CC SR 20220920 I - CDBG Funding Allocation
CITY COUNCIL MEETING DATE: 09/20/2022
AGENDA REPORT AGENDA HEADING: Consent Calendar
AGENDA TITLE:
Consideration and possible action to amend the scope of the Fiscal Year 2020-21
Community Development Block Grant (CDBG) project and budget.
RECOMMENDED COUNCIL ACTION:
(1) Approve an additional appropriation of $352,929 of available unallocated CDBG
funds to the Redondela Drive Area CDBG Americans with Disabilities Act (ADA)
Improvements Project which consists of curb ramp improvements in the Eastview
neighborhood, as well as curb ramp improvements in the area north of Hawthorne
Boulevard and west of Granvia Altamira;
(2) Amend the approved Redondela Drive Area CDBG ADA Improvements Project to
add new curb ramp improvement locations; and,
(3) Authorize the Director of Public Works to execute an amended agreement for the
Redondela Drive Area CDBG ADA Improvements Project with the Los Angeles
County Development Authority (LACDA).
FISCAL IMPACT: The recommended City Council action will result in a total
expenditure of $499,969 of CDBG funds for the Redondela Drive
Area CDBG ADA Improvements Project.
Amount Budgeted: $147,040
Additional Appropriation: $352,929
Account Number(s) 310-400-8841-8802 (CDBG Fund – ADA Improvement Project)
ORIGINATED BY: Ramzi Awwad, Public Works Director
REVIEWED BY: Same as Above
APPROVED BY: Ara Mihranian, AICP, City Manager
BACKGROUND:
The City of Rancho Palos Verdes has participated in the Los Angeles County Community
Development Block Grant (CDBG) program since 1986. The U.S. Department of Housing
and Urban Development (HUD) established this program to fund local communit y
development projects which principally benefit persons of low and moderate -income
levels and/or aid in the prevention of blighted conditions in the communities. The goal of
1
these projects is to meet the HUD program objectives to provide housing, economic, and
community development opportunities.
The City’s annual grant allocation is determined by a formula that considers poverty,
population, housing overcrowding, age of housing stock, population growth , and the
number of cities participating in the countywide program. The formula results in a typical
grant allocation to the City of approximately $150,000 annually because of the City’s
demographics.
The City has typically allocated its CDBG grant funds toward installing ADA compliant
curb ramps and associated infrastructure, which is an eligible use of the grant funds
because it provides for community development opportunities that meet HUD’s program
objectives. Staff evaluates the need for curb ramp access improvements that meet the
CDBG grant eligibility requirements on a regular basis and formulate s projects
accordingly.
As part of the Capital Improvement Program process, the City Council approved utilizing
CDBG funds for two projects that would remove curb barriers and replace them with ADA
compliant curb ramps in the Eastview neighborhood, specifically in the Caddington Drive
area and the Redondela Drive area. Construction of the Caddington Drive project was
completed on August 19, 2021, while the Redondela Drive area project, for which the City
Council allocated $147,040, remains under development.
The City currently has a balance of $352,929 in unallocated CDBG funds. This presents
an opportunity to take advantage of economies of scale and expand the scope of the
original project to install more ADA compliant curb ramps. Additionally, the City must not
have a balance greater than 150% of its annual grant amount remaining 60 days prior to
the end of the program year, or risk a reduction in next year’s grant allocation. Expanding
the Redondela area project allows the City to be in full compliance with CDBG
requirements.
DISCUSSION:
Staff recommends expanding the scope of the Redondela Drive Area CDBG ADA
Improvements Project to take advantage of the City’s CDBG fund balance and install ADA
compliant curb ramps at more locations.
Staff proposes expanding the scope to include all intersections in the neighborhood
surrounding Dodson Middle School as shown in Exhibit 2 on the next page. By continuing
the construction of ADA ramps in this area, the City will be providing full mobility and full
ADA compliance in the entire area around the school. Following this model will allow the
City to progressively meet ADA requirements in a p lanned fashion rather than construct
a few ramps in various neighborhood at a time. The expanded scope increases the
number of proposed ADA compliant curb ramps from 12 to 51. Exhibit 1 shows the original
project scope as well as the proposed expanded scope.
2
Exhibit 1- Original and Expanded Scope of Redondela Area CDBG Project
Additionally, Staff proposes adding further locations based on requests received from
residents across the City. This would add eight more ADA compliant ramps at four
intersections as shown in Exhibit 2 below.
3
Exhibit 2- Additional ADA Ramp Locations for CDBG Project
Intersections in the immediate project area where no symbol is shown represent no curb ramp or a non-compliant curb ramp.
The total increase in project scope is expected to increase the estimated project cost to
$499,969, which would expend the entire unallocated balance of CDBG funds. Based on
planning level cost estimates, Staff believes that $499,969 will be sufficient to fund
construction of the entire project scope as well as the associated professional services.
The actual cost will become known once bids are opened, and if bids ex ceed available
funding, Staff will propose the removal of certain curb ramps from the scope, or the
addition of supplemental City funding for approval by the City Council.
Table 1 summarizes the project budget. $72,203.66 has been expended or committed to
grant administration and project management. The remaining $427,765.34 will be
distributed to surveying, engineering, construction, and construction management and
inspection as quotes and bids for those costs are received.
4
Table 1 - Project Cost Summary
Should the City Council approve the expanded project scope and funding allocation,
surveying and engineering will occur between now and the end of the calendar year. Staff
then expects to return to the City Council for a construction contract award in January
2023, and commence construction shortly thereafter.
ADDITIONAL INFORMATION:
ADA Improvements
Staff is in the process of completing an inventory of the status of curb ramp ADA
compliance at all intersections throughout the City. Based on the results of this inventory,
locations lacking ADA compliant curb ramps will be prioritized for future curb ramp ADA
improvement projects based on funding opportunities.
CDBG-CV (CARES Act) Grant Funds
On September 1, 2020, Staff presented to the City Council options on programs to be
funded using CDBG-CV funds allocated to the City through the CARES Act. The City
Council directed Staff to move forward with funding senior programs, including providing
a meals on wheels program and select reimbursement costs for local senior centers. On
October 6, 2020, the City Council authorized an amendment to the City’s professional
services agreement with Michael Baker International, Inc. to provide administrative
services for the City’s CDBG-CV programs.
Due to strict reporting requirements, local senior centers declined to participate in the
proposed reimbursement program. In June 2022, Staff released a request for proposals
(RFP) for meals on wheels services but received no bids. At this time, most of the
$86,499 in grant funds the City received as part of the CARES Act remains unspent. In
order to avoid having to return the unspent funds by June 30, 2023, Staff intends to come
back to the City Council for further direction on additional program options for CDBG-CV
funds.
8841 - CDBG Redondela
Budget Notes
147,040.00
352,929.00 Pending CC approval 9/20/2022
Total Project Budget 499,969.00
Object Budget Committed
Expenditures
through 9-12-2022 Balance
8001 ADA Improvements Prof/Tech 72,203.66 29,687.00 42,516.66 -
8802 Other Improvements 427,765.34 - - 427,765.34
Total Project Costs 499,969.00 29,687.00 42,516.66 427,765.34
Project Total -$ 29,687.00$ 42,516.66$ 427,765.34$
Description
Revised Project Budget
Additional Appropriation - CDBG Fund
Project Costs:
5
CONCLUSION:
Staff recommends that the City Council allocate $352,929 of available unallocated CDBG
funds to expand the scope of the Redondela Drive Area ADA Improvements Project to
add 39 curb ramp improvements in the Eastview neighborhood and eight curb ramp
improvements in the area north of Hawthorne Boulevard and west of Granvia Altamira.
ALTERNATIVES:
In addition to the Staff recommendation, the following alternative actions are available
for the City Council’s consideration:
1. Do not amend the scope of the FY 2020-21 CDBG project and budget.
2. Take other action, as deemed appropriate. Based on the recommendations of the
City’s CDBG consultant, the minimum recommended amount to be added to meet
the City’s CDBG allocation goals is $240,000. Allocating less than this amount
could risk a reduction in future CDBG allocations.
6