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0 Agenda Report
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September 15, 2026
TO: Honorable Mayor and City Council
THROUGH: Finance Committee
FROM: City Manager's Office
SUBJECT: AUTHORIZE THE CITY MANAGER TO EXECUTE AGREEMENTS TO ACCEPT FEDERAL COMMUNITY PROJECT FUNDING OF $850,000
AND ENTER INTO A SUB-RECIPIENT AGREEMENT WITH PASADENA
CITY COLLEGE TO USE FUNDS FOR A NEW FACILITY FOR JOBS
CREATION TRAINING AND EDUCATION AND AMEND THE CITY
MANAGER'S OFFICE FISCAL YEAR 2027 OPERATING BUDGET
RECOMMENDATION:
It is recommended that the City Council:
1. Find that the action proposed herein is not a "project" subject to the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines Section 21065 and within the meaning of Section 15378(b);
2. Authorize the City Manager to enter into a contract with the U.S. Department of Housing and Urban Development for acceptance of $850,000 in Community Project Funding, and execute any subsequent agreements regarding this grant award;
3. Authorize the City Manager to enter into a sub-recipient agreement, without competitive bidding pursuant to City Charter Section 1002(H), contracts with other governmental entities, with Pasadena City College to use funds for a new facility for jobs creation training and education;
4. Grant the proposed subrecipient agreement an exemption from the Competitive Selection process pursuant to Pasadena Municipal Code Section 4.08.049(B), contracts for which the City's best interests are served; and
5. Amend the City Manager's Office Fiscal Year (FY) 2027 Operating Budget by recognizing revenue and appropriating $850,000 of federal Community Project Funding.
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MEETING OF.09/15/2026AGENDA ITEM NO..7 i
Accept Community Project Funding and Authorize Sub-Recipient Agreement with Pasadena City College September 15, 2026
BACKGROUND:
The City Manager's Office oversees citywide efforts to secure funding for various projects through Congressionally Directed Spending. Congresswoman Judy Chu helped secure FY24 Community Project Funding of $850,000 administered by the U.S.
Department of Housing and Urban Development for a facility for Jobs Creation Training and Education. The new facility will provide alternative pathways of training and education in professional, technical, healthcare, and skilled trades professions and vocations.
The City consulted with our local partners at Pasadena Unified School District, Pasadena City College, and other private entities to assess appropriate sites and locations for this new facility. Pasadena City College was determined to have the ideal location suitable to accommodate a new two-story building up to 55,000 square feet.
The grant funding will be used for soft costs associated with environmental review, design, and other related services leading to construction of the new building. A sub- recipient agreement with Pasadena City College is needed to allow these grant funds to reimburse the costs associated with the new facility on their campus. Pasadena City College will also contribute funding for construction of the new building along with working to secure funding from state sources and private philanthropy.
COUNCIL POLICY CONSIDERATION:
The proposed action is consistent with the City Council's strategic planning goals to support and promote the quality of life and the local economy through a new facility for jobs creation training and education.
ENVIRONMENTAL ANALYSIS:
CEQA excludes from environmental review actions that are not "projects" as defined by CEQA Guidelines Section 21065 and within the meaning of Section 15378(b). Sections 21065 and 15378(b) define a project as an action which may cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. Section 15378 excludes from the definition of "project" organizational or administrative governmental activities that do not result in physical changes to the environment. The actions proposed herein, authorizing the City Manager to execute all grant-related documents, a sub-recipient agreement with Pasadena City College, and amending the operating budget, are administrative governmental activities that does not result in physical changes to the environment, and therefore is not a "project" as defined by CEQA. Since the action is not a project subject to CEQA, no environmental document is required.
Accept Community Project Funding and Authorize Sub-Recipient Agreement with Pasadena City College September 15, 2026
FISCAL IMPACT:
Approval of the recommended action will amend the City Manager's Office FY 2027 Operating Budget by recognizing revenue and appropriating $850,000 in the General Fund (101) fora grant from the U.S. Department of Housing and Urban Development.
Funds will be used for soft costs associated with environmental review, design, and other related services leading to construction of the new building at Pasadena City College.
Respectfully submitted,
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ALEXANDER HERNTANDEZ
Assistant to the City Manager
Approved by:
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MATTHEW E" HAWKESWORTH
Interim City Manager