11.01 CDBG FY 2020-2021UL GapPOgyTF +'\
AGENDA ITEM
April 14, 2020
TO: Honorable Mayor and Members of the City Council
THRU: Rick Otto, City Manager
FROM: William R. Crouch, Community Development Director'
REVIEW: City Mana er Finance
1. SUBJECT
Fiscal Year 2020-2021 Community Development Block Grant and HOME Investment
Partnerships Programs.
2. SUMMARY
A request to approve proposed projects, services, and non-profit agency programs for
funding under the Community Development Block Grant and HOME Investment
Partnerships Programs.
3. RECOMMENDED ACTION
1. Approve the Draft Funding Recommendations for Fiscal Year 2020-2021.
2. Authorize the City Manager or his designee to execute Fiscal Year 2020-2021
Memoranda of Understanding with city departments, subrecipient agreements with non-
profit agencies, and all related documents.
4. FISCAL IMPACT
All projects including administration and implementation are anticipated to be fully funded
under the Fiscal Year 2020-2021 Community Development Block Grant Program (Fund
310) and HOME Investment Partnerships program (Fund 317).
5. STRATEGIC PLAN GOALS
Goal 3: Enhance and promote the quality of life in the community.
e: Develop and strengthen collaborative partnerships to enhance quality of life
programs, projects, and services.
6. DISCUSSION AND BACKGROUND
Every five years, the U.S. Department of Housing and Urban Development (HUD)
requires the City to prepare a strategic plan called "The Consolidated Plan." The purpose
of the plan is to identify high priority community needs and allocate federal funds to
projects and programs addressing those needs. Projects and programs selected for
ITEM tL 1 1 04/14/2020
funding must provide benefits to low and moderate -income households and
neighborhoods. The high priority community needs are determined by conducting a needs
assessment survey and collecting input from various City Departments and non-profit
agencies.
Staff prepared the 2020-2024 Consolidated Plan by analyzing demographics, the housing
market, special needs, and the homeless population and formulating objectives and goals
to meet priority community needs. The high priority community needs are: 1) providing
affordable housing, 2) addressing the needs of homeless, 3) improving public facilities.
The Consolidated Plan includes five Annual Action Plans with each Annual Action Plan
covering one program year.
The 2020-2021 Action Plan is the first Annual Action Plan of the 2020-2024 Consolidated
Plan and starts from July 1, 2020 through June 30, 2021. The 2020-2021 Annual Action
Plan outlines a list of projects and programs for funding under the Community
Development Block Grant (CDBG) program and the HOME Investment Partnerships
HOME) program. These projects and programs must be consistent with the objectives
and goals of the Consolidated Plan and address community needs of the low and
moderate -income population. Projects under the 2020-2021 Annual Action Plan include
street improvements, handicapped accessibility improvements, social services, and
supportive services for the homeless.
The City received the following allocations for Fiscal Year 2020-2021:
CDBG 1,200,059
HOME 461,249
TOTAL 1,661,308
Staff began the allocation process in October 2019 by holding public workshops and
issuing notifications about the availability of funds. The public outreach efforts included
advertising in the Orange City News/Anaheim Bulletin, announcing the public workshops
on the City's Facebook and Twitter pages, notifying local non -profits and housing
developers, and conducting an online community needs assessment survey. The survey
was completed by 80 respondents from the community. The survey result showed the
need for affordable rental housing, social services, supportive services for the homeless
as well as public facility improvements.
The City received 12 CDBG applications for projects and programs by various City
departments and non-profit groups. Staff reviewed proposed projects based on needs
identified during the public outreach process and whether the projects comply with the
CDBG program requirements. Funding recommendations were also influenced by the 15
percent cap on funding allocated to public services programs. Staff developed the
attached Draft Funding Recommendations that awards CDBG funds to the 12
applications received and consists of:
1. Nearly $780,000 towards public facilities and capital improvement projects
2. $240,000 for administration and Fair Housing activities
3. Approximately $180,000 allocated to public services programs
On April 8, 2020, the City's CDBG Program Committee considered Draft Funding
Recommendations based on: 1) the proposed benefit to low and moderate income
ITEM 2 04/14/2020
Orange residents, 2) the demonstrated capacity to carry out the proposed projects, and
3) the amount of available funds. The Committee unanimously approved a motion
recommending that the City Council approve the Fiscal Year 2020-2021 Draft Funding
Recommendations.
Regarding the HOME program, staff is working with the Orange Housing Development
Corporation through a previously approved Exclusive Negotiation Agreement (ENA) to
develop an affordable permanent supportive housing project located at a portion of the
City's Corp Yard. It is anticipated this project will utilize HOME funds.
Staff requests the City Council approve the Draft Funding Recommendations for the
Fiscal Year 2020-2021.
7. ATTACHMENT
Fiscal Year 2020-2021 Draft Funding Recommendations
ITEM 3 04/14/2020
CITY OF ORANGE
FISCAL YEAR 2020-2021 DRAFT FUNDING RECOMMENDATIONS
Draft FY 2020-2021 budget for projects approved by CC on April 14, 2020
Community Development Block Grant Program
PROJECTS/PROGRAMS Amount Requested Final Budget
Program Administration $200,000 $215,478
Fair Housing Foundation - Orange Fair Housing Program 24,522 24,522
ADMINISTRATION AND PLANNING TOTAL (20% CAP)
224, 522 $240, 000
City Departments
Public Works Department
ADA Wheelchair Access Ramps - various Locations 250,000 104,059
Hoover Street Improvement 641,659 611,830
Library Department
Public Restroom Accessibility Project - Main Public Library, El
Modena and Taft Branches 65,000 65,000
PUBLICFACH1HE'SIMPROV XFNTSTOTAL $956,659 $780,889
City Departments
Community Services Dept. -After-School Community Programs - El
Camino Real and Gri "alva Parks 43,170 43,170
Police Dept. - Bike Team Program - Community -Oriented Policing 100,000 100,000
City Departments Public Services Subtotal S143,170 S143,170
Nonprofit Agencies
Assistance League of OrangeOperation School Bell 18,000 18,000
Friendly Center Inc. - Community Food Orange 15,000 18,000
Nonprofit A encies Public Services Subtotal S33,000 36,000
PUBLIC SERVICES TOTAL (15•- CAP) 176,170 179,170
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HOME Investment Partnerships (HOME) Program
Program Administration (10% CAP) $46,124
CHDO Allocations (15% CAP) 69,187
Affordable Housing Develo ment 345,938
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