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HC Resolution No. 18-02 2018-19 CDBG, HSG Programand BMR AHF recommended funding allocationsRESOLUTION NO. 18-02 A RESOLUTION OF THE HOUSING COMMISSION OF THE CITY OF CUPERTINO RECOMMENDING APPROVAL OF THE 2018-19 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG), BELOW MARKET-RATE (BMR) AFFORDABLE HOUSING FUND (AHF), AND GENERAL FUND HUMAN SERVICE GRANTS (HSG) PROGRAM AND RECOMMENDED FUNDING ALLOCATIONS TO CITY COUNCIL FOR FINAL ADOPTION WHEREAS, the Housing and Community Development Act of 1974 provides that funds be made available for the CDBG Program; and WHEREAS, the City of Cupertino wishes to apply for funds as an Entitlement Jurisdiction under said Act; and WHEREAS, the City of Cupertino estimates receiving a $311,943 CDBG entitlement grant from the United States Department of Housing and Urban Development (HUD) to be allocated for fiscal year (FY) 2018-19; and WHEREAS, the City of Cupertino estimates allocating $7,944 in CDBG program income for FY 2018-19; and WHEREAS, the City of Cupertino is required to submit a FY 2018-19 CDBG Annual Action Plan to HUD for review and approval prior to being allowed to expend CDBG funds for FY 2018-19; and WHEREAS, BMR AHF capital housing funds for West Valley Community Services (WVCS-Greenwood Court Renovation Project) are contingent upon WVCS submitting a FY 16- 17 and FY 17-18 report on performance and FY 18-19 cost proposal at the next regularly scheduled Housing Commission meeting; and WHEREAS, HSG funds for West Valley Community Services (Haven to Home) are contingent upon approval of increase in General Fund allocations to HSG fund; and WHEREAS, the City of Cupertino put into place a CDBG Contingency Plan (Exhibit 1) because of the uncertainty in the federal budget and the revised timeline provided by HUD to submit the Action Plan; and BE IT FURTHER RESOLVED that the Housing Commission of the City of Cupertino hereby recommends approval of the FY 2018-19 CDBG, BMR AHF, and HSG recommended funding allocations (Exhibit 2) to the City Council for final adoption; and BE IT FURTHER RESOLVED that the FY 2018-19 CDBG, BMR AHF, and HSG recommended grant funding allocations will be decreased/increased based on final budget allocations by HUD and the City Council. BE IT FURTHER RESOLVED that the City of Cupertino will set an annual limit of $50,000 for the BMR AHF public service fund starting in FY 2018-19; and BE IT FURTHER RESOLVED that the City of Cupertino will increase the General Fund allocation towards the HSG fund from $40,000 to an annual amount of $100,000 starting in FY 2018-19. PASSED AND ADOPTED at a regular meeting of the Housing Commission of the City of Cupertino this 22n d day of March, 2018 by the following vote: Vote Members of the Housing Commission A YES: Chair, Bose, Vice Chair Zhao, Daruwalla, Goyal, Kapil NOES: none ABSENT: none ABSTAIN: none ATTEST: APPROVED: Kerri HeuBlet Sue Bose Senior Housing Planner Chair, Housing Commission 2 Exhibit 1 CDBG Contingency Plan In the case of funding increase, the following plan is recommended: @) Public Services ($47,983.05): Distribute the additional available amount in the public services cap until an applicant is fully funded . If an applicant reaches the funding amount requested, any remaining funds will be distributed to other applicants who have not yet reached the maximum funding amount. @) Administration ($63,977.40): Funds are to be allocated to the City of Cupertino for CDBG administration. General Fund allocation will be reduced accordingly. @) Capital/Housing Projects ($207,926.55): Distribute the additional available amount in the capital/housing projects cap until an applicant is fully funded. If an applicant reaches the funding amount requested, any remaining funds will be distributed to other applicants who have not yet reached the maximum funding amount. In the case of a funding decrease, the following plan is recommended: @) Public Services ($47,983.05): Distribute any funding decrease proportionately among the remaining public service applicants, but maintain a minimum funding allocation of $15,000 for any applicant to the extent feasible. @) Administration ($63,977.40): Any decrease in funding will be supplemented by the General Fund for CDBG administration. @) Capital/Housing Projects ($207,926.55): Any decrease in funding may be supplemented wholly or partially based on funding available, by the Below Market Rate (BMR) Affordable Housing Fund (AHF) for CDBG capital/housing projects. 3 Exhibit 2 FY 2018-19 Funding Allocations Exhibit C-2018-19 CDBG, BMR AHF, and HSG Grant Application Summary FY 2018/19 Est. FY 2017/18 No. Grant Application Funds Funding Funding Funding Summary Available Requests Recommendations Allocations 1 CDBG Program $63,977.40 $63,977 .40 $63,977.40 Administration: Sub-Total $63,977 .40 $63,977.40 $63,977.40 $63,977 .40 2 CDBG Capital/Housing Project Applications Rebuilding Together a Silicon Valley-Housing $64,000.00 $64,000.00 $64,000.00 Repair and Rehabilitation Project West Valley Community Recommended to be b Services (WVCS) -$80,0 00.00 funded with BMR Greenwood Court AHF Capital Reno va tion Project* Housing funds C WVCS -Vista Village $160,000.00 $143,926.55 $167,823.20 Reno va tion Project* Sub-Total $2 07,926.55 $304 ,000.00 $207,926.55 $231,823.20 3 CDBG Public Service Applications Live Oak Adult Day a Services-Senior Adult Day $16,270.00 $16,270.00 $15,495.05 Care/ Caregiver Respite Senior Adults Legal Recommended to be b Assistance (SALA)-Legal $10,600.00 funded with HSG Assistance to Elders* funds WVCS-Community C Access to Resource and $35,000.0 0 $31,713.05 $32,488.00 Education Sub-Total $47,983 .05 $61,870.00 $47,983 .05 $47,983.05 BMR AHF Capital 4 Housing Project Applications WVCS -Greenwood Court a Renovation Project* $80,000.00 $80,000.00 $160,000.00 WVCS -Vista Village Recommended to be b $160,000.00 funded with CDBG $167,823.20 Renovation Project* Capital HousinR 4 fund s Sub-Total $6,000,000.00 $240,000.00 $80,000.00 5 BMR AHF Public Service Applications Eden Council for Hope a and Opportunity (ECHO)-$10,000.00 Not recomm end ed Fair Housing Services*** Project Sentinel -Fair Housing and Tenant- b Landlord Counseling and $43,000.00 $43,000.00 Dispute Resolution Services Sub-Total $50,000.00 $53,000.00 $43,000.00 6 General Fund HSG Applications Catholic Charities of Santa a Clara County-Long-Term $8,000.00 $8,000.00 Care Ombudsman b Maitri-MTH Direct Client $25,000.00 $25,000.00 Services C SALA-Legal Assistance to $10,600 .00 $10,600.00 Elders* d WVCS-Haven to Home** $40,000 .00 $40,000.00 Sub-Total $100,000.00 $83,600.00 $83,600.00 TOTAL $6,469,887.00 $806,447.40 $446,487.00 *Submitted duplicate application. **Contingent upon approval of increa se in General Fund allocat ions to HSG fund. *** Staff recommends funding Proj ect Sentinel for Fair Housing Services 5 $327,823.20 $10,000.00 $35,000 .00 $45,000.00 $6,500.00 $23,400.00 $10,100.00 $40,000.00 $756,606.85