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• Changes in the use of CDBG funds from one eligible activity to another shall <br /> constitute a substantial amendment, subject to the requirements set forth under <br /> Section VIII of the Citizen Participation Plan. <br /> Consequently, the HUD-approved FY 2022/23 Annual Action Plan is being amended to <br /> remove the Axis project and to reallocate the $195,483 CDBG funds to other <br /> CDBG-eligible activities, specifically capital projects. <br /> The City is currently in the process of completing its FY 2023/24 Annual Action Plan, <br /> which will outline how the City will utilize its CDBG allocation for the upcoming fiscal <br /> year (July 1, 2023 through June 30, 2024), to submit it to HUD by the May 15, 2023, <br /> deadline. Staff recommends reprogramming the $195,483 CDBG funds to be added to <br /> the forthcoming FY 2023/24 Annual Action Plan budget; the increased CDBG budget <br /> will be targeted to CDBG-eligible activities. Organizations and programs that have <br /> received funding in prior years include Axis Community Health, Open Heart Kitchen, <br /> Spectrum Community Services, Tri-Valley Haven, and CityServe of the Tri-Valley. <br /> Although the allocation of funds will ultimately be determined through the annual HHSG <br /> taking place over the next several months, the additional allocation will supplement the <br /> available pool of funds to be allocated among successful grant recipients requesting <br /> funding assistance for capital improvements. <br /> Public Review <br /> The Draft Substantial Amendment to the FY 2022/23 Annual Action Plan has been <br /> available for review for the 30-day public comment period (February 2, 2023 through <br /> March 7, 2023) as required by the City's Citizen Participation Plan. Staff recommends <br /> the Council review the proposed Substantial Amendment, provide comments as <br /> deemed appropriate, hold a public hearing to solicit any public testimony on the <br /> proposed Substantial Amendment, and approve the document for submission to HUD <br /> for review and approval. <br /> b itte y: Fiscal Review: Approved by: <br /> Ellen Clark Susan Hsieh Gerry Beaudin <br /> Director of Community Director of Finance City Manager <br /> Development <br /> Attachments: <br /> 1. Resolution <br /> a. Draft Substantial Amendment to FY 2022/23 Annual Action Plan <br /> Page 4 of 4 <br />