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HomeMy WebLinkAbout09 - Amendment to CDBG One-Year Action PlanCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 9 September 26, 2006 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Community & Economic Development, Planning Department Daniel R. Trimble, Program Manager 9491644 -3230. email: dtrimble(cOcity.newport- beach.ca.us SUBJECT: Proposed Amendment to the City's CDBG One -Year Action Plan for FY2007 ISSUE Earlier this year, the City was informed by Fish Harbor Area, Inc., that they would not to be able to use the CDBG funds granted for the implementation of the Homeless and Hunger Prevention Program. Under the approved 2006 -2007 One -Year Action Plan, the program received $11,500 to pay for administrative costs associated with the implementation of the program provided to City of Newport Beach residents. Due to the lack of eligible participants from the City, the agency has decided to return the CDBG funds granted. As a result, these funds are now available to reprogram to other programs, including other public service programs. RECOMMENDATION After receiving public comments and recommendations, staff recommends Council approve the Amendment to the City's One -Year Action Plan for fiscal year 2006 -2007, which reallocates the funds to other public service programs. BACKGROUND Each year, the City of Newport Beach receives Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD). These funds are to assist the City in meeting the affordable housing and community development needs of its residents, particularly those persons and families considered to have low or moderate levels of income. To ensure that these funds are used to meet the greatest existing need within the community, the City undertakes a planning and evaluation process that includes: 1) the Five -Year Consolidated Plan; 2) the One -Year Action Plan; and, 3) the Consolidated Annual Performance and Evaluation Report (CAPER). On April 2006, the Newport Beach City Council approved the 2006 -2007 One -Year Action Plan. The Action Plan delineates Newport Beach's plan for the use of its 2006- 2007 Community Development Block Grant (CDBG) funds. It describes the resources available for program implementation; activities to be undertaken during the program year it provides a monitoring plan for projects funded using CDBG funds; it addresses the City's homeless and anti - poverty strategies; and it coordinates efforts that will be undertaken in the implementation of the Action Plan. The Action Plan incorporates final funding allocations made by the City Council after taking public comments through a public hearing process. The City of Newport Beach is required by the U.S. Department of Housing and Urban Development (HUD), and the Citizen Participation Plan, to publish a notice in a newspaper of local circulation and to hold a public hearing whenever a substantial change is made to an approved activity. "Substantial change" is defined as "(a) carrying out an activity not previously described in the Action Plan; (b) canceling an activity previously described in the Action Plan; (c) increasing or decreasing the amount to be expended on a particular activity from the amount stated in the Action Plan by more than 20 percent; or (d) substantially changing the purpose, scope, location, or beneficiaries of an activity." In accordance with the Citys Citizen Participation Plan, a notice was published in the Daily Pilot newspaper. providing a thirty -day public review and comment period. The comment period extends until September 17, 2006. In addition, the notice informed concerned members of the public that the City Council would hold a public hearing for the purpose of receiving public input to these proposed amendment on Tuesday, September 12, 2006 at 7:00 p.m. in the City Council Chambers. Written comments received on the proposed substantial amendments to the One -Year Action Plan and the Five -Year Consolidated Plan, if any, will be provided to the City Council at the public hearing. The purpose of this amendment is to reallocate funds that were originally granted to the Hunger Prevention Program implemented by Fish Harbor Area, Inc. Staff has reviewed the applications submitted by the public service agencies for the 2006 -2007 program year and evaluated their performance for possible reallocation of these funds to these agencies. Based on the evaluations, staff recommends that the 2006 -2007 One -Year Action Plan be amended as noted in Table 1 below. AMENDMENT TO FY 2006 -2007 ACTION PLAN September 26, 2006 Page 2 Table 1: Proposed Amendment To 2006 -2007 Action Plan Program Year Activity FY 2006 -07 Fish Harbor Area, Inc. - Homeless and Hunger Prevention Program FY 2006 -07 Fish Harbor Area, Inc., Mobile Meals Program FY 2006 -07 South County Sr. Services, Home Delivered Meal Program FY 2006 -07 WISE Place, Steps to Independence Program FY 2006 -07 SPIN, Substance Abuse & Rehabilitation Program Environmental Review: Proposed Amendment -$11,500 +$5,000 +$5,000 +$500 +$1,000 Not subject to CEQA, as the activity is not a project, as defined in Section 15378(b)(4). Public Notice: Notice of the public hearing was published in the Daily Pilot on August 18, 2006. Submitted by: KIN�.... ±�. SHARON OOD Assistant City Manager Prepared by: DANIEL TRIMBLE C & ED Program Manager AMENDMENT TO FY 2006 -2007 ACTION PLAN September 26, 2006 Page 3