Item No.
1 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: OFFICE OF THE CITY MANAGER
BY: AUSTIN RAMIREZ, DIRECTOR OF ECONOMIC DEVELOPMENT
DATE: JUNE 25, 2024
SUBJECT: APPROVAL OF AMENDMENT TO FISCAL YEAR 2024-2025
COMMUNITY BASED ORGANIZATION FUNDING PROGRAM
EXECUTIVE SUMMARY
The City Council will consider approving an amendment to the Fiscal Year 2024-2025 Community Based Organization Funding Program. The amendment will add The 10-20 Club to the program at an amount of $31,500 to the upcoming award cycle.
RECOMMENDATION
That the City Council:
Approve the amendment to the Fiscal Year 2024-2025 Community Based Organization Funding Program, adding The 10-20 Club with an allocation of $31,500.
BACKGROUND
The City of Downey’s Community Based Organization (CBO) Funding Program is an annual allocation of up to $100,000 that assists local non-profits that serve the Downey community in providing benefits to Downey residents and provides a clear and efficient way for local non-profits to request funding from the City for programs, events, or services. The CBO program requirements include:
● The CBO must be an existing non-profit corporation in good standing with the California Secretary of State and provide documents from the Secretary of State of such status.
● The organization exhibits a sound fiscal program through appropriate financial records and documentation.
● The organization demonstrates a history of community fundraising activities and is not entirely dependent on City financial assistance for programs, events, or services.
AMENDMENT TO FISCAL YEAR 2024-2025 COMMUNITY BASED ORGANIZATION FUNDING
PROGRAM
JUNE 25, 2024
PAGE 2
At the May 20, 2024 Budget Workshop, the City Council approved the Fiscal Year 2024 – 2025 CBO Funding Request Program recommendations for a total of $57,500.
Additionally, at the May 28, 2024 Council Meeting, the Council adopted the Fiscal Year 2024-2025 Action Plan for Community Development Block Grant (CDBG) and Home Program (HOME) funding. The 10-20 Club was included in the Action Plan as a sub- recipient for $31,500 from the City’s CDBG Public Services Program to provide a Mental Health and Wellness Services program. The 10-20 Club’s program aims to provide gang intervention, individual and group therapy sessions, and case management to moderate to low socioeconomic students aged 10 to 20 years old in the Downey Unified School District (DUSD). The program aligns with the City's Mental Health/Mental Wellness Consolidated Plan Goal by addressing issues such as drug and alcohol use, depression, and anxiety among youth aged 10 to 20 years old, aiming to decrease these challenges through mental health and wellness services.
ANALYSIS
Following approval of the Fiscal Year 2024-2025 Action Plan, City staff have been meeting with The 10-20 Club to prepare for the upcoming program year and discuss the federally-mandated requirements regarding service delivery, reporting, and record keeping. Maintaining compliance with the large amount of federal requirements places a significant administrative burden on organizations who receive CDBG funding. In discussions with The 10-20 Club, staff have come to understand that this administrative burden will impact The 10-20’s club ability to deliver critical services. This may also risk non-compliance with the federal requirements, which if were to occur, would result in repayment of funds and could prevent the City from receiving future CDBG dollars for all programs (Housing Rehabilitation included).
Staff has determined that The 10-20 Club would be a better fit for the CBO Program. This would allow the City to continue supporting critical programs for at-risk youth, while also allowing The 10-20 Club to focus their resources on service delivery. If approved, the amendment would result in the following funded organizations for the Fiscal Year 2024- 2025 CBO Program:
Organization Name Amount
Los Angeles Centers for Alcohol and Drug Abuse $25,000
Downey Symphonic Society $15,000
PIH Health $15,000
Mujeres En Construccion $2,500
The 10-20 Club $31,500
Total $89,000
If the recommendation is approved by Council, staff will also prepare an amendment to the Fiscal Year 2024-2025 Action Plan for CDBG and HOME for Council review and
AMENDMENT TO FISCAL YEAR 2024-2025 COMMUNITY BASED ORGANIZATION FUNDING
PROGRAM
JUNE 25, 2024
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approval. The Action Plan amendment will remove The 10-20 Club from the list of CDBG Public Service Grant sub-recipients and re-allocate the funds to the CDBG Housing Rehabilitation Program where there is the greatest need for additional funding. The Action Plan amendment will be prepared in Quarter 4 of the 2024 calendar year to allow staff to assess implementation of Action Plan activities and combine any other recommended changes in one amendment.
CITY COUNCIL PRIORITIES
Fiscal Responsibility
Quality of Life, Safety & Infrastructure
Public Engagement
FISCAL IMPACT
Approval of the recommended action will result in an additional expenditure of $31,500 (for a total of $89,000) from the Parks and Recreation General Fund Budget 10-4-4320- 0585.
ATTACHMENTS
None