RPVCCA_CC_SR_2011_07_19_01_CDBG_from_Rolling HillsDate:July 19,2011
PUBLIC HEARING
Subject:Transfer of Community Development Block Grant Funds from the
City of Rolling Hills
Subject Property:N/A
1.Declare the Hearing Open:Mayor Long
2.Report of Notice Given:City Clerk Morreale
3.Staff Report &Recommendation:Senior Administrative Analyst Huey
4.Public Testimony:
Appellant:N/A
Applicant:N/A
5.Council Questions:
6.Rebuttal:N/A
7.Declare Hearing Closed:Mayor Long
8.Council Deliberation:
9.Council Action:
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CITY OF
MEMORANDUM
RANCHO PALOS VERDES
TO:
FROM:
DATE:
SUBJECT:
REVIEWED:
HONORABLE MAYOR &CITY COUNCIL MEMBERS
RAY HOLLAND,DIRECTOR OF PUBLIC WORKS *'
JULY 19,2011
TRANSFER OF COMMUNITY DEVELOPMENT BLOCK
GAANT FUNDS FROM THE CITY OF RCl.LlNG HILLS
CAROLYN LEHR,CITY MANAGER a.Y--
Project Manager:Judy A.Huey,Senior Administrative Analyst qrv--
RECOMMENDATION
1)Accept the transfer of $25,732 in Community Development Block Grant (CDBG)Funds for
FY 2011-2012 from the City of Rolling Hills.
2)Adopt Resolution No.2011-__,approving and authorizing an assignment agreement
between the City of Rolling Hills and the City of Rancho Palos Verdes regarding the transfer of
Community Development Block Grant Funds for FY 2011-2012 ("Agreement").
3)Authorize the City Manager and City Clerk to execute the Agreement with the City of Rolling
Hills.
4)Adopt Resolution No.2011-, a resolution of the City Council of the City of Rancho
Palos Verdes,amending Resolution No.2011-44,the budget appropriation for FY 2011-12,for
a budget adjustment of $25,732 to the City's Community Development Block Grant fund.
BACKGROUND
The City of Rolling Hills has offered to transfer $25,732 in Community Development Block
Grant (CDBG)funds to the City of Rancho Palos Verdes for its Home Improvement Program.
On May 23,2011 the Rolling Hills City Council allocated 100%of its remaining FY 2008-2009,
FY 2009-2010,FY 2010-2011,and FY 2011-2012 CDBG allocations to the City of Rancho
Palos Verdes to promote housing rehabilitation projects benefiting low income residents and
senior citizens.The City of Rolling Hills previously allocated CDBG funds of $38,400 in FY
1999-2000,$14,293 in FY 2001-2002 and $10,684 in FY 2007-2008 to the City of Rancho
Palos Verdes for the Home Improvement Program.
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ANALYSIS
Since the inception of the Home Improvement Program in 1998,approximately 92 projects
have successfully been completed through the award of over $1,025,000 of grants and/or
loans.Currently nine projects are being processed and are anticipated to begin construction
during the second and third quarters of Fiscal Year 2011-2012.
The City's Fiscal Year 2011-2012 CDBG program that was approved by the City Council on
December 7,2010 will be amended to add the new funds from the City of Rolling Hills.At
that time,the City's annual CDBG allocation was estimated to be $193,185.Over the past
six months,due to federal budget cuts,the Community Development Commission has
notified the City twice that its annual allocation would be reduced.In January 2011 there
was an 8 percent reduction,and in May 2011 there was an additional 4 percent reduction,
resulting in a total reduction of approximately $25,000.
The additional allocation of $25,732 from the City of Rolling Hills will help to offset this
$25,000 reduction in the City's FY 2011-2012 annual CDBG allocation.These funds will
augment the home improvement program to provide grants and/or loans for housing
rehabilitation projects for income-qualified residents.
CONCLUSION
Adopting staff recommendations will facilitate the transfer of CDBG funds from the City of
Rolling Hills to the City of Rancho Palos Verdes.The Community Development Commission
of the County of Los Angeles will add the $25,732 to the City of Rancho Palos Verdes'CDBG
allocation.These funds are to be drawn down from the County as the City submits
reimbursement requests for Home Improvement Program expenditures.The CityAttorney has
reviewed and approved the attached Assignment Agreement and resolutions.
FISCAL IMPACT
The additional $25,732 will augment the FY 2011-2012 City's Home Improvement Program
budget allocation of $140,000 and provide much needed financial assistance to meet the
requests for housing repairs by the program participants.There will be no net effect on the
CDBG budget program because the $25,732 will be added to both the revenue and
expenditure accounts.The estimated fund balance for the CDBG budget program is expected
to be zero at June 30,2012.
Attachments:City of Rolling Hills Letter of Intent and Resolution No.1106
Resolution No.2011-__Authorizing Assignment Agreement
Exhibit A,Agreement to Transfer CDBG Funds
Budget Resolution No.2011-__
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May 25,2011
Ms.Judy Huey,Senior Analyst
City of Rancho Palos Verdes
30940 Hawthorne Boulevard
Rancho Palos Verdes,CA 90275
INCORPORATED .JANUARY 24.1957
NO.2 PORTUGUESE BEND ROAD
ROLLING HILLS,CALIF.90274
(310)377-1521
FAX:(310)377·7288
RECEIVED
City of Rancho Palos Verdes
MAY 262011
PUBLIC WORKS DEPARTMENT
SUBJECT:City of Rolling Hills'CDBG allocation.
DearMS.~
At the May 23,2011 City Council meeting the Rolling Hills City Council allocated
$25,732 of its available CDBG funds to the City of Rancho Palos Verdes,which
constitutes 100%of its available funds.Please be advised that the City Council stipulated
that these funds are to be utilized to promote housing and housing rehabilitation projects
for lower income residents.
Please find enclosed the CDBG Exchange of Funds Worksheet,signed City of Rolling
Hills Resolution and two copies of the executed agreement.Once Rancho Palos Verdes
City Council approves the transfer of funds,please have the City Manager sign the
Worksheet and mail to Terry Gonzales,Director at the Community Development
Commission,with copy to Rolling Hills.Then please have the agreements signed and
forward one of them with the original signature and RPV's resolution to Rolling Hills.
Should you have any questions,or require additional information,please do not hesitate
to contact me at (310)377-1521.
lanta Schwartz
Planning Director
cc:Carolyn Lehr,City Manager (cover letter only)
@ Printed on Recycled Paper1-4
RESOLUTION NO.1106
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS,CALIFORNIA,APPROVING A LETTER OF
AGREEMENT BETWEEN THE CITY OF ROLLING fiLLS AND THE
CITY OF RANCHO PALOS VERDES,REGARDING THE TRANSFER
OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS (CDBG)
FOR FISCAL YEARS 2009-2012
THE CITY COUNCIL OF THE CITY OF ROLLING HILLS HEREBY RESOLVES AS
FOLLOWS:
WHEREAS,the City Council of the City of Rolling Hills conducted duly noticed public hearing,
pursuant to applicable law,on May 23,2011,to consider the City's unexpended allocation of CDBG
funds for Fiscal Years 2009-12;
WHEREAS,the use of CDBG funds is strictly limited by law;and
WHEREAS,in July 2008 the City's Cooperation Agreement with the County of Los Angeles
concerning CDBG funds as a participating City was automatically extended to incorporate participation
through FY 2011-12;and
WHEREAS,the City of Rolling Hills,is a recipient of CDBG funds and desires to transfer
$25,732 of its FY 2008-09, 2009-10,2010-11 and 2011-12 CDBG funds to the City of Rancho Palos
Verdes for the purpose of furthering Rancho Palos Verdes's housing rehabilitation programs.
NOW,THEREFORE,BE IT RESOLVED by the City of Rolling Hills City Council as follows:
Section 1.The attached letter of Agreement between the City of Rolling Hills and the City of
Rancho Palos Verdes is hereby approved.
Section 2.In accordance with the attached letter of Agreement,the City of Rolling Hills will
transfer $25,732 of its FY 2009--12 CDBG funds to the City of Rancho Palos Verdes.
Section 3.The City Manager is authorized and directed to execute any and all documents
necessary to complete the assignment of funds on behalf of the City of Rolling Hills.
Section 4.This resolution shall take effect immediately.
Section 5.The City Clerk shall certify to the adoption of this resolution and thenceforth and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED THIS 23rd DAY OF MAY 2011.
ATTEST:
HEIDI LUCE,DEPUTY CITY CLERK
Resolution No.1106 1-5
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
CITY OF ROLLING HILLS
)
)§§
I certify that the foregoing Resolution No.1106 entitled:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS,CALIFORNIA,APPROVING A LETTER OF
AGREEMENT BETWEEN THE CITY OF ROLLING HILLS AND THE
CITY OF RANCHO PALOS VERDES,REGARDING THE TRANSFER
OF COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS
(CDBG)FOR FISCAL YEARS 2009-2012.
was approved and adopted at a regular meeting of the City Council on May 23,2011 by the following
roll call vote:
AYES:Councilmembers Heinsheimer,Hill,Pernell,Mayor Pro Tern Black and Mayor Lay.
NOES:None.
ABSENT:None.
ABSTAIN:None.
and in compliance with the laws of California was posted at the following:
Administrative Offices
HEIDI LUCE
DEPUTY CITY CLERK
Resolution No.1106 2 1-6
RESOLUTION NO.2011-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO PALOS VERDES APPROVING AND
AUTHORIZING AN ASSIGNMENT AGREEMENT BETWEEN
THE CITY OF ROLLING HILLS AND THE CITY OF RANCHO
PALOS VERDES REGARDING THE TRANSFER OF
COMMUNITY DEVELOPMENT BLOCK GRANT FUNDS FOR
FY 2011-2012
WHEREAS,the City of Rancho Palos Verdes participates in the Los Angeles
Urban County Community Development Block Grant Program;and,
WHEREAS,the City of Rancho Palos Verdes provides a Home Improvement
Program,established in 1998,for eligible low and moderate income residents,hereinafter
referred to as the "Program";and,
WHEREAS,the City of Rolling Hills has determined that the aforementioned
Program is in the general interest of the City of Rolling Hills regarding the support of
housing rehabilitation programs benefiting low income residents and senior citizens;and,
WHEREAS,the City of Rolling Hills is willing to assign 100%its available FY
2008-2009,FY 2009-2010,FY 201 0-2011,and FY 2011-2012 CDBG Funds to the City of
Rancho Palos Verdes to share in the cost of the Program.
NOW,THEREFORE,THE CITY COUNCIL OF THE CITY OF RANCHO
PALOS VERDES HEREBY FINDS,DETERMINES,RESOLVES AND ORDERS AS
FOLLOWS:
Section 1.The City of Rancho Palos Verdes approves an Agreement
between the City of Rolling Hills and the City of Rancho Palos Verdes to transfer
Community Development Block Grant Funds,which is hereby attached as Exhibit "A"
("Agreement").
Section 2.The City Council approves and authorizes the execution of this
Agreement and directs the City Manager or her representative to take any action necessary
to implement this Agreement,including,but not limited to,executing the "CDBG Exchange
of Funds Worksheet."
Section 3.The City Council hereby authorizes the City Manager to execute
this Agreement on behalf of the City of Rancho Palos Verdes and directs the City Clerk to
attest thereto.
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PASSED,APPROVED and ADOPTED this 19th day of July,2011.
Mayor
ATTEST:
City Clerk
State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )
I,Carla Morreale,City Clerk of the City of Rancho Palos Verdes,hereby
certify that the above Resolution No.2011-was duly and regularly passed and adopted
by the said City Council at a regular meeting thereof held on July 19,2011.
City Clerk
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EXHIBIT "A"
AGREEMENT BETWEEN THE CITY OF ROLLING HILLS AND THE CITY OF
RANCHO PALOS VERDES REGARDING THE TRANSFER OF COMMUNITY
DEVELOPMENT BLOCK GRANT FUNDS.
This Agreement is made by and between the CITY OF ROLLING HILLS,a municipal
corporation,and the CITY OF RANCHO PALOS VERDES,a municipal corporation,with
respect to the following facts:
In July 2008 the City of Rolling Hills'Cooperation Agreement with the County of Los Angeles
concerning CDBG funds was automatically extended to incorporate participation through FY
2011-12.
The City of Rancho Palos Verdes has an executed cooperation agreement with the County of
Los Angeles concerning Community Development Block Grant (CDBG)Funds.
On May 23,2011,the City Council of the City of Rolling Hills held duly noticed public hearing
and adopted Resolution No.1106 assigning 100%percent of the available Community
Development Block Grant (CDBG)funds for FY 2008-2009,FY 2009-10,FY 2010-11 and FY
2011-12 to the City of Rancho Palos Verdes,California.
On 2011,the City Council of the City of Rancho Palos Verdes adopted
Resolution No.,accepting the available Community Development Block Grant
(CDBG)funds for FY 2008-2009,FY 2009-10,FY 2010-11 and FY 2011-12 from the City of
Rolling Hills,California.
The Cities now desire to enter into an Agreement under which the City of Rolling Hills would
transfer $25,732.00 of its entitlement of CDBG funds to the City of Rancho Palos Verdes,the
use of which is restricted by law,to provide CDBG funds to share in the cost of the Residential
Rehabilitation Program,hereinafter referred to as "PROGRAM,"for eligible low and moderate
income residents and senior citizens in the City of Rancho Palos Verdes.
NOW,THEREFORE,the Cities agree as follows:
1.Transfer.The City of Rolling Hills hereby agrees to assign the allocation of
$25,732.00 of its entitlement of CDBG funds to the City of Rancho Palos Verdes to provide
CDBG funds to share in the cost of the PROGRAM.
2.Best Efforts.The City of Rolling Hills shall use its best efforts to obtain any
consent required by any governmental agency to effectuate the assignment of $25,732.00 of
its entitlement of CDBG funds to the City of Rancho Palos Verdes.The City of Rolling Hills
agrees to execute any and all additional documents,which such agencies may request which
are required for the assignment and receipt of said grant.
3.Indemnification.The City of Rancho Palos Verdes agrees to defend,at its own
cost and to indemnify and hold harmless the City of Rolling Hills,its agents and employees
from and against any and all loss,claim, costs,expenses (including attorney's fees),damages
and liabilities,however caused,resulting directly or indirectly,from the obligation or
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EXHIBIT "A"
expenditure by the City of Rancho Palos Verdes of the CDBG funds that the City of Rolling
Hills is assigning to the City of Rancho Palos Verdes under this Agreement.
4.Applicable Law.This Agreement shall be interpreted and the rights and liabilities
of the Cities hereto determined in accordance with the laws of the State of California.
5.Entire Agreement.This Agreement constitutes the entire Agreement between
the Cities and supersedes any and all other Agreements,either oral or written between the
Cities.
6.Attorney's Fees.If any legal action or other proceeding is brought for the
enforcement of this Agreement,the successful or prevailing City shall be entitled to recover
reasonable attorney's fees and other costs incurred in that action or proceeding,in addition to
any other relief to which it may be entitled.
IN WITNESS WHEREOF,the Cities hereto have caused this Agreement to be executed
by their respective officers,duly authorized,on the dates shown below:
City of Rolling Hills
2 Portuguese Bend Road
Rolling r~IIS,CA 0274
.//
,1./
erbruch,City Manager
Dated .s;4r;f;
ATTEST:
~&~[j)--
Heidi Luce,Deputy City Clerk
City of Rancho Palos Verdes
30940 Hawthorne Boulevard
Rancho Palos Verdes,California
90275
Carolyn Lehr,City Manager
Dated _
ATTEST:
City Clerk
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State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )
I,CARLA MORREALE,City Clerk of The City of Rancho Palos Verdes,hereby certify
that the above Resolution No.2011-was duly and regularly passed and adopted by
the said City Council at a regular meeting thereof held on July 19,2011.
CITY CLERK
CITY OF RANCHO PALOS VERDES
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RESOLUTION NO.2011-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS
VERDES,AMENDING RESOLUTION 2011-44,THE BUDGET APPROPRIATION
FOR FISCAL YEAR 2011-12,FOR A BUDGET ADJUSTMENT TO THE CITY'S
COMMUNITY DEVELOPMENT BLOCK GRANT FUND PROGRAM
WHEREAS,Section 3.32 of the Rancho Palos Verdes Municipal Code provides
that all expenditures in excess of budgeted allocations must be made by supplemental
appropriation of the City Council;and
WHEREAS,on June 21,2011,the City Council of the City of Rancho Palos
Verdes adopted Resolution 2011-44,approving a spending plan and authorizing a
budget appropriation for the 2011-12 fiscal year;and
WHEREAS,the City of Rancho Palos Verdes desires that the budget
appropriation for the FY 2011-12 Community Development Block Grant (CDBG)
program be increased;and
WHEREAS,a budget increase in the Community Development Block Grant
Program is necessary to authorize the expenditure of additional funds for grants/loans
through the Home Improvement Program;
BE IT,THEREFORE,RESOLVED BY THE CITY COUNCIL OF THE CITY OF
RANCHO PALOS VERDES:
The following adjustments shall be made to the following CDBG funds:
Home Improvement Program-Grant Income 310-3092-331-10-00
Home Improvement Program-ProflTechnical 310-3092-461-32-00
Verified by Finance:_-,lID",-,"-~_
PASSED,APPROVED,AND ADOPTED THIS 19th DAY OF July,2011.
ATTEST:
CITY CLERK
$25,732
$25,732
MAYOR
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State of California )
County of Los Angeles )ss
City of Rancho Palos Verdes )
I,CARLA MORREALE,City Clerk of The City of Rancho Palos Verdes,hereby certify
that the above Resolution No.2011-was duly and regularly passed and adopted by
the said City Council at a regular meeting thereof held on July 19,2011.
CITY CLERK
CITY OF RANCHO PALOS VERDES
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