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Community May 8, 2009  RSS feed

Simi divvies out larger CDBG allocation than expected

By Carissa Marsh cmarsh@theacorn.com

Local nonprofits walked away with more money than they expected after Monday's City Council meeting. That was because the city received a much larger than expected allocation in federal grant money to aid moderate- to lower-income individuals.

Initially, city staff estimated that the city would receive $729,863—including unspent prior years' funds— in Community Development Block Grant (CDBG) money from the U.S. Department of Housing and Urban Development (HUD).

However, HUD announced May 1 a total allocation of $1,131,986 for the city. That figure includes an actual allocation of $724,158, unspent prior years' funding of $34,874, and an additional award of $372,954 in program income.

Nine local nonprofits as well as a streets and road program benefited from the higher allocation.

The CDBG program provides money to cities each year to boost affordable housing, provide services to low and moderateincome individuals and create jobs through the expansion of businesses.

Funds are meant primarily for brick-and-mortar projects, but a portion of the money can also go to nonprofits who apply with specific requests.

In order to get assistance in making the decisions, the council in 2006 created a five-person advisory committee that reviews program applications, ranks each organization's request and makes recommendations to the council.

Using the rankings and preliminary allocations as a guide, city staff spread the extra HUD money around. The City Council unanimously approved the committee and city staff's recommendations Monday night.

"I think the committee did a tremendous job, and I'm in full support of their recommendations," Councilmember Michelle Foster said.

Councilmember Barbra Williamson abstained from voting because of her involvement with one of the nonprofits.

Of the city's total allocation, 15 percent must go to public service projects and 65 percent must go to housing and community development projects. The remaining 20 percent of the entitlement is for planning and administration of the CDBG program.

The city had $196,112 worth of requests in the public services category but only $164,566 to give.

The Long Term Care Services of Ventura County Ombudsman program was the nonprofit that was the ranked the highest by the advisory committee, and it received its full funding request of $20,000.

Also receiving their full funding requests are: the Samaritan Center in Simi Valley ($48,460), Hospice of the Conejo ($10,000) and the Boys & Girls Club of Simi Valley ($36,000).

The other organizations receiving funds are: FOOD Share ($16,634), Senior Concerns ($21,111), Turning Point Foundation ($3,961) and Lutheran Social Services ($8,399).

"There's more need in places like the Samaritan Center, FOOD Share, than we can possibly think to keep up with," Councilmember Glen Becerra said. "I'm glad that they're up on the higher end of the funding."

Under the housing and community development category, a minor street rehabilitation project—for which the city requested $800,000—received $616,446.

The project includes repaving streets and reconstructing curbs/ gutters, sidewalks and cross gutters in low- and moderate-income areas.

Because the project did not receive full funding not all the areas originally targeted will be improved.

Two nonprofits, Many Mansions and the Samaritan Center, received full funding to improve their facilities: $51,758 and $37,118 respectively.