|
Council Agenda - City of BurbankTuesday, April 19, 2005Agenda Item - 6 |
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
PURPOSE
This resolution requests 1) the City Council to approve/file the fiscal year 2005-06 Annual Plan of the Consolidated Plan (2003-08) submission involving community planning and development programs and activities; 2) File federal fund applications for the Community Development Block Grant (CDBG) and Home Investment Partnerships Programs (HOME); 3) File the 2005 Final Statement of Community Development Objectives and Projected Use of Funds; 4) Authorize the City Manager to execute U.S. Department of Housing and Urban Development (HUD) funding agreements for CDBG and HOME Programs, act as the City�s Certifying Officer under 24 CFR, Part 58 � Environmental Review Procedures, and execute sub-recipient contracts with organizations utilizing CDBG and HOME funds, as applicable; and 5) permit the extension of specific CDBG Reimbursable Contracts for capital projects.
BACKGROUND
The application process for federal funds was consolidated into one procedure pursuant to regulations dated January 5, 1995, covering 24 Code of Federal Regulations Part 91, Consolidated Submissions for Community Planning and Development Programs. The Consolidated Plan includes a needs assessment of housing and community development and the homeless, a housing market analysis, a strategic plan, an annual plan, a monitoring plan, program certifications, and a description of the citizen participation and consultation process undertaken. The Consolidated Plan is required every five years and was last submitted for the period 2003-08.
The Consolidated Plan�s strategy describes a general assessment of needs for all households, and particularly very low and low-income households at or below 80% of median family income, including minorities, elderly, disabled, and large families. The strategy details federal, state, local and private programs and resources available to meet eight priority needs including housing, homeless and special population(s) programs, community facility and infrastructure, economic development, and community services.
The Consolidated Plan covers applications for federal formula grants including Emergency Shelter Grant, Housing Opportunities for Persons with AIDS, CDBG and HOME Programs. Annually, Burbank is a recipient of and applies for CDBG and HOME funds. Activities eligible under the CDBG program must principally benefit persons of low and moderate income, aid in the prevention or elimination of slums and blight, or address community development needs having a particular urgency. HOME funds must serve affordable housing activities for very low and low-income households.
For the years between Consolidated Plan submittals Burbank submits an Annual Plan update (Attachment 1) detailing the funding and resources available this year to address strategy goals. Programs and activities, which meet Consolidated Plan goals are described, and unit objectives by fund resource and dollars to be allocated/expended are quantified. The Annual Plan also describes what other policy and procedural actions will be implemented to meet goals, and must be submitted to HUD no later than 45 days prior to the start of the fiscal year, or on or about May 15, 2005 this year.
ANALYSIS
The 2005 Annual Plan details federal, state, and local fund resources totaling over $17.7 million, including $1.8 million in federal CDBG entitlement, reallocated funds, and program income, and $862,599 in HOME funds. These total resources (Attachment 2) are utilized to meet Consolidated Plan priority needs/objectives in the areas of housing, assistance to the homeless and special needs populations, community facilities, infrastructure, economic development, and community services.
CDBG and HOME fund resources combined with the Section 8 program provide the large majority of federal funds available to address Consolidated Plan projects and activities. Compared with 2004 [$1,669,833 and $898,493], this year�s CDBG funding is $140,164 (8%) higher and HOME funds are lower by $35,894 (4%). CDBG resources and fund use by category are as follows:
Fiscal Year 2005 Community Development Block Grant Resources
Fiscal Year 2005 Community Development Block Grant Funds by Category
* Statutory Limits: Program Administration (20%); Public Services (15%)
A 2005 Proposed Statement of Community Development Objectives and Projected Use of Funds (Attachment 3) reflect how CDBG funds are recommended for use by program, project and activity. The Burbank City Council will consider these recommendations, by the Community Development Goals Committee (Goals Committee) and the City�s Executive Staff, and approve projects and activities to be submitted as the Final Statement of Community Development Objectives and Projected Use of Funds.
Fiscal year 2005 HOME funds ($776,339) will be used by the Burbank Housing Corporation (a Community Housing Development Organization) for housing acquisition and rehabilitation activities, with HOME program administration funded at $86,260 (Total: $862,599). Specific HOME projects will be approved by the City Council at a later date once projects are identified.
For CDBG capital projects, a Notice of Fund Availability and a Request for Proposals was published September 15 and 18, 2004. Proposals were accepted until October 15, 2004. A total of 11 projects for $1.87 million were received.
Capital projects as recommended by the Goals Committee and the Executive Staff were considered and approved by the City Council, Resolution 26,896, on January 25, 2005 (Exhibit A). The approval was based on a 2005 capital fund total of $1,176,498.
For CDBG public services, a Notice of Fund Availability and a Request for Proposals was published January 5 and 8, 2005. Proposals were accepted until February 3, 2005. A total of 20 proposals were received equaling over $532,000 (Binder 1). The recommendations of both committees are reflected in Exhibit B, and also below.
This year the Goals Committee met on three occasions to review public services proposals (2/24/05), take public/organization comment (3/3/05), and make recommendations (3/10/05). The Executive Staff met on 3/16/05 to review proposals and make recommendations.
The Goals Committee recommendation, traditionally, has considered funding agencies with limited other resources, encouraging new programs that supplement existing City community services, and balancing the proportion of available funding between general and youth services with those supporting the homeless/needy, the disabled, senior citizens, and other very-low income residents. This year�s Goals Committee comments and funding approval discussion is contained in the Committee minutes for March 10, 2005 (Attachment 4). Essentially, the majority of their deliberation was centered on the fact that fund availability for 2005 exceeds what was approved last year by approximately $21,000; whether or not the starting point of deliberations should be City Council approvals last year, with ($21,000) adjustments made to the funded organizations or whether specific agencies should receive less than last year with adjustments to other approved organizations and/or adding new organizations. Ultimately, the Goals Committee recommended that all agencies receive last year�s CDBG amount except:
1. Build Rehabilitation Industries $18,175 2. Armenian Relief Society $ 5,350 3. Kids Community Dental Clinic $ 5,000
Last year, Build Rehabilitation Industries requested funding for a similar piece of equipment to 1) train disabled workshop participants with state-of-the art (packaging equipment) similar to what is used in private industry; and 2) to be competitive with private industry so Build could obtain vendor contract commitments. Since they were approved for $7,500, alternative equipment was purchased instead.
For 2004, The Armenian Relief Society (ARS) received a recommendation of $10,000 from the Goals Committee, but no funding was approved by the City Council for this new program. After considering the same amount this year, the Goals Committee opted to split the remaining funds available between ARS ($5,350) and another new organization, the Kids Community Dental Clinic ($5,000).
The Executive Staff took a similar approach to the Goals Committee, in that, they considered City Council approvals from last year and weighed which existing organizations should be recommended for funding adjustments; and to what level, if any, new organizations should be funded. After an evaluation of all proposals, the Executive Staff recommends that all organizations funded last year receive the same CDBG funding in 2005, except:
1. Family Service Agency $39,600 2. Build Rehabilitation Industries $13,400 3. Armenian Relief Society $5,000 4. Kids Community Dental Clinic $8,500 5. We Care for Youth $5,000
For Family Service Agency, Executive Staff recommends that CDBG fund the Clinical Craft Program at $19,600 and the Community Day School at $20,000, for a total of $39,600. They also recommend that the Middle School Counseling program be fully funded ($35,000) from City Set-aside funds.[1]
Executive Staff recommends three new organizations be funded this year: Armenian Relief Society ($5,000), Kids Community Dental Clinic ($8,500) and We Care for Youth ($5,000). For We Care for Youth, Executive Staff recommend that the $5,000 be earmarked for product costs and not staff costs. The balance of funding available ($13,400) was recommended for Build Rehabilitation and exceeds last year�s approval by $5,900.
* Fund Middle School Counseling Program ($35,000) with City Set-aside Funds ** Fund Fair Housing Council ($18,000)with CDBG Program Administrative Funds *** Fund Organization ($5,000) Product Costs and Not Staff Costs
Both committees recommend the federal requirement for fair housing services as proposed by the Fair Housing Council of the San Fernando Valley be funded ($18,000) with CDBG program administration funds. Administration funds are recommended at the 20 percent statutory maximum or $361,999.
The Community Development Department anticipates that some prior year capital project contracts will not meet their time of performance dates (June 30, 2005), and require the time of performance dates be extended to June 30, 2006, with relevant amounts carried over, as applicable. With City Council approval these contracts will be amended.
City Council approval and filing of the fiscal year 2005-06 Annual Plan includes the authorization to file applications for CDBG and HOME funds (Attachments 5 and 6), submission of a Final Statement of Community Development Objectives/ Projected Use of Funds and program certifications, authorizes the City Manager to execute CDBG and HOME Agreements between the City of Burbank and the U.S. Department of Housing & Urban Development, to execute CDBG and HOME Agreements with various organizations and subrecipients, as applicable, and to extend existing CDBG contracts for capital projects.
FISCAL IMPACT
For 2005, Block Grant funds ($1,809,997) have increased $140,164, while HOME funds ($862,599) are down $35,894 compared to last year. If the Executive Staff�s $35,000 recommendation for Family Service Agency�s Middle School Counseling program is approved, the City General Fund Holding Account (001-ND000-62970) will be affected.
RECOMMENDATION
Staff recommends that the City Council adopt the proposed resolution.
Enclosures
Attachment 1: 2005-06 Annual Plan Update (Consolidated Plan 2003-08) Attachment 2: 2005-06 Annual Plan Resources and Priority Needs Attachment 3: 2005-06 Proposed Statement of Community Development Objectives and Projected Use of Funds Attachment 4: Community Development Goals Committee Minutes (3/10/05) Attachment 5: CDBG Application for Federal Assistance Attachment 6: HOME Application for Federal Assistance
Exhibit A: 2005-06 CDBG Capital Projects (Approved 1/25/05) Exhibit B: 2005-06 CDBG Public Service Project(s) Recommendations Binder 1: 2005-06 CDBG Public Services Proposals
[1]As part of the mid-year budget report (2/15/05), the City Council appropriated $250,000 for youth counseling and other teen-related programs recommended by the Mayor�s Youth Task Force (Resolution 26,907).
|