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HomeMy WebLinkAbout2011/02/22 Item 11~..... _. ~~ ~~ CITY COUNCIL ~ AGENDA STATEMENT ` ~V// ~ ; ,~,~~ CITY OF CHULA VISTA FEBRUARY 22, 2011, Item ITEM TITLE: RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AMENDMENT TO THE FISCAL YEAR 2010/2011 HUD ANNUAL ACTION PLAN TO REPROGRAM $46,892 OF PRIOR YEAR COMMUNITY DEVELOPMENT BLOCK GRANT~ENTITLEMENT FUNDS TO ELIGIBLE PROJECTS ,~.' SUBMITTED BY: ASSISTANT CITY MANAGEI~'w/ DEVELOPMENT SERVICES DIRECTOR REVIEWED BY: CITY MANAGER 4/STHS VOTE: YES ~ NO ^X SUMMARY The City of Chula Vista receives grant funds from the Department of Housing and Urban Development (FI[JD) on an annual basis. The City is required to ensure that all grant funds aze invested in the community in a timely manner. A recent review revealed that there aze several projects that have been completed, cancelled or delayed and have resulted in $46,892 of unexpended grant funds which must be reprogrammed to eligible activities. Staff recommends reallocating the available funds to the Norman Pazk Senior Center and the Graffiti Removal Program, both which are consistent with the City of Chula Vista's Five Year Consolidated Plan Goals and Priorities. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed action for compliance with the National Environmental Policy Act (NEPA) due to the use of federal Community Development Block Grant (CDBG) funds and has determined that pursuant to Section 58.30 (b), Subpart D, Title 24 of the Code of Federal Regulations that the activities are not site specific and thus, no further NEPA environmental review or documentation is necessary at this time. 11-1 RECOMMENDATION Council adopt the resolution. BOARDS/COMMISSION RECOMMENDATION Not Applicable DISCUSSION As a Department of Housing and Urban Development Entitlement Community, the City receives Community Development Block Grant funds on an annual basis. Each federal grant issued from HUD contains unique expenditure guidelines that the City must adhere to. Staff continuously monitors all open projects to ensure that the funds aze moving as scheduled. Balances from completed or stalled projects are reprogrammed to other eligible activities. After a recent evaluation, staff determined that there is $46,892 in unexpended funds to be reprogrammed to eligible projects. Two new public service activities have been identified for use of these funds. The first proposed program is the Norman Pazk Senior Center. An allocation of $26,892 will allow the Center to remain open on Fridays and provide services ranging from yoga classes, blood pressure clinics, computer classes and lab time, game room accessibility and other services such as the "Are you Okay" calls. The second public service that will receive funding through this reallocation is the Graffiti Removal Program. This $20,000 allocation will provide for graffiti removal in residential properties located within low/moderate income azeas of the city. Both activities selected aze consistent with the City of Chula Vista's Five Year Consolidated Plan as they each provide services listed as high priorities for the City. In addition, staff was directed by Council in November of 2010 to seek funding sources for the Norman Park Senior Center. Citizen Partici ation Process Substantial Amendments to Action Plans require, a minimum 15-day comment period to allow for the public to review the proposed amendments and provide comments. The review period ran from February 7, 2011 to February 22, 2011. As of the date this report was issued, no comments have been received. 11-2 DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found no property holdings within 500 feet of the boundaries of the properties which are the subject of this action. Staff Member Conflicts Verification By: Dai Hoang Date: February 2, 2011 CURRENT YEAR FISCAL IMPACT The subject $46,000 of Federal grant funds are already appropriated in the current fiscal year. The following table identifies the change in project allocation. Cancelled Program New Program Amount Foreclosure Services Graffiti Mitigation Program $20,000 Lauderbach Facility Services Norman Pazk Senior Services $26,892 Total Funds to Be Reallocated $46,892 ONGOING FISCAL IMPACT There is no ongoing fiscal impact. City staff time reimbursement to administer these grants is covered through administrative funding received under the CDBG annual grant. Prepared by: Angelica Davis, Project Coordinator II, Development Services Department 11-3 COUNCIL RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING AN AMENDMENT TO THE FISCAL YEAR 2010/2011 HUD ANNUAL ACTION PLAN TO REPROGRAM $46,892 OF PRIOR YEAR COMMUNITY DEVELOPMENT BLOCK GRANT ENTITLEMENT FUNDS TO ELIGIBLE PROJECTS WHEREAS, on May 15, 2010, the City Council approved submittal of the Community Development Block Grant (CDBG) and the HOME Investment Partnership (HOME) Program Annual for Fiscal Year 2010-11, respectively, to the U.S. Department of Housing and Urban Development (HUD); and WHEREAS, the City desires to amend the CDBG, HOME, and ESG Program to reallocate $46,892 of unallocated CDBG funds from closed activities to two new Public Services activities; and WHEREAS, Federal regulations governing the CDBG, HOME and ESG Programs state that significant programmatic and funding changes to the Plan constitute an amendment to the Plan; and WHEREAS, in compliance with HUD regulations and the City's Citizen Participation Plan, a Plan Amendment requires a 15-day public review and comment period, which began on February 7, 2011, and ended on February 22, 201 1 with no comments received. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista hereby amend the 2010/2011 Annual Action Plan and authorizes the submission of the Amendment to the United States Department of Housing and Urban Development. BE IT FURTHER RESOLVED, that the City Council of the City of Chula Vista does hereby establish two new projects entitled the Norman Park Senior Center and the Graffiti Removal Program. Presented by Approved as to form by Gary Halbert, AICP, PE Assistant City Manager/Director of Development Services Glen R. Googins City Attorney 11-4