SR-906-000 (14)
CCS:ADMIN:BS:JM:F:\CCSADMN\SHARE\STAFFREPORTS\415PCHHUD-GRANT
Council Meeting: April 13, 2004 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Authorization for the City Manager to Submit Applications and Negotiate
and Execute Agreements with the U.S. Department of Housing and Urban
Development to Accept Grant Funds to Support the Reuse of 415 Pacific
Coast Highway
Introduction
This report recommends that the City Council authorize the City Manager to submit all
necessary documents to the U.S. Department of Housing and Urban Development
(HUD) to accept grant funds in the amount of $409,000 to support reuse activities at
415 Pacific Coast Highway (415 PCH) and appropriate the grant funds.
Background
This 5-acre beachfront property at 415 Pacific Coast Highway is the responsibility of the
City under its long-term agreement with the State of California for oversight of the Santa
Monica State Beach. Santa Monica?s public beach areas anchor the southwestern
corner of the Santa Monica Mountains National Recreation Area (SMMNRA) ? the
largest federally designated urban recreational area in the United States.
Upon approval of the Reuse Plan for 415 PCH in July of 1999, the City Council
authorized the City staff to pursue grant funding opportunities to support the
redevelopment of the site. Since that time, the City has received $350,000 in State
Proposition 12 funding and $ 409,000 in federal funding. This federal funding was
approved by the U.S. Congress as referenced in the HUD Appropriations Acts for FY
2002 and FY 2003 and recognizes the potential of the site to serve as a ?gateway? to
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regional recreational areas, specifically the SMMNRA. This possibility was included in
the Reuse Plan which provided for visitor services and interpretative elements on the
site.
Discussion
In order to receive the currently appropriated federal funds, the City must submit an
application form, federal assurances and certifications that are standard for receipt of
federal funding. The project applications may be amended at a later date to provide
further detail once a final development project is approved by the City Council in FY
2004-05.
Budget/Financial Impact
The grant amounts of $275,000 for FY 2002 and $134,000 for FY 2003 will supplement
other funding sources to support the redevelopment of the site. The following budget
changes will be needed to record receipt of the grant funds and make it available for
program use: 1) Establish a revenue budget in the amount of $409,000 at account
number 20501.403550; 2) Appropriate $409,000 in capital improvement project number
C200525.589000 ? 415 PCH Federal Grant.
Recommendation
Staff recommends that the City Council (1) authorize the City Manager to submit the
necessary applications for obligating the grant funds and to negotiate and execute all
agreements related to these grants and (2) approve the appropriation and other
budgetary action outlined in the Budget/Financial Impact Section of this report.
Prepared by: Barbara Stinchfield, Director, Community and Cultural Services
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