Westminster City Council
SUBJECT
Title
Adoption of Final FY 2026-2027 Annual Action Plan for Community Development Block Grant (CDBG) and HOME Investment Partnerships Act (HOME) Program Federal Funds.
End
publichearing
• Staff Report
• Mayor and City Council Questions for Staff
• Public Comments
• Mayor and Council Member Discussion
• Council Action
End
From: Christine Cordon, City Manager
Requested by: Administration
Prepared by: Michael Son, Housing Specialist
____________________________________________________________
RECOMMENDED ACTION
Recommendation
A. Approve the Final FY 2026-2027 Annual Action Plan;
B. Authorize the City Manager to execute the documents required for submission of CDBG and HOME funding approval to the United States Department of Housing and Urban Development (HUD) for review and approval; and
C. Authorize staff to make necessary revisions to the Annual Action Plan as required by HUD.
end
BACKGROUND
Each year, the City prepares an Annual Action Plan which details how the City will spend United States Department of Housing and Urban Development (HUD) federal funds in connection with the Five-Year Consolidated Plan (Consolidated Plan), specifically CDBG and HOME funds, for that given year. The Annual Action Plan has two principal purposes:
1. The Annual Action Plan identifies the projects and programs to be undertaken during the upcoming fiscal year and the proposed objectives and outcomes to be achieved within the overall context of the Consolidated Plan; and
2. The Annual Action Plan acts as the City’s application process for federal formula grants, principally comprised of as the CDBG and HOME programs.
For the City Council’s consideration, an estimated total of $1,572,124 in CDBG funds and $1,103,700 in HOME funds will be allocated to the proposed activities further detailed in this staff report, Attachment 1 and Attachment 2.
Consistent with the City’s Consolidated Plan adopted by City Council in May 2025, the priority needs and activities to be funded for FY 2026-2027 are shown in the table below for the City Council’s consideration.
|
FY 2025-2029 Consolidated Plan 5-Year Priority Needs |
FY 2026-2027 Proposed Activities |
|
Priority Housing Needs |
ü Tenant Based Rental Assistance Program ü Neighborhood Preservation Code Enforcement ü Set aside for potential affordable housing project |
|
Priority Community Services |
ü Meals on Wheels ü Family Resource Center ü Project S.H.U.E. ü Summer Youth |
|
Priority Infrastructure Improvements |
ü Street Improvements ü Sidewalk Improvements |
|
Priority Parks and Recreational Facilities |
ü No park projects are proposed |
|
Planning for Housing and Community Development Needs |
ü CDBG Administration ü HOME Administration ü Fair Housing Foundation |
CDBG Funding
For FY 2026-2027, the City of Westminster will have an estimated total of $1,572,124 in CDBG funds. This total amount is comprised of $969,863 in FY 2026-2027 CDBG entitlement allocation and $602,261 in CDBG carryover funds. Carryover funds are due to project savings from prior year subrecipient and capital improvement projects. CDBG funds are used for local community development activities that provide decent housing, a suitable living environment, or are used to expand economic opportunities, principally for low- and moderate-income persons.
Proposed CDBG Activities
In accordance with priorities established in the City’s Five-Year Consolidated Plan, below is a summary of projects and funding proposed.
• Family Resource Center, $93,265.61: The Westminster Family Resource Center is a family-friendly, community-based site that offers a comprehensive range of services and support systems to families. It is designed to be a one-stop shop where services provided are offered in partnership with private and public agencies working together to enhance each family’s capacity to become self-sufficient.
• Home Delivered Meals Program, $28,949.61: The Home Delivered Meals Program provides three meals per day, five days per week to frail elderly participants aged 62 or over in the City of Westminster. In addition to the meals, all participants receive case management services and have access to in-home safety services. The program benefits participants by assisting with basic food and nutritional needs which in turn improves overall quality of life.
• Summer Youth Program, $9,314.61: The Summer Youth Program is an eight-week summer program that provides summer recreational activities to Westminster school aged children. To meet the low-income eligibility requirement, invitations will be extended to Family Resource Center families and Project SHUE participants. The hub of the Summer Youth Program will be at the Community Services Center, combined with walking over to Freedom Park.
• Project S.H.U.E., $13,949.61: Project S.H.U.E. (Safety, Health, Understanding, and Education) is an intergenerational afterschool program that is designed to provide underserved children, a safe afterschool environment at the Westminster Senior Center. With the support of volunteer seniors, S.H.U.E. staff will create a structured setting that focuses on learning while fostering a healthy social development of each individual child. The environment this program creates helps to reduce the risk of negative peer pressure, gang/drug involvement, and low academic achievement.
• Street Improvements, $832,671.64: The Street Improvement Project for FY 2026/27 involves the resurfacing of approximately eleven (11) residential street segments.
|
# |
Street Name |
Segment |
|
1 |
Kent Street |
Cornwall Ave. to End |
|
2 |
Newcastle Avenue |
Kent St. to Brookhurst St. |
|
3 |
Wakefield Street |
Sabre Ave. to Cornwall Ave. |
|
4 |
Sabre Avenue |
Wakefield St. to Westerly City Limit |
|
5 |
Cornwall Avenue |
Wakefield St. to Bromley St. |
|
6 |
Heil Avenue |
Magnolia St. to Venus Dr. |
|
7 |
Venus Drive |
Heil Ave. to Universe Ave. |
|
8 |
Galaxy Dr. |
Universe Ave. to Heil Ave. |
|
9 |
Van De Velde Way |
Heil Ave. to End |
|
10 |
Lunar St. |
Universe Ave. to End |
|
11 |
Ed Bane Cir. |
Lunar St. to End |
The scope of this project includes grinding existing pavement and constructing new asphalt concrete pavement. The exact surface treatment for the street(s) will be determined later through further field evaluation and analysis.
• Sidewalk Improvements, $200,000: The scope of the project includes concrete repairs, curb ramp upgrades, and all appurtenant work in connection therewith, at various locations. The residents will benefit from concrete improvements within all the CDBG areas at the proposed project locations. The proposed project is located at the following locations, among others:
|
Project Locations |
|
Jackson St & 22nd St |
8663 Brooke Ave |
|
15501 Wynant Dr |
16491 Van De Velde Way |
|
13651 Wilson St |
9532 Bird Ave |
|
8431 Conner Cir |
9552 Bird Ave |
|
13661 Harper St |
892 McClure Ave |
|
8421 15th St |
8922 McClure Ave |
|
Monticello Cir & Macon Cir |
14331 Strait St |
|
Monticello Cir & Mesa Cir |
14362 Shirley St |
|
14441 Mesa Cir |
14382 Shirley St |
|
14301 & 14291 Middletown Ln |
14361 Janice St |
|
15361 Dogwood St |
8861 Crown Ct |
• Neighborhood Preservation Code Enforcement Program, $200,000: The program will focus on addressing substandard housing conditions, property maintenance violations, graffiti, and other blighting influences that negatively affect neighborhood stability and quality of life through a dedicated CDBG Code Enforcement officer. Enforcement activities will emphasize proactive inspections, education, and voluntary compliance. Activities will be coordinated with broader neighborhood stabilization efforts, including clean up initiatives, graffiti abatement, nuisance abatement, and infrastructure improvements within designated CDBG-eligible low-and-moderate-income residential neighborhoods.
• Fair Housing Services, $20,000: The Fair Housing Services Program provides fair housing education, counseling, and enforcement services to Westminster residents. This program helps the City to comply with HUD’s regulatory requirements to affirmatively further fair housing and includes counseling on landlord/tenant law and other aspects of housing.
• CDBG Program Administration, $173,972.60: The City will conduct the following administration/planning activities: (1) General Administration of the overall CDBG Program, including preparation of budget, applications, certifications, agreements; (2) Coordination of all CDBG-funded capital improvement projects; (3) Coordination of the Public Service Subrecipients; (4) Monitoring of all CDBG projects/programs to ensure compliance with federal regulations; (5) Preparation of the Annual Action Plan; and (6) Preparation of the Consolidated Annual Performance and Evaluation Report (CAPER).
HOME Funding
The HOME Program is the largest Federal block grant to State and local governments designed exclusively to create affordable housing for low-income households. The City of Westminster will have an estimated total $1,103,700 in HOME Program funds comprised of FY 2026-2027 HOME Entitlement allocation of $372,472 and an estimated carryover balance of $731,228. Carryover funds are due to project savings from prior year eligible HOME program activities and program income. HOME funds are provided as formula grants to be used for:
• Tenant-based rental assistance (rental subsidy).
• Rental housing acquisition, new construction, or rehabilitation.
• Homeowner (owner-occupied) rehabilitation.
• Homebuyer housing acquisition, new construction, or rehabilitation, including direct assistance to eligible homebuyers to purchase the housing.
Up to ten (10) percent is used for program planning and administration and 15 percent of the allocation must fund the development of permanent affordable housing with a non-profit Community Housing Development Organization (CHDOs).
Proposed HOME Activities
It is recommended the following activities be funded, which are consistent with priorities set forth in the City’s Five-Year Consolidated Plan and that fulfill the purpose of the HOME program to create affordable housing for low-income households:
• Affordable Housing, $766,452.90: The City may use HOME funds on an affordable housing project in conjunction with a local Community Housing Development Organization (CHDO). The City will extend gap financing to acquire and support construction or rehabilitation of affordable rental housing.
• Tenant-Based Rental Assistance Program, $300,000: The City is proposing to use HOME funds to provide tenant-based rental assistance to eligible households in Westminster that are currently experiencing homelessness or are at-risk of becoming homeless. The City will contract with an experienced TBRA operator to administer the program and provide case management and wrap around services to participants.
• HOME Program Administration, $37,247.25: The City may use up to ten (10) percent of the HOME allocation for the overall administration of the HOME Program. The City will use HOME funds to ensure the overall development, management, coordination (including coordination with Community Housing Development Organizations) and monitoring of all HOME funded projects/programs to ensure compliance with federal regulations of the HOME program.
FISCAL IMPACT
Approval of the FY 2026-2027 Annual Action Plan will provide CDBG and HOME funds to the proposed activities for the year covering July 1, 2026 through June 30, 2027 and will be included in the FY 2026-2027 Budget.
LEGAL REVIEW
The City Attorney’s Office has reviewed as to form.
CONCLUSION
This concludes the mandatory minimum 30-day public comment period of the FY 2026-2027 Annual Action Plan and is the final step in the process of securing the City’s annual allocation of CDBG and HOME funds. Attached to the staff report is the final FY 2026-2027 Annual Action Plan for City Council’s consideration and approval. The Plan must be submitted to HUD by May 14, 2026.
ATTACHMENTS
1. FY 2026-2027 Annual Action Plan
2. FY 2026-2027 CDBG & HOME Funding Allocations
REVIEWED BY
Erin Backs, Finance Director
City Attorney’s Office
Christine Cordon, City Manager