ACTION REQUESTED:
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Communication from the City Manager and Community Development Director with a Request to RECEIVE and FILE a REPORT BACK on CDBG COVID PROGRAMS
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BACKGROUND: On June 8, the City Council approved funding for a small business assistance program and household assistance program using CDBG and CDBG COVID funding. In addition, the City Council approved $300,000 in COVID funds for CDBG Public Service programs to prevent, prepare for, or respond to COVID-19.
CDBG Small Business Assistance Program:
The small business assistance program was funded with over $1 million in CDBG funds. The City received 67 applications that were reviewed for eligibility. Businesses were being contacted in the order of the lottery. Staff followed up to obtain all required documentation to meet the program guidelines. As of Friday, July 31, staff had completed the initial outreach to all businesses.
* Seven applications have been denied most due to not being in operation as of 4/1/2019.
* 30 businesses are in the process of submitting required documentation.
* 6 businesses have submitted all documentation and are awaiting project setup and agreement by the staff.
* 24 businesses are in the process of signing an agreement or have an agreement in place.
If all the remaining businesses are deemed eligible, the total expenses for this project will be approximately $518,362. This leaves a remaining balance of $481,837.
CDBG Household Assistance Program:
The household assistance program received 1,087 entries for the household assistance lottery. The household assistance program can provide up to 3 months of rent/mortgage and utility assistance with a maximum of $5,000. On June 8, $300,000 was approved which could help a minimum of 60 households. The demand for this program far exceeds the current funding level.
Staff is currently working to contact each of the first 60 households selected by the lottery for required documentation to determine income eligibilit...
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