City of Moreno Valley Objectives and Policies 1 | Page
City of Moreno Valley
Community Development Block Grant (CDBG),
HOME Investment Partnerships Program (HOME) &
Emergency Service Grant (ESG)
Objectives and Policies
PY 2026-2027
The City of Moreno Valley (“City”) has established the following Objectives and Policies to give maximum priority to projects and activities that will benefit low-to-moderate income residents. Proposed programs for the upcoming year should fit into one of the categories of Program Objectives.
Staff will abide by the given policies when reviewing proposed programs for potential funding.
COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)
CDBG National Objectives
For an activity or program to be eligible for Community Development Block Grant (CDBG) funding, it must qualify as meeting one or more of the following three national objectives as well as one of the identified General Program Objectives.
1) Activities Benefiting Low - and Moderate-income Persons and/or Households :
A low-to-moderate income person or household is one having an income equal to or less than the low-income limits established by the U.S. Department of Housing and Urban Development (HUD). This objective includes direct services to the low- to-moderate income beneficiaries , services benefiting a low -income area or ‘limited clientele ,’ and designated groups presumed by HUD to automatically qualify as low-to-moderate income.
2) Activities Which Aid in the Prevention or Elimination of Slums or Blight :
This objective can be achieved on a spot basis, area basis, or address blight in a designated urban renewal area.
3) Activities Designed to Meet Community Development Needs Having a Particular Urgency: This objective is given priority under formally declared state of emergency and is normally used to alleviate urgent conditions caused by major catastrophes, natural disasters, or other emergencies that present a serious and immediate threat to the health and welfare of the community.
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CDBG City Objectives
Listed below are the City’s general CDBG funding objectives. The objectives are listed in alphabetical order.
• Capital Improvement Activities
Acquisition, design, construction, rehabilitation, improvements, and installation of needed public facilities and improvements located in CDBG income eligible Census Tracts (“Target Areas”) within the City where infrastructure is missing or substandard. Public facilities and improvements may include the Americans with Disabilities Act (ADA) compliant ramps and sidewalk improvements, storm drains, and water and sewer lines. Improvements shall facilitate pedestrian activity, eliminate flooding, and provide for safer streets within the Target Areas.
• Economic Development Activities
Expanded economic opportunities through micro- enterprise loan programs and counseling as well as employment and job skills programs to create and retain jobs for low-and-moderate income persons.
• Fair Housing Activities
The promotion of housing choice and support of state and federal fair housing laws to ensure that all residents have access to a decent home in a suitable living environment in the City. Fair Housing activities are met by promoting and furthering housing opportunities through education, counseling, enforcement, and training.
This objective also includes the prevention of foreclosure through counseling, mediation, and case management for homeowners facing mortgage delinquency, default, or any stage of foreclosure, thereby maintaining safe, stable neighborhoods and communit ies.
• Health, Safety, and Public Welfare
Eliminating conditions that are detrimental to health, safety, and public welfare through interim rehabilitation, community policing, abused child advocacy services, etc.
• Historic Preservation
Restoring and preserving properties formally designated as historic structures.
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• Housing and Neighborhood Improvement Activities
Conserving and improving housing stock through rehabilitation of units occupied by low-and-moderate income households. Activities are designed to: (1) improve existing substandard or deteriorated housing stock that does not meet building, safety, or fire code and (2) achieve the goals identified in the City’s Consolidated Plan.
• Public Service Activities
Improving the quantity and quality of public services, principally for low -and- moderate income persons, including the homeless, elderly, and disabled.
The following services are identified by order of priority :
(1) Fair Housing Activities
(2) ‘Basic Needs’ Related Social Services Programs such as, but not limited to, emergency food and shelter (homelessness), abused children advocacy
(3) Programs offering Low -Cost Transportation
(4) Free/Low-Cost programs for School -Aged Youth
(5) Community Public Safety Programs
(6) Employment Services/Programs and Job (Skills) Training
• Slum or Blight Activities
Elimination of slums and blight to prevent the deterioration of City neighborhoods, principally in the CDBG Target Areas.
• Planning and Administration
Overall program management, coordination, monitoring, and evaluation of projects funded with CDBG funds.
EMERGENCY SOLUTION GRANT (ESG)
ESG Objectives & Components
Emergency Solutions Grant ( ESG) activities must qualify as meeting a component that will assist, protect, and improve living conditions for the homeless. Eligible ESG components include:
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1) Street Outreach: Meet the immediate needs of unsheltered homeless people by connecting them with emergency shelter, housing, and/or critical health services. 2) E mergency Shelter: Increase the quantity and quality of temporary shelters provided to homeless people, through the renovation of existing shelters or conversion of buildings to shelters, paying for the operating costs of shelters, and/or providing essential services.
3) R
apid Re- Housing: Move homeless people quickly to permanent housing through housing relocation and stabilization services and short- and/or medium-term rental assistance.
4) H omelessness Prevention: Prevent an individual or family from moving into an emergency shelter or living in a public or private place not meant for hum ans through housing relocation and stabilization services and short - and/or medium - term rental assistance.
5) H omeless Management Information System (HMIS): F und ESG recipients’ and subrecipients’ participation in the HMIS collection and analysis of data on individuals and families who are homeless and at -risk of homelessness.
ESG Match Requirements
Federal regulations require a 100% match for the ESG program. The City shall require the subrecipient to be responsible for the full match. The match may be met with a combination of cash or in-kind services. Additionally, HUD regulations allow for the match to come from other grant sources.
Proof of 100% match is required prior to a notice to proceed and the execution of a contract with the City. Initial documentation of proof of match shall be provided with the application for evaluation. Final verifiable third -party documentation providing proof of award and availability of funds shall be provided before entering into an agreement with the City. If proof of award cannot be provided, then any award of ESG funds will be adjusted as necessary based on the available verified match.
ESG City Objectives
Listed below are the City’s general ESG funding objectives. The objectives are listed in alphabetical order.
• Homelessness/Homeless Prevention Activities
Improve the quality of life for the City’s homeless and those threatened with homelessness by extending emergency services aimed at assisting, protecting, and improving the living conditions and ultimately stabilizing the housing situation of those individual(s).
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• Planning and Administration
Overall program management, coordination, monitoring, and evaluation of projects funded with ESG funds.
HOME INVESTMENT PARTNERSHIPS (HOME)
HOME Objectives
HOME Investment Partnerships (HOME) funds are to develop and support the supply of affordable rental housing and homeownership affordability through acquisition, new construction, reconstruction, or rehabilitation of non -luxury housing (including manufactured housing). Eligible activities include:
• Acquisition of vacant land or demolition must be undertaken only with respect to a particular housing project intended to provide affordable housing. • Conversion of an existing structure to affordable housing is rehabilitation, unless the conversion entails adding one or more units beyond the existing walls, in which case, the project is new construction for purposes of this part.
HOME City Objectives
Listed below are the City’s general HOME funding objectives. The objectives are listed in alphabetical order.
• Housing and Neighborhood Improvement Activities
Conserving and improving housing stock through rehabilitation of units occupied by low-and-moderate income households. Activities are designed to: (1) improve existing substandard or deteriorated housing stock that does not meet building, safety, or fire code and (2) achieve the goals identified in the City’s Consolidated Plan.
• Planning and Administration
Overall program management, coordination, monitoring, and evaluation of projects funded with HOME funds.
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To meet the objectives and ensure efficient use of CDBG, HOME, and ESG funds, the following policies have been established.
City Projects and Programs
Certain public improvements, such as storm drains, curb, gutter, and sidewalks that provide long- term benefits to improve low -and-moderate income CDBG Target Areas may at the Council’s discretion be given priority. Additional examples of these City sponsored programs include Community Policing and Neighborhood Clean -ups.
Provider Collaboration
Providers (local applicants ) that intend to provide similar services and programs to Moreno Valley’s low-and moderate-income residents shall be given funding priority for combining resources and efforts into a single program. Providers should complete and submit a single CDBG, ESG and/or HOME application on behalf of the collaborating group. Funding priority would be given at the time of the application review based on critical factors such as goals , service area, and persons benefited that align with City objectives and priorities, prior accomplishments with similar grant programs for the City, completeness of the application, organizational and technical competence, etc.
Local Services
Providers that are in or near the City of Moreno Valley will be given funding priority when they are providing services equivalent to those offered by providers located outside the City.
The goal is to have services available and accessible within the City limits to serve all residents, especially those of low -and-moderate income. Prior to final selection of projects, other factors such as record of accomplishments and experience may also be considered.
Minimum Grant Level
A minimum grant level of $15,000 for CDBG, $25,000 for HOME, and $50,000 for ESG (excluding Homelessness Management Information Systems) has been established for the purpose of ensuring the most efficient use of these funds.
Project and Program Funding
FUNDING POLICIES
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Pre-existing Projects and Programs having other funding sources will be given priority. Grant funding is intended to supplement a project or a program and not be its full and only funding source.
Federal funding varies from year to year, as do the needs of the community. Therefore, it is important for a project or program to sustain itself should City funding not be available.
Such an approach will also provide for the maximum leveraging and impact.
Minimal Applicant Requirements
To ensure that applicants are sufficiently qualified to administer an activity in accordance with federal statutes and regulations, minimum application requirements have been established. These requirements will be provided within the Application for Fundi ng for the specific program to which the applicant is applying. All requirements are designed to be reasonable and fully compliant with HUD regulations and recognized best practices.
Multi-Year Agreements
The City shall execute a standard subrecipient agreement and offer the possibility of multi-year agreements when deemed reasonable. Extensions will be issued only in instances where funding and time restrictions allow .
Program Costs
The City must ensure that all costs charged to the grants are allowable, allocable, and reasonable for the proper performance and administration of the award. Direct and indirect project costs should be reasonable relative to the total costs of the project/program. An approved indirect cost rate must be provided for prior approval to recover indirect costs.