HomeMy WebLinkAboutAgenda Report - May 15, 2019 G-01 PHAGENDA ITEM 6-l
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AGENDA TITLE:
MEETING DATE: May 15,2019
PREPARED BY: CDBG Program Specialist
Continued Public Hearing to Consider Adopting Resolution Approving Final
2019-23 Consolidated Plan and 2019-20 AnnualAction Plan for Community
Development Block Grant Program
RECOMMENDED ACTION Continued public hearing to consider adopting a resolution
approving the final 2019-23 Consolidated Plan and 2019-20
AnnualAction Plan for the Community Development Block Grant
(CDBG) program.
BACKGROUND INFORMATION A public hearing is required as part of the federal requirements
under the U.S. Department of Housing and Urban Development
(HUD) for the CDBG program.
Overview
The overall goal of the CDBG program is to serve low- and moderate-income persons by developing
viable urban communities through the following actions: providing decent housing; providing a suitable
living environment; and expanding economic opportunities.
The 2019-23 Consolidated Plan is a five-year planning document that sets forth the priority needs and
goals for the CDBG program, and contains the 2019-20 Annual Action Plan. The Consolidated Plan
outlines the actions to be undertaken in the next five years, in relation to capital improvements,
economic development, public services, infrastructure improvements, housing, homelessness, special
needs, and various other community development type activities, which are identified by the City and
the community. The 2019-20 Annual Action Plan presents a detailed description of the activities
proposed for the 2019-20 CDBG program year, as well as the CDBG budget and goals for that year.
The process of developing the 2019-23 Consolidated Plan has involved a significant amount of
community outreach and public involvement. Outreach included the distribution and collection of a
community needs survey, a workshop focused on informing the public of CDBG funding and
community needs, consultations with local organizations and stakeholders, Lodi lmprovement
Committee meetings that encouraged citizen participation and public comment, and a 30-day public
review period for the draft Consolidated and Annual Plan documents, as well as public hearings to
allow for public feedback after the approval of the draft2019-23 Consolidated Plan and 2019-20
AnnualAction Plan.
The information gathered through the outreach process pertaining to community needs and public
comment was then combined with a review of demographic and economic data sets, analyzed and
assessed, and developed into a Needs Assessment and Housing Market Analysis which are
contained within the Consolidated Plan. Once completed, these two sections form the basis of the
Strategic Plan section, which details City goals for addressing priority needs over the next five years.
APPROVED:
Stephen Schwa Manager
Final Consolidated Plan and AAP Approval
Page 2 of 5
2019-23 Consolidated Plan Priority Needs and Goals
Based on community outreach, data collection, and analysis of housing, socioeconomic, and
infrastructure characteristics, the City proposes 11 priority needs for the 2019-23 Consolidated Plan
cycle:
. Safe Neighborhoods. Park lmprovements. Public Facilities. Publiclnfrastructureo Affordable Housingo Childreno Youth. Seniors. Persons with Disabilities. Single-parentFamilies. Homelessness
Staff took into consideration the opinions of residents, community stakeholders, community-based
organizations, the Lodi lmprovement Committee, City staff, and various other professional and
influential members of the community to decide on goals that would best address the identified priority
needs. The result was the creation of seven primary goals that would be the focus over the next five
years:
Develop Safe and Healthy Neighborhoods. Develop safe, healthy, and secure neighborhoods within CDBG Target Area (e.9.,
neighborhood watch groups, street lighting, traffic-calming methods, traffic signals, street or
private home cameras)
lmprove Public Spaces. lmprove public spaces within CDBG Target Area (e.9., community gardens, park cleanups,
street cleaning, street surface improvements, alley improvements, and park improvements for
youth activities such as soccer fields)
Address Dilapidated Gonditionso Address dilapidated conditions to improve neighborhoods within CDBG Target Area (e.9.,
critical repair program, code enforcement, housing rehabilitation, graffiti abatement)
lmprove Accesso lmprove access to public facilities and infrastructure for disabled, seniors, and low-income
fam i lies (e.9., transportation, ADA accessibility, sidewa lk im provements)
lmprove Housing Access and Affordability. lmprove housing opportunities, accessibility, affordability, and sustainability (e.9., fair housing,
rehabilitate affordable housing units, create new affordable housing units, homeless housing)
Build Capacityo Build capacity, leadership, and connections within the CDBG Target Area (e.9., ABCD
program)
Support Programs for Priority Populations. Support programs or projects that assist lower-income children, youth, seniors, and single-
parent families, and that assist the extremely low-income population (e.9., after-school
recreation, homework help, gang prevention, mental health services, homeless services,
childcare)
Final Consolidated Plan and AAP Approval
Page 3 of 5
AnnualAction Plan
The 2019-20 Annual Action Plan is the first of five annual action plans for the 2019-23 CDBG program
period; it is incorporated ¡nto the five-year Consolidated Plan and includes the budget for the program
year, as well as the proposed projects and estimated allocations for each project.
ln December 2018, the City released a Notice of Funding Availability (NOFA) to solicit projects forthe
2019-20 program year. The City received 10 project applications from community-based
organizations, requesting over $150,952 in social service{ype activities, $22,841 in planning and
administration for fair housing-related projects, and approximately $112,510 in capital improvement
projects. To help facilitate the application process and develop an outline of community needs, the
Lodi lmprovement Committee (LlC) held a public meeting on January 2, 2019, which acted as a
workshop on NOFA for applicants and helped assess community needs and priorities. The LIC and
City consultant evaluated these applications using a scoring matrix intended to provide a standard
measurement and empirical analysis. Each application was rated on a grading scale with a maximum
of 157 points. On February 12, the LIC held a public meeting to reviewthe scores on applications that
had been submitted by community-based organizations for CDBG funding under public services and
capital improvement projects. At this meeting, public comment was taken into consideration;
applicants also had an opportunity to answer questions and provide additional information to LIC
members. lt should be noted that the LIC did not score City-sponsored projects. Exhibit A contains the
LIC's application scores and recommended allocations.
Application review centered on the rating criteria that focuses on the following areas:
. Seruing Priority Populations. Programs and projects were evaluated on whether they serve
targeted priority populations, as identified in the Consolidated Plan.
o Activity Need and Justification. Activities were evaluated on their ability to address a
significant community need and their benefit to very low-income persons.
Readrness to Proceed. Programs and projects were evaluated based on their feasibility of
implementation, overall and within the allotted time frame.
Cosf Reasonableness and Effectiveness. Budgets were reviewed to determine completeness
and reasonableness of all costs related to the request for CDBG funding. Organizations
applying for service funding were also evaluated on their ability to become or remain self-
sustaining.
Activity Management and lmplementafion. Applicants were evaluated on past experience,
administrative capacity, and financial management.
Past Performance. Applicants that previously received CDBG funds from the City were
evaluated on their reporting and timely expenditure of funds.
CDBG Project and Funding Recommendations
ln April 2019, the City received notice from HUD that it would receive $624,641in CDBG grant funds
for the 2019-20 program year.
After receiving the City's allocation amount, staff applied the contingency language from the draft plan
documents to calculate the final project amounts. Because this final allocation is slightly less than the
estimated amount, most project allocations will show a decrease from the proposed draft allocations.
For social service projects, the budgets for all proposed activities were proportionately decreased
based on the percentage they were originally recommended to receive from the estimated allocation.
For capital improvement projects, the remaining difference was taken out of the HEAP Tiny Homes
project's funds. Funding for the HEAP project changed from $16,500 to $13,017.
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Final Consolidated Plan and AAP Approval
Page 4 of 5
Additionally, HUD places a yearly 15 percent cap on funds spent on public services and 20 percent
cap for program administration. Therefore, the 2019-20 program year serv¡ce cap is $93,696, and
$124,928 for planning and fair housing activities. The proposed projects and allocations are as
follows:
P rog ram Ad m i n istr"tåÌ,i J"ii;iid m i n i strati on g 1 02, 0e7o Fair Housing $22,831o California Rural LegalAssistance $7,091o San Joaquin Fair Housing $15,740
c i tv c a p i ta I P roj e c ts
fåiå {rii. ff::,;?i":î i?,1 B?,
citv service Prosrams
åiÍ8:,"ment $2e,706
c Bo capita| Project"ti'f
Î"tirmy: HVAC/Refrigerator Repairs $ 1 20, 000
CBO Service Programs $63,990. LOEL Foundation - Meals on Wheels Program $7,433. Second Harvest Food Bank - Food Assistance Program $8,923. Salvation Army: Hope Harbor Shelter - Facility Administration $1 1,902. CA Human Development - lmmigration Expansion Program $7,967o Community Partnership for Families - Family Resource Center and Youth Program $27,765
Additionally, the City Council has a policy of allocating 40 percent of the annual CDBG award (net of
administrative costs) to community-based organizations (CBOs), with the remainder allocated to City
projects. Based upon the estimated allocation, the distribution of funds will be as follows:
City projects $315,723 (60%)
CBO projects $206,821 (40o/o)
Public Review
The draft 2019-23 Consolidated Plan and 2019-20 Annual Action Plan were made available for public
review and comment for 30 days, from March 19,2019, to April 17 , 2019. A public hearing was also
held on April 17 , 2019, to review Consolidated Plan and Annual Plan draft documents, and to receive
public comment on these matters. Public comment will also be accepted at the meeting on May 1,
2019, and taken into consideration by the City Council for approval of the final Consolidated Plan and
Annual Action Plan documents.
Consolidated Plan submittals to HUD are due 60 days after allocations are announced. The program
year will begin July 1,2019.
CDBG funds are federal funds. Capital improvements allow for
maintenance costs to be reduced. Administration costs are paid via a 20
percent set-aside of the grant funds.
FISCAL IMPACT:
Final Consolidated Plan and AAP Approval
Page 5 of 5
FUNDING AVAILABLE: $624,641 -2019-20 Community Development Block Grant Allocation
rew Keys
Deputy City Manager/lnternal Services Director
È/Stephen uer
Community Development Director
Attachments
Exhibit A: Summary/Ranking of Applications Received
CDBG Consolidated Plan
2019-2023
Presented by
Community Development – Neighborhood Services Division
May 15, 2019
CDBG Purpose
The purpose of the Community Development Block Grant (CDBG) program is to revitalize low- and moderate-income neighborhoods, to expand affordable housing and economic opportunities and to improve community facilities and services.
CDBG objectives include:
Assisting low to moderate income residents
Preventing slum and blight
Providing decent housing
Ensuring suitable living environments
Supporting community development activities
Supporting public services
CDBG Consolidated Plan Process
A Consolidated Plan is required by HUD to receive federal
housing and community development funding through the
CDBG program.
The purpose of the Consolidated Plan is to provide:
A five-year planning document for the City of Lodi that builds on
a participatory process while also mapping out priority needs
and goals;
An application for federal funds under HUD’s CDBG formula
grant program; and
A strategy to be followed in carrying out HUD’s programs.
Consolidated Plan Sections
The Consolidated Plan Contains 4 main sections
that provide a rationale for identifying priority
needs and goals, as well as providing a detailed
description of the current fiscal year’s budget and
projects to be undergone.
Sections:
Needs Assessment
Market Analysis
Strategic Plan
Annual Plan
2019-2023 Priority Needs
Based on community outreach, data collection,
and an analysis of community characteristics, 11
priority needs were identified for the 2019-2023
Consolidated plan cycle:
Safe Neighborhoods
Park Improvements
Public Facilities
Public
Infrastructure
Affordable Housing
Children
Youth
Seniors
Persons with
Disabilities
Single-parent
Families
Homelessness
2019-2023 Goals
The 2019-2023 Consolidated Plan focuses on 7
main goals; those are:
Develop Safe and Healthy Neighborhoods
Improve Public Spaces
Address Dilapidated Conditions
Improve Access
Improve Housing Access and Affordability
Build Capacity
Support Programs for Priority Populations
Outreach
When preparing the Consolidated Plan, City staff
prioritized public input; methods of community
outreach included:
Community Needs Survey
NOFA Workshop
Consultations
Lodi Improvement Committee meetings
30-day public review period
Public hearings
CHD meeting
2019-2020 Annual Action Plan
The last section of the 2019-2023 Consolidated Plan
contains the 2019-2020 Annual Action plan, which
provides:
Detailed descriptions of the program year’s budget
Projects that will be funded through CDBG funds for that
year
In mid-April, HUD announced CDBG allocation amounts:
Lodi’s CDBG allocation for 2019-2020
Fiscal Year: $624,641
Program Year begins July 1, 2019
2019-2020 Projects and Allocations
PROGRAM ADMINISTRATION: $124,928
City Program Administration ($102,097)
o Fair Housing ($22,831)
California Rural Legal Assistance ($7,091)
San Joaquin Fair Housing (15,740)
CITY CAPITAL PROJECTS ($286,017)
Blakely Park Restroom ($273,000)
HEAP Tiny House project ($13,017)
CITY SERVICE PROGRAMS ($29,706)
Graffiti Abatement ($29,706)
Projects and Allocations (Cont.)
CBO CAPITAL PROJECTS ($120,000)
Salvation Army: HVAC/Refrigerator Repairs ($120,000)
CBO SERVICE PROGRAMS ($63,990)
LOEL Foundation: Meals on Wheels Program ($7,433)
Second Harvest Food Bank: Food Assistance Program ($8,923)
Salvation Army: Hope Harbor Shelter: Facility Administration
($11,902)
CA Human Development: Immigration Expansion Program
($7,967)
Community Partnership for Families: Family Resource Center
& Youth Program ($27,765)
Submittal of Annual Action Plan
Submission Date:
Latest June 14th, 2019
Contingency Plan applied to Public Service
Projects:
Allocation was lower than expected; % of public service allocation was applied proportionally to projects
Contingency Plan applied to Capital Improvement
Projects
Lower allocation; per contingency guidelines,
funds were taken from HEAP Project
HEAP Project now funded at $13,017
Recommended Action
Adopt Resolution approving the Final 2019-23
CDBG Consolidated Plan and Final 2019-20 Annual
Action Plan.
Public comments received after this meeting will
be included with the final plan
Minor edits may be made to the plan before
submittal to HUD
Questions or Comments?