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R 4623RESOLUTION NO. 4623 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE APPROVING AMENDMENT NUMBER 1 TO A COOPERATION AGREEMENT BETWEEN THE COUNTY OF SAN LUIS OBISPO AND THE CITY OF ARROYO GRANDE FOR JOINT PARTICIPATION IN THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM, THE HOME INVESTMENT PARTNERSHIPS PROGRAM, THE EMERGENCY SHELTER GRANT PROGRAM, THE AMERICAN DREAM DOWN PAYMENT INITIATIVE PROGRAM, AND THE HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS (HOPWA) PROGRAM FOR FISCAL YEARS 2015 THROUGH 2018 WHEREAS, the County of San Luis Obispo ( "County "), a political subdivision of the State of California, and the City of Arroyo Grande ( "City ") a municipal corporation, desire to participate in the Community Development Block Grant (CDBG) program administered by the U.S. Department of Housing and Urban Development (HUD); and WHEREAS, said program will promote the public health, safety and welfare by providing grant funds to be used by the City and County to improve housing opportunities for low and moderate - income households, to encourage economic reinvestment, to improve community facilities and public services, and to provide other housing - related facilities, or services; and WHEREAS, to qualify for CDBG funds under HUD eligibility guidelines, the County must have a population of at least 200,000 persons; and WHEREAS, the City desires to continue to participate jointly with the County in said program; and WHEREAS, HUD requires that the parties enter into a Cooperation Agreement between the County of San, Luis Obispo and the City of Arroyo Grande for joint participation in the Community Development Block Grant Program, the Home Investment Partnerships Program, the Emergency Shelter Grant Program, the American Dream Down Payment Initiative Program, and the Housing Opportunities for Persons with AIDS Program for Fiscal Years 2015 through 2017 to define their rights and obligations as a prerequisite to participation in the CDBG program; and WHEREAS, the City Council adopted Resolution No. 4602 on June 24, 2014 approving an Agreement to allow the City to continue participation with the County and other participating cities for Federal CDBG, Home Investment Partnerships (HOME), RESOLUTION NO. 4623 PAGE 2 Emergency Shelter Grant (ESG) and Housing Opportunities for Persons with Aids (HOPWA) funding programs; and WHEREAS, HUD requires the County to amend the Cooperation Agreement to add a paragraph regarding use of public funds and to provide for a three -year term; and WHEREAS, the proposed Amendment to the Cooperation Agreement is consistent with the General Plan and with City and County policies encouraging cooperation between agencies on issues of regional significance such as affordable housing; and WHEREAS, the proposed Amendment to the Cooperation Agreement will promote the public health, safety and welfare by enabling the City and County to participate in the U.S. Department of Housing and Urban Development's CDBG program under an "urban county" entitlement, thus making available funds for a variety of housing, economic development, and public services programs not otherwise available; and WHEREAS, the City and County enter into yearly subrecipient agreements which establish administrative policies and procedures, performance standards, and guidelines for funding specific CDBG programs and projects; and WHEREAS, the proposed Amendment to the Cooperation Agreement is not a "project" for purposes of compliance with the provisions of the California Environmental Quality Act (CEQA) and the City's CEQA Guidelines. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande, California, as follows: 1. The City Council hereby approves and authorizes the Mayor to sign the Amendment to the Cooperation Agreement with the County to enable joint participation in HUD's CDBG program in the form attached hereto as Exhibit A. 2. The City Manager is hereby authorized to act on behalf of the City in connection with the implementation of the amended Agreement, ongoing operation of the CDBG program, and other activities necessary to carry out the intent of the Cooperation Agreement. On motion by Council Member Brown, seconded by Council Member Barneich, and on the following roll call vote, to wit: AYES: Council Members Brown, Barneich, Costello, Guthrie, and Mayor Ferrara NOES: None ABSENT: None The foregoing Resolution was passed and adopted this 9th day of September, 2014. RESOLUTION NO. l� 23 PAGE 3 ( 2 J, gg a . a a - I,-) TONY F , MAYOR ATTEST: KELLY VVtTMQjqE, CITY CLERK APPROVED AS TO CONTENT: STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: r-�)A, �-Q -I-- TI THY J. cAawt, CITY ATTORNEY EXHIBIT- A AMENDMENT NUMBER 1 TO A COOPERATION AGREEMENT BETWEEN THE COUNTY OF SAN LUIS OBISPO AND THE CITY OF ARROYO GRANDE FOR JOINT PARTICIPATION IN THE COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM,THE HOME INVESTMENT PARTNERSHIPS PROGRAM, THE EMERGENCY SOLUTIONS GRANT PROGRAM, AND THE HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS PROGRAM FOR FISCAL YEARS 2015 THROUGH 2018 THIS AGREEMENT is made and entered into this day of , 2014, by and between the County of San Luis Obispo, a political subdivision of the State of California, hereinafter called "County "; and the City of Arroyo Grande, a municipal corporation of the State of California, located in the County of San Luis Obispo, hereinafter called "City "; jointly referred to as "Parties." WITNESSETH WHEREAS, in 1974, the U.S. Congress enacted and the President signed a law entitled, The Housing and Community Development Act of 1974, herein called the "Act ". Said Act is omnibus legislation relating to federal involvement in a wide range of housing and community development activities and contains eight separate titles; and WHEREAS, Title I of the Act is entitled "Community Development" and governs programs for housing and community development within metropolitan cities and urban counties or communities by providing financial assistance annually for area -wide plans and for housing, public services and public works programs; and WHEREAS, the Community Development Block Grant (CDBG) Program, the HOME Investment Partnerships (HOME) Program, the Emergency Solutions Grant (ESG) Program, and the Housing Opportunities for Persons with AIDS (HOPWA) Program are consolidated under Title I of the Act; and WHEREAS, the County of San Luis Obispo has requested of the federal Department of Housing and Urban Development, hereinafter referred to as "HUD ", that the County be designated as an "urban county "; and WHEREAS, the County needs to requalify as an urban county and will be eligible to receive CDBG funds provided that the County's entitled cities defer their entitlement to the County to enable both the County and the entitlement cities to jointly participate in the program; and WHEREAS, the City desires to participate jointly with the County in said program; and WHEREAS, on July 15, 2014, the County and City entered into a Cooperation Agreement (the Original Cooperation Agreement) in order for the County to requalify as an urban county and submitted said cooperation agreement to the U.S. Department of Housing and Urban Development (HUD); and WHEREAS, HUD reviewed said Original Cooperation Agreement and determined that it must be amended to provide for a three year term and to include additional language required by the Transportation, Housing and Urban Development, and Related agencies Appropriations Act, 2014, Public Law 113- 76. NOW THEREFORE, in consideration of the mutual promises, recitals and other provisions hereof, the Parties agree as follows: 1. The first sentence of Paragraph C, entitled "C. Term of Agreement — Automatic Renewal Provision," of Section I, entitled "SECTION I. General.," of the Original Cooperation Agreement is hereby amended and replaced to read as follows: The term of this Agreement shall be for a period of three (3) years commencing July 1, 2015 through June 30, 2018. 2. The section entitled "SECTION IV. Use of Program Funds" of the Original Cooperation Agreement is hereby amended to add a new section "I" that reads as follows: The City may not sell, trade, or otherwise transfer all or any portion of CDBG funds to another metropolitan city, urban county, unit of general local government, or Indian tribe, or insular area that directly or indirectly receives CDBG funds in exchange for any other funds, credits or non - Federal considerations, but must use such funds for activities eligible under Title I of the Act. 3. All other provisions of the Original Cooperation Agreement not specifically amended herein remain in full force and effect. NOW, THEREFORE, the Parties hereto have caused this Amendment Number 1 to the Cooperation Agreement to be executed and attested by their proper officer thereunder duly authorized, and their official seals to be hereunto affixed, all as of the day first above written. 2 COUNTY OF SAN LUIS OBISPO By: Deputy County Counsel Date: By: Chairperson of the Board of Supervisors Date: ATTEST: Julie Rodewald, County Clerk Date: 3 CITY OF ARROYO GRANDE Tony Ferrara, Mayor Date: ATTEST: Kelly Wetmore, City Clerk Date: APPROVED AS TO CONTENT: Steven Adams, City Manager Date: APPROVED AS TO FORM: Timothy J. Carmel, City Attorney Date: 0 OFFICIAL CERTIFICATION I, KELLY WETMORE, City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that the attached Resolution No. 4623 is a true, full, and correct copy of said Resolution passed and adopted at a Regular meeting of the City Council of the City of Arroyo Grande on the 9th day of September, 2014. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 9th day of September, 2014. �' E,7C I T1Y 1, L E R K