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Capitola reviews CDBG food‑service closeouts and prepares for HCD NOFA changes
Summary
Consultant Paul Ashby told council the city successfully expended three 2021 CDBG subgrants supporting local food programs and should proceed with state closeout. He also reviewed changes to the next HCD NOFA, including removal of over‑the‑counter allocation and new scoring and set‑aside rules; council asked staff to return with next steps.
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City consultant Paul Ashby reviewed the closeout of three Community Development Block Grant (CDBG) contracts that funded food programs in Capitola and provided an overview of the California Department of Housing and Community Development (HCD) Notice of Funding Availability (NOFA) for the next competitive round.
Ashby reported that the city’s 2021 CDBG subrecipient contracts with Grey Bears (healthy food distribution), Community Bridges (meals-on-wheels/lift-line) and Second Harvest were fully expended (combined total about $497,011) and recommended staff proceed with the formal closeout to the state. Staff said the grantees documented food distribution, home‑delivery and meal counts and that the city has started new 2024 grants that will continue similar services.
On the NOFA, Ashby said HCD removed the prior over‑the‑counter first‑come component and returned to a scoring process; he summarized program limits and maximum combinations (a jurisdiction may seek a maximum combined award of about $3.6 million across project/program/planning categories) and noted new set‑aside funding for applicants that have not received CDBG awards in recent years. He recommended the city continue community outreach as it develops any application and return to council with a formal application strategy.
There was general council support for continuing to fund local food services and for staff to pursue appropriate next steps in the new NOFA environment. No formal vote was required to close the 2021 contracts; council asked staff to proceed with formal closeout actions and to return with particulars about an application strategy if staff recommends applying.

