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Home My WebLink About2026-03-12; Housing Commission; 01; Draft Fiscal Year 2026-27 Funding Recommendations for the Community Development Block Grant ProgramMeeting Date: March 12, 2026 To: Housing Commission From: Christian Gutierrez, Housing Services Manager Staff Contact: Nicole Piano-Jones, Senior Program Manager nicole.pianojones@carlsbadca.gov, 442-339-2191 Subject: Draft Fiscal Year 2026-27 Funding Recommendations for the Community Development Block Grant Program District: All Recommended Action Adopt a resolution approving the funding recommendations to incorporate into FY 2026-27 Annual Action Plan and recommending that the City Council approve the FY 2026-27 Annual Action Plan for the Community Development Block Grant program. Executive Summary The city receives Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD) each year. These grants are intended to help the city provide decent housing and a suitable living environment, and to expand economic opportunities, principally for low- and moderate-income people. A requirement of the grant funds is to adopt a five-year plan, called a Consolidated Plan, to identify the city’s housing and community development needs and priorities for CDBG funds. The city is also required to complete a one-year plan, called an Action Plan, which identifies specific projects for the upcoming year’s CDBG funding in line with the priorities identified in the Consolidated Plan. The purpose of this agenda report is the FY 2026-27 funding recommendations, which represents the second year of the FY 2025-30 Consolidated Plan. The Housing Commission reviews and makes recommendations to the City Council as related to Community Development Block Grant funding. Explanation & Analysis Consolidated Plan FY 2025-30 On April 29, 2025, the City Council adopted Resolution No. 2025-098, approving the FY 2025-30 Consolidated Plan and first-year Annual Action Plan (FY 2025-26). The current Consolidated Plan period began in FY 2025-26 and continues through FY 2029-30. The priorities identified in this Consolidated Plan guide the use of CDBG funds in each of those fiscal years. Below are the six priorities for this Consolidated Plan period: HOUSING COMMISSION March 12, 2026 Item #1 Page 1 of 156 Highest need -Priority 1: Affordable Housing – Produce, preserve, and provide services related to affordable for-sale and rental housing. -Priority 2: Homelessness – Increase interim shelter capacity and services, increase access to case management, and employment and benefits support, to help promote self-sufficiency. -Priority 3: Fair Housing – Contract with service provider to offer services to residents promoting housing opportunities for all persons regardless of their protected class status. Expand fair housing education with a focus on awareness of rights, promoting inclusivity, and reducing disparities to access. -Priority 4: Planning and Administration – The city will utilize available CDBG funding to implement the goals of the Consolidated Plan through delivery of various programs and activities. The city will comply with reporting requirements of CDBG regulations and monitor the use of CDBG to ensure eligible and effective use of resources. Medium need •Priority 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. •Priority 6: Facilities and Infrastructure - Provide and improve facilities and infrastructure that serve low-income persons and communities. FY 2026-27 Funding Recommendations For FY 2025-26, the City of Carlsbad will receive an estimated annual entitlement grant of $534,758, of which $80,214 estimated available for public service activities, $106,952 estimated available for program administration and fair housing services, and $347,592 estimated available for affordable housing and facility improvement activities. On Nov. 18, 2025, the City Council adopted Resolution No. 2025-252 which reaffirms the FY 2025-30 Consolidated Plan priorities and authorized staff to issue a notice of funding availability and accept applications for FY 2026-27 CDBG funds. The application period was available for approximately eight weeks from Nov. 21, 2025 – Jan. 16, 2026. A total of six applications were received from outside non-profit agencies for various services and projects. A summary of each application is in Exhibit 2 and full applications are provided as Exhibit 3. Funding allocation breakdown Public service activities (15% max) $80,214 Program administration and fair housing (20% max) $106,951 Affordable housing and facility improvement activities $347,593 FY 2026-27 entitlement grant $534,758 Staff have prepared recommendations for each request which are found within this Staff Report and Exhibit 1, Attachment A. The staff recommendations are based upon alignment with the stated goals in the City Council approved Five-Year Strategic Plan, Community Development Block Grant Consolidated Plan and the Carlsbad Homelessness Action Plan. Staff recommendations are also based upon capacity to adhere to strict administrative requirements of federal funding, physical location of organization and overall impact to Carlsbad residents. March 12, 2026 Item #1 Page 2 of 156 Summary of funding – public services The CDBG funding available for public services is limited and heavily regulated, with significant reporting and monitoring requirements. The city received four applications for public services activities, totaling $237,428, which exceeds the estimated available amount by $157,214. Because the CDBG funding available for public services is such a low amount ($80,214), but requires a high administrative burden, city staff recommend that CDBG funding be used to fund fewer service contracts, but in higher amounts, rather than spreading the limited resources to all applicants. City staff recommend allocating funding for two contracts for emergency rental assistance, which are essential prevention components of the city’s Homelessness Action Plan. This activity is well suited for CDBG reporting because the screening of potential clients already provides the data necessary for CDBG reporting. Considering the limited funding available for public services, city staff made their recommendations based on the following criteria: • Services that are identified in the Homelessness Action Plan • Services located in the City of Carlsbad • Organizations that have a strong capacity to adhere to strict administrative requirements of federal funding Funding fewer agencies, two or three, with meaningful amounts is a recommended practice due to the time-intensive process required to monitor each contract and activity. Of the four non-profit agencies requesting CDBG funds for public services programs, staff are recommending funding Community Resource Center and Interfaith Community Services for services that are identified in the Homelessness Action Plan Funding Plan. City staff recommend that Women’s Resource Center not be funded through the CDBG program, but through other funding alternatives identified in the Homelessness Action Plan’s Funding Plan. City staff are not recommending funding for the Los Angeles Wealth & Opportunity Institute program as the organization is not yet established in Carlsbad, does not have experience with CDBG funding, the request is for the majority of the program funds needed to operate the program and the program is not identified as a need in the Homelessness Action Plan’s Funding Plan. ORGANIZATION PROGRAM FY 2026-27 REQUEST FY 2026-27 RECOMMEND Community Resource Center Homelessness Prevention $80,214 $25,114 Interfaith Community Services Rental Assistance, Basic Needs $80,214 $55,114 Los Angeles Wealth & Opportunity Institute Workforce Training and Financial Literacy for Low- Income Residents $65,000 $0 Women’s Resource Center Shelter Operations $12,000 $0* TOTALS $237,428 $80,214 *Women’s Resource Center has been identified to receive $10,000 from the city’s general fund under the Homelessness Action Plan’s Funding Plan. March 12, 2026 Item #1 Page 3 of 156 Community Resource Center Community Resource Center (CRC) is requesting CDBG funds to support their homelessness prevention and supportive social services for Carlsbad residents. Services offered includes rental or utility arrears, late fees, landlord mediation/advocacy, onetime rental assistance, security or utility deposits, bridge housing motel vouchers, employment assistance (transportation), or assistance with other costs related to household’s ability to prevent homelessness. Community Resource Center was incorporated in 1979, with offices in Encinitas and Carlsbad. Funding request: $80,214 CDBG leveraging: Requested CDBG funds = 2% program budget Consolidated Plan Priority: Increase interim shelter capacity and services, increase access to case management and employment and benefits support to help promote self-sufficiency. Anticipated outcome: 5 low-income households with case management, rental assistance and other supportive services Staff recommendation: Fund – partial request with CDBG at $25,100. This service is an identified program in the Homelessness Action Plan. Staff recommend partial CDBG funding for this project. This program was approved for CDBG funds as part of the Homelessness Funding Plan, approved by the City Council in December 2025. The Homelessness Funding Plan also approved General Funds, Permanent Local Housing Allocation funds and HUD funds to the Community Resource Center for a rapid rehousing program. Interfaith Community Services Interfaith Community Services is requesting CDBG funds to provide supportive services that will include housing stabilization and navigation, basic needs assistance and employment development. Interfaith was incorporated in 1979, with offices located throughout North County, including Carlsbad. Funding request: $80,214 CDBG leveraging: Requested CDBG funds = 17% program budget Consolidated Plan Priority: Increase interim shelter capacity and services, increase access to case management and employment and benefits support to help promote self-sufficiency. Anticipated outcome: 10 low-income households with rental assistance, 500 low- income individuals with basic needs Staff recommendation: Fund – partial request with CDBG at $55,114. This service is an identified program in the Homelessness Action Plan. Staff recommend partial CDBG funding for this project. This program was approved for CDBG Funds as part of the Homelessness Funding Plan, approved by the City Council in December 2025. The Homelessness Funding Plan also approved General Funds and Housing Trust funds to Interfaith Community Services in the current year for their March 12, 2026 Item #1 Page 4 of 156 Carlsbad Service Center, which provides housing assistance programs. Women’s Resource Center Women’s Resource Center (WRC) is requesting funds to support their Alternatives to Abuse Shelter operations. The shelter serves families experiencing homelessness due to domestic violence. WRC was incorporated in 1974, and offices are located in Oceanside. The domestic violence shelter is confidentially located in North County. Funding request: $12,000 CDBG leveraging: Requested CDBG funds = 1% program budget Consolidated Plan Priority: Homelessness – Increase interim shelter capacity and services, increase access to case management, and employment and benefits support, to help promote self- sufficiency. Anticipated outcome: Emergency shelter for 25 residents Staff recommendation: Do not fund with CDBG. This service is an identified program in the Homelessness Action Plan. Staff recommend funding through the General Fund as opposed to CDBG as part of the Homelessness Funding Plan, approved by the City Council in December 2025. Los Angeles Wealth & Opportunity Institute The Los Angeles Wealth & Opportunity Institute has requested CDBG funds to implement a new program called the Carlsbad Empowerment Initiative” through partnerships with local service providers. Los Angeles Wealth & Opportunity Institute is a nonprofit, founded in 2025, dedicated to empowering underserved Black, Brown, reentry, youth, and marginalized communities through workforce readiness, financial literacy, youth development, reentry support, and mental health programming. Funding request: $65,000 CDBG leveraging: Requested CDBG funds = 81% program budget Consolidated Plan Priority: 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. Anticipated outcome: 125 residents Staff recommendation: Do not fund. This organization is not yet established in Carlsbad and does not have experience with CDBG funding. Summary of funding – program administration and fair housing The city received one application from outside non-profit agency for provision of fair housing services.1 An estimated $106,951 is available in this category. 1 The federal Fair Housing Act ensures that people are protected from discrimination on the basis of protected classes (such as race, gender and national origin) when renting or purchasing a home, when applying for a March 12, 2026 Item #1 Page 5 of 156 ORGANIZATION PROGRAM FY 2026-27 REQUEST FY 2026-27 RECOMMEND Legal Aid Society of San Diego Fair Housing Services $30,000 $30,000 City of Carlsbad Program Administration $76,951 $76,951 TOTALS $106,951 $106,951 Legal Aid Society San Diego Legal Aid Society of San Diego (LASSD) is requesting CDBG funds to support their fair housing program. The proposed fair housing program provides comprehensive legal services regarding fair housing, education outreach, counseling, fair housing testing, and representation and enforcement of the Fair Housing Act and related State laws. LASSD was incorporated in 1953 and has offices in San Diego and San Marcos. Funding request: $30,000 CDBG leveraging: Requested CDBG funds = 3% program budget Consolidated Plan Priority: Offer services to residents promoting housing opportunities for all people and expand fair housing education. Anticipated outcome: 146 households Staff recommendation: Fund – full request. This organization is currently providing Fair Housing Services for Carlsbad residents and has performed well. Summary of affordable housing and facility improvements One application was received from an outside agency. An estimated $347,593 is available within this category. ORGANIZATION PROJECT FY 2026-27 REQUEST FY 2026-27 RECOMMEND Casa de Amparo Facility Improvements $13,950 $0 City of Carlsbad Affordable Housing Fund $347,593 $347,593 TOTALS $361,543 $347,593 Casa de Amparo Casa de Amparo is requesting CDBG funds to complete a door replacement project to their facility located in Oceanside, CA. Casa de Amparo Oceanside campus provides services for transitional aged youth ages 18-25, impacted by homelessness, mental health diagnoses, substance abuse, human trafficking and the foster care and justice systems. Services include case management, housing services management and independent skills training. Casa de Amparo was founded in 1978 and also has a campus in San Marcos, CA which serves all the San Diego County, including Carlsbad. Funding request: $13,950 mortgage, seeking housing assistance or engaging in other housing-related activities. Fair housing services include educating residents and housing providers about their rights and obligations under the Fair Housing Act. Fair housing service providers receive fair housing complaints from residents and housing providers and mediate and/or refer cases depending upon the case. Services also include random testing within the rental market to determine if testers experience disparate treatment based upon a protected class. March 12, 2026 Item #1 Page 6 of 156 CDBG leveraging: Requested CDBG funds = 100% project budget Consolidated Plan Priority: Provide and improve facilities and infrastructure that serve low-income persons and communities. Anticipated outcome: Unknown amount from Carlsbad Staff recommendation: Do not fund. There are significant procurement and labor standards requirements when CDBG funding is used for capital improvements. City staff do not recommend CDBG funding for a project scope of this size. Additionally, services are also not provided in Carlsbad and there is an unknown benefit for Carlsbad youth. City of Carlsbad Affordable Housing Fund The City of Carlsbad Housing and Homeless Services Department is requesting funds to support the Affordable Housing Fund. The fund will be utilized for the Resale Program, acquisition and rehabilitation efforts for affordable rental properties. Funding request: $347,593 CDBG leveraging: This program is funded by CDBG and the city’s Housing Trust Fund Consolidated Plan Priority: Produce, preserve and provide services related to affordable for-sale and rental housing. Anticipated Outcome: Approximately one at-risk affordable resale unit purchased for resale to eligible low-income homebuyer Staff recommendation: Fund $347,593 towards the city’s Affordable Housing Fund. PROGRAM INCOME & BACK-UP PROJECTS Some CDBG-funded activities generate program income. Program income must be allocated in the same manner as entitlement funds and comply with all CDBG regulations. The average amount of program income received from FY 2020 – FY 2024 was $639,615. CDBG regulations allow up to 15% of program income received during the fiscal year to be allocated to public services and up to 20% allocated to program administration. Using the average as an example, up to $95,942 in program income could be allocated to public services and $127,923 allocated to program administration. Remaining program income would be allocated to affordable housing activities, including the city’s Affordable Housing Resale Program and acquisitions, and rehabilitation of affordable rental housing. Staff recommend using the program income received during FY 2026-27 as follows: • Up to 15% for public services activities found in the funding summary (Exhibit 2) • Up to 20% for administration and fair housing activities • The remaining program income received during FY 2026-27 to the Affordable Housing Fund Once enough program income is received, it will be allocated according to the priority list shown in Exhibit 2. Based on the projected amount of program income, staff anticipate enough program income will be received to fund the first one to two priority projects. March 12, 2026 Item #1 Page 7 of 156 Back-up projects are projects having been identified as CDBG eligible, meeting at least one Consolidated Plan Priority and intended to be ready-to-fund and complete in a short period of time. Back-up projects are only to be considered if additional funding becomes available or if approved projects or programs are not proceeding in a timely fashion. Staff recommend funding as back-up projects city-wide projects that would bring city facilities and infrastructure into compliance with the Americans with Disabilities Act. The final FY 2026-27 award is not known as of writing of this report, should the grant amount be more or less than anticipated, staff will make the following adjustments: - Proration over all the approved public service activities at 15% of grant funding to comply with the CDBG program funding limits. - Proration over all the approved program administration activities at 20% of grant funding to comply with the CDBG program funding limits. - Adjust the remaining available entitlement funding for the Affordable Housing Fund. Lastly, at the March 14, 2024, Housing Commission meeting, the Housing Commission requested that staff provide accomplishment data from the prior year of CDBG funded activities. A summary of the most recently completed year (FY 2024-25) is provided in Exhibit 4. Fiscal Analysis The Community Development Block Grant program is a fully funded federal program and is separate from the city’s General Fund. The program operates on a reimbursement basis, in which grant funds are expended for approved activities and then reimbursed from the U.S. Department of Housing and Urban Development. Next Steps Housing & Homeless Services staff will include the Housing Commission’s comments on the draft FY 2026-27 funding recommendations, which will be available for public review and comment for a 30-day period. The City Council will then be asked to consider the final FY 2026- 27 Annual Action Plan at a public hearing on April 28, 2026, before submittal to HUD by the statutorily required deadline. Environmental Evaluation The proposed action is not a “project” as defined by CEQA Section 21065 and CEQA Guidelines 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 CEQA Guidelines. The proposed action will not foreclose review of alternatives or mitigation measures by the public as part of the environmental review process. Exhibits 1. Housing Commission Resolution 2. FY 2026-27 Funding Summary 3. Community Development Block Grant FY 2026-27 Applications 4. FY 2024-25 Performance Data March 12, 2026 Item #1 Page 8 of 156 RESOLUTION NO. A RESOLUTION OF THE HOUSING COMMISSION OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE FISCAL YEAR 2026-27 FUNDING RECOMMENDATIONS TO INCORPORATE INTO FY 2026-27 ANNUAL ACTION PLAN AND RECOMMENDING THAT CITY COUNCIL APPROVE THE FY 2026-27 ANNUAL ACTION PLAN FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM WHEREAS, the primary objective of the federal Community Development Block Grant (CDBG) program is to develop viable urban communities through the provision of improved living environments, expansion of economic opportunity and decent housing; and WHEREAS, the city receives CDBG funds directly from the Department of Housing and Urban Development (HUD) to be used principally to assist lower-income individuals, households and communities; and, WHEREAS, to be eligible for continued receipt of CDBG funding, the city must complete a five- year Consolidated Plan and Annual Action Plan; and, WHEREAS, the city held community meetings and conducted surveys to obtain feedback from residents and stakeholders; and, WHEREAS, on Nov. 18, 2025, the City Council approved Resolution No. 2025-252 which reaffirmed the FY 2025-30 Consolidated Plan priorities and authorized staff to issue a notice of funding availability and accept applications for FY 2026-27 CDBG funds; and, WHEREAS, the availability of funding applications was publicly noticed and applications accepted for a period of approximately eight weeks; and, WHEREAS, four applications were received for public services exceeding the estimated available funds by $157,214, one application received for fair housing services, and one application received for a facility improvement project; and, WHEREAS, the Housing Commission held a noticed public meeting to obtain public input and review the FY 2026-27 funding recommendations for incorporation into the draft FY 2026-27 Annual Action Plan for the CDBG program; and, NOW, THEREFORE, BE IT RESOLVED by the Housing Commission of the City of Carlsbad, California, as follows: Exhibit 1 March 12, 2026 Item #1 Page 9 of 156 1. That the above recitations are true and correct. 2. That the Housing Commission approves the draft FY 2026-27 Annual Action Plan for the Community Development Block Grant program (Attachment A) and recommends that the City Council approve. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the Housing Commission of the City of Carlsbad on the ____ day of _________________, 2026, by the following vote, to wit: AYES: NAYS: ABSTAIN: ABSENT: ______________________________________ CHRISTOPHER S. HORTON, Chair ______________________________________ MANDY MILLS, Director March 12, 2026 Item #1 Page 10 of 156 City of Carlsbad DRAFT FY 2026-27 Annual Action Plan Housing and Homeless Services Department 1200 Carlsbad Village Drive Carlsbad, CA 92008 housing@carlsbadca.gov Attachment A March 12, 2026 Item #1 Page 11 of 156 Table of Contents Annual Goals and Objectives ................................................................................................. 5 AP-35 Projects - 91.420, 91.220(d) ...................................................................................... 7 AP-38 Project Summary...................................................................................................... 9 AP-50 Geographic Distribution - 91.420, 91.220(f) ............................................................ 13 AP-85 Other Actions - 91.420, 91.220(k) ........................................................................... 15 Program Specific Requirements ........................................................................................... 18 Attachments Attachment 1 – Funding summary Attachment 2 – Public Participation materials March 12, 2026 Item #1 Page 12 of 156 First Program Year (2026-27) Annual Plan Expected Resources AP-15 Expected Resources - 91.420(b), 91.220(c)(1,2) Introduction Program CDBG Source of Funds Public – Federal Uses of Funds Public Services, Infrastructure & Facilities, Fair Housing, Administrative Year 1: Annual Allocation $ $534,758 Year 1: Program Income $ $0 Year 1: Prior Year Resources $ $0 Year 1: Total $ $534,758 Expected Amount Available Remainder of Consolidated Plan $ $1,604,274 Narrative Description Anticipated annual funding of $534,758 in CDBG for FY 2026-27. March 12, 2026 Item #1 Page 13 of 156 Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how matching requirements will be satisfied. While the CDBG program does not require matching funds, CDBG funds offer excellent opportunities to leverage private, local, state, and other federal funds to allow for the provision of housing and community development activities. For example, many HCD programs have scoring criteria that reward applicants who have matching funds. Both the City as well as public service agencies and affordable housing developers can leverage CDBG funds for the award of additional State funding for programs and development. If appropriate, describe publicly owned land or property located within the state that may be used to address the needs identified in the plan As the housing crisis has worsened in California, utilizing publicly owned land for affordable housing development has become an increasingly popular policy solution. In recent years, the State of California has taken several actions to make state and local lands available for affordable housing development, including the following: • An executive order to make excess state land available for affordable housing (Executive Order N-06-19) • Connecting affordable housing developers to local surplus land and strengthening enforcement of the Surplus Lands Act (AB 1486, Ting, 2019) • Requiring cities and counties to inventory and report surplus and excess local public lands to include in a statewide inventory (AB 1255, Robert Rivas, 2019) For its part, the City regularly reviews its real estate portfolio and assesses if properties are being put to best use. The City’s recently adopted General Plan Housing Element includes a program to evaluate and re-designate city-owned sites appropriate for residential use to address the housing needs of residents with low to moderate incomes over the next eight years. March 12, 2026 Item #1 Page 14 of 156 Annual Goals and Objectives AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e) Goals Summary Information Table AP-20.01: Goals Summary Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator High Priority Increase and preserve affordable housing 2026 2027 Affordable Housing Citywide Increase affordable housing $347,593 One affordable unit preserved High Priority Prevent and reduce homelessness 2026 2027 Homeless Services Citywide Prevent and reduce homelessness $80,214 15 households with emergency rental assistance/500 households with basic needs High Priority Enhance Fair Housing services and education 2026 2027 Non-Housing Community Development Citywide Fair housing $30,000 146 households assisted High Priority Plan and administer the CDBG program 2026 2027 Non-Housing Community Development Citywide Administration $76,951 Other March 12, 2026 Item #1 Page 15 of 156 Goal Descriptions Goal Name Goal Description Increase and preserve affordable housing Provide direct benefit to individuals and families with low to moderate incomes through the provisions or retention of affordable housing units in Carlsbad. Goal Name Goal Description Prevent and reduce 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. Goal Name Goal Description Enhance Fair Housing knowledge and resources Carlsbad contracts with a qualified service provider to provide fair housing education and resources to the residents of Carlsbad. Goal Name Goal Description Plan and Administer the CBDG Program Fund up to 20 percent of the annual CDBG award to support administration of CDBG program to ensure compliance with regulations. March 12, 2026 Item #1 Page 16 of 156 AP-35 Projects - 91.420, 91.220(d) Introduction Table AP-35.01: Project Information Project Name FY 2026-27 CDBG Funding 1 Community Resource Center See attachment 1 for funding priority 2 Interfaith Community Services See attachment 1 for funding priority 3 Legal Aid Society San Diego See attachment 1 for funding priority 4 Program Administration See attachment 1 for funding priority 5 Affordable Housing Fund See attachment 1 for funding priority 6 Women’s Resource Center See attachment 1 for funding priority 7 Back-up Projects – ADA Compliance See attachment 1 for funding priority Describe the reasons for allocation priorities and any obstacles to addressing underserved needs. The City of Carlsbad is limited in its ability to meet all of the housing needs of lower income households. However, a sincere effort will be made to combine various city resources to meet as many of the top needs as financially feasible within the Action Plan time period, as well as the overall needs identified in the FY 2025-30 Consolidated Plan. The CDBG funding available for public services is limited and heavily regulated, with significant reporting and monitoring requirements. The city received four applications for public services activities, totaling $237,428, which exceeds the estimated available amount by $157,214. The CBDG program limits 15 percent of annual funding to public services, therefore, the City is not able to fully fund the entire request with CDBG funds. One application for Fair Housing services was received, totaling $30,000, and one application was received from an outside agency for facility improvements. For FY 2026-27, the City of Carlsbad anticipates receiving $534,758 in CDBG funds. Should the FY 2026-27 CDBG award be more or less than expected, the following adjustments will be made: - A proration over all the approved public service activities at fifteen (15) percent of grant funding, to comply with the CDBG program funding limits. - Adjust to reflect twenty (20) percent of entitlement funding to approved program administration activities. - Adjust to reflect the available entitlement funding for the Affordable Housing Fund. March 12, 2026 Item #1 Page 17 of 156 PROGRAM INCOME & BACK-UP PROJECTS Fund up to 15% of program income received during FY 2026-27 to recommended activities found in Attachment 1, fund up to 20% of program income during FY 2026-27 to approved CDBG funded administration and fair housing activities, and the remaining program income received during FY 2026-27 to approved CDBG funded affordable housing activities. Back-up projects are projects having been identified as CDBG eligible, meeting at least one Consolidated Plan Priority, and intended to be ready-to-fund and complete in a short period of time. Back-up projects are only to be considered only if additional funding becomes available or if approved projects or programs are not proceeding in a timely fashion. For FY 2026-27, consider projects that would bring city facilities and infrastructure into compliance with the Americans with Disabilities Act as back-up projects. March 12, 2026 Item #1 Page 18 of 156 AP-38 Project Summary Project Summary Information 1 Project Name Community Resource Center Target Area Citywide benefit Goals Supported Prevent and reduce homelessness Needs Addressed Prevent and reduce homelessness Funding CDBG: See Attachment 1 for funding priority Description CRC’s programs include a domestic violence emergency shelter, hotline and prevention/education outreach, a Therapeutic Children’s Center, professional counseling, legal advocacy, food and nutrition distribution center, homelessness prevention and rental and housing assistance. CRC’s programs are designed to assist participants to successfully navigate their paths of safety, stability & self- sufficiency. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities 5 households Location Description 1065 Carlsbad Village Drive Planned Activities Homeless prevention through emergency rental assistance and wrap around services 2 Project Name Interfaith Community Services Target Area Citywide benefit Goals Supported Prevent and reduce homelessness. Needs Addressed Prevent and Reduce Homelessness Funding CDBG: See Attachment 1 for funding priority Description Low-income Carlsbad residents will benefit from the supportive programs including emergency rental assistance, basic needs and employment assistance services. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities 10 families for rental assistance, 500 individuals with basic needs and employment assistance Location Description Carlsbad Service Center, 5731 Palmer Way Suite A, Carlsbad, CA 92010 Planned Activities Rental assistance to prevent or immediately reverse homelessness, basic needs such as emergency food and hygiene kits and employment assistance. 3 Project Name Legal Aid Society of San Diego Target Area Citywide benefit Goals Supported Provide Fair Housing Needs Addressed Fair Housing March 12, 2026 Item #1 Page 19 of 156 Funding CDBG: See Attachment 1 for funding priority Description LASSD will provide fair housing services to all Carlsbad residents. LASSD promotes housing opportunities for all persons regardless of race, religion, sex, family size, familial status, ancestry, national origin, color, or disability. LASSD will provide direct assistance to those in need, in particular during the pandemic when residents are in need of advice and guidance on eviction moratoriums and recent changes to the law. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities 146 persons Location Description 100 E San Marcos Blvd, Ste 308, San Marcos, CA 92069 Planned Activities Funds will be used to provide fair housing services for residents including advocacy, education, and mediation 4 Project Name Program Administration Target Area Citywide benefit Goals Supported Increase & preserve affordable housing - Prevent & reduce homelessness. Supportive Services for LMI & Special Needs - Improve Facilities - Provide Fair Housing Needs Addressed Planning and Administration Funding CDBG: See Attachment 1 for funding priority Description The Housing Services Division administers the city's CDBG funded programs. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities Citywide Location Description Citywide Planned Activities Admin, planning, record keeping, monitoring, financial tracking 5 Project Name City of Carlsbad, Carlsbad Housing Fund Target Area Citywide benefit Goals Supported Increase and preserve affordable housing Needs Addressed Affordable Housing Funding CDBG: See Attachment 1 for funding priority March 12, 2026 Item #1 Page 20 of 156 Description The City of Carlsbad established a Housing Fund for the purpose of developing affordable housing for lower -income households and/or purchasing affordable and market-rate housing units to be resold to low-income households. Activities include purchasing existing affordable units as they become available, acquisition of vacant land or underutilized land for new development, other property acquisition for affordable housing purposes, including housing for the homeless, support existing rental units with rehabilitation efforts, and/or partnerships with an affordable housing developer for property acquisition for low-income affordable housing development. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities Households to be determined based on the housing activity described above. Location Description Carlsbad, Citywide Planned Activities Utilize funds to acquire existing affordable units or market rate condominiums to be resold to low-income households, acquire vacant or underutilized land for new development, support existing rental units with rehabilitation efforts, and/or partnerships with affordable housing developers for property acquisition for low-income affordable housing development. 6 Project Name Women’s Resource Center Target Area Citywide benefit Goals Supported Prevent and reduce homelessness. Needs Addressed Prevent and reduce homelessness. Funding CDBG: See Attachment 1 for funding priority Description CDBG funds to support their Alternatives to Abuse Shelter operations. The shelter serves families experiencing homelessness due to domestic violence. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities 25 individuals Location Description Offices are located at 1968 Apple St., Oceanside, CA 92054. The domestic violence shelter is confidentially located in North County. Planned Activities CDBG funding would assist with shelter operations, including food, staffing, and direct program assistance to shelter residents such as transportation. 7 Project Name Back-up Project – ADA Compliance Target Area Citywide benefit Goals Supported Improve Facilities Needs Addressed Public improvements March 12, 2026 Item #1 Page 21 of 156 Funding CDBG: Back-up project only. To be funded in the event that funds become available through excess program income or other projects experience delay and/or cancel Description Projects located city-wide that are shovel ready and bring the facility into compliance with Americans with Disabilities Act. Target Date 6/30/2027 Estimate the number and type of families that will benefit from the proposed activities Based upon project(s) - to be determined Location Description Citywide Planned Activities Funds will be used to pay for curb-cuts, removal or barriers, and other items to bring public facilities and infrastructure into compliance with the Americans for Disability Act March 12, 2026 Item #1 Page 22 of 156 AP-50 Geographic Distribution - 91.420, 91.220(f) Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed. Not applicable. As a relatively small jurisdiction, the City will not be allocating funding on a geographic basis. Funding will be provided to activities and programs based on quality and quantity of applications, as well as their alignment with the priorities and goals outlined in the Consolidated Plan. However, some activities must occur within CDBG-eligible block groups. The following map shows the LMI block groups in Carlsbad that are eligible for place-based CDBG activities (bounded in blue and highlighted in yellow). Rationale for the priorities for allocating investments geographically Not applicable. See above. Discussion Not applicable. See above. March 12, 2026 Item #1 Page 23 of 156 AP-75 Barriers to affordable housing -91.420, 91.220(j) Introduction As discussed within the Consolidated Plan and within this Annual Action Plan, the need for affordable housing for Carlsbad residents is great. Due to several factors, including the City’s desirable location, limited land supply, high cost of land, and limited financial resources, the development of affordable housing continues to be a challenge. According to the Greater San Diego Association of Realtors, in July 2024, the median sales price of a single-family home in the County of San Diego was nearly $1.1 million, compared to the median sales price of a single- family home in the Carlsbad, which was $1.8 million. Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and policies affecting the return on residential investment The City of Carlsbad has identified multiple strategies to address barriers to affordable housing, as outlined in its Housing Element and related planning documents. Specific actions include streamlining the permitting process to comply with state legislation such as Senate Bill 35, which facilitates ministerial review for qualifying multi-family affordable housing projects. To address zoning and land-use constraints, Carlsbad has proposed rezoning certain properties to higher-density residential designations, like the R-35 and R-40 zones, allowing densities of 32.5 to 40 units per acre. These adjustments aim to meet the city's Regional Housing Needs Allocation (RHNA) requirements while addressing growth and affordability issues. Carlsbad also plans to increase affordable housing opportunities by incentivizing accessory dwelling units (ADUs) through state-mandated provisions, such as removing parking and lot-size requirements and permitting multiple ADUs on single-family lots. Additionally, the city has proposed using surplus land, like its Public Works yard, for affordable housing development. Programs like the Housing Impact Fee aim to ensure developers contribute to affordable housing stock. Furthermore, Carlsbad is committed to fair housing practices under Assembly Bill 686, with plans to increase housing in high-opportunity areas while reducing segregation. By implementing these policies, Carlsbad seeks to address barriers created by restrictive zoning, high development fees, and limited land availability, ensuring that affordable housing can be developed to meet the needs of its growing population. March 12, 2026 Item #1 Page 24 of 156 AP-85 Other Actions - 91.420, 91.220(k) Introduction Priority Needs established in the FY 2025-2030 Five-Year Consolidated Plan, which form the basis for establishing objectives and outcomes in the FY 2025-2026 Action Plan, are as follows: • Priority 1: Affordable Housing – Produce, preserve, and provide services related to affordable housing for-sale and rental housing. • Priority 2: Homelessness – Increase interim shelter capacity and services, increase access to case management and employment and benefits support, to help promote self-sufficiency • Priority 3: Fair Housing – Expand fair housing education, with a focus on awareness of rights, promoting inclusivity, and reducing disparities to access. • Priority 4: Planning and Administration – The city will utilize available CDBG funding to implement the goals of the Consolidated Plan through delivery of various programs and activities. The city will comply with reporting requirements of CDBG regulations and monitor the use of CDBG to ensure eligible and effective use of resources. • Priority 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. • Priority 6: Facilities and Infrastructure - Support projects that benefit lower income households by improving and providing facilities and infrastructure that serve their needs. Such projects must be able to demonstrate that they will serve eligible census areas of the City of Carlsbad or serve lower-income households. Actions planned to address obstacles to meeting underserved needs Limited financial resources are the biggest obstacle to meeting underserved needs in Carlsbad. The City's policy is to leverage, to the maximum extent feasible, the use of funds available in providing public services and affordable housing. The City supports the use of CDBG and Housing Trust funds for development activities and "gap financing" by private and non -profit entities to develop affordable housing. Actions planned to foster and maintain affordable housing To foster and maintain affordable housing for lower income households, the City will use CDBG funds to assist with the acquisition and rehabilitation of affordable multi-family housing. The City also fosters development of affordable housing through implementation of its Inclusionary March 12, 2026 Item #1 Page 25 of 156 Housing Ordinance, which requires that 15 percent of all housing units constructed in the city be affordable to households earning lower to moderate-incomes. For projects proposing seven units or less, an in-lieu fee is collected and deposited into the city' s Housing Trust Fund to be used to foster and maintain affordable housing. Actions planned to reduce lead-based paint hazards The Residential Lead Based Paint Hazard Reduction Act of 1992 (Title X) emphasizes prevention of childhood lead poisoning through housing-based approaches. This strategy requires jurisdictions to focus on implementing practical changes in older housing to protect children from lead hazards. The City has identified two primary strategies to reduce LBP hazards in Carlsbad to be carried out during the FY 2025-2030 Consolidated Plan period. Strategy 1: Integrate lead hazard evaluation and reduction activities into all housing programs. Currently, many federal programs have requirements for evaluating and reducing lead hazards. For those State and local housing and community development programs, the City will pursue the following activities to evaluate and reduce lead hazards: • Require inspection for and abatement of LBP hazards as a requirement of all residential rehabilitation programs when children under the age of seven reside in the dwelling unit and have been identified with elevated blood levels. • Include LBP hazard abatement as an eligible activity for funding under the City's CDBG program and include minimum LBP abatement requirements to housing quality standards which must be met; and • Provide all eligible applicants of housing programs, with information regarding LBP. Strategy 2: Support the development of comprehensive health programs for the screening of children for lead poisoning and a follow-up on those identified as lead poisoned. In accordance with Center for Disease Control (CDC) guidelines, all children found to have elevated blood levels (above 20 micrograms per deciliter) should both be provided with public health management services and be tested every three months. The County’s Health and Human Services Agency (HHSA) currently provides this service. The City encourages the abatement of LBP hazards once a child under the age of seven is identified as having elevated blood levels. CDBG funds may be used to help the City or other organizations in developing a comprehensive approach to lead-poisoning prevention. Actions planned to reduce the number of poverty-level families The City currently has various programs and policies in place to help reduce the number of households with incomes below the poverty line. These policies and programs aim to improve coordination and collaboration among City departments; and nonprofit agencies which provide March 12, 2026 Item #1 Page 26 of 156 health and social services, employment training, legal assistance, and other support services for individuals and families with low incomes. The City will pursue the following programs during FY 2025-26 to reduce poverty in Carlsbad: 1. Inclusionary Housing Ordinance 2. Affordable Housing Trust Fund 3. Section 8 Housing Choice Voucher Program 4. Economic Development Strategic Plan 5. Homelessness Action Plan Actions planned to develop institutional structure There are many organizations within the San Diego County that provide housing or supportive services to Carlsbad residents. These agencies tend to be smaller organizations with many using volunteers. The City will continue to encourage greater efforts to make use of available housing, social service and mental and other healthcare resources. The City can also help strengthen the housing and service delivery system by helping to educate such organizations and agencies regarding the resources that are available. Actions planned to enhance coordination between public and private housing and social service agencies The City proposes to strengthen, coordinate and integrate the governmental institution, non- profit and private delivery systems discussed in the FY 2025-30 Consolidated Plan and FY 2025- 26 Action Plan through on-going "strategy and development" meetings between City staff, private developers, nonprofit organizations and various financial institutions. Through these meetings, the City will continue to identify the constraints to affordable housing and develop/implement programs to mitigate them. The key to successful development of affordable housing for households with lower incomes is communication, flexibility, and adequate funding. The City will communicate openly with private developers and service providers as well as make every effort to maintain the flexibility in policies and/or ordinances necessary to create public/private housing development partnerships. March 12, 2026 Item #1 Page 27 of 156 Program Specific Requirements AP-90 Program Specific Requirements - 91.420, 91.220(l)(1,2,4) Introduction Community Development Block Grant Program (CDBG) Reference 24 CFR 91.220(l)(1) Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out. 1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed $0 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan $0 3. The amount of surplus funds from urban renewal settlements $0 4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan. $0 5. The amount of income from float-funded activities $0 Total Program Income $0 Other CDBG Requirements 1. The amount of urgent need activities The City of Carlsbad does not have any urgent needs. March 12, 2026 Item #1 Page 28 of 156 ATTACHMENT 1 - CDBG FY 2026-27 FUNDING SUMMARY Priority Projects – Program Income. A maximum of 15% of all program income received during FY 2026-27 will be allocated to public services activities in the following order and amount: 1. Community Resource Center up to $55,114 2. Interfaith Community Services up to $25,100 3. Women’s Resource Center up to $12,000 PUBLIC SERVICES Organization Activity Anticipated Outcome Requested Staff Recommendation Community Resource Center Homelessness Prevention 5 households $80,214 $25,100 CDBG + Program Income Priority Interfaith Community Services Rental Assistance, Basic Needs 10 households w/rental assistance, 500 households w/basic needs $80,214 $55,114 CDBG + Program Income Priority Women’s Resource Center Shelter Operations 77 residents $12,000 Program Income Priority Los Angeles Wealth & Opportunity Institute Workforce Training and Financial Literacy for Low- Income Residents 125 residents $65,000 $0 Subtotal: $237,428 $80,214 ADMINISTRATION & FAIR HOUSING Organization Activity Anticipated Outcome Requested Staff Recommendation City of Carlsbad Program Administration Overall administration $76,952 $76,952 Legal Aid Society of San Diego Fair Housing Services 146 households $30,000 $30,000 Subtotal: $106,952 $106,952 AFFORDABLE HOUSING & FACILITIES/INFRASTUCTURE Organization Activity Anticipated Outcome Requested Staff Recommendation City of Carlsbad Affordable Housing Fund At-risk affordable housing, and acquisition and/or rehabilitation $347,593 $347,593 Casa de Amparo Facility Improvements Unknown Carlsbad benefit $13,950 $0 Subtotal: $361,543 $347,593 TOTAL: $705,923 $534,758 March 12, 2026 Item #1 Page 29 of 156 CDBG FY 2026-27 FUNDING SUMMARY Priority Projects – Program Income. A maximum of 15% of all program income received during FY 2026-27 will be allocated to public services activities in the following order and amount: 1.Community Resource Center up to $55,114 2.Interfaith Community Services up to $25,100 3.Women’s Resource Center up to $12,000 PUBLIC SERVICES Organization Activity Anticipated Outcome Requested Staff Recommendation Community Resource Center Homelessness Prevention 5 households $80,214 $25,100 CDBG + Program Income Priority Interfaith Community Services Rental Assistance, Basic Needs 10 households w/rental assistance, 500 households w/basic needs $80,214 $55,114 CDBG + Program Income Priority Women’s Resource Center Shelter Operations 77 residents $12,000 Program Income Priority Los Angeles Wealth & Opportunity Institute Workforce Training and Financial Literacy for Low-Income Residents 125 residents $65,000 $0 Subtotal: $237,428 $80,214 ADMINISTRATION & FAIR HOUSING Organization Activity Anticipated Outcome Requested Staff Recommendation City of Carlsbad Program Administration Overall administration $76,952 $76,952 Legal Aid Society of San Diego Fair Housing Services 146 households $30,000 $30,000 Subtotal: $106,952 $106,952 AFFORDABLE HOUSING & FACILITIES/INFRASTUCTURE Organization Activity Anticipated Outcome Requested Staff Recommendation City of Carlsbad Affordable Housing Fund At-risk affordable housing resale purchase, and acquisition and/or rehabilitation $347,593 $347,593 Casa de Amparo Facility Improvements Unknown Carlsbad benefit $13,950 $0 Subtotal: $361,543 $347,593 TOTAL: $705,923 $534,758 March 12, 2026 Item #1 Page 30 of 156 Exhibit 2 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM NOTICE OF FUNDING AVAILABILITY The City of Carlsbad is pleased to announce the availability of applications for the fiscal year 2026-27 Community Development Block Grant (CDBG) program. The CDBG program is federally funded by the Department of Housing and Urban Development and is administered by the city to provide assistance to lower-income residents and communities. For FY 2026-27, the total CDBG award to Carlsbad for local disbursement is estimated at $534,758 – available in the following categories: Category Key Details Estimated Available Public Services • Programs assisting low-income households • Services carried out by non-profit agencies • Funding capped at 15% of grant $80,214 Administration/ Fair Housing • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services • Funding capped at 20% of grant $106,952 Affordable Housing/ Facility Improvements • Facility improvements for non-profits • Acquisition/rehabilitation of affordable housing $347,592 Applications Due: Jan. 16, 2026, by 5 p.m. Contact: Details: housing@carlsbadca.gov *Email Submission Highly Encouraged* Nicole Piano-Jones Senior Program Manager 442-339-2191 nicole.pianojones@carlsbadca.gov Paper copies may be delivered to: City of Carlsbad Housing & Homeless Services 1200 Carlsbad Village Drive Carlsbad, CA, 92008 ESTIMATED TIMELINE *Dates are tentative and subject to change. All public meetings and review and comment periods will be separately publicly noticed* Notice of Funding Availability November 21, 2025 Applications Due January 16, 2026 Housing Commission March 2026 30-day public review/comment April 2026 City Council Public Hearing April 2026 Exhibit 3 March 12, 2026 Item #1 Page 31 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 2026-27 FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 16, 2026, by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: March 12, 2026 Item #1 Page 32 of 156 APPLICANT INFORMATION Organization Name: Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title: Contact email: Organization Type: Nonprofit  For-profit  Local public agency  State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. March 12, 2026 Item #1 Page 33 of 156 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income March 12, 2026 Item #1 Page 34 of 156 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscal years for the proposed program/project? CDBG Community Activity Funding General Funds Other (specify): Yes Yes Yes Yes No No No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. March 12, 2026 Item #1 Page 35 of 156 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/Salaries $ $ $ Personnel Benefits $ $ $ Materials and Supplies $ $ $ Rent and Utilities $ $ $ Direct Program Expenses $ $ $ Mileage $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/Salaries $ Personnel Benefits $ Materials and Supplies $ Rent and Utilities $ Direct Program Expenses $ Mileage $ Other: ____________________ $ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. March 12, 2026 Item #1 Page 36 of 156 CERTIFICATION I, the undersigned, do hereby attest that the above information is true and correct to the best of my knowledge. _____ ______________ Signature Title Date _____ ______________ Signature Title Date NOTE: Applications must include a resolution from your organization’s Board of Directors authorizing the person(s) signing above to submit funding applications and to enter into funding agreements if selected. Page intentionally left blank. March 12, 2026 Item #1 Page 37 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 2 of 7 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 202ϲ-2ϳ FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 1ϲ, 202ϲ͕ by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: Jan. 1ϲ, 202ϲ͕by 5 pm FY 202ϲ-2ϳ ✔ ✔ ✔ ✔ March 12, 2026 Item #1 Page 38 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 3 of 7 APPLICANT INFORMATION Organization Name:Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title:Contact email: Organization Type: Nonprofit For-profit Local public agency State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. Community Resource Center (CRC)MNJKA8UN9JG3 650 2nd Street, Encinitas, CA 92024 760-230-6318 Rebecca Nussbaum rnussbaum@crcncc.org Community Resource Center’s mission is to help our neighbors create paths to healthy food, stable homes and safe relationships. CRC was incorporated on 11/26/79 and is now in its 46th year of operation. Rebecca Nussbaum, Chief Program Officer, will have program oversight responsibility. She joined Community Resource Center in 2006. Rebecca holds a regional leadership position with the San Diego Domestic Violence Council,serving on the Executive Team. She is also active at the state level, serving on the Board of Directors for the California Partnership to End Domestic Violence. Rebecca holds a Bachelor of Arts in psychology from the University of California, San Diego and a Master of Arts in nonprofit leadership and management from the University of San Diego. Corrie McCoy, Chief Operations Officer, joined CRC in May 2021. She has a Bachelor of Science, Bachelor of Arts and Master in Business Administration in accounting with more than 25 years of accounting and finance experience infor-profit and nonprofit organizations, and 14 years of fund accounting in the U.S. military. She also has an expertise in process improvement and qualitative research and analysis. CRC has ongoing and fully implemented programs in Carlsbad that address homelessness intervention and prevention including City of Carlsbad Rapid Rehousing, Permanent Supportive Housing, Encampment Resolution program, employment and benefits specialist, and 2025-26 CDBG. This 2026-27 program will be fully operational upon award and continue throughout the grant term. ✔ March 12, 2026 Item #1 Page 39 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 4 of 7 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income CRC has completed everything necessary to initiate the project because the 2025-26 project will be a continuation of the successful, 2024-25 CDBG program: •CRC has an office in Carlsbad with resident staff providing case management, domestic 100 Project term will be 7/1/26 through 6/30/27. CRC will provide services continuously throughout the 2026-27 fiscal year. The City’s updated Homeless Action Plan gives top priority to developing and maintaining the city’s capacity to prevent and reduce homelessness. In full alignment with that priority, CRC will serve 25 economically vulnerable Carlsbad households, including domestic violence (DV) survivors and their children, who are in danger of losing their primary nighttime residence and Carlsbad residents have remote access through CRC’s online client assistance portal or via telephonic or in person appointments at CRC’s Carlsbad office. The office is accessible by bus or other public transportation CRC also offers mobile case management in which case managers The special needs populations that CRC serves are individuals and families including those escaping domestic violence and victims of crime or abuse who are experiencing homelessness or Low-income Carlsbad residents will benefit from CRC’s proposed program by helping them overcome personal, economic, health and social justice barriers that threaten their ability to iti thih i d idh l Mdi t tl d di f il March 12, 2026 Item #1 Page 40 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 5 of 7 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscalǇĞĂƌƐfor the proposed program/project? CDBG Community Activity Funding General Funds KƚŚĞƌ;ƐƉĞĐŝĨǇͿ͗ Yes Yes Yes Yes No Eo No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. 100 Services including homelessness prevention, social services and the Food & Nutrition Center are offered in English and Spanish to better serve the Hispanic/Latino population which comprises approximately 39% of the client population. If services are needed in additional languages, staff have access to translation assistance through AT&T USA Direct In-Language Service, Google Translate,711-TTY for participants who are hearing impaired (although we have a staff member that speaks American Sign Language), and License to Freedom, a San Diego County non-profit organization thatserves immigrant DV survivors and offers translation assistance in numerous languages. CRC provides timely, meaningful access to all agency programs and activities for Limited English Proficient (LEP) persons. CRC collects and documents beneficiary information using an intake form and documents provided by the client in person or by using CRC’s secure online client portal. Homelessness Prevention metrics: • 100% of individuals who receive prevention assistance will be offered access to CRC’s case management, financial counseling or housing search assistance. • 85% of all housing participants retain or exit to permanent housing at case closure. • 80% of the total number of households who participate in case management will develop a personalized self-sufficiency plan. CRC partners with affordable housing complexes in Carlsbad providing outreach to low-income households and receiving referrals from apartment managers for households that are struggling to pay rent. CRC also works collaboratively with La Posada, Interfaith Community Services and the City of Carlsbad. CRC has HUD Continuum of Care (CoC) rapid rehousing contracts including the City of Carlsbad's CoC contract. CRC is fully performing contracts with the City of Carlsbad for rapid rehousing, permanent supportive housing, encampment resolution, and employment and benefits assistance. 80,214 $4,673,797 ✔ ✔ No program violation findings have ever been made against CRC. ✔ RRH,ERF,P ✔ ✔ March 12, 2026 Item #1 Page 41 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 6 of 7 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/SalariesͬĞŶĞĨŝƚƐ $ $ $ ůŝĞŶƚƐƐŝƐƚĂŶĐĞͲĨŽŽĚ͕ƌĞŶƚĂůĂƐƐŝƐƚ͕ŽƚŚĞƌŚŽƵƐŝŶŐ $ $ $ KƉĞƌĂƚŝŶŐ $ $ $ KĐĐƵƉĂŶĐǇ $$$ ƋƵŝƉŵĞŶƚ $ $ $ WƌŽĨĞƐƐŝŽŶĂůĨĞĞƐĂŶĚ,ƵŵĂŶZĞƐŽƵƌĐĞƐ $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/SalariesͬĞŶĞĨŝƚƐ $ ůŝĞŶƚƐƐŝƐƚĂŶĐĞͲĨŽŽĚ͕ƌĞŶƚĂůĂƐƐŝƐƚͬŽƚŚĞƌŚŽƵƐŝŶŐ $ KƉĞƌĂƚŝŶŐ $ KĐĐƵƉĂŶĐǇ $ ƋƵŝƉŵĞŶƚ $ WƌŽĨĞƐƐŝŽŶĂů&ĞĞƐΘ,ƵŵĂŶZĞƐŽƵƌĐĞƐ $ Other: ____________$ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. City of Encinitas 30,000 14,000 1,680,319 1,694,319 40,000 1,620,875 1,660,875 10,000 34,724 44,724 166,923 166,923 45,460 45,460 48,323 48,323 16,214 996,959 1,013,173 80,214 4,593,583 4,673,797 Wages, personnel benefits, direct program expenses and indirect will be drawn from: Carlsbad Rapid Rehousing - $821,852 (secured) Carlsbad Encampment Resolution Funds - $132,235 - (secured) Carlsbad Employment and Benefits Specialist - $140,000 (secured) Carlsbad Permanent Supportive Housing - $374915 (secured) VHOP - $394,625 (secured) Oceanside ERF - $1,476,450 (secured) CRC is funded by a diverse range of government and private grants, business and community donations, fundraising event revenue in kind services and food donations and revenue from CRC Resale stores CRC is the coastal North indirect costs @29% indirect cost @29% 1,680,319 1,620,875 34,724 166,923 45,460 48,323 996,959 4,593,583 14,000City of San Marcos March 12, 2026 Item #1 Page 42 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. ° Carlsbad, CA 92008 ° 442-339-2810 t | housing@carlsbadca.gov Page 7 of 7 CERTIFICATION I, the undersigned, do hereby attest that the above information is true and correct to the best of my knowledge. _____ ______________ Signature Title Date _____ ______________ Signature Title Date NOTE: Applications must include a resolution from your organization’s Board of Directors authorizing the person(s) signing above to submit funding applications and to enter into funding agreements if selected. Page intentionally left blank. Chief Executive Officer 1/14/26 Chief Operating Officer 1/14/26 March 12, 2026 Item #1 Page 43 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM NOTICE OF FUNDING AVAILABILITY The City of Carlsbad is pleased to announce the availability of applications for the fiscal year 2026-27 Community Development Block Grant (CDBG) program. The CDBG program is federally funded by the Department of Housing and Urban Development and is administered by the city to provide assistance to lower-income residents and communities. For FY 2026-27, the total CDBG award to Carlsbad for local disbursement is estimated at $534,758 – available in the following categories: Category Key Details Estimated Available Public Services • Programs assisting low-income households • Services carried out by non-profit agencies • Funding capped at 15% of grant $80,214 Administration/ Fair Housing • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services • Funding capped at 20% of grant $106,952 Affordable Housing/ Facility Improvements • Facility improvements for non-profits • Acquisition/rehabilitation of affordable housing $347,592 Applications Due: Jan. 16, 2026, by 5 p.m. Contact: Details: housing@carlsbadca.gov *Email Submission Highly Encouraged* Nicole Piano-Jones Senior Program Manager 442-339-2191 nicole.pianojones@carlsbadca.gov Paper copies may be delivered to: City of Carlsbad Housing & Homeless Services 1200 Carlsbad Village Drive Carlsbad, CA, 92008 ESTIMATED TIMELINE *Dates are tentative and subject to change. All public meetings and review and comment periods will be separately publicly noticed* Notice of Funding Availability November 21, 2025 Applications Due January 16, 2026 Housing Commission March 2026 30-day public review/comment April 2026 City Council Public Hearing April 2026 March 12, 2026 Item #1 Page 44 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 2026-27 FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 16, 2026, by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: March 12, 2026 Item #1 Page 45 of 156 APPLICANT INFORMATION Organization Name: Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title: Contact email: Organization Type: Nonprofit  For-profit  Local public agency  State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. March 12, 2026 Item #1 Page 46 of 156 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income March 12, 2026 Item #1 Page 47 of 156 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscal years for the proposed program/project? CDBG Community Activity Funding General Funds Other (specify): Yes Yes Yes Yes No No No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. March 12, 2026 Item #1 Page 48 of 156 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/Salaries $ $ $ Personnel Benefits $ $ $ Materials and Supplies $ $ $ Rent and Utilities $ $ $ Direct Program Expenses $ $ $ Mileage $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/Salaries $ Personnel Benefits $ Materials and Supplies $ Rent and Utilities $ Direct Program Expenses $ Mileage $ Other: ____________________ $ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. March 12, 2026 Item #1 Page 49 of 156 Housing & Homeless Services 1200 Carlsbad Village Dr. Carlsbad, CA 92008 442-339-2810 t | housing@carlsbadca.gov Page 7 of 7 CERTIFICATION I, the undersigned, do hereby attest that the above information is true and correct to the best of my knowledge. _____ Signature Title _____ Signature Title Date NOTE: Applications must include a resolution from your organization’s Board of Directors authorizing the person(s) signing above to submit funding applications and to enter into funding agreements if selected. Page intentionally left blank. Chief Operating Officer Chief Executive Officer _____01/13/2026_________ _____01/13/2026_________ Date March 12, 2026 Item #1 Page 50 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM NOTICE OF FUNDING AVAILABILITY The City of Carlsbad is pleased to announce the availability of applications for the fiscal year 2026-27 Community Development Block Grant (CDBG) program. The CDBG program is federally funded by the Department of Housing and Urban Development and is administered by the city to provide assistance to lower-income residents and communities. For FY 2026-27, the total CDBG award to Carlsbad for local disbursement is estimated at $534,758 – available in the following categories: Category Key Details Estimated Available Public Services • Programs assisting low-income households • Services carried out by non-profit agencies • Funding capped at 15% of grant $80,214 Administration/ Fair Housing • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services • Funding capped at 20% of grant $106,952 Affordable Housing/ Facility Improvements • Facility improvements for non-profits • Acquisition/rehabilitation of affordable housing $347,592 Applications Due: Jan. 16, 2026, by 5 p.m. Contact: Details: housing@carlsbadca.gov *Email Submission Highly Encouraged* Nicole Piano-Jones Senior Program Manager 442-339-2191 nicole.pianojones@carlsbadca.gov Paper copies may be delivered to: City of Carlsbad Housing & Homeless Services 1200 Carlsbad Village Drive Carlsbad, CA, 92008 ESTIMATED TIMELINE *Dates are tentative and subject to change. All public meetings and review and comment periods will be separately publicly noticed* Notice of Funding Availability November 21, 2025 Applications Due January 16, 2026 Housing Commission March 2026 30-day public review/comment April 2026 City Council Public Hearing April 2026 March 12, 2026 Item #1 Page 51 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 2026-27 FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 16, 2026, by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: 4 4 4 4 4 4 4 March 12, 2026 Item #1 Page 52 of 156 APPLICANT INFORMATION Organization Name: Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title: Contact email: Organization Type: Nonprofit  For-profit  Local public agency  State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. Legal Aid Society of San Diego EUQYHR3PVKV7 100 E. San Marcos Blvd, Ste 308, San Marcos, CA 92069 619-471-2613 Amalea Romero/Managing Attorney amalear@lassd.org The mission of the Legal Aid Society of San Diego is to improve lives by advancing justice through effective, efficient and vigorous legal advocacy, outreach and education. Legal Aid Society of San Diego (LASSD), formerly Office of Public Attorney, has been in operation and providing legal services for over 100 years. LASSD was incorporated under its current name on December 30, 1953. Amalea Romero, Managing Attorney (Spanish), has been practicing housing law with LASSD for over eight (8) years, over seven (7) of which includes experience on the Fair Housing team. She has significant experience representing clients in affirmative housing discrimination complaints in state and federal court and with HUD and CRD. She will provide oversight of the project, conduct outreach/education, provide direct client services, and serve as the point of contact for the City. Janeth Castaneda, Testing Coordinator (Spanish), has over five (5) years of experience on the Fair Housing Team, including complaint intake, educational training/outreach in English and Spanish, and testing under the Fair Housing Act. She currently coordinates and will continue to manage all Carlsbad testing as well as assist with client services and investigations. Samantha Mills, Lead Attorney, has over two (2) years of experience as an attorney on LASSD’s Fair Housing Team where she has provided legal services including advice and representation in conciliations, unlawful detainers, and administrative complaints. Prior to joining LASSD, she also worked for a law firm focused on civil litigation for two (2) years. She will provide direct client services and conduct outreach and education. In addition to other existing attorneys and advocates, we also plan to fill a vacant Staff Attorney position to provide services under this contract. See Attachment, Project Information 4 March 12, 2026 Item #1 Page 53 of 156 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income See Attachment, Project Information 60 22 12 6 See Attachment, Project Information See Attachment, Project Information See Attachment, Project Information See Attachment, Project Information See Attachment, Project Information March 12, 2026 Item #1 Page 54 of 156 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscal years for the proposed program/project? CDBG Community Activity Funding General Funds Other (specify): Yes Yes Yes Yes No No No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. 100 See Attachment, Project Information See Attachment, Project Information See Attachment, Project Information See Attachment, Project Information 30,000 30,000 4 No program violation findings have been made against the organization. 4 4 4 4 March 12, 2026 Item #1 Page 55 of 156 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/Salaries $ $ $ Personnel Benefits $ $ $ Materials and Supplies $ $ $ Rent and Utilities $ $ $ Direct Program Expenses $ $ $ Mileage $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/Salaries $ Personnel Benefits $ Materials and Supplies $ Rent and Utilities $ Direct Program Expenses $ Mileage $ Other: ____________________ $ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. HUD FHIP 25-26 550,000 20,817 4,870 400 3,913 30,000 878,901 908,901 Other CDBG/HUD N/A indirect cost 878,901 328,901Other CDBG 25-26 March 12, 2026 Item #1 Page 56 of 156 CERTIFICATION I, the undersigned, do hereby attest that the above information is true and correct to the best of my knowledge. _____ ______________ Signature Title Date _____ ______________ Signature Title Date NOTE: Applications must include a resolution from your organization’s Board of Directors authorizing the person(s) signing above to submit funding applications and to enter into funding agreements if selected. Page intentionally left blank. CEO/Executive Director 01/15/2026 March 12, 2026 Item #1 Page 57 of 156 Legal Aid Society of San Diego Attachment – Project Information Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. Because we are a well-established fair housing program, LASSD already has policies, offices, and staff in place to ensure quality services are timely completed under this contract. We have experienced, existing staff ready to begin providing services immediately upon execution and start of the contract. In addition to existing staff (including attorneys, advocates, testing coordinators, and an investigator), we anticipate filling one currently vacant Staff Attorney position prior to the beginning of the 26-27 fiscal year. In the first quarter, LASSD will review and confirm systems and plans are in place to ensure grant deliverables are completed in a timely manner throughout the grant year. The Managing Attorney and Accounting Department will provide progress reports to the City on a quarterly basis. LASSD will be able to measure program effectiveness and timeliness by tracking and ensuring completion of deliverable goals in a manner that is both efficient and high quality. Regular review of progress will allow the program to redirect staff time and efforts, if necessary, to meet or exceed all contract requirements. Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing, and networking. As previously stated, LASSD currently operates a high-quality fair housing program that conducts the activities proposed under the grant and is therefore ready to initiate the project immediately. We plan to fill one vacant Staff Attorney position prior to commencement of the grant. We have two offices throughout San Diego County, including one in North County in San Marcos. LASSD regularly conducts outreach and training and will be able to seamlessly market and continue those ongoing efforts. Similarly, our testing program is already established and staffed with experienced testing coordinators that can begin testing activities immediately. Finally, we are already staffed with experienced attorneys, advocates, and an investigator that can seamlessly continue providing direct client services. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates, and milestones as applicable. Required deliverables will be completed between July 1, 2025, and June 30, 2026, with services beginning immediately. Quarterly reports will provide the City with updates on project progress. March 12, 2026 Item #1 Page 58 of 156 Legal Aid Society of San Diego Describe the work to be performed, including the activities to be undertaken or the services to be provided and the goals and objectives of the program/project: LASSD will provide comprehensive legal services regarding fair housing law, including education and outreach services; testing services; referrals to other LASSD teams and community resources, counsel, advice, investigations, and brief services; and representation for enforcement of fair housing laws. The goals and objectives of the program are to increase community knowledge on fair housing rights and obligations, investigate and combat housing discrimination, and enforce fair housing laws. LASSD anticipates assisting 146 Carlsbad residents with such services in the upcoming grant year if awarded the funding request. How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) LASSD’s North County office is located at 100 E. San Marcos Blvd. Suite 308, San Marcos, CA 92069. Walk-ins are welcome and we are open Monday through Friday (except holidays) from 9am–5pm. The office is ADA-compliant and is located along a major public transit line. In addition, we accommodate clients in various ways, including by offering site visits to clients’ homes or other convenient locations, as well as phone or web-cam appointments. The Fair Housing Team also has access to LASSD’s team of Case Managers, who can connect clients to other resources, such as free or affordable transportation services. Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) LASSD’s Fair Housing Team provides free assistance to anyone that feels they have experienced housing discrimination or has landlord-tenant or other housing related questions. As such, many of our clients are members of protected classes and vulnerable populations. For example, many clients we serve have mental or physical disabilities and an overwhelming majority are low income. We also often assist people living in affordable housing that need assistance preserving their subsidy. Additionally, the Fair Housing Team regularly conducts outreach through community service fairs and other outreach events, which allows us to reach a broad range of people experiencing housing instability. We assist people living in homelessness to utilize their fair housing rights to strengthen their ability to gain stable housing. We also work to prevent homelessness by enforcing fair housing laws to keep people housed. We were also awarded a HUD Education and Outreach Initiative grant focused on expanding fair housing knowledge and enforcement for our veteran population. March 12, 2026 Item #1 Page 59 of 156 Legal Aid Society of San Diego Our staff are trained in trauma-informed practices and are highly experienced in helping vulnerable applicants and clients overcome would-be barriers to service. Please describe how low-and-moderate income persons will benefit from the proposed program/project. An overwhelming majority of the clients we assist are low or extremely low income. Such persons face additional obstacles to finding and maintaining housing, making them more susceptible to discrimination and housing instability. Our services provide free legal support to those individuals to empower and/or represent them in asserting their fair housing rights, which helps maintain safe and stable housing. How does your organization provide language access to recipients with less than proficient English? For clients and community members that have Limited English Proficiency (LEP), LASSD has staff that speak San Diego County threshold languages (including Spanish, Arabic, and Tagalog). In addition, for this project specifically, LASSD’s Fair Housing program has multiple staff members that are fluent in Spanish. LASSD tests and tracks staff that speak threshold languages in the County. LASSD’s phone system provides options for English and Spanish. Applicants and clients who visit our office locations can use language cards to indicate their language needs. In addition, LASSD contracts with multiple third-party translation services to ensure all applicants and clients can fully access our services regardless of LEP status. LASSD uses Voiance, which provides 24/7 phone translation service in all languages and is pre-programmed on each staff member’s phone to ensure easy access. Also, LASSD contracts with another translation service, ALTA, for written translations. For clients who use American Sign Language (ASL), LASSD has staff that can communicate using ASL and LASSD uses either ALTA or a Deaf Access Program, Deaf Community Services of San Diego, Inc., for interpreter services. How will recipients’ information be collected and documented? LASSD utilizes JusticeServer, a comprehensive case management system which securely captures, maintains, and shares data. JusticeServer is a Salesforce system and reliably captures data necessary for quarterly reports, such as income, demographic data, complaint basis, case notes, and resolution/outcome. March 12, 2026 Item #1 Page 60 of 156 Legal Aid Society of San Diego How will the outcomes be measured, collected, and documented? LASSD measures outcomes in various ways, including by our comprehensive data management system, JusticeServer, which reliably captures, maintains, and shares data. JusticeServer has the capacity to generate reports based on desired data categories and assists LASSD in managing the output and outcomes of program deliverables for the project. Examples of such outcomes include tracking monetary and nonmonetary benefits achieved and the highest level of service provided. JusticeServer captures data necessary for quarterly reports, and grant progress/quarterly reports are securely stored on SharePoint/Teams which allows staff to review, share, and update their progress. Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. LASSD has provided free legal services to San Diego County for over a century. As such, we have deep ties to the community and meaningful partnerships with other agencies. For example, LASSD is a founding member and the coordinating agency of the San Diego Housing Justice Collaborative, which is a network of non-profit agencies providing housing services throughout the County. The purpose of the Collaborative is to maximize resources and streamline referrals to and from collaborative partners, and to ensure partners are up to date with substantive legal developments. Additionally, Fair Housing Managing Attorney, Amalea Romero, also serves as the President for the San Diego Regional Alliance for Fair Housing, an alliance of local municipalities and fair housing service providers. March 12, 2026 Item #1 Page 61 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM NOTICE OF FUNDING AVAILABILITY The City of Carlsbad is pleased to announce the availability of applications for the fiscal year 2026-27 Community Development Block Grant (CDBG) program. The CDBG program is federally funded by the Department of Housing and Urban Development and is administered by the city to provide assistance to lower-income residents and communities. For FY 2026-27, the total CDBG award to Carlsbad for local disbursement is estimated at $534,758 – available in the following categories: Category Key Details Estimated Available Public Services • Programs assisting low-income households • Services carried out by non-profit agencies • Funding capped at 15% of grant $80,214 Administration/ Fair Housing • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services • Funding capped at 20% of grant $106,952 Affordable Housing/ Facility Improvements • Facility improvements for non-profits • Acquisition/rehabilitation of affordable housing $347,592 Applications Due: Jan. 16, 2026, by 5 p.m. Contact: Details: housing@carlsbadca.gov *Email Submission Highly Encouraged* Nicole Piano-Jones Senior Program Manager 442-339-2191 nicole.pianojones@carlsbadca.gov Paper copies may be delivered to: City of Carlsbad Housing & Homeless Services 1200 Carlsbad Village Drive Carlsbad, CA, 92008 ESTIMATED TIMELINE *Dates are tentative and subject to change. All public meetings and review and comment periods will be separately publicly noticed* Notice of Funding Availability November 21, 2025 Applications Due January 16, 2026 Housing Commission March 2026 30-day public review/comment April 2026 City Council Public Hearing April 2026 March 12, 2026 Item #1 Page 62 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 2026-27 FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 16, 2026, by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: March 12, 2026 Item #1 Page 63 of 156 APPLICANT INFORMATION Organization Name: Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title: Contact email: Organization Type: Nonprofit  For-profit  Local public agency  State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. March 12, 2026 Item #1 Page 64 of 156 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income March 12, 2026 Item #1 Page 65 of 156 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscal years for the proposed program/project? CDBG Community Activity Funding General Funds Other (specify): Yes Yes Yes Yes No No No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. March 12, 2026 Item #1 Page 66 of 156 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/Salaries $ $ $ Personnel Benefits $ $ $ Materials and Supplies $ $ $ Rent and Utilities $ $ $ Direct Program Expenses $ $ $ Mileage $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/Salaries $ Personnel Benefits $ Materials and Supplies $ Rent and Utilities $ Direct Program Expenses $ Mileage $ Other: ____________________ $ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. March 12, 2026 Item #1 Page 67 of 156 CERTIFICATION I, the undersigned, do hereby attest that the above information is true and correct to the best of my knowledge. _____ ______________ Signature Title Date _____ ______________ Signature Title Date NOTE: Applications must include a resolution from your organization’s Board of Directors authorizing the person(s) signing above to submit funding applications and to enter into funding agreements if selected. Page intentionally left blank. March 12, 2026 Item #1 Page 68 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM NOTICE OF FUNDING AVAILABILITY The City of Carlsbad is pleased to announce the availability of applications for the fiscal year 2026-27 Community Development Block Grant (CDBG) program. The CDBG program is federally funded by the Department of Housing and Urban Development and is administered by the city to provide assistance to lower-income residents and communities. For FY 2026-27, the total CDBG award to Carlsbad for local disbursement is estimated at $534,758 – available in the following categories: Category Key Details Estimated Available Public Services • Programs assisting low-income households • Services carried out by non-profit agencies • Funding capped at 15% of grant $80,214 Administration/ Fair Housing • Subrecipient oversight • Compliance with federal requirements • Financial management • Fair Housing services • Funding capped at 20% of grant $106,952 Affordable Housing/ Facility Improvements • Facility improvements for non-profits • Acquisition/rehabilitation of affordable housing $347,592 Applications Due: Jan. 16, 2026, by 5 p.m. Contact: Details: housing@carlsbadca.gov *Email Submission Highly Encouraged* Nicole Piano-Jones Senior Program Manager 442-339-2191 nicole.pianojones@carlsbadca.gov Paper copies may be delivered to: City of Carlsbad Housing & Homeless Services 1200 Carlsbad Village Drive Carlsbad, CA, 92008 ESTIMATED TIMELINE *Dates are tentative and subject to change. All public meetings and review and comment periods will be separately publicly noticed* Notice of Funding Availability November 21, 2025 Applications Due January 16, 2026 Housing Commission March 2026 30-day public review/comment April 2026 City Council Public Hearing April 2026 March 12, 2026 Item #1 Page 69 of 156 COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM FY 2026-27 FUNDING APPLICATION INSTRUCTIONS This application must be completed for each organization seeking CDBG funding from the City of Carlsbad. All information requested must be provided or the application will be considered incomplete and will not be further evaluated for funding consideration. Step 1. Complete fillable application and submit prior to Jan. 16, 2026, by 5 pm. Step 2. Include required attachments – combine into one file saved as “Applicant Name – Year – CDBG Application Attachments.” Board of Directors' resolution authorizing submittal of application Board of Directors' resolution designating official(s) authorized to enter into agreements on behalf of organization. (Note: One resolution both authorizing submittal of applications and entering into agreements may be substituted for the above two documents.) Sample Intake Form List of Board of Directors Financial Audit Report for the most recently ending Fiscal Year Application executive summary, including key staff, budget, and timeline. Organizational chart Improvement/Construction projects only if applicable: Architectural plans, scope of work, cost estimates, property site information, as appropriate. To be completed by Housing Services Division staff Date Received: Local Objective: Person Completing Review: Complete: March 12, 2026 Item #1 Page 70 of 156 APPLICANT INFORMATION Organization Name: Federal Unique Entity Identification Number Address: Contact Phone: Contact person/title: Contact email: Organization Type: Nonprofit  For-profit  Local public agency  State public agency Other (Please specify) Please describe the mission/purpose of the organization: Please provide the organization date of incorporation and number of years providing proposed program/project? Please describe the organization staff positions directly responsible for the proposed program and their qualifications and experience: Please indicate your agency's level of experience with the CDBG program: No or little experience (up to 1 year of using CDBG funds) Some experience (2 to 3 years of using CDBG funds) Moderate experience (4 to 5 years of using CDBG funds) Considerable experience (more than 5 years of using CDBG funds) PROJECT/PROGRAM INFOMATION Please provide implementation schedule for proposed project or program, including important steps such as hiring staff, obtaining bids, acquiring property, etc. If project involves property acquisition or construction, include plans, scope of work, cost estimates, or other applicable documents in appendices. March 12, 2026 Item #1 Page 71 of 156 Describe steps already completed or to be completed to initiate project. These may include community support, staffing, securing an appropriate location, marketing and networking. Describe the program’s timeline with dates and times, including the earliest possible start dates, end dates and milestones, as applicable. Describe the work to be performed, including the activities to be undertaken or the services to be provided, and the goals and objectives of the program/project: How accessible or convenient is the proposed program/project to Carlsbad residents? (Please be specific such as direct services to client’s home, transportation provided to and from facility, or relation to public transportation.) Does your agency focus its activities on populations with special needs? If yes, please specify population (Homeless households, persons with disabilities, persons with substance abuse, veterans, farmworkers, seniors, children, etc.) Please describe how low-and-moderate income persons will benefit from the proposed program/project. What is the approximate percentage of your clients that have annual family incomes in each of the following ranges: (Percentages should add to 100%) % of clients are at 30% or below the area median income _ % of clients are between 31% to 50% of the area median income % of clients are between 51% to 79% of the area median income % of clients are at 80% or above the area median income March 12, 2026 Item #1 Page 72 of 156 Please indicate the number of clients benefiting from the proposed activity and the percentage that are Carlsbad residents. Persons of which % are Carlsbad residents Does your organization charge recipients for the provided services? No Yes (Please specify) $_______ How does your organization provide language access to recipients with less than proficient English? How will recipients’ information be collected and documented? How will the outcomes be measured, collected and documented? Describe collaboration with other agencies, such as the County Continuum of Care and other non-profit organizations and/or agencies to form a cohesive approach in serving the low income and most vulnerable populations. FINANCIAL INFORMATION CDBG Grant Request: $ Total Project/Program Cost: $ Did you receive any of the following sources of funding from the City of Carlsbad within the last two fiscal years for the proposed program/project? CDBG Community Activity Funding General Funds Other (specify): Yes Yes Yes Yes No No No No If you have received federal funds, including CDBG funds in previous years, have program violation findings ever been made against your agency/organization? If yes, please explain nature of finding(s) and how finding(s) has been addressed by your organization. March 12, 2026 Item #1 Page 73 of 156 Did you receive any federal funds, including CDBG funding from other cities? If so, please describe source, year(s), and amounts. Source - - - Amount $ $ $ PROPOSED BUDGET Category/Item CDBG Request Other Sources Total Wages/Salaries $ $ $ Personnel Benefits $ $ $ Materials and Supplies $ $ $ Rent and Utilities $ $ $ Direct Program Expenses $ $ $ Mileage $ $ $ Other: ______________________ $ $ $ TOTAL $ $ $ Please further describe “Other Sources” from previous table. Category/Item Other Sources Describe source and whether funding is secured or anticipated Wages/Salaries $ Personnel Benefits $ Materials and Supplies $ Rent and Utilities $ Direct Program Expenses $ Mileage $ Other: ____________________ $ TOTAL $ If your project or program requires ongoing funding, please describe how the program or project will continue to be funded. Page is left intentionally blank. Please see following page for signed certification. March 12, 2026 Item #1 Page 74 of 156 March 12, 2026 Item #1 Page 75 of 156 Federal Identification No. 95-2932237 Serving victims of domestic violence and sexual assault since 1974 1963 Apple Street ● Oceanside, California 92054-4426, US (760) 757-3500 24 HOUR The Women’s Resource Center is a non-profit social service agency. We do not provide the donor with any goods or services in exchange for this contribution. Please retain this document for your records. It is an important document necessary for any available Federal income tax deduction for the contribution. Thank you for your support. BOARD OF DIRECTORSOFFICERS 2025 KEVIN CADIEUXChair Retired Senior Vice President Qualcomm JODI ALLEN Senior Vice PresidentPeople & Culture at Carlsmed, Inc. KATIE ARNER-PUCCINELLI Secretary Senior Director, Finance at Qualcomm BILL CHENOWETH TreasurerSenior Vice President/Senior Investment Officer Northern Trust DIRECTORS JACQUIE NELISSEN VP of Finance & Operations at Sureti SUE SIMPSON MSN, RN LORIN BELLER Lorin Beller & Co. Consulting AUDREY POWERS THORTON Attorney Thornton-Koller TONY BUTLER Fidelis Book Keeping& Payroll Services AVIVA MCPHERRONPresident of Global Operations and Quality Orthofix DIRECTOR EMERITUS COLLEEN O’HARRA Founder Attorney Professional Fiduciary EX-OFFICIO MEMBER Ariel E. Reyes Chief Executive Officer Womens Resource Center Be it resolved that the Board of Directors of WRC (Women's Resource Center) has authorized the following individuals to execute contracts, grant sub-awards, grant amendments, grant extensions, open and/or close bank accounts, purchase/open certificate of deposits, submit grant applications and be authorized signatory checks: Ariel Reyes, CEO Kevin Cadieux, Chairperson of the Board of Directors Date: Kevin Cadieux, WRC Board Chairperson 06/24/2025 March 12, 2026 Item #1 Page 76 of 156 March 12, 2026 Item #1 Page 77 of 156 March 12, 2026 Item #1 Page 78 of 156 March 12, 2026 Item #1 Page 79 of 156 March 12, 2026 Item #1 Page 80 of 156 March 12, 2026 Item #1 Page 81 of 156 March 12, 2026 Item #1 Page 82 of 156 March 12, 2026 Item #1 Page 83 of 156 March 12, 2026 Item #1 Page 84 of 156 March 12, 2026 Item #1 Page 85 of 156 March 12, 2026 Item #1 Page 86 of 156 March 12, 2026 Item #1 Page 87 of 156 March 12, 2026 Item #1 Page 88 of 156 March 12, 2026 Item #1 Page 89 of 156 March 12, 2026 Item #1 Page 90 of 156 March 12, 2026 Item #1 Page 91 of 156 March 12, 2026 Item #1 Page 92 of 156 March 12, 2026 Item #1 Page 93 of 156 March 12, 2026 Item #1 Page 94 of 156 March 12, 2026 Item #1 Page 95 of 156 March 12, 2026 Item #1 Page 96 of 156 March 12, 2026 Item #1 Page 97 of 156 March 12, 2026 Item #1 Page 98 of 156 March 12, 2026 Item #1 Page 99 of 156 March 12, 2026 Item #1 Page 100 of 156 March 12, 2026 Item #1 Page 101 of 156 March 12, 2026 Item #1 Page 102 of 156 March 12, 2026 Item #1 Page 103 of 156 March 12, 2026 Item #1 Page 104 of 156 Federal Identification No. 95-2932237 Serving victims of domestic violence and sexual assault since 1974 1963 Apple Street ● Oceanside, California 92054 (760) 757-3500 24 HOUR BOARD OF DIRECTORS OFFICERS 2025 KEVIN CADIEUX Chair Retired Senior Vice President Qualcomm JODI ALLEN Senior Vice President People & Culture at Carlsmed, Inc. KATIE ARNER-PUCCINELLI Secretary Senior Director, Finance at Qualcomm BILL CHENOWETH Treasurer Senior Vice President/ Senior Investment Officer Northern Trust DIRECTORS JACQUIE NELISSEN VP of Finance & Operations at Sureti SUE SIMPSON MSN,RN LORIN BELLER Lorin Beller & Co. Consulting AUDREY POWERS THORNTON Attorney Thornton- Koller TONY BUTLER Fidelis Book Keeping & Payroll Services DIRECTOR EMERITUS COLLEEN O’HARRA Founder Attorney Professional Fiduciary EX-OFFICIO MEMBER Ariel E. Reyes Chief Executive Officer The Women’s Resource Center is a non-profit social service agency. We have not provided the donor with any goods or services in exchange for this contribution. Please retain this document for your records. It is an important document necessary for any available Federal income tax deduction for the contribution. Thank you for your support. March 12, 2026 Item #1 Page 105 of 156 Financial Statements June 30, 2023 (with Summarized Comparative Totals for 2022) Women’s Resource Center, Inc. March 12, 2026 Item #1 Page 106 of 156 CONTENTS Independent Auditors’ Report .......................................................................................... 1-3 Statement of Financial Position ....................................................................................... 4-5 Statement of Activities ......................................................................................................... 6 Statement of Functional Expenses ....................................................................................... 7 Statement of Cash Flows...................................................................................................... 8 Notes to the Financial Statements ................................................................................ 9-33 Supplementary Information Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ...... 34-35 Independent Auditors’ Report on Compliance for Each Major Program and on Internal Control Over Compliance Required by the Uniform Guidance .... 36-38 Schedule of Expenditures of Federal Awards ................................................................. 39 Notes to the Schedule of Expenditures of Federal Awards ........................................... 40 Schedule of Findings and Questioned Costs ............................................................ 41-45 March 12, 2026 Item #1 Page 107 of 156 INDEPENDENT AUDITORS’ REPORT To the Board of Directors of Women’s Resource Center, Inc. Report on the Audit of the Financial Statements Opinion We have audited the accompanying financial statements of Women's Resource Center, Inc. (a California nonprofit organization), which comprise the statement of financial position as of June 30, 2023, and the related statements of activities, functional expenses, and cash flows for the year then ended, and the related notes to the financial statements. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Women’s Resource Center (the Organization) of as of June 30, 2023, and the changes in its net assets and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinion We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Organization and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Organization’s ability to continue as a going concern within one year after the date that the financial statements are available to be issued. March 12, 2026 Item #1 Page 108 of 156 Auditors’ Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and, therefore, is not a guarantee that an audit conducted in accordance with generally accepted auditing standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements, including omissions, are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with generally accepted auditing standards, we: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Organization's internal control. Accordingly, no such opinion is expressed. • Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. • Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Organization's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit. March 12, 2026 Item #1 Page 109 of 156 Supplementary Information Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The accompanying schedule of expenditures of federal awards on page 39, as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, is presented for purposes of additional analysis and is not a required part of the financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditures of federal awards is fairly stated, in all material respects, in relation to the financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated September 30, 2024 on our consideration of the Organization’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements, and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Organization’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Organization’s internal control over financial reporting and compliance. Report on Summarized Comparative Information We have previously audited Women’s Resource Center, Inc.’s 2022 financial statements, as we expressed an unmodified audit opinion on those audited financial statements in our report dated September 26, 2024. In our opinion, the summarized comparative information presented herein as of and for the year ended June 30, 2022, is consistent, in all material respects, with the audited financial statements from which it has been derived. Emphasis of a Matter As discussed in Note 1, beginning July 1, 2022, the Organization adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) and its related amendments using the modified- retrospective transition method. Our opinion is not modified with respect to this matter. Long Beach, California September 30, 2024 March 12, 2026 Item #1 Page 110 of 156 2023 2022 CURRENT ASSETS Cash and cash equivalents 2,720,532$ 2,139,420$ Investments (Note 5) 426,743 404,722 Grants receivable 62,569 502,935 Prepaid expenses and other assets 38,531 32,248 In-kind contributed facilities, current portion (Note 3) 427,830 49,830 Total Current Assets 3,676,205 3,129,155 NONCURRENT ASSETS Insurance policy 43,729 45,958 In-kind contributed facilities, net of current (Note 3)2,691,906 304,346 Investments, permanently restricted by donor endowment (Note 5 and 8)308,369 308,369 Property and equipment, net 56,776 19,022 Operating lease right-of-use assets 302,687 - Total Noncurrent Assets 3,403,467 677,695 TOTAL ASSETS 7,079,672$ 3,806,850$ ASSETS March 12, 2026 Item #1 Page 111 of 156 2023 2022 CURRENT LIABILITIES Accounts payable 24,348$ 12,841$ Accrued payroll and employee benefits 86,172 96,933 Deferred revenue - 29,598 Operating lease liabilities, current portion 87,333 - Total Current Liabilites 197,853 139,372 OPERATING LEASE LIABILITIES, NET OF CURRENT PORTION 219,019 - CONTINGENCIES (NOTE 11) NET ASSETS Without donor restrictions (Note 7) Undesignated 2,701,013 2,519,513 Board-designated 221,928 224,128 With donor restrictions (Note 7)3,739,859 923,837 Total Net Assets 6,662,800 3,667,478 TOTAL LIABILITIES AND NET ASSETS 7,079,672$ 3,806,850$ LIABILITIES AND NET ASSETS March 12, 2026 Item #1 Page 112 of 156 2022 Without Donor With Donor Restrictions Restrictions Total Total SUPPORT AND REVENUE Contributions 869,985$ 109,426$ 979,411$ 1,358,391$ Grants 1,148,981 - 1,148,981 1,210,160 Porgram service revenue 47,263 - 47,263 72,068 Resale shop revenue, net 287,366 - 287,366 266,006 Special event revenue, net of related expenses of $38,951 for 2023 and $28,104 for 2022 42,322 - 42,322 103,402 In-kind donation facility use - 3,215,982 3,215,982 31,282 Net investment gain (loss)12,122 27,316 39,438 (59,543) Other income 69,690 - 69,690 41,035 Net assets released from restrictions 536,702 (536,702) - - Total Support and Revenue 3,014,431 2,816,022 5,830,453 3,022,801 EXPENSES Program services: Non-residential services 268,506 - 268,506 259,306 Transitional housing and shelter 1,602,818 - 1,602,818 1,678,764 Resale shop 246,864 - 246,864 259,151 Total program services:2,118,188 - 2,118,188 2,197,221 Supporting services: Management and general 565,936 - 565,936 497,005 Fundraising 151,007 - 151,007 180,884 Total Expenses 2,835,131 - 2,835,131 2,875,110 CHANGE IN NET ASSETS 179,300 2,816,022 2,995,322 147,691 NET ASSETS - BEGINNING OF YEAR 2,743,641 923,837 3,667,478 3,519,787 NET ASSETS - END OF YEAR 2,922,941$ 3,739,859$ 6,662,800$ 3,667,478$ 2023 March 12, 2026 Item #1 Page 113 of 156 Non- Transitional Total Residential Housing Resale Program Management 2023 2022 Services and Shelter Store Services and General Fundraising Total Total Salaries and benefits 109,154$ 935,772$ 105,150$ 1,150,076$ 209,630$ 126,058$ 1,485,764$ 1,543,357$ Payroll taxes 9,470 81,185 9,123 99,778 18,187 10,936 128,901 116,120 Employee benefits 6,811 58,392 6,561 71,764 13,081 7,866 92,711 97,350 Professional fees - 1,150 - 1,150 82,731 - 83,881 17,200 Office expenses 2,479 882 8,726 12,087 56,790 - 68,877 74,190 Information technology 6,063 10,394 866 17,323 30,997 3,442 51,762 56,620 Fundraising - - - - - - - 20,438 Occupancy 61,481 408,091 87,350 556,922 104,976 - 661,898 511,215 Travel and transportation 6,674 3,357 - 10,031 374 - 10,405 636 Conferences and meetings 2,125 3,918 - 6,043 1,825 126 7,994 17,908 Depreciation and amortization - - - - 5,759 - 5,759 6,754 Insurance 2,233 19,145 2,151 23,529 29,721 2,579 55,829 52,712 Program supplies 62,016 36,189 1,011 99,216 110 - 99,326 150,743 Taxes and licenses - - 24,695 24,695 29 - 24,724 27,450 Repairs and maintenance - 44,343 1,231 45,574 11,726 - 57,300 91,802 Other expenses - - - - - - - 90,615 Total functional expenses 268,506$ 1,602,818$ 246,864$ 2,118,188$ 565,936$ 151,007$ 2,835,131$ 2,875,110$ Program Expenses Supporting Services March 12, 2026 Item #1 Page 114 of 156 2023 2022 CASH FLOWS FROM OPERATING ACTIVITIES Change in net assets 2,995,322$ 147,691$ Adjustments to reconcile change in net assets to net cash provided by operating activities: Depreciation and amortization 5,759 6,754 Donated in-kind facilities, net of discount (2,765,560) 289,648 Change in value of beneficial interest in endowment funds (34,143) 32,855 Realized and unrealized loss, net of investment fees 12,122 42,965 Amortization on operating lease right-of-use assets 79,266 - Change in value of insurance policy 2,229 4,042 Changes in operating assets and liabilities: Grants receivable 440,366 (127,277) Prepaid expenses and other assets (6,283) 16,939 Accounts payable 11,507 (7,174) Accrued payroll and employee benefits (10,761) (56,216) Deferred revenue (29,598) 29,598 Operating lease liabilities (75,601) - Net Cash Provided By Operating Activities 624,625 379,825 CASH FLOWS FROM FINANCING ACTIVITIES Purchase of property and equipment (43,513) (8,838) Net Cash Used In Financing Activities (43,513) (8,838) NET CHANGE IN CASH AND CASH EQUIVALENTS 581,112 370,987 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 2,139,420 1,768,433 CASH AND CASH EQUIVALENTS AT END OF YEAR 2,720,532$ 2,139,420$ SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION Interest paid -$ -$ For the Year Ended June 30, March 12, 2026 Item #1 Page 115 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies Nature of Activities Women's Resource Center, Inc. (the “Organization”) is a California nonprofit public benefit corporation incorporated in 1975 under the General Nonprofit Corporation Law of the state of California. The Organization’s mission is to serve the needs of individuals and families threatened or victimized by domestic violence and sexual assault by providing supportive services, such as counseling, shelter, and education. In fulfillment of its mission, the Organization operates an emergency residential center for battered women and their children, a transition house for families that serves as a bridge from shelter refuge to self-sufficiency, and a thrift store which receives donated goods for distribution to meet client needs or for sale to generate funds in support of the Organization’s programs. The Organization is supported by a combination of government grants, private donations, in-kind contributions, and thrift store sales. Basis of Accounting and Financial Statement Presentation The financial statements of the Organization have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Under the provisions of U.S. GAAP, net assets and revenues, and gains and losses are classified based on the existence or absence of donor-imposed restrictions. Accordingly, the net assets of the Organization and changes therein are classified as follows: • Net assets without donor restrictions: Net assets that are not subject to donor- imposed restrictions and may be expended for any purpose in performing the primary objectives of the Organization. The Organization’s board of directors may designate assets without restrictions for specific operational purposes from time to time. March 12, 2026 Item #1 Page 116 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Basis of Accounting and Financial Statement Presentation (Continued) • Net assets with donor restrictions: Net assets subject to stipulations imposed by donors and grantors. Some donor restrictions are temporary in nature; those restrictions will be met by actions of the Organization or by the passage of time. Other donor restrictions may be perpetual in nature, whereby the donor has stipulated the funds be maintained in perpetuity. Donor-restricted contributions are reported as increases in net assets with donor restrictions. When a restriction expires, net assets are reclassified from net assets with donor restrictions to net assets without donor restrictions in the statements of activities. Comparative Totals The financial statements include certain prior year summarized comparative information in total but not by net asset class. Such information does not include sufficient detail to constitute a presentation in conformity with U.S. GAAP. Accordingly, such information should be read in conjunction with the Organization’s financial statements for the year ended June 30, 2022, from which the summarized information was derived. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Concentration of Credit Risk Financial instruments that potentially subject the Organization to significant concentrations of credit risk consist principally of cash and cash equivalents. The Organization maintains its cash in bank deposit accounts that are insured by the Federal Deposit Insurance Corporation (FDIC) up to the statutory limit. At times, such cash may be in excess of the FDIC insurance limit. The Organization has not experienced any losses in such accounts. March 12, 2026 Item #1 Page 117 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Concentration of Credit Risk (Continued) The Organization is invested in a variety of investments. Investment securities, in general, are exposed to various risks, such as interest rate, credit, and overall market volatility risks. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect the amounts reported in the statement of financial position. Cash and Cash Equivalents For purposes of the statement of cash flows, the Organization considers cash, demand deposits, money market funds, and all other highly liquid investments with an initial maturity of three months or less to be cash equivalents. Fair Value Measurements In accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 820, fair value is defined as the exchange price that would be received for an asset or paid for a liability in the principal or most advantageous market. The Organization applies fair value measurements to assets and liabilities that are required to be recorded at fair value under U.S. GAAP. FASB ASC 820 establishes a three-tier hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs and to establish the classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability developed based on the market date obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available. March 12, 2026 Item #1 Page 118 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Fair Value Measurements (Continued) FASB ASC 820 describes the three-tier hierarchy of inputs that may be used to measure fair value as follows: Level 1 - Inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 - Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the same term of the financial instrument. Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measurement. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Due to the short-term nature of cash and cash equivalents, grants receivable, prepaid expenses and other assets, accounts payable, and accrued expenses, fair value approximates carrying value. Investments Investments are carried at fair value in the statement of financial position. Investment return (including realized and unrealized gains and losses on investments, interest and dividends, and investment expense) is included in the change in net assets without donor restrictions unless restricted by donor or law. Investment return on restricted assets is reported as an increase in net assets with donor restrictions if the asset restriction expires in the reporting period in which the income is recognized. All other restricted investment returns are reported as an increase in net assets with donor restrictions, depending on the nature of the restriction. March 12, 2026 Item #1 Page 119 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Investments (Continued) The Organization's investments include non-endowment funds held by the San Diego Foundation (SDF). Funds held by SDF are considered a Level 3 asset which represents the fair value of the underlying assets as reported by SDF. The estimated fair values may differ significantly from the values that would have been used had a ready market existed for these investments. The assets held by SDF have been valued, as a practical expedient, at the fair value of the Organization's share of the investments as of June 30, 2023 and 2022. Endowments The Organization records endowments in accordance with the Uniform Prudent Management of Institutional Funds Act of 2006 (UPMIFA). UPMIFA is a model act approved by the Uniform Law Commission that serves as a guideline for states to use in enacting legislation. The standard requires additional disclosures about an organization's endowment funds (both donor-restricted and board-designated endowment funds), whether or not the organization is subject to UPMIFA. The standard also requires classifying the portion of a donor-restricted endowment that is not classified as permanently restricted net assets as temporarily restricted net assets until appropriated for expenditure. Grants Receivable Grants receivable arise in the normal course of business. It is the policy of management to review the outstanding grants receivable at period end, as well as any bad debt write- offs experienced in the past, and establish an allowance for doubtful accounts for uncollectible amounts. Bad debts are recognized on the allowance method based on historical experience and management’s evaluation of outstanding receivables. No allowance for doubtful accounts was considered necessary for the years ended June 30, 2023 and 2022 as management determined all receivables are collectable. March 12, 2026 Item #1 Page 120 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Property and Equipment The Organization capitalizes all expenditures in excess of $5,000 for property and equipment at cost, while donations of property and equipment are recorded at their estimated fair values. Such donations are reported as unrestricted unless the donor has restricted the donated asset to a specific purpose. Assets donated with explicit restrictions regarding their use and contributions of cash that must be used to acquire property and equipment are reported as restricted. Absent donor stipulations regarding how long donated assets must be maintained, the Organization reports expirations of donor restrictions when the donated or acquired assets are placed in service as instructed by the donor. The Organization reclassifies net assets with donor restrictions to net assets without donor restriction at that time. Depreciation is computed using the straight-line method of the estimated useful lives of the assets over seven years. Maintenance, repairs and minor renewals are charged to operations as incurred. Compensated Absences Vested and accumulated personal time off (PTO) is recorded as an expense and liability as benefits accrue to employees. The accrued PTO liability totaled $58,797 and $72,740 at June 30, 2023 and 2022, respectively, and is included in accrued expenses in the statements of financial position. Revenue from Contracts with Customers Effective July 1, 2020, the Organization adopted FASB Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606). ASU 2014-09 applies to exchange transactions with customers that are bound by contracts or similar arrangements and establishes a performance obligation approach to revenue recognition. The Organization generally measures revenue based on the amount of consideration it expects to be entitled for the transfer of goods to a customer, then recognizes this revenue when performance obligations are satisfied. March 12, 2026 Item #1 Page 121 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Revenue from Contracts with Customers (Continued) The Organization evaluates its revenue from contracts with customers based on the five- step model under ASU 2014-09: (1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to separate performance obligations; and (5) recognize revenue when (or as) each performance obligation is satisfied. Contributions and Grants Contributed revenue may include gifts of cash or promises to give. Contributions and grants are recognized as revenues in the period received and are recorded as net assets without donor restrictions or net assets with donor restrictions, depending on the existence and/or nature of any donor-imposed restrictions. When a restriction expires (that is, when a stipulated time restriction ends or purpose restriction is accomplished), net assets with donor restrictions are reclassified to net assets without donor restrictions and reported in the statements of activities as net assets released from restrictions. In accordance with Topic 958, Revenue Recognition, the Organization must determine whether a contribution (or a promise) is conditional or unconditional in order for transactions to be deemed a contribution. A contribution is considered to be a conditional contribution if an agreement includes a barrier that must be overcome and either a right of return of assets or a right of release of a promise to transfer assets exists. Indicators of a barrier include a measurable performance-related barrier or other measurable barriers, a stipulation that limits discretion by the recipient on the conduct of an activity, and stipulations that are related to the purpose of the agreement. Grants The Organization’s primary source of revenue is from government grants and contracts. These grants and contracts provide funding to be used for purposes indicated in the Organization’s grant agreements. As the government is not receiving a benefit as a result of these transactions, the grants and contracts are considered to be contributions to the Organization. The grant and contract agreements contain spending requirements. March 12, 2026 Item #1 Page 122 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Grants (Continued) As these stipulations create a barrier that must be achieved, government grants and contracts are considered conditional contributions until such time as the barriers are overcome. Contributions from these grant and contract agreements are therefore recognized as revenue when costs are incurred as required by the agreements. Until the financial information required by the funding sources is accepted, costs billed for program services under cost reimbursement contracts are subject to review and possible disallowance. In management’s opinion, the potential for material disallowances is remote and, therefore, is not a barrier that would prevent the recognition of revenue. Special Events Special event revenue received is not recognized until the revenue is earned, which is at the time of the event or when the services are provided. The Organization does not believe it is required to provide additional goods or services to fulfill its related performance obligation, which is hosting the event. The recognition of revenue is conditional on the event taking place, as this is the point in time when the performance obligation occurs. The Organization records special event revenue equal to contribution revenue, less the cost of direct benefits to donors which is included in special event revenue on the statement of activities and changes in net assets. Other Revenue Revenue from resale shop sales is recognized at a point in time when the transaction occurs. Contributed Services Contributed materials are recorded at their estimated fair market value at the time of donation. Such items are capitalized or charged to operations as appropriate. The fair market value of contributed professional services is reported as support and revenue and expenses in the period in which the services are performed. Contributed rent is recorded at fair market value where an objective basis is available to measure its value. March 12, 2026 Item #1 Page 123 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Contributed Services (Continued) The Organization utilizes the services of volunteers throughout the year who perform a variety of tasks that assist the Organization with various programs. This contribution of services by the volunteers is not recognized in the financial statements unless the services received (a) create or enhance nonfinancial assets or (b) require specialized skills which are provided by individuals possessing those skills and would typically need to be purchased if not provided by donation. Such services do not meet the criteria for recognition as a contribution and are not reflected in the financial statements. In-Kind Contributed Facilities The Organization receives contributed facilities which are pledged commitments over a ten-year period. The fair value of the contributed facilities is based on the fair market rental value of similar properties in the local area at the time the facility is contributed. Utilizing the risk-free rate, the net present value of those in-kind donated facilities are recorded as an asset and contributions when the pledge is made by the donor. The discount, representing the difference between the net present value and fair value of the pledge, is amortized over the term of the pledge. For the years ended June 30, 2023 and 2022, respectively, the amortized discount in the amount of $3,215,982 and $31,282 is recorded as contributions with donor restrictions in the statement of activities. For the years ended June 30, 2023 and 2022, respectively, the fair value of donated facilities in the amounts of $450,422 and $320,930 is recorded as occupancy expense in the statement of functional expenses. March 12, 2026 Item #1 Page 124 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Functional Expenses The statement of functional expenses presents expenses by function and natural classification. The Organization allocates its expenses on a functional basis among its various programs and supporting services. Expenditures which can be identified with a specific program or supporting service are allocated directly, according to their natural expenditure classification. Costs that are common to several functions are allocated among the program and supporting services on the basis of time records, space utilized, and estimates made by the Organization’s management. Income Taxes The Organization is exempt from income taxes under Section 501(c)(3) of the Internal Revenue Code (IRC) and Section 23701(d) of the California Revenue and Taxation Code. The Organization has been determined by the Internal Revenue Service not to be a private foundation within the meaning of Section 509(a) of the IRC. Income generated from activities unrelated to the Organization’s exempt purpose is subject to tax under IRC Section 511. The Organization did not have any unrelated business income for the years ended June 30, 2023 and 2022 and, therefore, no provision for income taxes has been made. The Organization recognizes the financial statement benefit of tax positions, such as filing status of tax-exempt, only after determining that the relevant tax authority would more likely than not sustain the position following an audit. The Organization is subject to potential income tax audits on open tax years by any taxing jurisdiction in which it operates. The statute of limitations for federal and California state purposes is generally three and four years, respectively. Recently Adopted Accounting Pronouncement In February 2016, the FASB issued new lease accounting guidance in ASU 2016-02, Leases (Topic 842) (ASU 2016-02), which modifies lease accounting for lessees to increase transparency and comparability by requiring the Organization to recognize lease liabilities and related right-of-use assets for all leases (with the exception of short-term leases) at the commencement date of the lease and to disclose key information about leasing arrangements. March 12, 2026 Item #1 Page 125 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Recently Adopted Accounting Pronouncement (Continued) Effective July 1, 2022, the Organization adopted ASU 2016-02. The Organization determines if an arrangement contains a lease at inception based on whether the Organization has the right to control the asset during the contract period and other facts and circumstances. The Organization elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed it to carry forward the historical lease classification. The Organization’s policy for determining its lease discount rate used for measuring lease liabilities is to use the rate implicit in the lease whenever that rate is readily determinable. If the rate implicit in the lease is not readily determinable, then the Organization has elected to use its incremental borrowing rate or the risk-free discount rate, as permitted by U.S. GAAP, determined using a period comparable with that of the lease term. The Organization has elected a policy to account for short-term leases, defined as any lease with a term less than 12 months, by recognizing all components of the lease payment in the statements of activities in the period in which the obligation for the payments is incurred. The Organization adopted ASU 2016-02 utilizing the modified-retrospective transition method through a cumulative-effect adjustment. The adoption of ASU 2016-02 resulted in the recognition of operating lease right-of-use-assets and liabilities of $348,623 as of July 1, 2022. Results for periods beginning prior to July 1, 2022 continue to be reported in accordance with the Organization’s historical accounting treatment. The adoption of ASU 2016-02 did not have a material impact on the Organization's results of operations, cash flows, or debt covenants. Recently Issued Accounting Pronouncement In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13). ASU 2016-13 requires the measurement of all expected credit losses for financial assets, including trade receivables, held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Adoption of ASU 2016-13 will require the Organization to use forward-looking information to better formulate its credit loss estimates. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2022, and early adoption is permitted. The adoption of this standard is not expected to have a significant impact on the financial statements. March 12, 2026 Item #1 Page 126 of 156 NOTE 1 – Organization and Summary of Significant Accounting Policies (Continued) Subsequent Events In preparing these financial statements, the Organization has evaluated events and transactions for potential recognition or disclosure through September 30, 2024, the date the financial statements were available to be issued. NOTE 2 – Availability and Liquidity Financial assets available for general expenditure, that is, without donor or other restrictions limiting their use, within one year of the statement of financial position date, are comprised of the following: 2023 Cash and cash equivalents 2,720,532$ Grants receivable 62,569 Investments 735,112 Total financial assets 3,518,213 Less amounts not available to be used within one year: Portion of donor-restricted endowment to be retained in perpetuity (308,369) Board-designated reserves for operations (221,928) Financial assets available to meet general expenditures within one year 2,987,916$ March 12, 2026 Item #1 Page 127 of 156 NOTE 2 – Availability and Liquidity The Organization receives contract payments from federal and non-federal agencies and private grants and contributions. The Organization manages its liquidity following two guiding principles: operating within a prudent range of financial soundness and stability and maintaining adequate liquid assets to fund near-term operating needs. For purposes of analyzing resources available to meet general expenditures over a 12-month period, the Organization considers all expenditures related to its ongoing activities as well as the conduct of services undertaken to support those activities to be general expenditures. Occasionally, the board of directors designates a portion of any operating surplus to its operating reserves, which totaled $221,928 for the year ended June 30, 2023. NOTE 3 – In-Kind Donated Facilities The Organization has two long term lease agreements with the City of Oceanside for free use of city-owned property for its administrative offices, transitional housing, and shelter as discussed in Note 10. The net present value of the donated rent for future years is recorded as in-kind contributed facilities on the statement of financial position. 2023 In-kind contributed facilities use within one year 427,830$ In-kind contributed facilities use due after one year 3,322,980 3,750,810 Less: net present value discount (631,074) In-kind contributed facilities, net 3,119,736$ March 12, 2026 Item #1 Page 128 of 156 NOTE 4 – Fair Value Measurements The following table summarizes assets measured at fair value by classification within the fair value hierarchy as of June 30: Unadjusted Significant Quoted Observable Unobservable Prices Inputs Inputs Total Fair Description (Level 1)(Level 2)(Level 3)Value Balanced pool portfolio -$ -$ 325,161$ 325,161$ Beneficial interest in endowment funds - - 409,951 409,951$ -$ -$ 735,112$ 735,112$ For the Year Ended June 30, 2023 Unadjusted Significant Quoted Observable Unobservable Prices Inputs Inputs Total Fair Description (Level 1)(Level 2)(Level 3)Value Balanced pool portfolio -$ -$ 313,039$ 313,039$ Beneficial interest in endowment funds - - 400,052 400,052 -$ -$ 713,091$ 713,091$ For the Year Ended June 30, 2022 March 12, 2026 Item #1 Page 129 of 156 NOTE 4 – Fair Value Measurements (Continued) The following table represents Level 3 financial instruments on the statement of financial position: 2023 2022 Investments, current 426,743$ 404,722$ Investments, permanently restricted by donor endowment 308,369 308,369 Total investments 735,112$ 713,091$ The following table represents the Organization’s Level 3 financial instruments, the valuation techniques used to measure the fair value of the financial instrument, and the significant unobservable inputs and the range of values for those inputs for the years ended June 30: Principal Valuation Unobservable Significant Asset Fair Value Technique Inputs Input Value Balanced pool Valuation of underlying portfolio $ 325,161 assets as provided by Base Price N/A San Diego Foundation Beneficial interest Valuation of underlying in endowment funds $ 409,951 assets as provided by Base Price N/A San Diego Foundation June 30, 2023 March 12, 2026 Item #1 Page 130 of 156 NOTE 4 – Fair Value Measurements (Continued) Principal Valuation Unobservable Significant Asset Fair Value Technique Inputs Input Value Balanced pool Valuation of underlying portfolio $ 313,039 assets as provided by Base Price N/A San Diego Foundation Beneficial interest Valuation of underlying in endowment funds $ 400,052 assets as provided by Base Price N/A San Diego Foundation June 30, 2022 NOTE 5 – Investments The Organization’s investments consist of a balanced pool portfolio held by SDF in a balanced pool portfolio. SDF makes all investment decisions related to the funds. The Organization may request distributions from these funds at any time, subject to SDF acceptance. The pooled funds held by SDF reflects approximate allocations as follows as of June 30: 2023 2022 Hedge funds 19 %21 % Real assets 9 %15 % Domestic fixed income 20 %16 % Global/international fixed income 52 %48 % 100 %100 % March 12, 2026 Item #1 Page 131 of 156 NOTE 5 – Investments (Continued) The reconciliation for financial instruments measured at fair value on a recurring basis as significant unobservable inputs (Level 3) are as follows for the years ended June 30: 2023 2022 Beginning balance 313,039$ 356,004$ Investment income (loss) gain, net of fees 12,122 (42,965) Ending balance 325,161$ 313,039$ NOTE 6 – Property and Equipment Property and equipment consist of the following as of June 30: 2023 2022 Leasehold improvements 294,783$ 251,900$ Equipment 164,587 164,587 Furniture and fixtures 37,588 37,588 Land improvements 10,815 10,815 507,773 464,890 Less accumulated depreciation and amortization (450,997) (445,868) 56,776$ 19,022$ Depreciation expense was $5,759 and $6,754 for the years ended June 30, 2023 and 2022, respectively. March 12, 2026 Item #1 Page 132 of 156 NOTE 7 – Net Assets Net assets without donor restrictions are as follows as of June 30: 2023 2022 Undesignated 2,701,013$ 2,519,513$ Board-designated 221,928 224,128 Total net assets without donor restrictions 2,922,941$ 2,743,641$ Board-designated net assets consist of funds restricted by the Board of Directors for a board-designated program and for an operating reserve that is available to meet the Organization’s cash needs. Net assets with donor restrictions are as follows as of June 30: 2023 2022 With donor purpose: In-kind facility donation 3,119,736$ 354,176$ Programs 210,172 169,609 Available for appropriation from endowment funds 101,582 91,683 Perpetual endowments: Corpus value 308,369 308,369 Total net assets with donor restrictions 3,739,859$ 923,837$ March 12, 2026 Item #1 Page 133 of 156 NOTE 7 – Net Assets (Continued) Net assets released from net assets with donor restrictions are as follows for the years ended June 30: 2023 2022 Satisfaction of donor restrictions In-kind facility donation 450,422$ 320,930$ Program 68,863 114,487 Appropriated for expenditure 17,417 16,277 Total net assets released from restrictions 536,702$ 451,694$ NOTE 8 – Beneficial Interest in Endowment Funds The Organization has a beneficial interest in an endowment fund held by SDF, which is classified as with donor restrictions and must be maintained in perpetuity. The beneficial interest in endowment funds held by SDF is invested in a portfolio of equity and debt securities which is structured for long-term total return as follows as of June 30: 2023 2022 Hedge funds 15 %15 % Real assets 11 %17 % Domestic fixed income 10 %11 % Private equity and credit 18 %18 % International equity 46 %39 % 100 %100 % The beneficial interest in endowment funds held by SDF is managed in accordance with UPMIFA. The SDF’s objective is to maintain the purchasing power (real value) of the endowment funds. However, from time to time, the fair value of the assets in the endowment fund may fall below the level that the donors require the Organization to retain as a fund of perpetual duration. March 12, 2026 Item #1 Page 134 of 156 NOTE 8 – Beneficial Interest in Endowment Funds (Continued) The Organization classifies donor-restricted net assets of a perpetual nature held by the SDF as: • The original value of gifts donated to the fund • The original value of the Organization’s funds transferred to the fund • The original value of subsequent gifts donated to the fund • Investment income and realized and unrealized gains and losses on investment • Distributions from the fund in accordance with the spending policy The SDF has adopted investment and spending policies for endowment funds that: • Protect the invested assets • Preserve spending capacity of the fund income • Maintain a diversified portfolio of assets that meet investment return objectives while keeping risk at a level commensurate with that of the median fund in comparable foundation • Comply with applicable laws The SDF’s endowment funds are invested in a diversified portfolio of equity and debt securities, which is structured for long-term total rate. The SDF’s spending policy is to disburse 5% annually, based upon endowment principal market value over the last 36 months. These calculations are made on a monthly basis. If the market value of the endowment principal of any fund, at the end of each month, is less than the initial value of all contributions made to the endowment principal, then distributions will be limited to interest and dividends received. March 12, 2026 Item #1 Page 135 of 156 NOTE 8 – Beneficial Interest in Endowment Funds (Continued) Endowment composition by changes in endowment net assets as of and for the years ended June 30: 2023 2022 Endowment funds, beginning of year 400,052$ 432,907$ Investment return, net of fees 27,316 (16,578) Amounts appropriated for expenditure (17,417) (16,277) Endowment funds, end of year 409,951$ 400,052$ The following reflects the Organization’s endowment net asset composition as of June 30: Original donor-restricted gift amounts required to be maintained in perpetuity: 2023 2022 Total endowment funds classified as net assets with donor restrictions 308,369$ 308,369$ Portion of perpetual endowment funds subject to a time restriction under UPMIFA without purpose restriction 101,582 91,683 Total endowment funds classified as net assets with donor restrictions 409,951$ 400,052$ March 12, 2026 Item #1 Page 136 of 156 NOTE 9 – Retirement Plan The Organization maintains a 403(b) retirement plan and covers substantially all employees. Employees may elect to defer up to 100% of their salaries, subject to certain limitations. The Organization may elect to provide matching contributions at its sole discretion. Employees are eligible for discretionary matching contributions after they have completed six months of service and have attained the age of 21. There were no discretionary matching contributions for the years ended June 30, 2023 and 2022. NOTE 10 – Lease Arrangements The Organization leases space for its resale shop under an operating lease, which extends to September 30, 2024. The Organization also leases equipment, which extends to April 30, 2028. The resale shop includes renewal options which can extend the lease term up to another two years. The exercise of these renewal options is at the sole discretion of the Organization, and only lease options that the Organization believes are reasonably certain to exercise are included in the measurement of the lease assets and liabilities. The Organization believes it is highly certain that the renewal will be exercised and as such, is included in the measurement for the lease assets and liabilities. The lease agreements provide for minimum lease payments and do not include any material residual value guarantees of restrictive covenants. The components of operating lease expenses that are included in “Occupancy” expenses in the statement of functional expenses were as follows: June 30, 2023 Operating lease right-of-use assets 302,687$ Current portion of operating lease liabilities 87,333$ Long-term portion of operating lease liabilities 219,019 306,352$ March 12, 2026 Item #1 Page 137 of 156 NOTE 10 – Lease Arrangements (Continued) The following summarizes the cash flow information related to leases for the year ended June 30, 2023: For the Year Ended June 30, 2023 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 84,624$ Noncash investing and financing activity: Right-of-use assets obtained in exchange for operating lease liabilities in adopting ASC 842 348,623$ Right-of-use assets obtained in exchange for new operating lease liabilities during the year 33,330$ The weighted-average remaining lease terms and discount rate were as follows as of the year ended June 30, 2023: June 30, 2023 Weighted-average remaining lease term - operating leases 3.42 years Weighted-average discount rate - operating leases 2.93% March 12, 2026 Item #1 Page 138 of 156 NOTE 10 – Lease Arrangements (Continued) The maturities of operating lease liabilities as of June 30, 2023 are as follows: 2024 94,923$ 2025 95,693 2026 95,693 2027 29,357 2028 6,040 Total minimum lease payments:321,706 Less amount representing interest:(15,354) Present value of minimum lease payments 306,352 Less current portion:(87,333) 219,019$ June 30, Year Ending As discussed in Note 3, the Organization receives the free use of office space in a building owned by the City of Oceanside (the “City”) in consideration for programs, services and activities provided to the public. The lease agreement expired July 15, 2022. On August 24, 2022, the lease was renewed through July 15, 2032 and is renewable for an additional 10-year lease term at the discretion of the City. The Organization also receives the free use of residential property owned by the City used for the purpose of a women’s shelter with rent of $1 per year. The lease agreement expired December 31, 2019 and is renewable for an additional 10-year lease term at the discretion of the City. In May 2019, the City renewed the lease agreement for an additional 10-year lease term expiring December 31, 2029. March 12, 2026 Item #1 Page 139 of 156 NOTE 11 – Contingencies Grants and Contracts The Organization receives revenue from government grants and contracts which are subject to audit. No provision has been made for any liabilities that may arise from such audits since the amounts, if any, cannot be determined. Management believes that any liability which may result from these audits is not significant. Other Contingencies From time to time, the Organization may be involved in litigation and other potential legal claims as a result of its ongoing business activities. Management believes that the outcome of any such litigation would not have a material adverse effect on the Organization's statement of financial position, results of operations, or liquidity. March 12, 2026 Item #1 Page 140 of 156 SUPPLEMENTARY INFORMATION March 12, 2026 Item #1 Page 141 of 156 INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Board of Directors of Women’s Resource Center, Inc. We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the Women’s Resource Center, Inc. (the Organization), which comprise the statement of financial position as of June 30, 2023, and the related statements of activities, functional expenses, and cash flows for the year then ended, and the related notes to the financial statements, and have issued our report thereon dated September 30, 2024. Report on Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Organization’s internal control over financial reporting (internal control) as a basis for designing the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Organization’s internal control. Accordingly, we do not express an opinion on the effectiveness of the Organization’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected, on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. March 12, 2026 Item #1 Page 142 of 156 Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies, and therefore, material weaknesses or significant deficiencies may exist that were not identified. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. We identified certain deficiencies in internal control, described in the accompanying schedule of findings and questions costs as item 2023-01, 2023-02, and 2023-03, that we consider to be a significant deficiency. Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the Organization’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Women’s Resource Center, Inc.’s Response to Findings Government Auditing Standards requires the auditor to perform limited procedures on the Organization’s response to the findings identified in our audit and described in the accompanying schedule of findings and questioned costs. The Organization’s response was not subjected to the other auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on the response. Purpose of This Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Organization’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Organization’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Long Beach, California September 30, 2024 March 12, 2026 Item #1 Page 143 of 156 INDEPENDENT AUDITORS’ REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE To the Board of Directors of Women’s Resource Center, Inc. Report on Compliance for Each Major Federal Program Opinion on Each Major Federal Program We have audited Women’s Resource Center, Inc.’s (the Organization) compliance with the types of compliance requirements identified as subject to audit in the OMB Compliance Supplement that could have a direct and material effect on each of Organization’s major federal programs for the year ended June 30, 2023. The Organization’s major federal programs are identified in the summary of auditors’ results section of the accompanying schedule of findings and questioned costs. In our opinion, the Organization complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the year ended June 30, 2023. Basis for Opinion on Each Major Federal Program We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the Auditors’ Responsibilities for the Audit of Compliance section of our report. We are required to be independent of the Organization and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on compliance for each major federal program. Our audit does not provide a legal determination of the Organization’s compliance with the compliance requirements referred to above. March 12, 2026 Item #1 Page 144 of 156 Responsibilities of Management for Compliance Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the Organization’s federal programs. Auditors’ Responsibilities for the Audit of Compliance Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on the Organization’s compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and, therefore, is not a guarantee that an audit conducted in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance will always detect material noncompliance when it exists. The risk of not detecting material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the Organization’s compliance with the requirements of each major federal program as a whole. In performing an audit in accordance with generally accepted auditing standards, Government Auditing Standards, and the Uniform Guidance, we: • Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the Organization’s compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. • Obtain an understanding of the Organization’s internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of the Organization’s internal control over compliance. Accordingly, no such opinion is expressed. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit. March 12, 2026 Item #1 Page 145 of 156 Report on Internal Control over Compliance A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the Auditors’ Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. Given these limitations, during our audit, we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were not identified. Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed. Purpose of this Report The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. Long Beach, California September 30, 2024 March 12, 2026 Item #1 Page 146 of 156 Federal Assisted Total Contract Listing Program Federal Number Number Grant Period Award Expenditures Pass-through California Office of Emergency Services Domestic Violence Assistance Program 2020 FVPA DV20 20 1028 93.671 10/1/2021 - 9/30/2022 $ 65,000 $ 14,868 Domestic Violence Assistance Program 2020 FVPS DV20 20 1028 93.671 10/1/2021 - 9/30/2022 123,477 21,807 Domestic Violence Assistance Program 2022 FVPS DV22 22 1028 93.671 10/1/2022 - 9/30/2023 79,897 79,897 Rape Crisis Program 2021 FVSA RC21 41 1028 93.497 10/1/2021 - 9/30/2022 103,119 79,201 Total U.S. Department of Health and Human Services $ 371,493 $ 195,773 Pass-through California Office of Emergency Services Rape Crisis 201 RC22 42 1028 16.575 10/1/2022 - 9/30/2023 297,226$ 281,960$ Domestic Violence Assistance Program 2021 VOCA DV22 22 1028 16.575 10/1/2022 - 9/30/2023 255,710 255,710 Total U.S. Department of Justice 552,936$ 537,670$ Pass-through City of Carlsbad Community Development Block Grant PSA23-07CDBG 14.218 7/1/2022 - 6/30/2023 10,000$ 10,000$ Pass-through City of Oceanside Continum of Care Program CA0714L9D01211 14.267 2/1/2022 - 1/31/2023 138,206 92,260 Supportive Housing Program N/A 14.235 2/1/2023 - 1/31/2024 138,206 7,365 Total U.S. Department of Health and Human Services 286,412$ 109,625$ Total Expenditures of Federal Awards 1,210,841$ 843,068$ U.S. Department of Housing and Urban Development Program Title U.S. Department of Justice Federal Grantor/Pass-Through Grantor/ U.S. Department of Health and Human Services March 12, 2026 Item #1 Page 147 of 156 NOTE 1 – Basis of Presentation The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Women's Resource Center, Inc. under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Women's Resource Center, Inc. it is not intended to and does not present the financial position, changes in net assets, or cash flows of Women's Resource Center, Inc. NOTE 2 – Summary of Significant Accounting Policies Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles contained in Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. NOTE 3 – Indirect Cost Rate Women's Resource Center, Inc. has elected not to use the 10% de minimis cost rate as allowed under Uniform Guidance. March 12, 2026 Item #1 Page 148 of 156 SECTION I – SUMMARY OF AUDITORS’ RESULTS Financial Statements The independent auditors’ report expresses an unmodified opinion on whether the financial statements of the Organization were prepared in accordance with generally accepted accounting principles. Internal control over financial reporting Material weakness(es) identified? – No Significant deficiencies identified? – Yes Noncompliance material to financial statements noted? – No Federal Awards Internal control over major programs Material weakness(es) identified? – No Significant deficiencies identified? – None reported Type of auditors’ report issued on compliance for major programs? – Unmodified Any audit findings disclosed that are required to be reported in accordance with 2 CFR section 200.516(a)? – No Identification of major programs: Crime Victim Assistance (CFDA 16.575) Dollar threshold used to distinguish between Type A and Type B programs was $750,000. Auditee qualified as low-risk auditee? – No March 12, 2026 Item #1 Page 149 of 156 SECTION II – FINDINGS – FINANCIAL STATEMENTS AUDIT The following items are considered to be significant deficiencies: 2023-01 Payroll Allocations, Review, and Approval Condition: Management has established internal control procedures to process payroll and allocate among various state and governmental contracts, which generally include review or approval of transactions to ensure they are authorized and accurate. During the audit, we noted manual allocations between various contracts where documentation was not maintained to support the methodology or reasoning behind the adjustments. Additionally, there was no documentation for management’s review and approval for the processing of payroll, or over the allocation workbook. Criteria: Management is responsible for maintaining internal controls to ensure payroll allocation methodologies are consistent and reasonable. Any deviations, adjustments, or changes to the standard should be strictly documented. Strong internal controls provide for a control environment where errors and miscoded transactions are detected and corrected on a timely basis. Maintaining a system to verify appropriate expense allocations, along with documentation supporting the approval is key to strong internal controls. Cause: The Organization experienced significant turnover in management and accounting personnel during the year, which led to some controls not operating as effectively as designed. The individual leading the payroll allocation process was no longer working at the Organization during the audit and as such, the documentation supporting the manual adjustments was not located. Effect: Incorrect or non-approved payroll transaction may be incorrectly charged to the wrong contract/project leading to inaccurate financial reporting. Recommendation: We recommend the Organization implement a formalized policy and procedures document that outlines the methodology for payroll allocations in a consistent manner. Enforcing this policy, along with requiring documentation for any changes will help ensure accounting records are consistently maintained even with transitions. March 12, 2026 Item #1 Page 150 of 156 SECTION II – FINDINGS – FINANCIAL STATEMENTS AUDIT (Continued) 2023-01 Payroll Allocations, Review, and Approval (Continued) Managements Response: Management agrees with the finding and is currently in the process of developing corrective actions to address the findings. 2023-02 Resale Shop Revenue Condition: Management has established internal control procedures to process sales transactions occurring at the resale shop, which generally includes cash deposits and reconciliation of the register tape. During the audit, we noted there were several instances where documentation was not always maintained to support the process as designed. Criteria: Management is responsible for establishing and maintaining an effective system of internal control over financial reporting, which includes timely cash reconciliations between the register tape and deposit details. These processes should be reviewed and approved by management, as well as the documentation filed in an organized manner for ease of retrieval. Cause: The Organization experienced turnover in management and accounting personnel during the year, which led to some controls not operating as effectively as designed. Effect: Financial reporting may not be accurate, and misappropriation of assets may occur. Recommendation: We recommend that the Organization revisit the controls over the resale shop and cash management processes and ensure documentation is maintained for all transactions. We also recommend that the documentation contain appropriate signatures to confirm it was reviewed and determined to be an appropriately recognized transaction. March 12, 2026 Item #1 Page 151 of 156 SECTION II – FINDINGS – FINANCIAL STATEMENTS AUDIT (Continued) 2023-02 Resale Shop Revenue (Continued) Managements Response: Management agrees with the finding and is currently in the process of developing corrective actions to address the findings. 2023-03 Management Review and Oversight Condition: Management has established internal control procedures to process financial close, payroll, bank reconciliations, and other significant transactions, which generally include documentation supporting review and approval. During the audit, we noted documentation was not always maintained to support the review and approval process for various transaction cycles. Criteria: Management is responsible for establishing and maintaining internal controls over financial reporting, which includes ensuring transactions are properly supported, authorized, and accurate. Strong internal controls provide for a control environment where errors and miscoded transactions are detected and corrected in a timely basis and documentation assists management substantiate that controls are operating as designed. Cause: The Organization experienced turnover in management and accounting personnel during the year, which led to some controls not operating as effectively as designed. Effect: Financial reporting may not be accurate. Recommendation: We recommend management ensure policies and procedures in place include specific controls for retention of written documentation supporting the review and approval of transactions. We also recommend management evaluate their control process to ensure financial supporting documentation is appropriately stored for easy use and recovery, should there be turnover of staff. March 12, 2026 Item #1 Page 152 of 156 SECTION II – FINDINGS – FINANCIAL STATEMENTS AUDIT (Continued) 2023-03 Management Review and Oversight (Continued) Managements Response: Management agrees with the finding and is currently in the process of developing corrective actions to address the findings. SECTION III – FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL PROGRAMS AUDIT None. March 12, 2026 Item #1 Page 153 of 156 1963 Apple Street ● Oceanside, California 92054 (760) 757-3500 24 HOUR EXECUTIVE SUMMARY Since 1974, the Women’s Resource Center (WRC) has been a recognized and trusted leader in domestic violence prevention and intervention, providing quality, compassionate, and innovative services to individuals and families affected by domestic violence and sexual assault. What began as an urgent call to action by five local Oceanside women 50 years ago has now grown into a trusted community resource to support victims and survivors who have suffered physical, sexual, financial or emotional harm due to a criminal act. We value the City of Carlsbad’s commitment in addressing and responding to society’s most urgent needs and believe our agile organization would be an engaged and impactful partner for 2026-27. Our $12,000.00 CDBG grant request is in direct alignment with the City of Carlsbad’s FY 2025-2030 Consolidated Plan in respect to Priority 2 and 5 in serving the city’s residents who are facing homelessness or housing instability and need strategic support systems that directly improve their lives. The Alternatives to Abuse program at WRC is an existing and ongoing shelter/housing service for survivors of domestic violence and sexual assault. As we continue operations of our 28-day emergency shelter and transitional housing sites, WRC remains committed to addressing the complex needs of survivors of domestic violence and sexual assault who are already faced with homelessness, food insecurity and in need of mental health support and other critical resources. WRC is unique as we are only one of two agencies within San Diego County that offer dual services for sexual assault and domestic violence survivors. In 2024, WRC served 1,329 individuals who participated in our emergency shelter and transitional housing services with 15,242 safe bed nights. Our 24/7 crisis hotline answered 3,508 calls, addressing a variety of basic human needs, including safe housing, emergency food, restraining orders, divorce attorney referrals and more. For this project, WRC anticipates serving 1,300 adults and 169 children, including 77 residents of Carlsbad for the 2026-27 reporting period. The Alternatives to Abuse Program, with a budget of $856,020.00, is one of five signature programs managed by our core executive team including Ariel Reyes, Chief Executive Officer, Mitzi Garcia, Chief of Staff, and Veronica Torres, Director of Programs, who directly oversees the Alternatives to Abuse housing initiative. Thank you for your commitment to helping the neighbors of Carlsbad live to their fullest potential and fostering a more compassionate community for us all. BOARD OF DIRECTORS OFFICERS 2025 KEVIN CADIEUX Chair Retired Senior Vice President Qualcomm JODI ALLEN Senior Vice President People & Culture at Carlsmed, Inc. KATIE ARNER-PUCCINELLI Secretary Senior Director, Finance at Qualcomm BILL CHENOWETH Treasurer Senior Vice President/ Senior Investment Officer Northern Trust DIRECTORS JACQUIE NELISSEN VP of Finance & Operations at Sureti SUE SIMPSON MSN,RN LORIN BELLER Lorin Beller & Co. Consulting AUDREY POWERS THORNTON Attorney Thornton- Koller TONY BUTLER Fidelis Book Keeping & Payroll Services DIRECTOR EMERITUS COLLEEN O’HARRA Founder Attorney Professional Fiduciary EX-OFFICIO MEMBER Ariel E. Reyes Chief Executive Officer March 12, 2026 Item #1 Page 154 of 156 Matthew Hoover WRC Thrift Store Manager Ariel E. Reyes, MBA Chief Executive Officer Jordan Grant Accountant Mitzi Garcia Director of Staff Veronica Torres Director of Programs Colleen McNatt Engelbrecht, GPC Grant Writer Emma Arrieta Office Manager Joe McDaniel Grant Coordinator Crystal Lopez Volunteer Coordinator Olivia Franz-Bawden Receptionist Danny Escalante Maintenance Technician Assistant Director of Residential Services Jessica Purvis, LCSW, RPT Clinical Supervisor Vanessa Saldivar, MSW Associate Social Worker Montse Cruz Hotline Advocate Carlos Morales Program Coordinator Alondra Mendoza Mobile Victims Advocate Sara Hines Lead Residential Counselor Stephanie Hurtado Senior Case Worker Daniella Vera Case Worker Residential Counselors WRC ORGANIZATIONAL STRUCTURE CHART Lee Conner WRC Thrift Store Assistant Manager Simone Brown Philanthropy Coordinator March 12, 2026 Item #1 Page 155 of 156 SUMMARY FY 2024-25 CDBG PROGRAM FUNDING AND ACCOMPLISHMENTS Public Services Allocated Expended Accomplishments Interfaith Community Services $62,611 $62,611 523 Carlsbad households assisted Community Resource Center $77,732 $77,732 21 Carlsbad households assisted Subtotal $140,343 $140,343 544 Carlsbad households assisted Capital Improvements and Other Projects Allocated Expended Accomplishments Affordable Housing Fund $276,823 $866,255 Four first-time home-buyer households assisted, and one additional affordable unit acquired to be resold to low-income buyers in FY 2025-26 Casa de Amparo $100,000 $100,000 70 youth assisted (Carlsbad residents unknown) Subtotal $376,823 $966,255 4 Carlsbad households assisted Planning and Administration Allocated Expended Accomplishments Administration $130,951 $103,380 Overall program administration and consolidated plan preparation Legal Aid Society of San Diego $27,978 $27,778 117 Carlsbad residents assisted Subtotal $158,929 $131,158 117 Carlsbad residents assisted TOTAL $676,095 $1,237,756 665 Carlsbad households assisted *During FY 2024-25, $1,237,756 has been drawn in IDIS, which includes $686,424 in current and prior year program income, and $551,332 in current and prior year entitlement funds. March 12, 2026 Item #1 Page 156 of 156 Exhibit 4 Community Development Block Grant Program FY 2026-27 Funding Recommendations Housing Commission March 12, 2026 TODAY’S PRESENTATION •Community Development Block Grant (CDBG) Overview •FY 2026-27 Funding Recommendations 2 ITEM 1: CDBG FY 2026-27 FUNDING CDBG OVERVIEW •City of Carlsbad entitlement grantee •Administered by Housing & Urban Development (HUD) •Annual grant ~ $500,000 •Requirements include planning and public participation ITEM 1: CDBG FY 2026-27 FUNDING 3 ITEM 1: CDBG FY 2026-27 FUNDING 2025-30 CONSOLIDATED PLAN Priority 1: Affordable Housing Priority 2: Homelessness Priority 3: Fair Housing Priority 4: Planning and Administration Priority 5: Supportive Services Priority 6: Facilities and Infrastructure 4 5 THREE IMPORTANT DOCUMENTSFUNDING ALLOCATION PROCESS 5 Notice of Funding Availability (NOFA) Evaluated by the Housing Commission Annual Action Plan approved by City Council FY 2026-27 Funding Recommendations 7 Funding Overview & Summary ITEM 1: CDBG FY 2026-27 FUNDING Estimated $534,758 •Public services capped at 15% •Estimated $80,214 •Four (4) applications = $237,428 •Administration & Fair Housing capped at 20% •Estimated $106,952 •Two (2) applications = $106,952 •Housing & Infrastructure not capped •Estimated $347,593 •Two (2) applications received = $361,543 8 PUBLIC SERVICES ITEM 1: CDBG FY 2026-27 FUNDING ORGANIZATION PROGRAM FY 2026-27 REQUEST FY 2026-27 RECOMMEND Community Resource Center Homelessness Prevention $80,214 $25,114 Interfaith Community Services Rental Assistance, Basic Needs $80,214 $55,114 Los Angeles Wealth & Opportunity Institute Workforce Training and Financial Literacy for Low-Income Residents $65,000 $0 Women’s Resource Center Shelter Operations $12,000 $0* TOTALS $237,428 $80,214 * Women’s Resource Center has been identified to receive $10,000 from the city’s general fund under the Homelessness Action Plan’s Funding Plan. 10 AFFORDABLE HOUSING & FACILITIES ITEM 1: CDBG FY 2026-27 FUNDING ORGANIZATION PROJECT FY 2026-27 REQUEST FY 2026-27 RECOMMEND Casa de Amparo Facility Improvements $13,950 $0 City of Carlsbad Affordable Housing Fund $347,593 $347,593 TOTALS $361,543 $347,593 11 PROGRAM ADMINISTRATION & FAIR HOUSING ITEM 1: CDBG FY 2026-27 FUNDING ORGANIZATION PROGRAM FY 2026-27 REQUEST FY 2026-27 RECOMMEND Legal Aid Society of San Diego Fair Housing Services $30,000 $30,000 City of Carlsbad Program Administration $76,951 $76,951 TOTALS $106,951 $106,951 12 NEXT STEPS Present FY 2026-27 funding recommendations ITEM 1: CDBG FY 2026-27 FUNDING Housing Commission Public review City Council public hearing Submission Review & comment period (March 30 – April 28, 2026) Approval of Action Plan (April 28, 2026) Submit to HUD (May 15, 2026) 13 RESOLUTION ITEM 1: CDBG FY 2026-27 FUNDING A Resolution of the Housing Commission of the City of Carlsbad, California, approving the FY 2026-27 funding recommendations to incorporate into the FY 2026-27 Annual Action Plan and recommending City Council approve the FY 2026-27 Annual Action Plan for the Community Development Block Grant Program 14 Questions