Report Prepared by: Kimberly Nutt, Housing Program Supervisor, Housing Division/Development Services Department
Title
SUBJECT: Continued - Additional Information and Options Requested by Council in Order to Authorize Submission of a Formal Request to the U.S. Department of Housing and Urban Development (HUD) Asking for Voluntary Grant Reductions (VGRs) of Future CDBG and HOME Allocations in Lieu of Repayment from Local Funds; or Authorization to Make the Required Repayments to HUD from Local Funds; or Authorization for a Combined VGR and Local Fund Repayment from Either General Fund or Fund 1020 Affordable Housing, Stemming from the January 2020 HUD Environmental Monitoring Findings and Required Corrective Actions for the Gateway Terrace II Affordable Housing Project
REPORT IN BRIEF
Provides the City Council with additional options and information that was requested at the October 21, 2024, Council meeting to assist Council in authorizing the City Manager to move forward with a formal request to HUD to voluntarily reduce future CDBG and/or HOME annual allocations, or authorize repayment to HUD from General Fund and/or Fund 1020 Affordable Housing, or authorize a combined Voluntary Grant Reduction and General Fund/Fund 1020 repayment, in order to satisfy HUD's required corrective action to repay ineligible expenditures of CDBG and HOME and resolve the environmental findings.
RECOMMENDATION
City Council - Adopt a motion:
Voluntary Grant Reduction Only:
A. Authorizing the City Manager to submit a formal letter to HUD requesting Voluntary Grant Reductions of both CDBG and HOME allocations, with a full 1-year reduction of CDBG and a 3-year reduction of HOME; or,
B. Authorizing the City Manager to submit a formal letter to HUD requesting Voluntary Grant Reductions of both CDBG and HOME allocations, with a 2-year reduction of CDBG and a 3-year reduction of HOME; or,
C. Authorizing the City Manager to submit a formal letter to HUD requesting Voluntary Grant R...
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