City Council Meeting
April 16, 2024
Agenda Item 16.2
Public Hearing:
2024-2025 HUD
Annual Action Plan
BACKGROUND
As a HUD Entitlement Community, the City of Stockton is a recipient of:
Community Development Block Grant (CDBG)
Emergency Solutions Grant (ESG)
HOME Investment Partnerships Program (HOME)
Consolidated Plan
(Con Plan) Annual Action Plan (AAP)
Consolidated Annual
Performance Evaluation Report
(CAPER)
• Describes & Prioritizes
Community Needs.
• Identifies and outlines
resources to meet Community
Needs.
• Provides the City a “Strategic”
plan for HUD grant funding.
• Serves as the City’s
application for HUD’s formula
block grant programs.
• Allocates fiscal year funds for
specific projects to address
Needs identified in the Con
Plan.
• Submitted annually to HUD by
May 15.
• Reports to the public and
HUD/Congress of the
accomplishments of activities
identified in the AAP .
• Helps measure 5-year Con
Plan performance.
2020-2024 CONSOLIDATED PLAN GOALS
Provide housing and supportive services for the City’s homeless populations.
Preserve, improve, and expand the supply of decent affordable housing for lower-income households.
Promote economic development activities that create, attract, and retain jobs and promote economic activity and vitality.
Ensure the provision of high-quality public services to support ongoing community development.
1 2
3 4
HUD PROGRAMS
Program
Source
Community Development
Block Grant (CDBG)
Home Investment Partnerships
Program (HOME)
Emergency Solutions Grants
(ESG)
Eligible Uses Low/Moderate-Income Persons Affordable Housing Homeless Persons/Families Property Acquisition (housing)
Property Rehabilitation New Housing Construction Street Outreach Public Facilities/Infrastructure
Improvements (low/mod areas)
Conversion/Housing
Rehabilitation Emergency Shelter
Public Services programs/
Fair Housing activities
Subsidies for New & Existing
Housing
Homeless Prevention/
Rapid Rehousing
Special Economic Development
Activities
Homeless Management
Information System (HMIS)
CPP SCHEDULE OF EVENTS
December 13, 2023 NOFA Schedule is Released
January 9, 2024 Mandatory Application Workshop
Application is released
February 2, 2024 Applications due (24-Day application period) February 21, 2024 CDC Meeting
(CDBG/ESG applicant presentations and scoring)
March 15, 2024 AAP Public Comment Period Begins
Distributed Draft Action Plan
March 20, 2024 Annual Action Plan Community Meeting
April 16, 2024 Council Public Hearing: 2024/25 Action Plan (including funding recommendations)
Submit AAP to HUD
COMMUNITY OUTREACH
2024-2025 AAP SOURCES
Source of Funds CDBG ESG HOME
Estimated New Entitlement $3,220,474 $275,046 $1,760,707 Program Income $150,000 $200,000
Prior Years Program Income $1,194,493 $595,104
Reprogrammed Funds $420,441
Prior Year Reprogrammed Funds $462,500
Total Sources $5,447,908 $275,046 $2,555,811
2024-2025 (YEAR 5 OF 5)
ESTIMATED ALLOCATIONS
CDBG ESG HOME
$3,220,474 $275,046 $1,760,707
NOTE: 2024-2025 expected allocations are estimates based on previous year’s allocations.
Official allocations not yet released by HUD.
Final award amounts and distribution among projects/activities identified in this AAP and sources and uses will be proportionately increased or decreased upon HUD’s official announcement of FY 2024-2025 allocations.
2024-2025 AAP USES
Use of Funds CDBG ESG HOME
Program Administration $644,095 $20,628 $287,000
Program Delivery $350,000 $150,000
Housing Loan Program $2,283,813
Housing Rehab Program $750,000
Public Services $470,000 $254,418
Economic Development $950,000
Loan Fund $1,854,705
CHDO Set Aside $264,106
Total Sources $5,447,908 $275,046 $2,555,811
Consolidated
Plan Goals
Funding and
Funding Source Activities Funded Activity Goals
Housing and
Services for the
Homeless
ESG: $254,418
• Homeless Prevention
• Emergency Shelter
• Homelessness Prevention Assisted:
44 Persons
• Emergency Shelter Assisted: 43 Persons
Affordable
Housing
CDBG: $3,033,813
HOME: $2,268,811
• Homeowner Housing Rehabilitation
• Affordable Housing Construction
a
nd Rehabilitation
• Homeowner Housing Rehabilitated: 5
Households
• Rental units constructed: TBD
• Rental Units Rehabilitated: TBD
Support
Economic
Development
CDBG: $950,000
• Commercial Rehabilitation
Programs
• Business Support Programs
• Stockton Entrepreneurship Program
• Facade treatment/ business building
rehabilitation: 5
• Businesses assisted: 15
Public Services CDBG: $470,000
• Food Assistance
• Transition Aged Youth Programming
• Fair Housing
• Public service activities for Low/Moderate
Income Benefit: 115,085 Persons
Assisted
AFFORDABLE HOUSING (CDBG AND HOME)
Homeowner Housing Rehabilitation
• CDBG Funding: $750,000
• Projected Goal: Rehabilitate 7 homes for low-i ncome families Affordable Housing
• CDBG Funding: $2,283,813
• HOME Funding: $2,268,811
• Projected Goals: Rehabilitate and Construct affordable housing uni
ts. Number of Units: TBD
SUPPORT ECONOMIC DEVELOPMENT (CDBG)
AFTER
BEFORE Commercial Rehabilitation Programs
• CDBG Funding: $450,000
• Projected Goal:5 businesses
I
mprove and rehabilitate the
façades
Business Support Programs
• CDBG Funding: $250,000
• Projected Goal: 3
S
tockton Entrepreneurship Program
• CDBG Funding: $250,000
• Projected Goal: 12
CDBG PUBLIC SERVICES
Food Assistance
• CDBG Funding: $120,000
• Projected Goal: Provide food to 115,055
l
ow-income residents
Transition Aged Youth Programming
• CDBG Funding: $150,000
• Projected Goal: Provide Transitional Aged
Y
outh Programming to 30 clients
Fair Housing
• CDBG Funding: $200,000
• Projected Goal: Fair Housing Services. # to
be
served TBD (RFP process)
ESG HOMELESS SERVICES
o Estimated Allocation: $275,046
o Direct Services: $254,418
o HUD imposes a 60% cap on emergency shelter and street outreach ac
tivities ($165,026)
o The remaining amount can be distributed among homeless prevention, r
apid rehousing, and HMIS ($89,392)
o Activities Recommended for funding:
• Emergency Shelter: $165,026
Projected Goal: Provide emergency shelter to 43 clients • Homeless Prevention: $89,392
Projected Goal: Provide homeless prevention services to 44 clients
SLUM BLIGHT AREA
(SBA)
BACKGROUND
• HUD authorizes the use of CDBG funds for activities
t
hat meet one of three national objectives, one of which i
s "Aid in the prevention or elimination of slums of
blight".
• One of the categories to qualify activities under this nat
ional objective is "Prevent or eliminate slums or
bl
ight on an area basis".
BACKGROUND
• The area must be delineated by the jurisdiction.
• The activities using this national objective must address one or more
of the conditions which contributed to the
det
erioration of the area.
• The area must be redetermined every 10 years.
STOCKTON SBA MAP
RECOMMENDATIONS
It is recommended that the City Council adopt a resolution:
1. Approving the FY 2024-2025 Annual Action Plan and the estimated Sources and Uses of Funds for the Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME), and Emergency Solutions Grant program (ESG) awarded by the U.S.
Housing and Urban Development Department (HUD); and
2. Authorizing the City Manager, or designee, to make the appropriate adjustments to the FY 2024-2025 Annual Action Plan and Sources and Uses and for the CDBG, ESG, and HOME programs upon HUD’s publication of the official 2024-2025 CDBG, ESG, and HOME grant awards to the City of Stockton; and
3. Approving a Slum Blight Area (SBA) map developed by RSG, Inc. pursuant to the CDBG regulations at 24 CFR 570.208(b)(1) to allow the use of CDBG funds for SBA National Objective related activities; and
4. Authorizing the City Manager, or designee, to execute and submit all documents to the U.S.
Department of Housing and Urban Development, execute contracts with sub-recipients, and to take actions necessary and appropriate to carry out the purpose and intent of the resolution.