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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />MAY 6, 2013 <br />TITLE: <br />COMMUNITY DEVELOPMENT BLOCK <br />GRANT PROGRAM FY 2013-2014 <br />CITY MANAGER <br />RECOMMENDED ACTION <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />? As Recommended <br />? As Amended <br />? Ordinance on 1" Reading <br />? Ordinance on 2nd Reading <br />? Implementing Resolution <br />? Set Public Hearing For_ <br />CONTINUED TO <br />FILE NUMBER <br />1. Approve the proposed Fiscal Year 2013-2014 Community Development Block Grant <br />Program. <br />2. Direct the City Attorney to prepare and authorize the City Manager and the Clerk of the <br />Council to execute memorandums of understanding with city departments and agreements <br />with nonprofit agencies awarded funds as part of the approved program. <br />DISCUSSION <br />Since Fiscal Year 1974-1975, Santa Ana has received Community Development Block Grant <br />(CDBG) funds to improve low- and moderate-income neighborhoods, eliminate blight and create a <br />more stable economic base. These funds have been used for a diverse range of programs <br />including housing, street improvements, parks and public facilities improvements, social services, <br />historic preservation and community services. <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 are required by the <br />U. S. Department of Housing and Urban Development [HUD]). Like communities throughout the <br />nation, the current economic climate continues to present serious budget challenges to Santa Ana. <br />These challenges include an increased demand for a variety of municipal services, the elimination <br />of redevelopment tax increment, the redirection of local revenues to the state, and an overall <br />decline in various tax revenues. <br />To address these challenges, the City continues to make the difficult decision to limit the amount of <br />CDBG funds available for nonprofits for the 2013-2014 Fiscal Year to City-managed programs. <br />Therefore, public service proposals were not requested from the non-profit community. <br />75B-1