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HomeMy WebLinkAboutED CDBG Funding 2012-13CITY Agenda Item No: 4 b. Meeting Date: March 19, 2012 SAN RAFAEL CITY COUNCIL AGENDA REPORT Department: Economic Development Prepared by: Nancy Mackle City Manager Approval: '# SUBJECT: Recommendation for Community Development Block Grant (CDBG) Proposals Funding Year 2012-13. RECOMMENDATION: Adopt Resolution recommending Community Development Block Grant project funding for the year 2012-13 to the Marin County Board of Supervisors. BACKGROUND: In 1999, Council revised the Cooperation Agreement with the County of Marin for CDBG funds. Under the agreement, the City remained in the County system, gained the ability to allocate capital and housing funds it would have received as a stand alone jurisdiction, and left the public service recommendations and the overall administrative function with the County. The Cooperative Agreement was revised and adopted in 2002, 2005, 2008 and 2011. In 1999, the City also adopted an application process and allocation priorities, attached as Exhibit 1. Earlier this year, the County made changes to the Priority Setting Committee and the Local Area Committees by adding non -elected community representatives of the protected classes (generally defined as minorities and disabled). Council had the option to establish a separate recommending group of protected class representatives, but at your March 5 meeting decided to retain the current process. Under the adopted process, City staff reviews housing and capital applications and City Council makes a recommendation to the Priority Setting Committee (one member from each City in the County, a member of the Board of Supervisors, and non -elected community representatives of protected classes). County staff evaluates the public service applications and a Local Area Committee (one Council member, one member of the Board of Supervisors and one representative of protected classes), makes a recommendation to the Priority Setting Committee. The Priority Setting Committee reviews the recommendations from each Planning Area and the City and makes one recommendation to the County Board of Supervisors. It cannot change the recommendation from the City. The decision to leave the public service recommendation with the County was based on the City's desire to retain the County's expertise in balancing a large number of applications with a limited amount of funds. The City also wanted to focus on larger scale capital and housing projects, as was shown in the priority listing, which put City projects first, followed by housing. FOR CITY CLERK ONLY File No.: 114:7 - Council Meeting: 1q/2 012— Disposition: t 1 SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2 The San Rafael Local Area Committee meeting is scheduled for March 26, and their list of applications is in Exhibit 2. The Priority Setting Committee Meeting is scheduled for March 29 and the Board of Supervisors meeting is May 8, 2012. Projects which receive allocations will then work with County staff to file the required environmental review, contracts and certifications, and ultimately receive payment when the project is complete. ANALYSIS: Applications Filed Eight applications for housing and capital projects were filed. A summary of the projects is attached as Exhibit 3 and the applications are in Exhibit 4. in addition, the City participates in Countywide housing projects. 2012-13 Allocation Amount The total amount of the grant to the County is $1,166,041, a 19% decrease from last year, and a 42% decrease from the 2009-10 allocation. San Rafael receives 39.42% of the net County grant (net is minus the County overhead). This reflects the percentage of the total County population, poverty and over crowding factors that occur in San Rafael. This percentage has been reduced from the 40.54% used in the past, and reflects a shift in population. In general, the trend is for a reduction in the total amount of CDBG funds given to the County and a resulting decrease in San Rafael's amount. It is unlikely that this trend will change in the near future. San Rafael's grant amount is $333,510. Of this grant amount, 15% is directed to public service projects selected by the Local Area Committee and 85% is for housing and capital projects selected by Council. The 2012-13 allocation amounts are: Total County Grant $1,166,041 County Administration ($320,000) Net County Grant $846,041 San Rafael Allocation (39.42%) $333,510 15% Public Service $50,026 85% Housing and Capital $283,484 Total Housing and Capital Allocation $283,483 Conformance to City Priorities The City priorities adopted in 1999 are to give primary consideration to projects which: A. Are City of San Rafael or San Rafael Redevelopment Agency initiated or are joint partnerships with the City or Agency B. Fulfill the requirements of the Housing and Community Development Act of 1974 (HUD Regulations) C. Are affordable housing projects or community facility related activities within the San Rafael Planning Area D. Are projects that will move forward quickly, have the greatest impact, and can be completed within a reasonable time frame. A matrix evaluating the conformance of the applications with the City priorities is attached as Exhibit 5. To qualify under priority D, a project must be a complete, distinct activity that is not part of an ongoing maintenance program, have secure financing, reasonable site control, and not be the first step in a multiple year planning and fundraising campaign. SAN0AFAEL CITY COUNCIL AGENDA REPORT /Pa2e:3 Recommended Projects Four projects 8[eFeCO[DDl8DdedfO[fUDdiDg: 1. Public Facilities /\CCHSSibi|itv |DlpnOwenneDtG (ADA) — City Of San Rafael 2. Fair Housing Program — Fair Housing OfMarin 3. Rehabilitation Loan Program — Housing Authority 4. Residential Accessibility Modifications — Marin Center for Independent Living The funding requests and staff's nSC0DlDleDded a||OC@UUnS are ShOVVD in Exhibit 6. In making these PSCOD1[DeDd8UOD9, staff coordinated with COUDtv staff and eV8|V@tSd each project's COOfOrDl8Dce with City p[iO[iU8S. First, the three COUOtv wide housing projects that receive an g|(oc8d0n from all of the C[}BG planning areas were supported. These were Supported because they provide services to the entire County. San F|8f88|`Sparticipation insures that San Rafael residents continue tO receive these services in 8 manner comparable iOother County nGSid8D|S. COOSidH[8tiOD was given to the City's Public F8Ci|iU8S /\CCeSSibi|iiy |Dlpn]V8Dl8OtS (ADA) project, which requested $300,000. The remaining grant @OlOUOt of $273.829 was 8||OCat8d to the City project in 8CCO[d8OCe with the established priorities. NO funds were remaining for Other projects. The specifics of the pnoQnanne and oUOC8UOnS are as f0||ovva: COUNTYWIDE HOUSING PROGRAMS Fair Housing Program $18,272 The Fair Housing Program educates |@Od|OndS and neighbors about fair housing |@wS and helps maintain and encourage population diversity. The pFOg[8Dl provides community education and OUtne8Ch COOCe[DiDg fair housing |3VVS and S8rViCeS, F8C[UitS and t[8iDS h3i[ housing t8StenS' monitors di3CrinliDGUOO in the housing Dl8[h8t' iOveSdg8i88 and verifies C|8i[D3 of 8||Bg9d diSCriDniO8UOO. QDUOS8|S victims of housing diSC[iDliD8tiOD and pursues fair housing C8S8S in court. CDBG F8gU|GdOOS require that the City and COUOiy take 3fh[Dl8UV8 8CiiOO to further fair housing; funding this pPOg[8[O meets this obligation. The r8CVD1018Dded funding amount was coordinated with the County, and represents San Rafael's share of the Countywide request. Residential Rehabilitation Loan Program $21,469 K48[iD COUDtv Housing Authority |O3Os funds LD |OVV iODD[Oe OVVDe[S of single family hO[O83 and to DOD-pnD5t Operated group hODl8S to C0[n8[t substandard housing conditions and to e|iDliD8t8 health and S8f8b/ hazards. The [8COOlDl8Oded funding 80OUOt was COOndiO8ied with the County and represents 8@n R@f8e|'S Sh8nS Of the Countywide request. The County wide pPOg[aDl has been 8||OCGted funds from other COUOtvvvid8 housing projects which has substantially reduced the cost {Othe Planning Areas this year. |tshould bCkept iDmind that this Fe@||OCGU0O may not OCCU[ 3g8iD. and the total pnDg[8nO CUSt will need to be borne by the [z|3DDiDg Areas. MCIL Housing Accessibility Modification $5,9113 Through its Housing /\CC8SSibi|itv Modification PnOg[8Dl' the K88[iD Center for |Od8p8DdHOt Living provides technical assistance and minor remodeling to make rental housing accessible to |OVVe[ iDCODle residents with impaired O3Obi|ih/. The r8COrD0SOded funding 8nROuOt was coordinated with the County and represents San Rafael's share of the Countywide a||OC8bOD. HOUSING AND CAPITAL PROJECTS Public Facilities Accessibility Improvements (ADA) $237,829 The federal Department OfJustice ([}(]J) designated San Rafael @ participant in their "Project Civic Access" which requires all city f8Ci|iUSS to COrD8 into compliance with Title |i of the American with Disabilities Act {f199OA\OA\. The City has entered into @ settlement agreement with the [){}J that requires all CQOGt[UCtiOO or 8{te[8tiOOS to public facilities and streets that Co[DDl8nC8d 8ftS[ January 20. 1092 be 08d8 compliant with ADA FeqUinSOneDtS. The agreement specifies [8ViSiOOS to public facilities such as the |ih:3ry' City H8||, City P|3Z8` parks, SAN RAFAEL CITY COUNCIL AGENDA REPORT / Pa2e: 4 parking lots and structures that must be made pursuant to a 10 year schedule (2004 to 2014). It is assumed that the majority of the CDBG funds will be allocated to this project for the foreseeable future. The amount available for allocation this year is less than the $300,000 that has usually been allocated in the past, but it is all the funds remaining after the Countywide housing projects and Public Services projects are addressed. Given the overall reduction in the CDBG grant, and the reduction in the percentage of the County's poverty and over crowding factors, the amount of future CDBG funds available for this improvement program may not meet expectations. Projects Not Recommended Although all the proposed projects serve important needs, the available funds cannot cover the requests. The Del Ganado rehabilitation will complete exterior modifications and upgrades to housing for people with disabilities. Fairwinds Apartments is seed funds for purchasing an existing building, and therefore is part of a multiple year project and will not move forward in a short time frame. Nova Albion rehabilitation of the bathroom in a group home for persons with disabilities can be completed in a short time frame and is not part of a larger project. Sunrise II rehabilitation of a kitchen in a group home for persons with disabilities can be completed in a short time frame. The Marinwood project is the start of a $22 million project and will be many years in the making. Habitat for Humanity is gathering funds for a several phase project. FISCAL IMPACT: There is no direct cost or revenue impact generated by the recommended action as the City is directing HUD funds to specific projects. Allocating funds to City projects will allow City General Fund, capital funds to be allocated to other projects. OPTIONS: • Alter the housing and capital projects selected and/or the amounts allocated. The total housing and capital allocation cannot exceed $283,483. ACTION REQUIRED: Adopt Resolution recommending Community Development Block Grant project funding for the year 2012-13 to the Marin County Board of Supervisors. EXHIBITS Exhibit 1 City of San Rafael CDBG Priorities Exhibit 2 2012-13 CDGB Public Services Projects Exhibit 3 2012-13 CDGB Housing and Capital Projects Summary Exhibit 4 2012-13 CDB Housing and Capital Projects Applications Exhibit 5 2012-13 CDGB Conformance with Priorities Matrix Exhibit 6 2012-13 CDGB Housing and Capital Recommended Allocations Resolution of Approval RESOLUTION NO. 13317 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RECOMMENDING COMMUNITY DEVELOPMENT BLOCK GRANT PROJECT FUNDING FOR THE YEAR 2012-13 TO THE MARIN COUNTY BOARD OF SUPERVISORS BE IT RESOLVED by the Council of the City of San Rafael as follows: WHEREAS in June, 1999, the City Council revised the Cooperative Agreement with the County of Marin for Community Development Block Grant (CDBG) funds whereby the City remained in the County system; and WHEREAS in December, 1999, the City devised a project selection process and established allocation priorities for CDBG projects; and WHEREAS on March 19, 2012, in accordance with the adopted project selection process the City Council reviewed the submitted applications. NOW, THEREFORE IT IS HEREBY RESOLVED that the City Council recommends to the Marin County Board of Supervisors that the $283,483 in CDBG funds available for allocation by the City of San Rafael be distributed to the projects and in the amounts as shown on the attached EXHIBIT A subject to adjustments necessary to accommodate any changes in the final allocation given to the County of Marin by the federal Department of Housing and Urban Development (HUD) as indicated in EXHIBIT A. 1, ESTHER C. BEIRNE, City Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the Council of said City held on the 19th day of March, 2012, by the following vote: AYES: COUNCIL MEMBERS: Connolly, Heller, Levine, McCullough & Mayor Phillips NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None Esther C. Beirne, City Clerk Exhibit A 2012-13 Housing and Capital Recommended Allocations Project Request Allocation Countywide Housing Fair Housing Program $60,654 $18,272 Rehabilitation Loan Program $150,000 $21,469 Accessibility Modification Program $30,000 $5,913 Countywide Housing Total $240,654 $45,654 San Rafael Housing Total EAH, Inc. $50,000 $0 EAH, Inc. $100,000 $0 Lifehouse Inc. $11,800 $0 Lifehouse Inc. $12,800 $0 BRIDGE Housing $800,000 $0 Habitat for Humanity of GSF $60,000 $0 San Rafael Housing Total $1,034,600 $0 San Rafael Capital Public Facilities Improvements (ADA) $400,000 $237,829 San Rafael Capital Total $400,000 $237,829 PROJECT TOTAL $1,675,254 $283,483 Exhibit 1 City of San Rafael Community Development Block Grant Program (CDBG) PURPOSE Under the provisions of City -County Community Development Block Grant Cooperative Agreement approved by City Council Resolution No. 10419, the City of San Rafael has established a City Program for CDBG funds within the San Rafael Planning Area. The City Council has taken this action for the purposes of: • Targeting CDBG funds to benefit San Rafael Planning Area residents; • Coordinating CDBG project funding with other efforts of the City; • Funding fewer projects with larger grants; • Measuring the impact of funded projects. PRIORITIES In selecting projects for funding, the City Council will give primary consideration to projects which: A. Are City of San Rafael or San Rafael Redevelopment Agency initiated or are joint partnerships with the City or Agency B. Fulfill the requirements of the Housing and Community Development Act of 1974 (HUD Regulations) C. Are affordable housing projects or community facility related activities within the San Rafael Planning Area D. Are projects that will move forward quickly, have the greatest impact, and can be completed within a reasonable timeframe. APPLICATION PROCESS All applications for CDBG funds shall be filed with the Marin County Community Development Agency, Federal Grants Division, on their forms and consistent with their deadlines. Projects requesting San Rafael Planning Area funds should indicate the amount requested on the form. Up to 15% of San Rafael Planning Area funds may be used for public service projects. Applications for public service funds will be evaluated by County staff and a recommendation made by the Local Area Committee. Applications for non public service funds will be reviewed by City of San Rafael staff and a recommendation made by the San Rafael City Council based on conformance with the City priorities listed above. Final action of the recommendations will be made by the County Board of Supervisors. TIMING Filing deadlines for applications, with the exception of City initiated projects, will be set by the County. The San Rafael City Council will hold a public meeting to discuss and select projects from those submitted in the same general time frame as the Planning Area Committee meetings. The City Council recommendation will be presented to the County Board of Supervisors as part of the overall County CDBG processing. 21 00C)L0000000mo0om 000(00000000000t - ,:::i C� :::i cc� C� Cq o o ::� C� C\! 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CL C*7 m X LU U) m 0 M O CN O cr 0 w L- 0 0 m cn CD a. 75 C m to 0tQG0 Iq C) 0 LO o C� C'! 6 o W) C-1) C) CD Id 64 O 0 4 - co 75 z co U) 0 7pl, az E ,MR Exhibit 4 CDBG 2012 -13 Applications Exhibit 5 2012-13 CDGB Conformance with City Priorities Countywide Housing City/ Agency Project HUD regs Housing, Comm Facility Quick Impact, Complete Fair Housing Program Agency • H • Rehabilitation Loan Program Project • H • JAccessibility Modification Program • • H • San Rafael Housing City/ Agency Project HUD regs Housing, Comm Facility Quick Impact, Complete Del Ganado, Apratments Rehabilitation Agency • H • Fairwinds Apartments Project • H Complete Nova House Rehabilitation • • H • Sunrise 11 Rehabilitation 0 H • Marinwood Plaza Housing • H KEY H =Affordable Housing Project C =Community Facility Project • = Conforms City/ HUD regs Housing, Quick San Rafael Capital Agency Comm Impact, Project Facility Complete Public Facilities Improvements (ADA) • • C • KEY H =Affordable Housing Project C =Community Facility Project • = Conforms Exhibit 6 2012-13 Housing and Capital Recommended Allocations Project Request Allocation Countywide Housing Fair Housing Program $80.654 $18.272 Rehabilitation Loan Program $150.000 $21.469 Accessibility Modification Program $30.080 $5,913 Countywide Housing Total $240,654 $45,654 San Rafael Housing Total EAH.|no. $50'000 80 EAH.|no. $100.000 80 Lifehouso|no. $11.800 $0 Lifohouse|nu. $12.800 80 BRIDGE Housing $800.000 80 Habitat for Humanity ofGSF $88.000 $U San Rafael Housing Total S1,034,800 $O San Rafael Capital Public Facilities Improvements (AOA) $400.000 $237'829 San Rafael Capital Total $400,000 $237.829 PROJECT TOTAL $1,675.254 $283.483 CITY OF SAN RAFAEL INSTRUCTIONS: USE THIS FORM WITH EACH SUBMITTAL OF A CONTRACT, AGREEMENT, ORDINANCE OR RESOLUTION BEFORE APPROVAL BY COUNCIL / AGENCY. SRRA / SRCC AGENDA ITEM NO. 1-4 i�; , DATE OF MEETING: 3-19-11, FROM: Katie Korzun DEPARTMENT: Economic Development DATE: March 8, 201=x,- TITLE 01,t TITLE OF DOCUMENT A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL RECOMMENDING COMMUNITY DEVELOPMENT BLOCK GRANT PROJECT FUNDING FOR THE YEAR 2012-13 TO THE MARIN COUNTY BOARD OF SUPERVISORS it FIX fA M -P -Al (LOWER HALF OF FORM FOR APPROVALS ONLY) APPROVED AS COUNCIL / AGENCY APPROVED AS TO FORM: AGENDA ITEM: City Manager (signature) City Attorney (signature) A