DATE: September 16, 2020
TO: Community Service Commission
FROM: Community Services Manager
SUBJECT
Title
Community Development Block Grant Timeliness Update
End
RECOMMENDATION
Recommendation
That the Community Services Commission reviews the Division’s progress in meeting timeliness standards for Community Development Block Grant (CDBG) entitlement and CARES Act (CDBG-CV) funding.
End
SUMMARY
The CDBG program annually provides formula entitlement grants to states and local governments with populations greater than 50,000. Annually on May 2, HUD conducts a point-in-time measure to assess an entitlement community’s timely use of CDBG funds. To meet this “timeliness ratio,” communities must have no more than 1.49 times their current program year entitlement in fund reserves.
In December 2018, staff sought guidance from Council and approval of a contingency plan to re-allocate up to $1.75M in available CDBG funds to eligible projects. After successfully spending down the City’s CDBG fund balance through 2018 and 2019, the City’s current projected timeliness ratio is 1.08, once pending draws are completed. This report provides a status update on FY 2020 funded projects and an overview of how the addition of CDBG funds from the CARES Act influences timeliness.
ATTACHMENTS
Attachment I Staff Report