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HomeMy WebLinkAbout07 CDBG 1 YR ACT. PLAN 05-05-97NO. 7 5-5-97 DATE: MAY 5, 1997 Inter-Com TO: WILLIAM A. HUSTON, CITY MANAGER FROM: COMMUNITY DEVELOPMENT DEPARTMENT SUBJECT: FINAL COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) ONE-YEARACTION PLAN FOR FY 1997-98 SUMMARY: The Community Development Department is requesting that the City Council adopt the Fiscal Year 1997-98 One-Year Action Plan and authorize transmittal to the U.S. Department of Housing and Urban Development (HUD) to enable the City to receive Community Development Block Grant (CDBG) funds. RECOMMENDATION That the City COuncil adopt the Final Community Development Block Grant (CDBG) one-year Action Plan and authorize transmittal to the U.S. Department of Housing and Urban Development (HUD) for review and approval. FISCAL IMPACT No fiscal impact on the General Fund is anticipated with the adoption of the Action Plan. Adoption and subsequent submission of the plan to HUD will enable the City to receive federal Community Development Block Grant funds. BACKGROUND On February. 26, 1997, prior to the development of the Action Plan, a public meeting/hearing was held by the Ad Hoc Citizen Participation Committee to identify Tustin's housing and community needs. Notice of the Availability of a draft one-year Action Plan was published on March 20, 1997 in a local newspaper of general circulation, thereby initiating a 30-day comment period on the document. On April 7, 1997, during the 30-day comment period, the City Council held a public hearing to obtain citizen input and comments on the use of fiscal year 1997-98 CDBG funds for inclusion into the draft one-year Action Plan. The Plan serves as the application to HUD for CDBG funds. City Council Report Final CDBG One-Action Plan May 5, 1997 Page 2 The public comment period for the Action Plan closed April 21, 1997. No comments were received. On or before May 15, 1997, 45 days prior to the starting of the funding year, the adopted Action Plan will be submitted to HUD. The 1997-98 Fiscal Year for the CDBG program will begin July 1, 1997. CONTENTS OF THE ACTION PLAN The final Action Plan is consistent with the Council's April 7 decision regarding funding requests and priorities. Changes cannot be made without holding a public hearing. The Plan contains all required components prescribed by HUD regulations including: an application form; narrative sections on available and potential housing and community development resources, activitie~ to be undertaken, homeless and other special needs programs; maps illustrating the location of the various projects funded; and, HUD-required certifications and assurances. For convenience in using the document, staff has also included an executive summary. P ula Ran i~n " · A~sociate~Planner Elizabeth A. Binsack Director of Community Development Attachment: 1997-98 One-Year Action Plan PR: kd: kbm\ccreport \atplan97. pr City of Tustin 1997 98 Action Plan: One-Year Use of Community Development Block Grant (CDBG)Funds TABLE OF CONTENTS Executive Summary ............................................... i A. Form Application - Standard Form 424 ................................ 1 B. Housing and Community Development Resources ......................... 2 C. Activities to be Undertaken ........................................ 8 D Geographic Distribution .......................................... 31 E. Homeless and Other Special Needs .................................. 32 F. Other Actions · .' · · · · · · ..... · ..... · .............. · ............. 33 G. Program-specific Requirements .................................... 36 Certifications ................ · ................. · · . · · · . . . . . . . . . . 37 Support of Applications by Other Entities Report .......... ................. 44 Funding Sources ................................................ 45 LIST OF TABLES Table Available Public and Private Resources for Housing and Community Development Activities ....................... 2 Potential Public and Private Resources for Housing and Community Development Activities ....................... 3 3 Listing of Proposed Projects ........................ ~ ............ 12 4 Listing of Homeless and Other Special Needs Activities .................. 32 EXECUTIVE SUMMARY Back~ound The Consolidated Plan for the City of Tustin, a five-year planning document submitted to the U.S. Department of Housing and Urban Development (HUD) in May of 1995, introduced a new consolidated application process for major HUD entitlement grants, including the Community Development Block Grant (CDBG) program. The Consolidated Plan identifies the City's overall housing and community development needs and outlines a strategy to address those needs for low- and moderate-income persons and families. One section of the Consolidated Plan, called the Action Plan, details a community's specific, use of funds for one grant year. An Action Plan is required annually for each of the five years covered by the Consolidated Plan. Programs and projects indicated in the Action Plan address needs identified in the Consolidated Plan. Organization of the 1997-98 Action Plan The City of Tustin Action Plan for Fiscal Year 1997-98 contains all federally required sections. Those include: Standard Form 424 Housing and Community Development Resources A description of available and potential private and public funding sources. Activities to be Undertaken A description of community needs indicated in the Consolidated Plan and a list of projects and programs funded with 1997-98 CDBG funds allocated to the City of Tustin. Geographic Distribution Maps indicating 'the CDBG target areas, based on income levels and slum/blight conditions, and the location of projects funded with Fiscal Year 1997-98 CDBG monies. Homeless and Other Special Needs A description of Fiscal Year 1997-98 activities targeting the needs of the homeless. Other Actions A description of actions the City of Tustin will undertake to meet underserved needs. Specific Program Requirements A description of CDBG funds expected to be available during the 1997-98 program year. Certifications and Miscellaneous HUD required certifications and assurances. One-Year Use of Funds The City of Tustin has allocated CDBG funds to a variety of eligible projects to meet community housing and non-housing needs. The following is a listing of all activities funded for FY 1997-98: Amount of Available Funding · Total grant award $722,000 · 15 % max. available for public services $108,300 · 20% max. available for administration, planning studies, etc. Amount available for other projects $144,400 $469,300 Public Service Activities (Maximum Funds Available- $108,300) Tustin Community Services Department - Tustin Family Youth Center staff $ 35,600 · Graffiti Removal - CDBG target areas $13,000 · Feedback Foundation, Inc. $14,960 (Project TLC) Orange Children & Parents Together, Inc - Head Start Pre-school Program (facility rem) $13,100 Boys and Girls Club of Tustin- "Branch" Boys and Girls Club at Heideman School $ 20,000 Assessment and Treatment Services Cemer (Youth/family counseling cemer) $ 6,000 Easter Seal Society- Heideman After-school Program $ 1,000 Laurel House (Temporary housing for teenagers in crisis) $ 4,640 Public Service Subtotal $108,300 Public Facilities and Improvements Valencia Avenue/Armstrong Avenue Final Design $314,300 .Boys & Girls Club of Tustin- Facility Improvements/Renovation $ 20,000 Rehabilitation and Preservation Activities Code Enforcement- Southwest Neighborhood $115,000 Special Economic Development Activities MCAS Tustin Marketing of Incentive Programs for Job Creation - outreach, technical assistance, grants, loans, etc. $ 20,000 Other Projects Subtotal $469,300 Program Administration/Planning Costs (Maximum Funds Available- $144,400) · Fair Housing Counseling Agency $ 5,000 CDBG Program Administration, Cost Recovery, Contingency $ 45,000 MCAS-Tustin Site Plan/Engineering Study and Analysis - accommodate interim uses $ 20,000 MCAS-Tustin Marketing Strategy and Media Plan $ 20,000 MCAS-Tustin Financing Studies - development of detailed finance strategies for implementation of public improvements and other redevelopment 111 $ 20,000 · MCAS-Tustin Caretaker/Maintenance Study $ 24,400 Saddleback Community College District - MCAS Tustin Learning Village Planning Study Administration Subtotal Total Public Service Projects Total Other Projects Total Administration Projects/Costs Total Allocation $10,000 $144,400 $108,300 $469,300 $144,400 $722,000 PR:kd\cdbg97\¢xecsum.doc March 20, 1997 iv ACTION PLAN: ONE YEAR USE OF FUNDS The Action Plan delineates the City of Tustin's funding priorities and allocations for the use of Program Year 1997-98 Community Development Block Grant (CDBG) funds. The Plan describes: the resources available for program implementation; activities to be undertaken during the year; programs for the City's homeless and other special needs groups; and, other actions taken by the City that have or will be undertaken to implement the Action Plan. A. Form Application Standard Form 424 is attached. OMB Approval No. 0348-004 /'t I" I" L I L, A I IUN I-O!'( 2. DATE SUBMITTED: ! ppi,can! Ident~er - FEDERAL ASSISTANCE os/zs/97 B-97-MC-06-0583 1. TYPE OF SUBMISSION: 3. DATE RECEIVED BY STATE State/kophcahon Identifier Appl, caho. Preap~l, ca',,on / E~] Construct,on r"'] Construchon 4. DATE RECEIVED BY FEDERAL AGENCY Federal Identifier 5. APPLICANT INFORMATION Legal Name: Organizational Unit: City of Tustin Community Development Department Address (give aty, county, state, and zip code): Name and telephone number of person lo be contacted on matter involving 3 0 0 Centenn±al Way this applicat~3 (give area code) Paula Rank±n, Associate Planner Tustin CA 92680- (714) 573-3118 6. EMPLOYER IDENTIFICATION NUMBER ~EIN); 7. TYPE OF APPLICANT: (enter approphate letter in box) - I l l-J lololol lol l A Sram H. Interdependant School B County I. State Contmfled Inst~ution of Higher Learning -C. Municipal J. Private University 8. TYPE OF APPUCATION: D. Township K. Indian Tribe E. Interstate g Individual r~ New ~-] Continuation [~ Revis,on F. Inlermunic~pal M. Prof, Organization G. Special Distnct N. Other (Specify) If ReviSion. enter appropriate letter(s) in box(es): A Increase Award B. Decrease Award C. Increase Duration D. Decrease Duration Other (spe=fy): 9. NAME OF FEDERAL AGENCY: U.S. Dept. of Housin9 & Urban 10. CATALOG OF FEDERAL DOMESTIC I 14 - 218 11. DESCRIPTIVE TITLE OF APPLICANT'S I PROJECT: ASSISTANCE NUMBER Community Development Block Grant Ti~t£:Title I - Community Development Block Program (FY 1997-98) One-Year Action Grant Plan: To provide funding for eligible 12. AREA AFFECTED BY PROJECT (cities, count, es. states, etc.): activities to benefit low- and City of Tustin moderate-income persons and eliminate slum and blight. 13. PROPOSED PROJE~T; 14. CONGRESSIONAL DISTRICTS OF; Start Date Ending Date a. Applicant b. Project 07/01/97 06/30/98 46th and 47th Districts 46th and 47th Districts 15. ESTIMATED FUNDING: 16. IS APPLICATION SUBJECT TO REVIEW BY STATE EXECUTIVE ORDER 12372 PROCESS? a. Federal $ 7 2 2,0 0 0 .00 a. YES THIS PREAPPLICATION / APPLICATION WAS MADE AVAILABLE TO THE STATE EXECUTIVE ORDER 12372 PROCESS FOR REVIEW ON: b.App,i~, s 0 .o0 / / DATE .... c.State $ 0 .00 b. NO ~ PROGRAM IS NOT COVERED BY E.O. 12372 d. Local $ 0 .00 E~ OR PROGRAM HAS NOT BEEN SELECTED BY STATE FOR REVIEW e. Other $ 0 .00 f. Program Income $ 0 .00 17. IS THE APPLICANT DELINQUENT ON ANY FEDERAL DEBT? g. TOTAL $ 7 ~. ~, 0 0 0 .00 [-'-] Yes If "Yes," attach an explanation P~ No 18. TO THE BEST OF MY KNOWLEDGE AND BELIEF, ALL DATA IN THIS APPLICATION/PREAPPLICATION ARE TRUE AND CORRECT. THE DOCUMENT HAS BEEN DULY AUTHORIZED BY THE GOVERNING BODY OF THE APPLICANT AND THE APPLICANT WILL COMPLY WITH THE ATTACHED ASSURANCES IF THE ASSISTANCE IS AWARDED. a. Typed Name of Authorized Representive b. Title c. ~'elephone number Elizabeth A. Binsack Director of Comm. Dev. (714) 573-3118 d. Signatur~,~)flo~ed Represe~ e. Date Signed -- -- Previous Editions Not Usable Authorized for Local Reproduction Standard Form 424- (REV 4-88 Presc~bed by OMB Circular A-10: U. S.. ~lopment ~rtment of Housin~ and Urban Consolidated Plan System SF424 Supporting Document In reference to submission: Applicant Identifier: State Identifier: Federal Identifier: Contact person: B-97-MC-06-0583 Paula Rankin, Associate Planner (714) 573-3118 17. If applicant is delinquent on any Federal debt, attach an explanation: N/A B. Resources There are numerous potential sources of funding which might enable the City of Tustin to address priority housing and community development needs and specific objectives identified in the Strategic Plan component of the Consolidated Plan. However, actual financial resources currently available to the City are somewhat limited. A variety of resources must be used to attain the City's goals and objectives, described in the Consolidated Plan. Throughout the fiscal year, the City will continue to pursue additional funding opportunities. The City's goal is to leverage, to the maximum extent feasible, the use of available federal, state, local funds with private monies in the creation of viable communities, development of affordable housing, and the maintenance and preservation of existing housing. To ensure the financial feasibility of a project, the City will consider the use of funds from other sources, such as Redevelopment Housing Set-Aside Funds, to further affordable housing and community development goals whenever a match, grant or loan is necessary or appropriate. The City of Tustin does not currently own property which is available to be used for provision of housing and suitable living environments or expanding economic opportunities primarily for low- and moderate-income persons. The following resources are anticipated to be available for the 1997-98 fiscal year: TABLE 1 AVAILABLE PUBLIC AND PRIVATE RESOURCES FOR FY 1997-98 HOUSING AND COMMUNITY DEVELOPMENT ACTIVITIES Program Type ] Program Name I Description I Eligible Activities · · : .i::,:. :':'~4~ ::. ~., ~ ;. :' ,,. ~,. :. ' ', .. ~i~ i ;~ i'.~ .' ... ~.,i., ',i' i.i~' :::~ .. . . . ' a. Formula/ Community Development Grants awarded to the City · Acquisition Entitlements Block Grant (CDBG) 1997- on a formula basis for · Rehabilitation 98 Funding - $722.000 housing and community · Economic Development development activities. · Homeless Assistance · Public Services · Public Improvements/ Facilities · Code Enforcement · Planning HOME Flexible grant program · Acquisition Funding - $190.000 awarded to the City on a · Rehabilitation allocated formula basis for housing · Home Buyer Assistance under Urban County activities. · Rental Assistance Pro,ram Program Type Program Name Description Eligible Activities Mortgage Credit Certificate Income tax credits · Home Buyer Assistance Program available to first-time Funding - $1,500,000 homebuyers for the purchase of new or existing housing. Local agencies (County) make certificates available. b. Competitive McKinney Act Assistance for transitional · Rehabilitation Programs Supportive Housing Program housing for single men and · New Construction (SHP) - $1,050,552 women. · 2. Local Programs Tustin Redevelopment 20 percent of Agency funds · Acquisition Agency Housing Set-Aside are set aside for affordable · Rehabilitation housing activities governed · New Construction by state law. a. Multi-Family Residential Assistance to owners of · Rehabilitation Rehabilitation - multi-family projects Loan/Grant occupied by low-income Program persons. Funding - $275,000 b. Single-Family Residential Assistance to low-income · Rehabilitation Rehabilitation - owners occupying single Loan/Grant family dwellings. Program Funding - $ 75,000 c. Business Development Assistance to promote the · Business start-up Assistance development of new assistance businesses. · Technical assistance · Site locating & space planning d. Business Financing Financial assistance and · Property acquisition Assistance incentives to promote · On-site & off-site business growth improvements · Industrial development bonds · Tax increment financing · Micro loans e. Employment Assistance Assistance focused on the · Tax credits for job hiring and retention of creation employees. · Employee home purchase or rental programs · Technical assistance TABLE 2 POTENTIAL PUBLIC AND PRIVATE RESOURCES FOR FY 1997-98 HOUSING AND COMMUNITY DEVELOPMENT ACTIVITIES Pr°gramType 1 Pr°gramName -~ Description I Eligible Activities 1. Federal programs -. · .' a. Formula/ Housing Opportunities for Entitlement and · Acquisition Entitlements Persons with AIDS 0rlOPWA) Competitive Grants for · Rehabilitation Housing Assistance and · Support Services Supportive Services for PWAs. Grants are awarded to the region on a formula basis and administered by County. b. Competitive HOPE Home ownership assistance · Public Housing Programs awarded on a competitive Ownership (HOPE 1) basis, requires non-federal · Home Ownership of matching funds. Multi-Family Units (HOPE 2) · Home Ownership for Single-Family Homes (HOPE 3) McKinney Act Grants to imProve quality · Homeless Assistance a. Emergency Shelter Grants of existing shelters/increase (Acquisition, New (ESG) number of new shelters for Construction, the homeless. Funds are Rehabilitation, awarded to local non-profits Conversion, Support through the state/county. Services) b. Supportive Housing Program Assistance for transitional · Acquisition (SHP) housing for homeless · Rehabilitation individuals and families and · New Construction permanent housing for · Operating Costs handicapped homeless. · Supportive Services c. Shelter Care Plus Program Supportive housing and · Rental Assistance (S&C) services for persons with disabilities - Grants for rental assistance offered with support services to homeless with disabilities and disabled households. d. Section 8 Moderate Funds for rehabilitating · Rehabilitation Rehabilitation Single Room single room units within a- · New Construction Occupancy Program (SRO building of up to 100 units. Section 8). The provision of supportive services is optional Section 8 Rental assistance payments · Rental Assistance Rental Assistance Program to owners of private market rate units on behalf of very low income ten, ants. Administered by County housin~ authority. Program Type Program Name Description Eligible Activities Section 202 Supportive Housing for the · Acquisition Elderly - Grants to non- · Rehabilitation profit developers of · New Construction supportive housing for the · Rental Assistance elderly. · Support Services Section 811 Grants to non-profit · Acquisition developers of supportive · Rehabilitation housing for persons with · New Construction disabilities, including group · Rental Assistance homes, independent living facilities and intermediate care facilities. Programs : Emergency Shelter Program Grants awarded to non- · Support Services profit organizations for shelter support services. Mobile Home Park Conversion Funds awarded to · Acquisition Program mobilehome park tenant · Rehabilitation organizations to convert mobile-home parks to resident ownership. Renta! Housing Construction Assistance for new · New Construction Program (RHCP) construction of rental units affordable to Iow income households. Pre-development Loan Program Loans for Pre-development · Acquisition (PLP) - Urban and Rural costs or "seed" money to · Pre-development Costs nonprofit corporations and local governments. California Housing Finance Below market rate · New Construction Agency (CHFA) financing offered to · Rehabilitation a. Multiple Rental Housing builders and developers of · Acquisition of Programs multiple-family and elderly Properties from 20 to rental housing. Tax exempt 150 units bonds provide below- market mortgage money. b. Minority and Small Business Encourages minority and · New Construction Development Program women-owned businesses in CHFA program to provide affordable housing. c. Self Help Housing Program' Homebuyer loans where · New Construction down payment is provided · Home Buyer by owner/builder labor or Assistance %wear equity. Program Type Program Name Description Eligible Activities d. Home Mortgage Purchase CHFA sells tax-exempt · Home Buyer Program bonds to make below Assistance market loans to first time homebuyers. Program operates through participating lenders who originate loans for CHFA purchase. Low Income Housing Tax Tax credits available to · New Construction Credit (LIHTC) individuals and corporations · Rehabilitation that invest in Iow income · Acquisition rental housing. Tax credits sold to corporations and people with high tax liability, and proceeds are used to create housing. California Homeownership Assistance to families at or · Home Buyer Assistance Program (CHAP) below the area median Assistance income. California Self-Help Housing Grants, loans and mortgage · Rehabilitation Program (CSHHP) assistance to Iow- and · New Construction moderate-income families improving property with their own labor. State/Local Rental Housing Assistance to multi-family · New Construction Program development sponsored by non-profit organizations or to which a local jurisdiction has made a loan or grant of a minimum of 10% of the development cost. Small Multi-Family Mortgage Loans for small low-income · New Construction Program multi-family housing projects. Tax Exempt Affordable Mortgage loan assistance · Acquisition Mortgage Program (TEAM) for multi-family rental · Rehabilitation housing for Iow-income · New Construction households. Single-Family Housing Home Mortgage loan assistance to · Home Buyer Mortgage Purchase Program - low- and moderate-income Assistance a. First Time Homebuyer families. b. Developer/Builder Construction financing · New Construction assistance to developers building affordable single- family housing. Self-Help Building Assistance Interim financing to non- · Site Acquisition Program profit organizations · Pre-Development sponsoring self-help · New Construction housing projects. Program Type- Program Name Description Eligible Activities California Housing Low interest loans for the · Rehabilitation (Repair Rehabilitation Program - rehabilitation of of Code Violations, a. Owner Component substandard homes owned Accessibility (CHRP-O) and occupied by lower- Improvements, Room income households. City Additions, General and non-profits sponsor Property housing rehabilitation Improvements) projects. b. California Housing Low interest loans for the · Rehabilitation Rehabilitation Program - rehabilitation of Repair of Code Renter Component substandard homes owned Violations, (CHRP-R) and occupied by lower- Accessibility income households. City Improvements, and non-profits sponsor Room Additions, housing rehabilitation General Property projects. Improvements · ~ 4. PriVate Resources/Financing ProgrTM . . . :.: .. Federal National Mortgage Loan applicants apply to Association (Fannie Mae): participating lenders for the following programs: a. Community Home Buyers Fixed rate mortgages issued · Home Buyer Program by private mortgage Assistance insurers. b. Community Home Mortgage Mortgages which fund the · Home Buyer Improvement Program purchase and rehabilitation Assistance of a home. · Rehabilitation c. Fannie Neighbors LOw Down-Payment · Home Buyer Mortgages for Single Assistance Family. Homes in underserved low-income and minority communities. d. Savings Association Pooling process to fund · New Construction of Mortgage Company 'Inc. loans for affordable single family and (SAMCO) ownership and rental multiple family rentals, housing projects. Non- cooperatives, self help profit and for profit housing, homeless developers contact member shelters, and group institutions, homes for the disabled. California Community Non-profit mortgage · New Construction Reinvestment Corporation banking consortium · Rehabilitation (CCRC) designed to provide long- · Acquisition term debt financing for affordable multi-family rental housing. Non-profit and for-profit developers contact member banks. Program Type Progr.___._..~am Name Federal Home Loan Bank Affordable Housing Program C. Activities to be Undertaken ___Description Direct subsidies to non- profit and for-profit developers and public agencies for affordable low income ownership and Eligible Activities · New Construction Table ffI-A in the City of Tustin's Consolidated Plan prioritizes housing and community development needs and estimates funding mounts to address those needs during the five- year period covered by the plan (July 1, 1995 to June 30, 2000). It is unrealistic that CDBG monies allocated to the City for the 1997-98 funding year could address all of the community's priority needs. Instead, allocations are focused toward specific projects addressing high community priorities and producing tangible community benefits. Needs rated by the community as high priorities and Tustin's Fiscal Year 1997-98 strategy to meet those needs are as follows: · Housing Needs Housing needs in Tustin are addressed through expenditure of a variety of resources. Housing programs currently assisted by the City include- Use of Redevelopment Project Area Housing Set-Aside Funds to finance rental multi-family .and owner-occupied single-family rehabilitation loan and grant programs. New for-sale housing projects assisted with Housing Set-Aside Funds. Mortgage Credit Certificate Program, administered through the County of Orange, providing homeownership opportunities for moderate-income persons. Housing programs currently being developed by the City include: First-time homebuyers program using HOME and Redevelopment funds Undertaking a study to identify opportunities and constraints for redevelopment in the southwest neighborhood. The consultant conduction the study will provide the City with~ three possible alternatives for housing/redevelopment programs. o Emergency rental assistance program o Emergency mortgage assistance program Additional strategies the City supports to address housing needs include' Continue to provide opportunities for affordable granny fiats and secondary residential dwelling units in the single-family residential district lots through existing Zoning Ordinance provisions. Continue to require developers converting apartments to condominiums to process a use permit, provide relocation assistance, and/or to provide incentives and assistance for purchase of the units by low- and moderate- income households. Encourage the County to continue its contract under the "Urban County" program for the provision of counseling and dispute resolution services by the Fair Housing Council. Require appropriate deed restrictions to ensure continued affordability for low- or moderate-income housing constructed or rehabilitated with the assistance of any public or Redevelopment Agency funds, as legally required. Allocate available CDBG and Redevelopment Agency funds to finance public improvements and rehabilitation of residential units in the City's target areas. Continue the provision of services by the Orange County Fair Housing Council to assure equal housing opportunities within the City. Provide referrals to the Orange County Housing Authority where necessary for the development and operation of federally assisted Iow- and moderate- income housing programs. Ensure that processing of permits for low- and moderate-income housing are fast-tracked with low and moderate income housing permits being given priority over other permit applications. Encourage the availability of Section 8 rental assistance certificates and voucher certificate program assistance funds through Orange County Housing Authority. Encourage the maintenance of existing and establishment of new certificates, support the County's efforts to obtain continued Federal funding. Monitor the implementation of the affordable housing program adopted as a part of the East Tustin Specific Plan. Use 20 percent housing set-aside funds as subsidies (i.e., land write downs, acquisition and rehabilitation assistance grants and loans, etc.) from the South/Central Redevelopment Project to reduce the affordability gap for developing new and rehabilitating existing owner and rental units for low- and moderate-income households. Continue to provide housing referral services to families in need of housing assistance and information. o Preserve existing assisted housing. · Public Facility Needs Youth centers, neighborhood facilities, child care centers, parks and recreational facilities. Previous year's CDBG and Redevelopment Project Area funds were monies allocated to a youth center construction and rehabilitation project. Current year's funding is also provided for salaries and benefits for program staff. · Infrastructure Improvements o Street and sidewalk improvements. Engineering design, related to the reuse of MCAS-Tustin. o Replacement of flood control and/or storm drain improvements. Substantial funding for infrastructure improvements in Iow- and moderate-income areas is provided. · Public Service Needs Senior services, youth services, employment, crime awareness, child care services. Funding is provided to organizations which directly benefit low- and moderate- income persons through the provision of senior meal services; youth counseling, 10 early education, and recreation services; after-school care for disabled children; and graffiti removal. · Economic Development Needs o Incentive programs for job creation, especially at MCAS-Tustin. o Commercial/Industrial infrastructure, other economic development needs. Current fiscal year's funding is allocated to the promotion of programs to create job and employment opportunities at MCAS-Tustin including loans, grants, technical assistance, and/or outreach to prospective employers. · Other Community Development Needs o Code enforcement · Funding is provided for code enforcement activities focused in low- and moderate- income neighborhoods. The code enforcement efforts support a housing rehabilitation program funded with non-federal monies. · Planning/Administration o Various planning studies Fair housing activities Funding is provided for a site plan/engineering study, a media plan, financial studies and other planning activities associated with the reuse of MCAS-Tustin, a CDBG low- and moderate-income target area. Funding is also provided for fair housing complaint resolution, monitoring and planning activities. PR: kd\cdbg97La, ctPlan, doc 11 u 0 , mZU .< < ~0~0 ~ R ,.. 0 000 z 0 · © z' ~0~0 U~~ 0 o 0 "-' 000 ZZZ H LT.,, 0 c~ ~00 ~ZZ o~ .-*E~ 0 ~ Z~ o o,..~ oo 0 ~o~o ooo ~Oo~ © Z o © D. Geographic Distribution Tustin is a relatively small jurisdiction with limited areas which meet the federal criteria of slum and blight, as defined under California State Redevelopment Law, or concentrations of low- and moderate-income persons. Nevertheless, FY 1997-98 funds have been allocated on the basis of meeting the national objectives of the CDBG program, including programs addressing slum and blight and/or benefitting low- and moderate- income persons. Further, boundaries of the South Central Redevelopment Project Area overlap areas of low- and moderate-income concentrations. The Tustin community believes it is important to focus public services and improvements in that portion of the city, known as the Southwest Neighborhood. The 1997-98 Action Plan reflects those "geographic" priorities for allocating investment. Maps illustrating Tustin's target areas for CDBG funded projects are on the following pages. 31 ,, crl~ 1ALT& CDBG ELIGIBLE AREAS OF LOW- AND MODERATE- INCOME CONCENTRATIONS CITY OF OP. AIISE COUKT¥ OF ORA#GE ;/ OF M ARINI:" CORPS ~.IR STATION CDBG ELIGIBLE AREAS BASED ON SLUM AND BLIGHTED CONDITIONS ~ OF \ SI. IT& 16 ul m3&7 · 10 "8&11 // tttt tltltt m2&5 · 9, 12, 15, 16, 17, 181 & 19 iilYm FY 1997-98 CDBG PROJECTS E. Homeless and Other Special Needs Activities Statistical data, including the 1990 census and data maintained by the Tustin Police Department, indicate that homelessness is not a major component of our community. Nevertheless, it is recognized that homelessness is a regional issue for which the City of Tustin must provide a "fair share" of services to address the needs of the homeless. In late 1996, Tustin was awarded more than $1 million for a supportive housing facility under the Continuum of Care Homeless Assistance Grant program. The grant will be used to renovate existing military barrac -ks for use as a transitional living facility for 190 single men and women. In addition, Tustin has allocated the maximum allowable amount of its CDBG funds to public service programs. While some of the organizations funded do not directly serve the homeless, many of their activities may prevent homelessness. For the 1997-98 fiscal year, the following organizations providing homeless services have been selected for funding: TABLE 4 LISTING OF HOMELESS AND OTHER SPECIAL NEEDS ACTIVITIES FOR FY 1997-98, Target Funding Organization Program Name Population Special Needs Amount Federal' Formula/Entitlement Grants i!!. ~'~:::~iii::i'i; ~::.i ..~i~ ..~ i!i~:II~ i, iiiii~ :'ii:': ~: ;: ! ~!~:'i':'I; ': ..i":.~:.;i?i.'iI~ i. i !~ ;~ '~i:, :'' i. '...~ Laurel House Temporary housing for Youth Youth in crisis $ 4,640 teenagers in crisis :: .... . .: ,': . .. :!,.,,; :5!:.!-~.. :;.. ;:.:....: .:....... sPecial Needs ACtivities' Senior Services : .i:'..ii :"~:':. ,.' ;: :... : ',.' Feedback Foundation Project TLC - Senior Meal Elderly Low/mod elderly $ 14,960 Program · : :.i - ~"~ /'.. F i:leral Competlnve Grants: · , HomeleSS~Activities, TransitiOnal! H6ukini?~:~:i~?i City of Tustin/Orange ' Transitional living center Single men and Homeless $1,050,552 County Rescue Mission women individuals Total $1,070,152 32 F. Other Actions 1. General The five-year Consolidated-Plan contains a housing and homeless needs assessment which describes estimated housing need for low- and moderate-income residents, special needs populations and the homeless. During the 1997-98 funding ),ear, the City of Tustin will undertake the following actions to address obstacles to meeting underserved needs including: · Foster and maintain affordable housing The City will continue to use available federal, state and local resources to foster and maintain affordable housing through housing rehabilitation programs for multi- and single-family dwelling units and provide and/or maintain homeownership opportunities through a first-time homebuyer program and an emergency mortgage program. · Remove barriers to affordable housing As stated in the Consolidated' Plan, the City has adopted indirect assistance programs to address negative impacts created by barriers to affordable housing. The following summarizes the types of programs Tustin has included into its Housing Element and will continue to promote during the 1997-98 funding year: o Secondary Resident Units. Deed Restrictions o Fees, Exactions, and permit Procedures Environmental Constraints Pre-application Conferences o Shared-Housing o Permit Processing and Coordination o Section 8 Rental Assistance 33 Recycling Single-Family Uses in R-3 Zones Into Multiple-Family Units o Housing Referral Program · Evaluate and reduce lead-based paint hazards The City's Consolidated Plan notes that there does not appear to be a great number of housing units at risk of lead-based paint hazard. However, to comply with Title X of the Housing and Conununity Development Act of 1992, the City will implement into its housing policies over the next five years the following: Include lead-based paint hazard reduction as an eligible activity in rehabilitation programs; Review existing regulations, housing and rehabilitation codes to assure lead- based paint hazard reduction is incorporated; Require testing and hazard reduction in conjunction with rehabilitation; and, Require inspections for lead at appropriate times when housing is otherwise being inspected or evaluated. · Reduce the number of poverty-level families The City continues to support and implement several goals, policies and programs, as noted in the Housing Element of the General Plan, designed to provide adequate, safe and affordable housing to all segments of the population. Those goals include: Providing an adequate supply of housing to meet the City's need for a variety of housing types to meet diverse socio-economic needs. Ensure equal housing opportunities for all existing and future city residents. o Ensure a reasonable balance of rental and owner-occupied housing. o Preserve the existing supply of affordable housing. o Conserve, maintain, rehabilitate and/or replace existing housing in 34 neighborhoods which are safe, healthful and attractive, in accordance with adopted Land Use policy. Develop institutional structure The City will continue to be involved in "network-building" activities with governmental, for-profit and non-profit organizations. This includes attendance at quarterly meetings of the Orange County Housing Authority Advisory Committee. Tustin will also continue to fund the Fair Housing Council of Orange County which provides fair housing and advocacy services for the region. Further, the City will continue to encourage and participate in efforts to work collectively and cooperatively with other Orange County jurisdictions. Enhance coordination between public and private housing and social service agencies The City of Tustin does not own or operate any public housing projects. Nevertheless, the City will continue to support and encourage efforts of the Orange County Housing Authority to coordinate between private housing and social service agencies. Foster public housing improvements and resident incentives While the City does not own or operate any public housing projects, Tustin will continue to support and encourage public housing improvements and resident incentives as carried out by the Orange County Housing Authority. Use available federal, state and local financial resources to meet underserved needs. Coordinate with federal, state, and local agencies to provide appropriate assistance to residents. Coordinate with public service providers to promote adequate services to residents. o Work to 'provide physical improvements to slum and blighted areas and neighborhoods with concentrations of low- and moderate-income areas. Public Housing The City of Tustin does not have a Housing Authority. Instead, the Orange' County 35 Housing Authority (OCHA) provides public housing and a variety of housing assistance programs to qualifying city residents. The City does not own or operate public housing and no public housing developments are proposed for Fiscal Year 1997-98. G. Program - Specific Requirements 1. CDBG A description of all CDBG funds expected to be available during the 1997-98 program year is provided in Table 1. A more comprehensive listing of the City's proposed use of those funds is provided in Table 3. No program income has been received from the previous program year; none is anticipated for 1997-98. The City has no urban renewal settlements, grant funds returned to the line of credit or income from float- funded activities. 36 CERTIFICATIONS In accordance with the applicable statutes and the regulations governing the consolidated plan regulations, the City of Tustin certifies that: Affirmatively Further Fair Housing -- The jurisdiction will affirmatively further fair housing, which means it will conduct an analysis of impediments to fair housing choice within the jurisdiction, take appropriate actions to overcome the effects of any impediments identified through that analysis, and maintain records reflecting that analysis and actions in this regard. Anti-displacement and Relocation Plan -- It will comply with the acquisition and relocation requirements of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended, and implementing regulations at 49 CFR 24; and it has in effect and is following a residential antidisplacement and relocation assistance plan required under section 104(d) of the Housing and Community Development Act of 1974, as amended, in connection with any activity assisted with funding under the CDBG or HOME programs. Drug Free Workplace -- It will or will continue to provide a drug-free workplace by' o Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the grantee's workplace and specifying the actions that will be taken against employees for violation of such prohibition; , Establishing an ongoing drug-free awareness program to inform employees about - (a) The dangers of drug abuse in the workplace; (b) The grantee's policy of maintaining a drug-free workplace; (c) Any available drug counseling, rehabilitation, and employee assistance programs; and o ° (d) The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace; Making it a requirement that each employee to be engaged in the performance of the grant be given a copy of the statement required by paragraph 1; Notifying the employee in the statement required by paragraph 1 that, as a condition of employment under the grant, the employee will - 37 o o (a) Abide by the terms of the statement; and (b) Notify the employer in writing of his or her conviction for a violation of a criminal drug statute occurring in the workplace no later than five calendar days after such conviction; Notifying the agency in writing, within ten calendar days after receiving notice under subparagraph 4(b) from an employee or otherwise receiving actual notice of such conviction. Employers of convicted employees must provide notice, including position title, to every grant officer or other designee on whose grant activity the convicted employee was working, unless the Federal agency has designated a central point for the receipt of such notices. Notice shall include the identification number(s) of each affected grant; Taking one of the following actions, within 30 calendar days of receiving notice under subparagraph 4(b), with respect to any employee who is so convicted - (a) T 'aking appropriate personnel action against such an employee, up to and including termination, consistent with the requirements of the Rehabilitation Act of 1973, as amended; or (b) Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency; ° Making a good faith effort to continue to maintain a drug-free workplace through implementation of paragraphs 1, 2, 3, 4, 5 and 6. Anti-Lobbying -- To the best of the jurisdiction's knowledge and belief: o No Federal appropriated funds have been paid or will be paid, by or on behalf of the City of Tustin, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement;. . If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, 'grant, loan, or cooperative agreement, it will complete and submit Standard Form-LLL, "Disclosure Form to Report 38 Lobbying," in accordance with its instructions; and o The City of Tustin will reqfiire that the language of paragraph 1 and 2 of this anti-lobbying certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. Authority of Jurisdiction -- The consolidated plan is authorized under State and local law (as applicable) and the jurisdiction possesses the legal authority to carry out the programs for which it is seeking funding, in accordance with applicable HUD regulations. Consistency with plan-- The housing activities to be undertaken with CDBG, HOME, ESG, and HOPWA funds are consistent with the strategic plan. Section 3 -- It will comply with section 3 of the Housing and Urban Development Act of 1968, and implementing regulations at 24 CFR Part 135. Signature/Authorized Official Date Director of Community Development Title Specific CDBG Certifications The Entitlement Community certifies that: Citizen Participation -- It is in full compliance and following a detailed citizen participation plan that satisfies the requirements of 24 CFR 91.105. Community Development Plan -- Its consolidated housing and community development plan identifies community development and housing needs and specifies both short-term and long-term community development objectives that provide decent housing, expand economic opportunities primarily for persons of low and moderate income. (See CFR 24 570.2 and CFR 24 part 570). Following a Plan -- It is following a current consolidated plan (or Comprehensive Housing Affordability Strategy) that has been approved by HUD. Use of Funds -- It has complied with the following Criteria: . Maximum Feasible Priori .ry. With respect to activities expected to be assisted with CDBG funds, it certifies that it has developed its Action Plan so as to give maximum feasible priority to activities which benefit low and moderate income families or aid in the prevention or elimination of slums or blight. The Action Plan may also include activities which the grantee certifies are designed to meet other community development needs having a particular urgency because existing conditions pose a serious and immediate threat to the health or welfare of the community, and other f'mancial resources are not available); . Overall Benefit. The aggregate use of CDBG funds including section 108 guaranteed loans during program year 1997-98 (a period consisting of one program year) shall principally benefit persons of low and moderate income in a manner that ensures that at least 70 percent of the amount is expended for activities that benefit such persons during the designated period; Special Assessments. It will not attempt to recover any capital costs of public improvements assisted with CDBG funds including Section 108 loan guaranteed funds by assessing any amount against properties owned and occupied by persons of low and moderate income, including any fee charged or assessment made as a condition of obtaining access to such public improvements. However, if CDBG funds are used'to pay the proportion of a fee or assessment that relates to the capital costs of public improvements (assisted in part with CDBG funds) f'manced from other revenue sources, an assessment or charge may be made against the property with respect to the public improvements f'manced by a source other than CDBG funds. 40 The jurisdiction will not attempt to recover any capital costs of public improvements assisted with CDBG funds, including Section 108, unless CDBG funds are used to pay the proportion of fee or assessment attributable to the capital costs of public improvements f'manced from other revenue sources. In this case, an assessment or charge may be made against the property with respect to the public improvements financed by a source other than CDBG funds. Also, in the case of properties owned and occupied by moderate- income (not Iow-income) families, an assessment or charge may be made against the property for public improvements financed by a source other than CDBG funds if the jurisdiction certifies that it lacks CDBG funds to cover the assessment. Excessive Force -- It has adopted and is enforcing- o . A policy prohibiting the use of excessive force by 1.aw enforcement agencies within its jurisdiction against any individuals engaged in non-violent civil rights demonstrations; and A policy of enforcing applicable State and local laws against physically barring entrance to or exit from a facility or location which is the subject of such non-violent civil rights demonstrations within its jurisdiction; Compliance With Anti-discrimination laws - The grant will be conducted and administered in conformity with title VI of the Civil Rights Act of 1964 (42 USC 2000d), the Fair Housing Act (42 USC 3601-3619), and implementing regulations. Lead-Based Paint -- Its notification, inspection, testing and abatement procedures concerning lead-based paint will comply with the requirements of 24 CFR §570.608; Compliance with Laws -- It will comply with applicable laws. Signature/Authorized Official Date Director of Community Development Title 41 APPENDIX TO CERTIFICATIONS INSTRUCTIONS CONCERNING LOBBYING AND DRUG-FREE WORKPLACE REQUIREMENTS: A. Lobbying Certification This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. B. Drug-Free Workplace Certification o By signing and/or submitting this application or grant agreement, the grantee is providing the certification. . The certification is a material representation of fact upon which reliance is placed when the agency awards the grant. If it is later determined that the grantee knowingly rendered a false certification, or otherwise violates the requirements of the Drug-Free Workplace Act, HUD, in addition to any other remedies available to the Federal Government, may take action authorized under the Drug-Free Workplace Act. o Workplaces under grants, for grantees other than individuals, need not be identified on the certification. If known, they may be identified in the grant application. If the grantee does not identify the workplaces at the time of application, or upon award, if there is no application, the grantee must keep the identity of the workplace(s) on file in its office and make the information available for Federal inspection. Failure to .identify all known workplaces constitutes a violation of the grantee's drug-free workplace requirements. , Workplace identifications must include the actual address of buildings (or parts of buildings) or other sites where work under the grant takes place. Categorical descriptions may be used (e.g., all vehicles of a mass transit authority or State highway department while in operation, State employees in each local unemployment office, performers in concert halls or radio stations). o If the workplace identified to the agency changes during the performance of the grant, the grantee shall inform the agency of the change(s), if it previously identified the workplaces in question (see paragraph three). 42 o The grantee may insert in the space provided below the site(s) for the performance of work done in connection with the specific grant: Place of Performance (Street address, city, county, state, zip code). Tustin Ci.ty Hall 3OO Centennial Way 92680 Tustin, CA Check ~ if there are workplaces on file that are not identified here. The certification with regard to the drug-free workplace is required by 24 CFR part 24, subpart F. . Definitions of terms in the Nonprocurement Suspension 'and Debarment common rule and Drug-Free Workplace common rule apply to this certification. Grantees' attention is called, in particular, to the following definitions from these rules' "Controlled substance" means a controlled substance in Schedules I through V of the Controlled Substances Act (21 U.S.C.812) and as further defined by regulation (21 CFR 1308.11 through 1308.15); "Conviction" means a finding of guilt (including a plea of nolo contendere) or imposition of sentence, or both, by any judicial body charged with the responsibility to determine violations of the Federal or State criminal drug statutes; "Criminal drug statute" means a Federal or non-Federal criminal statute involving the manufacture, distribution, dispensing, use, or possession of any controlled substance; "Employee" means the employee of a grantee directly engaged in the performance of work under a grant, including: (i) All "direct charge" employees; (ii) all "indirect charge" employees unless their impact or involvement is insignificant to the performance of the grant; and (iii) temporary personnel and consultants who are directly engaged in the performance of work under the grant and who are on the grantee's payroll. This def'mition does not include workers not on the payroll of the grantee (e.g., volunteers, even if used to meet a matching requirement; consultants or independent contractors not on the grantee's payroll; or employees of subrecipients or subcontractors in covered workplaces).. PR:kd\cdbg97kActPlan.doc 43 ;partment of Housing and Urban De~ pment CPD Consolidated Plan System Support of Applications by Other Entities Report Funding Source Support Application by Other Entities? A. Formula/Entitlement Pro~irams ESG Public Housing Comprehensive Grant B. Competitive Programs HOPE 1 HOPE 2 HOPE 3 ESG Supportive Housing HOPWA Safe Havens Rural Homeless Housing Sec. 202 Elderly Sec. 811 Handicapped Moderate Rehab SRO Rental Vouchers Rental Certificates Public Housing Development Public Housing MROP Public Housing ClAP LIHTC Y Y Y Y Y Y Y Y Y N Y Y Y Y Y Y Y Y Y 44 U..e '"epartment of Housing and Urban Dm, ' '~ment CPD Consolidated Plan Funding Sources Entitlement Grant (includes reallocated funds): 722,000 Unprogrammed Prior Year's Income not previously reported: Surplus Funds' Return of Grant Funds: Total Estimated Program Income: TOTAL FUNDING SOURCES: 722,000 Estimated Program Income Description Grantee SUbrecipient .' 2. 3. 4. 5. 6. 7. 8. 9. 10. TOTAL PROGRAM INCOME 45