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SR-301-002-01 (2) . .,-t:S 30/--002-0/ MAY 3 0 1989 C/ED:CNS:RE:sh:req City council Meeting 5/30/89 .... - _~.~:.-~:: .rh\ ~.......' i.,;si< - - po,. v Santa Monica, california TO: Mayor and city council FROM: City Staff Request to Hold a pUblic Hearing and to Hear Public Comment on the Proposed Two Year Community Development Plan for FY1989-90 and FY1990-91 and to Approve a Resolution Approving the Community Oevelopment Plan and Authorizing Submission of the "Proposed statement of community Development Objectives and Projected Use of Funds" to the u.S. Department of Housing and Urban Development SUBJECT: Introduction This report requests that the City Council hold a public hearing and adopt the attached Resolution: (1) approving the Proposed community Development Plan for FY1989-90 and 1990-91~ (2) authorizing the city Manager to negotiate contracts for FY1989-90 with all grantees specified in the Plan; and (3) authorizing the submittal of all documents required for the implementation of the 1989-90 community Development Block Grant (CDBG) program to the U.s. Department of Housing and Urban Development (HUD). One of these documents, the "proposed statement of Community Development Objectives and Projected Use of Funds," is also attached to this report for council review. Backqround On May 1, 1989, the City Council received the Proposed Two Year Plan for the Community Development program, containing staff recommendations for all projects to be funded under the Community - 1 - ~ I-iS ~y 3 0 l::;v'; . . Development Plan in year 1, 1989-90. This plan conforms to required formats of the local CDBG ordinance and of federal HUD regulations. A fourteen day public review and comment period followed the release of the Community Development Plan. All written comments submitted during this period are being transmitted to council for review, in a separate report. On May 1st, Counoil also received a working document on the proposed Community Development program which further explains the FY1989-90 funding strategy and funding recommendations. This document has been prepared for use by the Council in preparing for the Community Development Program Public Hearing scheduled for the May 30th Council meeting. After hearing public comments, Council is scheduled to adopt, through the approval of the attached resolution, the final Two-Year community Development Plan and to authorize the city Manager to begin contract negotiations with approved grantees. In addition to approving the PIan, the attached resolution also requests approval of the "Proposed Statement of Community Development Objectives and Projected Use of Funds. II This document is required by HUD and represents the City'S application for receipt of its 1989-90 CDBG entitlement, along with a number of standard certifications to be signed by the City Manager. This document, as required by Federal regulations, has been published in the Evening Outlook and has been made available to the public for review and comment. - 2 - . . Financial/Budgetary Impact All necessary appropriations for recommended Community Development Proj ects have been included in the City Manager's Proposed city Budget for FYl989-90. Any changes made by the council to the proposed funding levels included in the proposed Community Development Plan will necessitate corresponding changes in the City's budget prior to its adoption in June of 1989. Recommendations ci ty staff recommends that the council hold the public hearing and adopt the attached resolution regarding the approval and submittal of the Community Development Plan. Prepared by: Barbara stinchfield, Community Development Manager Rey Espana, CDBG Coordinator Department of Community and Economic Development Attachments - 3 - . . (CCS) RESOLUTION NUMBER (City council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA APPROVING THE TWO YEAR COMMUNITY DEVELOPMENT PLAN FOR FY1989-90 AND FY1990-91 AND AUTHORIZING SUBMISSION OF STATEMENT OF OBJECTIVES FOR 1989-90 CDBG PROGRAM WHEREAS I the city of Santa Monica desires to undertake a two year Community Development Program for fiscal year 1989-90 and 1990-91 to meet the community development needs of City residents; and WHEREAS, public hearings were held to receive comments on community development and housing needs and on the proposed Community Development Plan; and WHEREAS, the proposed Community Development PIan contains recommendations for specific Community and Neighborhood Improvement Projects and Community Service projects to be approved by the City Council prior to implementation of the 1989-90 program, NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. The city Council of the City of Santa Monica approves the Two Year Community Development PIan for FY1989-90 and FY1990-91 on file with the city Clerk. SECTION 2. The City Manager is authorized on behalf of the City Council to negotiate and execute contracts with all grantees specified in the Community Development Plan. - 1 - . . : SECTION 3. The city Manager, as official representative, is further authorized to submit to the United states Department of Housing and Urban Development (BUD) the final statement of Community Development Objectives and projected Use of Funds, all understandings and assurances contained therein, and any additional information as may be required. SECTION 4. All City council approved projects shal1 be included in the 1989-90 City Budget. SECTION 5. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in ful1 force and effect. APPROVED AS TO FORM: ~~~ ROBERT M. MY~RS City Attorney :reso - 2 - . . City of Santa Monica FINAL STATEMENT OF COMMUNITY DEVELOPMENT OBJECTIVES AND PROJECTED USE OF FUNDS The following describes the proposed use of CDBG Entitlement funds planned for Fiscal Year 1989-90. of these expenditures, 100% is being used for activities which meet the national objec- tive of primarily benefitting low and moderate-income persons. I. COMMUNITY DEVELOPMENT OBJECTIVES FOR FY 1989-90 o To maintain and improve affordable housing opportunities for low and moderate income persons. o To stablilize and enhance low and moderate income neighbor- hoods through neighborhood revitalization and other com- munity development efforts. o To provide essential community services to residents most in need of these services. II. PROPOSED CDBG ACTIVITIES FOR 1989-90, THEIR LOCATION AND ESTIMATED COST Community & Neighborhood Improvement Projects Community Service Projects Project Contingencies Program Administration $677,591 149,346 5,000 165,200 $997,137 - 1 - . . Sources of funds in support of the above activities include: r Prior Year Funds -0- 1989-90 Entitlement 995,637 Projected Program Income 1,500 $997,137 Specific projects recommended for funding include: Housing $292,967 $ 15,000 $364,624 PICO NEIGHBORHOOD RESIDENTIAL REHABILITATION PROGRAM - Residential Rehabilitation Grant Program (Pico Neigh- borhood Area) RESIDENTIAL ACCESSIBILITY PROJECT - Minor acces- sibility improvements to residences of lower income households (Citywide) PICO NEIGHBORHOOD HOUSING TRUST FUND - Purchase & rehabilitat!on of affordable housing (Pica Neighbor- hood Area) $ 5,000 Neighborhood Revitalization $ 25,000 PUBLIC WORKS ASSESSMENT ASSISTANCE - Assistance to low-income homeowners and tenants for pUblic works improvement fees assessed by the City (Citywide) 612 COLORADO AVENUE PROJECT - Purchase of Architec- tural, Engineering and Rehabilitation management ser- vices for Homeless Shelter and support center funded with McKinney Act monies. (CT.70l9) $149,346 community services EMPLOYMENT PROGRAMS & SOCIAL SERVICE ADVOCACY - Job advocacy, youth employment programs, child care scholarships and direct social service delivery (City- wide, Pica Neighborhood) - 2 - . . ,. project Contingency $ 5,000 COMMUNITY AND NEIGHBORHOOD IMPROVEMENT PROJECT CONTINGENCY Administration and Planninq $165,200 PROGRAM ADMINISTRATION - General administration of the overall CDBG Program. III.PROPOSED AMOUNT OF FUNDS TO BENEFIT LOW/MODERATE INCOME PERSONS 100% of the activities proposed for the 1989-90 CDBG Program will primarily benefit low and moderate income persons. Project funding for this purpose totals $831,937. CLARICE JOHNSEN City Clerk Approved As To Form ~ W\. -~ Robert M. Myers City Attorney pscdopuf - 3 -