financial match to federal homeless and lead hazard control grants; and identify the location of street and sidewalk improvement projects in the Neighborhood Infrastructure Program.
BACKGROUND
The City is a recipient of CDBG funding through HUD. The Fresno City Council reviewed and adopted the CDBG Budget in June 2014 as part of the FY 2015 budget deliberation process. Federal regulations require jurisdictions amend their annual action plans and undergo a 30-day public review and comment period when entitlement funds are used for new projects; when the budget increases substantially; or when the location of projects change or have not been previously identified.
Staff proposes a substantial change to the FY 2014-2015 CDBG Program to implement the following programs and projects:
1. Homeless Service Program - the City is a recipient of federal Emergency Solution Grant ("ESG") funding that provides services to persons that are homeless. Services are implemented by non-profit agencies with the City providing administrative oversight. The grant has a 1:1 matching requirement which is met by agencies receiving the funding. The City is also required to match ESG funding to administer the program. Staff proposes to use $57,400 of CDBG funding to implement homeless services that will serve as a match for the ESG Program. Homeless services include: planning activities with the Fresno-Madera Continuum of Care, preparing surveys and needs analyses, and may include staffing to implement programming. Funds for this program will be derived from existing CDBG appropriations in the Housing and Community Development Division. No new CDBG funds are being requested.
2. Lead Hazard Control Program - the City is a recipient of federal Lead-Based Paint Hazard Control Program funds that provide grants to homeowners to remediate lead paint hazards in homes with children under the age of six years. The grant establishes a twenty-five percent (25%) matching requirement and staff requests the $150,000 financial commitment for the current fiscal year from the FY 2014-2015 CDBG Program.
Implementation of the Lead-Based Paint Hazard Control Program was previously adopted by Council in May 2011. Development of this new program to match the Lead Grant is a housekeeping item to ensure compliance with CDBG regulations. Existing staff continues to implement the Lead Hazard Control Program but CDBG regulations require the City to have a separate established program to meet the matching requirement. CDBG funding will be used to charge staff time.
No new CDBG funds are being requested. Funds for this program will be derived from existing CDBG appropriations in the Housing and Community Development Division. The program will continue to be available citywide with a focus in target areas with higher concentration of children with elevated lead blood levels. Established target areas are in the following zip codes: 93702, 93706, and 93727.
3. Neighborhood Infrastructure Program Street Projects - the current year CDBG Budget adopted by Council included a $1.4 million Neighborhood Infrastructure Program. At the time of Council adoption the location of the infrastructure projects had not been identified. This amendment identifies the location, budgets, and scopes of work for the projects. Each project is located in a low to moderate income neighborhood that is primarily residential. Project details can be found in Attachment A.
The Housing and Community Development Commission ("HCDC") will conduct a public hearing and provide a recommendation at the regularly scheduled meeting of January 28, 2015. The HCDC recommendation and public comments will be read into the Council record.
ENVIRONMENTAL FINDINGS
This is not a project for purposes of CEQA pursuant to CEQA Guidelines Section 15378.
LOCAL PREFERENCE
Local preference is not applicable because of the use of federal funding.
FISCAL IMPACT
There is no fiscal impact to the General Fund. This agenda item seeks to repurpose existing CDBG appropriations made to the Housing and Community Development Division. The Neighborhood Infrastructure Program has no fiscal impact as it identifies projects for a program previously adopted by Council.
Attachment: Resolution