HomeMy WebLinkAbout2014-03-11; City Council; 21527; 2014-2015 Development Block Grant, Home Investment Partnership ProgramCITY OF CARLSBAD - AGENDA BILL
AB# 21,527 2014-2015 COMMUNITY DEVELOPMENT BLOCK GRANT
AND HOME INVESTMENT PARTNERSHIP PROGRAM
DEPT. DIRECTOR
MTG. 3/11/14 2014-2015 COMMUNITY DEVELOPMENT BLOCK GRANT
AND HOME INVESTMENT PARTNERSHIP PROGRAM CITY ATTORNEY
DEPT. CED
2014-2015 COMMUNITY DEVELOPMENT BLOCK GRANT
AND HOME INVESTMENT PARTNERSHIP PROGRAM CITY MANAGER m
RECOMMENDED ACTION:
That the City Council hold a public hearing to accept comments on the housing and community
development needs of lower income households within the City of Carlsbad. In addition, the City Council
may accept comments on the various proposals that have been submitted for funding under the City of
Carlsbad's 2013-2014 Community Development Block Grant (CDBG) and HOME Investment Partnership
Program.
ITEM EXPLANATION:
Under Title I of the Housing and Community Development Act of 1974, the City of Carlsbad 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, eligible homebuyers in Carlsbad will
benefit from a federally funded down payment assistance program.
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 Carlsbad's housing and community
development needs. An initial public hearing to invite comments on the City's CBDG/HOME Program
Funding Plan was held on November 11, 2013. This second public hearing will provide another
opportunity to obtain comments on the Funding Plan (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 Carlsbad 2013-2014 CDBG Program. The City Council
will consider approval of funding levels for the proposals at a future meeting.
CDBG Program
The primary objective of the CDBG program is to assist lower income persons/households. Each proposed
project must meet at least one of the national objectives for the CDBG Program and at least one of the
local housing and community development objectives. These national and local objectives are outlined in
the CDBG/HOME Program Funding Plan. These objectives reflect the City's desire to develop a program
which best meets the various needs of low and moderate-income Carlsbad residents.
The amount of CDBG funds available to the City for the 2014-2015 program year is unknown at this stage
in the federal budgeting process. However, the total funds budgeted to HUD for the CDBG program next
year is less than the current year's budget. It is anticipated that the City will receive less than the
$470,769 allocation it received for the current 2013-2014 program year.
DEPARTMENT CONTACT: Frank Boensch 760-434-2818 frank.boensch@carlsbadca.gov
FOR CITY CLERKS USE ONLY.
COUNCIL ACTION: APPROVED • CONTINUED TO DATE SPECIFIC •
DENIED • CONTINUED TO DATE UNKNOWN •
CONTINUED • RETURNED TO STAFF •
WITHDRAWN • OTHER-SEE MINUTES
AMENDED • COUNCIL CONDUCTED THE
PUBLIC HEARING AND
RECEIVED COMMENTS
PageZ
The City received seventeen proposals for use of CDBG or HOME funds in response to a Request for
Proposals distributed in November and December of 2013. The CDBG/HOME Advisory Committee
evaluated the proposals and interviewed applicants prior to developing the funding recommendations
outlined in Exhibit 2. The Committee recommends that $69,000 in CDBG funds available for public service
activities be allocated to twelve different organizations. The only applications for public facility funds
came from Solutions for Change for improvements to their Solutions Farms facility. No allocation of funds
is recommended for that project due to eligibility concerns expressed by HUD representatives.
The only applications for affordable housing were from Community Housing Works for a down payment
assistance program and from staff for the City's Housing Reserve Fund. No allocation is recommended for
the Community Housing Works proposal as the County will be implementing a down payment assistance
program as described in the section regarding HOME funds below. The Committee recommends that
approximately $307,000 in funds available for housing, facility improvements, or other eligible activities
be allocated to the City's Housing Reserve Fund for future affordable housing. Recommendations for the
specific project(s) to be funded through the Housing Reserve Fund will be presented for City Council
consideration at a later date. The Committee is also recommending that $11,000 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 approximately $83,000 for administration
ofthe CDBG program.
HOME Program
The primary objective of the HOME program is to provide affordable housing opportunities for lower
income households. The County of San Diego is the lead agency for the Count/s HOME Consortium,
which also includes a number of other cities. In past years, the County has allowed member cities to use
HOME funds for any eligible program within their communities. Carlsbad has allocated the majority of its
share of HOME funds for a down payment assistance program since it was started over six years ago.
Much more restrictive regulations have recently been adopted for the use of HOME funds and the County
has determined that it must restrict the use of those funds because of the added administrative burden
brought about by the new regulations. As a result, member cities will no longer be able to choose what
programs they wish to provide with HOME funds. Instead, the County of San Diego will administer a
down payment assistance program that will be available to any eligible household wishing to purchase a
home in the County unincorporated area, or within the boundaries any ofthe Consortium member cities.
The County program will allow households earning up to 80% of the area median income to obtain loans
of up to 33% of a home's purchase price, up to a maximum of $70,000.
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 2014-2015 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:
The CDBG/HOME Program has no fiscal impact on the General Fund. No new HOME funds will be
available for allocation, but City residents will be eligible to participate in the County's down payment
assistance program funded through the HOME Program. It is anticipated that approximately $470,000
will be available for allocation through the City's 2014-2015 CDBG Program
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The City may use up to twenty percent (20%) of the new CDBG allocation, or approximately $94,000, for
administration of the City's CDBG program and fair housing services. The Advisory Committee is
recommending that $11,000 of those funds be used to contract with the Center for Social Advocacy to
provide fair housing services to Carlsbad residents as a requirement for receiving federal funds through
the CDBG Program. The remainder of the allocation available for administration is recommended to be
used to reimburse the City for staff and operational expenses related to CDBG program costs.
ENVIRONMENTAL IMPACT:
Pursuant to Public Resources Code Section 21065, holding a public hearing to accept comments on the
housing and community development needs of lower income households within the City of Carlsbad and
accepting comments on the various proposals that have been submitted for CDBG funding 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. 2014-2015 Consolidated Funding Plan Strategy
2. Advisory Committee Funding Recommendations.
EXHIBIT 1
CITY OF CARLSBAD
CDBG/HOME PROGRAM
2014-2015 FUNDING PLAN
CITY OF CARLSBAD
2014-2015
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 Carlsbad. The programs must provide one or more of the following
activities for adults: employment services, job training, and educational programs. Programs
designed for elderly 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.
CITY OF CARLSBAD
2014-2015
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
SUMMARY OF ESTIMATED FUNDS AVAILABLE FOR 2014-2016 PROGRAM YEAR
Source of Funds
New Entitlement Grant
Amount($)
470,000
Funds Available bv Activitv
Public Service (Maximum 15% of new grant.)
Affordable Housing
Public Facilities, Improvements/Other
Program Administration/Fair Housina (Maximum 20% of new grant)
Total Available Funds
Amount ($)
70,500
152,750
152,750
94.000
470,000
0
2014-2015
HOME INVESTMENT PARTNERSHIP
PROGRAM STRATEGY
The City of Carlsbad is a member of the San Diego County HOME Consortium. Potential
homebuyers in the City may benefit from a down payment assistance program administered by
the County of San Diego funded through the Consortium with HOME funds. It is anticipated
that eligible low income homebuyers in Carlsbad may receive down payment assistance in an
amount up to 33% of the purchase price of the home, with a maximum assistance of up to
$70,000.
EXHIBIT 2
2014-2015 CITY OF CARLSBAD CDBG/HOME PROGRAM
LIST OF PROJECT PROPOSALS AND FUNDING RECOMMENDATIONS
APP.
NO.
AGENCY/PROJECT REQUESTED
AMOUNT
FUNDING
RECOMMENDATION
1 Boys and Girls Club
Teen Scene Program
$15,000 $5,000
2 Brother Benno
Brother Benno Center
$10,000 $5,000
3 Casa de Amparo/Food Program for
Neglected and Abused Children
$10,000 $5,000
4 Catholic Charities / La Posada de
Guadalupe Homeless Shelter
$10,000 $8,000
5 Community Resource Center
Homeless Prevention and Intervention
$7,500 $8,000
6 Interfaith Community Services
Housing and General Assistance
$20,000 $8,000
7 Meals on Wheels
Meal Delivery Service
$8,000 $8,000
8 North County Community Services
Food Bank
$8,089 $5,000
9 North County Lifeline
Youth Counseling Program
$39,000 0
10 The Angel's Depot
Seniors Meal Program
$10,000 $5,000
11 Women's Resource Center
Alternatives to Abuse Shelter
$15,000 $5,000
12 YMCA OZ
Youth Shelter
$5,000 $5,000
13 Community Housing Works
Down Payment Assistance Program
$152,500 0
14 North County Solutions for Change
Employment Related Training
$5,000 $5,000
15 North County Solutions for Change
Solutions Farms Improvements
$40,000 0
16 CSA San Diego County
Fair Housing Program
$15,000 $11,000
17 City of Carlsbad
Housing Reserve Fund
$500,000 $307,000
NOTE: The amounts listed above may need to be adjusted based on the actual grant amount
received by the City of Carlsbad.
City of Carlsbad
2014-2015 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, March 11, 2014 at 6:00 pm in the Council
Chambers located 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 2014-
2015 Annual Funding Plan. Public comments will also be received on proposals submitted for
funding through the City's 2014-2015 CDBG/HOME Program. The City has approximately
$470,000 available for allocation to eligible CDBG 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 Carlsbad requests
assistance from members of the community. 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 persons within Carlsbad, 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 2014-2015 Annual Plan for the program. Public
comments are also requested on the various proposals that have been submitted for funding
under Carlsbad's 2014-2015 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 Carlsbad residents. The City has received a total of 17
proposals for CDBG/HOME funding. The application period for 2014-2015 funds has ended.
Copies of all proposals are on tile in the Housing and Neighborhood Services Department, 1200
Carlsbad Village Drive, Carlsbad, CA.
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 2014-
2015 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.
CASE NAME: 2014-2015 COMMUNITY DEVELOPMENT BLOCK GRANT AND HOME
INVESTMENT PARTNERSHIP PROGRAM
PUBLISH: March 7, 2014
CITY OF CARLSBAD
CITY COUNCIL
PROOF OF PUBLICATION
(2010 & 2011 C.C.P.)
This space is for the County Clerk's Filing Stamp
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
UT - North County
Formerly known as the North County Times and
which newspaper has been adjudicated as a
newspaper 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 numbers 171349 &
172171, 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 07% 2014
Proof of Publication of
City of Carlsbad
2014-2015 Annual Funding Plan for Communitv
Development Block Grant (CDBG) Prigram and HOME Investment Partnership (HOME) Program
xh« •*• Notice of Public Hearing
IIV^*?'t,'^?u"^°i ^9''!^^°^ other interested parties ore hereby notified that Carisbad's City Councii will hold a public hearing
locJted S c!frl^Snl?'J'fI' °* 'n-^^ the council ChSmbTrl nn tit JJLw Cat^ Sbad yiliage Drive to accept public comments on the needs of lower income persons in Carlsbad W devplon ment of the City's CDBG/HOME Program's 20ll2015^A^^^^^ Funding Plan. Public comments will also be received on oro rrfRP/M^rVD^'^'^tf^ through thi City's 2OU-20T5 CDBG/HOME Program. The City has approximately $470 000 available for allocation to eligible CDBG proiects. $470,000
ITfr^il.^"^ Carlsbad is committed to using CDBG/HOME funds to finance protects/services that provide direct benefit to lower income residents. To develop a CDBG/HOME program
City of rnr^f^^^ °f ""^^ moderate-incoSSI pSSWn/fhe City of Carlsbad requests assistance from membe^rs of the com:
Carlsbad CDRM/i?i?"'°^'°" ^4^'^°' to th^e suc?ess of the
t-arisbad CDBG/HOME program. Therefore, the Citv invites nil community members to consider the needs of lower iniSme oer sons withm Carlsbad, to attend the public mSgs, and to Cro
nilnc'^nf^i^r®"^^- °" *^°"sing and commS development
2014 201^ Annnnr^l?:^ f^'^S"^ °^ °f ^he development^? J
.^y 14-^015 Annual Plan for the program. Public commpn+c nro
also requested on the various proposals that have bTeTsub^^^^^ ted for funding under Carlsbad's 2014-20 5 CDBG/HOME P^^^^^ J^°>?« proposals selected for funding wilTOe SentiS
within the .Annual Plan as the activities the CMY will pursue in refidentT'"?hr°r^^° IT^^^ ^he. needs of lower incj^e Carlsbad rnRr/MOAAl^®* ^!J-^ has received a total of 17 proposals for
f'uM^n"dei:^"c'& oiit, Sr«"are^rf?,e^^SrHfu?
!S^e°5fivt&^Tsfarcl''"'^^^^°^^^^^^^^^^^
Carfs°bad^WRr/M?VA®AU'°2^ °^ comments regarding the City of rT.^rJ -S? ^ CDBG/HOME Program or who would like more spe-
Persons in need of translators or other special services shoulri contact the City Manager's Office at (760) 434-2821 ^'^^^
CASE NAME: 2014-2015 COMMUNITY DEVPi OPAAFNIT
PROGRAM"""^ """^ '^^'^^ INVESTMENT^PA^^^^
I certify (or declare) under penalty of perjury that
the foregoing is true and correct.
CITY OF CARLSBAD CITY COUNCIL pub: 3/07/14
Dated at Oceanside, California
On This 07^^ dayjWh 2014
Jane Allshouse
NORTH COUNTY TIMES
Legal Advertising
CDBG/HOME PROGRAM
2014-2015
Program Year
CDBG/HOME Program
•Community Development Block Grant
–To help serve the needs of lower income persons
–To assist in the development of viable
communities
•Home Investment Partnership
–To provide affordable housing opportunities for
lower income persons
CDBG/HOME Public Hearing
•Receive comments on the needs of lower
income residents.
•Opportunity to comment on proposals for
2014-2015 program year.
CDBG/HOME FUNDS
Activities Requested
Funding
Total Funds
Available CDBG
Public Services 162,089 69,000
Public Facility Improvements
and Affordable Housing
692,500 307,000
Administration and Fair Housing 15,000 94,000
Total 869,589 470,000 HOME
Affordable Housing 152,500 0
Advisory Committee
Planning Commissioner Kerry Siekmann
Housing Commissioner Craig Kirk
Senior Commissioner Dr. David Tweedy
Northwest Quadrant Ray Pearson
Northeast Quadrant Shaunee Williams
Southwest Quadrant Niki Coates
Southeast Quadrant Marlene Towns
Exhibit 2 Revision
Recommended funding amount for Interfaith
Community Services is $5,000, not $8,000.
Requested Action
Accept public comments on the needs of lower
income residents and CDBG Program proposals.
2014-1015 CDBG/HOME
PROGRAM