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HomeMy WebLinkAbout03/17/2016 B A K E R S F I E L D Committee Members Staff: Chris Huot Councilmember, Willie Rivera, Chair Assistant City Manager Councilmember, Ken Weir Councilmember, Chris Parlier SPECIAL MEETING OF THE BUDGET AND FINANCE COMMITTEE Thursday, March 17, 2016 12:00 p.m. City Hall North – Conference Room A 1600 Truxtun Avenue, Bakersfield, CA 93301 The meeting was called to order at 12:04 p.m. 1. ROLL CALL Committee members Present: Councilmember, Willie Rivera, Chair Councilmember, Chris Parlier Councilmember, Ken Weir City Staff Present: Alan Tandy, City Manager Chris Huot and Steven Teglia, Assistant City Managers Christopher Gerry, Administrative Analyst – City Manager’s Office Caleb Blaschke, Management Assistant – City Manager’s Office Joshua Rudnick, Deputy City Attorney Doug McIsaac, Community Development Director Ryan Bland, Community Development Coordinator Darin Budak, Assistant Recreation and Parks Director Raj Mistry, Recreation and Parks Business Manager Additional Attendees Present: Theo Douglas, The Bakersfield Californian Nora Dominguez, University of La Verne Chuck Jehle, Mission Community Services Corporation Clarita Portillo, Mission Community Services Corporation Jesse Portillo, Mission Community Services Corporation Moises Garcia, BTTW Inc. 2. ADOPT JANUARY 25, 2016 AGENDA SUMMARY REPORT The Report was adopted as submitted. /s/ Chris Huot ____________________________________________ Budget and Finance Committee Meeting Agenda Summary Report March 17, 2016 Page 2 3. PUBLIC STATEMENTS None 4. NEW BUSINESS A. Discussion and Committee Recommendation Regarding FY 2016-17 CDBG, HOME, ESG Action Plan – McIsaac Community Development Director McIsaac summarized the second-year of annual entitlements of the five-year Consolidated Plan. These entitlements help to improve the quality of life of low to moderate income neighborhoods, improve infrastructure in the neighborhoods, and promote job opportunities for low income individuals. The Housing and Urban Development (HUD) Community Development Block Grant Program (CDBG), HOME Investment Partnership (HOME), Emergency Shelter Grant (ESG), and Housing Opportunities for Persons with AIDS (HOPWA) entitlements for FY16-17 are $5,006,930. This will be the first year the City will be administrating the HOPWA program; the program was previously administered by the State of California. The total proposed budget for CDBG, HOME and ESG for FY16-17 is $5,043,930 – including revenues. FY 2016-17 Proposed CDBG Budget: The total resources available for FY 2016-17 are $3,260,214. This amount includes the CDBG entitlement of $3,253,214 and project program income of $7,000. Staff proposed the total resources be allocated as follows:  Total Administration – 20% Cap: $652,042  Long Term Obligations: $324,500  Public Services: $235,000. Services include Fair Housing Program Services, the Bakersfield Senior Center, and the Alliance against Family Violence.  Low-Mod Benefit: $2,048,672. Services include Home Access Grant Program, Curb, Gutter, Sidewalk, and Reconstruction of several areas including: El Toro Area, Union/Brundage Area, Castro Area, P Street Area, and the Oleander Area; Martin Luther King Park (MLK) Lighting Improvements – Phase 2, and the replacement of the Playground Shade Structures at three locations: Beale Park, Wilson Park, and Stiern Park. FY 2016-17 Home Investment Partnership (HOME) Budget: The total resources available for FY 2016-17 is $1,111,282, 10% of which was set aside for administrative costs. This amount includes the HOME Entitlement of $1,081,282 and $30,000 of projected program income. Staff estimates that the total Program/Project Costs and Direct Delivery for FY 2016-17 is $1,000,154. This Program/Project cost includes $166,692 in HUD mandated Community House Development Organization (CHDO) sponsored projects, and $833,462 for New Construction. FY 2016-17 Emergency Solutions Grant (ESG) Budget: The total resources available for FY 2016-17 is $287,896, 7.5% of which was set aside for administrative costs. The total resources are allocated as follows: ____________________________________________ Budget and Finance Committee Meeting Agenda Summary Report March 17, 2016 Page 3 Staff proposes $172,736 in emergency shelter to fund the Flood Ministries Street Outreach ($22,456), the Bakersfield Rescue Mission ($63,912), Bakersfield Homeless Shelter ($63,912), and Alliance Again Family Violence ($22,4567); and $92,568 in homeless prevention to fund the Bakersfield Homeless Center Rapid Rehousing. FY 2016-17 Housing Opportunities for Persons with AIDS (HOPWA) Budget: The total resources available for FY 2016-17 is $384,538, 3% of which is set aside for administrative costs. Staff proposes allocating $373,002 to Kern county Public Health to administer the program. Chuck Jehle with Mission Community Services Corporation (MCSC) stated that his organization helps create new jobs and new businesses by providing job training classes for free. He provided the Committee with a written statement. Jesse Portillo an instructor at MCSC stated 69% of new businesses fail within the first two years of starting up; MCSC provides services to new business owners in hopes of lowering that percentage. Clarita Portillo an instructor at MCSC stated she encounters several business owners who are trying to make a difference in their lives and the lives of their children; attending the classes provided by MCSC helps them make it a reality. Moses Garcia with BTTW, Inc. stated he took the training offered by MCSC and now runs a successful tire shop corporation. Nora Dominguez with the University of Laverne stated there is a lot of outreach and assistance for established local businesses and far less for new businesses. The University of Laverne partnered with MCSC approximately six years ago and has seen the demand for their services grow. Committee Chair Rivera requested staff provide him with a list of streets completed with CDBG funding in Ward 1 for FY 2015-16 and a list of streets expected to be completed in FY 2016-17. He also asked what the MLK Park Lighting Improvements project entailed and why staff was proposing to allocate additional funding for the project if work had not yet begun after receiving funding in FY 2015-16. Recreation and Parks Assistant Director Budak stated the project entails replacing all the current light fixtures inside and outside the MLK Park including the recreational facility, as well as the installation of additional light fixtures outside in the park. Community Development Director McIsaac stated that the original concept for the project was envisioned to be funded in phases. Committee Chair Rivera referred to the FY 2016-17 CDBG Assistance memorandum included in the packet and asked if the assigned priority number referred to the urgency in completing the project. Community Development Director McIsaac stated it did not as projects are worked on simultaneously and completed at different times. ____________________________________________ Budget and Finance Committee Meeting Agenda Summary Report March 17, 2016 Page 4 Committee Chair Rivera asked if the administration funding allocation in the proposed CDBG budget paid for staff, and if so, how many. Community Coordinator Bland stated the allocation pays for approximately six full time employees in the Economic and Community Development division. Committee Chair Rivera requested a report detailing what percentage of salary is covered by the CDBG budget for each employee. He proposed delaying the allocation for the MLK Park Lighting Improvement project and instead allocate funding for the MCSC small business training project. He would also like to allocate funding for the Mexican American Opportunity Foundation rehabilitation of Vida Scott Center with the condition that staff contact the County and explore the option to jointly fund the project. Committee member Parlier expressed his gratitude and was pleased to see the Castro Area curb, gutter, sidewalk and reconstruction on the list of projects being funded. Committee member Weir asked if a vote on the action plan was necessary and whether the $100,000 proposed allocation for the MLK Park Lights Improvement project could be left unallocated until a later date. City Manager Tandy stated that there are posting notification requirements. Community Development Director McIsaac added that the proposed spending plan requires a 30-day posting notice prior to a hearing and an adopted Action Plan needs to be submitted to HUD by mid-May. Community Development Coordinator Bland stated funding can be allocated to a generic project and changed to a specific project on the hearing date by the City Council. The public notice must state all funds are fully allocated but changes to projects and allocations can take place during the hearing. Committee Chair Rivera made a motion to present the proposed Action Plan to the full City Council with the following changes: adjust the total funding allocated for the MLK Park Lighting Improvement – Phase 2 project to $75,000, allocate $25,000 to MCSC. Staff is to contact the County to explore the possibility of jointly funding for two projects: 1) the Mexican American Opportunity Foundation’s rehabilitation of Vida Scott Center and 2) the MLK Park Lighting Improvements project, as the park is in County boundaries and utilized by County residents. The motion was unanimously approved. 5. COMMITTEE COMMENTS None 6. ADJOURNMENT The meeting adjourned at 12:55 p.m