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HC Resolution No. 19-02 Housing Commission recomending approval of the FY 2019-20 CDBG annual action plan_revised 8-9-23RESOLUTION N0. 19-02 A RESOLUTION OF THE HOUSING COMMISSION OF THE CITY OF CUPERTINg RECOMMENDING APPROV AL OF THE FY 2019-20 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ANNUAL ACTION PLAN TO CITY COUNCIL FOR FINA[ 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 will receive a $369,264 CDBG entitlement grant from the United States Department of Housing and Urban Development (HUD) to be allocated for fiscal year (FY) 2019-20 and estimates allocating $7,944 in CDBG program income; and WHEREAS, the City of Cupertino is required to submit a FY 2019-20 Annual Action Plan (Exhibit 1) to HUD for review and approval prior to being allowed to expend CDBG funds for FY 2019-20; now, therefore: BE IT FURTHER RESOLVED that the Housing Commission of the City of Cupertino hereby recommends approval of the FY 2019-20 Annual Action Plan to City Council for final adoption; and < PASSED AND ADOPTED at a special meeting of the Housing Commission of the City of Cupertino this 16" day of May,-2019 by the following vote: Vote AYES: NOES: ABSENT: ABST AIN: Members of the Housing Commission Chair Zhao, Vice Chair Daruwalla, Cunningham, Bose None None None AffES5k. Kerri Heusler Housing Manager APPROVED: Chair, Housing Commission 1 City of Cupertino FY 2019-20 Annual Action Plan CUPERTINO Annual Update of tlie City's Consolidated Plan for Period July 1.; 2019 to June 30, 2020 Public Review and Comment Period May 1, 2019- June 1, 2019 Prepared by the Department of Community Development HousingDivision 10300 TorreAvertue Cvqyertino, CA 95014 Approved by City Council Resolution No. Executive Summary AP-05 Executive Summary - 91.200(c), 91.220(b) 1. Introauction The City of Cupertino (City) Fiscal Year (FY) 2019-20 0ne Year Action Plan (FY 2019-20 Action Plan) contains the City's one-year plan to carry out housing and community development activities funded by Federal formula grant funds received from the U.S. Department of Housing and Urban Development (HUD), Community Development Block Grant (CDBG) program. This Action Plan covers the fifth of five program years covered by the City's 2015-2020 Consolidated Plan approved by the Cupertino City Council on April 7, 2015. The Housing Division of the Community Development Department is the lead agency for the Consolidated Plan and submits the Annual Action Plan for the',City's CDBG program. The City is also a participant in the County of Santa Clara Home Invesffient Partnership Program (HOME) Consortium. HUD requires entitlement jurisdictions to submit an annual Action Plan to report the distribution of federal entitlement grant funds over the Consolidated Plan's five-yearper:od identifyinghow funding allocations help meet the goals covered in the Consolidated Plan. The total funds available for the City includes a total of $377,264.00 in CDBG funds. This includes $369,264.00 in CDBG entitlemint.funds and $7,944.00 in program income. The City's Action Plan covers the time perioa from July 1, 2019 to June 30, 2020, (HUD Program Year 2019 (PY2019)). The City's'FY 2019-20 Action Plan reports on the status of needs and outcomes the City expects to achieve in the coming year. All of the activities mentioned in this Action Plan are based on current priorities. By 4ddressing these priorities, the Cityhopes to meet thosa,.objectives ffitated in tlie 2015-2020 Consolidated Plan. All the proposed projects and activities are: intended to principally benefit residents of the City who have extremely lpw=,low,- and moderate-income, and populations that have special needs, such as the elderly, disabled, and homeless'. Summarize the objectives and outcomes identified in the Plan The City of Cupertino is a city in Santa Clara County (County), directly west of San Jose on the western edge of the Santa Clara Valley with portions extending into the foothills of the Santa Cruz Mountains. The,population is 60,777 according to the U.S. Census "Quickfacts" (https://ivwiv.census.gov/quickfac €s/fact/table/cupertinocitycalifornia/PSTO45217). The Cityhas one of the most educated resident populations in the country and is one of the most expensive cities to live in with a median home value of $2,210,000. The median list price per square foot in Cupertino is $1,062 (https://ivivsv.zillow.corn/cu'pertino-ca/home-values/). The Action Plan provides a summary of how the City will utilizes its CDBG allocation to the meet the needs of the City's lower income population. According to the U.S. Census "Quickfacts" data, 4.7% of all residents within the City had incomes below the federal poverty level. Additionally, according to the 2017 Point in Time Homeless Census, there are 127 11nsheltered homeless individuals living within the City of Cupertino. This number represents an increase of 74% from the 73 individuals that were counted in 2015. 2 As mentioned previously, a total of $377,208.00 is available for funding projects and programs during the 2019-20 Program Year which correlates with the City's FY 2019- 20 (July 1, 2019 to June 30, 2020). The City anticipates receiving $369,264.00 from the federal CDBG program and approximately $7,944.00 in program income. Cupertino has access to a variety of federal, state, and local resources to achieve its housing and community development priorities. Table A, FY 2019-20 CDBG Budget, summarizes the uses of the funds proposed during FY 2019-20. Specific funding resources will be utiIized based on the opportunities and constraints of each particular project or program. Applicant Agency Budget West Valley Community Services (WVCS) - Community Access to Resources and Education (CARE) $35,646.16 Live Oak Adult Day Care Services - Senior Adult Day Care $20,935.04 Rebuilding Together Silicon Valley (RTSV) - Ho'4:sing Repair and Rehabilitation Program $81,875.00 WVCS - Vista Village Rehabilitation Project .$43,310.20 Maitri- Anjali Transitional House $120,000.00 Administration $75,441.60 0 Budget 3. The City is responsi CDBG and HOME have provided many The City City's provi progress measures. Pri subrecipient and strategies. The City regulations associated with the City's Annual Action Plans and CAPERs and programs completed by the City. is critical to ensure the City and its that those activities align with the the performance of subrecipients . Subrecipients are required to submit quarterly ce objectives, as well as data on outcome pro objectivesaredevelopedcollaborativelybythe that they are aligned with the City's overall goals and y reports to review progress towards annual goals. Cupertino was the goals and objectives cited in the FY 2018-19 (July 1, 2018-June30,2019)ActionPlan. CDBGfundswereusedtocarryoutactivitiesthatbenefited low- and moderate-income persons. Only CDBG administration funds did not directly serve low- and moderate-income persons. Eligible funded public service activities included senior services and emergency housing services. These activities continue to make a positive impact on identified needs in the community and are providing services that might otherwise have gone unrnet. Eligible funded capital liousing projects included a single-family residence minor repair program which served low-income homeowners city-wide by addressing accessibility and health and safety measures and an affordable multi-family residential rehabilitation project. As can be expected, cornrnunity needs continue to exceed the available resources. 3 4.Summary of Citizen Participation Process and consultation process The City, in collaboration with other jurisdictions and a consultant team, launched a comprehensive outreach strategy to enhance and broaden citizen participation in the preparation of the Consolidated Plan. The team informed the public that it was in the process of creating the 2015-2020 Consolidated Plan, and encouraged public participation in the process by conducting a Regional Needs Survey and hosting regional forums in collaboration with other jurisdictions in the County, and conducting local hearings. In addition to the extensive consultation conducted for the Consolidated Plan, as noted above, the City solicited additional input for the FY 2019-20 Annual lan. As required by HUD, the City provides multiple opportunities for public review and ent on the Action Plan and on any substantial amendments to it. public review comment lic hearings and the of general une 18, 2019. June 1, 2019. Per the City's adopted Citizen Participation P period for the Action Plan. The City publish 30-day public review comment period in the l circulation. The City held two advertised public The Action Plan 30-day public review period 5. Summary of public comments To date, no comments have been received. a Summary of comments or views n and the reasons for not accepting The City accepts and responds to all comments that are submitted. As mentioned above, no public comments were received regarding the FY 2019-20 Action Plan. 6. them 7. Please see above. 4 PR-05 Lead & Responsible Agencies - 91.200(b) 1. Agency/entity responsible for preparing/administering the Consolidated Plan The following are the agencies/entities responsible for preparing the Consolidated Plan and those responsible for administration of each grant program and funding sorirce. Agency Role Name Department/Agency CDBG Administrator Cupertino City of Cupertino Cornrnunity Development Deparhnent Table 2 - Responsible Agencies Narrative The Consolidated Plan shows how the City plans to use its,CDBG fi'inds to meet the housing and community development needs of its residents. To update its 2015-2020 Consolidated Plan, the City collaborated with the County and other entitlement jurisdictions in the County to identify and prioritize housing and cotuunity development needs across the region, and to develop strategies to meet those needs. The FY 2019-20 Annual Action Plan represents the fifth year of CDBG funding of the 2015-2020 Consolidated Plan. Consolidated Plan Public Contact Information Kerri Heusler, Housing Manager City of Cupertino Housing Division 10300 Torre Avenue Cupertino, CA 95014 Phone: 408-777-3251 Email: KerriH(2,cupertino.org 5 i"--. AP-10 Consultation - 91.100, 91.200(b), 91.215(1) 1.Introduction The Action Plan is a one-year plan which describes the eligible programs, projects and activities to be undertaken with funds expected during FY 2019-20 and their relationship to the priority housing, homeless and cornrnunity development needs outlined in the 2015-20 Consolidated Plan. Provide a concise summary of the jurisdiction's activities to enhance coordination behveen public and assisted housing providers ana private and governmental health, mental health and service agencies (91.215(1)). ons in providing acular financial and ho opportunities out a a regional provide acal assistance to Regional CDBG/Housing During FY 2019-20, the City will continue to work programs and services for low-income househol development groups, to encourage the devel regionally and in the City; and other local projects in a coordinated and cost-effective the public service agencies it funds and will Coordinators meeting. Describe coordination with the Continuum of Care and to address the needs of homeless persons (particularly chronically homeless in and families, families with ( children, veterans, and unaccompanied youth) and persons at risk of homelessness. The County Continuum of Care (CoC) is a multi-sector group of stakeholders dedicated to ending and preventing homelessness in the County. The CoC's primary responsibilities are to coordinate large scale imple'i'nentation of efforts to prevent and end homelessness in the County. The CoC is governed by the County CoC Board (CoC Board), which stands as the driving force committed to supporting and promoting a systems change approach to preventing and ending homelessness in the County. The CoC Board is comprised of individuals who also serve on the Destination: Home (D:H) Leadership Board. D:H is a public-private partnership cornrnitted to collective impact strategies to end chronic homelessness, and leads the development of cornrnunity wide strategy related to the CoC's work. Currently, the County's Office of Supportive Housing (OSH) is the Collaborative Application for the CoC. OSH is responsible for implementing by-laws and protocols that govern the operations of the CoC and ensuring that the CoC meets the requirements outlined under the Homeless Emergency Assistance and Rapid Transition to Housing Act of 2009 (HEARTH). In 2015, D:H and the CoC released a Community Plan to End Homelessness in the County (the Plan), which outlined a roadmap for community-wide efforts to end homelessness in the County by 2020. The strategies and action steps included in the plan were informed by members who participated in a series of community summits designed to address the needs of homeless populations from April to August 2014. The Plan identifies strategies to address the needs of 6 homeless persons in the County, including chronically homeless individuals and families, families with children, veterans, and unaccompanied youth. Additionally, it also intended to address the needs of persons at risk of homelessness. The City participates in the CoC. The City's Housing Manager regularly attends the CoC meetings. Members of the CoC meet on a monthly basis in various work groups to ensure successful implementation components of the Plan action steps. A Community Plan Implementation Team, which includes members of the CoC and other community stakeholders, meets quarterly to evaluate progress toward the Plan's goals, identify gaps in homeless services, establish funding priorities, and pursue an overall systematic to address homelessness. Describe consultation with the Continuum(s) of Care determining how to allocate ESG funds, develop outcomes of projects and activities assisted by and procedures for the operation and " the jurisdiction=s area in standards for and evaluate funding, policies The City does not receive ESG funds. 2. Agencies, groups, o consultations in the process and 7 Table 3 - ,%encies, groups, organizations who participated I Agency/Group/Organization Abilities United Agency/Group/Organization Type Services-Persons with Disabilities What section of the Plan was addressed by Consultation?Non-Homeless Special Needs Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Com_munity Forum as part of the 2015-2020 Consolidated Plan , process. 2 I Agency/Group/Organization Afghan Center Agency/Group/Organization Type Cultural Organization What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 3 Agency/Group/Organization Casa de Clara San Jose Catholic Worker Agency/Group/Organization Type l Services-homeless Services-Health What section of the_Plan was addressed by Consultation?.Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. d A opnrv/(';rnnn/nros*ni'zsitinn CATHOLIC CHARITIES OF SANTA A k 6--l- J l- - - -p- - - b - - - - - = - = CLARA COUNTY Agency/Group/Organization Type Services-Elderly Persons What section of the Plan was addressed by Consultation?Housing Need Assessment 8 Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Cornrnunity Forum as part of the 2015-2020 Consolidated Plan process. 5'Agency/Group/Organization CITY OF CAMPBELL Agency/Group/Organization Type Other governrnent - Local What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. . 6 Agency/Group/Organization City of Cupertino Community Development Department Housing Division Agency/Group/Organization Type 'Other governrnent - Local What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Cornrnunity Forum as part of the 2015-2020 Consolidated Plan process. 7 Agency/Group/Organization City of Gilroy Agency/Group/Organization Type Other government - Local What section of the Plan was addressed by Consultation?Housing Need Assess'inent Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 9 8 Agency/Group/Organization City of Mountain View Agency/Group/Organization Type Other governrnent - Local What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Cormmuiity Forum as part of the 2015-2020 Consolidated Plan process. 9 Agency/Group/Organization Bill Wilson Center Agency/Group/Organization Type Services-Children What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan ' process. 10 Agency/Group/Organization -City of Palo Alto - Human Relations Commission Agency/Group/Organization Type Other government - Local What section of the Plan was addressed by Consultation? -Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 11 Agency/Group/Organization City of San Jose Agency/Group/Organization Type Other governrnent - Local What section of the Plan was addressed-by Consultation?Housing Need Assessment 10 Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? i Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 12 Agency/Group/Organization City of Santa Clara Agency/Group/Organization Type Other governrnent - Local What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 13 Agency/Group/Organization City of Sunnyvale Agency/Group/Organization Type Other government - Local What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Or.ganization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Con'imunity Forum as part of the 2015-2020 Consolidated Plan process. 14 I Agency/Group/Organization Coldwell Banker Agency/Group/Organization Type Business Leaders What section of the Plan was addressed by Consultation?Horising Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomesa of the consulta,iion or areas for improved coordination? Agency attended Community Fonim as part of the 2015-2020 Consolidated Plan process. 15 Agency/Group/Organization Community School of Music and Arts Agency/Group/Organization Type Community family services II 0 S What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. 16 Agency/Group/Organization COMMUNITY SERWCES AGENCY OF MOUNT AIN VIEW AND LOS ALTOS Agency/Group/Organization Type Services-Elderly Persons What section of the Plan was addressed by Consultation?Housing Need Assessment Briefly describe how the Agency/Group/Organization was consulted. What are the anticipated outcomes of the consultation or areas for improved coordination? Agency attended Community Forum as part of the 2015-2020 Consolidated Plan process. Identify any Agency Types not consulted and provide rationale for not consulting Not applicable. Other local/regional/state/federal planning efforts consider.ed when preparing the Plan Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? Continuum of Care Continuum of Care Couiicil ' The Conti_nuum of Care works to alleviate the impact of homelessness in the community through the cooperation and collaboration of social service providers. This effort aligns with the Strategic Plan's goal to prevent and end homelessness. 12 Name of Plan Lead Organization How do the goals of your Strategic Plan overlap with the goals of each plan? City of Cupertino General Plan Housing Element City of Cupertino The Housing Element serves as a policy guide to help the City plan for its existing and future housiiig needs. This effort aligns with the Strategic Plan's goal to assist in the creation and preservation of affordable housing for low- income and special needs households. Regional Housing Needs Assessment (RHNA) for the Santa Clara County Association of Bay Area Govein'irnents This plan analyzes the total regional housing need for Santa Clara County and all of the Bay-Area. This effort aligns with the Strategic Plan's goal to assist in the creation and preservation of affordable housing for low-income and special needs households, Community Plan to End Homelessness in Santa Clara Destination: Home This plan analyzes the total regional housing need for Santa Clara County and all of the Bay Area. This effort aligns with the Strategic Plan's goal to assist in the creation and preservation of affordable housing for low-income households. Table 4 - Other lacal / regional /-federal planning efforts Narrative Please see discussion above. AP-12 Participation - 91.401, 91.105, 91.200(c) 1. Summary of citizen participation process/Efforts made to broaden citizen participation Summarize citizen participation process and how it impacted goal-setting The Housing Division of the Community Development Department is the lead agency for overseeing the development of the Consolidated Plan and Action Plan. Per the City's adopted Citizen Participation Plan, the City is to allow a 30-day public review cornrnent period for the Action Plan. The City has published notifications of upcorning public hearings and the 30-day public review coinment period in the local Cupertino Courier newspaper of general circulation. The City held two advertised public hearings on May 16, 2019 and June 18, 2019. The ActionPlan30-daypublicreviewperiodoccurredfromMayl,20l9'tbro:ughJune,1,2019. TheCityhasnotreceivedanypublic comments to-date. Citizen Participation Outreach Sort Order Mode of Outreach Target of Outreach , Summary of - response/attendance Summary of comments received Summary of comments not accepted and reasons URL (If applicable) l Public Meeting Non- targeted/broad cornrnunity The Housing Commission met on March 14,.2019 to discuss the FY 19- 20 funding allocations. Non-profit agencies discussed their funding request and thanked the City for its continued support. Not applicable. 2 Public Meeting Non- targeted/broad community The City Council held a public l'iearing April 2, 2019 to discuss the FY 19-20 funding allocations. Members of the public discussed the funding requested and thanked the City for its continued support. Not applicable. 14 Sort Order Mode of Outreach Target of.Outreach Summary of response/attendance Summary of comments received Summary of comments not accepted and reasons - URL (If applicable) 3 Newspaper Ad Non- targeted/broad cornrnunity A public hearing notice was published in the Cupertino Courier and the public comment period was held from May 1, 2019 tmough June 1, 2019. No comments received. - Not applicable. 4 Public Meeting Non- targeted/broad community The Housing Cornrnission held a public heamg on May 16, 2019 to appr6ve the FY 19- 20 Annual Action Plan. ' There were no public comments received on the Action Plan. Not applicable. 5 Public Meeting Non- targeted/broad community The City Council meet on June 18, 2019 to approve the . FY' 19-20 Annual Action Plan No comments received. Not applicable. Table 5 - Citizen Participation Outreach Expected Resources AP-15 Expected Resources - 91.420(b), 91.220(c)(1,2) Introduction In FY 2019-20, the City will allocate approximately $377,208.00 to eligible activities that address the needs identified in the Consolidated Plan. a the allocations areIt should be noted that while the HUD CDBG allocations are address all needs that low-income individuals and families face in additional resources as described below to provide support and servi The City is not eligible to receive direct funding under the-HOME (ESG), or Housing Opportunities for Persons with AIDS (HOPWA), These ciency. OnS In cient to overcome barriers and City will continue to leverage a a the community. Act (HOME), Emergency Solutions Grant are also covered under the Consolidated Plan 16 Regulations. Anticipated Resources Program Source of Funds Uses of Funds Expected Amourit Available Year 1 Expected Amount Available Remainder of ConPlan $ Narrative Description Annual Allocation: $ Program Income: $ Prior Year Resources: $ Total: s CDBG public - federal Acquisition Admin and Planning Economic Development Housing Public Improvements Public Services $369,264.00 7,944.00 $0 $377,208.00 $0 CDBG funds will be used for the creation and preservation of affordable rental units, i_mprovements in low income neighborhoods, and public services that benefit low income and special needs households. Explain how federal funds mu leverage those how matching requirements wffl be satisfied Entitlement Funds Resources - F'riority Table (private, state and local funds), including a description of The City leverages financial resources to maximize the reach and impact of the City's HUD programs. The City joined the County HOME Consortium in 2015 and on June: 15, 2017 extended its participation on the consortium through FY 2020. HOME funds can be used to fund eligible affordable l':iousing projects fo'r acquisition, construction, and rehabilitation. Starting in FY 2015-16, developers of affordable housing projects were eligible to competitively apply through an aru'iual RFP process. Applications are submitted to the County OSH for the HOME funds to help subsidize affordable housing projects within the City. If the City receives HOME funds from its participation in the HOME Consortirim, the required 25% matching funds will be provided from the City's Below Market Rate (BMR) Affordable Housing Fund (AHF). Currently, the BMR AHF has an available balance of approxiinately $6,000,000. The 17 Veranda, which will be developed by Charities Housing, applied for and received $500,000 in HOME funds from the HOME Consortium in November, 2018. The property will provide 18 units of low-income senior housing and one property manager unit. Tlie Cityprovideda25%matchfortheproject. Constn'ictionoftheprojectbeganinApril,2018andisexpectedtobecompletedinJune, 2019. Otlier Federal Grant Programs In addition to the CDBG entitlement dollars, the federal government has several and affordable housing activities. These include: Section 8 Housing Choice Voucher Home Loan Banlc Affordable Housing Program (AHP), and others. It should be noted applicant for tliese funding sources as many of these programs offer assistance to affordable jurisdictions. State Housing and Corninunity Development Sources programs for cornrn'iinity development Section 202, Section 811, the Federal cases the City would not be the developers rather than local In California, the Department of Housing and Community CD) and the California Housing Finance Agency (CalHFA) administer a variety of statewide public affordable that offer assistance to nonprofit affordable housing developers. Examples of HCD's programs include the (MHP), Affordable Housing Innovation Fund (AH:[F), Building Equity and Growth in Neighborhoods Pro , OME. Many HCD programs have historically been fi'inded by one-time State bond issuances and, as such, are to limited availability of funding. CalHFA offers multiple mortgage loan programs, down payment assistance and a for the constri'iction, acqriisition, and rehabilitation of affordable ownership units. The State also a ' Housing Tax Credit (LIHTC) program, a widely used financing source for affordable liousing projects. As with the o grant programs discussed above, the City would not apply for these funding sorirces. Rather, local affordable housing developers could apply for funding through these programs for particular developments in the City. Additionally, the County also receives Mental Healtli Services Act (MHSA) funds from the State for horising. If appropriate, describe publically oivned land or property located within the jurisdiction that may be used to address the needs identified in the plan The City has no surplus vacant land that would be available for the development of housing or the provision of services. The City of Cupertino FY 2019-20 Action Plan covers the time period from July 1, 2019 to June 30, 2020 (HUD Program Year 2019). The City's 18 FY 2019-20 entitlement amount is $369,264.00. Additionally, the City estimates approximately $7,944.00 in program income, bringing the total estimated budget for FY 2019-20 to $377,208.00. It should be noted that at the time the draft Annual Action Plan was prepared the final CDBG allocations had not been provided by HUD. The City staff brought forward funding recommendations to the Housing Commission and City Council with a contingency plan in anticipation of a change in the projected entitlement funding amount for FY 2019-20. The City put into place a CDBG Contingency Plan because of the uncertainty in the federal budget and the revised timeline provided by HUD to submit the Action Plan. XVhile HUD allocations are critical, the allocations are not sufficient to overcome barriers and address all needs that low-income individuals and families face in attaining self-sufficiency. The City will continue to leverage additional resources as described above to provide support and services to the populations in need within the community The City is not eligible to receive direct funding under the HOME, ESG, or HOPWA. These programs are also covered under the Consolidated Plan Regulations. Discussion Please see information provided in previous sections. 19 , , X Annual Goals and Objectives AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e) Goals Summary Information Sort Order Goal Name Start Year End Year Category Geographic Area Needs Addressed Funding Goal Outcome Indicator 1 Affordable Housing 2015 2019 Affordable Housing Citywide Affordable Housing CDBG: $245,185.20 Rental units rehabilitated: 5 Household Housing Unit Homeowner Housing Rehabilitated:7 Household Housing Unit 2 Homelessness 2015 2019 Homeless Citywide Homelessness CDBG: $35,646.16 Public service activities other than Low/Moderate Income Housing Benefit: 100 Persons Assisted 3 Strengthen Neighborhoods 2015 2019 Non-Homeless Special Needs Non-Housing Cornrnunity Development Citywide Comn'i'iinity Services and Public Improvements CDBG: $20,935.04 Public service activities other than Low/Moderate hicome Housing Benefit: 21 Persons Assisted 4 Fair Housing 2015 2019 Non-Housing Community Development Citywide Fair Housing CDBG: $0 Public service activities other than Low/Moderate Income Housing Benefit: 15 Persons Assisted Table 7 - Goals Summary Goal Descriptions 20 1 Goal Name Affordable Housing Goal Description ASSiSt in the creation and preservation of affordable housing for low income and special needs horiseholds. 2 Goal Name Homelessness Goal Description Support activities to prevent and end homelessness. 3 Goal Name Strengthen Neighborhoods Goal Description Support activities that strengthen neighborhoods tb_rough the provision of community services and public improvements to benefit low income and special needs households. 4 Goal Name Fair Housing Goal Description Promote fair housing choice. AP-35 Projects - 91.420, 91.220(d) Introduction The Consolidated Plan goals below represent high priority needs for the City and serve as the basis for the strategic actions the City will use to meet these needs. The goals, listed in no particular order, are: 1. ASSiSt in the creation and preservation of affordable housing for low income and special needs households. 2. Support activities to prevent and end homelessness. 3. Support activities that strengthen neighborhoods through the provision of community services and public improvements to benefit low income and special needs households. 4. Promote fair housing choice. #Pro,iectName , '-., ) I City of Cupertino Planning & Administration 2 Community Access to Resource and Education (CARE) 3 Senior Adult Day Care 4 Housing Repair and Rehabilitati6ri P;rogram 5 Vista Village Rehabilitation Pr6je'ct ' . 6 MaitriAnjaliTransitionalHouse" . . Table 8 - Project Inf to provide public services and housing for lds. operates on a two-year grant funding cycle service (FY 2018-19, 20 9-20), and a one-year cycle for CDBG capital 2019- jects are only considered for funding within the Consolidated address the goals discussed above. The City's overall allocation priorities are Describe the reaso needs any obstacles to addressing underserved The City low-a for CD housing Plan period if as follows: * CDBG will not exceed the 20% cap of the estimated entitlement amount and pro * CDBG public service funds will not exceed the 15% cap of the estimated entitlement amount and program income. * CDBG capital housing project funds will not exceed the 65% cap of the estimated entitlement amount and program income. * Available uncornrnitted funds from the prior FY is proposed to be allocated for additional eligible CDBG capital housing projects. 22 AP-38 Project Summary Project Summary Informationl Pro,ject Name City of Cupertino Planning & Administration Target Area Citywide Goals Supported Affordable Housing Homelessness Strengthen Neighborhoods Fair Housing Needs Addressed Affordable Housing Homelessness Community Serviffies and Public Improvements FairHousing . " '.. Funding CDBG: $75',441.60 Description Funds to':be used by the City for the planning and admHinistrffition of the CDBG program. Target Date Junei"30, 2020 Estimate the number and type of families that will benefit from the proposed activities Not ajplicable. Location Description Citywide Planned Actiyities Administer tlie Administrative costs for the overall management, coordination, and evaluation of the CDBG progysm, and the project delivery costs associated with bringing projects to completion. 2 Project Name CommunityAccess to Resource and Education (CARE) ' Target Area Citywide Goals Supported Strengthen Neighborhoods Needs Addr'essed Homelessness Community Services and Public Improvements Funding CDBG: $35,646.16 Description Support activities to prevent and end homelessness and support activities that strengthen neighborhoods through the provision of community services and public improvements to benefit low- income and special needs households. Target Date June 30, 2020 Estimate the number and type of families that wffl benefit from the proposed activities Serve a total of 100 unduplicated households by providing case management and support services. 23 Location Description Citywide Planned Activities The CARE program incorporates both case management and wrap around services to help at- risk and vulnerable household's manage crisis and provide stabilization to help them move towards self-sufficiency. The target population of the CARE program includes low-income seniors, families with children, at-risk youth and adults. The CARE program includes case management, access to food pantry and emergericy 'financial assistance. 3 Project Name Senior Adult Day'Care Target Area Citywide '_ a . Goals Supported Strengthen Ne:ighborhoods Needs Addressed Community Services arid Public :[mprovements Funding CDBG': $20,935.04 ' Description Provides specialized program of adult day care for frail elderly dependent adults who' are residents of the City of Cupeffiri6. Target Date June 30, 2020 = Estimate the = ' number and type of _ families that will benefit from the proposed activities 21 unduplicated frail, depended, low-income Cupertino seniors. I Location Description Serves all residents. Services provided at 20920 McClellan Road, Cupertino. Plannea Activities Provide services for seniors at-risk of being ' instihitionalized. Provide specialized program such as recreation, mental stimulation, companionship and meals to seniors. 4 Pro,iect Name Housing Repair and Rehabilitation Program Target Area Citywide Goals Supported Affordable Housing Needs Addres'sed Affordable Housing Community Services and Public hnprovements Funding CDBG: $81,875.00 Description Preserves affordable housing by transforn'iing homes through critical repairs, accessibility modifications and energy efficient upgrades for low-income homeowners and cornrnunity centers, at no cost to the service recipient. The majority of the low-income homeowners served are elderly seniors and/or people with disabilities, who are physically and financially unable to maintain safe and wam living conditions for themselves and their families. 24 Target Date June 30, 2020 Estimate the number and type of families that will benefit from the proposed activities 7 households Location Description Citywide Planned Activities Provide home safetyrepairs, mobility and accessibility improvements for low- income households in Cuperjijio with the primary consideration being the correction of safetyhazards. 5 Pro,iect Name Vista Village Rehabilitation Project Target Area Citywide Goals Supported Affordable Housing ' Needs Addressed Affordable Housing ' Funding CDBG: $43,310.20 Description This project will help revitalize Vista Village affordable housing complex with various repairs and renovations. ',"I'his project aligns with the agency's vision of transforming the lives of low- incomeliouseholds byproviding a safe and affordable home. Target Date-June 30, 2020 Estimate the number and type of families that will benefit froin the proposed activities 1 affordable rental h6using unit housing a Iow- income'household Location Description 10104 Vista Drive, Cupertino, CA 95014 Planned Activities :I'he repairs include laminate flooring, painting, new kitchen countertops, cabinets, replacing old carpets, and a new laminate floor for the bathroom. The cost also includes motel relocation expenses for the residents currently occupying the unit. Pro,iect Name Maitri - Anjali Transitional House Target Area Confidential location in Santa Clara County Goals Supported Affordable Housi_ng and special needs households Needs Addressed The rehabilitation of the Anjali House will help to preserve affordable housing for survivors of domestic violence and their children Funding $120,000.00 25 Description ' Tb_rough new roofing, updated appliances and fixtures, new paint and landscaping, and other eligible rehabilitation activities, Maitri will make the Anjali House more livable and sustain an affordable housing opportunity. The rehabilitation work will make the current facility safer and more hygienic to protect the clients' needs and to preserve the building. Target Date June 30, 2020 Estimate the number and type of families that wffl benefit from the proposed activities Four housing units will be repaired. The units house 32 Cupertino residents who are leaving domestic violence situationi,6f the 32 residents, 26 are extremely _low-income and 6 are very low income. 12 are youth and 20 are adults. Location Description Confidential location in S'anta Clara County Planned Activities The planned activities include: * Roof' Replacement * Painting all Four Units * Bathtuband'BathroomFlooringreplacement * Kitchen and flooring repair * Landscaping * Funds will also be used to cover personnel costs to manage and oversee the project activities, vendor coordination, project purchases, compliance and grant requirements, and client convenience during the renovations. AP-50 Geographic Distribution - 91.420, 91.220(f) Description of the geographic areas of the entitlement (including areas of low-income and minority concentration) where assistance will be directed Not applicable. The City has not established specific target areas to focus the investment of CDBG funds. Geographic Distribution Target Area Percentage of Funds Citywide 100 Table 9 - Geogiaphic Distribution Rationale for the priorities for allocating ' Not applicable. Discussion ts geographicany Please see discussion above. AP-65 Homeless and Other Special Needs Activities - 91.220(i) Introduction The homeless assistance program planning network is governed by the CoC and the D:H Leadership Board, who serves as the CoC Board of Directors. The membership of the CoC is a collaboration of representatives from local jurisdictions comprised of community-based organizations, the Housing Authority of Santa Clara (HACSC), governrnental departments, health service agencies, homeless advocates, consumers, the faith community, and research, policy and planning groups. The homeless services system utilized by the is referred to as the Homeless Management Information System (HMIS). The HMIS outcomes and performance measures for all the homeless services agencies funded County. The CoC and its service providers transitioned to a new system referred to as provides additional tools and resources to assist the CoC and service provi on regarding clients served, ns for reducing and ending homelessness the CARE program. The CARE The CARE program incorporates and vulnerablehouseholds manage self-sufficiency. The target aes with children, at-risk access to food pantry and Additionally, the City will provide $40,000 in BMR funds to WVCS HTH program. The goal of the HTH is to help currently un-housed Cupertino individuals and families secure permanent housing, maintain employn'ient, enhance income opportunities and financial stability. The supportive services critical to the success of this program are intensive case management, housing search, landlord mediation, benefits clinic, and financial coaching. HTH aims to end homelessness and prevent homelessness by coordinating multilevel services and leveraging further resources in the cornrnunity in order to build long-term stability and self-sufficiency for participants. Through this funding, WVCS will serve 50 homeless individuals and families whose last address was in Cupertino by moving them into permanent housing. The target population for this grant will be families or individuals who have become homeless in the City. Reaching out to homeless persons (especiany unsheltered persons) and assessing their individual needs In January 2017, a Point in Time (PIT) count was conducted for the County by the City of San Jose in conjunction with the County. The PIT is an intense survey used to count the nrimber of homeless living throughout the County on the streets, in shelters, safe havens or in transitional housing, or in areas not meant for human habitation. The survey was conducted by hundreds of volunteers who asked those living on the streets, as well as the residents of shelters, safe havens and transitional housing, to respond to questions related to their needs. A portion of the survey 28 addresses the needs of those surveyed. The City financially contributed to this effort. The PIT found 127 unsheltered homeless individuals living within Cupertino. Tis number represents an increase of 74% from the 73 individuals that were counted in 2015. Countywide, the number of homelessincreasedfrom6,556in20l5to7,394in20l7-al3%increase. APITwascompleted in January, 2019. However, at the time of tis report was drafted, the updated numbers were not available. As part of the FY 2019-20 City Work Program, the City Council prioritized Homelessness with a focus on conducting an audit of services available in Cupertino for the homeless community, confirmingestimatesofhomelessnessinCupertino,andexpl a solutionsforhomelessstudents. Addressing the emergency shelter and transitional h In FY 2019-20, the City will allocate General programs: The City will continue to coordinate through the Collaborative, Help House eeds of homeless persons llowing transitional housing housing and related supportive are at high risk of becoming their children. ugh inter-agency such as efforts unity TechnologyAlliance. Helping homeless with children, v permanent housing individuals and famili and recen In FY 2 management, and families, families youth) make the transition to sho ' the period of time that facilitating access for homeless individuals a individuals and families who were dollars to the following services and programs: urce and Education (CARE) The CARE program ent andwrap around services to help at risk and vulnerable provide stabilization to help them move towards self- on of the CARE program includes low-income seniors, at-risk youth and adults. The CARE program includes case food pantry and emergency financial assistance i' Additionally, this year, the City will provide BMR AHF to the WVCS HTH program. * WVCS-HTHProgram-ThegoaloftheHTHistohelpcurrentlyun-housedCupertino individuals and families sec'ire pen'nanent housing, maintain employment, enhance income oppoiinities and financial stability. The supportive services critical to the success of this program are intensive case management, housing search, landlord mediation, benefits clinic, and financial coaching. HTH aims to end homelessness and 29 prevent homelessness by coordinating multilevel services and leveraging further resources in the community in order to build long-term stability and self-sufficiency for participants. Through this funding, WVCS will serve 50 homeless individuals and families whose last address was in Cupertino by moving them into permanent housing. The target population for this grant will be families or individuals who have become homeless in the City. FY 2019-20 CDBG and General Fund dollars ces for seniors at- aon, mental Care Ombudsman - The program term care facilities in the County a can be heard and resolved. services to low-income are in the area of consumer Cupertino individuals and families yment, enhance income opportunities and a acal to the success of this program are landlord mediation, benefits clinic, and elessness and prevent homelessness by leveraging further resources inthe comrnunityin order ciency for participants. Along with the coordinated described above, the City offers affordable housing and other public services targeted toward low-income families that are the most at-risk of becoming homeless. Discussion Please see above. 30 AP-75 Barriers to affoydable housing -91.420, 91.220(j) Introduction The incorporated and unincorporated jurisdictions within the County face barriers to affordable housing that are common throughout the Bay Area. High on the list is the lack of developable land, which increases the cost of available lands and increases housing development costs. Local opposition is another common obstacle as many neighbors have strong reactions to infill and affordable housing developments. Their opposition is often based on misconceptions, such as a foreseen increase in crime; erosion of property values; increase in parking and traffic congestion; and overwhelmed schools. To ensure a healthy economy the a must focus on strategies and investment that provide housing for much of the region's w - for example, sales clerks, secretaries, firefighters, police, teachers and health servi - whose incomes sigt'ffficantly limit their housing choices. a ed housing supply useholds and a of public policies that serve policies affecting land, ' tions, and policies the le uses and densities at various locations in gn section identifies five categories of residential uses the number of dwelling units permitted per gross acre. As such, ity's several items that can affect the development and distribution of housing, such as -use classifications, and density and intensity standards. Zoning Ordinance - a and other land-use controIs have a direct effect on the availability and range o choices within a community. The Cupertino Zoning Ordinance establishes development and densities for new housing in the City. These regulations include minimum lot sizes, maximum number of dwelling units per acre, lot width, setbacks, lot coverage, maximum building height, and minimum parking requirements. Parking Requirements - Parking requirements, when excessive, may serve as a constraint to housing development by increasing development costs and reducing the amount of land available for project amenities or additional units. The City's parking requirements are higher than many other jurisdictions, particularly for single-family homes. Considering the high cost of land, the 31 high parking standards may serve as a constraint to housing provision. Site Improvements - Site improvement requirements are the responsibility of residential developers who are responsible for constructing road, water, sewer, and storm drainage improvements on new housing sites. Where a project has off-site impacts, such as increased storm water runoff or added traffic congestion at a nearby intersection, additional developer expenses may be necessary to mitigate impacts. These expenses may be passed on to consumers, as increased sales or rental costs. In general, residential developers interviewed for the 2014-2022 Housing Element update reported that the Cupertino's public policies do not stand as a constraint to new housing production. Discussion identified several strategies to increaseAs part of the Housing Element Update, the affordable housing: * Designate sufficient land at appropriate Housing Needs Allocation (RHNA) of 1, Housing Element planning period. Ensure rate residential developments hglp'mitigate proj needs. * Encourage the development of a types (in a oderate housing for l in * Continue to a -Resi developers ofo and to stock that provides a range of housing an emphasis on the provision of ousing Mitigation Program that requires opment (R&D), retail and industrial space support affordable housing in the City. The AHF. a Mitigation Program to mitigate the need new market-rate residential development. a bonuses and incentives, as applicable, for housing odate 's Regional 2014-2022 Plan developments, a market- impacts on affordable housing for affordable ho new market-rate residential de-velopment.- The City will enco use o a bonuses and incentives, as applicable, for hous: developments. Continue to encourage the development of adequate housing to meet the needs of extremely low-income horiseholds and persons with special needs (such as the elderly, victims of domestic violence, and the disabled). Continue to facilitate housing opportunities for special needs persons by allowing emergency shelters as a permitted use in the "BQ" Quasi-Public zoning district. Continue to retain a fair housing services provider to provide outreach, education, corinseling, and investigation of fair housing complaints. Additionally, the City is addressing the barriers to affordable housing through the following programs and ordinances: Below Market Rate (BMR) Affordable Housing Fund (AHF) The City's BMR AHF receives its revenue from the payment of housing mitigation fees from 32 non-residential (office, retail, R&D, hotel and industrial) and residential development. The residential BMR program applies to new residential developments greater than one unit. Homeownership developments of one to six units are required to pay an in-lieu fee. Homeownership developments of seven units are greater are required to designate 15 percent of the total number of units in an ownership development as affordable. Developers of market-rate rental units, where the units cannot be sold individually, must pay a housing mitigation fee to the BMR AHF. For non-residential housing mitigation in the City, a fee is applied to new square footage of development. The fee is then deposited in the City's BMR is used for the provision of affordable housing. The City Council adopted a nexus 5, 2015 that reassessed the housing mitigation fees developers pay to the BMR AHF working on an updated nexus study with an anti HOME Investment Partnersips Program (HO The City joined the County's HOME eligible affordable housing projects for the federal FY 2015, developers of affordable h apply through an annual RFP process directlyto the affordable housing projects in Cupertino. 33 AP-85 0ther Actions - 91.420, 91.220(k) Introduction This section discusses the City's efforts in addressing the underserved needs, expanding and preserving affordable housing, reducing lead-based paint hazards, and developing institutional structure for delivering housing and community development activities. Actions planned to address obstacles to meeting underserved needs To address obstacles to meeting underserved needs, the other resources and funds, such as: * The City's BMR AHF fund receives its rev fees from non-residential (office, retail, development. The Housing Mitigation by the development of non-residential deposited in the City's BMR AHF housing. * Each year the City allocates priblic service grants to pub * Each year the City allocates Human Service Grants to publi additional affordable housing services to homeless individuals managing using T (HTSV) is a public/private venture, dedicated to affordab . The Trust makes available funds for developers to borrow construction of affordable units. * The Mortgage Credit cate (MCC) Program provides assistance to first-time homebuyers by eligible purchaser to take 20 percent of their annual mortgage interest paym a against federal income taxes. The County administers the MCC Program on of the jurisdictions, including the City. * The Santa Clara County Affordable Horising Fund was created in 2002, with an initial investment by the Board of Supervisors of $18.6 million. The AHF is used for affordable housing developments and allows the leveraging of its funding with other sources to create affordable housing in the County. Additionally, a bond measure was passed this year that will add additional public funds for affordable housing projects in the County. * The HACSC administers the federal Section 8 program countywide. The program provides rental subsidies and develops affordable housing for low income households, 34 seniors and persons with disabilities living within the county. Actions planned to foster and maintain affordable housing The City will foster and maintain affordable housing by continuing the following programs and ordinances: * The City's Accessory Dwelling Unit Ordinance, which allows an additional unit to be built on any already developed parcel containing a single-family home. * The City's Density Bonus Ordinance allows an increase in density for developments that provide a proportion of units for very low or low-in useholds or for seniors. * All new developments must either provide BMR y a housing mitigation fee, which is placed in the City's BMR AHF. pay an in-lieu fee which is ents greater than six ent at a cost that makes will developers of ely app ugh an annual subsidize le housing on and rehabilitation. The City the 25% match requirement. of lo affordable housing to integrated by the City into its assisted wner will be informed of the dangers, paint poisoning. Lead-based paint provi each and every rehabilitation guidelines for reduction activities with lead-based rehabilitation Ioan. In a continuing effort erty, the City will make it a priority to fund agencies that provide direct assistance eless and those in danger of becoming homeless and make a commitment to improve the communication and service delivery capabilities of agencies and organizations that provide programs to assist the homeless. (i" Depending on funding availability, the City will continue to provide assistance to public agencies and nonprofit organizations providing neighborhood housing services, supportive services to the homeless, older adults with physical or mental impairment, the mentally ill, victims of domestic violence, and households with abused children among others. The City will coordinate with priblic agencies providing job training, life skills training, lead 35 poisoning prevention and remediation and other education programs as listed in the 2015-20 Consolidated Plan strategies. In FY 2019-20 the City will allocate CDBG dollars to the following program: * WVCS - CARE - The CARE program incorporates both case management and wrap around services to help at risk and vulnerable households manage crisis and provide stabilization to help them move towards self-sufficiency. The target population of the CARE program includes low-income seniors, families with children, at-risk youth and adults. The CARE program includes case management, access to food pantry and emergency financial assistance. erve 21 unduplicated frail, ces for seniors at-risk of being on, mental stimulation, Discussion Please see discussion above. 36 Program Specific Requirements AP-90 Program Specific Requirements - 91.420, 91.220(1)(1,2,4) Introduction The following providcs additional infon'nation about CDBG progyam income and program requirements. Community Development Block Grant Program (CDBG) Reference 24 CFR 91.220(1)(1) Projects planned with all CDBG funds expected to be available during the year are identified in the Projects Table. The following identifies program income that is available for use that is included in projects to be carried out. 7,944 1. The total amount of program income that will have been received before the start of the next program year and that has not yet been reprogrammed 2. The amount of proceeds from section 108 loan guarantees that will be used during the year to address the priority needs and specific objectives identified in the grantee's strategic plan. 3. The amount of surplus funds from urban renewal settlements 4. The amount of any grant funds returned to the line of credit for which the planned use has not been included in a prior statement or plan 0 5. The amount of income 'from float-funded activities 0 TotalProgramIncome: 7,944 Other CDBG Requirements 1. The amgunt of urgent need activities 2. The estimated percentage of CDBG funds that will be used for activities that benefit persons of low and moderate income. Overall Benefit - A consecutive peiiod of one, two or three years may be used to determine that a minimum overall benefit of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify the years covered that include this Annual Action Plan.100.OO% Discussion Please see discussion above. 37 Appendix A: Public Comments City of Cupertino Citizen Participation Cornrnents FY 2019-20 Annual Action Plan TO BE DETERMINED Appendix B: Public Hearing Notice INSERTCOPY HERE Appendix C: Application for Federal Assistance Form SF-424 and SF-424D INSERT HERE WHEN AVAIL4BLE Appendix D: Certifications INSERT HERE WHEN AVAILABLE