Report to Mayor and City Council
Monday, November 28, 2016
Consent
SUBJECT:
Title
CONSIDER THE APPROVAL OF PROGRAM GUIDELINE MODIFICATIONS TO THE CITY OF CARSON'S COMMERCIAL IMPROVEMENT PROGRAM (CITY COUNCIL)
Body
I. SUMMARY
In an effort to improve the program formerly known as the Commercial Façade Rehabilitation Program, staff has reviewed and revised the program guidelines. The proposed revisions to the newly-named Commercial Improvement Program are intended to improve the program’s usefulness and provide local small businesses needed assistance. Since the program is funded under the Community Development Block Grant (CDBG), it also assists the City in meeting its timely expenditure obligations with HUD.
II. RECOMMENDATION
Recommendation
APPROVE program guideline modifications as presented.
Body
III. ALTERNATIVES
TAKE another action the City Council deems appropriate.
IV. BACKGROUND
The City of Carson’s Commercial Improvement Program (Program) is funded by the United States Department of Housing and Urban Development’s (HUD) Community Development Block Grant Program (CDBG). The CDBG funds are used to provide grants and or loans for exterior improvements to eligible local small businesses. The program was formerly known as the Commercial Façade Rehabilitation Program.
The former Program guidelines provide a complex funding structure that involves a combination of grants, matching grants and/or loans. The structure is more applicable to funding provided by the former Carson Redevelopment Agency. With the scarce CDBG funds, and a growing small business community, the proposed revisions are timely and necessary.
The previous guidelines were primarily for the substantial rehabilitation of small- to medium-sized local businesses. As such, the Program was not as attractive or practical for small businesses in need of cosmetic façade improvements. The proposed revisions to the grant amounts and Program mechanics afford a wider range of exterior improvements for more businesses. The proposed changes to the Program are:
• Reduce the minimum grant amount to facilitate more small façade improvement projects in the amounts up to $5,000.00.
• Break the Program options out into two distinct components; Façade and Substantial Rehabilitation improvements.
Staff believes the aforementioned modifications will increase the Program’s output and facilitate business improvement along the City’s commercial corridors. Small businesses in need of façade improvements such as paint, attached signage, texture refinishing, and code violations can receive financial assistance to make these necessary repairs. Attractive businesses attract more customers thereby increasing the viability of Carson’s small businesses and local economy.
V. FISCAL IMPACT
The total amount of funding required to implement and administer this program is established by the budget and not the grant funding limits or Program mechanics. As a result, the total amount expended would not change based on amending the guidelines.
VI. EXHIBITS
1. Proposed Guidelines (pgs. 3-30)
Prepared by: Cecil C. Flournoy, Project Manager