Colfax City Council
June 5, 2024

Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.

June 5, 2024
Special Meeting of the
Colfax CityCouncil COUNCIL CHAMBERS, 33 SOUTH MAIN STREET, COLFAX, CA Mayor Kim Douglass ⋅ Mayor Pro Tem Sean Lomen
Councilmembers Caroline McCully ⋅ Larry Hillberg ⋅ Trinity Burruss

SPECIAL MEETINGAGENDA
June 5, 2024
Special Session 6:00 PM
You may access the meeting and address the Council by the following means:

ZOOM at
https://us02web.zoom.us/j/84968570574
Dial in by calling one of the numbers listed below and enter the Webinar ID:
849 6857 0574
1 669 900 6833 / 1 669 444 9171 / 1 719 359 4580 / 1 253 205 0468 View Only on Facebook Live on our City of Colfax page: City of Colfax, California. You may also submit written comments to the City Clerk via email at [email protected], via regular mail to P.O. Box 702, Colfax CA 95713, or by dropping them off at City Hall, 33 S. Main Street, Colfax CA 95713.

Comments received will be submitted to Council and made a part of the record. 1 OPEN SESSION
1A. Call Open Session to Order
1B. Pledge of Allegiance
1C. Roll Call

PUBLIC COMMENT
2 Members of the public are permitted to address the Council orally or in writing on matters of concern to the public within the subject matter jurisdiction of the City that are not listed on this agenda. Please make your comments as succinct as possible. Oral comments made at the meeting may not exceed five (5) minutes per speaker. Written comments should not exceed 800 words. Written comments received before the close of an agenda item may be read into the record, with a maximum allowance of five (5) minutes in length. Council cannot act on items not listed on this agenda but may briefly respond to statements made or questions posed, request clarification, refer the matter to staff, or place the matter on a future agenda.

Workshop (Pages 3-13)
Public Hearing in accordance with the CDBG requirements, review 2024 CDBG Funding opportunities and direct staff to begin engineering and prepare for the 2024 CDBG Application submittal anticipated in August 2024.
1 Colfax City Council Meetings are ADA compliant. If you need disability-related modification or accommodation including auxiliary aids or services to participate in this meeting, please contact the City Clerk at (530) 346-2313 at least 72 hours prior to make arrangements for ensuring your accessibility.

June 5, 2024
I, Amanda Ahre, City Clerk for the City of Colfax, declare that this agenda was posted in accordancewith the Brown Act at Colfax City Hall and Colfax Post Office. The agenda is also available on the City website at http://colfax-ca.gov/
Amanda Ahre, City Clerk
Administrative Remedies must be exhausted prior to action being initiated in a court of law. If you challenge City Council action in court, you may be limited to raising only those issues you or someone else raised at a public hearing described in this notice/agenda, or in written correspondence delivered to the City Clerk of the City of Colfax at, or prior to, said public hearing.

LEVINE ACT WARNING: In certain instances, parties, participants, and their agents before the City Council are subject to the campaign disclosure provisions detailed in Government Code Section 84308, California Code of Regulations Sections 18438.1 through 18438.8, and Fair Political Practices Commission Opinion 0-22-002. All parties, participants, and their agents are hereby directed to review these sections for compliance. If you believe that these provisions apply to you or a Council Member, please inform the City Clerk at the earliest possible opportunity. 3 ADJOURNMENT
2 City of Colfax Public Hearing to Review Potential Projects for 2024 Staff Report June 5 Community Development Block Grant Program. , 2024 Staff Report to City Council
FOR THE JUNE 5, 2024 REGULAR CITY COUNCIL MEETING
From: Ron Walker, City Manager
Prepared by: Lorie Adams, Adams Ashby Group, Inc.

Subject: Public Hearing to Review Potential Projects for 2024 Community Development Block Grant Program.

Budget Impact Overview:

N/A: Funded: X Un-funded: Amount: $7,500 Fund(s): 100-110 Summary/Background
The U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant (CDBG) program authorizes the use of funds to assist low- and moderate-income families or aid in the prevention or elimination of slums or blight. There are two types of CDBG programs: “entitlement” and “non-entitlement”.

Metropolitan cities and urban counties are entitled to receive annual grants under the “entitlement” program – direct from HUD. Metropolitan cities are principal cities or Metropolitan Areas (MAs) or other cities within MAs that have populations of at least 50,000. Urban Counties are within MAs that have population of 200,000 or more excluding the population of metropolitan cities within their boundaries. The “non-entitlement” program is administered by the State Department of Housing and Community Development (HCD) and where the City can apply for funding under a competitive application process.

The 2024 State NOFA involving approximately $44 million in CDBG funds is anticipated to be released this summer (July 2024). It is anticipated that applicants will be allowed to apply for one project up to approximately $3.3 million and up to two competitive applications, one program and one planning grant, each up to approximately $300,000.

The City, as required by the State and HUD regulations and procedures, has conducted a public hearing to discuss the funding and potential application(s) and allow for public input. This is now the time for the staff to provide recommendations for Council consideration and request Council review of potential CDBG programs/activities and provide direction on the projects/activities that staff should include in the application(s).

Project/Activity Selection
In order to be considered eligible, a suggested project/activity must meet one or more of the three National Objectives listed in CDBG Federal Statutes:
• Benefit to low- and moderate-income persons;
• Prevention or elimination of slums and blight; or
RECOMMENDED ACTION: Conduct Public Hearing in accordance with the CDBG requirements, review 2024 CDBG Funding opportunities and direct staff to begin engineering and prepare for the 2024 CDBG Application submittal anticipated in August 2024.
3 City of Colfax Public Hearing to Review Potential Projects for 2024 Staff Report June 5 Community Development Block Grant Program. , 2024 • Meeting an urgent community need which pose an immediate threat to the health and welfare of the community (State designates when the “urgent need” objective is allowed for a NOFA).

The benefit to low- and moderate-income persons is the most predominately used National Objective. In order to benefit low- or moderate-income persons, the project/activity must either benefit an area that is comprised of at least 51% low- or moderate-income households, or the program benefits individually qualified households (i.e., each participating household is income certified).

In addition to meeting one of the three National Objectives, the project/activity must also fall under the activity categories listed below.

Over the Counter Application
(OTC)
Competitive Application
• Public Improvements • Public Service
• Housing Activities • Planning Technical
Assistance
• Economic Development
• Business Assistance
• Economic Development
• Micro Enterprise Program
Application Due 8/2024 Applications Due 9/2024
A sample review of the project/programs that are eligible:
• Public Improvements: The improvements under this category are considered Over the Counter and include all publicly owned infrastructure and public facilities improvements and construction, including but not limited to, water, sewer, storm drainage, lighting, community centers, removal architectural barriers, ADA improvements, fire station improvements/construction, senior centers, park improvements/development, etc.
• Public Service: The applications under this category are considered Competitive and include the following examples: subsistence payments, security deposits, childcare, health care, recreation programs, fair housing counseling, drug and alcohol abuse counseling and testing, homeless services, senior services, and nutrition services benefitting low- and moderate-income persons. • Planning and Technical Assistance: The product must show a connection to assisting with an eligible CDBG activity that, if implemented, meets a National Objective. Product(s) are submitted to the State at the time of completion. The grant may require a cash match to be expended prior to expenditure of CDBG funds. Examples include studies, analysis, and data gathering for master plans, energy efficiency programs, housing studies, environmentals, engineering plans, etc. • Housing Activities:
• Code Enforcement Activity: this program must also provide a housing rehabilitation funding component.
• Homeownership Assistance Program: assistance with loans for down-payment or closing costs. • Housing Rehabilitation Program for Single Family Homes: loans for repairs and improvements of owner-occupied units including energy efficiency and handicap accessible improvements. • Support of New Housing Construction: Acquisition of sites on which buildings will be constructed for use or resale as housing; clearing toxic contaminants on property to be used for new construction of housing; site improvements to publicly owned land to enable the property to be used for new construction of housing;
4 City of Colfax Public Hearing to Review Potential Projects for 2024 Staff Report June 5 Community Development Block Grant Program. , 2024 • Business Assistance: Examples include financing of working capital, furniture, equipment, and property repairs/improvements.
• Microenterprise Assistance: Examples providing technical assistance, advice, and business support services (including assistance, advice, and support relating to developing business plans, securing funding, conducting marketing, and otherwise engaging in microenterprise activities.

Conclusions and Findings
In order to provide Council with a list of potential projects, staff has reviewed Council-adopted policies to propose the following list of potential projects. The Council may want to discuss additional activities including those that may be received during the public hearing.
• Street Improvements

ALTERNATIVES

1. Provide other projects for consideration.

2. Direct staff to take other actions.

Fiscal Impacts
Adams Ashby Group, Inc., the city’s Grant Administration Consultant, estimates the cost to prepare an infrastructure application to be $7,500 not including environmental or engineering costs required to complete the application. The costs associated with the preparation of applications are an eligible expenditure of CDBG General Administration funds under the current grant contract.

PUBLIC NOTIFICATION
The public hearing notices were published in
Colfax City Hall 5/24/2024
Colfax Post Office 5/24/2024
City of Colfax Website 5/24/2024
City of Colfax Facebook page 5/24/2024
The public meeting was held on June 5, 2024, at 6:00 pm 5 1
NOFA Public Hearing
Purpose:
 To provide an opportunity to educate
and inform local residents about the
program and project funding
 Provide forum for resident input
regarding projects and programs being
considered
 Obtain any housing and community
development needs and other concerns
6 2
Potential Funding Limits – 2024 CDBG Program
Total NOFA anticipated funding allocation: $44 million
Total funds available per Jurisdiction: $3.6 million
Possible Applications:
1 OTC Project ($3.3 million) + 1 OTC Program ($1.5 Million) + 1 Competitive ($300 thousand)
-OR1 OTC Project ($3.3 million) + 2 Competitive ($300 thousand, each) -OR1 OTC Program ($1.5 Million) + 2 Competitive ($300 thousand, each) . 7 3
The primary objective of the CDBG program is to:
• Develop viable communities by helping to provide
decent housing,
• Suitable living environments, and
• Expanding economic opportunities principally for
persons of low-to-moderate income.

Pursuant to:
24 CFR 570.483
8 ELIGIBLE ACTIVITIES UNDER THE CDBG

PROGRAM
4 Community Development
Housing
 single and multi-family rehabilitation,
 rental housing acquisition or
 homeownership assistance, and
 activities that support new construction
Public Improvements
 water and wastewater systems,
 rural utilities such as gas and electric
services
Community Facilities
 day care centers,
 domestic violence shelters,
 food banks,
 community centers, medical and dental
facilities, fire stations.

Public Services
 staff and operating costs associated
with community facilities
 Subsistence payments
 Security deposits
 Child/health care
 Recreation programs
 Fair Housing Counseling
 Drug and Alcohol Counseling/testing
• Homeless/senior/nutrition services
Planning and Technical
Assistance
 studies and plans for housing, public
works, and community facilities that
meet CDBG national objectives and
provide principal benefit to low-income
persons
Native American/Colonia
 Housing and
 housing related activities, water,
and sewer.
42 U.S. Code § 5305
9 5
Eligible Activities
Economic Development
Enterprise Fund
 Grants for loans to businesses for
 working capital,
 land acquisition,
 equipment purchase,
 inventory purchase,
 debt restructuring, and
 other direct assistance.
 Grants to support businesses by
 providing water and sewer services,
 access roads, and
 other public facilities.
 Microenterprise funds may provide
 credit,
 general support (e.g., Childcare,
transportation), or
• technical assistance for persons
developing microenterprises
Planning and
Technical Assistance
 Studies and plans for
economic development
activities that
 meet CDBG
national objectives
and
 provide principal
benefit to lowincome persons
Over-the-Counter
 Grants for the
 creation or retention of jobs for
low-income workers.
 May include loans or loan guarantees to
businesses for
 construction,
 on-site improvements,
 equipment purchase,
 working capital, and
 site acquisition.
 May also include loans for
 business start-ups,
 grants for publicly-owned
infrastructure, and
 loans or grants for small business
incubators.
10 Review Status of
Local Housing Element
The jurisdiction is in compliance, and this may be reviewed as a part of our General Plan and is located on our website at:
https://colfax-ca.gov/government/planning/colfax-planningdocuments/ 6 6
11 As part of the requirement of the
funding source, the city will adopt a
residential anti-displacement and
relocation assistance plan.

The current proposed project will not
cause any displacement.

Residential
Anti-Displacement and
Relocation
Assistance Plan
24 CFR 42.325
7 12
Fair Housing Resources
8 https://www.hud.gov/program_offices/fair_housing_equal_opp/fair_housing_resources Region IX – Reporting Assistance
Arizona, American Samoa, California, Guam, Hawaii,
and Nevada
San Francisco Regional Office of FHEO
U.S. Department of Housing and Urban
Development
One Sansome Street Suite 1200
San Francisco, CA 94104
(415) 489-6524
(800) 347-3739
TTY (415) 436-6594
8 13