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Council approves CDBG storefront grant program; keeps $10,000 cap but dissent voices push for narrower awards
Summary
Council adopted revised guidelines for the Community Development Block Grant small‑business assistance program (storefront improvements and anti‑graffiti measures), appropriating CDBG funds and keeping a $10,000 per‑business cap and 10% administrative set‑aside; one council member voted no, arguing a $5,000 cap would help more businesses.
The City Council approved staff’s recommendation to allocate Community Development Block Grant (CDBG) funds to a small‑business storefront improvement program that targets graffiti hotspots and other high‑need commercial facades.
Staff told the council the city’s actual CDBG entitlement for the year is about $171,000 and that there are roughly $64,000 in unused funds from the prior fiscal year that must be spent; staff proposed adding those unallocated dollars to the storefront program and recommended a maximum award of $10,000 per business with a 10% administrative set‑aside. Using the full $10,000 cap would fund a minimum of 19 businesses; an average award closer to $5,000 could reach nearly twice that many recipients, staff noted.
Examples of last year’s recipients were presented: storefront planters and anti‑graffiti coatings, window replacement with graffiti‑resistant film, and other storefront improvements. The program emphasizes anti‑graffiti solutions such as protective films and plantings that deter tagging; staff also included a recommendation to allow prior recipients modest flexibility to apply again for signage if they have not hit a program maximum.
Council Member Victoria Garcia voted no on the motion and urged a lower cap ($5,000) to serve more small businesses; other council members said the $10,000 cap provides needed flexibility for higher‑cost projects such as storefront glazing or anti‑graffiti coatings. The motion passed on roll call (Garcia no; Salodio yes; Fajardo yes; Mayor Rodriguez yes). Staff will open applications for 30 days in early January and perform targeted outreach in English and Spanish.
Council directed that selection criteria be made transparent and that maintenance expectations for funded improvements be communicated in the grant agreement; staff said business owners will be required to maintain improvements and encroachment permits and that the city will perform annual inspections when necessary.
The program was adopted via resolution and staff will return to implement the application and outreach plan.
