BACKGROUND:
The CDBG program is a federal program administered by HUD. The City has received CDBG funds directly from HUD since 2012 when it became an Entitlement Grantee.
CDBG funding is used to address a variety of housing and community development needs, which are prioritized during the five-year Consolidated Plan (ConPlan) process.
As a requirement of the CDBG program, local jurisdictions need to comply with various reporting requirements, such as the ConPlan, Annual Action Plan (AAP), and the Consolidated Annual Performance and Evaluation Report (CAPER). The ConPlan is a five-year plan that prioritizes community development/housing needs and guides the use of federal funds to meet those needs. The FY 2021-2022 CAPER is part of the City’s FY 2017-2021 ConPlan. The AAP identifies projects and activities to be funded and implemented during the fiscal year, and the CAPER reports on the actual accomplishments and expenditures for the fiscal year.
DISCUSSION:
The FY 2021-2022 CAPER describes the accomplishments and expenditures for projects approved in the FY 2021-2022 AAP. This CAPER represents the City’s fifth and final program year of the FY 2017 – 2021 ConPlan.
The CAPER includes information regarding the amount of funds invested in projects and activities, descriptions of households assisted by CDBG funds, actions taken to affirmatively further fair housing and other information relevant to the status of grant- funded projects administered by the City to improve local housing and community development needs. The following information summarizes how the City managed its program and utilized its CDBG funds:
The Administrative Allowance for managing the CDBG program is a maximum of twenty percent (20%). This Allowance was used for program administration to manage the overall program processes and planning. Consultants, City Staff salaries, wages and related costs of City Staff involved in program management, monitoring and evaluation were reimbursed from this allocation.
In addition to program administration, the City programmed CDBG funding to Inland Fair Housing and Mediation Board (IFHMB) to accomplish the City’s fair housing goals. For this program year, IFHMB was awarded $18,000. IFHMB was contracted to assist the City in meeting the goals identified in the City’s 2016 Assessment of Fair Housing (AFH) to provide low- and moderate-income residents with information about their fair housing rights relevant to their ability to have access to better living opportunities. IFHMB has met their annual target goals and has fulfilled their contract obligation.
The City also programmed funding to four (4) other local agencies to provide programs and services to the community. For the subrecipients to receive CDBG funding, each subrecipient was required to enter into a written agreement with the City that included CDBG specific language and outlined requirements and goals that needed to be met for the program year. After the agreements were initiated, the subrecipients were able to request reimbursement for work performed. All subrecipients have fulfilled their contract obligation and have met their goals.
The majority of the City's annual award was allocated toward the rehabilitation and reconstruction of public infrastructure in low- and moderate-income areas. For FY 2021- 2022, the City programmed $484,166 of CDBG funding to reconstruct a residential street located in Census Tract 449.15 (Block Group 1). The project included removal of existing asphalt pavement, shaping and compacting existing base material and placing asphalt paving (AC), sidewalk gap closures, concrete driveway approaches, ADA compliant sidewalk ramps, and curb and gutter gap closures, removal and construction of garden walls, lowering and raising utilities to final grade, pavement striping and markings from Dinah Shore Drive to Olancha Road.
At the start of the FY 2021-22 the City had $530,365 remaining in CDBG-CV Funding.
In June 22, 2022, City Council approved a substantial amendment, allocating $517,500 of CDBG-CV funds to seven (7) public service programs to the community. The subrecipients receiving CDBG-CV funding were also required to enter into a written agreement with the City that included specific HUD language for CDBG-CV and outlined requirements and goals that needed to be met for the program year.
The following information summarizes how the City managed its program and utilized its CDBG funds:
FY2021-22 ADMINISTRATIVE (20%) BUDGETED SPENT BALANCE
Planning and Administration $107,000 $107,000 $0.00
Inland Fair Housing & Mediation Board
(IFHMB)
$18,000 $18,000 $0.00
FY2021-22 PUBLIC SERVICES
(15%)
BUDGETED SPENT BALANCE
Angel View Outreach Program $15,000 $15,000 $0.00
CVAG: Homelessness Program $51,500 $51,500 $0.00
Transgender Health and Wellness
Center
$20,000 $20,000 $0.00
WeeCare Child Assistance Program $8,500 $8,500 $0.00
FY2021-22 PUBLIC
IMPROVEMENTS
BUDGETED SPENT BALANCE
Via De Anza Street Improvements
Phase I
$484,166 $484,166 $0.00
FY2021-22 CDBG-CV
(CARES Act)
BUDGETED SPENT BALANCE
Assistance League $15,000 $15,000 $0.00
Cathedral City Senior Center $100,000 $100,000 $0.00
Cathedral City Senior Center: 911
Program
$53,000 $53,000 $0.00
Coachella Valley Rescue Mission $51,500 $51,500 $0.00
Desert Access & Mobility $25,000 $25,000 $0.00
Small Business Assistance Loan
Program
$143,000 $136,111.19 $6,888.81
WeeCare Child Assistance Program $130,000 $130,000 $0.00 Unallocated Funds $12,865 $0.00 $12,865
The FY 2021-2022 CAPER was prepared utilizing the HUD-required eCon Planning Suite. The Draft CAPER is attached to the Staff Report summarizing the most significant accomplishments.
PUBLIC NOTICE:
The City’s Community Participation Plan requires the CAPER be made available for fifteen (15) days to give residents and the rest of the community an opportunity to review and comment on the information being evaluated for submittal. The Draft CAPER was made available from August 17, 2022, through September 1, 2022. Any public comments received will be included to the CAPER as an attachment when submitted to HUD. No comments were received at this time. No public hearing is required for the approval of the CAPER.
Upon City Council approval, the FY 2021-2022 CAPER will be submitted to HUD for review and acceptance.
ENVIRONMENTAL ANALYSIS:
The action before the City Council is exempt from environmental review pursuant to Section 15060 (c) (2) and (c)(3) of the Guidelines of the California Environmental Quality Act (CEQA) in that the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment; and the activity is not a project as defined in Section 15378 of the CEQA Guidelines
FISCAL IMPACT:
The City’s HUD entitlement for FY 2021-22 was $656,357 of CDBG, $530,365 of CARES Act (CDBG-CV) funds. The City will need to reallocate $19,753.81 from FY 2021-22 AAP to FY 2022-23 AAP. This Administrative Amendment will be brought before City Council for approval.