NOW, THEREFORE, BE IT AND IT IS HEREBY RESOLVED by the City Council of the City of La Mesa, California, as follows;
1. That the foregoing fact and determinations are true and hereby made a part hereof.
2. That the City Council hereby approves the Annual Action Plan for FY 2024-2025.
3. That the City Council hereby authorizes allocation and submittal of the Annual Action Plan for FY 2024-2025 to HUD, with the required certifications, applications, and agreements for the full implementation of activities funded under the Plan.
4. That the City Council hereby authorizes the execution of FY 2024-2025 contract between the City of La Mesa and Center for Social Advocacy of San Diego County for fair housing services in the City of La Mesa.
PASSED AND ADOPTED at a Regular meeting of the City Council of the City of La Mesa, California, held the 9th day of April 2024, by the following vote, to wit:
AYES:
NOES:
Councilmembers Dillard, Lothian, Parent, Shu, and Mayor Arapostathis None
ABSENT:
)
None
CERTIFICATE OF CITY CLERK
I, MEGAN WIEGELMAN, the City Clerk of the City of La Mesa, California do hereby certify the foregoing to be a true and exact copy of Resolution No. 2024-040, duly passed and adopted by the City Council of said City on the date and by the vote therein recited.
MEGAN WIEGELMAN, CMC, City Clerk
(SEAL OF CITY)
EXHIBIT A
ESTIMATED FUNDING AND ADJUSTMENTS UPON APPROPRIATION
Expected Resources Summary FY 2024-25
FY 2024-25 CDBG fundin estimate $478,000
Prior year funding $186,372
Summary Annual Plan for Community Development FY 2024-25 Capital Improvement Program
Sidewalk Improvements
Nancy Drive Street Improvements
$262,000
$150,000
Increased or decreased
based on available
funding
Public Service Programs
Homeless Services (CDBG-CV Funds)
Fair Housing Services - CSA, San Diego County
$166,372
$30,000
Program Administration (20% cap)
General program administration
Housing Program Administration
$50,000
$6,000
Reduced as necessary
to not exceed 20%
annual cap
TOTAL $664,372
REPORT to the MAYOR and MEMBERS of the CITY COUNCIL
From the CITY MANAGER
DATE: April 28, 2026
SUBJECT: CONSIDERATION OF THE FISCAL YEAR 2027
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)
ANNUAL ACTION PLAN AND A REQUEST FOR A
SUBSTANTIAL AMENDMENT TO THE FISCAL YEAR
2025 ANNUAL ACTION PLAN
ISSUING DEPARTMENT: Community Development
Recommendation:
1. That the City Council provide input on the draft Fiscal Year (FY) 2027 Annual Action Plan (Attachment A) and the proposed amendment to the FY 2025 Annual Action Plan (Attachment B).
2. Direct Staff to draft and circulate for public review the FY 2027 Annual Action Plan and the FY 2025 Annual Action Plan with the proposed amendment and return to City Council on May 26, 2026, for final review and approval.
Fiscal Impact:
There is no impact on the General Fund. The proposed programming is fully supported through the City's FY 2027 CDBG Entitlement funding allocation of $467,440. Additionally, the proposed action includes a reprogramming of $150,000 from the approved FY 2025 CDBG budget.
City's Strategic Goals:
Maintain a community where residents and visitors feel safe. Promote a high quality of life that current and future generations can afford to call home.
Invest in infrastructure to serve the needs of the community.
ATTACHMENT E
Report to Mayor and Councilmembers
Date: April 28, 2026
Page: 2 of 6
Environmental Review:
This is not a project subject to CEQA and is therefore not subject to environmental review under Public Resources Code § 21065(b).
BACKGROUND:
The City of La Mesa has grown to an estimated population of 60,767. It boasts many vibrant community assets, including a historic downtown village, robust transit hubs that connect to the broader San Diego region, and 14 parks and open spaces for recreation and community events.
As an entitlement jurisdiction under the U.S. Department of Housing and Urban Development (HUD), the City qualifies to receive federal funding. HUD funding programs include:
Community Development Block Grants (CDBG) – CDBG is a flexible funding source used for both Housing and non-housing activities, including neighborhood revitalization, workforce and economic development, community and nonprofit facilities, and infrastructure and public services in LMI communities. HOME Investment Partnerships (HOME) – HOME is a funding source used to build, acquire, and rehabilitate affordable housing for rent and homeownership. It can also be used to provide direct rental assistance to low‑ income residents. Emergency Solutions Grants (ESG) – ESG funds programs and services supporting persons experiencing homelessness. This includes operating shelters, providing essential services to shelter residents, administering rapid rehousing programs, and homelessness prevention.
The City of La Mesa receives Community Development Block Grant (CDBG) funds in proportion to its population size, poverty concentration, and other socioeconomic and demographic factors. To receive such funds, the City is required to submit a Consolidated Plan that outlines the City's housing and community development needs and proposes strategies for using HUD funds to address these needs over five years, an Annual Action Plan that details the specific activities undertaken each year to achieve the goals outlined in the Consolidated Plan (Con Plan), and an adopted Citizen Participation Plan (CPP) to set forth policies and procedures for citizen participation.
As part of the Con Plan process, the City submits an annual Consolidated Annual Performance and Evaluation Report (CAPER) that details how it spent funds, identifies the households that benefited, and reports its progress toward meeting annual housing and community development goals during the fiscal year. The FY 2025 CAPER is the
ATTACHMENT E
Report to Mayor and Councilmembers
Date: April 28, 2026
Page: 3 of 6
most recent (Attachment C). Per HUD Regulation 24 CFR 91.520, the CAPER is due 90 days after the end of the CDBG Program Year. The FY 26 CAPER will be available for public review and comment before September 28, 2026, and will be submitted to HUD thereafter.
The City does not receive HOME or ESG funding. Although the City does not receive HOME funding directly, the City participates in the County of San Diego's HOME Consortium (HOME Consortium), which is funded through HOME and includes the Cities of Carlsbad, Encinitas, La Mesa, San Marcos, Santee, and Vista. Forming a consortium is a way for local governments that would not otherwise qualify for funding to join with other contiguous units of local government to directly participate in the HOME Investment Partnerships Program (HOME). The County of San Diego's Housing Authority serves as the City's Public Housing Authority.
The City's CDBG allocation has fluctuated over the past ten years, from a high of $478,231 in FY 2024 to a low of $355,856 in FY 2018, as shown in Table 1.
Table 1: Ten-Year CDBG Allocation History
Fiscal Year Allocation
2018 $ 355,856.00
2019 $ 395,112.00
2020 $ 413,091.00
2021 $ 446,016.00
2022 $ 450,233.00
2023 $ 435,060.00
2024 $ 478,231.00
2025 $ 453,937.00
2026 $ 456,031.00
2027 $ 467,440.00
The adopted Con Plan identified the following goals:
Goal 1 – Improve public facilities and infrastructure to promote a healthy and vibrant city environment.
Goal 2 – Promote equitable access to affordable housing through the preservation of existing units, assistance to homeowners, and fair housing services.
Goal 3 – Create programs to prevent and address homelessness and provide access to services.
ATTACHMENT E
Report to Mayor and Councilmembers
Date: April 28, 2026
Page: 4 of 6
Goal 4 – Provide local community services to support low- and moderate-income households.
City Council approved the FY 2025-2029 Con Plan on July 8, 2025, along with the CPP.
In accordance with 24 CFR Part 91, the City must prepare an Annual Action Plan that aligns with the goals set forth in the Con Plan. The Annual Plan outlines how the City intends to spend its CDBG entitlement funds. The proposed FY 2027 CDBG entitlement Annual Action Plan, with funding recommendations, is the subject of this report.
DISCUSSION:
On April 3, 2026, HUD announced that the City would receive $467,440 in CDBG entitlement funds for FY 2027.
Below is an overview of the funding recommendations for the FY 2027 CDBG entitlement funds, based on the goals identified through the citizen participation process, with a full description of each funding recommendation.
Improve Facilities and Infrastructure ($381,000) – to be allocated to Tower Street Mobility Access Improvement Project (2026) in the amount of $343,000. The Sidewalk Master Plan identifies Tower Street, between 70th Street and 68th Street, as a location where a sidewalk is currently missing but planned for future construction. The City expects to complete the design by June 2026 and construction by June 2027. Additionally, $38,000 will be programmed to Sidewalk Improvements (2026). The locations chosen are on Maple Avenue, Jessie Avenue, 73rd Street, Jackson Drive, and Garfield Street.
Fair Housing ($30,000) – to be allocated to CSA San Diego County for administration costs related to fair housing and tenant/landlord mediation services. Planning and Administration ($50,000) – allocated for administrative activities, environmental review of projects, monitoring, reporting, and outreach. Conserve the Housing Stock ($6,440) – allocated for Housing-specific administrative costs, including oversight of the rehabilitation loan program.
Additionally, Staff recommends an amendment to the FY 2025 CDBG Annual Action Plan to reprogram $150,000 previously allocated to the Nancy Drive Street Improvement activity. This amendment process is referred to in the CPP as a substantial amendment.
After further evaluation, Staff has determined that the Nancy Drive project is not currently feasible due to factors that prevent the project from being carried out within the program year. The gas lines serving each residence are very shallow and will require lowering by
ATTACHMENT E
Report to Mayor and Councilmembers
Date: April 28, 2026
Page: 5 of 6
San Diego Gas & Electric (SDGE) before the street can be reconstructed to the correct grade to allow the driveways to connect to the street. The necessary gas line work is several years out per current SDGE workload, and there are other projects eligible and more easily delivered in the near term to meet CDBG Timeliness. Staff will continue to explore alternative funding sources to support the future implementation of improvements on Nancy Drive. Once feasible, the City may use future CDBG funds to leverage additional funding to complete the project.
In the interim, Staff will reallocate these CDBG funds to an ongoing, eligible street improvement project, which is anticipated to be completed by December 2026. It will provide immediate benefit to low‑ and moderate‑ income residents. Staff proposes the following substantial amendment to the FY 2025 CDBG Annual Action Plan (Section AP35 Projects – 91.420, 91,220 (d) ):
Reprogram $150,000 from the Nancy Drive Improvements project to the existing Sidewalk Improvements project for a total Sidewalk Improvements funding amount of $387,937.
In accordance with the City's adopted CPP, the City holds two public hearings each year to gather residents' feedback on housing and community development needs, proposed CDBG fund allocations, strategies, and actions to affirmatively further fair housing, as well as to review program performance and approve program activities. The draft FY 2027 Annual Action Plan and the substantial amendment to CDBG FY 2025 are available for public review from Friday, April 24, 2026, to Tuesday, May 26, 2026. The City published the notice of public hearing for this item in the Daily Transcript on April 14, 2026.
During the Con Plan's community participation process, the community identified capital improvements as its highest CDBG funding priority. Residents expressed that investments in infrastructure, particularly Street and sidewalk improvements, provide long‑ lasting benefits, enhance neighborhood safety, and improve overall quality of life.
Reallocating funds into an active street improvement project directly responds to these community‑ identified needs. It supports the City's goal of directing CDBG resources to their most effective uses.
Investing CDBG funds in eligible street improvements supports both HUD program goals and community priorities by addressing infrastructure deficiencies in low‑ and moderate‑ income areas and promoting equitable access to safe, functional public facilities.
ATTACHMENT E
Report to Mayor and Councilmembers
Date: April 28, 2026
Page: 6 of 6
CONCLUSION:
Staff recommends that the City Council provide input on the draft CDBG FY 2027 Annual Action Plan (Attachment A) and the proposed substantial amendment of $150,000 to FY 2025 (Attachment B), and direct Staff to return on May 26, 2026, for final review and approval.
Reviewed by: Respectfully submitted by:
____________________ ____________________________
Greg Humora Lynnette Santos
City Manager Community Development Director
Attachments:
A. Draft CDBG FY 2027 Annual Action Plan
B. FY 2025 Annual Action Plan (Draft, With Proposed Amendment Language) C. FY 2025 Consolidated Annual Performance and Evaluation Report
ATTACHMENT E
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INTEROfflCE MEMO
DATE:
TO:
FROM:
May 26, 2026
Mayor and Members of the City Council
Councilmember Laura Lothian and Vice Mayor Lauren Cazares VIA: Greg Humora, City Manager (;fl
SUBJECT: CONSIDERATION OF DIRECTING STAFF TO IMPLEMENT
DOWNTOWN VILLAGE PARKING MODIFICATIONS
I am requesting that the City direct staff to assess the viability and implementation of the following low-cost, minimal-infrastructure improvements to provide immediate parking relief on the east side of Spring Street in Downtown La Mesa with a report back to the City Council within 60 days:
1. Reduce the red curb on Allison Ave just west of Coin Haus (8361 Allison Ave) to increase metered spaces.
2. Convert the loading zone in front of Turpin and Rattan (4719 Palm Ave) - approximately 50' of unnecessary white curb - to standard metered parking.
3. Relocate the five La Mesa metal bike sculpture racks from La Mesa Boulevard to adjacent sidewalks, positioned at sidewalk edges to maintain clear pedestrian flow. The vacated areas would be restriped as dedicated golf cart parking.
4. Remove the trees behind Pete's Place (frontage at 8330 La Mesa Blvd), then grade, pave, and stripe the approximately 1,700 sq ft of space for an estimated five to six additional parking spaces. To retain the same number of trees in La Mesa, we could plant five trees elsewhere.
5. Paint parking T's on all Downtown streets within the boundaries of Allison Ave (north), Spring Street (west), 4th Street (east), and Fresno Ave (south). The number of spaces gained is unknown but anticipated to be substantial. This would replace the one-house-at-a-time opt-in system we have now.