SR-300-002-01 (32)
.
_ i.
.
3tlO-OOZ-D/
e^
CA:RMM:r.md838/hpca
city council Meeting 2-14-89
FtB 1 4 1969
Santa Monica, California
STAFF REPORT
TO:
Mayor and city council
FROM:
city Attorney
SUBJECT:
Ordinance Amending Santa Monica Municipal Code
Sections 2940, 2942, 2943, 2944, and 2946 Relating
to Procedures and Polices of the Community
Development Block Grant Program
At its meeting on January 12, 1989, the City Council
directed city Staff to prepare an amendment to Ordinance Number
1261 (CCS), which concerns the pol1c1es and procedures for the
Community Development Block Grant Program, pursuant to approved
changes in the planning and development of the Commun1ty
Development
Plan.
In
response
to
this
direction,
the
accompanying ord1nance has been prepared and 1S presented to the
City Council for its conslderatlon.
The accompanying ordlnance amends sections 2940, 2942,
2943, 2944, and 2946 of the Municipal Code as follows:
Section 2940.
This section has been amended by adding
reference to the most recent legls1atlve amendments enacted by
Congress, the Housing and Community Development Amendments of
1987.
This Sectlon previously referred to the Houslng and
Community Development Amendments of 1981.
Section 2941.
Subdivision (g) has been added to thlS
Section to establish a POllCY WhlCh certifies that at least 60%
- 1 -
B-D.
fU 1 4 1989
.
.
of all CDBG funds expended ln aggregate over a two (2) year
program cycle will be for actlvities which prlmarily benefit low
and moderate income persons. This amendment is consistent with
the 1987 legislative amendments contained in the final rule
concerning CDBG.
section 2942. Subdivislon (a) has been amended to delete
the reference to an "annual" Community Development Plan.
Subdivision (b) has been amended to reflect that the City
Council has approved a two year planning process program for the
Community Development Block Grant Program, instead of an annual
planning process.
Additionally, old subdivisions (6), (8), and (10) have been
deleted because they are no longer part of the Community
Development Plan.
section 2943. Subdivislon (b) has been amended by making
reference to Itcommuni ty-w1.de meeting" l.nstead of "annual
neighborhood hearings." The former term is conS1.stent with
current practice.
Subdivis1.on (c) has been deleted and replaced with a new
subdivision (c). This new subdivl.sion provides for a fourteen
(14) day community review period for the proposed Community
Development Plan. The Plan will be released for community review
at least twenty-eight (28) days pr1.or to City Council action on
the Plan, and all interested persons may submit written comments
to City staff on the proposed Plan. These comments will be
transmitted by city staff to the city Council.
Section 2946. The old section 2946 has been completely
rewr1.tten. This Section now provl.des that an annual performance
- 2 -
.
.
report on CDBG activ~tYf the Grantee Performance Report, be
submitted to the City Counc~l for the previous program year on or
before January 31st of each year. The City council is required
to hold a public hearing on or before January 31st of each year
to review the performance of the Community Development Block
Grant Program, which will be held in conjunction with the
presentation by the Department of Community and Economic
Development of its funding ratlonale for the next year. In
addition, this section provldes that any interested person may
file a written complalnt concerning the CDBG Program or
actlvities funded by CDBG, WhlCh must be responded to by the
Department of Community and Economic Development within 15
worklng days after receipt of the complaint.
RECOMMENDATION
It is respectfully recom~ended that the accompanying
ord~nance be introduced for first reading.
PREPARED BY: Robert M. Myers, City Attorney
Barbara stinchfield, Co~munity Development
Manager
- 3 -
.
.
CA:RMM:rmd837/hpca
city Council Meet~ng 2-14-89
Santa Monica, California
ORDINANCE NUMBER
(City Counc~l Series)
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF SANTA MONICA AMENDING SANTA MONICA MUNICIPAL
CODE SECTIONS 2940, 2942, 2943, 2944, AND 2946
RELATING TO PROCEDURES AND POLICIES OF THE COMMUNITY
DEVELOPMENT BLOCK GRANT PROGRAM
THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS
FOLLOWS:
SECTION 1.
Santa Monlca Municipal Code Section 2940 is
amended to read as follows:
SECTION 2940. Findings. The city
Council f~nds and declares:
(a) The Congress of the Unlted
states has passed and the Pres~dent of
the United States has slgned the Housing
and Community Development Amendments of
1987, amending the Housing and Community
Development Act of 1974.
(b) The Housing and community
Development Act of 1974 establlshed a
Community Development Block Grant Program
to provide grants to local communities to
meet housing and community development
- 1 -
.
.
needs pr1ncipally of low and moderate
income persons.
(C) The Housing and Community
Development Amendments of 1987 have
eliminated many requires concerning
applications and planning documents and
the participation of low and moderate
income persons in the planning,
development, and implementation of the
Community Development Block Grant
Program.
(d) The City Council desires to
ensure that procedures exist for maximum
participation by citizens in the
planning, development, and implementation
of the Community Development Block Grant
Program 1n the City of Santa Monica.
(e) The City Council desires to
ensure that low and moderate income
persons are the pr1mary beneficiaries of
the Community Development Block Grant
Program.
SECTION 2. Santa Monica Munic1pal Code Section 2942 1S
amended to read as follows:
- 2 -
. .
SECTION 2942. Program policies and
Restrictions.
(a) Each program or other activity
funded by the Communlty Development Block
Grant Program shall primarily benefit low
and moderate income persons. Each
project or activity funded by the
Community Development Block Grant Program
shall give maximum pr1.ori ty to low and
moderate lncome persons and shall be
consistent with the purposes and policles
set forth in this Chapter.
(b) A program or other act i vi ty
funded by the Community Development Block
Grant Program will not be considered to
primarily beneflt low and moderate income
persons unless:
(1) At least 75% of its
direct beneficiaries are low and moderate
income persons; or
(2) At least 51% of the
population of the project area benefited
by the activities are low and moderate
income persons.
(c) Notwithstanding subdivision
(b), the City council may, upon a findlng
of important community need as set forth
in the Community Development Plan,
- 3 -
.
.
provide funding to a program or activity
if at least 51% of the direct
beneficiaries are low and moderate income
persons.
(d) A principal activity of the
Community Development Block Grant Program
shall be to address the housing needs of
low and moderate income persons. In
prioritizing programs and actlvities, the
highest priority shall be given to cost
effective programs that expand affordable
housing opportunities to low and moderate
income persons or that improve the
ability of low and moderate income
persons to pay for decent housing through
economic development activities.
(e) Any communlty Development
Block Grant Program funds used for
economic development, including
commercial or industrial development,
must directly create or retain jobs for
persons of low and moderate income or
directly impact upon commercial
revitalization in a project area and must
be consistent with the following
standards:
(1) At least 75% of funds
allocated for economic development must
- 4 -
.
.
be allocated to and expended ln project
areas composed of at least 51% low and
moderate income residents or must
directly and positively impact upon low
and moderate residents of these area; or
(2) Economic development
activities must assist ln creating or
retaining jobs for low and moderate
income persons, improve neighborhood
commerclal actlvlty in low and moderate
income neighborhoods of the city, or
improve opportunities for small
businesses, cooperatlves, or community
development corporations or neighborhood
organizations serving low and moderate
income persons or project areas.
The Department of Community and
Economic Development shall develop and
lmplement appropriate reporting
mechanisms to assess the impact of all
economic development activities on low
and moderate income persons and
neighborhoods.
(f) No more than 20% of any year's
allocation of Community Development Block
Grant funds shall be expended on general
administrative costs.
- 5 -
.
.
(g) At least sixty percent (60%)
of all CDBG funds expended pursuant to
the City's two year Community Development
Plan will be for activities which benefit
low and moderate income persons. Such
activities wlll be described in the
city/s Final Statement of Projected Uses
as submitted to HUD.
SECTION 3. Santa Monica Municipal Code Section 2943 is
amended to read as follows:
SECTION 2943.
ment Plan.
(a) Expendlture of community
Development Block Grant funds shall be
made only in accordance with the
Community Development Plan.
(b) The Community Development Plan
shall be prepared by the Department of
Community and EconomlC Development as
part of a two year program plannlng
process for the Community Development
Block Grant Program and shall contain the
following components:
(1) A descrlption of the
geographic boundaries of each program or
activity the City intends to fund.
community Develop-
- 6 -
.
.
(2) Using the best available
data, a descrlption of the economic
characteristics of each neighborhood in
which Community Development Block Grant
Program funds are to be expended and the
identification of each neighborhood that
will be affected or served by a. program
or activity the City intends to fund.
(3) The manner in which low
and moderate income persons will
benefited or affected by programs
activities the city lntends to fund.
(4) The manner in which
nelghborhoods will be benefited or
affected by programs and activlties the
city intends to fund.
(5) The manner in WhlCh
minority residents will be benefited or
affected by programs and activities the
City intends to fund.
(6) The amount of money the
City intends to allocate for each program
or activity.
be
and
(7) The estimated cost of
general administration by the City.
SECTION 4. Santa Monica Mun1cipal Code Section 2944 15
amended to read as follows:
- 7 -
.
.
SECTION 2944.
pation.
(a) PUblic hearings required by
this Chapter shall be held at times and
locations convenient to low and moderate
Citizen Partici-
income persons. All interested persons
shall have the right to express their
views and comments at any and all public
hearings.
(b) PrJ.or to the preparation of
the Community Development Plan, a
community-wide meeting shall be held to
receive comments on the community
development activities of the City.
(c) Upon completion of the
proposed Community Development Plan, it
shall be released to the public no later
than twenty-eight (28) days prior to City
Council action on the Plan in accordance
with section 2945. A community review
period of fourteen (14) days shall
commence with the release of the Plan.
All interested persons may submit written
comments during this review period to the
Department of Community and Economic
Development, Community and Neighborhood
Services DivJ.sion. Written comments
received through the end of the business
- 8 -
.
.
day of the 14th day of the community
review period shall be transmitted to the
city Council.
(d) Notice of any public hearing
required by this Chapter shall be
provided as follows:
(1) At least ten (10) days
prior to the public hearing, notice shall
be published in easily-readable type in
the nonlegal section of all newspapers of
general circulatlon ln the City. The
notice shall indicate the date, time,
place, and purpose of the hearing. In
the case of non-Eng11sh newspapers, the
notice shall be in the language of the
newspaper.
(2) Appropriate press
releases describing the purpose of the
hearing shall be dlstributed to
newspapers of general circulation in the
City, to newspapers serving low and
moderate income neighborhoods, to
television and radio stations, and to
organizatlons serving low and moderate
income persons in the City.
(3) Radio and television
stat10ns shall be requested to provide
public service announcements indicating
- 9 -
.
.
the date, time, place, and purpose of the
public hearing.
(4) At least fourteen (14)
days prior to the public hearing, not1ce
of the date, time, place, and purpose of
the public hearing shall be mailed to any
person who has requested to be placed on
a Citizen Part1.cipation Mail ing List to
be maintained by the Department of
Community and Economlc Development.
(e) The failure to receive notice
by any person entitled thereto pursuant
to this Chapter does not affect the
valldity of any action taken pursuant to
this Chapter.
SECTION 5.
Santa Monica Municipal Code section 2946 1.5
amended to read as follows:
SECTION 2946. Program Review.
(a) The City council shall be
provided with an annual Grantee
Performance Report containing the
following information:
(1) A description of the
progress made on each program or activity
funded by the Community Development Block
Grant Program durlng the period covered
by the report, including a description of
- 10 -
.
.
the objectives that have been achieved,
the amount of service or assistance
provided, the location or area where
service was provided, the total number of
persons receivlng serVlce or assistance,
and the total number of low and moderate
income persons recelving service or
assistance.
(2) The total amount of
funds expended for each program or
activity during the period covered by the
report including the amount expended for
administration.
(3) The total amount of any
allocated but unexpended community
Development Block Grant Program funds,
the year the funds were allocated, and
the program or activlty for whl.ch the
allocated funds remain unexpended.
(4) The total amount of
unexpended and unallocated community
Development Block Grant Program funds.
(b) The report required by this
Section shall be made available to the
city council on or before January 31st of
each year covering the activity for the
previous program year.
- 11 -
.
.
(c) On or before January 31st of
each year, the city Councll shall hold a
public hearing for the purpose of
reviewing the performance of the
Community Development Grant Program
during the previous program year. The
publlC hearing shall be held in
conjunction wlth the Department of
Community and Economic Development's
written presentatlon of the Community
Development Program funding rationale for
the next year to the city Council.
(d) Any interested person may file
with the Department of community and
Economic Development a written complaint
concerning the Communlty Development
Block Grant Program or any program or
activity funded by the community
Development Block Grant Program. The
Department of Communlty and Economic
Development shall provide a written
response to the complaint within fifteen
(15) worklng days of the fillng of the
complaint.
SECTION 6. Any provision of the Santa Monica Municipal
Code or appendices thereto inconsistent with the provlsions of
th1.S Ordinance, to the extent of such inconsistenc1.es and no
- 12 -
.
.
further, are hereby repealed or modified to that extent necessary
to affect the provisions of this Ordinance.
SECTION 7.
If any section, subsection, sentence, clause,
or phrase of this Ordinance is for any reason held to be invalid
or unconstitutional by a decision of any court of any competent
jurisdiction, such decision shall not affect the validity of the
remaining portions of this Ordinance.
The City Council hereby
declares that it would have passed this Ordinance, and each and
every section, subsection, sentence, clause, or phrase not
declared invalid or unconstitutional without regard to whether
any portion of the Ordinance would be subsequently declared
invalid or unconstitutional.
SECTION 8. The Mayor shall sign and the City Clerk shall
attest to the passage of this Ordinance.
The city Clerk shall
cause the same to be publlshed once in the official newspaper
within 15 days after its adoptlon. This Ordlnance shall become
effective after 30 days from its adoption.
APPROVED AS TO FORM:
(W-tr-1\- h.... ~
ROBERT M. MYERS U
Clty Attorney
- 13 -