Fremont City Council Meeting: 09/12/23 07:00 PM
3300 Capitol Avenue Div/Dept: Information Technology Services Fremont, CA 94538 Category: Grants
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 4987) DOC ID: 4987
Updated: 8/31/2023 10:45 AM by Alberto Quintanilla Page 1
ACCEPTANCE OF THE STATE FUNDING GRANT FOR THE SIX COMMERCIAL DISTRICTS WI-FI ACCESS EXPANSION PROJECT - Accept and Appropriate the State of California Department of Housing & Community Development funding grant in the amount of $1,500,000 for the Commercial District Wi-Fi Access Expansion Project
Contact Persons:
Name: Jeremy Huynh Sanford Taylor
Title: Management Analyst II IT Director
Div/Dept: Information Technology Services Information Technology Services Phone: (510) 494-4847 510-494-4802
E-Mail: [email protected] [email protected]
Executive Summary: Staff seeks City Council approval to accept a grant awarded by the State of California Department of Housing & Community Development (HCD) to the City of Fremont in the amount of $1,500,000, to execute all necessary agreements and documents in connection with the grant award, and to appropriate and use the funds for the six Commercial Districts Wi-Fi Access Expansion Project.
BACKGROUND: On July 10, 2023, the State of California adopted legislation amending their budget for Fiscal Year 2023-2024 under Assembly Bill No. 102, Chapter 38 (AB 102).
The State Budget included “earmark” allocations to specific projects and programs identified by State legislators. With support from State Senator Aisha Wahab, a budget allocation was provided to the six Commercial Districts Wi-Fi Access Expansion Project in Fremont.
DISCUSSION/ANALYSIS: The City of Fremont Fiber Optic Master Plan adopted by the City on July 19, 2022 identifies areas where the City could strategically deploy community Wi-Fi zones in six commercial district plazas. These districts include Centerville, Irvington, Niles, Mission San Jose, Warm Springs and the Downtown City Center. The new citywide Wi - Fi zones will help address the digital divide issues in these areas by allowing for equitable access among residents and small businesses, who may otherwise not have access to high- speed Wi-Fi internet access. The landing pages for each of the zones will provide information regarding current events, transportation information, and directory of businesses local to that zone.
The City’s six neighborhood commercial districts are comprised of small-scale microenterprises with 67.5% of the City ‘s small businesses minority owned, 50% women owned, and 66% owned by persons born outside of the United States. Examples of this enriching diversity include several Afghan markets in Centerville, many antique stores in Niles, or the handful of South Asian boutique clothing stores in Irvington. These business es are sustained by deep-rooted cultural and community relationships that make up the diverse resident base of Fremont. In many cases, these microenterprises are sustained with the help of lower operating costs because they occupy older and sometimes histo rically designated buildings, often co-locating with other small businesses to share in overhead expenses. However, the cost of broadband services encroaches directly into the income that these entrepreneurs would otherwise be able to generate and further invest. Because of the Council Staff Report (ID # 4987) Meeting of September 12, 2023 Updated: 8/31/2023 10:45 AM by Alberto Quintanilla Page 2 expense involved in private broadband services, many businesses opt to not pay for these expensive services instead of benefitting from this essential technology.
Furthermore, the neighborhoods within and immediately adjacent to our historic main street districts tend to be older, experiencing greater economic and social impacts than other parts of City of Fremont or Alameda County. For instance, the median per capita income in Irvington and Centerville is half and two-thirds the median per capita income for all of Fremont, respectively, and well-below the median per capita income for Alameda County as a whole. There are also unique age distributions in the neighborhoods immediately adjacent to Fremont's neighborhood commercial districts, such as Niles, with over 20% of the residents over the age of 65 and Centerville, with over 30% of its residents under 18. These demographic age groups both can benefit significantly from free and reliable community broadband and will be critical to support as Fremont looks to create an environment where people of all ages can come together and shop locally.
On July 10, 2023, the State of California Department of Housing & Community Development notified the City of its intent to award grant funding for the amount of $1,500,000. Funds allocated by the State shall be available for encumbrances from September 30, 2023, until June 30, 2025, and until June 30, 2027 for expenditure. Funding from the State of California will enable the City to move forward with the installation of Wi-Fi Access in the Commercial Districts and help in reducing the digital divide issues in the City.
FISCAL IMPACT: Staff is recommending that the $1,500,000 for the Commercial District Wi-Fi Access Expansion Project from the State of California be appropriated in the State Capital Grants Fund PWC9108-525.
ENVIRONMENTAL REVIEW: The recommended action related to accepting and appropriating the State of California Department of Housing & Community Development grant award is exempt from and not subject to review under the California Environmental Quality Act (CEQA) because, without limitation, it is not a “project” as defined in CEQA Guidelines Section 15378(b)(2) and/or 15378(b)(5) and as it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment pursuant to CEQA Guidelines Section 15061(b)(3), each as a separate and independent basis for CEQA compliance.
Subsequent planning for the Commercial District Wi-Fi Access Expansion Project will include a community outreach process and preparation of an environmental clearance in accordance with CEQA guidelines.
ATTACHMENTS: None.
RECOMMENDATIONS:
1. Accept the HCD grant funding in the amount of $1,500,000;
2. Appropriate $1,500,000, as well as any additional supplemental funding, to the Commercial District Wi-Fi Access Expansion Project – PWC9108-525; and
3. Authorize the City Manager or designee to execute all necessary agreements and documents in connection with the grant award.