EAST PALO ALTO
CITY COUNCIL
STAFF REPORT
DATE: May 2, 2023
TO: Honorable Mayor and Members of the City Council
VIA: Melvin E. Gaines, City Manager
BY: Azalea Renfield, Assistant to the City Manager
Melvin E. Gaines, City Manager
SUBJECT: Community Resource Fund Grant Framework
Recommendation
1. Provide direction on the proposed Community Resource Fund grant framework.
2. Direct staff to issue a Notice of Funding Availability (NOFA) or Request for Proposals (RFP) for $350,000 in Community Resource Funds based on Council’s grant framework direction.
Alignment with City Council Strategic Plan
This recommendation is primarily aligned with:
• Promote Housing, Economic and Workforce Development
• Implement the Comprehensive Transportation and Mobility Plan • Promote Health & Public Safety
• Develop and Implement a Comprehensive Facilities Master Plan • Enhance Community Services and Parks for Residents
Background
On June 7, 2022, the City Council adopted the FY 2022-23 budget which included $3,506,266 in revenue from American Rescue Plan Act of 2021 (ARPA) funds. The adopted budget primarily focused on utilizing ARPA funds for government services to address a projected $1.7 million budget deficit in the General Fund.
On September 20, 2022, the City Council directed staff to return with plans to allocate the approximately $1.8 million remaining ARPA funds using the following focus areas as guiding principles:
1. Improving the City’s infrastructure.
2. Strategies to address the City’s structural deficit.
3. Direct assistance to the community.
On October 18, 2022, staff returned to the City Council with an itemized list of recommended ARPA funding allocations. This list includes allocation of $350,000 as a Community Resource Fund which may be available to local community groups through a competitive application process. The Council also directed staff to return to the City Council with a detailed Notice of Funding Availability (NOFA) process associated with a community funding opportunity.
The City Council did not provide guidance on the grant parameters for the Community Resource Fund. Staff’s recommendations and Council discussion of the Community Resource Fund at both the September 20 and October 18 meetings focused on these funds being used to provide direct assistance to the community through a competitive process. Neither the Council nor staff identified causes that should be funded and there were no goals or objectives specified that the City would like to accomplish with these funds.
On April 4, 2023, staff recommended taking advantage of the federal government’s standard allowance option for allocating ARPA funds. The standard allowance allows jurisdictions to use ARPA funds to cover up to $10 million in revenue losses and to have streamlined reporting requirements. Specifically, staff recommended the transfer of ARPA funds to the General Fund to cover personnel costs which are not subject to the federal procurement and subrecipient monitoring requirements.
The Council authorized the transfer of the remaining $1.63 million ARPA funds to the General Fund. The Council also committed General Funds to the uses previously outlined in the October 18, 2022 itemized list of recommended ARPA funding allocations, including $350,000 for a Community Resource Fund.
This staff report recommends a grant framework for the $350,000 Community Resource Fund.
The recommended framework considers 1) the service and resource voids related to existing City Council Priorities, and 2) existing City funding of community groups.
Analysis
Service and Resource Voids Related to Existing City Council Priorities The adopted City Council Priorities for FY 2022-23 and FY 2023-24 are:
• Promote Housing, Economic and Workforce Development
• Implement the Comprehensive Transportation and Mobility Plan • Promote Health & Public Safety
• Ensure Our Financial and Organizational Health
• Improve the City's Water Infrastructure
• Develop and Implement a Comprehensive Facilities Master Plan • Enhance Community Services and Parks for Residents
Each of the seven priorities has two to five goals. Each goal is supported by several actions designed to accomplish the City Council’s priorities and goals. The City Council’s goals include both funded and unfunded actions. For example, within the priority to Promote Housing, Economic & Workforce Development, there is a goal to Implement Measure HH Employment and First Source Hiring Programs. The City provided $775,415 to four community organizations to accomplish this goal.
There is also a goal within this priority to Create an Economic Development Strategy Focusing on Small and Micro Businesses. The City has not appropriated funds toward accomplishing this goal. The City could use Community Resource Funds to fund activities that would work toward this and other unfunded goals. If the City directs use of the Community Resource Funds for activities related to Council Priorities, community groups could request funds for activities that would advance City Council’s goals.
Table 1 provides a breakdown of the existing yet unfunded City Council Priority Goals that could be advanced through the proposed Community Resource Funds framework. The last column listing potential community assistance is only intended to provide examples. Proposers may suggest various ways they might assist the City to accomplish its goals.
Table 1: Unfunded City Council Priority Goals
Priority Unfunded Goal Potential Community Assistance
Promote Housing,
Economic & Workforce
Development
Create an Economic
Development Strategy Focusing
on Small and Micro Businesses.
Proposers could develop a strategy in a
manner that balances economic
development with engagement of the
existing small and micro business
community.
Implement the
Comprehensive
Transportation and
Mobility Plan
Initiate a parking permit pilot
program
Proposers could provide outreach to East
Palo Alto residents and assist the City to
better engage its multicultural
community.
Promote Health and
Public Safety
Develop a Community
Emergency Preparedness and
Education Initiative
Proposers could develop and provide
such an initiative in partnership with the
City and Fire District.
Develop and Implement
a Comprehensive
Facilities Master Plan
Coordinate with the Library
District to advance a new library
for East Palo Alto
Construction of the library will require a
fundraising effort. Proposers could assist
the City and Library with a capital
campaign.
Enhance Community
Services and Parks for
Residents
Completion and Implementation
of the Parks Master Plan
The Parks Master Plan includes
improvements to various parks.
Proposers could assist the City in
beautification efforts.
Focus on Youth Engagement Proposers could develop and manage a youth commission.
Engage Community & Partner
Agencies to Improve Educational
Resources/Outcomes
Proposers could develop a project to
engage community agencies to improve
educational resources and outcomes.
The City Council priorities and corresponding goals listed in Table 1 could provide a compass that the City Council could use to guide how the City distributes Community Resource Funds.
Aligning distribution of these funds to efforts related to the Council Priorities helps the City Council to advance its priorities and goals.
Request for Direction: Staff requests that the City Council provide direction on whether the grant framework for Community Resource Funds should steer proposers to submit projects that would advance City Council priorities and goals. If the Council wants the grant framework to advance Council priorities and goals, staff seeks further direction regarding whether there are priorities or goals (stated here or in the entire list of Council priorities (Attachment 1)) that should be emphasized. That is, which specific priorities and goals should proposals be requested for?
Existing Funding to Community Groups
Although the City has active and pending grant agreements with various community groups, providing approximately $1.85 million to fund various efforts, the Council may well want to use the proposed Community Resource Funds grant framework for these as well. Table 2 below shows the active and pending City Grants.
Generally, existing funding to community groups funds five activities:
1) Fair housing, anti-eviction, education, and advocacy services for East Palo Alto renters (Measure O/General Fund). $559,984 is committed to two projects. 2) A pilot workforce development program for at least 80 East Palo Alto residents (Measure HH). $775,415 is committed to four projects.
3) Youth/families and senior citizens support services to promote individual and community health, recreation, and cultural arts (Transient Occupancy Tax (TOT)). Up to $128,000 will be split between eight projects.
4) Summer Parks Activation. Up to $160,000 will be split between 11 projects. 5) Violence prevention efforts (the remaining Measure C funds). $200,000 is split between two projects.
Each of these activities supports current City Council Priorities; specifically, the priorities to promote housing, economic and workforce development; promote health and public safety; and to enhance community services and parks for residents. Table 2 reflects the active and pending grants the City provides/will provide to community groups.
Table 2: Grants to East Palo Alto Community Groups
Service Provider Funding Source Approved
Amount
Scope of Services
Community Legal Services
in East Palo Alto
(CLSEPA)
& Nuestra Casa (joint
proposal)
General Fund
(Measure O) -
$224,788 & Rent
Stabilization Fund
- $232,000
$456,788
(total
funding for
two years)
Fair housing and anti-eviction legal services,
financial assistance, case management, referrals,
proactive community outreach (social media,
workshops, flyers), and posted resource
information
Youth United for
Community Action (YUCA)
General Fund
(Measure O)
$103,196
(total
funding for
two years)
Proactive community outreach (social media,
workshops, flyers) in coordination with CLSEPA
and Nuestra Casa and support for a citizen
advocacy committee
JobTrain Measure HH $102,882
(18-month
agreement)
Pilot Workforce Development Program (STEM) -
job training in beginning and advanced IT skill
courses, job placement and support services
JobTrain Measure HH $135,803
(18-month
agreement)
Pilot Workforce Development Program (Building
Trades) - job training in residential maintenance
and general construction trades, job placement
and support services
StreetCode Academy Measure HH $236,700
(18-month
agreement)
Pilot Workforce Development Program (STEM) -
job training in coding programs, apprenticeships,
job placement and support services
Live In Peace Measure HH $300,030
(18-month
agreement)
Pilot Workforce Development Program
(STEM/Building Trades) - job training in electrical
and mechanical trades and IT support services,
job placement and support services
East Palo Alto
Greyhounds
Transit Occupancy
Tax
Up to
$16,000
Track & Field programming for youth in
cooperation with personal development sessions
on how to reconnect East Palo Alto
EPACenter for the Arts Transit Occupancy
Tax
Up to
$16,000
Summer arts enrichment camps providing
classes for up to 80 youth from ages 6-10
Fresh Approach Transit Occupancy
Tax
Up to
$16,000
Alleviate food insecurity and provide better
opportunities to better career outcomes while
increasing awareness of and access to nutrition
education
Hope Horizon Transit Occupancy
Tax
Up to
$16,000
Conduct a Camp Hope Horizon fully holistic
summer camp from June 20-July 28 for student
in elementary & middle school
Live in Peace Transit Occupancy
Tax
Up to
$16,000
Supporting the organization to run the Students
with a Goal program (SWAG) that focuses on
academically disengaged students in grades 9-
12. Table 2 (Continued): Grants to East Palo Alto Community Groups Service Provider Funding Source Approved
Amount
Scope of Services
Mannakin Theater & Dance Transit
Occupancy Tax
Up to
$16,000
Provide support for the Avant School of Dance to
host quality ballet lessons to the community
members of East Palo Alto at no cost.
Onyxx Village Transit
Occupancy Tax
Up to
$16,000
Distribution of meals to homeless & low-income
families and provide population with necessities that
are often neglected.
Retraining the Village Transit
Occupancy Tax
Up to
$16,000
Hosting events that allow formerly incarcerated
fathers to reconnect with their families and provide
the community with free, fun activities.
One East Palo Alto (OEPA) Measure C Funds $86,363 Summer Youth Employment Program Community Overcoming
Relationship Abuse (CORA)
Measure C Funds $113,637 Outreach, prevention and education, counseling, crisis intervention, and advocacy related to domestic
violence
East Palo Alto Tennis and
Tutoring
Summer Park
Activation –
General Fund
Up to
$16,000
Tennis camps and academic
Live in Peace Summer Park
Activation –
General Fund
Up to
$15,000
All sports conditioning camps and bike
rides/workshops
PSA Vikings-Process
Academy
Summer Park
Activation –
General Fund
Up to
$12,000
Basketball instruction and competition
Ravenswood Junior Soccer
Club
Summer Park
Activation –
General Fund
Up to
$12,000
Soccer training programs for youth
Streetcode Academy Summer Park
Activation –
General Fund
Up to
$16,000
Tech pop-ups in the park
Camp Doza Summer Park
Activation –
General Fund
Up to
$15,000
Basketball & Soccer instruction and farming culture
camp
Sign Gypsies Summer Park
Activation –
General Fund
Up to
$12,000
Field trips for Senior (55+) community
Table 2 (Continued): Grants to East Palo Alto Community Groups Service Provider Funding Source Approved
Amount
Scope of Services
Step It Up Dance Summer Park
Activation – General
Fund
Up to
$12,000
Instruction in variety of dance methods
My Gym Summer Park
Activation – General
Fund
Up to
$12,000
Gymnastics instruction in parks from
toddlers to youth
East Palo Alto T-Ball
& Pitching Machine
Summer Park
Activation – General
Fund
Up to
$15,000
Non-competitive youth baseball in
partnership with Junior Giants
Youth Community
Services
Summer Park
Activation – General
Fund
Up to
$12,000
Mental Wellness, Environmental,
Community Support, and Animal themed
pop-ups in the park
East Palo Alto
Razorbacks
Summer Park
Activation – General
Fund
Up to
$12,000
Youth rugby camps and Summer Sevens
for young adults
Considering existing funding that the City provides to community groups, the City Council may desire to provide additional funding toward certain efforts to enhance existing services.
Conversely, the Council may want to avoid providing additional funding to existing City funded projects and ensure that Community Resource Funds go to new efforts.
Request for Direction: Staff requests that the City Council provide direction on whether the grant framework for Community Resource Funds should consider providing additional funds to existing efforts or avoid providing funds to currently funded efforts. If the Council desires to provide additional funds to existing efforts, staff requests that the Council specify which of the following efforts they would like to allow additional funding requests for:
1. Fair housing, anti-eviction, education, and advocacy services for East Palo Alto renters.
2. Workforce development.
3. Youth/families and senior citizens support services to promote individual and community health, recreation, and cultural arts.
4. Summer Parks Activation.
5. Violence prevention efforts (currently funded by the remaining Measure C funds) Proposed Community Resource Fund Grant Framework
Staff recommends a grant framework that prioritizes proposals that address the five Council priorities and unfunded goals listed in Table 1 above. Staff will release a NOFA or RFQ seeking proposals that address the seven City Council Priorities, emphasizing a desire for proposals that address the five priorities and goals listed in Table 1. Proposals will be accepted for activities that the City does not currently fund, and expansion of activities that the City already funds.
Projects will be ranked considering the application completeness, qualifications of the proposer to complete their proposed work, and other factors the City has used to evaluate proposals in other recent City RFPs. Proposals will also be scored based on whether their project addresses a funded or unfunded City Council priority goal. Proposals that address unfunded goals listed in Table 1 would be rated higher than those that do not. Because existing City grant funded projects also support the five Council priorities but are already funded, staff recommends that any proposals to expand existing City funded projects be eligible for funding but receive a lower ranking than projects that address unfunded Council goals.
Alternatives
One alternative to the proposed framework is that the Council may desire to take a more literal approach to providing direct assistance to the community. While the October 18, 2022 Council direction was to establish a community resource fund that may be available to community groups through a competitive application process and to develop a NOFA process, there is no barrier to the Council deciding these funds should be provided to community groups who provide some form of direct assistance to the community. Such direct assistance could be legal aid, health care, food security, rent or bill relief, or several other forms of direct assistance to East Palo community members.
The Council could also decide not to release funds to community groups through a broad NOFA or RFP process, but to identify a targeted use of Community Resource Funds. For example, the City could use these funds to update the City’s emergency preparedness plan with enhanced community engagement and assistance efforts.
Proposed Funding Amounts
If the Council supports the staff recommended grant framework, staff recommends that the funding amounts be flexible and allow awards up to $175,000 per project. This amount would provide sufficient funding for proposals to be substantial, potentially encouraging collaboration between multiple groups to submit joint proposals to accomplish a goal.
If the Council prefers an alternative framework, staff requests that the Council specify its preferred range for grant award amounts. Regardless of framework, staff will bring funding recommendations to the City Council for approval.
Conclusion
Staff recommends a grant framework and funding amounts specified respectively in the Proposed Community Resource Fund Grant Framework and Proposed Funding Amounts sections above. If the Council does not accept staff’s recommendation, staff requests that the City Council provide direction on whether the grant framework for Community Resource Funds should:
1. Request proposals for projects that would advance City Council priorities and goals? a. If yes, for which priorities and goals should proposals be requested?
2. Consider providing additional funds to existing efforts receiving City funding? a. If yes, which existing efforts should be eligible to receive additional funds? See Table 2. Generally, the efforts are categorized as follows:
i. Fair housing, anti-eviction, education, and advocacy for renters. ii. Workforce development.
iii. Youth/families and senior citizens support services to promote individual and community health, recreation, and cultural arts.
iv. Summer Parks Activation.
v. Violence prevention efforts (the remaining Measure C funds) If the City Council prefers an alternative framework, staff requests direction on what that framework should be and what should be the range for grant award amounts.
Next Steps
Staff will issue a Notice of Funding Availability (NOFA) or Request for Proposals (RFP) for $350,000 in Community Resource Funds based on Council’s grant framework direction. After the proposal period ends, staff will evaluate all proposals received and return to the City Council with funding recommendations by July 18, 2023.
Fiscal Impact
There is no fiscal impact associated with this report.
Public Notice
The public was provided notice of this agenda item by posting the City Council agenda on the City’s official bulletin board outside City Hall and making the agenda and report available at the City’s website and at the San Mateo County Library located at 2415 University Avenue, East Palo Alto.
Environmental
The proposed action does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines sections 15378(b)(4) and (5) in that it is a governmental fiscal, organizational or administrative activity that will not result in direct or indirect changes in the environment.
Attachments
1. FY 2023-24 Council Priority Work Plan