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Home My WebLink About2025-11-18; City Council; Resolution 2025-252Exhibit 1 RESOLUTION NO. 2025-252 . A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE FISCAL YEAR 2026-27 COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING PLAN AND AUTHORIZING THE RELEASE OF A NOTICE OF FUNDING AVAILABILITY FOR FISCAL YEAR 2026-27 PROJECTS WHEREAS, the City of Carlsbad is anticipating a new allocation of Community Development Block Grant (CDBG) funds from the United States Department of Housing and Urban Development for FY 2026- 27; and WHEREAS, a public notice announcing this public hearing was published November 7, 2025; and WHEREAS, the City Council of the City of Carlsbad, California held a noticed public hearing to obtain comments on the FY 2026-27 Funding Plan; and WHEREAS, the City Council of the City of Carlsbad, California has taken all testimony into account in considering the FY 2026-27 Funding Plan and the funding priorities in the FY 2025-30 Consolidated Plan. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the proposed action is not a “project” as defined by California Environmental Quality Act Section 21065 and CEQA Guidelines Section 15378(b)(4) and does not require environmental review under CEQA Guidelines Section 15060(c)(3) because the creation of funding mechanisms, including the pursuit and/or acceptance of grant funding, is a government fiscal activity which on its own does not involve any commitment to any specific project which may result in a potentially significant impact on the environment. Applying for or accepting the grant does not have a legally binding effect on any possible future discretionary action. The activities or projects for which this funding is intended may require preparation of an environmental document in accordance with CEQA and the CEQA Guidelines. The proposed action will not foreclose review of alternatives or mitigation measures by the public as part of the environmental review process. 3.That the FY 2026-27 Funding Plan (Attachment A) is hereby approved by the City Council. 4.That the funding priorities in the FY 2025-30 Consolidated Plan are reaffirmed by the City Council. Nov. 18, 2025 Item #10 Page 5 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D 5.That the City Manager, or his designee, is authorized to release and distribute a Notice of Funding Availability for the FY 2026-27 CDBG program, accept applications for funding and process applications for review by the Housing Commission. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 18th day of November, 2025, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) Nov. 18, 2025 Item #10 Page 6 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D Attachment A CITY OF CARLSBAD COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING PLAN & NOTICE OF FUNDING AVAILABILITY FY 2026-27 Prepared November 2025 Housing Services Division 1200 Carlsbad Village Drive Carlsbad, CA 92008 Nov. 18, 2025 Item #10 Page 7 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D 2 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM STATEMENT OF FY 2025-30 CONSOLIDATED PLAN PRIORITES AND HUD NATIONAL OBJECTIVES Community Development Objectives The City of Carlsbad Community Development Block Grant (CDBG) funds will be allocated to organizations, agencies, City Departments, or persons to implement programs or develop/improve public facilities which meet the following Consolidated Plan priorities: 1. AFFORDABLE HOUSING Provide direct benefit to individuals and families with low to moderate incomes through the provision or retention of affordable housing units in Carlsbad. 2. HOMELESSNESS Prevent and reduce homelessness by implementing proactive strategies, increasing access to shelter and housing, and providing supportive services that address the root causes of housing and employment instability, such as mental health and behavioral health services, job training, and financial literacy. 3. FAIR HOUSING Carlsbad contracts with a qualified service provider to provide fair housing services, education, and resources to the residents of Carlsbad. 4. PLANNING AND ADMINISTRATION Fund up to 20 percent of the annual CDBG award to support administration of CDBG program to ensure compliance with regulations. 5. SUPPORTIVE SERVICES Increase supportive services for vulnerable groups, such as seniors and families with low incomes, including access to services such as healthcare, transportation, and job. training. 6. FACILITIES AND INFRASTRUCTURE Provide assistance to city projects that benefit lower income households or communities by improving and providing facilities that serve their needs. Projects must demonstrate that they will serve areas of the City of Carlsbad that meet HUD requirements or provide services to eligible residents. HUD National Objectives To be eligible for funding, every CDBG-funded activity must qualify as meeting one of the three national objectives of the program. This requires that each activity, except those carried out under the basic eligibility categories of Program Administration and Planning, meet specific tests for either: Nov. 18, 2025 Item #10 Page 8 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D 3 •Benefiting low- and moderate-income persons, •Preventing or eliminating slums or blight, or •Meeting other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community and other financial resources are not available to meet such needs. An activity that fails to meet one or more of the applicable tests for meeting a HUD national objective is in noncompliance with CDBG rules. COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FUNDING PLAN & NOTICE OF FUNDING AVAILABILITY FY 2026-27 FUNDING PLAN The City of Carlsbad is a recipient of federal Community Development Block Grant (CDBG) program funding. For FY 2026-27, the City anticipates an annual award of $534,758. The CDBG program regulates the amount of funds allocated to certain activities. Because of this, the Funding Plan provides estimates within three categories; public services, planning and administration, and facility improvements/affordable housing. Category Key Details Estimated Available Public Services (Capped at 15% of grant) • Programs directly assisting low-income households • Services carried out by non-profit agencies $ 80,214 Administration/Fair Housing (Capped at 20% of grant) • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services $ 106,952 Affordable Housing/Facility Improvements •Improve facilities and infrastructure that serve low-income persons and communities • Acquisition/rehabilitation of low-income housing $ 347,592 ESTIMATED FY 2026-27 AWARD: $ 534,758 The FY 2026-27 grant amount is currently an estimate based upon the five percent reduction from the current year amount. Should the actual allocation be more or less than anticipated, adjustments will be made proportionally over each category; public services, planning/administration, and facility improvements & affordable housing. Program Income: Staff anticipates receiving program income during the fiscal year, although the exact amount and date by which funds are received is unknown. For planning purposes, all program income received during the fiscal year will be allocated as followed: -A maximum of 15 percent allocated to public services -A maximum of 20 percent allocated to program administration and fair housing Nov. 18, 2025 Item #10 Page 9 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D 4 -Remaining available program income will be distributed to existing, approved facility improvement and affordable housing activities first, before funding a new project NOTICE OF FUNDING AVAILABILITY Beginning on November 21, 2025, the City of Carlsbad will be accepting applications for eligible programs and projects. The estimated funding availability is as follows: •Fair Housing Services $30,000 •Public Services $81,214 •Facility Improvements/$347,592 Affordable Housing Below is the estimated timeline – please note that the dates are tentative and subject to change. All public meetings and review/comment periods will be publicly noticed. •Applications Available November 21, 2025 •Applications Due January 16, 2026 •Housing Commission March 2026 •City Council Public Hearing April 28, 2026 (Anticipated) The FY 2026-27 CDBG Application will be available on City Website: https://www.carlsbadca.gov/city-hall/grants-assistance/cdbg Applications due: January 16, 2025, by 5:00 p.m. housing@carlsbadca.gov *Email Submission Highly Encouraged* Paper copies may be delivered to: City of Carlsbad - Housing & Homeless Services Attn: CDBG Program 1200 Carlsbad Village Drive Carlsbad, CA, 92008 Contact: Nicole Piano-Jones, Senior Program Manager at Nicole.pianojones@carlsbadca.gov (442) 339-2191 Nov. 18, 2025 Item #10 Page 10 of 10 Docusign Envelope ID: CD0EF8E8-ED53-4D8C-904A-B5A675F98C6D