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5 <br /> THE CITY Of <br /> CITY COUNCIL AGENDA REPORT <br /> PLEASANTON, <br /> March 7, 2023 <br /> Community Development <br /> Housing Division <br /> TITLE: APPROVE THE SUBSTANTIAL AMENDMENT TO THE FY 2022/23 <br /> ANNUAL ACTION PLAN FOR THE USE OF FEDERAL COMMUNITY <br /> DEVELOPMENT BLOCK GRANT (CDBG) FUNDS <br /> SUMMARY <br /> Pleasanton received $338,818 in federal Community Development Block Grant (CDBG) <br /> funds from the U.S. Department of Housing and Urban Development (HUD) for Fiscal <br /> Year 2022/23. As part of the allocation process, HUD approved the City's FY 2022/23 <br /> Annual Action Plan, which outlines the City's program and projects that would be funded <br /> with federal CDBG funds. Due to a procedural issue affecting the planned allocation of <br /> $195,483 in CDBG funds to the Axis Community Health — New Service Site project, it is <br /> necessary to make a Substantial Amendment to the FY 2022/23 Annual Action Plan, to <br /> re-allocate the funds to other CDBG-eligible programs, in particular, to incorporate the <br /> additional funding into the FY2023/24 Action Plan budget. Recognizing the loss of <br /> one-time funding to Axis Community Health's site acquisition project, staff recommends <br /> the City consider future funding opportunities for the Axis Community Health Livermore <br /> site and/or re-programming of the $195,483 CDBG funds as part of upcoming and <br /> future years' Health and Human Services Grant (HHSG) funding cycles. <br /> RECOMMENDATION <br /> It is recommended the City Council approve the Substantial Amendment to the <br /> FY 2022/23 Annual Action Plan and to re-allocate $195,483 in CDBG funds to other <br /> CDBG-eligible programs. <br /> FINANCIAL STATEMENT <br /> The approval of the Substantial Amendment to the FY 2022/23 Annual Action Plan will <br /> not have a direct fiscal impact on the City. The $195,483 CDBG funds is included in the <br /> $338,818 CDBG allocation HUD awarded to Pleasanton for FY 2022/23. <br />