TO: Mayor and Members of City Council
THRU: Kelly Olivera, Assistant City Manager
FROM: Christopher Cauley, MPA, Economic and Community Development Director, and
Albert A. Baker, Assistant Economic and Community Development Director
DATE: March 3, 2025
RE:
Title
Substantial Amendments to the Housing and Urban Development 2022 - 2023 and 2024 - 2025 Annual Action Plans Presentation
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal 2: Responsive City Government Supporting a Diverse and Viable Economy
Goal 4: Desirable Place to Live, Work and Recreate
Goal 6: Collaborative Citizen and Business Engagement
Executive Summary:
City Council is asked to review and consider the proposed Substantial Amendments to the Department of Housing and Urban Development (HUD) 2022 - 2023 Annual Action Plan (AAP) and the 2024 - 2025 AAP to move $400,000 from Housing Development to Housing and Support Services within the Housing Opportunities for People With AIDS (HOPWA) program.
Background:
City Council adopted the 2022 HUD Annual Action Plan allocating $400,000 of HOPWA funds for TBRA and $200,000 for Housing Development (Housing Trust Fund). Similarly, City Council adopted the 2024 HUD Annual Action Plan allocating $652,526 of HOPWA funds for Housing and Support Services and $200,000 for Housing Development.
Staff has attempted to utilize HOPWA funds to develop more income restricted units in our community but have not been successful at investing those funds. After attending HOPWA training, staff has determined that this is not an effective use for these funds and that they are needed as Housing and Support Services to enable our Project Sponsor to be fully funded for the remainder of this Fiscal Year.
Issues/Analysis:
Last Fiscal Year the City asked HUD to allow for a local adjustment to the Fair Market Rents due to the impact of military housing allowances on rent. Additionally, the Project Sponsor joined the Continuum of Care on homelessness and has been working with local agencies resulting in increases in service demand. At this time staff is projecting that the Project Sponsor will fully expend the current funding allocation prior to the end of the Fiscal Year.
Budget Impact:
There is no impact to the General Fund as these funds are Federal Entitlement funds from the Department of Housing and Urban Development.
Options:
This item is for information and discussion.
Recommended Action:
This item is for information and discussion. Direct staff to any changes required prior to adoption.
Attachments:
Presentation Substantial Amendments to the 2022 - 2023 and 2024 - 2025 Annual Action Plans