HomeMy WebLinkAbout2013-04-02; City Council; 21184; 2013-14 CDBG HOME Investment Partnership ProgramCITY OF CARLSBAD - AGENDA BILL
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AB# 21.184 2013-2014 COMf\nUNlTY
DEVELOPIiAENT BLOCK GRANT AND
HOME INVESmENT PARTNERSHIP
PROGRAM
DEPT. HEA^^ry^j/p^C^
MTG. 4/2/2013
2013-2014 COMf\nUNlTY
DEVELOPIiAENT BLOCK GRANT AND
HOME INVESmENT PARTNERSHIP
PROGRAM
CITY ATTY. J^j
DEPT. HNS
2013-2014 COMf\nUNlTY
DEVELOPIiAENT BLOCK GRANT AND
HOME INVESmENT PARTNERSHIP
PROGRAM CITY MGR. /"Ql^
RECOMMENDED ACTION:
Hold a public hearing to accept comments on the housing and community development needs of
lower income households within the City of Carisbad. In addition, the City Council may accept
comments on the various proposals that have been submitted for funding under the City of Carisbad's
2013-2014 Community Development Block Grant (CDBG) and HOME Investment Partnership
Program.
ITEM EXPLANATION:
Under Title I ofthe Housing and Community Development Act of 1974, the City of Carisbad continues
to be eligible to receive funding under the U.S. Department of Housing and Urban Development
(HUD) CDBG Program to finance programs that serve the needs of lower income persons. As a
participant in the San Diego Urban HOME Investment Partnership (HOME) Consortium, the City will
also receive federal funds to provide affordable housing opportunities for lower income households.
In identifying the needs of lower income persons, federal regulations require that the City Council hold
at least two public hearings to obtain the views of citizens on Carisbad's housing and community
development needs. An initial public hearing to invite comments on the City's CBDG/HOME Program
Consolidated Funding Plan Strategy was held on November 6, 2012. This second public hearing will
provide another opportunity to obtain comments on the Consolidated Funding Plan Strategy (Exhibit
1) and the City's housing and community development needs. In addition, this hearing will provide an
opportunity for public comment on the specific proposals submitted for funding through the Carisbad
2013-2014 CDBG/HOME Program. The City Council will consider approval of the proposals and
funding levels at a future meeting.
The total amount of CDBG funds available to the City forthe 2013-2014 program year is unknown at
this stage in the federal budgeting process. However, it is anticipated that the City may receive less
than the $405,550 allocation it received for the 2012-2013 program year. In addition to the new
allocation for the 2013-2014 program year, the City received approximately $226,140 in program
income from affordable housing loans that is available for allocation to new projects. Of the estimated
total of $631,690 in CDBG funding, approximately $81,110 will be used for the City's administration of
the program and fair housing services. Approximately $60,832 will be available for public service
activities. It is estimated that approximately $489,748 will be available for affordable housing and
public facilities. Staff anticipates that Carisbad will receive approximately $146,100 in HOME funds
for allocation during the 2013-2014 fiscal year.
DEPARTMENT CONTACT: Frank Boensch 760-434-2818 frank.boensch@carisbadca.gov
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION: APPROVED CONTINUED TO DATE SPECIFIC •
DENIED • CONTINUED TO DATE UNKNOWN •
WITHDRAWN • RETURNED TO STAFF •
AMENDED • COUNCIL RECEIVED THE •
REPORT/PRESENTATION
OTHER-SEE MINUTES •
PAGE 2
The City received eighteen proposals for use of CDBG or HOME funds in response to a Request for
Proposals distributed in November and December of 2012. The CDBG/HOME Advisory Committee
evaluated the proposals and interviewed applicants prior to developing the funding recommendations
outlined in Exhibit 2. The chart below summarizes the amount of funding requested and the
maximum amount that may be available for allocation in each expenditure category:
EXPENDITURE CATEGORY
AMOUNT OF
REQUESTED
FUNDING ($)
AMOUNT OF
AVAILABLE
FUNDING ($)
CDBG
Public Services 148,131 60,832
Public Facility Improvements,
Affordable Housing & Other Projects 1,022,148 489,748
Administration and Fair Housing* 81,110 81,110
Total 1,251,389 631,690
HOME
Affordable Housing 200,000 146,100
Incl. $10,100 for fair hsg svcs
CDBG FUNDS
The Committee recommends that $60,000 in CDBG funds available for public service activities be
allocated to twelve different organizations. The only application for public facility funds came from
Hospice of the North Coast for acquisition of a hospice house. The City Council allocated funds from
previous years to that organization for that purpose after their application was submitted and they
completed that purchase eariier this year. As a result. Hospice of the North Coast withdrew their
application for 2013-2014 funds.
Because no other applications were received for public facilities from non-city organizations, staff is
recommending that $100,000 be allocated to complete a feasibility study and application to the Public
Utilities Commission for a pedestrian railway crossing at Chestnut Avenue. Public Works staff has
confirmed that this portion of the pedestrian crossing project could move fonA/ard within the next
program year, and HUD staff has agreed the project is eligible for CDBG funds. The Citizens Advisory
Committee is in favor of allocating those funds for the project. The Committee is also recommending
that the remainder of approximately $389,748 in CDBG funds available in the Public Facility
Improvements and Affordable Housing categories be allocated to the City's Housing Reserve Fund for
future affordable housing; the specific project(s) will need to be reviewed again at a later date by the
City Council. Finally, the Committee is recommending that $10,100 of funds available for
Administration be provided to the Center for Social Advocacy to assist residents with fair housing
services as required by HUD to receive CDBG funds; the City will receive the remaining funds
($71,010) for administration ofthe CDBG program.
HOME FUNDS
The Committee is recommending that the City Council allocate $146,100 in HOME funds to the City's
Down Payment and Closing Cost Assistance Program. This is an existing program that assists lower
income households to purchase affordable homes in Carisbad.
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PAGE 3
RECOMMENDATION:
It is staff's recommendation that the City Council accept public comments on the needs of low income
persons and the proposals submitted for funding under the City's 2013-2014 CDBG/HOME Program
to meet those needs. No action, other than holding the public hearing and accepting comments, is
required of the City Council at this meeting. A future meeting will be scheduled at a later date for the
City Council to take action on the noted requests and recommended allocations of CDBG funds.
FISCAL IMPACT:
It is anticipated that approximately $631,690 will be available for allocation through the City's 2013-
2014 CDBG Program, and approximately $146,100 through the City's HOME Program. The City may
use up to twenty percent (20%) of the new CDBG allocation, or approximately $81,110, for
administration of the City's CDBG program and fair housing services. The Advisory Committee is
recommending that $10,100 of those funds be used to contract with the Center for Social Advocacy to
provide fair housing services to Carisbad residents as a requirement for receiving federal funds
through the CDBG Program. The remainder ofthe allocation available for administration will be used
to reimburse the City for staff and operational expenses related to CDBG program costs.
It is anticipated that the City will receive approximately $3,500 from the County Consortium to
reimburse the City for administrative expenses related to the HOME Program. The CDBG/HOME
Program has no fiscal impact on the General Fund.
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code Section 21065, this action does not constitute a "project" within
the meaning of CEQA in that it has no potential to cause either a direct physical change in the
environment, or a reasonably foreseeable indirect physical change in the environment, and therefore
does not require environmental review.
EXHIBITS:
1. 2013-2014 Consolidated Funding Plan Strategy.
2. Advisory Committee Funding Recommendations.
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Exhibit 1
CITY OF CARLSBAD
CDBG/HOME PROGRAM
2013-2014 FUNDING PLAN
CITY OF CARLSBAD
2013-2014
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
STATEMENT OF COMMUNITY DEVELOPMENT OBJECTIVES
The City of Carlsbad Community Development Block Grant (CDBG) funds will be allocated to
organizations, agencies, City Departments, or persons to implement programs or develop/improve public
facilities which meet the following community development objectives:
1. AFFORDABLE HOUSING:
• Provide direct benefit to lower income persons through the provision or retention of
affordable housing units in Carlsbad;
• Provide shelter or services to homeless or near homeless persons/families which result in
an improved situation through employment, permanent or transitional housing, treatment of
mental, or substance abuse problems, etc.; and,
• Provide direct assistance to lower income households to prevent or eliminate residential
Building or Municipal Code violations and/or improve the quality of housing units in Carlsbad
through residential (rental and/or owner occupied) rehabilitation programs.
2. SOCIAL SERVICES (GENERAL):
• Provide assistance to non-profit public service providers who meet the basic needs of lower
income Carlsbad residents. Basic needs are defined as those which provide food, shelter,
clothing and, in some cases, health care;
• Provide assistance to non-profit public service providers who offer counseling and self-
improvement programs/activities for lower income Carlsbad residents; and,
• Provide assistance to non-profit public service providers who offer recreational and/or
cultural programs/activities for lower income Carlsbad residents.
3. SOCIAL SERVICES (CHILDREN & ADULTS):
• Provide assistance to organizations which administer programs that directly benefit lower
income children living in Carlsbad. The programs must provide one or more of the following
activities: day care, after-school care, cultural enrichment, recreation, health
care/immunization or self-improvement. The City may also give priority to single-parent
assistance programs such as counseling services; and
• Provide assistance to organizations which administer programs that directly benefit low
income adults living in Carisbad. The programs must provide one or more of the following
activities for adults: employment services, job training, and educational programs. Programs
designed for elderiy adults only must provide one or more of the following activities: meals,
homemaking or personal assistance services, financial assistance services, counseling,
transportation, or shared housing or other housing related services.
4. CITY PROJECTS SERVING LOWER INCOME HOUSEHOLDS:
• Provide assistance to City projects which are intended to benefit lower income households.
Such projects must be able to demonstrate that they will serve areas of the City that meet
HUD requirements regarding household incomes for that area.
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CITY OF CARLSBAD
2013-2014
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
SUMMARY OF ESTIMATED FUNDS AVAILABLE FOR 2013-2014 PROGRAM YEAR
Source of Funds
New Entitlement Grant
Program Income
Amount($)
405,550
226.140
TOTAL 631,690
Funds Available bv Activitv
Public Service (Maximum15% of new grant.)
Affordable Housing
Public Facilities, Improvements/Other
Program Administration/Fair Housing (Maximum 20% of new grant)
Total Available Funds
Amount ($)
60,832
244,874
244,874
81,110
631,690
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2013-2014
HOME INVESTMENT PARTNERSHIP
PROGRAM STRATEGY
The City of Carisbad, as a member of the San Diego Urban County HOME Consortium, may
allocate its HOME Investment Partnership funds to implement the following activities directly,
through local housing authorities, or for-profit or non-profit organizations:
1. Propertv Acguisition/Housing Construction
HOME funds may be used for property acquisition and all other eligible costs of
providing new affordable housing for lower-income persons and special needs groups.
2. Housing Acguisition/Rehabilitation
HOME funds may be used for acquisition of existing housing units with or without
rehabilitation for lower-income persons and special needs groups.
3. Housing Rehabilitation
HOME funds may be used for housing rehabilitation costs incurred separately or in
connection with the acquisition of existing housing for lower-income persons and special
needs groups.
4. Rental Assistance
HOME funds may be used for tenant based rental assistance, related residential
security deposit assistance programs, and other eligible related costs.
5. Home Buyer Assistance
HOME funds may be used for home buyer assistance programs for lower income
persons. Such programs may include, but are not limited to, downpayment and closing
cost assistance, direct loan to the home buyer, interest subsidy to the lender, or "gap"
financing.
6. Administration/Planning
A portion of HOME funding may be used for eligible HOME administration and planning
costs, including direct administrative and overhead costs, public information, fair
housing, and program development costs.
Funding Process
The City's portion of HOME funds will be awarded to eligible housing activities
implemented by the City or by for profit or non-profit organizations on behalf of the City.
Staff of the Housing and Neighborhood Services Department shall evaluate and
determine those eligible housing activities to be considered for funding under the HOME
Program based upon the housing need priorities established in the City's General Plan
Housing Element and the Consolidated Plan. Staff will present the recommendations
for project funding to the City Council for consideration and final approval.
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Leverage
In so far as possible, HOME funds will be leveraged with other public and private
funding sources to enhance program productivity.
Area of Activitv
HOME funds may be used for housing activities implemented within the City of Carisbad.
CITY OF CARLSBAD
HOME INVESTMENT PARTNERSHIP PROGRAM
SUMMARY OF FUNDS AVAILABLE FOR 2013-2014 PROGRAM YEAR
2013-2014 HOME Funding Allocation for Carlsbad $146,100
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EXHIBIT 2
2013-2014 CITY OF CARLSBAD CDBG/HOME PROGRAM
LIST OF PROJECT PROPOSALS AND FUNDING RECOMMENDATIONS
APPLICATION
#
AGENCY/PROJECT REQUESTED
AMOUNT
RECOMMENDED
FUNDING
CATEGORY
1 Boys and Giris Club
Teen Scene Program
$15,000 $5,000 Public Service
2 Brother Benno
Brother Benno Center
$10,000 $5,000 Public Service
3 Casa de Amparo/Food Program
for Neglected and Abused Children
$10,000 $5,000 Public Service
4 Catholic Charities / La Posada de
Guadalupe Homeless Shelter
$10,000 $5,000 Public Service
5 Community Resource Center
Homeless Prevention and
Intervention
$7,500 $5,000 Public Service
6 Fraternity House
HIV and AIDS Caregiving Program
$7,825 0 Public Service
7 Interfaith Community Services
Housing and General Assistance
$20,160 $5,000 Public Service
8 Meals on Wheels
Meal Delivery Service
$9,000 $5,000 Public Service
9 North County Community Services
Food Bank
$8,089 $5,000 Public Service
10 North County Health Services /
Health Screening and
Immunizations
$5,000 0 Public Service
11 North County Lifeline
Youth Counseling Program
$17,160 $5,000 Public Service
12 The Angel's Depot
Seniors Meal Program
$8,397 $5,000 Public Service
13 Women's Resource Center
Alternatives to Abuse Shelter
$15,000 $5,000 Public Service
14 YMCA OZ
Youth Shelter
$5,000 $5,000 Public Service
15 Hospice of the North Coast
Hospice Home
$422,148 Application
withdrawn
N/A
16 City of Carisbad
Housing Reserve Fund
$600,000 $389,748 Affordable
Housing
17 City of Carisbad/Down Payment
and Closing Cost Program
$200,000
HOME Only
$146,100
(HOME funds)
Affordable
Housing
18 Center for Social Advocacy
Fair Housing Program
$15,000 $10,100 Fair Housing/
Administrative
N/A City Administration $71,010 $71,010 Fair Housing/
Administrative
N/A Pedestrian Railway Crossing @
Chestnut Avenue
No application
Staff
recommendation
$100,000
(see note below)
Public Facility
Note: An allocation of $100,000 is recommended by staff to be used on completion of a feasibility study and
preparation of an application to the Public Utilities Commission for creating a pedestrian railway crossing at Chestnut
Avenue. The request was submitted by staff and is being recommended for funding because no other applications
were submitted that are eligible for that funding category and residents in the surrounding community would benefit
from improved access across the railway corridor to the coastal area.
This space is for the County Clerk's Filing Stamp
PROOF OF PUBLICATION
(2010 & 2011 CC.P.)
STATE OF CALIFORNIA
County of San Diego
I am a citizen of the United States and a resident
of the County aforesaid: I am over the age of
eighteen years and not a party to or interested in
the above-entitled matter. I am the principal clerk
of the printer of
North County Times
Formerly known as the Blade-Citizen and The
Times-Advocate and which newspapers have been
adjudicated newspapers of general circulation by
the Superior Court of the County of San Diego,
State of California, for the City of Oceanside and
the City of Escondido, Court Decree number
171349, for the County of San Diego, that the
notice of which the annexed is a printed copy (set
in type not smaller than nonpariel), has been
published in each regular and entire issue of said
newspaper and not in any supplement thereof on
the following dates, to-wit:
March 30*^ 2013
Proof of Publication of
City of Carlsbad
2013-2014 Annual Funding Plan for Community Development Block Grant (CDBG)
Program and HOME Investment Partnership (HOME) Program
Notice of Public Hearing
The citizens of Carlsbad and other interested parties are hereby notified that Carlsbad's City Council will hold a public hearing
on Tuesday, April 2, 2013 at 6:00 pm in the Council Chambers lo-cated 1200 Carlsbad Village Drive to accept public comments on
the needs of lower income persons in Carlsbad for development of the City's CDBG/HOME Program's 2013-2014 Annual Funding
Plan. Public comments will also be received on proposals sub-mitted for funding through the City's 2013-2014 CDBG/HOME
Program. The City has approximately $631,000 available for al-location to eligible CDBG projects and approximately $146,000
for allocation to eligible HOME proiects.
The City of Carlsbad is committed to using CDBG/HOME funds
to finance projects/services that provide direct benefit to lower income residents. To develop a CDBG/HOME program that
meets the needs of the low and moderate-income population, the City of Carlsbad requests assistance from members of the com-
munity. Citizen participation is critical to the success of the Carlsbad CDBG/HOME program. Therefore, the City invites all
community members to consider the needs of lower income per-sons within Carlsbad, to attend the public meetings, and to pro-vide comments on the housing and community development needs of lower-income persons as part of the development of a 2013-2014 Annual Plan for the program. Public comments are
also requested on the various proposals that have been submit-ted for funding under Carlsbad's 2013-2014 CDBG/HOME Pro-
gram. Those proposals selected for funding will be identified within the Annual Plan as the activities the City will pursue in
the upcoming year to meet the needs of lower income Carlsbad residents. The City has received a total of 18 proposals for
CDBG/HOME funding. The application period for 2013-2014 funds has ended. Copies of all proposals are on file in the Hous-
ing and Neighborhood Services Department.
Persons who have questions or comments regarding the City of Carlsbad's CDBG/HOME Program or who would like more spe-
cific information on the proposals submitted for 2013-2014 CDBG/HOME funding consideration and those being recom-j
mended for funding, please contact the City's CDBG/HOME Ad-ministration staff at (760) 434-2818.
Persons in need of translators or other special services should! contact the City Manager's Office at (760) 434-2821.
PUB: March 30, 2013 10730469
I certify (or declare) under penalty of perjury that
the foregoing is true and correct.
Dated at Escondido, California
On This 01^ day April, 2013
Jane AUshouse
NORTH COUNTY TIMES
Legal Advertising
City of Carlsbad
2013-2014 Annual Funding Plan for
Community Development Block Grant (CDBG) Program
and HOME Investment Partnership (l-IOME) Program
Notice of Public Hearing
The citizens of Carisbad and other interested parties are hereby notified that Carisbad's
City Council will hold a public hearing on Tuesday, April 2, 2013 at 6:00 pm in the
Council Chambers located 1200 Carisbad Village Drive to accept public comments on
the needs of lower income persons in Carlsbad for development of the City's
CDBG/HOME Program's 2013-2014 Annual Funding Plan. Public comments will also
be received on proposals submitted for funding through the City's 2013-2014
CDBG/HOME Program. The City has approximately $631,000 available for allocation
to eligible CDBG projects and approximately $146,000 for allocation to eligible HOME
projects.
The City of Carlsbad is committed to using CDBG/HOME funds to finance
projects/services that provide direct benefit to lower income residents. To develop a
CDBG/HOME program that meets the needs of the low and moderate-income
population, the City of Carisbad requests assistance from members of the community.
Citizen participation is critical to the success of the Carisbad CDBG/HOME program.
Therefore, the City invites all community members to consider the needs of lower
income persons within Carisbad, to attend the public meetings, and to provide
comments on the housing and community development needs of lower-income persons
as part of the development of a 2013-2014 Annual Plan for the program. Public
comments are also requested on the various proposals that have been submitted for
funding under Carlsbad's 2013-2014 CDBG/HOME Program. Those proposals
selected for funding will be identified within the Annual Plan as the activities the City will
pursue in the upcoming year to meet the needs of lower income Carisbad residents.
The City has received a total of 18 proposals for CDBG/HOME funding. The
application period for 2013-2014 funds has ended. Copies of all proposals are on file in
the Housing and Neighborhood Services Department.
Persons who have questions or comments regarding the City of Carlsbad's
CDBG/HOME Program or who would like more specific information on the proposals
submitted for 2013-2014 CDBG/HOME funding consideration and those being
recommended for funding, please contact the City's CDBG/HOME Administration staff
at (760) 434-2818.
Persons in need of translators or other special services should contact the City
Manager's Office at (760) 434-2821.
PUBLISH: March 30, 2013
CITY OF y)^ttReceive-AgendaItem#JI.-
CARLSBAD Forihelnfomationofm^^ www.caHsbadca.gov
CITYCPUNCIL y
Asst-CMAZ^CAJ^CCV/
]\4emOrandum Date3(5a aty Manager^
March 26, 2013
TO: John Coates, City Manager
From- Debbie Fountain, Housing and Neighborhood Sen/Ices Director^^^
Via: Kathy Dodson, Acting Community and Economic Development DirectorT^ 3
Habitat for Humanity Grant Proposal for CDBG funds Re:
The Citv recently received the attached Habitat for Humanity request for $359,900 in funding
from the City's 2013-14 Community Development Block Grant (CDBG) Program to purchase
vacant property on the northeast comer of Harding Street and Chestnut Avenue for affordable
housing purposes. Habitat for Humanity is proposing to develop two to three homes, in a
d uplex or triplex development, to be affordable to low income households, with one home to
be reserved for sale to a wounded veteran. Funds are available through the City s 2013-2014
CDBG Program. Staff is recommending that this request for funding be added to the list of
CDBG funding allocations to be considered by the City Council on April 2, 2013.
Initially no applications for affordable housing grants were submitted by any organizations
other than the City during the recently completed annual application review process. The CDBG
Citizen Advisory Committee approved the $359,900 in funding to be set-aside in a reserve fund
for a future affordable housing development. Staff believes that the attached request from
Habitat for Humanity is eligible forthe affordable housing set-aside funds and recommends
that the City Council approve the requested funding for the noted property acquisitioir The
Advisory Committee has been notified ofthe application by Habitat for Humanity. Staff does
not anticipate any objections from the Advisory Committee to the inclusion of this application
in the 2013-14 CDBG funding program.
A public hearing before the City Council regarding the 2013-14 CDBG Program is scheduled for
April 2' 2013- no action is requested at this meeting. It is an opportunity for the City Council to
hear from the community and consider the input on the suggested allocations of funding. The
City Council will then be asked to consider approving a resolution allocating the recommended
funding amounts shown on the attached list during their meeting on April 30, 2013.
Please contact my office if you have any questions or require addlllOliyl IllfUlllldUuiiuii Lliis
matter. Date:
Dittributioii: '
Attachments City Clefk
C: Acting Assistant City Manager ASSf, City Clerk _
[Deputy C\evk ^
Housing & Neighborhood Services IBQQK,^.,^, —.
M 1200 Carisbad Village Drive I Carlsbad, CA 92008 I 760-434-2810 ||Tg&^20-2037 fax