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2021-22 Riverside County - CDBG SupplementalHHPWS Housing Homvlcs:nags PrcvDnlian and Workforce lolu$au September 9,2021 File No: 4.LQ.42-21 Jon McMillen, Executive Director/City Staff City of La Quinta 78495 Calle Tampico La Quinta, CA 92253 RE: SUPPLEMENTAL AGREEMENT FOR THE 2021-2022 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM Dear Mr. McMillen: Enclosed please find two (2) copies of the above referenced Supplemental Agreement for your city's 2021-2022 CDBG program year. This agreement covers the following activities: 4.LQ.42-21 City of La Quinta Miscellaneous ADA Improvements $171,077 Upon review of the agreement, please have all copies executed and returned to this office, together with the following documentation: 1. Your City Council's approval of the Agreement and authorization to execute; (Adopted Resolution and/or Certified Minute Order); 2. Evidence of Workmen's Compensation Insurance pursuant to Section 14 A of the Supplemental Agreement; and 3. Original Certificates of insurance and certified copies of endorsements pursuant to Section 14 D (3) of the Supplemental Agreement. Please note: In order for the County to comply with HUD's CDBG program timeliness requirements, your city's fully -executed agreements and required documentation must be returned to this office no later than forty- five (45) days from the date of this letter. P.O. Box 1528 I Riverside, CA 92502 Supplemental Agreement Notice September 9,2021 Page 2 File No: 4.LQ.42-21 In the event that the properly executed agreements and documentation are not received by the deadline date, your city will be in jeopardy of forfeiting your 2021-2022 CDBG funding. The County will then consider reprograming these funds to other activities within the Urban County program area. The County will accept electronic signatures and approval pursuant to California State law. A fully -executed Supplemental Agreement will be forwarded to you as well as the authorization to incur costs. Please be advised that this is not a notice to proceed. The County will not reimburse the City of La Quinta for any expenditure prior to the issuance of the Authorization to Incur Costs. Furthermore, the County will not issue the Notice to Proceed until an appropriate representative of the City has completed the online CDBG Subrecipient training. The training tutorial can be accessed at http://www.rivcoecta.org Should you have any questions, please contact Nicholas Fonosch at (951) 955-5936. Sincerely, Susana Orozco CDBG/ESG Program Principal Development Specialist City of La Quinta CITY COUNCIL MEETING: December 1, 2020 STAFF REPORT AGENDA TITLE: ADOPT RESOLUTION TO AUTHORIZE THE CITY MANAGER TO SUBMIT APPLICATIONS TO RIVERSIDE COUNTY ECONOMIC DEVELOPMENT AGENCY FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS AND EXECUTE SUPPLEMENTAL AGREEMENTS FOR FISCAL YEAR 2021/22 RECOMMENDATION Adopt a resolution to authorize the City Manager to submit applications to the Riverside County Economic Development Agency for Community Development Block Grant funds, execute the Supplemental Agreements for fiscal year 2021/22; and allocate $22,650 to the Boys and Girls Club of the Coachella Valley Fee Waiver/Reduction Program and $128,350 to the City of La Quinta Americans with Disabilities Act Improvements Project. EXECUTIVE SUMMARY x Community Development Block Grant (CDBG) funds programs that revitalize neighborhoods, promote economic development, and improve community facilities and services. x The City is eligible to receive approximately $151,000 in CDBG funds in fiscal year (FY) 2020/21; 15% can be used for public service projects and 85% for public improvement or housing services. x City-approved grant applications must be sent to the Riverside County Economic Development Agency (County EDA) no later than December 11, 2020. The exact amount of CDBG funding will be confirmed in the second quarter of 2021. FISCAL IMPACT Upon approval by the Housing and Urban Development (HUD) and the County EDA, the City will receive an estimated $151,000 in CDBG funds. The final FY 2021/22 funding allocation will be based upon actual funds received. Revenues and expenses will be incorporated in the FY 2021/22 Budget and tracked in a special revenue fund (Federal Assistance Fund 210). BACKGROUND/ANALYSIS The City is a cooperating city of the County’s CDBG program and has participated since 1983. HUD oversees the County’s program and the County PUBLIC HEARING ITEM NO. 107 distributes annual funding to cooperating cities. The CDBG program requires that each project/activity meets one of the three national objectives: benefit low and moderate-income individuals; aid in the prevention or elimination of slums or blight; or meet a need having a particular urgency. Public Services CDBG funding can be used for public services, such as childcare, recreation and education programs; however, only 15% of the awarded annual allocation may be designated for public services. The County EDA has a minimum funding requirement of $10,000. A maximum of $22,650 is anticipated for public services in 2021/22. Public Improvements CDBG funding can be used for public improvements, which include construction, reconstruction, rehabilitation, and accessibility improvements. Public improvement funds can be used for facilities and improvements that are publicly owned or owned by a non-profit agency open to the public. These funds must be used for improvements that benefit low- and moderate-income individuals or neighborhoods. A maximum of $128,350 is anticipated for capital improvements in 2021/22. CDBG Applications The City received six applications for CDBG funding (Attachment 1) – The Boys and Girls Club of the Coachella Valley, Coachella Valley Housing Coalition, Coachella Valley Rescue Mission, Operation Safehouse, and The Regents of the University of California, Riverside submitted public service funding requests; and the City’s Public Works Department submitted a public improvement funding request. Staff recommends awarding the anticipated public service funds of $22,650 to the Boys and Girls Club and $128,350 to the City’s Public Works Department. The Boys and Girls Club funding will benefit 231 children who attend; the public improvement request will fund American with Disabilities Act improvements at City facilities that benefit individuals with disabilities and those who have low and moderate income. Agency and Public Review A request for applications and notice of funding availability was posted to the City’s website on October 9, 2020. A public notice was published in The Desert Sun on November 20, 2020, announcing the availability of funds and the public hearing date. 108 ALTERNATIVES Council could elect to not approve the recommended community development needs/CDBG funding priorities or modify the proposed needs/funding priorities list. Prepared by: Carley Escarrega, Management Assistant Julie Mignogna, Management Analyst Approved by: Bryan McKinney, Public Works Director/City Engineer Attachment: 1. Fiscal Year 2021/22 CDBG Summary of Applications 109 RESOLUTION NO. 2020 - 040 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LA QUINTA, CALIFORNIA, ADOPTING PROPOSALS, AUTHORIZING THE CITY MANAGER TO SUBMIT APPLICATIONS FOR COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS, AND AUTHORIZATION FOR THE CITY MANAGER TO EXECUTE SUPPLEMENTAL AGREEMENT FOR FISCAL YEAR 2021/2022 WHEREAS, The City of La Quinta (City) is a participating jurisdiction in the Riverside County Economic Development Agency Community Development Block Grant Program, and WHEREAS, the City and County of Riverside (County) cooperatively administer the Community Development Block Grant (CDBG) program under the provision of the Cooperative Agreement executed between the City and County, and under applicable U.S. Department of Housing and Urban Development rules; and WHEREAS, the Design and Development Department published a public hearing notice in The Desert Sun newspaper on November 20, 2020, announcing the public hearing date, availability of funds, and requesting proposals; and WHEREAS, pursuant to said agreement, the City Council held a public hearing on December 1, 2020, to consider public comments on community needs and the use of such funds; and WHEREAS, the Community Development Block Grant Funds for Fiscal Year 2021/2022 is estimated to be approximately $151,000 to begin July 1, 2021; and WHEREAS, the City of La Quinta must submit project applications to the Riverside County Economic Development Agency; and WHEREAS, merits of all proposals were openly discussed and considered; and WHEREAS, by a majority vote of the City Council of the City of La Quinta, California, the following proposal(s), or reprogramming(s), were selected: Resolution No. 2020-040 Adopting Proposals & Supplemental Agreement for CDGB Funds 2021/2022 Adopted: December 1, 2020 Page 2 of 3 PROJECT NAME SPONSOR AMOUNT Miscellaneous ADA Improvements City of La Quinta $128,350 Fee Waiver/Reduction Program Coachella Valley Boys and Girls Club La Quinta Unit $22,650 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of La Quinta, California, as follows: SECTION 1. That the City of La Quinta hereby selects the above-named projects, for use of Community Development Block Grant funds. SECTION 2. That the City Council hereby directs the City Manager to prepare and submit the designated applications to the Riverside County Economic Development Agency in a timely manner proposing the named use of funds. SECTION 3. That the City Council hereby authorizes the City Manager to approve and execute the 2021/22 Supplemental Agreement between the Riverside County Economic Development Agency and the City. SECTION 4. That the City Council hereby authorizes the City Manager to execute any and all necessary documents and other agreements to consummate all activities in this resolution. SECTION 5. If there is shortfall in funding, the City Council directs the City Manager to request the County to increase the City’s public service cap in order to fully fund public service approved applications. PASSED, APPROVED, and ADOPTED at a regular meeting of the La Quinta City Council held on this 1st day of December 2020, by the following vote: AYES: Council Members Fitzpatrick, Peña, Radi, Sanchez, Mayor Evans NOES: None ABSENT: None ABSTAIN: None