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BACKGROUND As a condition of receiving its annual allocation of federal CDBG funds, the City is required to submit an "Annual Action Plan" to HUD. The Annual Action Plan includes a listing of projects and activities to be funded with CDBG funds (also scheduled for review and approval by the Council at the meeting of April 17) as well as an annual assessment of the City's progress toward meeting its goals for housing and community development. Every five years, the City must also submit a "Five-Year Consolidated Plan" which is required to include a statement of its local goals and objectives related to housing and community development. A new Five-Year Consolidated Plan for fiscal years 2010 through 2014 was completed and submitted two years ago at this time. As the Council is aware, the City is a member of the Alameda County HOME Consortium which makes Pleasanton eligible to receive an annual allocation of federal HOME funds in addition to its CDBG allocation. The Consortium coordinates the submittal of a composite Action Plan to HUD; however, each City member of the Consortium is required to submit its own section of the Annual Action Plan. The draft Annual Action Plan for fiscal year 2012 for the City of Pleasanton is attached to this report. In August 2009, staff members from the cities of Pleasanton and Livermore collaborated to organize several meetings to develop goals and objectives for the next five-year Consolidated Plan. A multi-jurisdictional task force was established which included members from the housing and human services commissions from both cities. Over the course of several workshops, the task force developed an updated set of priorities related to human services, housing and community development. The resulting priorities were incorporated into the attached draft Annual Action Plan. DISCUSSION The attached document is similar in format and content to the plans that have been submitted in previous years. In addition to the input from the multi-jurisdictional task force (described above), staff incorporated the goals, policies, and programs from the City's most recent Housing Element. Staff believes that the resulting document is a reasonable expression of the City's goals and objectives for human services, housing and community development, particularly as they relate to the needs of the City's lower income population and the use of federal grant funds. Staff recommends that the Council provide comments on the attached draft Annual Action Plan for fiscal year 2012 as deemed appropriate, listen to any public testimony regarding the Plan, and approve the document for submission to HUD by the applicable deadline. Staff will forward the final document to Alameda County for incorporation into the composite Plan for the Consortium to be submitted to HUD in late May. Page 2 of 3