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CC 2024-11-26_11a Preliminary Approval of Community Development Block Grant_PP Presentation CONSIDERATION OF PRELIMINARY APPROVAL OF COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROJECTS FOR YEAR 2025 1 Background CDBG is a federal program that distributes funds to participating cities and counties CDBG funds can be allocated to a variety of projects as long as one (1) of the National Objectives are met: Benefit low- and moderate-income residents; Aid in the prevention or elimination of slums or blight; or Address urgent community development needs that pose a serious or immediate threat to public health or welfare 2 Funding - 2025 The County has estimated that $64,255 in CDBG funds will be available to the City in 2025 Funds can be divided into 6 categories: Public Services Public Facilities Economic Development Area Benefit Housing Rehabilitation; and Administration 3 CDBG Requirements A minimum of 70% shall be used for projects or programs that benefit low-income residents 30% cap for projects that “eliminate blight” 15% cap for “public services” projects Comply with federal regulations 4 Public Services Capped at 15%, or $9,638 for Year 2025 The City received one (1) CDBG public service applications from 5Cities Homeless Coalition (5CHC) 5CHC’s request to support its Rapid Re-Housing/Homeless Prevention Program 5 Public Services The request aligns with the Countywide Plan to Address Homelessness Staff recommends allocating $9,600 to fund the request from 5CHC 6 Public Facilities Recommends allocating $46,302 to replace existing curb ramps to meet ADA standards CDBG funding will augment the budget for the City’s annual Pavement Management Program Strategy provides the most efficient use of the City’s Pavement Management Program Budget while meeting national objectives 7 Administration Administration is capped at 20%, or $12,851 for Year 2025 County Administrative costs = $8,353 (per City/County Cooperation Agreement) No funding allocated for City administration 8 Other Funding Categories Housing Rehabilitation – No Cap – No Applications Economic Development – No Cap – No applications Area Benefit – 30% Cap – No applications 9 Recommended Allocations 10 1) Preliminarily approve funding recommendations for the City’s allocation of 2025 Community Development Block Grant (CDBG) funds as shown in Table 1; and 2) Find that this action is exempt from CEQA, pursuant to CEQA Guidelines Section 15061 subd. (b)(3). Recommendation 11