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CC - Item 3A - Public Hearing CDBG and Home Action Plan 07-08'r% 0 ROSEMEAD CITY COUNCIL STAFF REPORT TO: HONORABLE MAYOR AND COUNCIL MEMBE S FROM: ANDREW C. LAZZARETTO, CITY MANAGE DATE: MAY 8, 2007 SUBJECT: PUBLIC HEARING REGARDING ADOPTION OF THE PROPOSED CDBG AND HOME ACTION PLAN FOR FISCAL YEAR 2007-08 SUMMARY The City of Rosemead is a federal entitlement grant recipient of Community Development Block Grant (CDBG) and HOME funds from the U.S. Department of Housing and Urban Development (HUD). Per HUD, the City is required to prepare an Annual Action Plan to describe the projects and programs that would be undertaken in a particular funding year. In addition, the City is required to hold two public hearings regarding the proposed funding plans prior to the adoption of its Annual Action Plan that specifies the uses, of the funds. This is the second Public Hearing. The proposed budget for FY 2007-08 is $1,964,378 for CDBG and $3,359,558 for HOME funds. Staff Recommendation Staff recommends that the City Council take the following actions regarding the funding plans of FY 2007-08 CDBG and HOME funds: 1. Conduct a public hearing and receive public comments; 2. Award the following public service agencies with CDBG funds: • Family Counseling Services for $40,000, • People for People for $27,600, • Rosemead High School for $13,650, and • Rosemead School District for $11,698; 3. Adopt the proposed Action Plan for Fiscal Year 2007-08, and direct staff to submit the Plan to HUD by May 17, 2007; and 4. Authorize the Mayor to execute all appropriate and necessary documents to receive funding and implement approved uses. ANALYSIS To receive the annual funding, the City must comply with the following requirements prior to submitting the Action Plan to HUD: APPROVED FOR CITY COUNCIL AGENDA: l7 0 i City Council Meeting May 8, 2007 Page 2 of 5 1. Conduct a public hearing to receive citizen input regarding annual funding plans. A public hearing was held on April 24, 2007; 2. Publish the proposed Action Plan for a 30-day comment period to receive input from citizens. The Plan was published and made available for public review on April 5, 2007; 3. Conduct a second public hearing to receive citizen input and adopt the Action Plan. The second public hearing and adoption of the Plan are to be held on May 8, 2007; and 4. Submit the adopted Action Plan to HUD prior to the deadline of May 17, 2007. Other than requests of funding from public service agencies, the City received no public comments during the 30-day comment period and at the public hearing held on April 24, 2007. The City currently has $1,964,378 of CDBG funds and $3,593,558 of HOME funds available for program planning for FY 2007-08. Attachment "A" is the CDBG HOME Action Plan detailing the proposed uses of these funds. The summary of the proposal is as follows: CDBG Program Description Amount Administration Funding staffing and consulting services for overall program administration $137,791 Fair Housing Service Funding contract service for fair housing services $25,000 Consolidated Code Funding staffing for proactive code Enforcement enforcement in low income areas $328,100 Residential Rehabilitation Funding Handyman Grant, Emergency Grant, Program Rebate Program, and Public Works Grant $164,000 Residential Rehabilitation Funding staffing for program delivery Activities $56,100 Lead/Asbestos Testing Funding testing grant for Residential Grant Rehabilitation Program participants $20,000 Lead/Asbestos Funding remediation grant for Residential Remediation Grant Rehabilitation Program participants $100,000 Commercial Rehabilitation Funding Commercial Rehabilitation in low- Program income areas $100,000 Garvey Housing Funding property acquisition, rehabilitation, Revitalization Project demolition, and/or construction of $381,339 affordable housing on Garvey Avenue Dinsmoore Historical Funding necessary renovation to bring the House Renovation historical site to code $150,000 Public Services: Family Counseling Providing counseling service to low-income Services residents $40,000 s s City Council Meeting May 8, 2007 Page 3 of 5 People for People Providing food to homeless and low-income persons $27,600 Rosemead School District Providing conflict resolution program $11,698 Rosemead High School Providing counseling services to students $13,650 City's Senior Nutrition Program Funding lunch meals to senior citizens $80,000 Amendment of Previously Funded Projects: Virginia Street Improvement: increase budget from $475,000 to $861,100; variance of $386,100 $386,100 Alley Paving Project: decrease budget from $289,000 to $232,000; variance of $57,000 $57,000 TOTAL $1,964,378 FY 06-07 Carry-Over Program ADA improvement Project ADA improvements for City Hall $330,000 HOME Program Description Amount Administration Funding staffing and consulting services $281,525 CHDO Set-Aside Providing funds to non-profit housing developer to create affordable housing $490,858 Mortgage Assistance Providing down payment assistance to first- Program time homebu ers $150,000 Residential Rehabilitation Funding 0% Interest Loan and 3% Interest Program Deferred Loan Programs $200,000 Tenant-Based Rental Funding assistance to persons displaced Assistance (TBRA) through redevelopment of mobile home $511,719 Program arks or other governmental actions Garvey Housing Funding property acquisition, rehabilitation, Revitalization Project demolition, and/or construction of $1,959,456 affordable housing on Garvey Avenue TOTAL $3,593,558 Grant Administration and Program Delivery For many years, the City has contracted the CDBG and HOME administration and program implementation services to a consulting firm, namely Willdan. In FY 2006-07, the Willdan's total CDBG and HOME contract amount is $548,853. With the existing Willdan's contract expiring on June 30, 2007, the City has the opportunity to review and analyze the current structure of the grant administration and program delivery. Understanding the value of the expertise provided by consultants, staff proposes to continue the consulting service for general grant administration. The scope of service would be reduced from the current day-to-day operation/oversight to include advisory service, preparation of various HUD reports, assistance with HUD IDIS computer system, City Council Meeting May 8, 2007 Pape 4 of 5 and monitor of City's compliance with applicable rules and regulations. Per HUD requirement, the City would need to procure such service through a Request of Proposals (RFP) process. In addition to consulting service, staff recommends that the day-to-day grant administration and program implementation be carried out by City staff. 1. Continuity in Service Delivery. Currently, each consultant has an established weekly work schedule. For housing programs and our Commercial Rehabilitation Program, although the office is usually staffed during City Hall business hours, service is often interrupted when the consultant who handles certain cases or provides a particular service is not scheduled to be in the office. Program participants often need to call back on the day the particular consultant is working to receive the service. By modifying the staffing structure, there would be continuity in service delivery and staff would be available everyday. 2. Extended Service Hour and Coordinated Effort. For our Code Enforcement Program, consultants currently provide service four days a week. The newly proposed staffing structure would provide the service six days a week (Monday to Saturday) out of the Zapopan Public Safety Center. The proposed staffing structure would allow the Public Safety Center to be open on Saturday providing extended service to the public. In addition, by working with other agencies, such as law enforcement, probation, City prosecutor, animal control, refuse service, and the City's Building and Safety and Planning divisions, the City could lead the coordinated effort with better control and accountability to improve the quality of life in the community. 3. Cost Effectiveness and Increased Service Level. Attachment "B" is a chart depicting the service level and cost of the current and proposed staffing structures. The current structure includes a large portion of contract service and a small portion of City staff overseeing the contract, totally 116 hour per week at a cost of $606,119 per year. The proposed structure reflects a large portion of City staff and a small portion of contract service, totaling 310 hour per week at a cost of $806,155 per year. The average hourly rate for the proposed structure is $50 per hour, compared to the existing structure of $100 per hour. Overall, the proposed structure would increase the service level and provide 2.7 times of current coverage at an hourly rate that is half of the current rate. Please note that the statistics provided in this staff report might be slightly different than the stats provided in the previous staff report. In an attempt to provide the full picture of the staffing structure, this report includes both City staffing and contract service in the current and proposed structures. While the statistics might vary, the degree of the benefits of the proposed structure remains relatively similar. 4. Addressing Code Enforcement and Affordable Housing Needs. In response to the increasing needs and concerns in the areas of code enforcement and affordable housing, the proposed staffing structure has a budget that is $200,036 higher than the current structure. The increased budget would allow the City to allocate more personnel to address the code violations, graffiti issues, and public safety concerns. The City Council Meeting May 8, 2007 Pace 5 of 5 additional staffing would also be working on creation of affordable housing opportunities through projects such as Garvey Housing Revitalization Project, Tenant-Based Assistance Program (TBRA), and CHDO Set-Aside affordable housing project. These projects are funded by HOME funds and must be spent as soon as possible. The proposed staffing structure would offer improved efficiency and effectiveness of the uses of the CDBG and HOME funds and improve the City's services to its residents. FINANCIAL REVIEW The proposed structure is to fully utilize available CDBG & HOME funds to provide service in a cost effective manner. The current abundance of unallocated CDBG and HOME funds has created a one-time opportunity for the City to fund some special projects and administrative expense, such es the Dinsmoore Historical House Renovation Project, the Garvey Housing Revitalization Project, Tenant-Based Rental Assistance (TBRA) Program, and a large portion of the Community Housing Development Organization (CHDO) funds for affordable housing activities. These special projects and administrative expense would have otherwise been paid for by the City's General Fund and RDA's Housing Set-Aside Funds. The proposed structure would also provide costs saving of approximately $184,400 in staffing, mainly for existing City positions that are currently paid for by the City's General Fund. Under the proposal, these costs would be funded by CDBG and HOME funds. PUBLIC NOTICE PROCESS This item was noticed as a public hearing pursuant to Govt. Code §91.115(b)(3). Submitted by: Jess Duff Community Development Director by: Eileen Cheng \J Economic Development Administrator Attachment A: Proposed Action Plan Attachment B: Staffing Structure Comparison ~ • . • Attachment "A" 2007-2008 Third Year Annual Action Plan Community Development Block Grant and HOME Program City of Rosemead • • TABLE OF CONTENTS I General 1 Executive Summary 1 General Narratives 1 Resources 2 Managing the Process 4 Citizen Participation 4 Institutional Structure 5 Monitoring 5 Lead-based Paint 6 Housing 7 Specific Housing Objectives 7 Needs of Public Housing 12 Barriers to Affordable Housing 12 HOME /American Dream Downpayment Initiative 12 III Homeless 13 Specific Homeless Prevention Elements 13 Emergency Shelter Grants 18 IV Community Development 19 Community Development Needs and Bases for Assigning Needs 19 Anti-Poverty Strategy 21 V Non-Homeless Special Needs Housing 22 Non-Homeless Special Needs 22 Housing Opportunities for People with AIDS 24 Specific HOPWA Objectives 24 VI Other Narratives 24 CDBG and HOME Work Plan FY 2007-2008 26 , Tables 9 1 Housing Problems, All Households 9 2 Affordability Mismatch Output for All Households 10 3 Homeless and Special Needs Population 16 4 Community Development Needs 20 5 Special Needs Subpopulations 23 6 Comparison of Annual Projects with Five Year Goals 28 • • N 7 pc e* (II~II * Third Program Year oG9e I~~II~~ILpQar~z Action Plan qk OEVE- The CPMP Annual Action Plan includes the SF 424 and Narrative Responses to Action Plan questions that CDBG, HOME, HOPWA, and ESG grantees must respond to each year in order to be compliant with the Consolidated Planning Regulations. The Executive Summary narratives are optional. Narrative Responses Executive Summary Prooram Year 3 Action Plan Executive Summa The Annual Action Plan details the projects and programs that will be undertaken in FY 2007-2008, principally with the City's federal entitlement funds: CDBG and HOME. The Plan also outlines the goals and proposed outcomes for funded projects. This is the third of five (5) Annual Plans under the City's 2005-2010 Consolidated Plan. The City's Work Plan can be found on page 26 of the Plan, under Other Narrative. In general, the City will continue to carry out program administration, fair housing, public services that aid youth, at-risk families, seniors and the disabled. In addition, the City will continue its residential and commercial rehabilitation programs, and code enforcement, in its adopted target areas and revitalization areas and provide for infrastructure and improvements to the City, principally for the neighborhoods south of Interstate-10 and for the disabled. General Narratives Geographic Areas of Jurisdiction As stated in the Consolidated Plan, the City of Rosemead is located in the San Gabriel Valley in the eastern portion of Los Angeles County. Rosemead was incorporated as a City in 1959. The City enjoys good access to major transportation corridors including Interstate 10, Interstate 605, Rosemead Boulevard, Mission Drive, Temple City Boulevard, Valley Boulevard and Walnut Grove Avenue. Rosemead is a predominantly built-out suburban community and serves as a residential suburb for surrounding employment centers, such as Los Angeles. Most of the land area has been developed as low-density housing. Basis for Allocating Investment for FY 2007-2008 This section describes the basis for allocating investments geographically within the City. Based on HUD recommendations, general relative priorities for funding will be as follows: • 9 High Priority: Activities to address this need will be funded during the five-year period Medium Priority: If funds are available, activities to address this need may be funded by the City during the five-year period. Also, the City may use other sources of funds and take actions to locate other sources of funds. Low Priority: It is not likely the City will fund activities to address this need during the five- year period. The City will consider certifications of consistency for other entities' applications for assistance. In accordance with the City's Consolidated Plan, the City will allocate CDBG and HOME funds to the City's High Priority Needs. Geographic Distribution This section describes the geographic areas of the jurisdiction in which assistance will be directed during 2007-08. As stated in the Consolidated Plan, CDBG and HOME dollars will be spent in the areas of homeownership, housing rehabilitation and public services without regard for geographic boundaries, but focusing on low-to-moderate income households. The majority of infrastructure activities will be undertaken in low-to-moderate income areas south of Interstate 10. The City will continue to provide proactive code enforcement in identified target areas in low- and moderate-income neighborhoods south of Interstate 10. Actions to address obstacles to meeting underserved needs This section describes actions that will take place during the next year to address obstacles to meeting underserved needs. Potential obstacles to meeting affordable housing and community development needs and underserved needs through the CDBG and HOME programs include: • Lack of affordable land for housing development Funding constraints to address community development needs • Continued reductions for CDBG and other federal funding sources in FY 2007-2008 and possible future reductions for FY 2008-2009. Actions in FY 2007-2008 will be to look for non-traditional ways to develop affordable housing units and meet community development needs; work to combine funding sources and leverage private funds to develop affordable housing; and to work with the federal government to ensure that sufficient funding continues in order to meet needs. Resources During FY 2007-2008 the City of Rosemead will utilize several federal, state, local and private resources to address housing and community needs. Below is a summary of the major funding resources that will be available to carry out activities. Federal Resources - The City's CDBG funds will be utilized to provide a wide variety of housing, public services, public improvements, and economic development programs. The City will be receiving $1,181,629 in entitlement funds from HUD for FY 2007-2008. CDBG Third Program Year Action Plan 2 program income is expected to be.generated through the Senior Nutrition Program and the Housing Rehabilitation Program. Program income varies from year to year and cannot be estimated. In support of affordable housing programs the City receives an annual entitlement of HOME funds. The City will be receiving $512,224 from HUD for FY 2007- 2008. Section 8 Rental Assistance is provided to serve City of Rosemead residents through the Los Angeles County Housing Authority. The program provides rent subsidies to eligible low- income families who rent units in the private housing market. This is the principle HUD program for assisting participants in finding affordable rental units that is decent, safe and sanitary. There are 319 Rosemead families who are current Los Angeles County Housing Authority Section 8 participants. There are 290 Rosemead families who are currently on the Los Angeles County Housing Authority Section 8 waiting list. Average Section 8 Housing Assistance Payments (HAP) per family is $770.00, while the average rent portion paid by the tenant is $375.00, resulting in $1,145.00 as the average total rent payment paid in Rosemead under the Section 8 Program. Local Resources - The single most significant local resource available to address priority housing needs is money made available from the City's redevelopment housing fund. The State mandates that 20% of tax increment revenue generated by redevelopment activities is set-aside for affordable housing activities. The City of Rosemead projects that about $900,000 will be available in housing 'set-aside funds for housing activities during FY 2007- 2008. Nonprofit Resources - The City of Rosemead plans to provide CDBG funding to social service agencies to address non-housing priority needs. These agencies utilize additional governmental and private funding to support the operation of their programs. These public service programs serve to address special population needs including seniors, youth and battered women, homeless persons with special needs and lower income households. Leveraging of Resources - The City uses a variety of mechanisms to leverage additional resources. In residential rehabilitation, some assistance is offered as partial rebates, where a portion of the cost is borne by the recipient, or a loan where CDBG or HOME funds are repaid, or a loan where CDBG funds are only used to buy down a bank's existing interest rate. In street reconstruction, other funds besides CDBG are used to fulfill the requirements of the City's pavement management program, such as: Gas Tax, ISTEA, Redevelopment Agency monies. In public services, funds are either received as part of the program operation or CDBG funds are used with other forms of funding. In commercial rehabilitation and economic development, funds are leveraged either through loans that must be repaid or through partial rebates. In recreation facilities and other construction, the City leverages funds from a variety of sources, such as: Parks and Recreation Bond funds and assistance from the Rosemead Community Development Corporation. Transportation, which is identified in the Consolidated Plan as a priority item, receives no CDBG funds, and is funded entirely from other sources. Federal Match Requirements - The City is a 100% HOME match reduction community; therefore no HOME match is required. Third Program Year Action Plan 3 0 ! • Managing the Process Lead Agency This section identifies the lead agency, entity, and agencies responsible for administering programs covered by the consolidated plan. As stated in the City's Consolidated Plan, CDBG and HOME functions are part of Community Development. The Community Development Department administers the City's CDBG and HOME funds, and other funds such as Department of Justice and Redevelopment funds. Consultation This section identifies the significant aspects of the process, by which the plan was developed, and the agencies, groups, organizations, and others who participated in the process. The City consulted with a variety of agencies and organizations in the development of this Plan, including the following: • Internal Departments of the City • County of Los Angeles Housing Authority • San Gabriel Valley Homeless Coalition • Los Angeles Homeless Service Authority • Non-profit agencies • Housing Rights Center Local cities Citizen Participation Citizen Participation The City's Citizen Participation! process was held in conformance with its adopted Citizen Participation Plan, which was.updated as part of the 2005-2010 Consolidated Plan cycle. As part of the Consolidated/Annual Plan process, the City holds two public hearings regarding annual needs, as well as a 30-day comment period. All meetings are outreached in a variety of locations, as well as published in local newspapers. All meetings are accessible to the disabled and provisions are made for limited-English speaking persons. For the upcoming fiscal year 2007-2008, the City held two (2) public hearings, as well as the 30-day comment period. A general five (5) year needs meeting was held in 2005 as part of the five-year Strategic Plan formulation. For fiscal year 2007-2008, the City held its first public hearing regarding needs on April 24, 2007. The Plan was published for a 30-day comment period on April 5, 2007. A public hearing was held for adoption of the Plan on May 8, 2007. The Plan was sent to the U.S. Department of Housing and Urban Development on May 15, 2007. 1 Third Program Year Action Plan 4 • 0 No public comments were received concerning the Annual Action Plan. Institutional Structure This section describes actions that will take place during the next year to develop institutional structure. In the coming fiscal year, the City will pursue the following activities to enhance coordination and eliminate gaps in the institutional structure: • Attend meetings between service providers and non-profit developers and other interested parties as available. • Continue to participate in the Continuum of Care. • Continue to be a member of the San Gabriel Valley Homeless Coalition. • Continue to promote fair housing through the administration of fair housing services with Housing Rights Center of Southern California. • Continue to meet with interested local governments regarding regional approach to issues, including housing and providing funding for affordable housing. Monitoring This section describes actions that will take place during the next year to monitor its housing and community development projects and ensure long-term compliance with program requirements and comprehensive planning requirements. In conformance with the City's Monitoring Plan, which is found in the City's 2005-2010 Consolidated Plan, the City will undertake the following actions in FY 2007-2008: 1. Performance monitoring - monitoring of projects funded through the CDBG and HOME programs which will include desk audit of billing and a review of reporting information, as well as one on-site visit/interview. Monitoring will further include review of the subrecipient agreement used to measure compliance and inspection of HOME-funded units and collection of income information for renters in HOME units. 2. Financial monitoring - includes costs paid on reimbursement basis. Desk audit of billing and program activity report at time of reimbursement. 3. Davis-Bacon Compliance - includes monitoring of bid package, public bid process, a check with the State Contractors' License Board and federal Debarment system to ensure contractors are licensed and not debarred from federal contracts. Monitoring will further include reviews of the contract to measure performance, Davis-Bacon wage rates, site visits and interviews of workers during construction and prior to project close out. 4. Environmental Review Compliance - includes NEPA compliance, historic review, publication and clearance of project and monitoring of all environmental reviews. 5. Other Areas of Compliance - includes reviews of contractual compliance with fair housing, minority and women owned business enterprises, Section 3, affirmative Third Program Year Action Plan 5 marketing in HOME projects, which are carried out in conjunction with annual monitoring of each project, as applicable. Lead-based Paint This section describes the actions that will take place during the next year to evaluate and reduce the number of housing units containing lead-based paint hazards in order to increase the inventory of lead-safe housing available to extremely low-income, low-income, and moderate-income families, and how the plan for the reduction of lead-based hazards is related to the extent of lead poisoning and hazards. Program Year 3 Action Plan Lead-based Paint Recognizing the danger of lead-based paint, on September 15, 2000, new lead-based paint regulations took effect. After a review of available testing and abatement firms, including those that meet more restrictive California requirements, the City concluded that it lacked the capacity to implement the new regulations. Prior to September 15, 2000, the City filed a Statement of Inadequate Capacity. The City also submitted a Lead Transition Plan. In FY 2001-2002 the City began its lead testing and remediation program in conjunction with its residential rehabilitation program. The City will continue to fulfill the requirements of HUD's lead regulations and the more restrictive California requirements under the State's Title 17 for units assisted with CDBG and HOME funds. For FY 2007-2008, the City will: • Request for proposals process was completed in 2006-07 resulting in the award of a contract with a HUD-certified lead testing firm to perform a combination of limited lead testing, risk assessment and clearance testing; • Continue to attend available HUD-sponsored training on the subject; • Continue to coordinate with the Childhood Lead Poisoning Prevention Program and with County Public Health on an as-needed basis for information on the annual number of child lead cases detected and with local providers of Child Health Disability Prevention Program, which tests children between ages 1 and 2 for elevated blood levels (EBL); • Continue to test units built prior to 1978 for the presence of lead-based paint that participate in the City's Residential Rehabilitation programs; • Continue to provide grants to Housing Rehabilitation Program and Mortgage Assistance Program applicants for lead testing, risk assessment (as needed) and clearance testing. Third Program Year Action Plan 6 Specific Housing Objectives This section provides an assessment of housing needs in the City and describes the priorities and specific objectives the City hopes to achieve during 2007-08. Also provided is a description of how Federal, State, and local public and private sector resources, that are reasonably expected to be available, will be used to address identified needs in 2007-08. Housing Analysis An analysis of households with any type of housing problem, including affordability appears in Table 1 and Table 2. These tables are known as the CHAS dataset and represent housing issues based on 2000 census data as compiled by HUD. For the Housing Problems Output Table (Table 1), the following definitions apply: • Any housing problem: cost burden greater than 30% of income and/or overcrowding and/or without complete kitchen or plumbing facilities • Other housing problem: overcrowding and/or without complete kitchen or plumbing facilities For the Housing Affordability Table (Table 2), the following definitions apply (all values based on 2000 Census): • Rent 0-30% - These are units with current gross rents (rent and utilities) that are affordable to households with incomes at or below 30% of HUD Area Median Family Income as of 2000. Affordable is defined as gross rent less than or equal to 30% of a household's gross income. • Rent 30-50% - These are units with current gross rents that are affordable to households with incomes greater than 30% and less than or equal to 50% of HUD's Area Median Family Income. • Rent 50-80% - These are units with current gross rents that are affordable to households with incomes greater than 50% and less than or equal to 80% of HUD's Area Median Family Income. • Rent greater than 80% - These are units with current gross rents that are affordable to households with incomes above 80% of'HUD Area Median Family Income. • Value 0-50% - These are homes with current (2000) values affordable to households with incomes at or below 50% of HUD Area Median Family Income. Affordable is defined as annual owner costs less than or equal to 30% of annual gross income. Annual owner costs are estimated assuming the cost of purchasing a home at the time of the Census based on the reported value of the home. Assuming a 7.9% interest rate and national averages for annual utility costs, taxes and hazard and Third Program Year Action Plan 7 • \J mortgage insurance, multiplying income times 2.9 represents the value of a home a person could afford to purchase. • Value 50 - 80% - These are homes with current values that are affordable to households with income greater than 50% and less than or equal to 80% of HUD Area Median Family Income. Value greater than 80% - These are homes with current values that are affordable to households with incomes above 80% of HUD Area Median Family Income. 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This includes both renters and owners. Table 2 indicates that 76.2% of renters paying rent between 50% and 80% of their income identified some housing problem compared to 30.5% of owners with housing values that are affordable to households between 50% and 80% of HUD Area Median Family Income. In terms of concentration of low-income individuals and households, the majority of the City's low-income block groups are in the southern portion of the City south of Interstate 10. There are three (3) low-income block groups north of Interstate 10 and there are fourteen (14) low-income block groups south of the Interstate. Overall, the City is 53.9% low-to-moderate income. Specific Housing Objectives In Fiscal Year 2007-2008, the City will undertake the following housing programs/projects: STRATEGY: Continue the Mortgage Assistance Program. Goal: 1 new home buyer. STRATEGY: Continue residential rehabilitation through the Housing Rehabilitation Program, including homes in identified target areas south of Interstate 10. Goal: 20 units through all programs. STRATEGY: Continue multi-family rehabilitation program for units in targeted revitalization areas. Goal: 1 project over five years. STRATEGY: Establish Tenant-Based Rental Assistance (TBRA). Recipients may rent either private or public units and may, at the discretion of the City, use the TBRA to locate a qualifying unit outside of the jurisdiction, with that jurisdiction's approval. Goal: 5 households over the next three years. STRATEGY: Continue to provide Fair Housing. Goal: Provide funding to the Housing Rights Center to provide fair housing information and follow up. STRATEGY: Provide funding to Housing Development Fund. Goal: Fund one development project in FY 2007-2008. STRATEGY: The City is proposing the Garvey Housing Revitalization Project to preserve, maintain, and create affordable housing in Rosemead. Targeting existing blighted multi- family housing complexes, the City will purchase, rehabilitate, and lease the safe and sanitary apartment units to low income persons. Goal: 2 projects over the next three years. STRATEGY: To do annual inspections and follow up on HOME assisted units. Goal: inspect units at Los Girasoles and Garvey Senior Housing and to follow up with annual income verifications. Third Program Year Action Plan 11 10 City of Rosemead Resources CDBG and HOME funds will be used, as well as Redevelopment Agency Low-Mod Set Aside funds. See CDBG and HOME Work Plan for 2007-08 for details. Needs of Public Housing This section is reserved to describe the manner in which the plan of the jurisdiction will help address the needs of public housing and activities it will undertake during the next year to encourage public housing residents to become more involved in management and participate in homeownership. There is no public housing in the City of Rosemead. This section does not apply. Barriers to Affordable Housing This section describes the actions that will take place during 2007-08 to remove barriers to affordable housing. Land costs, availability and land constraints continue to be the biggest barriers to affordable housing. The City will continue with its Affordable housing program and its Housing Development Fund in FY 2007-2008 in an effort to mitigate barriers. HOME/ American Dream Downpayment Initiative (ADDI) This section is reserved to describe the use of ADDI funds and actions taken to meet program objectives. Additionally, the use of ADDI funds in conjunction with other investment resources such as HOME funds is to be discussed in terms of compliance with program regulations. ADDI: The City does not receive ADDI funds. Those sections do not apply. HOME: See the narrative below for specific HOME responses. Leveraging and Match The City is a 100% HOME match reduction community; therefore no HOME match is required. Other forms of investment The City of Rosemead does not use atypical loans or grant instruments of non-conforming loan guarantees. HOME Recapture Provisions in Mortgage Assistance Program (MAP) As stated in the Consolidated Plan, HOME regulation 24 CFR 92.254, Section (B)(ii) requires that the participating jurisdiction "recoups all or a portion of the HOME assistance to the home buyers if the housing does not continue to be the principal residence of the family for the duration of the period of affordability." In accordance with this requirement, the City of Rosemead has adopted the policy of repayment of HOME funds lent. If the loan is refinanced or home sold during the affordability period, the City also charges an interest rate penalty Third Program Year Action Plan 12 10 City of Rosemead that declines over the life of the loan to the end of the affordability period. The principal of HOME funds are always repaid. The affordability period is 10 years. Affirmative Marketing For rental projects consisting of five (5) or more HOME assisted units, the City will use affirmative marketing procedures and requirements. Affirmative Marketing Plans will include the following: 1. The methods to be used to inform the public, owners and potential tenants about fair housing laws. 2. Description of the efforts that will be made to conduct affirmative market housing units assisted with HOME funds. Owners and leasing agents will place advertisement to market HOME-assisted units including local sources, public agencies and social service organizations. • Description of efforts to outreach persons not likely to apply for housing without special outreach. These efforts will include effort to distribute marketing materials to organizations that likely have contact with these populations. • Maintenance of records to documents actions taken to affirmatively market HOME- assisted units and to assess marketing effectiveness. • Description of corrective actions that will be taken where requirements are not met. Specific Homeless Prevention Elements Each of the following elements is discussed in the narratives below. 1. Sources of Funds-Identify the private and public resources that the jurisdiction expects to receive during the next year to address homeless needs and to prevent homelessness. These include the McKinney-Vento Homeless Assistance Act programs, other special federal, state and local and private funds targeted to homeless individuals and families with children, especially the chronically homeless, the HUD formula programs, and any publicly-owned land or property. Please describe, briefly, the jurisdiction's plan for the investment and use of funds directed toward homelessness. 2. Homelessness-In a narrative, describe how the action plan will address the specific objectives of the Strategic Plan and, ultimately, the priority needs identified. Please also identify potential obstacles to completing these action steps. 3. Chronic homelessness-The jurisdiction must describe the specific planned action steps it will take over the next year aimed at eliminating chronic homelessness by 2012. Again, please identify barriers to achieving this. Third Program Year Action Plan 13 City of Rosemead 4. Homelessness Prevention-The jurisdiction must describe its planned action steps over the next year to address the individual and families with children at imminent risk of becoming homeless. 5. Discharge Coordination Policy-Explain planned activities to implement a cohesive, community-wide Discharge Coordination Policy, and how, in the coming year, the community will move toward such a policy. Program Year 3 Action Plan Homeless response: Continuum of Care The City is a member of the San Gabriel Valley Homeless Coalition and participates in the Countywide Continuum of Care through the Los Angeles Homeless Services Authority for HUD SuperNOFA funds. In this capacity, City staff attends meetings of social service providers, supplies information to the umbrella organization responsible for coordinating the continuum, and receives information from them. In addition, the City works with public service agencies and others to identify services and service gaps in the community to ensure that citizens looking for services are referred to agencies that can be of the most assistance to them. In addition, as part of SPA-3 for homelessness, the City participates in the Los Angeles Homeless Services Authority (LAHSA) plan to eliminate homelessness by 2012. In 2005, Community Development, in conjunction with Code Enforcement and the Los Angeles County Sheriff's Department, undertook a homeless count night. Potential sites were identified in advance as locations for the homeless. A homeless count was conducted at these sites, along with follow-up sites during the evening hours. As a result, staff encountered seven (7) persons at twenty sites. All of these persons stated that they were homeless. Of these, three (3) were female and four (4) were male. Four (4) identified themselves as White, while three (3) identified themselves as Hispanic. They ranged in age from 32 to 63 years of age. The majority reported that they had alcohol or substance abuse issues, while three (3) were disabled. Homelessness ranged from 1 week after leaving a correctional facility to ten years or more. All respondents received information regarding services, although the majority stated they didn't know if they would follow up. This is the City's third homeless count since 1999. In the first count, eight (8) persons were found, of which four (4) stated they were homeless. Three (3) had alcohol/substance abuse problems and two (2) were mentally disabled. All declined services. In addition, in 1999, the Urban Research Group conducted a survey of homelessness in the San Gabriel Valley. It identified 18 persons who had requested services. Nine (9) of those persons lacked a permanent address. The homeless population was estimated at between 13 and 16. This represented a decline from the'1990 Census in which 20 individuals and one (1) family were identified as homeless. In the homeless count conducted in 2002, staff found four (4) persons, two (2) of whom claimed to be homeless and unsheltered, one (1) who was unresponsive, but appeared to be unsheltered and one (1) whom was intoxicated and sleeping. Based on the three (3) counts, unsheltered homelessness within the City has remained low and fairly constant since a decline after the 1990 Census. It has ranged from approximately 16 to a low of four (4). Third Program Year Action Plan 14 ~ s City of Rosemead Gaps Analysis Table 3 on the following page represents the San Gabriel Valley's access to services compared with numbers of homeless and need on a regional basis. Although homelessness within the City of Rosemead is low, it is much higher in Sub Planning Area (SPA 3) of the Los Angeles Homeless Services Authority (LAHSA), which is the San Gabriel Valley. Most of this homelessness is concentrated in the eastern portion of the Valley. Homeless rates among west valley cities, where Rosemead is located, is generally low. Within the City and western region, there is a priority need for substance abuse and mental health services, as well as for transitional housing. Third Program Year Action Plan 15 City of Rosemead Table 3 Homeless and Special Needs Population - San Gabriel Valley (SPA 3) Estimated Current Unmet Relative Need Inventory Need / Priority Individuals : Exam le f --=Emergency 'Shelter 115' 89 26 - - " M Emergency Shelter 250 110 140 H Beds / Units Transitional Housing 400 107 293 M Permanent Housin 450 15 435 H Total 1100 232 848 Job Training 550 200 350 H Case Management 825 400 425 H Estimated Substance Abuse Treatment 550 200 350 H Supportive Mental Health Care 450 100 350 H Services Housing Placement 825 400 425 H Slots Life Skills Training 825 400 425 M Other Chronic Substance Abusers 550 200 350 H Seriously Mentally 111 275 100 175 H Estimated Dually - Diagnosed 175 100 75 M Sub- Veterans 200 25 175 M populations Persons with HIV AIDS 35 25 10 M Victims of Domestic Violence 150 50 100 M Youth 75 25 50 H Other - Elderly 135 50 85 H Persons in Families with Children Example Emergency Shelter 115 89 26 M Emergency Shelter 100 38 62 H Beds / Units Transitional Housin 200 181 19 M Permanent Housing 200 54 146 H Total 500 273 227 Job Training 150 75 75 H Case Management 150 75 75 M Estimated Substance Abuse Treatment 100 75 25 M Supportive Mental Health Care 50 50 0 M Services Housing Placement 150 75 75 H Slots Life Skills Training 150 75 75 H Other: Education support for youth 300 200 100 H Chronic Substance Abusers arents 65 25 40 H Seriously Mentally III. 10 10 0 M Estimated Dually - Diagnosed 10 10 0 M Sub- Veterans (parents) 25 10 15 M Populations Persons with HIV/AIDS 10 10 0 M Victims of Domestic Violence families 175 50 125 H Youth 300 200 100 H Third Program Year Action Plan 16 City of Rosemead Certifications of Consistency With the Consolidated Plan The City's guidelines regarding the Certifications of Consistency with the Consolidated Plan for SuperNOFA applications are in place to ensure that social service providers work towards regional approaches to homelessness. The guidelines are as follows: 1. The request must include the population, subpopulation, and/or. special needs population to be served. 2. A project description, including the services to be provided, the number of clients ,served, the operating pro-forma for the project, the location of the project, the applicant's ability to obtain site control, and the characteristics of surrounding land uses. 3. Geographic distribution of the proposed project near social services, public facilities and public transportation. - 4. The coordination of the project with existing service providers, programs and funding and the relationship of the project to regional solutions to serve targeted populations. S. Projects that support progress of the client population towards self-sufficiency and placement in transitional housing and support services provided by other non-profit service providers and Los Angeles County. Projects that enable homelessness are not consistent with the continuum of care, the Plan to end homelessness or with the City's Consolidated Plan. For new projects within the City, the governing body will be required to provide formal review and action prior to the issuance of a certification of consistency. No new project applications were submitted this year. Priorities to Address Homelessness The following activities will be undertaken to continue the City's commitment to address priority needs of homeless individuals and families:' • Work within the Continuum towards regional approaches to homelessness. • Work with the San Gabriel Valley Homeless Coalition and social service providers towards regional approaches to homelessness. • Work with the identified Community. Housing Development Organizations (CHDO) in the County. • Provide a variety of affordable housing options through mortgage assistance programs, HOME Housing and Redevelopment Agency programs. Provide CDBG and HOME funds for residential rehabilitation. In addition, the City will utilize the following organizations to address the needs of homeless individuals and families and other special needs groups: Third Program Year Action Plan . 17 City of Rosemead Assistance General People for People. A.non-profit social service which provides food and clothing to individuals and families in need, including homeless or at risk of homelessness. InfoLine. Provides information and referral services to persons,-including the homeless Homeless Outreach Programs. Provides information and referral services to homeless populations. Assistance Medical East Valley Community Health Center. Provides free immunizations, medical examinations, HIV testing and low cost health services. Shelters and Emergency Housing YWCA--Wings. Provides emergency housing for battered women and their children Salvation Army. Provides motel vouchers for emergency housing. Actions to support the Consolidated Plan include: STRATEGY: Continue to be a member of the Homeless Continuum. Goal: eliminate gaps in the system. STRATEGY: Provide funding to People for People for homeless assistance and prevention activities. Goal: Assist over 100 persons. Resources CDBG funds will be used. See CDBG and HOME Work Plan FY 2007-2008 on page 26. Emergency Shelter, Grants (ESG) This section is reserved to describe the process for awarding grants to State recipients, and a description of how the allocation will be made available to units of local government. The City of Rosemead does not receive ESG funds. This section does not apply. Third Program Year Action Plan 18 i City of Rosemead Community Development Needs and Bases for Assigning Priorities This section identifies specific long-term and short-term non-housing community development objectives (including economic development activities that create jobs) to meet the statutory goals and primary objectives of the CDBG program to provide decent housing and a suitable living environment and expand economic opportunities, principally for low- and moderate-income persons. The City has identified many areas in low-income neighborhoods that need improvement in infrastructure, roads, sidewalks and streetlights, as well as public safety. These areas have been identified through a process involving local government, as part of the Capital Improvement Plan, as well as ongoing significant local input through the Neighborhood Watch process. As part of this plan, the City will continue its ADA compliance activities in accordance with its ADA plan. The City has adopted identified strategy areas for proactive code enforcement south of Interstate 10, along with its other Code Enforcement Target Areas, as a way to partner with agencies and departments for integrated neighborhood improvement. The City began work in identified strategy areas in FY 2005-2006 and, will continue to provide code enforcement services. In FY 2007-2008, the City plans to launch its focused code enforcement efforts in Target Area 3, an area that is bounded by Garvey Avenue, Del Mar Avenue, Graves Avenue, and New Avenue. Similar efforts will be implemented.in Target Area 3 as in Target Areas 1 & 2. Table 4 on the following page outlines the City's 5 year Community Needs. Needs do not represent all needs in the community, nor all funding sources, but do. represent the needs which are determined to be addressed during the 5-year period. Third Program Year Action Plan 19 City of Rosemead TABLE 4 HUD Table: Community Development Needs - 5-Year Needs Estimation ` Community Development Needs Type Priority Need Units Est. Funding Public Facilities Senior Centers " Youth Centers Neighborhood Facilities . Child Care Centers Parks/Recreation Facilities Health Facilities Parking Facilities Other Public Facilities: Police Substation H 1 500,000 Infrastructure Improvements Solid Waste Disposal Flood Drainage - Water - " - Street - H 5 2,000,000 Sidewalk -H 1 500,000 ' Sewer " - Asbestos - " - Other: ADA H 3 800,000 Other: Streetlights H 1 400,000 Other: Code Enforcement H 5 1,000,000 Public Services Senior Services H 1 500,000 " Handicapped Services - Youth Services H 5 - 250,000 - Transportation Services Substance Abuse Services Employment Training Crime Awareness Child Care Services - Health Services - r - OthecBattered Women - H 5 50,000 Service/Admin. Fair Housing Counseling H 5 50,000 Tenant/Landlord Counseling H 5 50,000 Other Needs Accessibility H " 2 1,000,000 Residential Historic Preservation Non-Residential Historic Presentation - Economic Development Needs H 5 500,000 Repayment Section 108 Loans Planning and Admin. Planning and Administration H 5 - 910,000 TOTAL ESTIMATED DOLLARS NEEDED 7,610,000 Third Program Year Action Plan 20 City of Rosemead In accordance with the Community Development Needs Table in the Consolidated Plan, the City plans to undertake the following in FY 2007-2008: STRATEGY: Provide funding for Consolidated Code Enforcement Activities. Goal: 400 cases in FY 2007-2008. STRATEGY: To improve infrastructure, especially south of Interstate 10. Goal: Complete one neighborhood public improvement on Virginia Street and improve 2 alleys. Resources See Work Plan for proposed use of funds. Antipoverty Strategy This section describes the actions that will take place during the next year to reduce the number of poverty level families. The following are often cited as major factors that work to create poverty: • Lack of education Lack of marketable job skills • General unemployment Low wages • Lack of affordable child care • Substance abuse • Lack of reliable transportation The City has established goals and policies desighed to improve the local economy and reduce the level of poverty within the community. This strategy is outlined in the following sections. Housing and Community Development • The City will continue to partner with the Los Angeles County Housing Authority for rental subsidy payments through the Section 8 program. • The City will continue public services, including homeless prevention and counseling programs to assist households and individuals with improved living conditions, reduced need for substance abuse, after-school tutoring programs and access to services. • The City will provide home ownership programs. • The City will continue to support local and regional transportation through the City's Dial-A-Ride program, fixed-route Shoppers Express programs and RTD bus access. Third Program Year Action Plan - 21 City of Rosemead Economic Development The City has partnered and supported activities that promote economic development including the following programs: CDBG funded Commercial Rehabilitation Program and, Economic Development Loan Program • RDA funded Commercial Rehabilitation Program • RDA assisted or facilitated business attraction and retention Low Income Housing Tax Credit Coordination (LIHTC) Currently, the City uses Redevelopment Agency Low - Moderate income housing funds, HOME and other programs for affordable housing development. The City has participated in one tax credit development project. The City has a HOME-funded development fund. As part of that, there may be additional opportunities to use the Low Income Housing Tax Credit. In order to coordinate these tax credits, the City's staff will oversee the Housing Development Fund. As such, the housing staff will work with the agency's pro forma, serve as part of the team developing the tax credit financing and will calculate the financing gap, along with the maximum and minimum subsidies. This will ensure that the City's HOME contribution will meet HOME requirements for the LIHTC program. STRATEGY: The City's proposed economic development - job creation and retention activities for fiscal year 2007-2008 include the following: • CDBG funded loans and rebates to existing start-up businesses, and commercial building owners. Owners must demonstrate job retention, or job creation and expansion, or provide goods and services for a primarily low- and moderate-income area. Redevelopment Commercial Rehabilitation to existing businesses and commercial building owners in RDA areas. STRATEGY: Funding for business assistance, including the Rebate and Loan program. Goal: to provide assistance to a minimum of 2 businesses in FY 2007-2008 in either program. STRATEGY: Continue other services to assist families. Goal: Continue City's transportation programs and participation. Continue to support the Housing Authority for Section 8 rental assistance. Non-Homeless Special Needs (91.220 (c) and (e)) This section describes the priorities and specific objectives the jurisdiction hopes to achieve in FY 2007-2008. Also identified are Federal, State, and local public and private sector resources that are reasonably expected to be available will be used to address identified needs. Third Program Year Action Plan 22 City of Rosemead Program Year 3 Action Plan Specific Objectives response: Below is Table 5 from the City's Consolidated Plan: TGRLE 5 SPECIAL NEEDS SUBPOPULATIONS Priority Need Level High, Medium, Low, No Such Need Dollars to Address Unmet Need Elderly H 400,000 Frail Elderly H 100,000 Severe Mental Illness L 0 Developmentally Disabled L 0 Physically Disabled H 500,000 Persons w/ Alcohol/Other Drug Addictions M 0 (need through homeless programs Persons w/HIV/AIDS L 0 Other - Youth/Families - H 125,000 TOTAL - 1;125,000 See Table 113 in Consolidated Plan Public Services As seen above, the City has an ongoing need for senior and youth services, including senior nutrition, social/recreational activities, counseling, other youth activities and homeless prevention activities. The City will continue its public service activities program. In FY 2007-2008, provide continued funds support for Public Services programs. STRATEGY: Provide social services to low- and. moderate-income individuals and households with a specific focus on seniors, youth and battered women. Goal: see individual projects for goals. ADA Improvements The City remains committed to providing accessibility to the disabled through an active campaign to comply with ADA requirements. A requirement of the federal Fair Housing Act and the California Fair Employment and Housing Act is to impose an affirmative duty on local governments. to make reasonable accommodations in their zoning and other land use regulations when such accommodations may be necessary to afford disabled persons an equal opportunity to use and enjoy a dwelling. The City will continue its ADA program. In FY 2007-2008, the City will address ADA needs as they arise. , Resources See CDBG and HOME Work Plan for specific resources and projects. Third Program Year Action Plan 23 City of Rosemead Housing Opportunities for People with AIDS This section is reserved to provide a brief description, report on actions taken, evaluation of progress made, use of leveraged funds, distribution of funds among housing categories and any barriers encountered for the Housing Opportunities Program for People with AIDS. The City of Rosemead does not receive HOPWA funds. This section does not apply. Specific HOPWA Objectives This section is reserved to describe how Federal, State, and local public and private sector resources that are reasonably expected to be available will be used to address identified needs for the period covered by the Action Plan. The City of Rosemead does not receive HOPWA funds. This section does not apply. This section is includes any Action Plan information that was not covered by a narrative in any other section. Fair Housing and Minority Business Outreach Minority Business Outreach The City maintains opportunities for minority businesses and contractors to access its programs. The City has several avenues of access: it maintains a courtesy contractors list for its residential rehabilitation program. The City also hosts an annual homebuyer fair and outreaches minority lenders and agents for representation in its fair for its mortgage assistance program. For large construction projects, the City uses a variety of print media to outreach contractors for construction projects. The City will continue these activities in the 2007-2008 fiscal year. Fair Housing Introduction As a recipient of CDBG funds, the City of Rosemead is required to develop a fair housing program whose specific actions and procedures which will have an impact on preventing, reducing or eliminating housing discrimination and other barriers to equal housing choice based on race, color, religion, sex, national origin, ancestry, familial status or physical or mental handicap. Definition of Fair Housing Fair Housing is defined as "a condition in which individuals of similar income levels in the same housing market area have a like range of choice available.to them regardless of"race, marital status, color, religion, ancestry, sex, sexual orientation, national origin, familial status, age, physical or mental disability, arbitrary or any other category which may be defined by law now or in the future." Third Program Year Action Plan 24 ` City of Rosemead Impediments to Fair Housing Choice Impediments are defined as: • Any action, omission, or decision taken because of race, color, religion, sex, disability, familial status or' national origin which restrict housing choices or the availability of housing choices, or • Any action, omission, or decision which have the effect of restricting housing choices or the availability of housing choices on the basis of race, color; religion, sex, disability, familial status, or national origin. Based on the conclusions of the Analysis of Impediments (AI), if the CDBG grantee takes lawful steps to eliminate identified impediments to fair housing choice within'its jurisdiction, the grantee will be determined to have taken affirmative actions to further fair housing choice. Results of Analysis of Impediments (AI) As part of the Five Year Plan process, the City conducted a follow up to its 2000 Impediment Study. The City issued a Request for Proposals (RFP) in 2005-06 and selected the Housing Rights Center as the agency to conduct its AI. The Al study has been completed. The results of the Al Study will be included in the 2006 CAPER. In FY 2007-2008, the City will undertake the following activities to further fair housing: • Work for the development of housing through its CDBG, HOME Housing programs to assist lower-income households. • Expand fair housing outreach through articles, attendance at fair housing events and possible workshop/outreach meeting.. • Provide fair housing services and information and tenant=landlord services • Continue Mortgage Assistance program to assist lower-income households. • Continued to assist state and federal housing enforcement agencies by investigating fair housing complaints. Elimination of Slum and Blight The Historic Dinsmoore House located at 9632 Steele Street has serious building code and health and safety concerns. These include seismic standards, dry-rot, and water damage. Addressing these matters is considered elimination of slum and blight, and the project, would eliminate specific conditions detrimental to public health and safety. Third Program Year Action Plan 25 City of Rosemead CDBG and HOME Work Plan FY 2007-2008 CDBG: $1,181,629 + carryover Administration 137,791 Fair Housing 25,000 Consolidated Code Enforcement 328,100 Residential Rehabilitation 164,000 Rehabilitation Activities 56,100 Lead/Asbestos Testing 20,000 Lead/Asbestos Remediation 100,000 Commercial Rehabilitation 100,000 Garvey Housing Revitalization Project 381,339 Dinsmoore Historical House Renovation 150,000 Public Services: Family Counseling Service 40,000 People for People ' 27,600 Rosemead School District 11,698 Rosemead High School 13,650 Senior Nutrition Program 80,000 Amendment to Prior Year Projects Virginia Street Improvements: increase budget from $475,000 386,100 to $861,100 Alley Paving Project: decrease budge from 289,000 to $232,000 ($57,000) TOTAL $11'964,378 Continuation Proiects - not part of current budget City Hall ADA Improvements 330,000 HOME•$512 224 + prior year funds Administration 281,525 Community Housing Development Organization (CHDO) 490,858 Set-Aside Mortgage Assistance Program 150,000 Residential Rehabilitation Program 200,000 Tenant Based Rental Assistance,(TBRA) Program 511,719 Garvey Housing Revitalization Project 1,959,456 TOTAL $3,593,558 In addition, there is $100,000 set aside in general RDA funds for Agency funded commercial rehabilitation. Surplus from Urban Renewal Grants, Grant Funds Returned to Letter of Credit and Income from Float-Funded Activities There are no reconciliation changes, adjustments, or funds returned to the City's Letter of Credit, no urban renewal grants and no float-funded activities. Pre-award Costs The City does not anticipate awarding any pre-award costs Third Program Year Action Plan 26 City of Rosemead Urgent Need The City does not anticipate using the Urgent Need classification during the FY 2007-2008 program year. However, should circumstances arise (such as natural disaster) during the program year, the City may need to reevaluate, in the context of recovery activities, whether or not a. project will require use of the Urgent Need classification. In such case, the City will amend its Plan to make use of this national objective. 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