HomeMy WebLinkAboutReso 47-2020 (20-258)Cityof South San Francisco
P.O. Box 711 (City Hall,
• 400 Grand Avenue)
South San Francisco, CA
f City Council
' Resolution: RES 47-2020
File Number: 20-258 Enactment Number: RES 47-2020
RESOLUTION APPROVING AMENDMENTS TO THE CITY' S
COMMUNITY DEVELOPMENT BLOCK GRANT 2018-2023
CONSOLIDATED PLAN AND FISCAL YEAR 2019-2020
ANNUAL ACTION PLAN TO REPROGRAM FUNDS FOR
ECONOMIC DEVELOPMENT ACTIVITIES TO SUPPORT
BUSINESSES IMPACTED BY COVID-19, AND AUTHORIZE A
BUDGET TRANSFER TO INCORPORATE THE CARES ACT
FUNDS INTO THE FISCAL YEAR 2019-2020 CDBG OPERATING
BUDGET.
WHEREAS, the U.S. Department of Housing and Urban Development (HUD) requires all entitlement
communities receiving Community Development Block Grant (CDBG) funds, such as the City of South
San Francisco, to prepare and submit a Consolidated Plan every five years to establish a unified,
strategic vision for economic development, housing and community development actions; and
WHEREAS, the Consolidated Plan encompasses the analysis of local community needs and coordinates
appropriate responses to those needs and priorities. The City of South San Francisco adopted the
2018-2023 Five Year Consolidated Plan (Consolidated Plan) on March 14, 2018; and
WHEREAS, the Consolidated Plan is carried out through Annual Action Plans which provide a concise
summary of the actions, activities, and the specific federal and non-federal resources that will be used
each year to address the priority needs and specific goals identified in the Consolidated Plan; and
WHEREAS, the City must submit an Annual Action Plan to HUD by no later than May 15th of each
year during the five-year period (unless otherwise specified by HUD); and
WHEREAS, the City adopted the Fiscal Year 2019-2020 Annual Action Plan (Action Plan) on April 24,
2019 and submitted the document to HUD before the required deadline; and
WHEREAS, as stated in the City's Citizen Participation Plan, the City shall amend the Consolidated
Plan and Annual Action Plan anytime there is a change of CDBG funding of more than $50,000 from
one eligible activity to another or to fund a new activity not previously identified in the Annual Action
Plan or Consolidated Plan; and
WHEREAS, the public will be notified whenever there is a substantial amendment; and
WHEREAS, a substantial amendment is to make a change in its allocation priorities or a change in the
method of distribution of funds, or to change the purpose, scope, location, or beneficiaries of an activity;
City of South San Francisco Page 1
File Number: 20-258
Enactment Number: RES 47-2020
WHEREAS, the 2018-2023 Consolidated Plan and 2019-2020 did not identify Economic Development
as a key need in the plans; and
WHEREAS, to support local businesses during this time, the City proposes to amend the 2018-2023
Consolidated Plan and 2019-2020 Action Plan to add Assistance to Businesses, including Special
Economic Development Assistance as an eligible activity; and
WHEREAS, HUD has granted the City's request to waive the citizen participation public comment
period for the Consolidated Plan Amendment and the citizen participation reasonable notice and
opportunity to comment requirements, which will allow the City to act quickly to serve the communities
impacted by COVID-19; and
WHEREAS, the City has received funding for Coronavirus Relief pursuant to the CARES Act and the
City would need to authorize a budget transfer to incorporate the CARES Act Funds into the 2019-20
operating budget; and
WHEREAS, the City Council held a duly noticed public hearing on April 22, 2020 to receive public
testimony and comments pertaining to amending the Consolidated Plan and Annual Action Plan to
reprogram funds to economic development activities; and
NOW, THEREFORE, BE IT RESOVED by the City Council of the City of South San Francisco that the
City Council hereby:
1. Approves the Amendments to the 2018-2023 Consolidated Plan and the Fiscal Year 2019-
2020 Annual Action Plan, attached to this Resolution as Attachment 1.
2. Authorizes a budget transfer to incorporate the CARES Act Funds into the Fiscal Year 2019-
2020 CDBG operating budget.
At a meeting of the City Council on 4/22/2020, a motion was made by Vice Mayor Addiego, seconded by
Councilmember Nicolas, that this Resolution be approved. The motion passed.
Yes: 5 Mayor Garbarino, Vice Mayor Addiego, Councilmember Nagales, Councilmember
Nicolas, and Councilmember Matsumoto
Attest by 404 zeaook� a..., -Is
iosa Govea Acosta, City Clerk
City of South San Francisco Page 2
CITY OF SOUTH SAN FRANCISCO
CONSOLIDATED PLAN 2018-2023
2019–2020 ANNUAL ACTION PLAN
SUBSTANTIAL AMENDMENT
Introduction
Each year the US Department of Housing and Urban Development (HUD) provides funding for
housing and community development programs to the City of South San Francisco , specifically
Community Development Block Grant (CDBG) funds. To receive these funds, the City must
complete a report every five years called the Consolidated Plan.
The purpose of the Consolidated Plan is to identify South San Francisco’s housing and community
development needs, priorities, goals, and strategies and to stipulate how funds will be allocated to
housing and community development activities over the period of the Consolidated Plan.
As stated in the City’s Citizen Participation plan, t he City shall amend the Consolidated Plan and
Annual Action Plan anytime there is a change of CDBG funding of more than $50,000 from one
eligible activity to another, or to fund a new activity not previously identified in the Annual Action
Plan or Consolidated Plan. The public will be notified whenever there is a substantial amendment.
A substantial amendment is classified as follows:
• To make a change in its allocation priorities or a change in the method of distribution of
funds;
• To change the purpose, scope, location, or beneficiaries of an activity.
Proposed Amendment to the 2018 – 2023 Consolidated Plan
In response to the current coronavirus disease 2019 (COVID-19) pandemic, the HUD has allowed
Entitlement Jurisdictions to use CDBG funds for a range of eligible activities that prevent and
respond to the spread of infectious diseases such as COVID-19.
The COVID-19 pandemic has adversely affected businesses and residents in the City of South San
Francisco. As a response to the growing need for economic development assistance, the City of
South San Francisco has developed a program to provide the funding to address the current crisis.
As part of the Coronavirus Relief Bill (CARES Act), additional funding is also anticipated in the
current fiscal year to aid those affected by COVID-19. The City has also identified CDBG funds
that may be allocated to programs to assist with a COVID-19 response.
To implement these programs and to comply with HUD requirements for distribution and use of
funds, the City must make substantial amendments to existing plans:
• 2018-2023 Consolidated Plan; and
• 2019 Annual Action Plan
As identified in the City’s Citizen Participation Plan, changes in priorities or goals occur, an
amendment is required.
In addition to the goals specified in the Consolidated Plan, the City would include an Economic
Development goal to provide the economic development assistance to businesses within the City.
SP-45 Goals - 91.415, 91.215(a)(4)
Goals Summary Information
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome
Indicator
1 Increase, Maintain,
& Improve
Affordable
Housing
2018 2022 Affordable
Housing
CDBG
Services Area
Affordable
Housing
CDBG:
$731,740
Homeowner Housing
Rehabilitated:
125 Household Housing
Unit
2 Preserve and
Improve Public
Facilities
2018 2022 Non-Housing
Community
Development
SSF
Downtown
Tracts 6021,
6022
CDBG Target
Area
Public Facilities
and Infrastructure
Improvements
CDBG:
$731,741
Other:
6 Other
3 Provide Public
Services to
Improve Quality of
Life
2018 2022 Non-Housing
Community
Development
CDBG
Services Area
Public Services CDBG:
$270,181
Public Facility or
Infrastructure Activities
other than
Low/Moderate Income
Housing Benefit:
3500 Persons Assisted
4 Support Service-
Enriched Homeless
Shelters
2018 2022 Homeless CDBG
Services Area
Homeless
Services and
Housing
CDBG:
$67,545
Homelessness
Prevention:
250 Persons Assisted
Sort
Order
Goal Name Start
Year
End
Year
Category Geographic
Area
Needs Addressed Funding Goal Outcome
Indicator
5 Planning and
Administration
2018 2022 Planning and
Admin
SSF
Downtown
Tracts 6021,
6022
CDBG Target
Area
CDBG
Services Area
Public Services
Affordable
Housing
Homeless
Services and
Housing
Public Facilities
and Infrastructure
Improvements
CDBG:
$450,302
Other:
1 Other
6 Economic
Development
2019 2022 Economic
Development
Citywide Economic
Development
$600,000 10 Small Businesses
Assisted and 10
employees assisted
Proposed Amendment to the 2019 – 2020 Action Plan
As mentioned above, the City has decided to reallocate some of its available dollars to an economic
development assistance program. As part of the Coronavirus Relief Bill (CARES Act), additional
funding is also anticipated in the current fiscal year to aid those affected by COVID-19. Funds
from the CAR ES Act would be dedicated to public service programs impacted by COVID-19 and
economic development assistance program to assist businesses. The City proposes to use funds
from housing rehabilitation program and emergency home repair voucher activities in addition to
program income funds.
CDBG Proposed Revisions are listed in the table below:
SPENDING LIMITS FOR CDBG FUNDS
PUBLIC SERVICES 2019-2020 Proposed
Total Public Services Total 90,600 101,020
CDBG ADMINISTRATION Total Administration Limit 109,376 109,376
Total Administration Limit for CARES Act 58,071
NON-CAPPED CDBG FUNDS
CAPITAL IMPROVEMENTS/PUBLIC
FACILITIES 2019-2020 Proposed
Capital Improvements Projects 306,000 300,000
MINOR HOME REPAIR PROGRAMS 138,250 138,250
CITY SPONSORED ACTIVITIES Housing Rehabilitation Program 45,000 35,000
Debris Box Vouchers 2,000 2,000
Emergency Home Repairs Vouchers 50,000 0
Total City Sponsored Activities 97,000 45,000
ECONOMIC DEVELOPMENT ASSISTANCE
PROGRAM
Entitlement/Program Income/Uncommitted Funds 200,000
CARES-ACT 230,000
Totals Economic Development Assistance 430,000
A description of the new activities being added to the fiscal year are as follows:
- Economic Development Assistance Program
The Economic Development Assistance Program is designed to assist businesses through the
provision of financial assistance. Financial assistance is in the form of a forgivable no interest
loan that is predicated on the maintenance of jobs for moderate- and low-income persons.
Maximum assistance under the program is $35,000. One permanent full-time equivalent
position for moderate- and low -income persons is required.
Public Comments
The City will incorporate any comments received during the public comment period.