File #: 20-646    Version: 1 Name:
Type: Action Item Status: Agenda Ready
File created: 7/6/2020 In control: BOARD OF SUPERVISORS
On agenda: 7/14/2020 Final action:
Title: 9:30 A.M. - PUBLIC HEARING - Community Development Block Grant Economic Development Program Presentation and Consideration of Resolution Approving Applications for Funding and the Execution of Grant Agreements and any Amendments from the 2019-2020 Funding Year of the State CDBG Program
Sponsors: Administrative Office
Attachments: 1. CDBG Resolution (Revised 4-10-20) (003), 2. CDBG Powerpoint

Memorandum

 

 

Date:                                          July 14, 2020                     

 

To:                                          The Honorable Moke Simon, Chair, Lake County Board of Supervisors

 

From:                                          Carol J. Huchingson, County Administrative Officer

                     

Subject:                     9:30 A.M. - PUBLIC HEARING- Community Development Block Grant Economic Development Program Presentation and Consideration of Resolution Approving Applications for Funding and the Execution of Grant Agreements and any Amendments from the 2019-2020 Funding Year of the State CDBG Program

 

Executive Summary: (include fiscal and staffing impact narrative):

Your Board participated in a public meeting on October 22, 2019 to consider projects and programs for Community Block Grant (CDBG) funding under the proposed Notice of Funding Availability (NOFA) for 2019-2020.  On January 21, 2020, the California Department of Housing and Community Development (HCD) released that NOFA.  Due to the rapidly changing conditions resulting from the COVID-19 pandemic, HCD amended the NOFA twice to 1) allow applicants additional time to complete their applications and 2) combined the competitive program with the over-the counter program and identified maximum funding for the Economic Development Program.

 

County is eligible to apply for up to $750,000 for business assistance activities under the 2019-2020 NOFA. The two types of programs under the business assistance activities category are the business loan program ($500,000) where businesses can access low interest capital in order to retain or create jobs, and the microenterprise program ($250,000) where entrepreneurs and existing small businesses with up to five employees, can obtain free technical assistance and low interest financing to retain or create new jobs. 

 

Due to the impacts of the COVID-19 Shelter in Place order, many local small businesses are in need of flexible low interest capital and technical assistance to help them recover from the loss of revenue during that period of business closures.  The CDBG programs are designed to encourage businesses to retain existing employees and, in time, to provide capital to help create new jobs. The microenterprise program can provide technical assistance to small businesses with five employees or less to help with cash flow management, marketing, using the internet, accessing capital, and other business needs. The program is designed to help existing businesses as well as start up entrepreneurs. 

 

County has an existing contract for CDBG services with Community Development Services (CDS), a local consulting firm, which is experienced with implementing these programs. County CDBG consultant Jeff Lucas will provide a brief presentation about these two programs before the Board considers the proposed Resolution.                                                      

 

If not budgeted, fill in the blanks below only:

Estimated Cost: ___0_____ Amount Budgeted: ________ Additional Requested: ________ Future Annual Cost: ________ 

 

Consistency with Vision 2028 and/or Fiscal Crisis Management Plan (check all that apply):                                           Not applicable

Well-being of Residents                                           Public Safety                                                                Infrastructure                                           Technology Upgrades

Economic Development                                           Disaster Recovery                                           County Workforce                      Revenue Generation

Community Collaboration                      Business Process Efficiency                      Clear Lake                                           Cost Savings                                          

If request for exemption from competitive bid in accordance with County Code Chapter 2 Sec. 2-38, fill in blanks below:

Which exemption is being requested?

How long has Agreement been in place? 

When was purchase last rebid?

Reason for request to waive bid?

 

Recommended Action: Adopt Resolution approving applications for funding and the execution of grant agreements and any amendments from the 2019-2020 funding year of the state CDBG Program.