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Home My WebLink AboutMINUTES - 04282009 - C.49RECOMMENDATION(S): 1. APPROVE the Family and Human Services Committee recommendations for the allocation of $695,985 in FY 2009/10 Community Development Block Grant (CDBG) funds in the Public Service category and $145,111 in Emergency Shelter Grant (ESG) funds (Attachment A); 2. APPROVE the Finance Committee recommendations for the allocation of $519,207 in FY 2009/10 CDBG funds in the Economic Development category (Attachment B); and the allocation of $133,490 in FY 2009/10 CDBG funds in the Infrastructure/Public Facilities category (Attachment C); 3. APPROVE the Affordable Housing Finance Committee recommendations for the allocation of $3,456,039 in CDBG funds ($1,463,693 in FY 2009/10 funds, $1,225,000 in FY 2010/11 funds, and $767,346 in FY 2008/09 Housing Development Assistance Funds (HDAF)) in the CDBG-Housing category (Attachment D); 4. APPROVE the Affordable Housing Finance Committee recommendations for the allocation of $4,093,778 in HOME Investment Partnerships Act funds ($2,906,546 in FY APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 04/28/2009 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Gayle B. Uilkema, District II Supervisor Mary N. Piepho, District III Supervisor Susan A. Bonilla, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Bob Calkins, CDBG Program Manager, 335-7220 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: April 28, 2009 David J. Twa, County Administrator and Clerk of the Board of Supervisors By: Katherine Sinclair, Deputy cc: C.49 To:Board of Supervisors From:Catherine Kutsuris, Conservation & Development Director Date:April 28, 2009 Contra Costa County Subject:RECOMMENDED FY 2009/10 CDBG, HOME AND ESG PROGRAM FUNDING ALLOCATIONS 2009/10 funds, $1,100,000 in FY 2010/11 funds, and $87,232 in FY 2008/09 HDAF funds (Attachment D); 5. RECOMMENDATION(S): (CONT'D) ADOPT AND APPROVE the FY 2009/10 Action Plan (Attachment E); 6. DETERMINE that the FY 2009/10 Action Plan is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA guidelines; 7. AUTHORIZE the Deputy Director – Redevelopment, or his designee, to execute the appropriate documents for transmittal to the U.S. Department of Housing & Urban Development; 8. DIRECT the Conservation and Development Director to file a Notice of Exemption for the Action Plan with the County Clerk; 9. DIRECT the Conservation and Development Director to arrange for payment of the $50 handling fee to the County Clerk for filing such Notice of Exemption; 10. AUTHORIZE the Deputy Director-Redevelopment or his designee to execute the CDBG, HOME, and ESG program Agreements as approved in the Action Plan by the Board of Supervisors. FISCAL IMPACT: No General Fund impact. All funds are provided to the County on a formula basis through the U.S. Department of Housing and Urban Development. CFDA#'s: 14.218 (CDBG), 14.239 (HOME), and 14.231 (ESG). BACKGROUND: COMMUNITY DEVELOPMENT BLOCK GRANT: This is the thirty-fourth year of the CDBG program. The primary objective of the program is the development of viable urban communities through the provision of decent housing, a suitable living environment, and economic opportunity, principally to very-low and low-income persons/households. Funds are allocated annually to eligible Entitlement Jurisdictions by HUD on a formula basis. The County's Department of Conservation and Development administers the CDBG funds on behalf of the Urban County that includes the unincorporated County and all cities except Antioch, Concord, Pittsburg, Richmond, and Walnut Creek, who administer independent CDBG programs. The FY 2009/10 funding recommendations by the Board of Supervisors' Committees allocate funds to projects/programs that benefit extremely-low, very-low and low-income communities, households, persons, and special needs populations. HOME INVESTMENT PARTNERSHIPS ACT: The purpose of the HOME Program is to increase and maintain the supply of affordable housing for lower income households. Funds are allocated to eligible Participating Jurisdictions (PJs) and Consortia on a formula basis by HUD. The Contra Costa Consortium consists of the unincorporated County plus all cities except Richmond. The City of Richmond is an independent HOME PJ. As the Consortium representative, the County is responsible for administration and management of the HOME program. The required notice on the proposed use of funds as described in the Action Plan was published on March 27, 2008 in the Contra Costa Times. BOARD OF SUPERVISORS FUNDING GUIDELINES: On February 28, 2006, the Board of Supervisors amended its funding guidelines, originally adopted in 1993, for use of CDBG funds as follows: Housing - 45.1%; Public Services - 15.0%; Economic Development - 14.0%; Infrastructure/Public Facility - 3.9%; Contingency - 2.0%; and Program Administration -20.0% Note: The Family and Human Services Committee recommends allocating the “Contingency” funds to Public Service projects. FAMILY AND HUMAN SERVICES, FINANCE, AND AFFORDABLE HOUSING FINANCE COMMITTEE FUNDING RECOMMENDATIONS: Funding recommendations were made by the following Committees: Family and Human Services – CDBG Public Service category and Emergency Shelter Grant (ESG projects (Attachment A); Finance Committee – Economic Development category (Attachment B) and Infrastructure/Public Facilities category (Attachment C); Affordable Housing Finance Committee – Housing category (Attachment D). Family and Human Services Committee: The Family and Human Services Committee met on March 16, 2009 to consider staff recommendations for FY 2009/10 CDBG Public Service projects and ESG projects. Because FY 2009/10 will be the second year of the current two-year funding cycle there were no new applications to be considered and no changes to FY 2008/09 grant amounts subject to satisfactory performance and sufficient resources. (Note: as of the date of this report, HUD has not officially notified the County of its grant amounts but has indicated that the County should expect the same amount of CDBG, HOME and ESG funds as it received this year). The meeting was noticed and project applicants were encouraged to attend the meeting and provide input into the allocation process. Various agencies attended the meeting and had no comment regarding staff recommendations. The Committee approved staff recommendations as indicated on Attachment A. Finance Committee: The Finance Committee met on March 4, 2009 to consider staff funding recommendations for Economic Development and Infrastructure/Public Facilities projects. The meeting was noticed and project applicants were encouraged to attend the meeting and provide input into the allocation process. Various agencies attended the meeting and had no comment regarding staff recommendations. The Finance Committee approved the recommendations as listed in Attachment B and Attachment C. Affordable Housing Finance Committee: In June 1995, the Board established the Affordable Housing Finance Committee (AHFC) to work with staff to develop recommendations for the allocation of CDBG and HOME funds for affordable housing developement. The current funding recommendations are the result of a competitive application process initiated in October 2008. A Notice of Funding Availability was sent to over 100 jurisdictions, public agencies, affordable housing developers and interst groups active in the Urban County and Consortium area. The Department received 9 applications requesting approximately $11.7 million ($4.4 million in CDBG funds and $7.3 million in HOME funds). The AHFC met on March 20, 2009 to consider staff recommendations for CDBG-housing and HOME projects. Members of the public, including project sponsors, were invited to attend and provide input into the allocation process. Following discussion and comment on each project, the AFHC developed recommendations for the allocation of CDBG and HOME funds for affordable housing projects and programs. The AHFC also recommended pre-awarding FY 2010/11 CDBG and HOME funds. Attachment D is a summary of the AHFC actions. All of the housing projects will undergo CEQA review before the County enters into project agreements and/or loan documents. The Department will enter into a CDBG Project Agreement with the Housing Authority for its Rental Rehabilitation Program. DCD Redevelopment and Building Divisions will enter into an agreement for the Neighborhood Preservation Program. All other projects will be entering into various legal documents with the County in addition to a CDBG or HOME project agreement. These documents may include some or all of the following: Loan Agreement, Promissory Note, Deed of Trust and Security Agreement, Regulatory Agreement, Intercreditor Agreement, Subordination Agreement, Loan Riders and Estoppels. The form of these documents will be submitted for Board approval at a later date, but prior to execution of legal documents. FY 2009/10 ACTION PLAN: The Action Plan describes the activities the County will undertake during the program year to address priority needs identified in the Contra Costa County Consolidated Plan. The Action Plan identifies the use of grant funds and program income received during the program year by activity, and proposed accomplishments. The Plan also includes actions the County proposes to undertake during the year to address obstacles in meeting underserved persons, foster and maintain affordable housing, reduce the number of households living under the poverty level, and enhance coordination between public and private housing and social service agencies. In order to begin the program year on time, the FY 2009/10 Action Plan must be approved by the Board and submitted to HUD by May 15, 2009. CALIFORNIA ENVIRONMENTAL QUALITY ACT: The Action Plan is exempt from CEQA review. However, individual projects may be subject to further review, which will be undertaken by the lead agency. ATTACHMENTS FY 2009-10 Action Plan Attachments