I. RECOMMENDATION:
Adopt Resolution No. 4013 and thereby:
- Review and approve an application for up to $314,194 under the NOFA for the following eligible activities:
Economic Development - Business Assistance $ 314,194
General Administration (up to 13% of activity funds awarded)
TOTAL: $ 314,194
2. Determine that federal Citizen Participation requirements were met during the development of the application.
3. Authorize and direct the City Manager, or designees, to enter into and sign the grant agreement and any subsequent amendments with the State of California for the purposes of the grant.
4. If the application is approved, authorize the City Manager, or designees, to transfer or modify budget amounts and activates as necessary to fully expend CDBG Program funds and to execute loan documents, Funds Requests, and other required reporting forms.
II. BACKGROUND:
A public hearing was held on January 21, 2021 in accordance with CDBG regulations that provide for and encourage citizen participation, particularly by low and moderate income persons who reside in areas in which CDBG funds are used. Citizens were invited to comment on the City's proposed submittal of a 2020 CDBG Coronavirus Response Round 2 & 3 (CDBG-CV2&3) Grant application and to make their comments known on the proposed activities.
At the January 21, 2021 hearing the City Council adopted Resolution No. 4000 approving the submittal of two applications for the full amount of funding available of $314,194 as follows:
Public Service - Subsistence Payments $ 104,194
Economic Development - Business Assistance $ 210,000
General Administration (up to 13% of activity funds awarded)
TOTAL: $ 314,194
The State Housing and Community Development Department recently amended the NOFA released for CV2&3 funds removing the opportunity to provide rental assistance due to the recently announced Emergency Rental Assistance Program (ERAP) being deployed by the State.
III. DISCUSSION:
The City is now proposing to eliminate the CDBG-CV2&3 application to provide a Subsistence Payment Program and to move all funding to Economic Development (Business Assistance) for eligible business with the ability to meet job retention or creation requirements. A new resolution is attached for consideration, which approves submittal of a 2020 CDBG-CV2&3 application for up to $314,194 as follows:
Economic Development - Business Assistance $314,194
General Administration (up to 13% of activity funds awarded)
TOTAL: $ 314,194
IV. ALTERNATIVES:
Do not adopt Resolution No. 4013.
V. FISCAL IMPACT:
The cost for preparation of the CDBG application by Self-Help Enterprises is $2,500. |