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HomeMy WebLinkAbout16 POLICY ON FUNDING NON-PROFITS 07-17-07Agenda Item 16 Reviewed: AGENDA REPORT City Manager ~. Finance Director NIA MEETING DATE: July 17, 2007 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: WILLIAM A. HUSTON, CITY MANAGER SUBJECT: POLICY FOR FUNDING NON-PROFIT ORGANIZATIONS RECOMMENDATION: That the City Council adopt Resolution No. 07-58. BACKGROUND: The City Council has discussed the need for a policy concerning funding of non-profit organizations seeking financial assistance from the City. Through its discussions, the City Council directed staff to prepare for the City Council's consideration a policy under which the Tustin Community Foundation would review and make recommendations to the City Council regarding applications for funding. DISCUSSION: Resolution No. 07-58 sets forth a policy and process for consideration of requests for funding of non-profit organizations. It provides that the Tustin Community Foundation will screen applications for funding and make recommendations to the City Council. In reviewing the applications, the Tustin Community Foundation would consider the City's Consolidated Plan (for organizations requesting CDBG funds) or other criteria established by the City Council (for non-CDBG funding). FISCAL IMPACT: Funding would be available through the annual CDBG program and/or other funds appropriated annually by the City Council. The City Council has discussed a matching program which could be implemented each fiscal year if City funds are appropriated for non- profit organizations. RESOLUTION NO. 07-58 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN, CALIFORNIA, ESTABLISHING A POLICY AND PROCEDURE FOR APPROVING REQUESTS FOR FUNDING FOR NON-PROFIT ORGANIZATIONS THAT SUPPORT AND BENEFIT THE TUSTIN COMMUNITY AND RESIDENTS The City Council of the City of Tustin finds: A. The City Council annually receives requests for city funding from several non-profit groups and organizations to fund various events, activities, and programs that benefit Tustin residents and the Tustin community of Tustin. B. The City Council has very limited funds available to fund these various requests and is unable to provide funding for many of the events, activities, and programs. C. The City Council desires to concentrate the limited funds available to those non-profit organizations that provide events, activities, services, and programs that most effectively serve the needs and improve the well-being of the residents of Tustin. D. The City Council desires to establish a specific, fair, and non-discriminatory process for non-profit groups and organizations seeking City funding and to provide clear administrative guidelines for the effective and efficient management of the program. E. The City Council encourages a goal of self sufficiency for all community based organizations seeking City funding and approval of funding is not intended to provide an on-going source of funding to well-established programs or services. NOW, THEREFORE, BE IT RESOLVED as follows: SECTION 1: The City Council of the City of Tustin establishes anon-profit grant program for the purpose of funding events, activities, services, and programs provided by non-profit groups and organizations that directly and significantly benefit Tustin residents and to provide for unmet needs and improved services that serve the Tustin community. SECTION 2: The components of the non-profit grant program are as follows: A. The City Council shall annually, in conjunction with the City budget process, determine the amount of funds that will be available for non-profit grants. B. The City Clerk will place advertisements in at least one locally distributed newspaper and provide written notice to each non-profit organization that submitted a request or application for non-profit funding from the City at least once during the three years immediately prior to the fiscal year for which funding will be awarded. The advertisement and notice will be provided by August 1 of each fiscal year. C. Each request for anon-profit grant shall be submitted on an application form that is available in the office of the City Clerk and must be filed by September 1 of the fiscal year for which a grant is requested. D. The qualifications for eligibility for non-profit grant funding are: 1. The organization must be a bona fide non-profit group or organization providing charitable, public benefit, public welfare, or educational services to residents of Tustin. 2. The event, activity, service, or program proposed for funding must promote the common good and general welfare of the Tustin community and contribute to the improvement of the quality of life of Tustin residents. 3. The application must set forth in detail the request for funding, including a statement of purpose detailing specifically the event, activity, services, or program the organization intends to provide for the City, how and where the grant from the City will be allocated, the quantity and quality of each event, activity, service, or program, and identify the number of Tustin residents to be served. 4. The application must contain an explanation as to how the event, activity, service, or program will benefit the residents of Tustin. 5. The organization must agree to use the non-profit grant to provide only the event, activity, service, or program represented in its application. E. The City Clerk shall forward each application for non-profit grant funding to the Tustin Community Foundation, for review and recommendation to the City Council. The Tustin Community Foundation shall review each application and conduct such interviews or inquiries as it reasonably determines are appropriate to provide a recommendation to the City Council. In reviewing and ranking each application, the Tustin Community Foundation shall consider criteria set forth in the City's Consolidated Plan, as approved by the U.S. Department of Housing and Urban Development, or any other criteria prescribed by the City Council. The Tustin Community Foundation shall complete its review and provide its written recommendation to the City Clerk by October 15 of the each fiscal year. F. As soon as practical after receipt of the Tustin Community Foundation's recommendations, the City Clerk shall submit the Tustin Community Foundation recommendations and all related information and documentation, including all applications, to the City Council for consideration. The City Council may continue its consideration of the recommendations from time to time and may take whatever action the City Council deems appropriate. The City Council shall not approve any non-profit grant unless the Council finds that the non-profit grant will be used for an event, activity, service, or program that serves the needs and improves the well-being of the residents of Tustin and constitutes a public purpose. The decision of the City Council is final. G. In providing a role for the Tustin Community Foundation in the review and recommendation of applications for non-profit grants from the City, the City Council is not establishing the Tustin Community Foundation as a city council appointed board or commission and nothing in this resolution shall be deemed or considered as a requirement that the Tustin Community Foundation comply with the Brown Act or that the members of the Tustin Community Foundation are required to comply with the Political Reform Act. SECTION 3: This Resolution shall become effective at the time of adoption. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Tustin, California, held on the 17th day of July, 2007. LOU BONE, Mayor PAMELA STOKER, City Clerk