HomeMy WebLinkAboutStaff Report 214-09
TO: HONORABLE CITY COUNCIL
FROM: CITY MANAGER DEPARTMENT: PLANNING AND
COMMUNITY ENVIRONMENT
DATE: MAY 4, 2009
REPORT TYPE: PUBLIC HEARING CMR: 214:09
SUBJECT: Finance Committee Recommendation to Approve Fiscal Year 2009/10
Community Development Block Grant (CDBG) Funding Allocations and
Action Plan and Adopt a Resolution of the Council of the City of Palo Alto
Approving the Use of Community Development Block Grant Funds for
Fiscal Year 2009-2010
RECOMMENDATION
The Finance Committee and staff recommend to the City Council approval of the following:
1. Allocate CDBG funding as recommended by staff and the Citizens Advisory Committee
(CAC) in the 2009/10 Action Plan and adopt the attached Resolution.
2. Authorize staff to submit the 2009/10 Action Plan to the Department of Housing and
Urban Development (HUD) by the May 15, 2009 deadline.
3. Authorize the City Manager, on behalf of the City, to execute the 2009/10 application and
Action Plan for CDBG funds and any other necessary documents concerning the
application, and to otherwise bind the City with respect to the application and
commitment of funds.
DISCUSSION
The City’s 2009/10 grant is estimated as $656,000, (a decrease of approximately three percent
under the prior year’s grant of $676,148) because at the time of this writing, HUD has not
released the City’s actual grant amount for 2009/10. Once the grant amount is known, staff will
revise the public service and administrative caps, 15% and 20% respectively. If additional funds
are available for public services, the total will be divided proportionately between all the
applicants that requested more funding than has been currently recommended. Under the
administrative cap, fair housing is proposed to be funded at the amount requested, therefore, any
excess funds under the cap are proposed to be allocated to the City for CDBG administration.
Lastly, any excess funds under capital projects are proposed to be awarded to Avenidas.
Avenidas is the only capital fund recipient that has requested more funding than is proposed for
allocation. If there are additional funds after all capital projects have been funded at the
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