City of Lathrop
Program Allocations for FY 2023/24
City Council Regular Meeting
February 13, 2023
Item 5.1
Community Development Block Grant (CDBG)
Home Investment Partnership (HOME)
• Review Federal CDBG and HOME
Program guidelines
• Accept County’s Funding Allocation
for the City of Lathrop
• Approve Recommended Funding
Allocation for Fiscal Year 2023/24
OVERVIEW
CDBG & HOME Program - General
• Federal Program established in 1974 to provide funding for housing and community development.
• The funds can only be used for specific purposes as outlined below:
Benefit low- and moderate-income persons (LMI)
Prevent or eliminate slum or blight
Address urgent community development needs (Emergency) $92,487 (CDBG)
$33,624 (HOME)
$2.80 mil (CDBG)
$1.28 mil (HOME)
•CDBG
•HOME
CDBG & HOME Program - Allocation
• San Joaquin County administers the programs as the direct entitlement entity. The County allocates funding to the City of Lathrop through an Urban Cooperative Agreement.
• City of Lathrop receives a funding allocation for Community Development Block Grant (CDBG) and HOME Investment Partnership Act (HOME).
• Dollar amounts are estimated based on the County’s final allocations for FY 22/23 award. Final FY 2023/24 amounts are determined by Federal Budget approvals, which will proportionally increase or decrease the estimated funding levels to match the actual allocation amounts.
For FY 2023/24, the County estimates Lathrop’s allocation for CDBG and HOME funds at:
Service
Organizations
• 15% or $13,873 may be allocated to Service Organizations • Eligible Organizations apply/request for funding consideration. • Minimum of $5,000 allocated to Local Agencies*
Capital Facility
Projects
• 85% or $78,614 kept for Public/Capital Facility Projects • City’s eligible projects
CDBG & HOME Allocation – City of Lathrop
CDBG
$92,487
HOME
$33,624
$126,111
A 30-day public notice of funding availability for the programs was published in accordance with HUD regulations. * Local Agencies may be awarded less than $5,000 minimum with prior approval from San Joaquin County.
Public Service Organizations - Applicants
Four multi-entitlement agencies applied through the County:
One Local Organization applied to the City:
Multi-Agency Organizations Amount Requested
San Joaquin Fair Housing $ 1,250.00
Give Every Child a Chance (GECAC) $ 5,800.00
Emergency Food Bank (Mobile Farmers Market) $ 1,919.00
SJC Dept. of Aging (Meals on Wheels) $ 1,000.00
Local Organizations Amount Requested
City of Lathrop – Parks & Recreation Department
(Activity Fee Assistance Program)
$ 5,000.00
$ 13,873.00 Public Service Organizations
Funding Recommendations
LOCAL AGENCY APPLICATION(S) FUNDING
APPLICANT PROGRAM BENEFIT REQUEST RECOMMENDATION
City of Lathrop (PRD) Activity Fee Assistance 25 Residents $5000.00 $3,904.00*
MULTI-ENTITLEMENT AGENCIES
GECAC School Mentoring &
Tutoring Program
445 Children $5,800.00 $5,800.00
San Joaquin Fair Housing Programs, Education &
Assistance
1,995 Residents $1,250.00 $1,250.00
SJC – Department of Aging Meals on Wheels 7 Seniors $1,000.00 $1,000.00 Emergency Food Bank Mobile Farmers Market 989 Residents $1,919.00 $1,919.00 Totals $14,969.00 $13,873.00
* Local Agencies may be awarded less than $5,000 minimum with prior approval from San Joaquin County.
Public/Capital Facility Projects
The City of Lathrop may use up to 15% of its CDBG allocation for Public Service Projects, or the entirety of the funding may be allocated to a Public/Capital Facility Project(s).
One application was received for a Public Facility Grant. Lathrop’s Public Works Department for a City Buildings – ADA Accessibility Improvements project.
Staff recommends allocating 15% of the CDBG funding toward Public Service Agencies.
Staff recommends allocating the remaining 85% of the CDBG funding toward the Public/Capital Facility Project.
Lathrop Public Works Application
City Facilities – ADA Accessibility Improvements
Public/Capital Facility Project
APPLICATION(S) FUNDING
APPLICANT PROGRAM REQUEST RECOMMENDATION
City of Lathrop
Public Works Department
City Public Facilities
ADA Accessibility Improvements $92,487.00 $78,614.00
List of Improvements (FY 2023/24)
$ 25,000 ADA door upgrades Labor & Material per Location (4) $ 4,000 Staff Time
$104,000 Project Subtotal
$ 10,400 10% Contingency
$114,400 Estimated Project Total
$78,614.00
No applications were submitted for the HOME funds.
City Council has the option to allocate all or portion of the HOME funds toward two programs administered by San Joaquin County – Down Payment Assistance (GAP) and/or City of Lathrop Housing Rehabilitation Loan.
Program Utilization and Current funds available:
For FY 2022/23, Staff recommends to allocate $10,000 of HOME funds to the GAP Loan Program and $23,624 to the Lathrop Housing Rehabilitation Loan Program.
HOME Funds Allocation $33,624.00
County Administered HOME Fund Programs FUNDING
PROGRAM Balance Utilization RECOMMENDATION
Down Payment Assistance (GAP)* $ 10,000.00 Zero last 9 yrs. $10,000.00 City of Lathrop Housing Rehabilitation Loan $113,762.00 1 Recipient (Several Pending)
$23,624.00
*Due to the high price of housing, GAP eligible applicants are unable to meet the requirements for this program.
Recommendation:
Staff recommends that the City Council consider the information given at this public hearing and during the staff presentation to adopt a funding recommendation to allocated Fiscal Year 2023/24 CDBG and HOME program funds.
Public Services
$13,873
HOME Funds
$33,624.00
Public/Capital Facilities
$78,614.00