Council approves CDBG annual action plan and ratifies HUD grant-management consulting contract

The Gardena City Council on May 13 held a public hearing and approved the proposed FY 2025–26 Community Development Block Grant (CDBG) annual action plan, which allocates $616,004.63 of new CDBG funds: $123,002.92 for administration, $20,000 for fair housing services, $72,004.069 for youth and family services, and $400,007.002 for residential rehabilitation. Staff said the plan mirrors last year’s program and noted the city has been notified of this year’s allocation by HUD.

Council members asked whether changes coming from the federal administration might require program revisions; staff responded that the city is an entitlement jurisdiction and allocations are formula-driven by HUD, and no changes affecting the FY 25–26 allocation were reported. The council approved the annual plan by roll-call vote. Separately, the council ratified administrative approval of a professional services agreement with MDG Associates, Inc. for grant management consulting related to a $1.4 million Community Project Funding (CPF) award for the Community Aquatics and Senior Center; MDG’s one-year contract to support HUD reporting/administration is capped at $49,009.092 and was ratified by council.

Why it matters: the CDBG annual action plan programs federal funds for housing rehabilitation and social services; the MDG contract is intended to ensure HUD reporting and procurement compliance for CPF funds for the new Community Aquatics and Senior Center. Council members asked staff about HUD oversight of administrative funds and prior HUD findings; staff said earlier HUD findings were corrected and current administration has resulted in no findings.