REPORT TO HOUSING AND HUMAN SERVICES COMMISSION
SUBJECT
Title
Evaluations and Funding Recommendations for FY 2024/25 & FY 2025/26 Allocation of HOME Investment Partnership Program and FY 2024/25 Community Development Block Grant Funds.
Report
BACKGROUND
Sunnyvale receives an annual allocation of Community Development Block Grant (CDBG) and Home Investment Partnership Program (HOME) funds from the U.S. Department of Housing and Urban Development (HUD) to be used for community development programs and local housing strategies designed to increase opportunities for low and very low-income residents.
CDBG Eligible Projects
The City operates its CDBG funding on a two year cycle. Year one of the funding cycle awards CDBG funds, in either grant or loan form, to both capital projects and human service grantees. In addition to the CDBG funds, the City supplements an additional $135,000 annually from the General Fund to further support human service grantees. All human service grantees funded through CDBG and General Fund are awarded two year funding contracts contingent on available funding and performance. Should CDBG funding increase or decrease, all human service grants would be adjusted proportionately.
During year two of the funding cycle, only CDBG capital project funds are considered. CDBG capital project proposals may include housing rehabilitation projects, economic development activities, public facilities and/or infrastructure, acquisition of land for CDBG-eligible projects, commercial building rehabilitation, and several other miscellaneous types of projects listed in the CDBG statutes. Any of the project types must show clear evidence that they will "primarily benefit" low-income residents; this means at least 51% of the users of the facility to be assisted, or beneficiaries of the activity (loan recipient, occupants of housing to be improved, job training program participants etc.) must be lower-income.
Since FY 2024/25 will be the second year of th...
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