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HomeMy WebLinkAbout1992-04-28 - AGENDA REPORTS - CDBG USE FUNDS (2).PUBLIC HEARING ` DATE: SUBJECT: DEPARTMENT: BACKGROUND AGENDA REPORT City Manager Item to be presented April 28, 1992 Community Development Block Grant, Proposed Statement Community Development Objectives and Projected Use of Funds Parks and Recreation of The City of Santa Clarita participates in the Community Development Block Grant Program (CDBG) administered by the U.S. Department of Housing and Urban Development (HUD) as an entitlement city. Each year the City receives an entitlement amount. based on a ratio that compares the population of the City, the extent of poverty in the City and the extent of housing overcrowding to all metropolitan areas in the nation. HUD has notified the City of Santa Clarita that its 1992-93 entitlement will be $593,126. The purpose of this public hearing is for City Council to receive public testimony on the City's housing and community needs and CDBG proposed use of funds. The City's final statement is due to HUD at least. 30 days prior to the beginning of the program year or July 1, 1992.however, on April 16, 1992, HUD notified the City that the City's adopted Comprehensive Housing Affordability Strategy (CHAS) must be.approved by HUD before the City can submit its final statement. The City will be able to incur costs to the CDBG program beginning July 1, 1992 as long as the CHAS is approved by HUD by July 1, 1992 and the City's final statement is also submitted by this date. The CDBG Program was adopted by Congress 18 years ago to provide local governments with a funding source to meet the community development needs of their 'low and moderate income community. Of proposed activities, 70 -percent of CDBG funds shall principally benefit persons of low and moderate income. All projects paid for in whole or in part with CDBG funds must carry out one of the three national objectives: 1) benefit low and moderate income families; 2) aid in the prevention or elimination of slums or blight or; 3) meet other community development needs having a particular urgency because existing conditions pose a serious. and immediate threat to the health or welfare of the community. If a project does riot meet eligibility criteria, it is not eligible for this source of funding. Federal regulations place restrictions on the percentage of CDBG funds which may be used for various_ activities. Administrative expenses are limited to 20i of the City's total entitlement, public service programs may not exceed 15% -of the total grant and at least 70z of the funds must be used for capital improvement type projects. The proposed use of funds, as recommended by Citystaff, have been apportioned'by category as follows: Administration: $88,969 Public Services: 81,750 Capital Projects:24 2.407 TOTAL FUNDS $593,126 Continued To: 15z , 14%. 717 loot Agenda Item: The City's proposed statement was developed 'over several months with extensive citizen involvement. In accordance with the CDBG Citizen Participation Plan adopted by the City Council on February 12, 1991, .City staff held two community meetings, met with City departments and eight community organizations that serve and have knowledge of the needs the low and moderate income residents of Santa Clarita. The City's Citizen Participation Plan has been updated and.therefore amended accordingly and'requires adoption by City Council (See Attachment 2 of City's Proposed Statement.of Community Development Objectives and Projected Use of Funds). The community organizations included: the Migrant Education Program of the Los Angeles County of Education; Santa Clarita Valley Senior Center, Santa Clarita Child and Family Development Center, Fair Housing Council of the San Fernando Valley and the Canyon Country Chamber of Commerce. The City received extensive public participation on community development and housing needs for Santa Clarita. In addition, the City also received four written requests for CDBG funding from the following agencies: Jay Nolan Community Services,. Heads Up, Inc., SFV Neighborhood Legal Services, Citizen proposal for drainage improvements in the East Newhall area. As a result of public participation, 57 community development and housing needs were identified by the public. After careful consideration by City staff, of all needs identified and the ability of each need to meet CDBG eligibility criteria, fulfill the Community Development objectives and goals of the Community Strategic and be consistent with the City's recently adopted General Plan and the City's draft Comprehensive Housing Affordability Strategy- (CHAS), the 1992-93 proposed. CDBG budget allocation follows: Public Service Senior Center $ 48,000 Service Center 31,000 ESL/Literacy Program 2,750 Capital Proiects Public Facilities/Improvements $232,219 Handyworker Program 180,000 Neighborhood Clean -Up (Interim 10,188 Assistance) Administration General Administration $ 73,969 Fair Housing Services 15,000 TOTAL $593,126 City Council to receive public testimony on the City's housing and community development needs and CDBG proposed projects; approve staff's recommendation of budget allocation for FY 92-93 and amended Citizen Participation Plan and direct staff to prepare the City's Final Statement and return on May 26, 1992 for approval and adoption. ATTACHMENTS Community Development Block Grant Proposed Statement of Community Development Objectives and Projected Use of Funds for FY 1992-93. SCL:slc PRCOUNC:107 ".• PUBLIC HEARING PROCEDURE 1. Mayor Opens Hearing a. States Purpose of Hearing 2. City Clerk Reports on Hearing Notice 3. Staff Report (City Manager) or (City Attorney) or (RP Staff) 4, Proponent Argument (30 minutes) 5. Opponent Argument (30 minutes) 6. Five, -minute Rebuttal (Proponent) a. Proponent 7. Mayor Closes Public Testimony e. Discussion by Council 9. Council Decision 10. Mayor Announces Decision Notice of Public Hearing and Proposed Statement of Use for the City of Santa Clarita Community Development Block Grant (CDBG) Notice is hereby given that a public hearing will be held before the City Council of ,the City of Santa Clarita on April 28, 1992, 6:30 p.m. in the City Hall Council Chambers at 23920 Valencia Blvd., lst floor, Santa Clarita. The purpose of the public hearing is to secure citizen views on housing and community development needs in Santa Clarita. Citizens will also be given an opportunity to comment on the proposed use of the Community Development Block Grant funds for fiscal year 1992-93. The City's allocation of CDBG funds will be approximately $593,126. The City will consider using these funds in the following ways: - Public Facilities/Improvements in the East Newhall area as allowed by Section 570.201(c): $232,219 - Grants for minor home repairs for housing rehabilitation for low and moderate income households city-wide. Services will be provided through the Handyworker Program as allowed under Section 570 .202: $180,000 Operational funding for the Santa Clarita Valley Service Center as allowed by Section 570.201 (e): $ 31,000 - Operational funding for the Santa Clarita Valley Senior Center as allowed by Section 570.201 (e): $:48,000 - Operational funding for an English as a Second Language/Literacy Program as allowed by Section 570.20 (e): $ 2,750 - Neighborhood Clean-up of large bulky items in the East Newhall neighborhood as allowed by Section 570.201 (f): $ 10,188 - program Administration including Fair Housing Services as allowed by Section 570.206: $ 88,969 During the past year CDBG funds have been used for drainage improvements in •East Newhall, social services at the Senior Center and Service Center, housing rehabilitation and bulky item debris removal in.East Newhall, and administration. Individuals or organizations wishing to comment on these or other specific projects including housing and community development needs before the public hearing may contact the City's Parks and Recreation Department at 255-4394. Additional information regarding planned and past activities is available from the department. DATED: APRIL 10, 1992 DOAK4 M. GRIADEY, CITY CLERK PUBLISH DATE: APRIL 14, 1992