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File Number: 17-406 <br />Under the City’s FY 2010-2011 HUD Annual Action Plan, the City originally allocated <br />$100,000 to BRIDGE Housing for a proposed childcare center located within its affordable <br />rental housing development proposal called The Alameda (now known as Marea Alta). As the <br />affordable rental development project (where the childcare center would be on the ground <br />floor) faced major obstacles to funding and construction including negative impacts from the <br />2008 recession, the childcare center became further delayed and the City never entered into <br />contract with BRIDGE for the CDBG funds. City staff also determined that CDBG funding had <br />regulatory burdens that impacted BRIDGE’s ability to move from the originally intended <br />location on the west side of the BART station to its current location east of the station and in <br />restricting the number of affordable childcare slots. Therefore, the City approved an $800,000 <br />loan from the City’s General Fund to BRIDGE Housing in February 2017 to more expeditiously <br />“jump start” the childcare center tenant improvements. <br />The Housing Consortium of the East Bay (HCEB) is an established 501(c)(3) nonprofit <br />providing affordable housing for persons with development disabilities or other special needs <br />for over 20 years. HCEB owns and operates Luella Fuller Home located at 342 West Joaquin <br />Avenue in San Leandro. Luella Fuller Home houses four tenants with developmental <br />disabilities. HCEB requested and submitted a CDBG application for $10,000 to make needed <br />renovations to Luella Fuller Home including accessible doors, outdoor lighting, and motion <br />sensors for safety. Staff will bring forward separately in the future for City Council review a <br />contract with HCEB for the $10,000. <br />The City established an ADA Transition Plan for City facilities around 2011 to make needed <br />improvements to all City facilities (including City Hall, Marina Community Center, Main Library, <br />etc.) to make them more accessible to persons with disabilities. As part of the Plan, the City <br />established a goal of utilizing an average of $130,000 in CDBG funds per year beginning in <br />FY 2011-2012. As CDBG funding declined and fluctuated since that time, the City has <br />annually averaged $80,000 in CDBG funding for the ADA Transition Plan. Therefore, staff <br />recommends the additional $90,000 be re-allocated to the ongoing ADA Transition Plan’s <br />capital improvement activities to make up for lost funding in the past. <br />There is no need to amend the FY2010-2014 Five Year Consolidated Plan as both the HCEB <br />proposed rehabilitation of Luella Fuller Home and the ADA Transition Plan comply with the <br />Plan priority of “Community Development Need - Public Facilities and Improvements” that <br />encourage the use of CDBG funding for City and non-profit capital improvements. <br />HCEB Loan Agreement <br />The CDBG loan agreement in an amount not to exceed $10,000 with HCEB will have the <br />following loan terms: 20-year term, 3% simple interest and annual forgiveness in the amount <br />of $500. In addition, HCED will maintain Luella Fuller Home as affordable rental housing to <br />lower income persons who are developmentally disabled for at least 20 years. <br />Previous Actions <br />The City Council approved the FY 2010-2014 Consolidated Plan and FY 2010-2011 HUD <br />Annual Action Plan in April 2010. <br />On June 5, 2017, the City Council held a public hearing, made the summary of the <br />Page 2 City of San Leandro Printed on 7/11/2017 <br />369