That the City Council:
A. Receive public comments; and

B. Consider and approve the Fiscal Year 2021-2022 Annual Action Plan for the City of La Habra Community Development Block Grant Program; and,

C. Approve and authorize the City Manager to execute the City of La Habra’s annual application and certifications and submit the Annual Action Plan to the U.S. Department of Housing and Urban Development for its Community Development Block Grant Funding Approval/Agreement in the amount of $636,529.

As an “Entitlement Grantee,” the City of La Habra (City) receives an annual allocation of federal funds from the U.S. Department of Housing and Urban Development (HUD) through its Community Development Block Grant (CDBG) Entitlement Program.  Entitlement Grantees use CDBG funds to develop local programs geared towards low and moderate-income households in such areas as affordable housing, anti-poverty, and infrastructure development.  Traditionally, the City uses its CDBG Entitlement to assist local non-profits, housing programs, infrastructure, and City activities that comply with HUD’s national objectives to provide adequate housing, safe living environments, and the expansion of economic opportunities for low and moderate-income individuals.

The City is required to submit a 5-year Consolidated Plan (currently 2020-2024) that outlines La Habra’s overall housing and community development needs and provides a strategy to address those needs within each five-year period.  Each year the City is required to submit an Annual Action Plan that outlines proposed activities for the annual allocation of CDBG grant funding and relates back to the five-year priority needs that are identified in the Consolidated Plan. Each of the Public Facility Improvement Projects proposed in the draft Action Plan are expected to be multi-year projects.  Some projects began during FY 2020-2021; others may require future CDBG funding for completion.

The Annual Action Plan includes a participatory process that provides the public an opportunity to provide input.  In accordance with La Habra’s Citizen Participation Plan, the La Habra Community Services Commission (CSC) accepts public comments on funding priorities for the upcoming year. The Commission has conducted two public meetings.  On January 13, 2021, the Commission considered presentations from public services and City departments that submitted requests for CDBG funding.  On February 10, 2021, the Commission made their final recommendations for funding levels. 

The table below lists the Fiscal Year 2021-2022 funding recommendations for the CDBG program.  Community Development staff have proportionally reduced recommended amounts made by the Commission because HUD released the final numbers for FY 2021-2022 on February 25, 2021, which were almost $50,000 lower than anticipated.

               FY 2021-2022 RECOMMENDED ACTION PLAN ALLOCATIONS

Estimated Allocation                            $636,529 Carryover                                             $      0.00 Total Estimated Available Funds          $636,529
PROPOSED PROJECTS	PROPOSED ALLOCATION
Administration (Limited to 20%: $127,305)
Administration	$127,305
Total Administration	$127,305
Public Facilities
Community Center Parking Lot	$196,623
Old Reservoir Park Improvement	$  33,000
Alley Improvement Program	$150,377
Aldrich Improvement Project	$  33,745
Total Public Facilities & Improvements	$413,745
Public Services (Limited to 15%: $95,479)
Community Services – Graffiti Removal	$61,107
Community Services – La Habra Community Employment Program	$16,231
Fair Housing Foundation	$8,593
Mercy House	$9,548
Total Public Services	$95,479
TOTAL	$636,529

The draft Fiscal Year 2021-2022 Annual Action Plan was made available for public review and comment for a 30-day period on March 19, 2021.  At the time of the preparation of this report, staff had not received any public comments.  The Annual Action Plan is due to HUD by May 15, 2021.

The City of La Habra’s total CDBG entitlement for Fiscal Year 2021-2022 is $636,529.

LU. 2.3 Places to Work
LU. 2.5 Places Supporting the Quality of Life
LU. 17.1 Adequate Community-Supporting Uses
ED. 2.1 Business Attraction
ED. 2.2 One-Stop Business Assistance
ED. 2.3 Business Attraction-Retention
ED.7.1 Adult Health & Lifestyle Enrichment Programs
ED. 7.5 New Homebuyer Counseling
ED. 7.8 Resident Nutrition
H. 2.1 Maintain Residential Character
H. 2.3 Supportive Public Facilities
H.2.8 Rehabilitation & Home Improvement Program
H.3.2 Assistance to Prevent Housing Discrimination
H.3.5 Special Needs of the Homeless