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Public Hearing -CDBG Program FY 2010-2011 <br /> April 05, 2010 <br /> Page 2 <br /> In past years, the City has used an application process to make public service funds available to <br /> nonprofit organizations that meet one of the priorities identified in the City's Consolidated Plan (the <br /> City's five-year strategic plan that identifies housing and community needs that is required by <br /> HUD). Like communities throughout the nation, the current economic climate continues to present <br /> serious budget challenges to Santa Ana. These challenges include an increased demand for a <br /> variety of municipal services, the redirection of local revenues to the state, and an overall decline <br /> in various tax revenues. <br /> To address these challenges, the City has made the difficult decision to limit the amount of CDBG <br /> funds available for nonprofits for the 2010-2011 Fiscal Year to City-managed programs. <br /> Therefore, request proposals for public services were not requested from the non-profit community. <br /> The proposed fiscal year 2010-2011 CDBG program and budget (Exhibit 1) consists of the staffs <br /> funding recommendations for the program. The City Council public hearing will provide an <br /> opportunity for public input and the completion of the process necessary to submit our locally <br /> approved program to HUD. <br /> FISCAL IMPACT <br /> Approval of the recommended action will authorize the City Manager to submit the approved <br /> program to HUD and to execute a grant agreement, which will result in the City's CDBG letter of <br /> credit being augmented by $7,375,000. <br /> APPROVED AS TO FUNDS AND ACCOUNTS: <br /> Cynthi J. Nelso Francisco Gutierrez <br /> Deputy City Manager for Development Executive Director r~"`~j <br /> Services Finance & Management Services Agency <br /> Community Development Agency <br /> CJN/NTE/FH/kg <br /> <br /> Exhibit 1: Program Recommendations <br /> 75A-2 <br /> <br />