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Council approves reallocation of CDBG/HOME funds for two housing projects after HUD timing clarification
Summary
Oxnard City Council on Jan. 21 approved a substantial amendment to the 2023–24 annual action plan reallocating Community Development Block Grant and HOME funds to completed and near-complete affordable housing projects after staff said HUD clarified an expenditure period and a waiver was pending.
The Oxnard City Council voted 7–0 on Jan. 21 to approve a substantial amendment to the 2023–24 annual action plan that reallocates Community Development Block Grant (CDBG) and HOME Investment Partnerships Program funds to two affordable housing projects: Casa Aliento (the former Vagabond motel) and the Dolores Huerta apartments.
Housing staff said the U.S. Department of Housing and Urban Development (HUD) had clarified that, for newly proposed activities, eligible expenditures must occur after the date of council approval rather than retroactive to the prior fiscal year. Staff requested a waiver from HUD to preserve previously proposed allocations; if HUD denied that waiver, the staff report recommended revised allocations so funds could still support projects. Council approved the amendment and authorized the city manager to execute required applications, agreements with subrecipients, and to shift up to 10% among activities if needed.
Why it matters: The move aims to close financing gaps and bring completed or near-complete permanent supportive and affordable housing into service. Staff described the Casa Aliento project as a 70-unit conversion with 40 project‑based vouchers assigned to qualifying households, and the Dolores Huerta development as a 58‑unit property prioritizing farmworker households and veterans as required by certain funding commitments.
Questions from council members focused on HUD’s waiver timing and program safeguards. Councilmember John Starr, among others, asked when HUD’s decision on the waiver would arrive; housing staff said a response was expected within days to a couple of weeks and that staff would provide a copy of the waiver request. Assistant Housing Director Brenda Lopez described eligibility checks: project-based vouchers are matched from prioritized waiting lists, applicants undergo income and asset verification, and property managers will monitor unauthorized occupants.
Public comment included a call from Barbara Macri Ortiz, a longtime advocate for the Dolores Huerta project, who urged approval to close the funding gap after years of delay.
Votes at a glance: City Council approved the substantial amendment to the 2023–24 annual action plan reallocating CDBG and HOME funds and authorized the city manager to execute required documents. The motion passed 7–0.
