HomeMy WebLinkAbout75A - 03-04 REALLOCATE CDBG FUND
REQUEST FOR
.COUNCIL ACTION
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CITY COUNCIL MEETING DATE:
CLERK OF COUNCIL USE ONLY:
MARCH 15,2004
TITLE:
APPROVED
PUBLJ:C HEARJ:NG - AMENDMENT 'l'O
THE 2003-2004 CONSOLJ:DATBD
PLAN ANNUAL ACTJ:ON PLAN AND
1U!:ALLOCATJ:ON OF 2003~2004
COMMUNJ:TY DBVELOPlŒNT BLOCK
GRANT FUNDS
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CITY MANAGER
0 As Recommended
0 As Amended
0 Ordinence on 1" Reading
0 Ordinance on 2"" Reading
0 Implementing Resolution
0 Set Public Hearing For
CONTINUED TO
FILE NUMBER
RECOMMENDED ACTION
1 .
..
Approve an amendment to the Consolidated Plan Annual Action Plan for
fiscal year 2003-2004.
2.
Authorize the City Manager to submit the amended 2003-2004 Action
Plan to the United States Department of Housing & Urban Development.
3.
Authorize the City Manager to execute the subrecipient agreement
with the National Council on Alcoholism and Drug Dependence of
Orange County in an amount not to exceed $11,843.75.
DJ:SCUSSJ:ON
As a recipient of federal funds from the United States Department of
Housing and Urban Development (HUD), the City of Santa Ana is required to
prepare and submit a Consolidated Plan every five years and an Action
plan annually. The Consolidated Plan is a comprehensive planning
document and application for federal funds. The Annual Plan describes \
the strategy used by the City to meet the needs of the community, and p.
identifies resources and programs that can be used to address them.
.In May of 2003 the City Council authorized the submission of the fiscal
ear 2003-04 Annual Action Plan and allocated fiscal year 2003-04
Community Development Block Grant (CDBG) funds. The approved 2003-04
Action Plan included the allocation of $23, 000 to Community Services
75A-1
PH - Amendment to the 2003-2004
Consolidated Plan Annual Action plan
and Reallocation of 2003-2004 Community
Development Block Grant Funds
March 15, 2004
Page 2
Program (CSP) for the Drug Court After Care Program. Due to County
funding reductions for the Drug Court After Care Program, CSP has
notified the City that they are unable to carry out the Drug Court After
Care Program for fiscal year 2003-04.
On September 15, 2003, the National Council on Alcoholism and Drug
Dependence of Orange County (NCADD-OC) submitted a proposal requesting
that the CSP Drug Court After Care Program funding be reallocated to one
of its subsidiaries, The Drug Court Foundation. The new program will
continue to offer, and expand upon, the services that CSP, the previous
provider, offered to the Drug Court program's participants and graduates.
Services offered include educational and housing assistance, cultural
awareness activities, support group guidance, and alumni outreach.
In addition to the reallocation of CDBG funds, . the proposed amendment to
the 2003-04 Annual Action Plan results from a notice issued by HUD in
July 2003. This notice allows the City to utilize HUD's "uncapped"
income standard for qualifying CDBG-funded activities. Each year HUD
issues updated income guidelines for the CDBG program; however, due to
unique language in the CDBG statute, the 80 percent median income
standard may be artificially "capped" to a national average. In recent
years HUD has given jurisdictions the option of using the capped or an
uncapped 80 percent income standard (i.e.. the true 80 percent of the
County's median income). In order to utilize the uncapped income
standard, a community must inform the public it will use the uncapped
standard via its Consolidated Plan and Annual Action Plan. Since HUD
issued this authorizing notice after the 2003-04 Annual Action Plan was
completed and approved by the City Council and HUD, an amendment is
needed. Utilizing the uncapped income standard will not only allow the
City to assist more low- and moderate-income households with both CDBG-
and HOME-funded activities, but it allows the. City to add five Census
Tract Block Groups to the City's low- and moderate-income area thus
expanding the CDBG service area within the City.
In accordance with HUD regulation, the amendments listed above are
subject to a public hearing and a 30-day comment period. A public notice
regarding this proposed amendment was published on January 15, 2004. The
30-day comment period ended February 17, 2004, at 5 p.m.
75A-2
PH - Amendment to the 2003-2004
.consolidated Plan Annual Action Plan
and Reallocation of 2003-2004 Community
Development Block Grant Funds
March 15, 2004
Page 3
l!:NVJ:RONIŒNTAL DlPACT
In accordance with the California Environmental Quality Act, the proposed
action will not result in a physical change to the environment and is
therefore not subject to further review.
I'J:SCAL DlPACT
Funds for the program amendments are available in the
Development Block Grant account (account no. 135-149-6931).
Community
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APPROVED AS TO FUNDS AND ACCOUNTS:
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Jo P. Reekstin
E .cutive Director
Community Development Agency
Services Agency
JPR/NTE/mlr
: Actionsl2OO4CCIPH - AmendmttoO3 .o4CousolidPlanAnn ualActPIanRealloçoflJ3-O4CD BGFuDds 3-15-04
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