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HomeMy WebLinkAbout2021-05-11; City Council; Resolution 2021-107RESOLUTION NO. 2021-107 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING THE FISCAL YEAR 2021-22 ANNUAL ACTION PLAN, CDBG ADVISORY COMMITTEE FUNDING RECOMMENDATIONS, AND AUTHORIZING THE SUBMITTAL OF THE FISCAL YEAR 2021-22 ANNUAL ACTION PLAN TO THE U.S DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 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. Grant funds received through the program are intended to serve principally persons of low and moderate income; and WHEREAS, the CDBG program is a fullyfunded federal program and does not impact the General Fund; and WHEREAS, to be eligible for CDBG funds, the jurisdiction must adopt an Annual Action Plan, which must be reviewed and approved by the Department of Housing and Urban Development; and WHEREAS, on March 31, 2021 the CDBG Citizen Advisory Committee reviewed applications and developed funding recommendations for the fiscal year 2021-22 Annual Action Plan projects; and WHEREAS, the City Council of the City of Carlsbad, California has considered the Annual Action Plan for the period beginning July 1, 2021 and ending on June 30, 2022, as required for the city's CDBG program; and WHEREAS, the draft Plan was released for a 15-day public review period which began on April 14, 2021 and concluded on April 28, 2021; and WHEREAS, public comments from the public review period and the public hearing on May 11, 2021, if any, have been addressed through written response and included in the fiscal year 2021-22 Annual Action Plan; and WHEREAS, the City Council of the City of Carlsbad, California has taken all testimony into account in considering the Plan for the period beginning July 1, 2021 and ending on June 30, 2022, as required for the city's CDBG program; and WHEREAS, the City Council of the City of Carlsbad, California, approves and authorizes the submittal of the fiscal year 2021-22 Annual Action Plan for the city's CDBG program to the U.S. Department of Housing and Urban Development; and May 11, 2021 Item #6 Page 5 of 207 WHEREAS, the City of Carlsbad is committed to continuing to provide a suitable living environment and to expand economic opportunities for the city's low-income residents as is outlined in the Plan; and WHEREAS, the City Council has taken all testimony into account. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That the fiscal year 2021-22 Annual Action Plan is hereby approved by the City Council (Attachment A). 3.That, on the city's behalf, the City Manager, or designee, is authorized to submit the city's fiscal year 2021-22 Annual Action Plan as set forth in Attachment A to the U.S. Department of Housing and Urban Development for approval and to execute all appropriate related documents for the submission. PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 11th day of May, 2021, by the following vote, to wit: AYES: Hall, Blackburn, Acosta, Bhat-Patel, Schumacher. NAYS: None. ABSENT: None. MATT HALL, Mayor BARBARA ENGLESON, City Clerk (SEAL) May 11, 2021 Item #6 Page 6 of 207 Attachment A Fiscal Year 2021-22 Annual Action Plan Carlsbad, CA Prepared By: Housing Services Division City of Carlsbad 1200 Carlsbad Village Drive Carlsbad, CA 92008 May 11, 2021 Item #6 Page 7 of 207 Expected Resources AP-15 Expected Resources - 91.420(b), 91.220(c)(1,2) Introduction A number of housing and community development resources are currently available in the city. They include: • Community Development Block Grant (CDBG) funds • Community Development Block Grant Coronavirus federal funds (CDBG-CV) • General funds • HUD Section 108 • HUD Housing Choice Voucher Program (through the Carlsbad Housing Authority) • State Housing and Community Development (HCD) housing funds • State transportation funds • Carlsbad Affordable Housing Trust Fund • American Rescue Plan • Anticipated Resources May 11, 2021 Item #6 Page 8 of 207 • Program Source of Funds Uses of Funds Expected Amount Available Year 2 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: $ CDBG public - federal Admin/ Planning Public Improv. Public Services Acquisition 519,499 0 0 519,499 $1,443,979 If the city continues to receive approximately $500,000 anually in CDBG funds it estimated that the city will have approximately $2,500,000 available for the five years covering the Consolidated Plan not including program income. On Feb. 25, 2021 the city received notice of its fiscal year 2021 allocation of $519,499. Table 1 - Expected Resources – Priority Table 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 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 public service activities. For example, many state housing programs have scoring criteria that reward applicants who have matching funds. In the past, Carlsbad has been extremely successful in garnering matching infrastructure and transportation funds and it will continue to seek such opportunities in the future, especially through SANDAG’s Transnet fund. If appropriate, describe publicly owned land or property located within the jurisdiction 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 May 11, 2021 Item #6 Page 9 of 207 housing development, including: • 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 lower and moderate income residents over the next eight years. May 11, 2021 Item #6 Page 10 of 207 Annual Goals and Objectives AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e) Goals Summary Information Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator High Priority Increase and preserve affordable housing 2021 2022 Affordable Housing citywide benefit Affordable Housing CDBG: $337,675 Other: 1-2 Households High Priority Prevent and reduce homelessness. 2021 2022 Homeless citywide benefit Prevent and Reduce Homelessness CDBG: $77,924 Homelessness Prevention: 156 Persons Assisted Medium Priority Supportive Services for LMI and Special Needs 2021 2022 Non-Homeless Special Needs citywide benefit Supportive Services for LMI and Special Needs CDBG: $0 Public service activities other than Low/Moderate Income Housing Benefit: Persons Assisted Medium Priority Improve Facilities 2021 2022 Non-Housing Community Development citywide benefit Public Improvements CDBG: $0 Public Facility or Infrastructure Activities other than Low/Moderate Income Housing Benefit: 0 Persons Assisted Medium Priority Provide Fair Housing 2021 2022 Non-Housing Community Development citywide benefit Fair Housing CDBG: $46,488 Public service activities other than Low/Moderate Income Housing Benefit: 146 Persons Low Priority Program Administration 2021 2022 N/A citywide benefit N/A CDBG: $57,411 N/A Table 2 – Goals Summary May 11, 2021 Item #6 Page 11 of 207 Goal Descriptions 1 Goal Name Increase and preserve affordable housing Goal Description Increase and preserve affordable housing opportunities for low-and-moderate income households 2 Goal Name Prevent and reduce homelessness Goal Description Prevent and reduce homelessness 3 Goal Name Supportive Services for LMI and Special Needs Goal Description Strengthen support services for the residents with special needs 4 Goal Name Improve Facilities Goal Description Improve and provide facilities to serve lower income persons 5 Goal Name Provide Fair Housing Goal Description Provide fair housing services to residents May 11, 2021 Item #6 Page 12 of 207 AP-35 Projects - 91.420, 91.220(d) Introduction For FY 2021-22, the City of Carlsbad is anticipated to received $519,499 in CDBG funding. The total projects listed in the table equal $519,499. # Project Name FY 2021 CDBG Funding 1 Catholic Charities $17,000 2 Interfaith Community Services $40,924 3 WRC $10,000 4 Brother Benno $10,000 5 City of Carlsbad, Carlsbad Housing Fund $337,675 6 Program Administration $57,411 7 Legal Aid Society of San Diego $46,488 Total $519,499 Table 3 – Project Information 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 much of the top needs as financially feasible within the Action Plan time period, as well as the overall needs identified in the FY 2020-25 Consolidated Plan. During this time while the COVID-19 pandemic is still ongoing, the FY 2021 subrecipients listed above have indicated that they are also serving the populations the Centers for Disease Control and Prevention have indicated are at a higher risk of contracting COVID-19. Those populations include persons experiencing homelessness, seniors over the age of 60, and persons with disabilities. The city’s CDBG subrecipients are experiencing increased needs related to food insecurity, emergency financial assistance for housing, and short- term shelter. Within these needs, there has been an increase in case management required, crisis intervention, and helping clients navigate various systems to connect to benefits. Additionally, the city’s fair housing services provider has seen an increase in requests for fair housing assistance due to confusion regarding the rights of tenants and homeowners with mortgages in relationship to the new eviction moratoriums. May 11, 2021 Item #6 Page 13 of 207 AP-38 Project Summary Project Summary Information 1 Project Name Catholic Charities Target Area Citywide benefit Goals Supported Prevent and reduce homelessness. Needs Addressed Prevent and Reduce Homelessness Funding CDBG: $17,000 staff salaries and client food Description La Posada De Guadalupe is a 7-day, 24-hour alcohol- and drug-free facility in Carlsbad. The program is designed to provide services for homeless men in San Diego County. La Posada provides 50 emergency shelter beds for men and 50 farmworker beds. In the winter months La Posada increases its emergency shelter beds from 50 to 60 beds. Target Date 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities 70 individuals Location Description 2476 Impala Drive Carlsbad, CA 92010 Planned Activities CDBG funds will be used to provide increased a safety, sanitary, drug and alcohol-free housing environment for homeless men and locally employed farm workers. Through case management and support services, residents will be assisted with obtaining employment and locate permanent housing. FY 2020 CDBG funds will be spent on salaries/wages (supervision of clients at the shelter) and client food. 2 Project Name Interfaith Community Services Target Area Citywide benefit Goals Supported Prevent and reduce homelessness. Needs Addressed Prevent and Reduce Homelessness Funding CDBG: $40,924 rental/utility payments and operational costs Description Low-income Carlsbad residents will benefit from the range of supportive programs at the Carlsbad Service Center including homeless prevention, housing stabilization, basic needs and employment assistance services. Target Date 6/30/2022 May 11, 2021 Item #6 Page 14 of 207 Estimate the number and type of families that will benefit from the proposed activities 15 families for rental assistance, 200 individuals with basic needs, and 75 individuals with employment assistance Location Description Carlsbad Service Center, 5731Palmer Way Suite A, Carlsbad, CA 92010 Planned Activities Rental assistance and emergency housing case management to prevent or immediately reverse homelessness, basic needs such as emergency food and hygiene kits to Carlsbad residents and their families, and employment assistance. 3 Project Name WRC Target Area Citywide benefit Goals Supported Supportive Services for LMI and Special Needs Needs Addressed Supportive Services for LMI and Special Needs Funding CDBG: $10,000 basic needs supplies Description WRC shelter offers a safe, non-isolating environment for survivors and their children to rest, recuperate, and plan next steps with the support of WRC case management program. Case managers work individually with clients, to assess their needs and guide them in receiving the resources and support necessary to rebuild and find accessible and affordable transitional or permanent housing Target Date 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities 53 persons Location Description 1963 Apple Street, Oceanside, CA 92054 Planned Activities Funds will be used to provide direct program materials to clients such as food, hygiene products, linens, diapers, transportation. 4 Project Name Brother Benno Target Area citywide benefit Goals Supported Supportive Services for LMI and Special Needs Needs Addressed Supportive Services for LMI and Special Needs Funding CDBG: $10,000 rental/utility assistance and motel/transportation needs May 11, 2021 Item #6 Page 15 of 207 Description Brother Benno's serves the poor and neediest in North County San Diego, including Carlsbad residents. The agency operates two shelters for women, a twelve-step residential recovery program-for men, a hot meal and emergency food distribution program for the working poor. Target Date 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities 45 individuals Location Description 3260 Production Avenue Oceanside, CA 92058 Planned Activities The proposed program will rental and utility assistance as well as motel vouchers and bus passes. 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: $337,675 Description The City of Carlsbad has established a Housing Fund for the purpose of developing affordable housing for lower -income households and/or purchasing affordable housing units for lower income families. The activities will include the purchase of existing affordable units as they become available in existing developments and other property acquisition for low income affordable housing purposes, including housing for the homeless (such as acquisition of vacant land or underutilized land for new development, existing rental units with rehabilitation efforts, market rate condominiums to be resold to low income households, and/or partnerships with an affordable housing developer for property acquisition for low income affordable housing development). Target Date 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities To be determined. The city anticipates the purchase of affordable units and potentially assisting additional. Location Description Carlsbad, Citywide May 11, 2021 Item #6 Page 16 of 207 Planned Activities Utilize funds to acquire existing affordable units such as vacant land or underutilized land for new development, existing rental units with rehabilitation efforts, market rate condominiums to be resold to low income households, and/or partnerships with an affordable housing developer for property acquisition for low income affordable housing development). 6 Project Name Program Administration Target Area Citywide benefit Goals Supported Increase and preserve affordable housing Prevent and reduce homelessness. Supportive Services for LMI and Special Needs Improve Facilities Provide Fair Housing Needs Addressed Planning and Administration Funding CDBG: $57,411 Description The Housing Services Division is responsible for administering the city's CDBG funded programs. Target Date 6/30/2022 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 7 Project Name Legal Aid Society of San Diego Target Area Citywide benefit Goals Supported Provide Fair Housing Needs Addressed Fair Housing Funding CDBG: $46,488 May 11, 2021 Item #6 Page 17 of 207 Description Legal Aid Society of San Diego 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 staff 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 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities 145 persons Location Description 216 S. Tremont Street, Oceanside, CA 92054 Planned Activities Funds will be used to provide fair housing services for residents including advocacy, education, and mediation May 11, 2021 Item #6 Page 18 of 207 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 Through the city's lnclusionary Housing program, the city intends to develop lower-income affordable housing units throughout Carlsbad, thereby reducing the impact of housing on any one area. City staff will be responsible for initiating or facilitating the development this housing through agreements with local for-profit and non-profit housing developers (including agreements to provide city assistance) and through managing/monitoring the affordability of these housing units in future years. City resources for the provision, construction, or improvements to public services or facilities to meet the community development needs will also be distributed throughout the city. Carlsbad will consider the allocation of resources to public service organizations located outside of the city limits in those instances where such public services provide adequate access to Carlsbad residents. Geographic Distribution Target Area Percentage of Funds N/A Table 4 - Geographic Distribution Rationale for the priorities for allocating investments geographically There are currently no targeted areas within the city where CDBG funds are focused towards. CDBG funds are targeted towards Carlsbad residents who are low income meeting eligibility requirements of the program. Recipients of these federal funds reside throughout the city. May 11, 2021 Item #6 Page 19 of 207 AP-85 Other Actions - 91.420, 91.220(k) Introduction Priority Needs established in the FY 2020-2025 Five-Year Consolidated Plan, which form the basis for establishing objectives and outcomes in the FY 2021-2022 One-Year Action Plan, are as follows: High Priority • Increase and Preserve Affordable Housing • Prevent and Reduce Homelessness Medium Priority • Provide Supportive Services to Low Income and Special Needs Groups • Facility Improvements • Provide Fair Housing Services to Residents Low Priority • Planning and Administration 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 -pro fit entities in their efforts to develop affordable housing. Actions planned to foster and maintain affordable housing In order to foster and maintain affordable housing for lower income households, the city will use CDBG funds to assist with the development of affordable multi-family housing. The city also fosters development of affordable housing through implementation of its Inclusionary Housing Ordinance, which requires that 15 percent of all housing units constructed in city be affordable to lower and moderate-income households. For projects proposing seven units or less, a 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 lead-based paint hazards in Carlsbad to be carried out May 11, 2021 Item #6 Page 20 of 207 during the FY 2020-2025 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 lead-based paint 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 lead-based paint hazard abatement as an eligible activity for funding under the city's CDBG program and include minimum lead-based paint abatement requirements to housing quality standards which must be met; and • Provide all eligible applicants of housing programs, with information regarding lead-based paint. 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 of San Diego's Department of Health Services currently provides this service. The city encourages the abatement of lead-based paint 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 health and social services, employment training, legal assistance, and other support services for low income persons. The city will pursue the following programs during FY 2020-21 to reduce poverty in Carlsbad: 1. Inclusionary Housing Ordinance 2. Housing Reserve Fund 3. Affordable Housing Trust Fund 4. Section 8 Vouchers 5. Village Revitalization Partnership Program May 11, 2021 Item #6 Page 21 of 207 6. Economic Development Strategic Plan Actions planned to develop institutional structure There are many organizations within the County of San Diego 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 health care 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 2020-25 Consolidated Plan and FY 2021-22 Action Plan through on-going "strategy and development" meetings between city staff, private developers, non- profit 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 lower-income households in Carlsbad 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. May 11, 2021 Item #6 Page 22 of 207 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 N/A 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 N/A 3. The amount of surplus funds from urban renewal settlements N/A 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. N/A 5. The amount of income from float-funded activities Total Program Income N/A Other CDBG Requirements 1. The amount of urgent need activities N/A May 11, 2021 Item #6 Page 23 of 207