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Hayward council approves community agency funding; Sun Gallery remains under monitoring
Summary
The council approved a set of community agency funding resolutions including CDBG and general-fund allocations after recommendations from the Community Services Commission; the Sun Gallery did not receive funding this cycle while the city completes an accelerated monitoring review.
The Hayward City Council approved a package of community agency funding measures and the CDBG consolidated plan during the March 22 meeting, following recommendations from the Community Services Commission (CSC).
Staff and CSC members presented funding recommendations after a seven‑month application process that included an expanded outreach and interview phase, management analyst Emily Wong said. The commission prioritized services addressing homelessness and housing, food security, legal services and programs for immigrants and undocumented residents, Wong said.
Council moved and adopted the CDBG consolidated plan and the recommended allocations in a series of separate votes. The council approved the consolidated plan and related CDBG allocation motion (moved by Councilmember Bonilla, seconded by Councilmember Goldstein); the motion passed unanimously on the record.
CSC Chair Lanita Wheeler told the council the commission “remains deeply committed and genuinely excited to serve” and acknowledged the difficulty of choosing among many worthy applicants. Commissioner Calvin Wong said the commission’s recommendations were deliberate and urged the council to consider increased general-fund support for critical services in future cycles.
The Sun Gallery, a local arts nonprofit, became a focal point during public comment and the commission discussion. City staff said they accelerated an on-site monitoring review after board leadership and financial-control changes at the gallery. Assistant City Manager Regina Youngblood and staff said the organization did not meet the city’s monitoring requirements in time to be eligible for funding in this cycle; staff completed most monitoring steps and will present findings and action steps. “Those findings will have specific action steps; if they can meet those expectations, we would recommend moving them forward for funding in fiscal year 26–27,” staff told the council.
Several community members and Sun Gallery board members spoke during public comment asking the council to restore or redirect a small amount of arts funds to the gallery; one person requested the council consider taking 10% from the arts allocations as a bridge to the Sun Gallery. Council members and staff said they were open to reviewing the monitoring results and exploring options but stressed the need for completed monitoring to demonstrate appropriate controls and stewardship of public funds.
Votes and recusals: The council approved the consolidated plan and funding allocations in separate resolutions. Multiple motions were made by Councilmember Bonilla and seconded by Councilmember Goldstein for the first funding resolutions; a later arts-and-music resolution proceeded after Councilmember Goldstein recused himself from that vote. The final funding resolution passed with six yes votes and one member absent or recused, per the meeting record.
Ending: Staff said HUD’s final 2025 CDBG entitlement award was still pending and staff will return with an amended resolution once HUD announces the actual amount. The Community Services Commission will continue to work on technical assistance and monitoring recommendations for agencies and explore opportunities for broader funding partnerships and capacity building.
