SUBJECT: Public Hearing to Consider Adoption of a Resolution Approving Amendment #3 to the Program Year 2019-2020 Annual Action Plan to Allocate Additional Community Development Block Grant - Coronavirus (CDBG-CV) Funds Made Available Through Third-Round Allocations of the Coronavirus Aid, Relief, and Economic Security (CARES) Act in the Amount of Approximately $532,327 for Public Services Activities Including, but not Limited to, Rent, Mortgage, Utility and Food Assistance; and, Opportunity for Public Comment and Participation and Awarding the Funding as Directed by Council REPORT IN BRIEF Considers a second substantial amendment to the 2019 Annual Action Plan for allocation of additional Third-Round HUD CDBG-CV funds to prevent, prepare for, and respond to the COVID-19 Coronavirus; and, provides an opportunity for the public to provide input during the public hearing as to the use of these funds towards the immediate community needs that were previously identified in the first round of CARES Act allocations. RECOMMENDATION City Council - Adopt a motion: A. Adopting Resolution 2021-08, a Resolution of the City Council of the City of Merced, California, approving Amendment #3 to the Program Year 2019-2020 Annual Action Plan allocating additional U.S. Housing and Urban Development CDBG-CV funds made available through Third-Round allocations of the Coronavirus Aid, Relief, and Economic Security Act; authorizing the City Manager to execute any related documents and/or subrecipient agreements resulting from this allocation; certifying compliance with the requirements of the Community Development Block Grant (CDBG) Program, and authorizing staff to submit all approved documents to the U.S. Department of Housing and Urban Development; and, B. Approving Amendment #3 (Second Substantial Amendment) to the Program Year 2019-2020 Annual Action Plan to add the additional $532,327 of anticipated CDBG-CV funding resources allocated to the City by HUD and to appropriate the balance of these additional funds towards the existing Public Service activities of Subsistence Payments (rent/mortgage/utility assistance) and Food Bank Assistance; and, C. Unless the Council provides alternative direction, awarding the following recommended additional funding of Public Services for Coronavirus response: 1) $216,164 to Sierra Saving Grace Homeless Project for the existing rent, mortgage, and utility assistance program; 2) $216,163 to the Salvation Army for the existing rent, mortgage, and utility assistance program; and 3) $100,000 to the Merced County Food Bank for the existing Food Bank Assistance program; and, D. Authorizing the City Manager or designee to execute all necessary HUD-related documents and subsequent contractual subrecipient agreements for services in order to hasten implementation of the awarded funds; and, E. Requesting staff return to the City Council with Information Only contracts as they are executed and implemented; and, F. Authorizing the Finance Officer to make any necessary budget adjustments.

Public Hearing Item Passed Introduced January 26, 2021

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Committee: City Council/Public Finance and Economic Development Authority/Parking Authority
Requested by: Development Services Department
Introduced: January 26, 2021
On agenda: February 16, 2021
Passed: February 16, 2021