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Home My WebLink AboutD-1 CDBG CC Staff ReportSCHEDULED PUBLIC HEARING D-1 TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS VIA: TROY BUTZLAFF, ICMA-CM, CITY MANAGER FROM: KURT CHRISTIANSEN, FAICP, DIRECTOR OF ECONOMIC AND COMMUNITY DEVELOPMENT DATE: FEBRUARY 6, 2017 SUBJECT: APPROVE CHANGE TO THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM TO CANCEL CDBG PROJECT 601661-14, ENTITLED, “GLADSTONE PARK BACKSTOP AND FENCING PROJECT” AND REPROGRAM THIS PROJECT’S UNSPENT BALANCE OF CDBG FUNDS IN THE AMOUNT OF $181,590 INTO TWO (2) UPCOMING 2017-2018 CITY OF AZUSA CDBG-ELIGIBLE PROJECTS SUMMARY Under the Los Angeles County Community Development Block Grant (CDBG) Program, participating cities are required to expend CDBG project funds in a timely manner or risk loss of CDBG funds. In order to fully utilize available CDBG funds it sometimes becomes necessary to cancel projects that are not ready or cannot be completed prior to the expiration of funds and to reprogram these funds to other eligible projects. This action approves the cancellation of one (1) project (Gladstone Park Backstop and Fencing Project) and formally approves the reprogramming of $181,590 in CDBD funds into two upcoming 2017-2018 Community Development Block Grant (CDBG) Public Improvement Projects. RECOMMENDATION: Staff recommends that the City Council take the following actions: 1) Open the public hearing, receive testimony and presentation of the proposed cancellation of CDBG Project 601661-14, Gladstone Park Backstop and Fencing Project, and approve the reprogramming of remaining CDBG funds totaling $181,590 into two upcoming 2017-2018 Community Development Block Grant (CDBG) Public Improvement Projects, entitled: “Sidewalk and ADA Improvements Project (Increase of $31,325) ” and, “Azusa Public Library American with Disabilities Act (ADA) Compliant Restroom Retrofit and Improvements Project (Increase of $150,265)”; and , 2) Adopt the Resolution No. 2017-C07 entitled, “A Resolution of the City Council of the City of Azusa Approving the Cancellation of Community Development Block Grant Project Number 601661-14, entitled, “Gladstone Park Backstop and Fencing Project” and authorize the Reprogramming of the Unspent Balance of CDBG Funds in the amount of $181,590 to into Two 2017-2018 City of Azusa CDBG-Eligible Projects”; and APPROVED COUNCIL MEETING 2/6/2017 Approve Change to CDBG Program February 6, 2017 Page 2 2 3) Return $12,210 to the Los Angeles County Community Development Commission (LACDC) for previous costs incurred during the planning of the Gladstone Park Backstop and Fencing Project; and 4) Authorize Staff the ability to make adjustments to CDBG project applications and CDBG project agreements, due to programmatic interpretations by the Los Angeles County Community Development Commission (LACDC). DISCUSSION: The City of Azusa participates in the Los Angeles County Community Development Block Grant (CDBG) Program, utilizing these federal funds for various housing and community development projects within the City. The City of Azusa’s approved 2014/2015 CDBG Program Year included funding for construction of a new backstop and new fencing at Gladstone Park. On May 16, 2016, the City Council rejected the one, non- responsive bid received for the CDBG- funded Gladstone Park Backstop and Fencing Project (CDBG Project Number 601661-14) and directed Staff to cancel the project and reprogram the remaining CDBG funds. Cancellation of this project represents a substantial change to the City’s CDBG Program and requires that the public be properly noticed and that a public hearing be conducted. The Gladstone Park Backstop and Fencing Project was originally funded using CDBG funds in the amount of $193,800. CDBG expenditures totaling $12,210 were previously spent to complete the project design and prepare project plans and specifications. Thus, CDBG funds in the amount of $181,590 are available for reprogrammin g into eligible new or continuing CDBG projects. FISCAL IMPACT: The Gladstone Park Backstop and Fencing Project was originally approved as part of the City’s FY 2014 -2015 Community Development Block Grant (CDBG) Program, and extended through FY 2016-2017. The original project budget was $193,800, with previous project costs incurred totaling $12,210. Cancellation of this project will require that the City return $12,210 to the Los Angeles County Community Development Commission using non-CDBG funds. This amount, however, will be made available to the City for reprogramming into eligible CDBG projects. Prepared by: Reviewed and Approved: Tina Gall Kurt Christiansen, FAICP CDBG Consultant Director of Economic and Community Development Reviewed and Approved: Reviewed and Approved: Louie F. Lacasella Troy L. Butzlaff, ICMA-CM Management Analyst City Manager Attachments: 1) Resolution No. 2017-C07 ATTACHMENT 1 RESOLUTION NO. 2017-C07 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA APPROVING THE CANCELLATION OF COMMUNITY DEVELOPMENT BLOCK GRANT PROJECT NUMBER 601661-14, ENTITLED, “GLADSTONE PARK BACKSTOP AND FENCING PROJECT” AND AUTHORIZE THE REPROGRAMMING OF THE UNSPENT BALANCE OF CDBG FUNDS IN THE AMOUNT OF $181,590 INTO TWO 2017-2018 CITY OF AZUSA CDBG- ELIGIBLE PROJECTS WHEREAS, on August 22, 1974, the President of the United States signed into law the Housing and Community Development Act of 1974 (Act); and WHEREAS, the primary goals of Title 1 of the Act are the development of viable urban communities by providing decent housing and a suitable living environment, and expanding economic opportunities, principally for persons of low and moderate income; and WHEREAS, the City of Azusa receives an allocation of federal Community Development Block Grant funds as a participating city under the County of Los Angeles Community Development Block Grant (CDBG) Program to further the attainment of these goals; and WHEREAS, the City Council passed, approved and adopted Resolution 14-C1 on January 6, 2014 approving the CDBG funding allocation for the 2014-2015 Program Year; and WHEREAS, the Gladstone Park Backstop and Fencing Project was approved for funding in the amount of $193,800; and WHEREAS, after careful consideration and following a nonresponsive competitive bidding process, City staff recommends the cancellation CDBG Project 601661-14, Gladstone Park Backstop and Fencing Project, and the reprogramming of the remaining CDBG balance of $181,590 into two 2017-2018 (CDBG) Public Improvement Projects, entitled: “Sidewalk and ADA Improvements Project (Add $31,325)” and, “Azusa Public Library American with Disabilities Act (ADA) Compliant Restroom Retrofit and Improvements Project (Add $150,265) ”, and the return of $12,210 to the Los Angeles County Community Development Commission using non-CDBG funds; and WHEREAS, the City Council has conducted a public hearing, with the required prior noticing to provide the public an opportunity to comment on the proposed cancellation of CDBG Project 601661-14, Gladstone Park Backstop and Fencing Project, and the reprogramming of said project’s remaining CDBG funds totaling $181,590 into two eligible 2017-2018 Community Development Block Grant projects. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Azusa does hereby take the following actions: SECTION 1. Approve the cancellation of CDBG Project 601661-14, Gladstone Park Backstop and Fencing Project, and instruct staff to submit the necessary documentation and a copy of this Resolution to the Los Angeles County Community Development Commission. SECTION 2. Approve the reprogramming of said project’s remaining CDBG funds totaling $181,590 into two eligible 2017-2018 Community Development Block Grant projects entitled: “Sidewalk and ADA Improvements Project” and, “Azusa Public Library American with Disabilities Act (ADA) Compliant Restroom Retrofit and Improvements Project”. SECTION 3. Authorize staff to return to the Los Angeles County Community Development Commission previously spent CDBG Project 601661-14, Gladstone Park Backstop and Fencing Project funds totaling $12, 210. SECTION 4. Authorize the Mayor or authorized designee to execute all necessary contracts and agreements with the Los Angeles County Community Development Commission, in order complete the proposed CDBG Program changes which may be approved by the City Manager and, as necessary, the City Attorney. SECTION 5. The City Clerk shall certify the adoption of this resolution. PASSED, APPROVED AND ADOPTED this 6th day of February, 2017. ____________________________________ Joseph Romero Rocha Mayor ATTEST: ____________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2017-C07 was duly adopted by the City Council of the City of Azusa, at a regular meeting of said City Council held on the 6th day of February 2017, by the following vote of the Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk APPROVED AS TO FORM: ___________________________________ Best Best & Krieger, LLP City Attorney