' 12/03/2024
Council and
Authorities
Concurrent Meeting
Item 7: Action on
Recommendations from the
Governance and Ethics
Committee to Amend Council
Policy 049 ("Community
Grant Policy")
December 3, 2024
Background
2 POS MEETING MATERIAL
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Community Grant Policy
• On September 18, 2018, City Council adopted a resolution approving the Community Grant Policy
- Created a standardized process for the City's Community Grant Program - Applications are received, reviewed, and approved by the City Manager's Office • Community Grant Program
- Applicants can apply for a grant up to $10,000 per fiscal year for events, activities, and competitions that provide a public benefit to the City and its residents
- Two grant categories:
1. Community Events/ Activities
2. Santa Clara youth participation upon advancement to state, national, or international championships, competitions, and performances (Youth Competitions/Performances) 3
Community Grant Program
• Since its launch in October 2018, the
Community Grant Program has supported
a variety of events/activities:
- Funruns
- Social impact summits
- Carshows
- Cultural events
- Pageants
- Youth events
- Fundraisers
- Community discussions
- Youth Competition/Performances including
football, baseball, softball, robotics, and recitals
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2022 Policy Modifications
• On May 24, 2022, City Council approved modifications to the Community Grant Policy that:
- Defined allowable expenses and limited the amount of grant funds for food and beverage expenses to 15% of the total grant amount
- Required grant recipients to return unspent grant funds - Restricted the location of Community Events/ Activities to Santa Clara - Limited advance submittal of applications to six months before a Community Event/ Activity
- Limited eligibility to competitive applicants
- Provided the City the ability to audit
- Allowed the City to evaluate a prior event or activity's success and ability to meet requirements when considering reoccurring applications 5 Additional Policy Amendments
• Process of identifying further updates to the Policy
began in Spring 2023
• Proposed amendments aim to further streamline the
grant process by:
- Restructuring the Policy to separate the eligibility
criteria and procedures for the two grant categories
- Requiring applicants to demonstrate a financial
need for grant funding
- Enhancing eligibility requirements
- Expanding eligible types of events and activities
- Expanding eligible expenses
- Defining ineligible expenses
- Promoting accountability and increasing
protections for the City
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Governance and Ethics
Committee Feedback
• On July 2, 2024, the Governance and Ethics Committee approved staff's recommended updates to the Community Grant Policy with additional considerations:
- Consider term limits for suspension based on the severity of the infraction as well as organizational change by which the infraction occurred
- Require grantees to submit a 500-word post-event description of how the event went to be posted on the City's website
- Increase the maximum grant amount annually to account for inflation - Carryover remaining balances of unused Community Grant funds to following fiscal years - Reserve a portion of funds for later in the year for Youth Competitions/Performances • The amended Policy incorporates much of the Governance and Ethics Committees' feedback and additional clarifying edits proposed by staff.
Proposed Amendments
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Enhanced Eligibility Requirements and Criteria
Current Policy
Supports one-time Community Events/Activities
Is silent on applicants' demonstration of financial
need
Includes Community Grant Application as an
attachment
Proposed Amendments
Expand eligible Community Events/Activities to
include community projects and programs to
promote creativity and increase community
engagement and benefits to Santa Clara
Require applicants to demonstrate a financial need
for grant funding to promote altruism, inclusivity,
and effective use of grant funds
Remove the Community Grant Application as an
attachment from the Policy to allow for future
administrative updates as needed. This change
was proposed after the Governance and Ethic
Committee's review.
Enhanced Eligibility Requirements and Criteria (Cont.)
Current Policy Proposed Amendments
Requires applicants to demonstrate how the
Community Event/Activity being funded aligns with
established Council Goals
Require applicants to demonstrate how the Community
Event/Activity and Youth Competition/Performance aligns with one of the following grant focus areas:
1. Santa Clara Youth: Community Events/Activities and
Youth Competitions/Performances that positively
impact Santa Clara youth
2. Community Service: Community Events/Activities
and Youth Competitions/Performances that directly
improve the quality of life for Santa Clara residents
3. Santa Clara Identity/Culture/Representation/Equity:
Community Events/Activities and Youth
Competitions/Performances that celebrate and
promote Santa Clara arts, history, sports, education,
organizations and individuals, and other efforts that
make the City of Santa Clara a great place to live,
work, and visit
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Enhanced Eligibility Requirements and Criteria (Cont.)
Current Policy
Requires that grant funds are not used for religious
or political purposes
Lists a few eligible expenses for Community
Events/Activities (e.g., City permits, fees, and
services, venue, food and beverage, trash/recycling,
and stage/tent rentals)
Is silent on ineligible expenses for Community
Events/Activities
Proposed Amendments
Include clearer definitions of political and religious
purposes to be consistent with state and federal
laws
Expand eligible expenses to include additional
event-specific rental expenses, event insurance,
event-related supplies for one-time use, marketing
costs, and other permits, fees, and services from
other public agencies to further support Community
Events/Activities. Minor edits proposed after the
Governance and Ethic Committee's review.
Define ineligible expenses to include gifts, giveaway
items, and programmatic expenses to provide clarity
to applicants. Minor edits proposed after the
Governance and Ethic Committee's review.
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Promote Accountability/Increase Protections for City
Current Policy j Proposed Amendments
Is silent on prohibited uses of grant funds and does not provide guidance to address policy violations. However, grant recipients are provided a copy of their approved grant application and corresponding grant approval letter that clearly state grant requirements during the grant process.
Outline clear instructions on how grant funds can be spent and what needs to be submitted to the City for auditing.
Communicate that policy violations, such as misuse of grant funds, failure to provide required post-event documentation or follow the terms outlined in the Policy and the approved application, and/or material changes to the approved
event/activity without prior City approval, may result in a grant recipient returning grant funds in part or in full and impact their future eligibility to apply for the Community Grant Program.
Provide grant recipients that are ineligible to apply due to prior incompliance the opportunity to apply again one year after resolution of outstanding issues. Proposed
amendment addresses the Governance and Ethics
Committee's request for suspension tenn limits.
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Post Event Requirements for Grant Recipients
Current Policy I Proposed Amendments
Requires Community Events/Activities grant
recipients to submit proof that the grant funds have
been spent in the manner and for the purposes
stated on the application within 30 days after the
event/activity.
Requires Youth Competitions/Performances grant
recipients to submit proof of all allowable expenses
actually incurred, as well as allocation of grant funds within 30 days after competition.
Within 30 days upon the conclusion of the
Community Event/Activity or Youth
Competition/Performance, grant recipients must
submit the following :
• Receipts and invoices that verify grant funds were
spent as approved
• Identification of any unspent grant funds
• Attendance numbers
• A community impact statement (up to 500 words)
describing the success of the event. Proposed
amendment addresses the Governance and
Ethics Committee's request for an event
description to be posted on the City website
• Fundraising actuals, if applicable
Additional Feedback from
Governance and Ethics Committee
Considerations Current Policy/Process Staff Recommendations Carryover remaining balance of
unused grant funds in the
Community Grant Program budget
to following fiscal years
Council approves funds for the Community
Grant Program as part of the budget
approval process . $196,408 has been
budgeted in FY 2024/25 to administer
through the Community Grant Program,
including $100,000 in grant funds from the
49ers Grant Commitment
Community Grant Program budget has not
been fully expended in the past. Since FY
2021/22, an average of $52,000 has been
awarded annually in Community Grants,
leaving on average, a remainder of
$38,000 in the Community Grant Program
budget per fiscal year that is absorbed
back in the City's General Fund
Consistent with City practices, bring
forward any potential carryovers of
unspent Community Grant Program
funds as part of the adopted budget or
budgetary year end process for Council
consideration . It should be noted that all
49ers Grant Commitment funds for the
Community Grant Program must be used
for such purpose and must be distributed
by the City in the corresponding fiscal
year.
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Additional Feedback from
Governance and Ethics Committee (Cont.)
Considerations
Increase maximum grant amount
annually to account for inflation
Reserve a portion of funds for later
in the year for Youth
Competitions/Performances
Current Policy/Process Staff Recommendations
Policy sets a maximum grant amount of Revisit this consideration in the future to $10,000 per applicant, per fiscal year increase the maximum grant amount to account for inflation, if needed
Grant amounts have ranged from $900
- $10,000 for an average grant amount
of $8, 715 per approved applicant from
FY 2021/22 through FY 2023/24
Policy states that applications will
be evaluated on a case-by-case and
"first come-first served" basis
throughout the fiscal year
Community Grant Program budget has
not been fully expended in the past
Revisit this consideration in the future if
the program budget is exhausted before
youth groups have a chance to apply
49ers Grant Commitment
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49ers Grant Commitment
• As part of the 10-year Naming Rights extension between Stadium Authority and Strauss & Co.'s, the 49ers committed to providing $200,000 annually over 20 years for grants to non-profits or community projects serving the Santa Clara community ("49ers Grant Commitment").
• On June 4, 2024, the City Council approved an Initial Grant Funding Agreement with the 49ers that directed $50,000 annually to the Community Grant Program during the initial 3 years of the 20-year commitment.
• Per the Initial Grant Funding Agreement, City staff determines grant recipients in accordance with the City's Community Grant Program guidelines, after consultations with the 49ers or its designee. The City retains ultimate approval authority over how the 49ers Grant Commitment funds are awarded. • Staff plans to prioritize use of the 49ers Grant Commitment grant funds when awarding grants through the Community Grant Program. 11 49ers Grant Commitment (Cont.)
• The 49ers Grant Commitment has been incorporated into a larger initiative called "49ers Cares" which focuses on community benefits specific to Santa Clara.
• The 49ers requested the City to consider acknowledgement that a Community Grant is funded by 49ers Cares, when applicable, through available channels in the normal Community Grant Program process.
• Staff recommends including language in the grant approval letter acknowledging, when applicable, that the grant was funded by the "49ers Grant Commitment" to remain consistent with the Initial Grant Funding Agreement. • Should Council approve the Governance and Ethics Committee's recommendation to include post-event descriptions on the City's website, staff will also indicate those that are funded by the 49ers Grant Commitment. 18 Item #7
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Council Action
Alternatives
1. Approve staff's recommendation; or
2. Any other City Council direction regarding amendments to the Community Grant Policy.
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Recommendation
• Adopt a resolution approving amendments to Council Policy 049 ("Community Grant Policy") that enhance grant eligibility requirements and criteria, promote accountability /increased protections for the City, and expand post event requirements for grant recipients.
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