Laguna Niguel council holds public hearing, directs staff to return with CDBG consolidated plan and related documents

On April 15, 2025, the Laguna Niguel City Council held a public hearing on the draft five-year Community Development Block Grant consolidated plan for fiscal years 2025–2029, the Orange County Regional Assessment to Fair Housing (2025–2029) and the FY2025–26 annual action plan, and voted 5–0 to approve staff recommendations and direct staff to return the documents to the council on May 6 with any revisions.

The consolidated plan establishes how the city will qualify for and use federal CDBG funds, which the city has received since 1997. Mike Linares, the city’s CDBG consultant, told the council that “It is a formula grant,” and that HUD uses variables such as poverty rate, population and age of housing stock to determine allocations.

Why this matters: CDBG funds support capital improvements, public services and programs intended to assist low- and moderate-income residents. Linares and staff said the city is planning allocations under an estimated FY2025 grant of $310,000 (about 9–10% below the current year), plus prior-year carryover funds. The plan must follow statutory caps: a 15% cap on public services (about $46,500 using the $310,000 estimate) and a 20% cap on administration (about $62,000). Staff recommended proportional adjustments if HUD’s final allocation differs from the estimate.

Linares described the document’s components: a housing and community needs assessment (including homelessness and special needs), a housing market analysis, a five‑year strategic goals section and the one‑year action plan that details the next year’s allocations. He said the five‑year goals are deliberately broad to give the city flexibility over the cycle.

Staff told the council that the city received six requests for public service funding for the coming year, totaling roughly $157,000; those requests and staff recommendations are reflected in the action plan. Two capital projects are proposed for next year: continuation of the city’s push‑button pedestrian signal program at selected intersections and accessibility upgrades (sidewalk and curb‑ramp improvements) in an identified neighborhood to meet current ADA standards. Staff said any unspent administrative funds would be available to program to capital projects.

The draft also incorporates the Orange County Regional Assessment to Fair Housing, a regional approach required to comply with federal and state fair housing obligations. The city is also proposing a technical update to its Citizen Participation Plan to reflect the regional assessment terminology. Linares recommended the council hold the public hearing tonight and direct staff to bring the consolidated plan, assessment and action plan back to the May 6 meeting to incorporate any public comments and final allocation figures.

Council discussion focused on grant stability and program delivery. When Mayor Genoway asked whether the changing federal budget picture would affect the CDBG grant, Linares said an approved consolidated plan preserves the city’s eligibility and that he expected funding for next year to be available, though future years remain uncertain. Councilmember Jennings, who serves on the council’s ad hoc CDBG committee, and Mayor Genoway both thanked staff and the applicants for their work on the proposals.

The council voted 5–0 to approve the staff recommendations and to have staff return the documents to the council at its May 6 meeting with any updates.

Action taken: Motion to approve staff recommendations to hold the public hearing, consider the draft consolidated plan and related documents and return them to the May 6 council meeting for final action. Motion moved by Mayor Genoway; seconded by Councilmember Jennings. Vote: 5 yes, 0 no, 0 abstain.

The council’s next step is the May 6 meeting, when staff will present any changes after HUD issues its allocation and after the close of the public comment period.