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SR-10-A (52) lOA JAN 1 9 1999 CCS HS JR'TS SL F \HSD\SHARE\STREPTS\CPAMEND WPD Council Meeting January 12, 1999 Santa MOnica, Callfomla TO Mayor and City Council FROM City Staff SUBJ ECT RecommendatIon to Convene a Public Heanng and Approve the Amendment to the Consolidated Plan (FY 1995-2000) as Required by the U S Department of Housing and Urban Development (HUD) INTRODUCTION This report recommends the City Council convene a public heanng to approve the amendment to the Consolidated Plan (Attachment I) as required by the U S Department of Housing and Urban Development (HUD) BACKGROUND The One-Year Action Plan, which IS a component of the Consolidated Plan, IS submitted annually to HUD It delineates the City's specific projects and activities for one-year use of CDBG and HOME funds In order to meet the City's overall hOUSing and community development needs as specified In the Consolidated Plan (FY 1995-2000) adopted by City Council and submitted to HUD In May 1995 According to Federal regulations, the City "shall amend Its approved plan whenever It makes one of the follOWing deCISions 1) to make a change In Its allocation prlontles or a change In the method of distribution of fu nds, 2) to carry out an actIVIty, uSing funds from any program covered by the Consolidated Plan (mcludmg program Income), not previously deSCribed In the action plan ,or 3) to change the 1 loA JAN 1 9 1999 purpose, scope, locatIon, or beneficiaries of an activity" DISCUSSION An amendment to the City of Santa MOnica's Consolidated Plan IS necessary In order to expedite the expenditure of CDBG funds As Indicated In the FY 1995-96, FY 1996-97, and FY 1997 -98 One-Year Action Plans, prior year CDBG funds have been allocated for park Improvements to the City-owned VirginIa Avenue Park expansion site In order to expedite the expenditure of these CDBG funds, the funds Will be reprogrammed for the acquIsition of two PIca Boulevard properties adjacent to Virginia Avenue Park, which was approved by City Council on November 24, 1998, The first real property, located at 2115 PICO Boulevard and Immediately west of Virginia Avenue Park, IS approximately 17,000 square feet of land With a 10,000 square foot bUilding. The second real property, located at 2101 PIca Boulevard, which IS adjacent to 2115 PIca Boulevard, IS approximately 21 ,000 square foot lot With a 10,000 square foot bUilding, The addItIon of these two propertIes to the VIrginIa Avenue Park ExpanSIOn project proVides an excellent opportunity to enhance the park, prOVide more space for currently over-crowded programs, and bUIld upon the strong neIghborhood character of the park, FISCAL/BUDGETARY IMPACT Community Development Block Grant (CDBG) funds In the amount of $1,443,007 are proposed for the purchase of the two properties AcqUISitIOn of these properties Will be 2 financed from funds budgeted In the following accounts 19-740-511-20096-8900-99188 19-740-511-20097 -8900-99188 19-740-511-20098-8900-99188 $245,208 $548,675 $649,124 RECOMMENDATION City staff recommends the City CouncIl convene a public hearing and approve the amendment to the Consolidated Plan (Attachment I) as reqUired by the U S Department of HousIng and Urban Development (HUD) Prepared by JulIe Rusk, Human ServIces Manager Tracy Scruggs, Human Services Supervisor Susan Lal, Senior AdmInIstratIve Analyst Commumty and Cultural ServIces Department Attachment I - Amendment to the Consolidated Plan 3 ATTACHMENT I . ..... J CITY OF SANTA MONICA Amendment to the Consolidated Plan (FY 1995-2000) Submitted to the U.S. Department of Housing and Urban Development December 1998 HUMAN SERVICES DIVISION 1685 Main Street, Room 212, Santa Monica, California 90401 Telephone (310) 458-8701 FAX (310) 458-3380 AMENDMENT TO THE CITY OF SANTA MONICA'S CONSOLIDATED PLAN (FY 1995-2000) The One-Year Action Plan IS submitted annually to the U S Department of Housing and Urban Development (HUD), It delineates the City'S specific projects and activities for one-year use of Community Development Block Grant (CDBG) and HOME funds In order to meet the City's overall housing and community development needs as specified In the Consolidated Plan (FY 1995-2000) adopted by City Council and submitted to HUD In May 1995, According to Federal regulations, the City "shall amend Its approved plan whenever It makes one of the following decIsions: 1) to make a change In Its allocation priorities or a change In the method of distribution of funds, 2) to carry out an actiVity, uSing funds from any program covered by the consolidated plan (Including program Income), not previously desCribed In the action plan; or 3) to change the purpose, scope, location, or beneficiaries of an actlvlty," An amendment to the City of Santa Monica's Consolidated Plan IS necessary In order to expedite the expenditure of CDBG funds The HUD regulations require that an entitlement community have no more than 1 5 Program Years of funding on hand 60 days prior to the end of Its current program year. As of June 30, 1998, the City's CDBG fund balance IS approximately $4 9 million, or approximately 3 times the Program Year 1998 grant amount of $1 5 million. A concept design for the Virginia Avenue Park Expansion project, which IS the development of the 2 9 acres of land at the northwest corner of PIca and Cloverfleld Boulevards as an expanSion of the adjacent Virginia Avenue Park, IS nearmg completion. The community design process for the project began In March of 1998 and since then, four community design events as well as several neighborhood surveys have been completed. In the last few months, the concept design for the project has had Initial reviews by the Virginia Avenue Park AdVisory Board, the Recreation and Parks Commission, the Arts Commission, and ItS Public Art Committee Prior year CDBG funds have been allocated to park Improvements to the City-owned Virginia Avenue Park expansion site as Indicated In the FY 1995-96, FY 1996-97, and FY 1997-98 One-Year Action Plans, The City Intends to reprogram $1,447,082, which was onglnally budgeted for park Improvements, to the acquIsition of two Pi co Boulevard properties adjacent to Virginia Avenue Park, The first real property, located at 2115 PICO Boulevard and Immediately west of Virginia Avenue Park, IS approximately 17,000 square feet of land With a 10,000 square foot bUilding The second real property, located at 21 01 PICO Boulevard, which IS adjacent to 211 5 PICO Boulevard, IS approximately 21,000 square foot lot With a 10,000 square foot bUlldmg. 1 The addition of these two properties to the Virginia Avenue Park Expansion project provides an excellent opportUnity to enhance the project, provide more space for the park's currently over-crowded programs, and bUild upon the strong neighborhood character of the park. Development of the properties as part of the Virginia Avenue Park Expansion project would allow the park to stretch from 21 st Street to the Intersection of PICO and Cloverfleld Boulevards, a distance of almost 900 feet along one of the City's most heavily traveled artenals, ThiS IS conSIstent with one of the five-year objectives Identified In the Consolidated Plan which IS to acquire and develop additional park space adjacent to Virginia Avenue Park to allow for park expanSion, f \hsd\share\cdbg-hud\amend98 sl