CITY COUNCIL STAFF REPORT
MEETING DATE: February 15, 2017
PREPARED BY: Chris Ghione, Community Services Director
APPROVED BY: City Manager
Title
HOUSING RELATED PARKS GRANT
END
RECOMMENDATION(S)
RECOMMENDATION
Adopt resolution authorizing the submission and administration of a housing related parks grant to the State of California.
BODY
COUNCIL PRIORITIES, GOALS & STRATEGIES:
Ongoing Priorities
Maintaining fiscal responsibility
Supporting youth
2016 Focus Areas
Planning Our Community
Developing Our Community
REPORT NARRATIVE:
The California Department of Housing and Community Development (Department) has announced the release of the 2016 funding round of the Housing-Related Parks (HRP) Program. The HRP Program is a state grant program designed to reward local governments that approve housing for lower-income households and are in compliance with State housing element law with grant funds to create or rehabilitate parks.
The grant program awards funds to municipalities on a per-bedroom basis for each new residential unit affordable to very low- and low-income households permitted during the time period of January 1, 2010 to December 31, 2015. In addition, units substantially rehabilitated, converted from market rate to affordable (multifamily rental units only), and preserved with certificates of occupancy issued during the time period are also eligible to receive funding.
The City applied for and received approximately $2 million in grant funds from this source during the previous two grant cycles. These grant funds were primarily awarded for the Downtown Parks Project. City staff believes that the City is eligible to receive $1 million in grant funds this cycle. The attached resolution authorizes the City to apply for $2.5 million in funds in the event the City is awarded more funds than anticipated.
Funds received must be used to improve a new or existing park. It is important that projects are near “shovel ready” to meet the timeline outlined to spend the grant funds. It is also believed that this will be the last year of the funding cycle for this grant opportunity. Knowing this, City staff is recommending that the grant application go towards funding the construction of the Morgan Hill Inclusive Playground.
The Inclusive Playground Project is through concept designs and currently has $300,000 allocated from the City towards the Capital Improvement Project. Additionally, the project has nearly $250,000 in funding accumulated through other grants and donations. The project has a $5 million estimated cost, but could be built in phases if enough funds are not available. Funds will need to be expended by the end of June 2019.
The Inclusive Playground Project is being recommended over alternative projects as it was consistently found to be of high importance during the recent Bikeways, Trails, Parks and Recreation Master Plan Update outreach and recommended as a top priority by the Parks and Recreation Commission. It is also near “shovel ready” status, with concept designs completed and approved.
COMMUNITY ENGAGEMENT: Collaborate
The Inclusive Playground Project has involved extensive outreach and community involvement, with community members leading the design process and fundraising efforts. If the grant is obtained City staff would continue to keep the community informed on the project moving forward.
ALTERNATIVE ACTIONS:
The City Council could direct staff to submit an application for an alternative project other than the Morgan Hill Inclusive Playground. The City’s Draft Master Plan is due to be reviewed by the City Council on February 22. The current plan outlines other priority projects and is available at www.mhparksplan.com <http://www.mhparksplan.com>.
Should the Council wish to consider this grant funding opportunity at its next meeting with the review of the Bikeways, Trails, Parks and Recreation Master Plan Update, the Council could approve the resolution tonight and provide staff further direction on the specific project for the grant application on February 22. The decision on the desired project would need to be made that evening, as the grant application is due the following day on February 23.
PRIOR CITY COUNCIL AND COMMISSION ACTIONS:
The Council approved a similar resolution on February 3, 2016 for the 2015 grant cycle and February 4, 2015 for the 2014 grant cycle.
FISCAL AND RESOURCE IMPACT:
The estimated grant award is approximately $1 million. There are no matching funds required and any revenues received can be applied to project-related costs. If the grant is successful, staff would return to the Council to appropriate additional funds to the project at that time.
CEQA (California Environmental Quality Act):
Not a Project
Applying for grant funding does not constitute a project under the provisions of CEQA as applying for funds does not commit the City to complete the project. An environmental review consistent with CEQA will be performed before proceeding with the project if the City’s grant application is successful.
LINKS/ATTACHMENTS:
Resolution