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Wednesday, December 23, 2020
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Call to Order
Action Items
Include: Reports of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Reports of Officials, Unfinished Business and Council Matters.
1.Authorize and Approve a Substantial Amendment to the Community
Development Block Grant (CDBG) Fiscal Year (FY) 2020-21 Annual
Action Plan; Adopt a Resolution to Approve CDBG Funding Allocations
for FY 2021; and Approve an Amendment to the FY 2021 Operating
Budget in the CDBG Fund
Adjournment
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Public
Comment
Presentation
2 December 23, 2020
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City of Palo Alto (ID # 11700)
City Council Staff Report
Report Type: Action Items Meeting Date: 12/23/2020
City of Palo Alto Page 1
Summary Title: Amendment to 20-21 CDBG Annual Action Plan & Approval of
Budget Amendment by $451,504 by a 2/3 Vote
Title: Authorize and Approve a Substantial Amendment to the Community
Development Block Grant (CDBG) Fiscal Year 2020-21 Annual Action Plan;
Adopt a Resolution to Approve CDBG Funding Allocations for FY2021; and
Approve an Amendment to the FY2021 Operating Budget in the CDBG Fund.
From: City Manager
Lead Department: Planning and Development Services
Recommendation
Staff recommends that City Council take the following actions:
1. Authorize staff to submit a Substantial Amendment to the Fiscal Year 2020-2021 Annual
Action Plan to HUD by February 2021;
2. Authorize the City Manager to execute the Fiscal Year 2019-2020 and Fiscal Year 2020-
2021 CDBG-CV3 application for funds and any other necessary documents concerning
the applications, and to otherwise bind the City with respect to the applications and
commitment of funds; and
3. Adopt a Resolution (Attachment A) allocating Community Development Block Grant
funding as recommended in the above actions and as described in this report.
4. Approve an amendment to the FY2021 Operating Budget in the CDBG Fund, by a 2/3
vote, to:
a. Increase the revenue estimate for CDBG Grants by $451,504
b. Increase the expenditure appropriations by $451,504
Executive Summary
City of Palo Alto Page 2
On June 15, 2020, City Council approved the funding recommendations for the annual
Community Development Block Grant (CDBG) allocations and the CDBG-Coronavirus (CDBG-
CV1) grant for Fiscal Year (FY) 2020-21.1 In the fall of 2020, the City received $451,504 in
additional CDBG-Coronavirus funding (CDBG-CV3) and $149,950 from a previously CDBG
funded project that was no longer needed.
This report reflects staff’s recommendation for distributing these funds, totaling $601,454. The
recommendations, summarized below, follow CDBG guidance:
• Fund $354,550 for the purchase of a mobile medical clinic for COVID-19 vaccinations
(Ravenswood);
• Fund $54,332 to cover increased operational costs due to COVID-19 impacts
(LifeMoves/Hotel De Zink);
• Fund $149,282 for CARES Act project administration by the City; and
• Carry forward the remaining $43,290 to the FY 2021-22 CDBG Notice of Funding
Availability.
Background
The CDBG program, administered by U.S. Department of Housing and Urban Development
(HUD), provides annual grants on a formula basis to states, cities, and counties to develop
viable urban communities by providing decent housing and a suitable living environment, and
by expanding economic opportunities, principally for low- and moderate-income persons. The
program is authorized under Title 1 of the Housing and Community Development Act of 1974.
The HUD regulations require all CDBG funded activities to meet one of the three national
objectives:
• Benefit low-and very-low-income persons;
• Aid in the prevention or elimination of slums or blight; or
• Meet other community development needs having urgency or posing a serious and
immediate threat to the health or welfare of the community.
Palo Alto’s CDBG program has primarily been directed towards housing-related work.
Specifically, local CDBG funds are allocated to expanding and maintaining existing affordable
housing supply; promoting housing opportunities and choices; and providing supportive
services for targeted low-income groups including unhoused persons, persons with disabilities,
the elderly, and others. For general information on Palo Alto’s CDBG program, please visit:
https://bit.ly/PaloAltoCDBG.
CARES Act
1 Council Staff Report 06/15/20:
https://www.cityofpaloalto.org/civicax/filebank/blobdload.aspx?t=65471.48&BlobID=77067
City of Palo Alto Page 3
The United States Congress passed the Coronavirus Aid, Relief, and Economic Security Act
(CARES Act) on March 27, 2020. The CARES Act expedites the use of CDBG funds to prevent and
respond to COVID-19. Through the CARES Act, the City received a total of $746,413 in two
separate grant allocations. These funds are to be used specifically for responding to the COVID-
19 pandemic.
On June 15, 2020 Council allocated the first CARES Act funding (CDBG-CV1) of $294,900 to
LifeMoves to provide rental assistance to eligible low-income Palo Alto families (i.e. 80% Area
Media Income and below) who have suffered documented income loss due to COVID-19. The
second CARES Act funding (CDBG-CV3) is for $451,504 and its allocation is discussed below.
The CARES Act funding and associated projects must be allocated and approved by HUD by
August 2021. In addition, to ensure the expedited use of the funds, HUD requires all grantees to
expend at least 80 percent of all the CDBG-CV funds by April 2023; the remaining 20 percent
funds are available to use through FY 2026.
The City received separate CARES Act funding from the State of California that was allocated to
areas of public safety and other department responses to the pandemic (CMR 11596).
Annual Action Plan Amendments
As part of the CDBG program, HUD requires the preparation of a five-year strategic action plan
(i.e. Consolidated Plan) to address priority housing and community development needs and to
set goals for attaining identified objectives. The implementation of the Consolidated Plan is
reflected in the Annual Action Plan that is prepared for every fiscal year. The Annual Action Plan
identifies the specific projects to be funded that implement the strategies identified in the
Consolidated Plan. Council adopted the updated FY 2020-25 Consolidated Plan and the FY 2020-
21 Annual Action Plan on June 15, 2020.
Under specific circumstances, when the City’s CDBG funding situation changes, amendments to
the Annual Action Plan may be required. There are two types of amendments:
1. Minor Amendments: Changes to a previously adopted Consolidated Plan or Annual
Action Plan that does not meet the thresholds to qualify as a Substantial Amendment.
Minor amendments are typically processed at a staff level.
2. Substantial Amendments:
(a) A change in the use of CDBG funds from one eligible activity to another;
(b) The implementation of an activity not previously identified in sufficient detail to
provide affected citizens an opportunity to submit comments; or
(c) A change in an activity’s program budget which exceeds ten percent of the City’s
latest annual entitlement grant; and
City of Palo Alto Page 4
(d) Staff seeks Council approval for substantial amendments.
Effectuating the staff recommendations requires a Substantial Amendment. The amendment is
further discussed below.
Discussion
This section includes information on the required Annual Action Plan amendments, related
outreach process, and recommended CDBG and CARES Act funding allocations.
Substantial Amendment to FY 2020-21 Annual Action Plan
There are two activities noted in this report that triggered a Substantial Amendment to the FY
2020-21 Annual Action Plan.
Project Cancelled/Funds Returned
The approved FY 2020-21 Annual Action Plan included the funding of $149,950 for a project by
Alta Housing under the CDBG housing and public facilities rehabilitation category. This project
was for the replacement of common-area flooring and stair treads at Alma Place. In a letter
dated October 6, 2020, Alta Housing informed the City that they were returning the funds
because they could not secure a contractor willing to work within the Davis Bacon prevailing
wage requirements, which is a HUD requirement for all the capital Improvement projects
funded through CDBG. This project was part of Resolution No. 98932 adopted by the Council on
June 15th, 2020.
In accordance with the CDBG guidelines and City’s adopted Citizen Participation Plan, the
withdrawal of a project as described above requires a Substantial Amendment to the Annual
Action Plan to show that the funds have been returned on a certain project and reallocated. See
Table 1 for the recommended reallocation.
Allocation of Second CARES Act Funding
The City received the second round of CARES Act funding in the amount of $451,504 in the fall,
after the approval of the FY 2020-21 Annual Action Plan. HUD encourages these funds be
available as soon as possible and not wait for the next funding cycling for FY 2021-22. To
implement sooner, a Substantial Amendment to the approved FY 2020-21 Annual Action Plan is
required that addresses the new CARES Act funding. See Table 1 for the recommended
allocations.
Public Outreach Process for Available Funds
2 Resolution No. 9893:
https://www.cityofpaloalto.org/civicax/filebank/blobdload.aspx?t=63254.92&BlobID=77597
City of Palo Alto Page 5
In communications dated September 11, 2020, HUD informed the City of the second CDBG-CV3
allocation. Once the allocation was confirmed, staff began extensive outreach to public service
agencies who had sought CDBG funds for the current year’s allocations. Staff also reached out
to additional agencies that have been providing COVID-related services countywide. A notice of
funding availability was published in the Daily Post on October 21, 2020 citing an October 30,
2020 deadline for completed applications. Additionally, the City staff sent emails to interested
parties of the CDBG grant program (approximately 60 agencies).
Funding Applications and Recommended Allocations
Staff received two funding applications under the public services category from Ravenswood
Family Health Network and LifeMoves. Based on the available funding and proposed programs,
staff has prepared funding recommendations for FY 2020-21 described below and identified in
Table 1.
Ravenswood Application
Requested: $354,550
Staff Recommendation: Fund $354,550
Ravenswood Family Health Network, which now includes the MayView Community Health
Centers, applied for funding for $354,550 for a mobile clinic to serve vulnerable low-income
Palo Alto and north Santa Clara County residents. The unit will have two exam rooms, one for
medical and one for dental, as well as an overhang for services to be provided outside. During
the pandemic, focus will be on using the mobile clinic for COVID-19 testing, COVID-19
education, and the administration of flu and/or COVID-19 vaccines once available to the public.
Post COVID-19 pandemic, the agency will leverage the mobile clinic to provide comprehensive
medical and dental care to the homeless and vulnerable residents of the community, many of
whom are uninsured or under-insured. Clientele will include unhoused patients with chronic
conditions, and those who are racial or ethnic minorities. Additional details regarding the
mobile clinic program are included in Attachment C. Staff recommends funding for the
requested $354,550. In addition to the requested funds from the City, Ravenswood FHN is also
working with Sutter Health to contribute $150,000 to the mobile clinic project.
LifeMoves Application
Requested: $97,893
Funding Recommended: $54,332
LifeMoves applied for $97,893 in funding for multiple activities. This agency provides
comprehensive supportive services for low-income and homeless individuals and families at the
LifeMoves/Opportunity Services Center (Opportunity Center). The agency also manages the
Hotel de Zink, a rotating emergency shelter program that provides emergency shelter to
City of Palo Alto Page 6
homeless adults. LifeMoves’ application requested funding for the following activities, though
as noted below, not all met federal funding requirements:
• Additional Staff Costs at Hotel de Zink
o Requested: $41,110
o Funding Recommended: $41,110
Funding for additional staff costs at Hotel de Zink due to the increase in hours of
operation from nine hours per day (9 pm to 6 am) to 14 hours (5 pm to 7 am).
• Indirect Cost Allocations
o Requested: $8,444
o Funding Recommended: $8,222
Funding to cover indirect costs. Per HUD’s regulations, indirect costs rates need to fall
within 20% of direct costs. Therefore, staff recommends funding $8,222 based upon
20% of the Hotel de Zink additional staff direct costs ($41,110).
• Signage: $5,000
o Requested: $5,000
o Funding Recommended: $5,000
Funding to improve signage within the Opportunity Center regarding social distancing,
and proper pathways for clients to follow to improve social distancing inside the center.
• Hazard Pay at the Opportunity Center:
o Requested: $43,339
o Funding Recommended: $0, Eligibility Criteria Not Met. Funding Not
Recommended.
Funding for additional staffing at the Opportunity Center is also requested due to the
full range of steps that the agency undertook to protect both staff and clients from the
coronavirus, including providing “hazard pay” for its front-line workers, who are
“essential workers” and who have continued to serve the community without
interruption during the pandemic. Hazard Pay at the Opportunity Center did not meet
the HUD eligibility requirements for this grant and therefore not recommended for
funding.
Administration for CARES Act Funded Projects
Per HUD’s regulations, up to 20% of the total CDBG-CV funding of $746,413 may be used for the
related project and/or program administration. Staff is recommending the full 20%, $149,282,
allocation for program administration. Through these funds, the City will provide overall
management, coordination, and evaluation to the CDBG-CV program, and the project delivery
costs associated with bringing projects to completion.
City of Palo Alto Page 7
As the City considered allocation of CDBG-CV1 funds, staff did not recommend allocating funds
towards program administration. Staff recommended maximizing resources provided to
community priorities. As the CDBG funds have increased and the continual changes in response
to the growing program and pandemic, the City has an increased administrative burden. To
address the administrative demands without seeking general fund dollars, staff recommend
allocating $149, 282 to program administration.
Remaining Funds
Since there were no other qualifying projects submitted for funding, the remaining balance of
$43,290 will be added to the FY 2021-22 CDBG Notice of Funding Availability. The projects
funded through the remaining balance will be part of FY 2020-21 Annual Action Plan.
Table 1: Fiscal Year 2021 CDBG and CDBG-CV3 Funding Recommendations1
1 CDBG-CV3 funding totaled to $451,504. However, only $408,214 has been allocated and the
remaining $43,290 will be allocated at a later time when eligible activities are identified.
Policy Implications
The applications recommended for funding CDBG-CV3 and the reallocated CDBG funds in FY
2020-2021 are consistent with the priorities established in the City’s adopted FY 2020-2025
Consolidated Plan.
Applicant Agency
CDBG Funds
Reallocated in
FY 2020-21
CDBG-CV3
Allocation FY
2020-21
Total Funding
Allocation
Public Services
LifeMoves: Hotel De Zink $0 $54,332 $54,332
Ravenswood Family Health Network:
Mobile Health Clinic COVID-19 Testing
Project
$149,950 $204,600 $354,550
Sub-total $149,950 $258,932 $408,882
Administration
City of Palo Alto:
CDBG-CARES funded programs
administration
$0 $149,282 $149,282
Sub-total $0 $149,282 $149,282
Grand Total $149,950 $408,214 $558,164
Funds to be Allocated in Future $0 $43,290
City of Palo Alto Page 8
Resource Impact
The requested action to specifically allocate 20% of the CARES Act funding to the related
project administration will cover the additional time required to manage these added projects.
The CARES Act funding and a portion of the FY 2020-21 annual entitlement CDBG grant has
added seven projects to the CDBG program administration. Currently, the City’s CDBG funding
covers the cost of 0.48 FTE hourly Staff Specialist and consultant costs for CDBG administration;
this covers the existing pre-COVID project administration. Without the 20% allocation for
administration costs coming from the CARES Act, funding to cover the additional staff and
consultant time will have to come from the City’s General Fund.
Additionally, Staff is requesting City Council approval of a net zero budget amendment, by a 2/3
City Council vote, to increase both revenues and expense by $451,504 to allow for the
distribution of this grant funding from the CDBG Fund. There is no impact to the General Fund
budget with this action.
Timeline
The funding application and funding recommendation made by the City Council will be
incorporated to the FY 2020-21 Annual Action Plan. Subsequently, the adopted amendment will
be submitted to HUD by February 2021.
Stakeholder Engagement
The funding availability was advertised in the Daily Post and on the City’s CDBG webpage on
October 22, 2020. The draft Substantial Amendment to the FY 2020-21 Annual Action Plan
(Attachment B) became available for a public review period beginning December 17, 2020
through December 22, 2020, which was advertised in the Daily Post on December 16, 2020. This
constitutes the required 5-day public review period. Additionally, the notice provided details of
this City Council public hearing being conducted on December 23, 2020 to review and
recommend funding allocations.
It should be noted that typically the City is required to circulate a Substantial Amendment to
the Annual Action Plan for public comment for a 30-day period followed by a public hearing.
However, per HUD’s guidance for the disbursement of the CDBG-CV grant, jurisdictions are
encouraged to expediate the regular CDBG funding grant process and seek waivers from HUD
granted by the CARES Act. Staff utilized available waivers contained in the memo
“Flexibilities/Waivers Granted by the CARES Act + Mega Waiver and Guidance.”3 and adjusted
the typical required public hearing processes, to ensure expediate use of the CDBG-CV funds as
per HUD’s directions.
3 Flexibilities/Waivers Granted by the CARES Act + Mega Waiver and Guidance
https://www.hud.gov/sites/dfiles/CPD/documents/Flexibilities_Waivers_Guidance_for_CARE_Act_CPD_Funds_062320.pdf
City of Palo Alto Page 9
At the time this report was prepared no public comments were received.
Environmental Review
For purposes of the National Environmental Policy Act (NEPA) and the California Environmental
Quality Act (CEQA), budgeting is not a project. Prior to commitment or release of funds for each
of the proposed projects, staff will carry out the required environmental reviews or
assessments and certify that the review procedures under HUD, CEQA and NEPA regulations
have been satisfied for each project.
Attachments:
Attachment A: FY2020-21 CDBG Resolution (PDF)
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment (PDF)
Attachment C: Ravenswood Family Health Network: Mobile Clinic Project Details (PDF)
ATTACHMENT A: FISCAL YEAR 2020-21 CDBG RESOLUTION
Resolution No. XXXX
Resolution of the Council of the City of Palo Alto
Approving the Use of Community Development Block Grant and
Community Development Block Grant Coronavirus Funds for
Fiscal Year 2020-2021
A. On June 15, 2020, the Palo Alto City Council approved and adopted a document entitled
“Consolidated Plan” which identified and established the Palo Alto housing and non-housing community
development needs, objectives and priorities for the period July 1, 2020 to June 30, 2025.
B. The Substantial Amendment to Fiscal Year 2020-2021 Action Plan, was subjected to
public review and commentary during the period from December 17, 2020 through December 22, 2020.
C. The potential uses of Community Development Block Grant (CDBG) and CDBG
Coronavirus Funds (CDBG-CV) funds were evaluated in light of the needs and objectives identified in the
Consolidated Plan and reflected in the recommendations and comments of interested citizens.
D. Under the CDBG and CDBG-CV program, the highest priority is given to activities which
will benefit persons with low and moderate incomes.
E. The City Council have held a publicly noticed public hearing on the proposed uses of the
CDBG and CDBG-CV funds for Fiscal Year 2020-2021.
F. CDBG and CDBG-CV funds allocated to the City for Fiscal Year 2020-2021 are proposed
to implement the programs described in this resolution.
NOW, THEREFORE, the Council of the City of Palo Alto does RESOLVE as follows:
SECTION 1. The uses of CDBG and CDBG-CV funds for Fiscal Year 2020-2021 are hereby
approved and authorized for the following programs:
Name of Program Amount
1. LifeMoves – Longer hours of operation at
Hotel De Zink emergency shelter during the
COVID-19 emergency.
$54,332
2. Ravenswood Family Health Network –
Mobile Health Clinic COVID-19 Testing
Project.
$354,550
3. City of Palo Alto Planning and Development
Services Department – CDBG Program
Administration.
$149,282
4. CDBG Coronavirus (CDBG-CV) funds (2020)
- The City will use the remaining
unallocated CDBG-CV funds to support
project costs to prevent, prepare for, and
respond to the spread of COVID-19.
$43,290
TOTAL $601,454
ATTACHMENT A: FISCAL YEAR 2020-21 CDBG RESOLUTION
SECTION 2. The total amount set forth under Section 1 of this resolution represents
the proposed reallocation of $149,950, in CDBG funds from the United States Department of Housing
and Urban Development (HUD) for Fiscal Year 2020-2021 and a total of $451,504 CDBG CV
(Coronavirus) funds from the United States Department of Housing and Urban Development (HUD) for
Fiscal Year 2020-2021.
SECTION 3. The City staff is hereby authorized to submit the Substantial Amendment to
Fiscal Year 2020-2021 Annual Action Plan, update and appropriate application forms to HUD for the
Fiscal Year 2019-20 and Fiscal Year 2020-21 CDBG Coronavirus (CDBG-CV) funds, and such money shall
be spent as set forth in this resolution. The Mayor, City Manager and any other designated City staff or
officials are hereby authorized to execute such application forms and any other necessary documents to
secure these funds. The City Manager or designee is authorized to sign all necessary grant agreements
with the program providers set forth in Section 1.
SECTION 4. The funding amounts set forth in Section 1 of this resolution are based on
final allocation amounts from the Federal Fiscal Year 2020-21 HUD appropriations; City Staff is
authorized to make adjustments increasing or decreasing the funding amounts set forth herein as
consistent with the adopted Citizen Participation Plan.
SECTION 5. The City Council hereby finds that the Fiscal Year 2020-2021 CDBG program
authorized under Section 1 of this resolution is not a project under the California Environmental Quality
Act (CEQA). However, the Council further authorizes and directs City staff to prepare certifications that
may be required, under CEQA and the National Environmental Policy Act (NEPA), for each project under
the Fiscal Year 2020-2021 CDBG and CDBG-CV program prior to the release of funds for any such
project.
//
//
//
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ATTACHMENT A: FISCAL YEAR 2020-21 CDBG RESOLUTION
INTRODUCED AND PASSED:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
ATTEST: APPROVED:
City Clerk Mayor
APPROVED AS TO FORM:
City Manager
Sr. Assistant City Attorney Director of Planning and
Development Services
APPROVED AS TO CONTENT:
Director of Administrative Services
CDBG Coordinator
INTRODUCTION:
The City of Palo Alto’s Annual Action Plan details the funding strategy for the Community
Development Block Grant (CDBG) program each year. Through the Annual Action Plan, the City
implement its Five-Year Consolidated Plan. The City’s Citizen Participation Plan (CPP) describes
the efforts that the City will take to encourage its residents to participate in developing these
plans. It also provides requirements for public process when a “substantial amendment” to the
Annual Action Plan is proposed. The following changes constitute a substantial amendment and
require public notice as described in the CPP:
•A change in the use of CDBG funds from one eligible activity to another;
•The implementation of an activity not previously identified in sufficient detail to provide
affected citizens an opportunity to submit comments; or
•A change in an activity’s program budget which exceeds ten percent of the City’s latest
annual entitlement grant.
The information provided in this attachment qualifies as a substantial amendment because it
meets all three criteria of a substantial amendment as described in the City’s CPP.
BACKGROUND:
The City of Palo Alto has been allocated $294,909 in CDBG Coronavirus (CDBG-CV) funds for
COVID-19 response activities. To incorporate the CDBG-CV funds, the City submitted a minor
amendment to the FY2019-20 Annual Action Plan on August 16,2020. In the first minor
amendment, the City provided detailed information on the public process the City undertook to
award the CDBG and CDBG-CV funds.
On September 11, 2020, the City received information from U.S. Department of Housing and
Urban Development (HUD) noting that the City had been awarded an additional $451,504 in
CDBG Coronavirus-3 (CDBG-CV3) funds. These funds are from the third allocation of CDBG-CV
funds that were provided as part of the Coronavirus Aid, Relief and Economic Security Acts
(CARES Act) (H.R. 748), which provided $5 billion to the CDBG program to rapidly respond to the
COVID-19 pandemic, was signed into law on March 27, 2020. In total, the City has been awarded
$746,413 in CV funds.
The purpose of this substantial amendment to the City of Palo Alto’s FY 2020-21 Annual Action
Plan is to add the second allocation of the CDBG-CV3 funds to the City’s available funds; explain
the public outreach process to award the CDBG-CV3 funds; reallocate a portion of the FY 2020
21 allocation that was returned by a subrecipient; and provide a summary of the awarded
projects/activities.
DISCUSSION:
With the $451,504 in CDBG-CV3 funds the City will also re-allocate $149,950 returned from Alta
Housing. The Alta Housing Project was funded in FY 2020-21 under the CDBG housing
rehabilitation category for the replacement of common area flooring and stair treads at Alma
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment
Place. In a letter dated October 6, 2020, the agency returned the funds as it was unable to locate
a contractor willing to work within the Davis Bacon prevailing wage requirements.
Table 1 provides an overview of the City’s CDBG-CV3 funds as well as the re-allocation of
$149,950 from the FY 20/21 program year. The projects funded through the remaining balance
of $43,290 will be part of FY 2020-21 Annual Action Plan.
Table 1. FY 2020-2021 CDBG-CV and CDBG Funds
CDBG-CV3 Grant (Special Allocation from HUD September 2020) $451,504.00
Portion of CDBG FY 2020-2021 Entitlement Grant (returned from awarded
grantee)
$149,950.00
Total Funds Available $601,454.00
Total Funds Utilized to Fund Projects Addressing the COVID-19 Crisis $558,164.00
Total Remaining Funds to be reallocated with the FY 2021-22 CDBG funding
cycle. The project funded through the remaining balance will be part of FY
2020-21 Annual Action Plan and can only be used to prevent, prepare for,
and respond to the spread of COVID-19.
$ 43,290.00
Public Outreach Process for CDBG-CV3 Funds
Upon confirmation of the CDBG-CV3 award amount, the City published a Notice of Funding
Availability (NOFA) for the CDBG-CV3 and CDBG funds (re-allocated from FY 2020-21 as shown
in Table 1) on October 22, 2020. The NOFA was available through October 30,2020. A
NOFA announcement was placed in the Daily Post on October 21,2020. Additionally, the City
staff sent a mass email to interested parties of the CDBG grant (approximately 60 agencies are
part of the email list.)
The City circulated the amendment to the FY 2020-21 Annual Action Plan for a five-day public
comment period from December 17, 2020 through December 22, 2020. After the
public comment period concludes, the City Council will hold a public hearing on December 23,
2020. It should be noted that per HUD’s guidance, jurisdictions should avoid lengthy grant
processes and expedite the grant process. Therefore, staff is utilizing available waivers
contained in the memo “Flexibilities/Waivers Granted by the CARES Act + Mega Waiver and
Guidance.”1
Projects Awarded CDBG-CV3 and CDBG Funds
Table 2 provides an overview of the staff funding recommendations:
1 Flexibilities/Waivers Granted by the CARES Act + Mega Waiver and Guidance
https://www.hud.gov/sites/dfiles/CPD/documents/Flexibilities_Waivers_Guidance_for_CARE_Act_CPD_Funds_062320.pdf
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment
Table 2. Staff Recommendation
Agency- Program Name Funding
Recommendation
Public Services
Ravenswood Family Health Network - Mobile Health Clinic COVID-
19 Testing Project ($149,950 from 20-21 Returned Entitlement
Grant and $204,600 from CDBG-CV3 funds)
$354,550 ($149,950 from
returned 20-21 grant and
$204,600 from CDBG-CV
grant)
LifeMoves – Opportunity Services Center and Hotel De Zink $ 54,332
Project funded through the remaining balance will be part of FY
2020-21 Annual Action Plan and can only be used to prevent,
prepare for, and respond to the spread of COVID-19.
$ 43,290 (unallocated)
Administration
City of Palo Alto- Planning and Administration (from CDBG-CV3
funds)
$149,282
Total CDBG-CV and CDBG entitlement Funds Allocated $601,454
A brief description of programs that will be funded with the City’s CDBG-CV3 funds is provided
below:
Project Name Ravenswood Family Health Network - Mobile Health Clinic
COVID-19 Testing Project
Goals Supported and Needs
Addressed
Community Need, COVID-19 Response
Funding Amount CDBG CV: $204,600
CDBG: $149,950
Description With funding from the City of Palo Alto’s Community
Development Block Grant, Ravenswood Family Health
Network will purchase a mobile clinic, which will allow the
agency to serve vulnerable low-income residents in Palo
Alto. Specifically, the mobile clinic will target patient
populations that have been under-served by the primary
care health services already in existence. During the
pandemic, focus will be on using the mobile clinic for COVID-
19 testing, COVID-19 Education, and administration of flu or
COVID-19 vaccines once available to the public. Post the
COVID-19 pandemic the agency will leverage the mobile
clinic to provide comprehensive medical and dental care to
the homeless and vulnerable residents of the community.
The agency will focus on serving low-income residents of
Palo Alto, many of whom are uninsured or under-insured.
Clientele will include homeless patients, those with chronic
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment
conditions, and those who are racial or ethnic minorities.
The agency will partner with Palo Alto Community
Organizations to identify patients in need of care and plan
to provide COVID-19 testing. 480 Palo Alto residents will be
served annually. Additionally, a minimum of 480 persons
that work in Palo Alto will also be served annually.
Estimate the number and type
of families that will benefit
from the proposed activities
Minimum 480 Palo Alto residents and 480 persons that work
in Palo Alto will be served annually.
Location Description Citywide (Palo Alto)
Project Name LifeMoves – Hotel De Zink (HDZ)
Goals Supported and Needs
Addressed:
Homelessness, COVID-19 Response
Funding Amount CDBG CV: $54,332
Description LifeMoves manages the Hotel de Zink (HDZ), a rotating
emergency shelter program that provides emergency
shelter to homeless adults. Due to the Coronavirus
pandemic, HDZ hours of operation are increased from nine
hours per day (9 pm to 6 am) to 14 hours (5 pm to 7 am) so
that homeless clients of HDZ (up to 100 unduplicated clients
per year) have increased opportunity to shelter and rest, in
order to reduce risk of infection and community
transmission with respect to the COVID-19 virus. Out of
$54,332, the agency will use $5,000 to improve
communication among Opportunity Services Center (OSC)
clients regarding social distancing and other health
guidelines by adding signage throughout the OSC. At OSC,
the agency provides comprehensive supportive services for
low income and homeless individuals and families.
Estimate the number and type
of families that will benefit
from the proposed activities
Through the HDZ rotating shelter program, 50 unduplicated
homeless clients between January through June 2021 will
receive shelter beds and associated services at one of 12
rotating sites.
Location Description Citywide
Project Name City of Palo Alto - Planning and Administration
Goals Supported and Needs
Addressed:
Planning and Administration
Funding Amount CDBG CV: $149,282
Description The City will provide general administrative support to the
CDBG CV funded projects. Through these funds, the city will
provide overall management, coordination, and evaluation
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment
to the CDBG CV program, and the project delivery costs
associated with bringing projects to completion.
The City will participate in the delivery, development, design
and improvement of new/current CDBG-CV projects.
Grantees will be provided oversight on program
requirements, submission procedures, program interaction,
capacity building and leadership development; and
increasing program effectiveness. The City staff will review
and conduct analyses of applications or performance
reports. Identifies disparities or deficiencies with the
regulatory requirements and recommend alternative for
resolving or correcting the issue.
The City will review and assess grantee performance
through the analysis of grantee submissions, performance
reports and other methods such as management and
financial systems. Identifies issues, potential areas of non-
compliance or opportunities for improvement or increasing
effectiveness.
Estimate the number and type
of families that will benefit
from the proposed activities
Not applicable.
Location Description 250 Hamilton Ave, Palo Alto CA 94301
The CDBG-CV and CDBG entitlement funds will provide a valuable funding source for the City and
its non-profit partners to address the community needs in the wake of the COVID-19 pandemic.
Attachment B: Draft FY2020_21 Annual Action Plan Substantial Amendment
SUBSTANTIAL AMENDMENT TO SUBSTANTIA
2020-2021
AL AMENDNTIA
1 1 ANNUAL
DMENT TO END
L L ACTION PLAN
Prepared by:
Department of Planning & Development Services
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Expected Resources
AP-15 Expected Resources - 91.420(b), 91.220(c)(1,2)
Introduction
The following section discusses the anticipated resources available during the next five years for community development activities.
Anticipated Resources
Program Source
of
Funds
Uses of Funds Expected Amount Available Year 1 Expected
Amount
Available
Remainder
of ConPlan
$
Narrative Description
Annual
Allocation: $ Program
Income:
$
Prior Year
Resources:
$
Total:
$
CDBG public -
federal
Acquisition
Admin and
Planning
Economic
Development
Housing
Public
Improvements
Public Services
501,355501,242 136,049 213,167
850,571850,458 2,344,196
CDBG funds will be used for the
creation and preservation of
affordable rental units,
improvements in lower income
neighborhoods, and public services
that benefit low income and special
needs households.
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Other public -
federal
Other 294,909746,413 0 0 294,909746,413 0 Special allocation of Community
Development Block Grant funds to be
used to prevent, prepare for, and
respond to the coronavirus (COVID-
19). This allocation was authorized by
the Coronavirus Aid, Relief, and
Economic Security Act (CARES Act),
Public Law 116-136, which was signed
by President Trump on March 27,
2020, to respond to the growing
effects of this historic public health
crisis. Palo Alto is provided an
allocation of $294,909. 746,413
Table 1 - Expected Resources – Priority Table
Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how
matching requirements will be satisfied
Entitlement Funds
Leverage means to combine funding sources, such as local, state, or other federal financial resources, with HUD funding (e.g. CDBG and HOME) in
order to increase project efficiencies and benefit from economies of scale. The City continually seeks to leverage local funding sources to more
efficiently utilize federal grant funding.
Other State and Federal Grant Programs
Additional federal programs that fund community development and affordable housing activities include:
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• Section 8 Housing Choice Voucher Program;
• Section 202;
• Section 811; and
• Affordable Housing Program (AHP) through the Federal Home Loan Bank.
These programs would not be provided to the City but rather to the Santa Clara County Housing Authority (SCCHA) and affordable housing
developers.
The State of California has recently passed approximately 20 bills with the intent of increasing or preserving affordable housing with the State.
According to the Governor’s State of the State address, bills that help increase housing production, both market-rate and affordable, will be a
priority in 2020. The City will continue to track and look for opportunities to leverage State resources for the City.
County and Local Housing and Community Development Sources
HOME funds can be used to fund eligible affordable housing projects for acquisition, construction and rehabilitation. The City joined the Santa
Clara County HOME Consortium in 2015 and does not receive federal HOME funds on an entitlement basis from HUD. The HOME Consortia consists
of the cities of Cupertino, Gilroy, Palo Alto, and the Urban County. Developers of affordable housing projects are eligible to competitively apply
through an annual request for proposal process directly to the County for HOME funds to help subsidize affordable housing projects in Palo Alto.
If the City receives HOME dollars from this process, the City is required to provide a 25 percent match, which will be provided from the City’s
Affordable Housing Fund. Certain non-profit organizations known as Community Housing Development Organizations (CHDOs) may also apply for
funding from the State Department of Housing and Community Development for housing projects located within Palo Alto.
Other local resources that support housing and community development programs include:
• Palo Alto Commercial Housing Fund, which is for the development of workforce units and paid by mitigation fees on commercial and
industrial projects; and
• Palo Alto Residential Housing Fund, which is for the development of below market rate (BMR) housing units and paid by miscellaneous
funding sources.
The City will continue to seek opportunities for projects that meet local bond requirements in order to bring additional resources to help the City’s
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affordable housing shortage.
If appropriate, describe publically owned land or property located within the jurisdiction that may be used to address the needs
identified in the plan
The City has no surplus public land. However, in 2019, the Governor Newsome signed Executive Order N-06-19 that ordered the California
Department of General Services (DGS) and the California Department of Housing and Community Development (HCD) to identify and prioritize
excess state-owned property and aggressively pursue sustainable, innovative, cost-effective housing projects. There is no excess state property in
the City of Palo Alto.
Discussion
The City of Palo Alto’s (City) Fiscal Year (FY) 2020-2021 Action Plan covers the time period from July 1, 2020 to June 30 2021 (HUD Program Year
2020). The City’s FY 2020-21 entitlement amount is $501,355501,242. Additionally, the City estimates approximately $136,049 in program income,
an estimated $213,167 from the prior program year and special allocation of $294,909 746,413 from the CDBG-CV funds bringing the total
estimated budget for FY 2020-2021 to $1,145,480 1,596,871
While U.S. Department of Housing and Urban Development (HUD) allocations are critical, they are not sufficient to overcome all barriers and
address needs that low-income individuals and families face in attaining self-sufficiency. The City will continue to leverage additional resources to
successfully provide support and services to the populations in need.
Currently, the City is not eligible to receive direct funding under the HOME Investment Partnership Act (HOME), Emergency Solutions Grant (ESG),
or Housing Opportunities for Persons with AIDS (HOPWA) – also programs covered under the Consolidated Plan Regulations.
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Annual Goals and Objectives
AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e)
Goals Summary Information
Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator
1 Affordable
Housing
2015 2020 Affordable
Housing
Affordable Housing CDBG:
$149,950 $0
Rental units rehabilitated: 107 0
Household Housing Unit
2 Homelessness 2015 2020 Homeless Homelessness CDBG:
$144,863
CDBG-CV:
$294,000
$348,332
Public service activities other than
Low/Moderate Income Housing
Benefit: 167 217 Persons Assisted
Tenant-based rental assistance /
Rapid Rehousing: 8060
Households Assisted
3 Strengthen
Neighborhoods
2020 2025 Non-Homeless
Special Needs
Non-Housing
Community
Development
Community Services
and Public
Improvements
CDBG:
$192,278
$342,228
CDBG-CV:
$909
$205,509
Public service activities other than
Low/Moderate Income Housing
Benefit: 977 1,504Persons
Assisted
4 Fair Housing 2015 2020 Non-Housing
Community
Development
Fair Housing CDBG:
$37,480
Public service activities other than
Low/Moderate Income Housing
Benefit: 15 Persons Assisted
5 Economic
Development
2015 2020 Non-Housing
Community
Development
Economic
Development
CDBG:
$236,000
Jobs created/retained: 21 Jobs
Table 2 – Goals Summary
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Goal Descriptions
1 Goal Name Affordable Housing
Goal
Description
Assist in the creation and preservation of affordable housing for low income and special needs households.
2 Goal Name Homelessness
Goal
Description
Support activities to prevent and end homelessness, such as funding affordable housing opportunities, resource centers
for homeless individuals, and support for tenants of single-room occupancy units.
3 Goal Name Strengthen Neighborhoods
Goal
Description
Provide community services and public improvements to benefit low-income and special needs households. This includes
assisting those with disabilities to transition from unstable housing to permanent housing, supporting residents of long-
term care facilities, and supporting individuals experiencing domestic violence.
4 Goal Name Fair Housing
Goal
Description
Promote fair housing choice by funding fair housing organizations to provide fair housing services, such as education,
tenant-landlord mediation, and testing.
5 Goal Name Economic Development
Goal
Description
Support economic development activities that promote employment growth and help lower-income people secure and
maintain jobs. This includes funding nonprofits working toward developing the skills of low-income and homeless
individuals.
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AP-35 Projects - 91.420, 91.220(d)
Introduction
The Consolidated Plan goals below represent high priority needs for the City of Palo Alto (City) and serve
as the basis for the strategic actions the City will use to meet these needs. The goals, listed in no particular
order, are:
1. Assist in the creation and preservation of affordable housing for low income and special needs
households.
2. Support activities to end homelessness.
3. Support activities that strengthen neighborhoods through the provision of community services
and public improvements to benefit low income and special needs households.
4. Promote fair housing choice.
5. Expand economic opportunities for low income households.
# Project Name
1 Ravenswood Family Health Network (Former: May View Community Health)
2
Rehabilitation of Alma Place - Alta Housing (Former:PAHC Management and Services
Corporation)
3 LifeMoves - Rental Assistance
4 Silicon Valley Independent Living Center - Rental Assistance
5 YWCA of Silicon Valley - Rental Assistance
6 Downtown Streets Inc. - Downtown Food Closet
7 Catholic Charities
8 LifeMoves - Opportunity Services Center (Former: InnVision Shelter Network)
9 PAHC Management & Services Corporation
10 Silicon Valley Independent Living Center â¿¿ Housing and Emergency Housing Services.
11 YWCA of Silicon Valley - Domestic Violence Services.
12 Project Sentinel - Fair Housing Services
13 City of Palo Alto - Planning and Administration
14 Downtown Streets Inc. - Workforce Development Program.
15 City of Palo Alto – Planning and Administration CDBG-CV
16 Ravenswood Family Health Network - Mobile Health Clinic COVID-19 Testing Project
17 LifeMoves – Hotel De Zink
Table 3 – Project Information
Describe the reasons for allocation priorities and any obstacles to addressing underserved needs
The City's Consolidated Plan update coincides with the development of the first year Action Plan and the
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shown through a strikethrough
biennial RFP process. The City awards CDBG funding to nonprofit agencies to provide public services and
housing for low income and special needs households. The City operates on a two-year grant funding
cycle for CDBG grants.
HUD requires that 70 percent of all CDBG funds be spent on activities that would benefit low- to moderate
income (LMI) households, which are those making 0-80% of AMI. The City allocates its CDBG funds to
projects and programs that will primarily benefit 0-50% AMI households, the homeless, and special needs
populations.The allocation of funds is made based on the needs identified in the Consolidated Plan.
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AP-38 Project Summary
Project Summary Information
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shown through a strikethrough
1 Project Name Ravenswood Family Health Network (Former: May View Community
Health)
Target Area
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services and Public Improvements
Funding CDBG: $66,701
CDBG-CV: $909
Description Funds are requested for COVID-19 testing for Palo Alto residents and
personal protective equipment for the testing site staff.
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
Approximately 400 Palo Alto residents will benefit from the proposed
activity
Location Description Citywide.
Planned Activities 1,800 residents of Palo Alto regularly utilize Ravenswood Family Health
Network (Former: May View Community Health) for care. The service
would be open to them but the clinic will only test patients when they
have symptoms. Goal is to provide tests to approximately 400 residents
2 Project Name Rehabilitation of Alma Place - Alta Housing (Former:PAHC Management
and Services Corporation)
Target Area
Goals Supported Affordable Housing
Needs Addressed Affordable Housing
Funding CDBG: $149,950
Description Replacement of stair treads which are a trip hazard for residents;
replacement of old and worn common area carpet with sheet and plank
vinyl.CDBG National Objective: 570.208(a)(3)Eligible Activity (Matrix
Code): 14BCDBG Citation: 570.202(a)(1)Recipient Type: LMH
Target Date 6/30/2021
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Estimate the number
and type of families
that will benefit from
the proposed
activities
107 individuals will benefit from the rehabilitation of this project.
Location Description 735 Alma Street, Palo Alto, CA 94301
Planned Activities Funds are requested for replacement of stair treads in 2 three-story
stairwells and common area flooring. Project activities include:
• Eliminating safety hazards in common area flooring and stairwells.
• Enhancing the interior condition of the property.
• Enhancing the aesthetics of the property.
3 Project Name LifeMoves - Rental Assistance
Target Area
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG-CV: $294,000
Description Distribution of direct financial assistance to eligible low-income
households for rent during the COVID-19 pandemic. CDBG
Citation:570.201(j) Eligible Activity (Matrix Code): 05Q Recipient Type:
LMC. CDBG National Objective: 570.208(a)(3)ii
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
45 unduplicated households/individuals will benefit from the proposed
activity.
Location Description Citywide
Planned Activities Approximately, 45 eligible households will receive rental assistance who
are unable to meet their monthly financial obligations as a result of the
COVID-19 emergency. Individuals and families in danger of becoming
homeless or losing their homes, will be able to remain in their homes.
Project Name Silicon Valley Independent Living Center - Rental Assistance
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4 Target Area
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG: $75,000
Description Rental Relief Program for Seniors and Persons with Disabilities.CDBG
Citation:570.201(j). Eligible Activity (Matrix Code): 05QRecipient Type:
LMCCDBG National Objective: 570.208(a)(3)ii
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
30 households will benefit from the proposed activity.
Location Description Citywide.
Planned Activities Silicon Valley Independent Living Center proposes to serve 30 Palo Alto
Residents/Households within the Covid-19 Rent Relief Program. Eligible
families are those with disabilities, older adults (over age 55) and disabled
veterans who have been financially impacted by loss of income or
increased expenses due to the Covid-19 pandemic.
5 Project Name YWCA of Silicon Valley - Rental Assistance
Target Area
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG: $10,000
Description Rental Assistance for Victims of Domestic ViolenceCDBG
Citation:570.201(j). Eligible Activity (Matrix Code): 05QRecipient Type:
LMCCDBG National Objective: 570.208(a)(3)ii
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
5 individual/household will benefit from the proposed activities
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Location Description Citywide
Planned Activities 4 individuals or households from Palo Alto will receive financial assistance
for rental payments.
6 Project Name Downtown Streets Inc. - Downtown Food Closet
Target Area
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services and Public Improvements
Funding CDBG: $100,000
Description To provide groceries and meals to those experiencing food
insecurity.Eligible Activity (Matrix Code): 05WCDBG Citation:
570.201(e)CDBG National Objective: 570.208(a)(2). Recipient Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
25 unduplicated individuals every month who are experiencing food
insecurity will be served at the downtown streets food
closet. Additionally, Pre-packed groceries will be arranged by Food Closet
Volunteers and delivered to doorsteps of 24 households per week to
meet the need and limit contact.
Location Description Citywide.
Planned Activities
7 Project Name Catholic Charities
Target Area
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services and Public Improvements
Funding CDBG: $9,345
Description Long-Term Care Ombudsman Program. Eligible Activity (Matrix
Code):05A. CDBG National Objective: 570.208(a)(2). CDBG
Citation:570.201(e). Recipient Type: LMC
Target Date 6/30/2021
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Estimate the number
and type of families
that will benefit from
the proposed
activities
The program will provide advocacy and complaint investigation for 243
elderly residents of long-term care facilities in Palo Alto. Additionally, 28
complaints on behalf of low-income residents of long term care
facilities will be identify, investigate, and impartially resolve.
Location Description Long-term care and skilled nursing facilities throughout the City.
Planned Activities Catholic Charities assists in problem resolution and advocates for the
rights of residents of long term care facilities in Palo Alto. The majority of
the clients assisted are low-income, frail, elderly, and chronically ill. This
program assists these vulnerable, dependent and socially isolated
residents receive the care and placement to which they are entitled.
8 Project Name LifeMoves - Opportunity Services Center (Former: InnVision Shelter
Network)
Target Area
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG: $29,932
Description Opportunity Services CenterEligible Activity (Matrix Code):03TCDBG
National Objective: 570.208(a)(2).CDBG Citation:570.201(e). Recipient
Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
36 unduplicated individuals (homeless and/or very low income individuals
per year) will receive case management services including assistance with
housing/job searches, referrals and mentoring at the Opportunity
Services Center.
Additionally, 250 unduplicated homeless or very low income persons will
receive “basic needs” day services at the Opportunity Services Center.
Basic needs day services include meals, showers, laundry as well as
connection to medical and dental services, to reduce food insecurity and
improve overall client functioning and wellbeing.
Location Description 33 Encina Way, Palo Alto, CA 94301
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Planned Activities LifeMoves provides basic needs day services to homeless and very low
income clients, services include meals, showers, laundry as well as
connection to medical and dental services, to reduce food insecurity and
improve overall client functioning and wellbeing.
9 Project Name PAHC Management & Services Corporation
Target Area
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG: $29,931
Description SRO Resident Support ProgramEligible Activity (Matrix Code):05OCDBG
National Objective:570.208(a)(2).CDBG Citation:570.201(e).Recipient
Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
131 unduplicated low-income persons from Palo Alto will be provided
with assistance and outreach. In addition, 40 extremely low-income
residents have improved food security.
Location Description 439 Emerson Street, Palo Alto, CA 94301
735 Alma Street Palo Alto, CA 94301
Planned Activities Palo Alto Housing Corporation engages a service coordinator to provide
40 hours weekly services to provide case management and support
counseling services to residents at Alma Place and Barker Hotel to help
them maintain housing stability. Activities include financial counseling,
health maintenance, information and referral, problem solving,
employment assistance, crisis intervention and case management. Both
Alma Place and Barker Hotel are single-room occupancy facilities.
10 Project Name Silicon Valley Independent Living Center; Housing and Emergency
Housing Services.
Target Area
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services and Public Improvements
Funding CDBG: $11,232
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Description Housing and Emergency Housing Services. Eligible Activity (Matrix Code):
05B.CDBG National Objective:570.208(a)(2).CDBG
Citation:570.201(e).Recipient Type:LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
22 unduplicated Palo Alto residents will benefit from one on one housing
assistance. Additionally, housing search education and training to 115
unduplicated Palo Alto residents will also be provided. All the clients
assisted will be low or very low income adults with disabilities.
Location Description Citywide.
Planned Activities Silicon Valley Independent Living Center provides assistance for
individuals with disabilities and their families to transition from
homelessness, health care facilities, unstable or temporary housing to
permanent affordable, accessible, integrated housing with emergency
assistance, security deposits, rent, information, & referral, and other
basic essentials.
11 Project Name YWCA of Silicon Valley - Domestic Violence Services.
Target Area
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services and Public Improvements
Funding CDBG: $5,000
Description Domestic Violence Services.Eligible Activity (Matrix Code):05G.CDBG
National Objective:570.208(a)(2).CDBG Citation:570.201(e).Recipient
Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
12 unduplicated low-income persons from Palo Alto will benefit from
counseling, therapy and legal services. 3 of the 12 will also benefit from
emergency shelter if needed. Additionally, 24 hour support line access to
20 callers requesting assistance and information on domestic violence
from Palo Alto will also be available.
Location Description Citywide.
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Planned Activities Support Network for Battered Women, a Division of YWCA will provide
individuals and families experiencing domestic violence, the program
provides a bilingual domestic violence hotline, an emergency shelter,
crisis counseling, legal assistance, court accompaniment, individual and
group therapy, support groups, children’s therapy groups, preventative
education, safety planning and community referrals.
12 Project Name Project Sentinel - Fair Housing Services
Target Area
Goals Supported Fair Housing
Needs Addressed Fair Housing
Funding CDBG: $37,480
Description Fair Housing Services.Eligible Activity (Matrix Code):21D.CDBG National
Objective:570.208(a)(2). CDBG Citation: 570.206(c). Recipient Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
15 unduplicated individuals will be provided with fair housing services of
complaint counseling, investigation and where appropriate enforcement
referral. Additionally, 100 Palo Alto residents will be served with outreach
and education at public presentations, information tables and event. Over
1000 fair housing informational brochures in public areas throughout Palo
Alto will be distributed. 12 low-income Palo Alto residents and/or housing
providers will be provided with fair housing consultation and 50 residents
will be provided with information and referrals services.
Location Description Citywide.
Planned Activities Project Sentinel will provide community education and outreach
regarding fair housing law and practices, investigation, counseling and
legal referral for victims of housing discrimination, and analyses for City
staff and officials regarding fair housing practices. California and federal
fair housing laws assure specific protected classes the right to be treated
in terms of their individual merits and qualifications in seeking
housing. Unfortunately, some people are not aware of the law or their
rights.
13 Project Name City of Palo Alto - Planning and Administration
Target Area
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Goals Supported Affordable Housing
Homelessness
Strengthen Neighborhoods
Fair Housing
Economic Development
Needs Addressed Affordable Housing
Homelessness
Community Services and Public Improvements
Fair Housing
Economic Development
Funding CDBG: $90,000
Description Planning and Administration: CDBG Citation: 570.206(a)
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
The City will provide general administrative support to the CDBG
program.
Location Description Citywide.
Planned Activities Administer the Administrative costs for the overall management,
coordination, and evaluation of the CDBG program, and the project
delivery costs associated with bringing projects to completion.
14 Project Name Downtown Streets Inc. - Workforce Development Program.
Target Area
Goals Supported Economic Development
Needs Addressed Economic Development
Funding CDBG: $236,000
Description Workforce Development Program.Eligible Activity (Matrix Code):
05H.CDBG National Objective: 570.208(a)(2)(A).CDBG Citation:
570.204(a)(2).Recipient Type: LMC
Target Date 6/30/2021
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Estimate the number
and type of families
that will benefit from
the proposed
activities
21 unduplicated homeless and unemployed persons will be placed in jobs
through job training/employment readiness classes and outreach to local
employers. Goal is for 75% of employers to retain new employees beyond
three months. Additionally, 21 local employers will be recruited to
create/hold positions or expedite the hiring process for the Down Town
Streets program participants.
Location Description Citywide.
Planned Activities The Workforce Development Program will provide a transition from
unemployment and homelessness to regular employment and housing
through case management, job training, mentoring, housing, and
transportation assistance. Downtown Streets Team will screen and
prepare applicants and will use their community connections to provide
training and job opportunities.
15 Project Name City of Palo Alto, Planning and Administration; CDBG-CV Grant
Target Area Citywide
Goals Supported Affordable Housing
Homelessness
Strengthen Neighborhoods
Fair Housing
Economic Development
Needs Addressed Affordable Housing
Homelessness
Community Services and Public Improvements
Fair Housing
Economic Development
Funding CDBG-CV3: $149,282
Description Planning and Administration: Eligible Activity (Matrix Code):21A CDBG
National Objective: 570.208(a)(2)(A). CDBG Citation:570.201(e). Recipient
Type: LMC
Target Date 6/30/2026
Estimate the number
and type of families
that will benefit from
the proposed
activities
The City will provide general administrative support to all the projects and
programs funded through the CDBG-CV grant.
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Location Description 250 Hamilton Ave, Palo Alto CA 94301
Planned Activities Management, coordination, and evaluation of the CDBG-CV program, and
the project delivery costs associated with bringing projects to completion.
16 Project Name Ravenswood Family Health Network (Former: May View Community
Health
Target Area Citywide
Goals Supported Strengthen Neighborhoods
Needs Addressed Community Services, COVID-19 Emergency Response
Funding CDBG CV3: $204,600
CDBG: $149,950
Description Mobil Clinic for COVID Testing and Vaccination Eligible Activity (Matrix
Code): 05Z CDBG National Objective: 570.208(a)(2)(A). CDBG
Citation:570.201(e). Recipient Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
The agency will focus on serving low-income residents of Palo Alto, many
of whom are uninsured or under-insured. Clientele will include homeless
patients, those with chronic conditions, and those who are racial or ethnic
minorities. The agency will partner with Palo Alto Community
Organizations to identify patients in need of care and plan to provide
COVID-19 testing. 480 Palo Alto residents will be served. Additionally, a
minimum of 480 persons that work in Palo Alto will also be served.
Location Description Citywide
Planned Activities Ravenswood Family Health Network will purchase a mobile clinic, which
will allow the agency to serve vulnerable low-income residents in Palo
Alto. Specifically, the mobile clinic will target patient populations that
have been under-served by the primary care health services already in
existence. During the pandemic, focus will be on using the mobile clinic
for COVID-19 testing, COVID-19 Education, and administration of flu or
COVID-19 vaccines once available to the public. Post the COVID-19
pandemic the agency will leverage the mobile clinic to provide
comprehensive medical and dental care to the homeless and vulnerable
residents of the community.
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17 Project Name LifeMoves - Hotel De Zink (HDZ)
Target Area HDZ: Citywide
Goals Supported Homelessness
Needs Addressed Homelessness
Funding CDBG CV3: $54,332
Description Hotel De Zink Eligible Activity (Matrix Code):03T CDBG National Objective:
570.208(a)(2)(A). CDBG Citation:570.201(e). Recipient Type: LMC
Target Date 6/30/2021
Estimate the number
and type of families
that will benefit from
the proposed
activities
Through the HDZ rotating shelter program, 50 unduplicated homeless
clients between January through June 2021 will receive shelter beds and
associated services at one of 12 rotating sites.
Location Description Citywide
Planned Activities Increase HDZ hours of operation from 9 hours per day to 14 hours per day
so that homeless clients of HDZ (up to 100 unduplicated clients per year)
have increased opportunity to shelter and rest, in order to reduce risk of
infection and community transmission with respect to the COVID-19
virus. Improve communication among OSC clients regarding social
distancing and other health guidelines by adding signage throughout the
OSC.
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AP-50 Geographic Distribution - 91.420, 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and
minority concentration) where assistance will be directed
The City allocates CDBG funds to benefit low-moderate income (LMI) households and does not have target
areas. Instead, the City focuses its services and capital improvements across the City as a whole.
Geographic Distribution
Target Area Percentage of Funds
Table 4 - Geographic Distribution
Rationale for the priorities for allocating investments geographically
Not applicable.
Discussion
Please see discussion above.
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AP-85 Other Actions - 91.420, 91.220(k)
Introduction
This section discusses the City’s efforts in addressing the underserved needs, expanding and preserving
affordable housing, reducing lead-based paint hazards, and developing institutional structure for
delivering housing and community development activities.
Actions planned to address obstacles to meeting underserved needs
The diminishing amount of funds continues to be the most significant obstacle to addressing the needs of
underserved populations. To address this, the City supplements its CDBG funding with other resources
and funds, such as:
• In FY2019-20, The City’s Human Service Resource Allocation Process (HSRAP) provided
$1,500,749 from the General Fund in support of human services. The HSRAP funds, in conjunction with
the CDBG public service funds, are distributed to local non-profit agencies.
• The Palo Alto Commercial Housing Fund is used primarily to increase the number of new
affordable housing units for Palo Alto’s work force. It is funded with mitigation fees required from
developers of commercial and industrial projects.
• The Palo Alto Residential Housing Fund is funded with mitigation fees provided under Palo
Alto’s BMR housing program from residential developers and money from other miscellaneous sources,
such as proceeds from the sale or lease of City property. The Residential Housing Fund is used to assist
new housing development or the acquisition, rehabilitation or the preservation of existing housing for
affordable housing.
• The City’s Below Market Rate Emergency Fund was authorized in 2002 to provide funding on
an ongoing basis for loans to BMR owners for special assessment loans and for rehabilitation and
preservation of the City’s stock of BMR ownership units.
• HOME Program funds are available on an annual competitive basis through the State of
California HOME program, and the County’s HOME Consortium.
• The HACSC administers the federal Section 8 program countywide. The program provides
rental subsidies and develops affordable housing for low income households, seniors and persons with
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disabilities living within the County.
Actions planned to foster and maintain affordable housing
The City will foster and maintain affordable housing by continuing the following programs and ordinances:
• The Below Market Rate Emergency Fund which provides funding on an ongoing basis for loans
to BMR owners for special assessment loans and for rehabilitation and preservation of the City’s stock of
BMR ownership units.
• The Commercial Housing Fund is used primarily to increase the number of new affordable
housing units for Palo Alto’s work force.
• The Residential Housing Fund is used to assist new housing development or the acquisition,
rehabilitation or the preservation of existing housing for affordable housing.
• The Density Bonus Ordinance, adopted by the City Council in January 2014. The density bonus
regulations allow for bonuses of 20 to 35 percent, depending on the amount and type of affordable
housing provided
• The City’s participation in the County's HOME Consortium will allow developers of affordable
housing projects to be eligible to competitively apply through an annual RFP process directly to the County
for HOME funds to help subsidize affordable housing projects in Palo Alto, including acquisition,
construction and rehabilitation.
Actions planned to reduce lead-based paint hazards
The City’s housing and CDBG staff provides information and referral to property owners, developers, and
non-profit organizations rehabilitating older housing about lead-based paint (LBP) hazards. Any house to
be rehabilitated with City financial assistance is required to be inspected for the existence of LBP and LBP
hazards. The City will provide financial assistance for the abatement of LBP hazards in units rehabilitated
with City funding. The City also requires that contractors are trained and certified in an effort to decrease
the risk of potential use of LBP in new units. All development and rehabilitation projects must be evaluated
according to HUD’s Lead Safe Housing Rule 24 CFR Part 35.
Actions planned to reduce the number of poverty-level families
The City, in its continuing effort to reduce poverty, will prioritize funding agencies that provide direct
assistance to the homeless and those in danger of becoming homeless. In FY 2020-2021, these programs
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will include the following:
• LifeMoves provides basic necessities for persons who are homeless or at risk of becoming
homeless. The Opportunity Services Center is a comprehensive, one-stop, multi-service, day drop-
in center that provides critical services for homeless Palo Alto residents. Specifically, the facility
provides showers, laundry, clothing, snacks, case management, and shelter/housing referral
services.
• Palo Alto Housing Corporation will provide counseling and supportive case management services
for low-income residents of single-room occupancy facilities to help them maintain housing
stability. Activities include financial counseling, health maintenance, information and referral,
problem solving, employment assistance, crisis intervention, and case management.
• Downtown Streets Team works to reduce homelessness through a “work first” model. Downtown
Streets Team uses its community connections to provide training and job opportunities to
homeless people, specifically in the downtown area.
Actions planned to develop institutional structure
Actions planned to enhance coordination between public and private housing and social
service agencies
The City benefits from a strong jurisdiction and region-wide network of housing and community
development partners, such as the County and the Continuum of Care. To improve intergovernmental
and private sector cooperation, the City will continue to participate with other local jurisdictions and
developers in sharing information and resources.
In addition to the actions listed above, the City will continue to coordinate with the City’s human services
funding efforts to comprehensively address community needs.
Discussion
Please see discussions above.
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Program Specific Requirements
AP-90 Program Specific Requirements - 91.420, 91.220(l)(1,2,4)
Introduction
The following provides additional information about the CDBG program income and program
requirements.
Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the Projects
Table. The following identifies program income that is available for use that is included in projects to be
carried out.
1. The total amount of program income that will have been received before the start of the
next program year and that has not yet been reprogrammed 136,049
2. The amount of proceeds from section 108 loan guarantees that will be used during the
year to address the priority needs and specific objectives identified in the grantee's strategic
plan. 0
3. The amount of surplus funds from urban renewal settlements 0
4. The amount of any grant funds returned to the line of credit for which the planned use has
not been included in a prior statement or plan 0
5. The amount of income from float-funded activities 0
Total Program Income: 136,049
Other CDBG Requirements
1. The amount of urgent need activities 0
2. The estimated percentage of CDBG funds that will be used for activities that
benefit persons of low and moderate income.Overall Benefit - A consecutive period
of one, two or three years may be used to determine that a minimum overall benefit
of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify
the years covered that include this Annual Action Plan. 100.00%
Ravenswood Family Health Network, which now includes the MayView Community Health Centers has applied
for funding for a mobile clinic. The unit will have two exams rooms, one for Medical, and one for Dental, as well
as an overhang for services to be provided outside. The initial and primary goal is for this mobile clinic to respond
to COVID-19 in the community. The agency plan to provide COVID-19 testing and flu shots to low income
community members. When made available, the agency will also provide the COVID-19 vaccine. Post COVID-19,
the agency plan to utilize this clinic to provide medical and dental services to the low-income residents of the
community specifically to low income, uninsured Palo Alto households. The agency also plans to partner with
local nonprofit agencies to identify residents in need of care. This mobile clinic will help the agency to connect
with the most vulnerable and offer them a variety of essential services.
Below are additional details on the proposed project:
1. How many Palo Alto Residents will be served?
The agency has capacity to test 80 low income patients per day for COVID-19 in the mobile unit. The
mobile clinic will be in the City of Palo Alto 4 days per month to test vulnerable residents and workers.
The agency plan to provide testing to approximately 4000 Palo Alto workers and residents annually.
While it is unclear how long COVID-19 testing will be needed on a large scale, the agency will maintain
this capacity of testing until COVID-19 is not a threat in the community.
2. What will the mobile clinic be used for after the pandemic?
The agency plan to provide both medical and dental services to the community. The agency is most
interested in providing dental care, as there are currently only 7 dental chairs for all the uninsured and
Medi-Cal patients in North Santa Clara County. It is estimated that there is demand for 70 dental chairs
for this population. The Ravenswood Family Health Center in East Palo Alto has a virtual dental home
program that provides dental care all across San Mateo County that would be implemented in Palo Alto
with this mobile clinic. Additionally, the agency hopes to provide more medical care to the homeless
population and planning to partner with local homeless shelters, housing agencies, and local health fairs
to offer their services to them.
3. How long will the Mobile Clinic be in use for?
The agency estimates that the Mobile Clinic will be functional to provider services for at least 7 years.
The goal is to prioritize the healthcare and dental needs of the low income and vulnerable residents of
Palo Alto. The agency will also continue to report to the City of Palo Alto for the next seven years on the
services rendered by the mobile clinic and the number of low-income Palo Alto households served.
4. Will the Mobile Clinic be used outside of Palo Alto?
Yes. While the priority is to ensure that Palo Alto low-Income residents have access to COVID-19 testing
and future medical and dental care, the agency also plans to use this mobile clinic in areas of need across
North Santa Clara County. The agency believes that it will help to build a better safety net health system
by connecting the transient and homeless community members to the Ravenswood Family Health
Networks breadth of services and support.
ATTACHMENT C: RAVENSWOOD FAMILY HEALTH NETWORK - MOBILE CLINIC PROJECT DETAILS
5.How will the Mobile Unit integrate into the City of Palo Alto?
Ravenswood Family Health Network plans to leverage existing relationships with local non-profits to
identify vulnerable residents in need of care. Additionally, the agency plans to connect with the City of
Palo Alto for recommendations on other agencies as well as locations where the mobile clinic would be
useful. The agency is hopeful that this mobile clinic will help to strengthen their organization’s
partnerships in the City of Palo Alto.
6.How many quotes did the agency request for the van?
The agency has shopped around at quite a few options and settled on the one that is submitted in the
proposal because it will allow to provide medical and dental care. Additionally, it was a much fast
delivery time 1-3 months, whereas some of the mobile clinic companies take up to a year to build and
ship the clinic. The price for the unit was about the same as the other companies and on average
mobile units cost between $250k and $400k.
ATTACHMENT C: RAVENSWOOD FAMILY HEALTH NETWORK - MOBIL CLINIC PROJECT DETAILS