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Subcommittee adjusts HUD grant allocations; city reprograms CDBG to backfill ESG cuts

San Francisco Board of Supervisors Budget and Finance Subcommittee · June 5, 2013
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Summary

The committee approved amended resolutions to accept and expend federal CDBG, HOPWA, ESG and HOME entitlements. Staff said CDBG rose about 6% while ESG fell 27% and HOPWA fell 11%; the city reallocated CDBG funds to cover ESG reductions to preserve services.

The Budget & Finance Subcommittee on June 5 approved amended resolutions to apply for, accept and expend four HUD entitlement grants for fiscal year 2013'14: Community Development Block Grant (CDBG), Housing Opportunities for Persons With AIDS (HOPWA), Emergency Solutions Grants (ESG), and the HOME Investment Partnerships program.

Brian Chu, Director of Community Development at the Mayor's Office of Housing and Community Development, told the committee the city saw a modest increase in CDBG (about 6%) and a slight uptick in HOME funding, but large reductions in ESG (about 27 percent) and an 11 percent cut in HOPWA. Chu said staff reallocated some increased CDBG dollars to backfill ESG program reductions, adding that ESG programs are eligible for CDBG support.

Chu walked supervisors through amended dollar figures in the resolutions: the CDBG entitlement figure in one resolution was amended from $16,204,214 to $17,155,981 and related program income figures were adjusted; the ESG resolution amount was reduced from $1,528,852 to $1,182,146; the HOME total was amended upwards in the packet; and the HOPWA total was amended from $9,244,998 to $8,633,125 with a combined adjusted total after reprogramming.

Budget analyst staff and Chu emphasized the city is in a multiyear funding cycle and that while service levels were preserved, capital rehab dollars for some community facilities and HOPWA-funded facility rehabilitation will be constrained under the new allocations. Supervisors accepted the amendments and approved the resolutions without opposition.

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