HomeMy WebLinkAbout12 - Recovery CDBG-R fundsCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 12.
May 26, 2009
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Planning Department
Kathlyn Bowden, AICP, Economic Development Coordinator
949/644 -3230, kbowden(aDcity.newport- beach.ca.us
SUBJECT: Proposed Amendment to the City's One -Year Action Plan for fiscal year
2008 -2009 to permit receipt of supplemental Community Development
Block Grant — Recovery (CDBG -R) funds under the American Recovery
and Reinvestment Act (ARRA).
ISSUE:
The U.S. Department of Housing and Urban Development (HUD) requires the City of
Newport Beach to substantially amend their 2008 -2009 Annual Action Plan to receive
supplemental funds under the Community Development Block Grant - Recovery
(CDBG -R) program. The Annual Action Plan document serves as the annual
application for CDBG funding. The City's Action Plan contains a list of activities the City
will assist with CDBG funds during the 2008 -2009 fiscal year. A substantial amendment
to the 2008 -2009 Annual Action Plan is required to list the supplemental activities the
City will fund with CDBG -R funds. The City will receive $96,603 in supplemental funds
granted through the CDBG -R program under the American Recovery and Reinvestment
Act (ARRA).
RECOMMENDATION:
Hold a public hearing to receive comments on the proposed substantial
amendment to the 2008 -2009 CDBG Action Plan.
2. Approve the substantial amendment to the 2008 -2009 CDBG Action Plan.
3. Authorize the City Manager or his designee to execute the substantial
amendment to the FY 2008 -2009 CDBG Program Grant Agreement and all
related documents (SF -424 form and CDBG -R certifications) on behalf of the
City.
4. Adopt Resolution No. 2009 - authorizing the City Manager to submit the SF-
424 application for CDBG -R funds and substantial amendment to the One -Year
Action Plan to HUD.
CDBG -R Substantial Amendment to FY 2008 -2009 Action Plan
May 26, 2009
Page 2
DISCUSSION AND ANALYSIS:
The intent of the Community Development Block Grant — Recovery (CDBG -R) Program
is to stimulate the economy. Congress provided that these funds "be treated as though
such funds were Community Development Block Grant (CDBG) funds ", and established
aggressive timelines at the federal and state /local levels for taking action with these
supplemental funds. In order for the City to receive these funds, the City is required to
submit a substantial amendment to its 2008 -2009 One -Year Action Plan by June 5,
2009. The Recovery Act states, "...in selecting projects to be funded, recipients shall
give priority to projects that can award contracts based on bids within 120 days from the
date the funds are made available to the recipients." In order to receive Homelessness
Prevention and Rapid Re- Housing Program (HPRP) funds, the City is required to
prepare and submit to HUD a substantial amendment to the 2008 -2009 One -Year
Action.Plan. In addition, the City must submit a new application for the new funds and
execute required CDBG -R certifications.
Project Rationale
Economic Development Staff has met with staff from both the Public Works and
Recreation and Senior Services Departments to evaluate potential CDBG -R funded
"shovel- ready" infrastructure projects. It was determined that the project which most
closely meets Congress' intent for use of CDBG -R funds is the removal and
replacement of existing ADA- compliant playground safety surfacing in four .City Park
facilities (Bob Henry Park, Cliff Drive Park, Bonita Canyon Sports Park, and the
Community Youth Center), where the safety surfacing has hardened and no longer
meets the safety requirements for impact attenuation.
The project scope includes varying measures of the following for all four City parks:
Grinding and removal of existing playground safety surfacing, construction of a 4 -inch
thick concrete base, construction of 3 -inch thick safety surface base, construction of 1-
inch thick safety surface with appropriate color and pattern and all other necessary work
to complete the project in place. The safety surface is comprised of ground rubber
(recycled shredded tire material) that is specially treated with a binding agent and
sealed for durability. One of the parks (Bob Henry Park) is not compliant with ADA
entry/exit requirements. The project scope also includes accessibility improvements to
the sidewalks/ pathways from the disabled parking to the play equipment, inclusive of
the play equipment surface and existing accessible play facilities. This project will
enable severely disabled adults and children to access the public play facilities to play
or to supervise their children at play.
The proposed project accomplishes three of the published goals for the use of CDBG -R
funds. Those goals include:
CDBG -R Substantial Amendment to FY 2008 -2009 Action Plan
May 26, 2009
Page 3
Preserving and creating jobs and promoting economic recovery.
The project will create 8 full time construction jobs and additional temporary
jobs for periodic maintenance for the life of the proposed play surface
(estimated 2 jobs over a period of 2 days, every 2 years).
Providing investment needed to increase economic efficiency.
All manufactured goods used in construction shall be produced in the United
States. A major fabricator of the proposed playground safety surfacing
materials has estimated their sales to be 35 percent below their 2007 sales
figures.
Minimizing or avoiding reductions in essential services.
California general plan law (Section 65302 of the California Government
Code) establishes the provision of open space and parks for outdoor
recreation as an essential service. The existing safety surface no longer
meets standards, taking it out of service for the disabled. Replacing the
substandard surfaces avoids a reduction in service. Creating disabled
access to Bob Henry Park creates new service.
In addition, the proposed project promotes green building principles — another
published goal for use of CDBG -R funds. The safety surfacing is comprised of 100
percent recycled materials (shredded California waste tires) that is specially treated with
a binding agent and sealed for durability. By diverting large amounts of tire waste from
landfills for shredding and re -use as a recycled building material, the proposed project
promotes green building technologies, reduces energy use, and conserves natural
resources. Also, the full life of the recycled building material (through collection,
transporting and recycling) should be expected to createlretain employment in the
green manufacturing sector in addition to the product sales and construction jobs
mentioned above.
Finally, the proposed project meets the National Objectives and Eligibility Criteria of the
CDBG program, in that 1) the project benefits low- and moderate- income persons by
removing material or architectural barriers to the mobility or accessibility of adults and
children meeting the Bureau of the Census' Current Population Reports definition of
"severely disabled" (Objective 570.208(a)(2)(ii)(A)) and that 2) the project will
rehabilitate public facilities and improvements throughout the City so that they are
accessible to all members of the public (Eligibility Criteria 570.201(c)). The project
involves the reconstruction of a portion of public facilities and improvements throughout
the City, specifically accessibility of such persons to the City's playground facilities. The
project proposes to ensure accessibility to, from and about each playground area. The
project further proposes to ensure that severely disabled adults and children can
navigate the playground areas so that children can play and adults can attend to and
CDBG -R Substantial Amendment to FY 2008 -2009 Action Plan
May 26, 2009
Page 4
supervise children in their care by replacing playground surfaces to meet the impact
attenuation requirements found in Chapter 10, Section 1008.2.6.2 of the "ADA
Standards for Accessible Design" found at www.ada.gov.
PUBLIC NOTICE:
As a prerequisite to submitting the Action Plan, a public hearing must be held to allow
citizens an opportunity to express their views concerning the use of said funds. In
compliance with the City's approved Citizen's Participation Plan and CDBG
implementing regulation 24 CFR 92 -105, a Public Notice was published on May 16,
2009 to solicit public comments from interested citizens and to consider the Amended
2008 -2009 One -Year Action Plan. The public hearing has been noticed for May 26,
2009 at 7:00 p.m. at City Council Chambers.
The City must publish and make available the substantial amendment for a period of no
less than 7days. The public comment period will take place between May 19, 2009 and
May 26, 2009. Written comments received on the proposed substantial amendment to
the One -Year Action Plan, if any, will be provided to the City Council at the public
hearing.
ENVIRONMENTAL REVIEW:
Not subject to CEQA, as the Action Plan amendment is not a project, as defined in
Section 15378(b) (4).
FUNDING AVAILABILITY:
Upon approval of the substantial amendment, SF424 application form, and executed
CDBG -R certifications by HUD, sufficient funds will be made available for the following
activity:
Activity Programmed Funds
ADA Playground Resurfacing/ Accessibility Improvements $86,943
CDBG -R Administration (10% of total CDBG -R funds) $9,660
Total: $96,603
CDBG -R Substantial Amendment to FY 2008 -2009 Action Plan
May 26, 2009
Page 5
Prepared by:
C 2 ' athlyn Bowd ICP
Economic Development Coordinator
Submitted by:
V
-A,
S74ron Wood
Assistant City Manager
Attachments:
A. Proposed Substantial Amendment to FY2008 -2009 Action Plan
B. Resolution 2009-
Attachment A:
Proposed Substantial Amendment to FY 2008 -2009 Action Plan
City of Newport Beach
Community Development Block Grant Program
DRAFT
Substantial Amendment No. 1 to the
2008 -2009 Annual Action Plan to
Program CDBG -R Funds
Revised May 26, 2009
Table of Contents
Executive Summary
Background
Ensuring Responsible Spending of Recovery Act Funds
Eligible and Ineligible Use of CDBG -R Funds
Substantial Amendment Submission Requirements
CDBG -R Substantial Amendment Narrative
Program Contact Information
Spreadsheet for Reporting Proposed CDBG -R Activities
CDBG -R Project: ADA Playground Resurfacing /Accessibility Improvements
CDBG -R Project: CDBG -R Administration
Citizen Participation
Public Comments Received
Appendices
Appendix A:
CDBG -R Activity Data Spreadsheet
Appendix B:
Notice of 7 -Day Public Review Period and Proof of Publication
Appendix C:
City Council Minutes
Appendix D:
City Council Resolution
Appendix E:
Local Government Certifications
Appendix F:
SF -424
Appendix G:
CDBG -R Substantial Amendment Grantee Checklist
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5
6
6
Executive Summary
Background
On February 17, 2009, the President of the United States signed Title XII of the American
Recovery and Reinvestment Act of 2009 (ARRA) into law. ARRA appropriates $1 billion in
supplemental funds for the Community Development Block Grant (CDBG) Program. The grant
program under Title X11 is commonly referred to as the Community Development Block Grant —
Recovery (CDBG -R). The Agency responsible for the implementation of the program is the
United States Department of Housing and Urban Development (HUD).
The supplemental CDBG -R funds have been allocated according to the current CDBG grant
formula. Under the formula used, the City will receive $96,603 in CDBG -R funds (approximately
27 percent of its 2008 -2009 CDBG allocation).
Ensuring Responsible Spending of Recovery Act Funds
Funding available under the Recovery Act has a singular purpose — to stimulate the economy.
HUD desires that Cities carefully evaluate proposed projects for consistency with the goals of
the Recovery Act, especially the above -cited purpose. To this extent, HUD strongly urges Cities
to use CDBG -R funds for hard development costs associated with infrastructure activities that
provide basic services to residents or activities that promote energy efficiency and conservation
through rehabilitation or retrofitting of existing buildings. While the full range of CDBG
activities is available to Cities, HUD strongly suggests that Cities incorporate consideration of
the public perception of the intent of the Recovery Act in identifying and selecting projects for
CDBG -R funding.
Eligible and Ineligible Use of CDBG -R Funds
The use of this supplemental appropriation of CDBG -R funds under the Recovery Act is subject
to all regular CDBG program regulations and the Uniform Administrative Requirements, except
for the statutory and regulatory waivers granted to grantees under the Recovery Act as
disseminated by HUD in the May 4, 2009 "Notice of Program Requirements for Community
Development Block Grant Program Funding Under the American Recovery and Reinvestment
Act of 2009."
In the planning and administration of CDBG -R funds, the City will adhere to the special CDBG -R
program requirements and maintain close contact with its local HUD Representative to ensure
that funds are spent in full compliance with the regulations, applicable statutory and regulatory
waivers and HUD policy.
While the City has the full range of CDBG - eligible activities at its disposal for CDBG -R, the intent
of the Recovery Act is to stimulate the economy. In the Recovery Act, Congress states that
"Recipients shall also use grant funds in a manner that maximizes job creation and economic
benefit." Congress clearly intends that CD6G -R funds should primarily be invested in economic
City of Newport Beach -- Page 1
CDBG -R Substantial Amendment
development, housing, infrastructure and other public facilities activities that will quickly spur
further economic investment, increased energy efficiency, and job creation or retention.
The Recovery Act does not expand the list of eligible activities beyond those specified by the
Housing and Community Development Act. However, HUD has determined that the overall
intent of the Act, particularly regarding local fiscal stabilization, supersedes the requirement
that CDBG funding not be used to substantially replace the amount of local financial support
previously provided to community development activities.
Certain specified activities and /or projects which may not be funded with CDBG -R funds
pursuant to the Recovery Act include: swimming pools, golf courses, zoos, aquariums, and
casinos or other gambling establishments. Other activities generally prohibited under
regulations governing the regular CDBG program are also prohibited under CDBG -R. This
includes prohibitions on the construction of buildings for the general conduct of government,
political activities, purchase of equipment, and operating and maintenance expenses. Other
CDBG restrictions may also apply including bans on assistance to professional sports teams,
recreational facilities that serve a predominantly higher income clientele, and general
promotional activities for the grantee.
Title XII of Division A of the Recovery Act requires that in selecting CDBG -R projects to be
funded, recipients shall give priority to projects that can award contracts based on bids within
120 calendar days from the date the funds are made available to the City.
Substantial Amendment Submission Requirements
In order to secure CDBG -R funding for the City's projects as designated in the Substantial
Amendment Narrative and the Spreadsheet for Reporting Proposed CDBG -R Activities, the
Substantial Amendment document submittal to HUD includes the:
• CDBG -R Substantial Amendment Narrative;
• CDBG -R Activity Data Spreadsheet;
• Signed and Dated Local Government Certifications; and
• Signed and Dated SF -424.
City of Newport Beach Page 2
CDBG -R Substantial Amendment
CDBG -R Substantial Amendment Narrative
Program Contact Information
The CDBG -R program will be administered by City staff with the assistance of a professional
consultant. For consultation purposes, all matters related to CDBG -R shall be directed as
follows:
Jurisdiction:
City of Newport Beach, CA
Jurisdiction Web Address:
http : / /www.city.newport- beach.ca.us
CDBG -R Contact Person:
Katie Bowden, Economic Development Coordinator
Address:
City of Newport Beach — Planning Department
P.O. Box 1768
3300 Newport Boulevard
Newport Beach, CA 92658 -8915
Telephone:
(949) 644 -3230
Fax:
(949) 644 -3224
Email:
kbowden @city.newport- beach.ca.us
Spreadsheet for Reporting Proposed CDBG -R Activities
Grantees must provide information concerning CDBG -R assisted activities in an electronic
spreadsheet provided by HUD. The information that must be reported in the spreadsheet
includes activity name, activity description, CDBG -R dollar amount budgeted, eligibility
category, national objective citation, additional Recovery Act funds for the activity received
from other programs, and total activity budget. The CDBG -R Activity Data Spreadsheet is
included in Appendix A.
CDBG -R Project. ADA Playground Resurfacing /Accessibility Improvements
(1) Activity Name: ADA Playground Resurfacing/Accessibility Improvements Project.
(2) Activity Narrative:
This project involves the removal and replacement of existing ADA - compliant playground
safety surfacing in four City Park facilities (Bob Henry Park, Cliff Drive Park, Bonita Canyon
Sports Park, and the Community Youth Center), where the safety surfacing has hardened
and no longer meets the safety requirements for impact attenuation. The project scope
includes varying measures of the following for all four City parks: Grinding and removal of
existing playground safety surfacing, construction of a 4 -inch thick concrete base,
construction of 3 -inch thick safety surface base, construction of 1 -inch thick safety surface
with appropriate color and pattern and all other necessary work to complete the project in
place. The safety surface is comprised of ground rubber (recycled shredded tire material)
that is specially treated with a binding agent and sealed for durability.
City of Newport Beach Page 3
CDBG -R Substantial Amendment
One of the parks (Bob Henry Park) is not compliant with ADA entry/exit requirements. The
project scope also includes accessibility improvements to the sidewalks/ pathways from
the disabled parking to the play equipment, inclusive of the play equipment surface and
existing accessible play facilities. This project will enable severely disabled adults to access
the public play facilities and supervise their children at play.
CDBG -R funds will be used in a manner that maximizes job creation and economic benefit
in relation to the CDBG -R funds obligated, and will address some or all of the Recovery Act
objectives highlighted in bold, below, by:
• Preserving and creating jobs and promoting economic recovery:
■ The project will create 8 full time construction jobs and additional
temporary jobs for periodic maintenance for the life of the proposed play
surface (estimated 2 jobs over a period of 2 days, every 2 years).
• Assisting those most impacted by the recession
• Providing investment needed to increase economic efficiency:
■ All manufactured goods used in construction shall be produced in the
United States. A major fabricator of the proposed playground safety
surfacing materials has estimated their sales to be 35 percent below their
2007 sales figures.
• Investing in transportation, environmental protection, or other infrastructure
that will provide long -term economic benefits
• Minimizing or avoiding reductions inessential services:
■ The existing safety surface no longer meets standards, taking it out of
service for the disabled. Replacing the substandard surfaces avoids a
reduction in service. Creating disabled access to Bob Henry Park creates
new service. California general plan law (Section 65302 of the California
Government Code) establishes the provision of open space and parks for
outdoor recreation as an essential service.
• Fostering energy independence
(3) Jobs Created:
The project will create 8 full time construction jobs and additional temporary jobs for
periodic maintenance for the life of the proposed play surface (estimated 2 jobs over a
period of 2 days, every 2 years).
(4) Additional Activity Information:
This project promotes green principles. The safety surfacing is comprised of 100 percent
recycled materials (shredded California waste tires) that is specially treated with a binding
agent and sealed for durability. By diverting large amounts of tire waste from landfills for
shredding and re -use as a recycled building material, the proposed project promotes green
building technologies, reduces energy use, and conserves natural resources. Also, the full
life of the recycled building material (through collection, transporting and recycling) should
City of Newport Beach Page 4
CDBG -R Substantial Amendment
be expected to create /retain employment in the green manufacturing sector in addition to
the product sales and construction jobs mentioned above.
(5) Responsible Organization:
The City of Newport Beach Public Works Department, Attn: Dave Webb, Project Manager,
(949) 6443200, 3300 Newport Boulevard, Newport Beach, CA 92658.
CDBG -R Project. CDBG -R Administration
(1) Activity Name: CDBG -R Administration.
(2) Activity Narrative:
This project provides for the administration, oversight, tracking and reporting of all CDBG -R
activities in accordance with the CDBG regulations found at 24 CFR Part 570 and in
accordance with CDBG -R specific statutory and regulatory waivers detailed in the Federal
Register Docket No. FR- 5309 -N -01 published May 4, 2009.
CDBG -R funds will be used in a manner that maximizes job creation and economic benefit
in relation to the CDBG -R funds obligated, and will address some or all of the Recovery Act
objectives highlighted in bold, below, by:
• Preserving and creating jobs and promoting economic recovery:
• The project will help to preserve 1 permanent full time administrative
job.
• Assisting those most impacted by the recession
• Providing investment needed to increase economic efficiency
• Investing in transportation, environmental protection, or other infrastructure
that will provide long -term economic benefits
• Minimizing or avoiding reductions in essential services:
• Fostering energy independence
(3) Jobs Created:
It is anticipated that this activity will retain one (1) permanent job.
(4) Additional Activity Information:
N/A
(5) Responsible Organization:
Kathlyn Bowden, Economic Development Coordinator of the City of Newport Beach
Planning Department's Economic Development Division will be responsible for the
implementation of this project.
City of Newport Beach Page 5
CDBG -R Substantial Amendment
Citizen Participation
In accordance with the HUD Notice, the Notice of Public Hearing and 7 -Day Public Review for
the CDBG -R Substantial Amendment to the 2008 -2009 One -Year Action Plan was published in
the Daily Pilot newspaper on May 16, 2009 and posted on the jurisdiction's website for no less
than 7 calendar days for public comment. The Public Comment period concludes upon the
close of the Public Hearing at the regular meeting of the City Council held at 7:00 p.m. on
Tuesday, May 26, 2009 in the Council Chambers located at 3300 Newport Boulevard, Newport
Beach, CA 92658.
All comments to the proposed amendments to the FY 2008 -2009 One -Year Action Plan are to
be received in writing at the office of the Planning Department, 3300 Newport Blvd., Newport
Beach, California 92663, no later than 5:00 p.m. on May 26, 2009, Comments may also be
made orally during the City Council Public Hearing at or shortly after 7:00 p.m. on May 26,
2009.
Beginning Tuesday, May 19, 2009, persons desiring information on this substantial amendment
may view the document at the City of Newport Beach Public Library located at 1000 Avocado
Avenue, Newport Beach, CA 92660, or at the City Clerk's Office located at City Hall, 3300
Newport Blvd, Newport Beach, CA 92663. The amendment shall be available on the City
website located at http: / /www.city.newport- beach.ca.us /. For further information, please
contact Kathlyn Bowden, AICP, Economic Development Coordinator, at (949) 644 -3230
between the hours of 8:00 a.m. and 5:00 p.m., Monday through Friday.
Public Comments Received
There were no public comments received on the Draft CDBG -R Substantial Amendment.
City of Newport Beach Page 6
COBG -R Substantial Amendment
CDBG -R
Activity Data spreadsheet
Jurisdiction /Grantee Name: City of Newport Beach
CDBG -R Fomula Grant Amount: $96.603
Date: June 3, 2009
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ADA Playground
Resurfacing /Accessibility
Improvements Project
Thls project Includes the removal of architectural barriers and the replacement of
playground safety surfacing In four (4) City Park Facilities to meet ADA safety and
accessibility requirements.
CDBG -R Administration
T its project provides for the administratlon, oversight, tracking and reporting of alt
CDBG -R aetivitles.
570.206
N/A
$9,660.00
$0.00
$0.00
$9,650.Do
$0.00
$0.00
$0.00
$0.00
$0.00
$0.00
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OBGA 1 5/19/200910:13 AM
Appendix B:
Notice of 7 -pay Public Review Period and Proof of Publication
NOTICE OF
PUBLIC HEARING & 7 -DAY PUBLIC REVIEW
CITY OF NEWPORT BEACH
PROPOSED AMENDMENT TO THE CITY'S
ONE -YEAR ACTION PLAN FOR FISCAL YEAR 2008 -2009
Pursuant to the United States Department of Housing and Urban Development (HUD)
regulations, the City of Newport Beach is providing notice to the public of an amendment to the
Fiscal Year 2008 -2009 One -Year Action Plan for the purpose of programming Community
Development Block Grant Funds from HUD pursuant to Title XIT of Division A of the American
Recover and Reinvestment Act (ARRA) of 2009, signed on February 17's 2009. This Act
provides $1 billion in Community Development Block Grant (CDBG -R) funds to states and local
governments to carry out on an expedited basis, eligible activities under the newly- formed
CDBG -R Program.
Each year, the City submits to the U.S. Department of Housing and Urban Development the
One -Year Action PIan for the fiscal year beginning July I. The Action Plan details the programs,
projects and activities through which the City intends to expend its federal Community
Development Block Grant (CDBG) funds.
When a substantial change is proposed to any of the programs, projects or activities previously
approved by HUD, the public must be notified and a Public Hearing must be held to allow the
public an opportunity to comment on the proposed substantial changes.
The CDBG -R Final Rule published in the Federal Register indicates that a seven (7) day public
review period shall be provided and that a public hearing shall be held whenever a substantial
change in a HUD- approved program is proposed.
PROPOSED AMENDMENT
The City of Newport Beach, Economic Development Department, is proposing an amendment,
which, if approved, will 1) program $86,943 to fund ADA Playground Resurfacing and
Accessibility Improvements, and 2) program $9,660 to pay for the administrative cost to plan,
implement, and report on the CDBG -R project.
BENEFIT TO THE CITY
The specific purpose of this amendment is to allocate CDBG -R funds to provide for ADA
PIayground Resurfacing and Accessibility Improvements.
Funds to be programmed:
ADA Playground Resurfacing
CDBG -R Administration
Programmed Funds
Improvements $86,943
$9,660
Total: $96,603
The City Council will hold a public hearing to receive comments from the public at the following
date, time and location:
Date: Tuesday, May 26, 2009
Time: 7:00 P.M.
Location: City of Newport Beach
City Council Chambers
3300 Newport Blvd,
Newport Beach, CA 92663
All comments to the proposed amendments to the FY 2008 -2009 One -Year Action Plan must be
received in writing at the office of the Planning Department, 3300 Newport Blvd., Newport
Beach, California 92663, no later than 5:00 p.m. on May 26, 2009. Comments may also be made
orally during the City Council Public Hearing at or shortly after 7:00 p.m. on May 26, 2009.
Beginning Tuesday, May 19, 2009, persons desiring information on this substantial amendment
may view the document at the City of Newport Beach Public Library located at 1000 Avocado
Avenue, Newport Beach, CA 92660, or at the City Clerk's Office located at City Hall, 3300
Newport Blvd, Newport Beach, CA 92663. The amendment will also be posted on the City of
Newport Beach website located at http : / /www.city.nenort- beacb.ca_us /. For further
information, please contact Kathlyn Bowden, AlCP, Economic Development Coordinator, at
(949) 644 -3230 between the hours of 8:00 am. and 5:00 p.m., Monday through Friday.
LaVonne M. Harkless, MMC
City Clerk
Appendix C: City Council Minutes
CITY COUNCIL RESOLUTION 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH APPROVING A SUBSTANTIAL AMMENDMENT TO THE 2008 -2009
ANNUAL ACTION PLAN WHICH IS PART OF THE CONSOLIDATED PLAN,
AND THE PROJECTED USE OF COMMUNITY DEVELOPMENT BLOCK
GRANT - RECOVERY (CDBG -R) FUNDS FOR FY 2008 -2009, AND
SUPERCEDING ALL PREVIOUS RESOLUTIONS WHICH ARE
INCONSISTENT THEREWITH.
WHEREAS, on February 17, 2009, the President of the United States signed Title XII of
the American Recovery and Reinvestment Act of 2009 (ARRA) into law, appropriating $1
billion in supplemental funds for the Community Development Block Grant (CDBG) program.
WHEREAS, the City of Newport Beach participates in the Department of Housing and
Urban Development's CDBG program; and
WHEREAS, the grata program under Title X11 is comtnonly referred to as the
Community Development Block Grant — Recovery (CDBG -R), and the City of Newport Beach
anticipates receiving $96,603 in supplemental CDBG R funds for fiscal year 2008 -2009; and
WHEREAS, the Department of Housing and Urban Development (HUD) requires a
substantial amendment to the City's current approved Consolidated Plan and 2008 -2009 Action
Plan in order to receive CDBG -R funds; and
WHEREAS, on May 16, 2009, the City published a public notice in the Daily Pilot
newspaper indicating that the proposed amendment would be available to the public for review
and comment from May 19, 2009 to May 26, 2009; and
WHEREAS, on May 26, 2009, the City Council reviewed and approved the proposed
amendment to the 2008 -2009 Action Plan. The City will amend the Action Plan to include any
comments and response to the comments that are accepted at the hearing; and
WHEREAS, the City Council has considered the community needs, priorities, and
strategies set forth in the Consolidated Plan and the economic stimulus purposes of the ARRA,
and concludes the proposed allocation of $96,603 in CDBG -R funds is consistent with the
Consolidated Plan and Housing Element; and
WHEREAS, pursuant to Section 15378 of the State Environmental Guidelines, the
proposed project is exempt from the requirements of CEQA.
NOW, THEREFORE, the City Council of the City of Newport Beach DOES HEREBY
RESOLVE as follows:
SECTION 1. The proposed amendment to the 2008 -2009 Action Plan is hereby adopted,
and the City Council DOES HEREBY AUTHORIZE the City Manager to be the official
representative of the City of Newport Beach to submit the amended Action Plan and certification
required to HUD.
SECTION 2. That the City Council DOES HEREBY AUTHORIZE the Economic
Development Coordinator of the Community and Economic Development Department, or his
designee, to be the official representative of the City of Newport Beach to submit required
environmental documentation for CDBG projects.
PASSED AND ADOPTED by the City Council of the City of Newport Beach at a regular
meeting held on the 26th day of May 2009.
MAYOR OF THE CITY OF NEWPORT BEACH
attest:
CITY CLERK OF THE CITY OF NEWPORT BEACH
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF NEWPORT BEACH
I, LEILANI BROWN, City Clerk of the City of Newport Beach, HEREBY DO CERTIFY
that the foregoing resolution was duly adopted at a regular meeting of the City Council of the
City of Newport Beach, held on the 26th day of May 2009.
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
CITY CLERK OF THE CITY OF NEWPORT BEACH
2
Appendix E: Local Government Certifications
(1) Affirmatively furthering fair housing. The jurisdiction will affirmatively further fair
housing, which means that it will conduct an analysis to identify 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 the analysis and
actions in this regard.
(2) Anti- displacement and relocation plan. The jurisdiction will comply with the acquisition
and relocation requirements of the Uniform Relocation Assistance and Real Property
Acquisition Policies Act of 1970, as amended (42 U.S.C. 4601), and implementing regulations at
49 CFR part 24; and it has in effect and is following a residential anti- displacement 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 CDBG -R.
(3) Drug Free Workplace. The jurisdiction will or will continue to provide a drug -free workplace
by:
1. 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;
2. 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
(d) The penalties that may be imposed upon employees for drug abuse violations
occurring in the workplace;
3. 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;
4. Notifying the employee in the statement required by paragraph 1 that, as a condition
of employment under the grant, the employee will -
(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;
5. 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;
6. 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) Taking appropriate personnel action against such an employee, up to and
Including termination, consistent with the requirements of the Rehabilitation Act
of 1473, 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;
7. Making a good faith effort to continue to maintain a drug -free workplace through
implementation of paragraphs 1, 2, 3, 4, 5 and 6.
(4) Anti - lobbying. To the best of the jurisdiction's knowledge and belief:
1. No Federal appropriated funds have been paid or will be paid, by or on behalf of it, 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;
2. 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 -LL., "Disclosure
Form to Report Lobbying," in accordance with its instructions; and
3. it will require 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.
(5) Authority of Jurisdiction. The jurisdiction possesses the legal authority to carry out the
programs for which it is seeking funding, in accordance with applicable HUD regulations and
other program requirements.
(6) Consistency with Plan. The housing activities to be undertaken with CDBG -R funds are
consistent with its consolidated plan.
(7) Section 3. The jurisdiction will comply with section 3 of the Housing and Urban
Development Act of 1958 (12 U.S.C. 1701u), and implementing regulations at 24 CFR part 135.
(8) Community development plan. The jurisdiction certifies that the consolidated housing and
community development plan identifies housing and community development needs and
specifies both short-term and long -term community development objectives that have been
developed in accordance with the primary objective of the statute authorizing the CDBG
program.
(9) following a plan. The jurisdiction is following a current consolidated plan that has been
approved by HUD.
(10) Use of funds. The jurisdiction has developed activities so as to give the maximum feasible
priority to activities that will benefit low- and moderate - income families or aid in the
prevention of slums or blight. Additional activities may be included that are designed to meet
other community development needs having particular urgency because existing conditions
pose a serious and immediate threat to the health or welfare of the community where other
financial resources are not available to meet such needs
It has complied with the following criteria:
1. Maximum Feasible Priority. With respect to activities expected to be assisted with
CDBG -R 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
financial resources are not available);
2. Special Assessments. The jurisdiction will not attempt to recover any capital costs of
public improvements assisted with CDBG -R 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 -R funds are used to pay the proportion of a fee or
assessment attributable to the capital costs of public improvements (assisted in part
with CDBG -R funds) financed from other revenue sources, an assessment or charge may
be made against the property with respect to the public improvements financed by a
source other than CDBG -R funds. The jurisdiction will not attempt to recover any capital
costs of public improvements assisted with CDBG -R funds, unless CDBG -R funds are
used to pay the proportion of fee or assessment attributable to the capital costs of
public improvements financed 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 -R funds. in addition, with respect to properties
owned and occupied by moderate- income (but not low- income) families, an assessment
or charge may be made against the property with respect to the public improvements
financed by a source other than CDBG -R funds if the jurisdiction certifies that it lacks
CDBG -R or CDBG funds to cover the assessment.
(11) Excessive Force. The jurisdiction certifies that it has adopted and is enforcing: (1) a policy
prohibiting the use of excessive force by law enforcement agencies within its jurisdiction
against any individuals engaged in non - violent civil rights demonstrations; and (2) a policy of
enforcing applicable State and local laws against physically barring entrance to or exit from a
facility or location that is the subject of such non - violent civil rights demonstrations within its
jurisdiction.
(12) Compliance with anti - discrimination laws. The CDBG -R grant will be conducted and
administered in conformity with title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d), the Fair
Housing Act (42 U.S.C. 3601 - 3619), and implementing regulations.
(13) Compliance with lead -based paint procedures. The activities concerning lead -based paint
will comply with the requirements of part 35, subparts A, B, J, K, and R of this title.
(14) Compliance with laws. The jurisdiction will comply with applicable laws.
(15) Compliance with ARRA. The jurisdiction will comply with Title XII of Division A of the
American Recovery and Reinvestment Act of 2009.
(16) Project selection. The jurisdiction will select projects to be funded, by giving priority to
projects that can award contracts based on bids within 120 days from the date the funds are
made available to the recipient, and that will ensure maximum job creation and economic
benefit.
(17) Timeliness of infrastructure investments. When the jurisdiction uses CDBG -R funds for
infrastructure investments, the grantee will give preference to quick -start and finish activities,
including a goal to use at least 50 percent of the funds for activities within 120 days of
enactment of the Recovery Act.
(18) Buy American provision. The jurisdiction will ensure that all iron, steel and manufactured
goods used in construction, alteration, repair, or maintenance of a public building or public
work project assisted with CDBG -R funds under the Recovery Act must be produced in the
United States unless the Secretary finds that: (1) the requirement is inconsistent with public
interest; (2) those goods are not reasonably available or produced in sufficient quantity in the
U.S.; (3) or the use of the goods will increase the project cost by more than 25 percent.
(19) Appropriate use of funds for infrastructure investments. The Governor, mayor, or other
chief executive, as appropriate certifies, that any infrastructure investments have received the
full review and vetting required by law and that the chief executive accepts responsibility that
the infrastructure investment is an appropriate use of taxpayer dollars. Alternatively, a
grantee's chief elected official certifies that infrastructure investments will receive the full
review and vetting required by law and that the chief executive accepts responsibility that the
infrastructure investment is an appropriate use of taxpayer dollars.
(20) 70% of GDBG -R for LML The aggregate use of CDBG -R funds shall principally benefit
persons of low and moderate income in a manner that ensures that at least 70 percent of the
grant is expended for activities that benefit such persons over the life of the CDBG -R grant.
Homer Bludau, City Manager Date
OPTIONAL CERTIFICATION - URGENT NEED N/A
Submit the following certification only when one or more of the activities in the action plan are
designed to meet other community development needs having a particular urgency as specified
in 24 CFR 570.208(c):
Where the urgent need is the current economic conditions, the grantee certifies that the
activity is alleviating current economic conditions which pose a threat to the economic welfare
of the community in which the activity is being carried out, the recipient is unable to finance
the activity on its own, and other sources of funding are not available.
Homer Bludau, City Manager
Date
Qp0'OENrck"
SF 424
The SF 424 is par[ of the CPMP Annual Action Plan. SF 424 form
fields are included in this document. Grantee information is linked
from the 1 CPMP.xls document of the CPMP tool.
SF 424 Page 1 Version 2.0
Executive
Is the applicant delinquent on any federal debt
"Yes" please include an additional document
to be contacted regarding this application
us
SF 424 Page 2 Version 2.0
Appendix G:
CDBG -R Substantial Amendment Grantee Checklist
For the purposes of expediting review, HUD asks that applicants submit the following checklist
along with the CDBG -R Substantial Amendment, Spreadsheet for Reporting Proposed CDBG -R
Activities, and SF -424.
Jurisdiction:
City of Newport Beach, CA
Jurisdiction Web Address:
http://www.eity.newport-beach.ca.us
CDBG -R Contact Person:
Katie Bowden, Economic Development Coordinator
Address:
City of Newport Beach — Planning Department
P.O. Box 1768
3300 Newport Boulevard
Newport Beach, CA 92658 -8915
Telephone:
(949) 644 -3230
Fax:
949) 644 -3224
Email:
kbowden @city.newport- beach.ca.us
The elements in the substantial amendment required for the CDBG recovery funds are:
A. SPREADSHEET FOR REPORTING PROPOSED CDB64AcritInIES
Does the submission contain a paper copy of the Spreadsheet for Reporting Proposed CDBG -R
Activities?
Yes® No❑ Verification found on page Appendix A
Does the submission include an electronic version of the Spreadsheet for Reporting Proposed
CDBG -R Activities sent to the email box CDBG -R @hud.gov?
Yes® Non Date Spreadsheet was emailed: TBD
Does the Spreadsheet for Reporting Proposed CDBG -R Activities include, for each activity:
• amount of funds budgeted for each activity, including CDBG -R funds, any additional Recovery
Funds used and total activity budget,
Yes® No ❑Verification found on page(s) Appendix A
• the Eligibility citation (eligibility regulatory cite or HCDA cite),
Yes® No ❑Verification found on page(s) Appendix A
• the CDBG national objective citation,
Yes® No[] Verification found on page(s) Appendix A
B. CDBG -R INFORMATIONBYACTIwTY
Does the submission contain information by activity describing how the grantee will use the funds,
including:
• a narrative for each activity describing how CDBG -R funds will be used in a manner that
maximizes job creation and economic benefit,
Yes® No❑ Verification found on page(s) 33 =5
• projected number of jobs created for each activity,
Yes® No❑ Verification found on page(s) 4 & 5
• whether an activity will promote energy efficiency and conservation,
Yes® No ❑Verification found on page(s) 4 & 5
• the name, location, and contact information for the entity that will carry out the activity,
Yes® No Verification found on page(s) 5
• evidence that no more than 10% of the grant amount will be spent on administration and
planning,
Yes® No ❑Verification found on page (s) Appendix A
• evidence that no more than 15% of the grant amount will be spent on public services,
Yes® No❑ Verification found on page (s) Appendix A
• evidence that at least 70% of the grant amount will benefit persons of low and moderate
income,
Yes® No ❑verification found on page (s) Appendix A
C PUBUC COMMENT PERIOD
Was the proposed action plan amendment published via the jurisdiction's usual methods and
on the Internet for no less than 7 calendar days of public comment?
Yes® NOD. Verification found on page(s) Appendix B
Is there a summary of citizen comments included in the final amendment?
Yes® No[:] Verification found on page(s) Appendix C and Page b
D. CERTIFICAT/ONs
The following certifications are complete and accurate:
(1) Affirmatively furthering fair housing Yes® No❑
(2) Anti - displacement and relocation plan Yes® No❑
(3) Drug -free Workplace Yes® No❑
(4) Anti- lobbying Yes® No❑
(5) Authority of jurisdiction Yes®
Nc
(6) Consistency with plan Yes®
Nc
(7) Section 3 Yes®
Nc
(8) Community development plan Yes®
Nc
(9) Following a plan Yes®
Nc
(10) Use of Funds Yes®
Nc
(11) Excessive Force Yes®
Nc
(12) Compliance with anti- discrimination laws Yes®
Nc
(13) Lead -based paint procedures Yes®
Nc
(14) Compliance with laws Yes®
No
(15) Compliance with ARRA Yes®
No
(16) Project selection Yes®
No
(17) Timeliness of infrastructure investments Yes®
No
(18) Buy American provision Yes®
No
(19) Appropriate use of funds for infrastructure investments Yes®
No
(20) 70% of CBBG -R for LMl Yes®
No
Optional Certification
(21) Urgent Need YesD Nog
0. STATE CERTIFICATIONS IVA
The following certifications are complete and accurate:
(1) Affirmatively furthering fair housing
(2) Anti - displacement and relocation plan
(3) Drug -free Workplace
(4) Anti - lobbying
(5) Authority of State
(6) Consistency with plan
(7) Section 3
(8) Community development plan
(9) Consultation with Local Governments
(10) Use of Funds
(11) Excessive Force
(12) Compliance with anti - discrimination laws
(13) Compliance with laws
(14) Compliance with ARRA
(15) Project selection
(16) Timeliness of infrastructure investments
(17) Buy American provision
(18) Appropriate use of funds for infrastructure investments
(19) 70% of CDBG -R for LMI
Optional Certification
(20) Urgent Need Yes❑ No0
CITY COUNCIL RESOLUTION 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT
BEACH APPROVING A SUBSTANTIAL AMMENDMENT TO THE 2008 -2009
ANNUAL ACTION PLAN WHICH IS PART OF THE CONSOLIDATED PLAN,
AND THE PROJECTED USE OF COMMUNITY DEVELOPMENT BLOCK
GRANT - RECOVERY (CDBG -R) FUNDS FOR FY 2008 -2009, AND
SUPERCEDING ALL PREVIOUS RESOLUTIONS WHICH ARE
INCONSISTENT THEREWITH.
WHEREAS, on February 17, 2009, the President of the United States signed Title XII of
the American Recovery and Reinvestment Act of 2009 (ARRA) into law, appropriating $1
billion in supplemental funds for the Community Development Block Grant (CDBG) program.
WHEREAS, the City of Newport Beach participates in the Department of Housing and
Urban Development's CDBG program; and
WHEREAS, the grant program under Title XII is commonly referred to as the
Community Development Block Grant — Recovery (CDBG -R), and the City of Newport Beach
anticipates receiving $96,603 in supplemental CDBG -R funds for fiscal year 2008 -2009; and
WHEREAS, the Department of Housing and Urban Development (HUD) requires a
substantial amendment to the City's current approved Consolidated Plan and 2008 -2009 Action
Plan in order to receive CDBG -R funds; and
WHEREAS, on May 16, 2009, the City published a public notice in the Daily Pilot
newspaper indicating that the proposed amendment would be available to the public for review
and comment from May 19, 2009 to May 26, 2009; and
WHEREAS, on May 26, 2009, the City Council reviewed and approved the proposed
amendment to the 2008 -2009 Action Plan. The City will amend the Action Plan to include any
comments and response to the comments that are accepted at the hearing; and
WHEREAS, the City Council has considered the community needs, priorities, and
strategies set forth in the Consolidated Plan and the economic stimulus purposes of the ARRA,
and concludes the proposed allocation of $96,603 in CDBG -R funds is consistent with the
Consolidated Plan and Housing Element; and
WHEREAS, pursuant to Section 15378 of the State Environmental Guidelines, the
proposed project is exempt from the requirements of CEQA.
NOW, THEREFORE, the City Council of the City of Newport Beach DOES HEREBY
RESOLVE as follows:
1
SECTION 1. The proposed amendment to the 2008 -2009 Action Plan is hereby adopted,
and the City Council DOES HEREBY AUTHORIZE the City Manager to be the official
representative of the City of Newport Beach to submit the amended Action Plan and certification
required to HUD.
SECTION 2. That the City Council DOES HEREBY AUTHORIZE the Economic
Development Coordinator of the Planning Department, Economic Development Division, or his
designee, to be the official representative of the City of Newport Beach to submit required
environmental documentation for CDBG projects.
PASSED AND ADOPTED by the City Council of the City of Newport Beach at a regular
meeting held on the 26th day of May 2009.
MAYOR OF THE CITY. OF NEWPORT BEACH
attest:
CITY CLERK OF THE CITY OF NEWPORT BEACH
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF NEWPORT BEACH
I, LEILANI BROWN, City Clerk of the City of Newport Beach, HEREBY DO CERTIFY
that the foregoing resolution was duly adopted at a regular meeting of the City Council of the
City of Newport Beach, held on the 26th day of May 2009.
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
ABSENT: COUNCILMEMBERS:
CITY CLERK OF THE CITY OF NEWPORT BEACH
2