ADMINISTRATIVE AMENDMENT
CITY OF CATHEDRAL CITY
FY 2023-24 ANNUAL ACTION PLAN
Jurisdiction: City of Cathedral City
Program: Community Development Block Grant (CDBG)
Grant: B-23-MC-06-0603
Contact Person: Elizabeth Medina
Telephone: 760-202-2478
Email: [email protected]
Address: 68700 Avenida Lalo Guerrero
Cathedral City, CA 92234
SUMMARY OF CHANGES:
The City of Cathedral City proposes an Administrative Amendment to its Fiscal Year (FY) 2023 -2024 Community Development Block Grant (CDBG) Annual Action Plan (AAP) to reallocate unspent funds from the Via De Anza Street Improvement Phase III Project. These funds will be redirected to support the Whitewater Neighborhood Road Improvement Phase II Project, included in the FY 2025-2026 AAP.
This amendment ensures the unspent funds are appropriately recorded within the fiscal year they were allocated and used to enhance ongoing infrastructure improvements.
Specifically, the amendment will:
• Reallocate $43,124.76 in unused FY 2023 -2024 CDBG funds from the Via De Anza Street Improvement Phase III Project to the Whitewater Neighborhood Road Improvement Phase II Project, as outlined in the FY 2025-2026 AAP.
Approval of this amendment allows the city to make full use of available CDBG funds, improve its federal spending ratio, and continue revitalization efforts in targeted neighborhoods. Per the city's Community Participation Plan (CPP), this qualifies as an Administrative Amendment because the reallocation is under $50,000 or 10% of the total annual budget , whichever is smaller , and therefore does not require a Substantial Amendment.
PROPOSED ACTIVITIES:
On April 23, 2025, the City Council approved the FY 2025 -2026 CDBG Annual Action Plan for submission to the U.S. Department of Housing and Urban Development (HUD).
As of the close of FY 2024 -2025 (June 30, 2025), $43,124.76 in prior -year CDBG funds remained unspent, as reported in the September 2025 Consolidated Annual Performance Evaluation Report (CAPER). These funds must now be reprogrammed.
City staff recommend allocating these remaining funds from the FY 2023 -2024 Via De Anza project to the Whitewater Neighborhood Road Improvement Phase II Project. This project, described in the FY 2025 -2026 AAP, will complete the neighborhood’s street reconstruction efforts.
Phase I, completed in FY 2024-2025, included:
• Shifting Sands Trail (33rd Avenue to Whispering Palms Trail) • Sky Blue Water Trail (33rd Avenue to Dinah Shore Drive) • 33rd Avenue (Shifting Sands Trail to Cathedral Canyon Drive) Phase II, to be completed in FY 2025-2026, will include:
• Navajo Trail (33rd Avenue to Dinah Shore Drive)
• Pueblo Trail (33rd Avenue to Dinah Shore Drive)
• Ortega Road (Shifting Sands Trail to Cathedral Canyon Drive) The reallocated funds will help ensure completion of Phase II within the current fiscal year.
OVERALL BUDGET:
For FY 2025 -2026, Cathedral City received $511,608 in CDBG funds from HUD.
According to HUD guidelines:
• No more than 20% may be used for administrative costs • No more than 15% may be allocated to public services
• The remainder must be used for public improvements
While prior-year unallocated funds may be reprogrammed into any category, they must still comply with these caps. For FY 2025 -2026, the city has already allocated the full 20% allowed for administrative activities. This amendment complies with HUD rules, as the reallocated $43,124.76 will support a public improvement project, which is not subject to a funding cap.
The following table summarizes the city’s proposed programming of the remaining CDBG funding:
Program Year Project (from) Project (to) Funding
FY 2023-2024 Via De Anza Street
Improvement Phase III
Whitewater
Neighborhood Road
Improvement Project
Phase II
$43,124.76
Total $43,124.76
Prepared by:
__________________________
Elizabeth Medina
Program Administrator
Reviewed and approved by:
__________________________
Armando J. Garcia Baldizzone, P.E.
City Engineer