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Home My WebLink About03 - Creating the Community Development Block Grant Ad Hoc Advisory CommitteeQ �EwPpRT CITY OF s NEWPORT BEACH `q44:09 City Council Staff Report February 11, 2025 Agenda Item No. 3 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Seimone Jurjis, Assistant City Manager/Community Development Director - 949-644-3232, sjurjis@newportbeachca.gov PREPARED BY: Lauren Wooding Whitlinger, Real Property Administrator - 949-644- 3236, Iwooding@newportbeachca.gov TITLE: Resolution No. 2025-7: Creating the Community Development Block Grant Ad Hoc Advisory Committee /_1 16"t I:7_T91 6 For the City Council's consideration is a resolution which would establish the Community Development Block Grant Ad Hoc Advisory Committee to review applications for the public service programs funded by the Community Development Block Grant, and advise on the administration of the program and development of the documents governing the program. The Community Development Block Grant Ad Hoc Advisory Committee's funding recommendations would be incorporated into the Draft 2025-2029 Consolidated Plan, Citizen Participation Plan, and Draft 2025-2026 Action Plan, which will be submitted to the entire City Council for its consideration at a future meeting. RECOMMENDATIONS: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; b) Adopt Resolution No. 2025-7, A Resolution of the City Council of the City of Newport Beach, California, Creating the Community Development Block Grant Ad Hoc Advisory Committee; and c) Confirm the appointments of Mayor Pro Tern Lauren Kleiman and Councilmember Sara J. Weber to serve on the Community Development Block Grant Ad Hoc Advisory Committee. DISCUSSION: On January 28, 2025, Mayor Pro Tern Kleiman and Councilmember Weber requested the City Council consider forming an ad hoc committee to review applications for the public service programs funded by Community Development Block Grant on an annual basis, pursuant to City Council Policy A-1. The City Council voted unanimously via a straw poll, in favor of staff returning with an item for its consideration. 3-1 Resolution No. 2025-7: Creating the CDBG Ad Hoc Advisory Committee February 11, 2025 Page 2 If adopted, Resolution No. 2025-7 would establish the Community Development Block Grant Ad Hoc Advisory Committee. The Ad Hoc Committee would advise staff and make recommendations on the administration and development of the program documents as well as the review of applications received for the public service programs funded by the Community Development Block Grant (CDBG). Additionally, for the Council's consideration, are the appointments of Mayor Pro Tern Lauren Kleiman and Councilmember Sara J. Weber to serve on the Ad Hoc Committee. The City of Newport Beach (City) receives a formula grant allocation of CDBG funds each year from the federal government, through the Department of Housing and Urban Development (HUD). The CDBG program seeks to develop viable urban communities by providing suitable housing and expanding economic opportunities for low- and moderate - income residents. The statutory requirements limit the City to use no more than 20% of the grant allocation to cover the administrative costs to operate the program. Fifteen percent of the annual grant allocation may be used for community services such as senior meal delivery or homelessness prevention programs. The balance of the grant may be used by the City to fund capital programs like street and sidewalk improvements, disabled accessibility improvements, or other projects that meet the program requirements. In advance of each fiscal year, the City issues a Notice of Funding Availability (NOFA) to solicit applications from non-profit organizations seeking to provide public services to benefit Newport Beach residents, in compliance with the federal regulations governing the CDBG program. For the upcoming fiscal year 2025-2026, the NOFA was released on January 18, 2025, and the application deadline is 2 p.m. on Friday, February 21, 2025. The NOFA can be found on the City's website at: http://www.newportbeachca.gov/CDBGapplication. Applications received by the City will be reviewed with the Ad Hoc Committee and those that match the City's objectives will be submitted to the City Council for its consideration as part of the Draft 2025-2029 Consolidated Plan, the Citizen Participation Plan, and Draft 2025-2026 Action Plan. The Consolidated Plan outlines the City's priorities and strategies for investment of the CDBG funds, which also meet HUD's national objectives, over a five-year period. The Citizen Participation Plan outlines how the City will engage its residents and solicit public input on the use of the CDBG funds on an annual basis. The Action Plan specifically details how the funding will be allocated in the upcoming fiscal year to address the priorities identified in the Consolidated Plan. The Ad Hoc Committee will expire upon making these recommendations. FISCAL IMPACT: There is no fiscal impact related to this item. 3-2 Resolution No. 2025-7: Creating the CDBG Ad Hoc Advisory Committee February 11, 2025 Page 3 ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Resolution No. 2025-7 3-3 ATTACHMENT A RESOLUTION NO. 2025- 7 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, CREATING THE COMMUNITY DEVELOPMENT BLOCK GRANT AD HOC ADVISORY COMMITTEE WHEREAS, Section 200 of the Charter of the City of Newport Beach ("Charter") vests the City Council with the authority to make and enforce all laws, rules and regulations with respect to municipal affairs subject only to the restrictions and limitations contained in the Charter and the State Constitution, and the power to exercise, or act pursuant to any and all rights, powers, and privileges or procedures granted or prescribed by any law of the State of California; WHEREAS, the City of Newport Beach ("City") participates in the United States Department of Housing and Urban Development's ("HUD") Community Development Block Grant ("CDBG") program; WHEREAS, HUD requires the City to adopt a Citizen Participation Plan ("Citizen Participation Plan") to ensure citizens within the community have an opportunity to participate in the identification of the City's housing and community development goals and policies, a Five Year Consolidated Plan ("Consolidated Plan") outlining the use of CDBG funds and the strategic vision for housing and community development in the City, and an Annual Action Plan ("Annual Action Plan") for the appropriation of the CDBG funds for each fiscal year; WHEREAS, on April 23, 2024, the City Council adopted Resolution 2024-30, approving the current 2024-2025 Annual Action Plan, and on May 12, 2020, the City Council adopted Resolution 2020-51, updating the Citizen Participation Plan and approving the current 2020-2024 Consolidated Plan which will expire on June 30, 2025; and WHEREAS, the City Council desires to create the Community Development Block Grant Ad Hoc Advisory Committee ("Committee") to make recommendations to the City Council regarding the City's participation in the HUD CDBG program including, but not limited to, the development of the 2025-2029 Five -Year Consolidated Plan, the Citizen Participation Plan, the review of applications for public service programs for the 2025-2026 CDBG program year, and any other matters related to the City's participation and administration of the CDBG program. 3-4 Resolution No. 2025- Page 2 of 3 NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows: Section 1: The City Council hereby creates the Committee, which shall be comprised of two Councilmembers appointed by the Mayor and confirmed by the City Council. The term of the appointed members of the Committee shall be indefinite pending City Council action or termination of the Committee as set forth in this resolution. Section 2: The sole purpose and responsibility of the Committee shall be to make recommendations to the City Council regarding the City's participation in the HUD CDBG program including, but not limited to, the development of the 2025-2029 Five - Year Consolidated Plan, the Citizen Participation Plan, the review of applications for public service programs for the 2025-2026 CDBG program year, and any other matters related to the City's participation and administration of the CDBG program. Section 3: The Committee shall function as an ad hoc committee and shall not be subject to the Ralph M. Brown Act codified in California Section 54950 et seq. Section 4: The Committee shall expire upon making its recommendations to the entire City Council, at a noticed public meeting of the City Council, or July 1, 2025, whichever occurs first. Section 5: If any section, subsection, sentence, clause or phrase of this resolution is for any reason held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Section 6: The recitals provided in this resolution are true and correct and are incorporated into the substantive portion of this resolution. 3-5 Resolution No. 2025- Page 3 of 3 Section 7: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Section 8: This resolution shall take effect immediately upon its adoption by the City Council, and the City Clerk shall certify the vote adopting this resolution. ADOPTED this 11th day of February, 2025. Joe Stapleton Mayor ATTEST: Leilani I. Brown City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE -T - iL Aaron- Harp City �tt rney 3-6