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HomeMy WebLinkAboutReallocation of Community Development Block Grant CDBG Funds • INTEROFFICE MEMORANDUM CITY OF PALM DESERT DATE: JANUARY 22, 1998 TO: MAYOR, CITY MANAGER, AND MEMBERS OF THE CITY COUNCIL FROM: RAY L. JANES SUBJECT: COMMUNITY DEVELOPMENT BLOCK GRANT/ MEMORANDUMS OF UNDERSTANDING (TWO)/ REALLOCATION OF FUNDS Recommendation: 1. That the City Council approve Memorandums of Understanding with the Palm Desert Home Improvement Program, and Nightengale Manor Homeless Shelter. 2. That the City Council approve the reallocation of block grant funds per a request made by the Family YMCA of the Desert. Background: The Redevelopment Agency's Home Improvement Program will be using $137,672 from their 22nd Block Grant Year allotment. They will also be utilizing $49,019 from the 23rd Block Grant Year funding; this then represents a total of$186,691 that will be available for them to use to provide low interest loans to homeowners that fall under the Department of Housing and Urban Development(HUD) qualification as a low or very low income household. The Nightengale Manor Homeless Shelter will be using $8,400 from their 23rd Block Grant Year allotment to help complete improvements to the shelter. This shelter which is open 24 hours a day 7 days a week is located in the City of Palm Springs, and provides 42 clean beds to homeless men and women. MEETING DATE ii/ 58 j 6NTINUED TO 4)1" I of 98 CITY COUNCIL AACTION: D I ❑ PASSED TO 2ND READING APPROVED, ✓RECEIVED OTHER AYES:MEETwp � � sr, 9.1.....='4:7rOnp,,,=— NOES: - (1 " ABSENT: cr ABSTAIN: VERIFIED BY:, Original on File th City Clerk's Office The final item pertains to the reallocation of block grant funds which were awarded to the Family YMCA of the Desert; their Board of Directors recently (November, 1997) approved the reallocation of the $4,200 from the 23rd Block Grant Year. This funding was originally slated for improvements to be made to the Lincoln School trailers, but they now need to use this money to complete further ADA improvements on their San Pablo facility. RAY L. JA ES MANAGEMENT ANALYST Attachments cc: John M. Wohlmuth Vo Family YMCA of the Desert 12, 1998 43-930 San Pablo Ave. JanuaryPalm Desert, CA 92260 760-341-9622 760-779-9651 FAX Mr. Ray Janes, Management Analyst II City of Palm Desert 73510 Fred Waring Dr. Palm Desert, CA 92260 Dear Ray: Enclosed is a copy of the Board of Directors meeting minutes for November 1997. These contain the Board's approval of the re-allocation of the funds granted under #4.PD050 in the amount of$4,200 for the improvements to YMCA/Lincoln School trailers. Because of the needs at the YMCA on San Pablo to make ADA improvements, the $4,200 was re-allocated to #4.PD044 to be added to the $30,000 granted to improve the front courtesy counter at the San Pablo address. This would increase the grant to $34,200 for the ADA improvements and kill the project at Lincoln School. Please let me know the procedure necessary to receive approval from the EDA and City of Palm Desert to re-allocate the above mentioned funds. Also enclosed is the document from the EDA granting the funds. Sincerely, G yl E. Thomas Project Manager Family YMCA of the Desert YMCA Mission: To put Christian principles into practice through programs that build healthy body,mind and spirit for all. �I United Way of the Desert I FAMILY YMCA OF THE DESERT BOARD OF DIRECTORS MINUTES November 19, 1997 MEETING TIME & PLACE: The regular meeting of the Board of Directors of the Family YMCA of the Desert was held Wednesday, November 19, 1997 at the Family YMCA of the Desert, 43-930 San Pablo Avenue, Palm Desert, CA 92260 at Noon. CALL TO ORDER: The meeting was called to order by President, Jim Dunphy at 12:04 PM. ATTENDANCE: Layne Arthur, Dick Baxley, Rick Blanke, Charlie Callander, Shelley Cecil, Steve Christian, Jim Dunphy, Steve Gordon, Chris Green, Tina Green, Joe Hayes, Chris Hermann, Matt Johnson, Jeff Lilley, Jay McQuillen, Melissa Pendleton, Ted Rutherford, Nolan Sparks, Sue Welton and Betsy White. ABSENT: Joe Gibbs, Mike Long, Isabel Lozano, Melissa Melgosa, Mike Neatherton, Marty Nethery, Fritz Noble, Van Tanner and Bruce Underwood. STAFF PRESENT: Gerald Hundt, Deborah Jones, Kris Sanders and Tracy Tuvell. SPECIAL GUEST: Orlin Donhowe, Endowment Consultant. INVOCATION: The invocation was given by Nolan Sparks. INTRODUCTION OF NEW BOARD MEMBERS: Gerald Hundt introduced four new board members to the Family YMCA of the Desert. Welcome to Tina Green, Chris Hermann, Melissa Pendleton and Betsy White. APPROVAL OF MINUTES: Board member Steve Christian moved to approve the minutes from the Board of Directors meeting on Wednesday, October 15, 1997. Seconded by Jeff Lilley and unanimously approved. Motion Carried. ENDOWMENT UPDATE: Gerald Hundt introduced Orlin Donhowe, Endowment Consultant, who will conclude his consultant work with the YMCA in December. Enclosed is a handout called "Endowment Processes", which lists the items that the Family YMCA of the Desert has had to accomplish in the 16 days that Orlin has spent with us. Orlin thanked the Board of Directors and YMCA Staff for the excellent work they have done and will continue to do. 1 4 Gerald Hundt announced plans for the 1st Annual Heritage Club Dinner to be held at 6:15 PM on Thursday, December 11, 1997 at Indian Wells Country Club. The dinner will be to honor those individuals who designate the Family YMCA of the Desert as beneficiary of money, land, stock, etc., in their Will or Insurance Policy. Our goal is to reach 50 members of the Heritage Club by December l lth, we currently have 41 members. If you would like to discuss becoming a member, please contact Gerald Hundt or one of the Endowment Committee members. The Technical Committee, "chaired" by Dick Zeigler (Vice President of Merrill Lynch) consisting of members Ron Schwartz (Trustee) and Christine Green (Board of Directors) will provide assistance and advice concerning Estate and Will Planning. They will be hosting a Wills Clinic on Thursday, January 22, 1998. The Investment Committee "chaired" by Rick Blanke (Board & Endowment Committee) consisting of members Dave Tschopp (Trustee) and Richard Kite (Trustee) met and prepared a recommendation to be presented todayregarding the investment of the Merrill Lynch Funds. We are still g g Y recruiting for both committees. Rick Blanke advised the Board of two pools of YMCA money, one in the amount of $250,000 and the other for $148, 416 that need to be invested. The Investment Committee concluded that the $250,000 should be put into long term, pooled income investment with YMCA of the USA. This fund has averaged an excess of 15% return in the last three years. It was discussed that if the money was invested for five years, rates remained the same and the dividends were untouched the fund could double in five years. Asset allocation will be 70% in U.S. Equity, 10% in International Equity and 20% in Fixed Income. The $148,416 should be split; $28,416 (plus any interest accrued, not yet received) put into the Money Market Fund which is totally liquid with no charges in or out, $50,000 in a 5 year laddered Treasury Portfolio where you would have $10,000 each year maturing and the remainder of$70,000 into a balanced Vanguard/Wellington Fund with no charge in or out and a small management fee from Vanguard. This fund is totally liquid. Jeff Lilley moved to invest the money as Rick Blanke described, subject to the approval of the Endowment Development Committee on Thursday, November 20, 1997 at 5:30 PM. Seconded by Dick Baxley and unanimously approved. Motion Carried. EXECUTIVE COMMITTEE REPORT: Gerald Hundt reported that $4,200 of the Community Development Block Grant funds allocated to the Magnesia Falls facility from the City of Palm Desert will be re-allocated to help complete the renovation of the lobby and courtesy counter at the San Pablo facility. Layne Arthur moved to re-allocate $4,200 of Community Development Block Grant funds distributed for renovation at Magnesia Falls facility to be used for the completion of the San Pablo lobby and courtesy counter renovation. Seconded by Charlie Callander and unanimously approved. Motion Carried. FINANCE COMMITTEE REPORT: Deborah Jones reported that the September Financial Statements are enclosed, the Finance Committee has reviewed a preliminary October Financial Statement and will finalize the statement at the next Finance Committee meeting on Thursday, December 4, 1997. 2 1998 Budgets will be presented to the Finance Committee before the next Board of Directors meeting on Wednesday, December 17, 1997. Jay McQuillen pointed out that the staff works very hard to meet their budgets and that revenue needs to be enhanced through an increase in program membership and continued success in fundraising events. The Finance Committee recommended restricting the $250,000 in funds from the Mendell land sale for the use of the Family YMCA of the Desert Endowment. Joe Hayes moved for the Board to restrict $250,000 from the Mendell land sale proceeds for Endowment purposes, any changes to the Board action would require 75% approval of the current YMCA Board of Directors. Seconded by Shelley Cecil and unanimously approved. Motion Carried. Jay McQuillen moved to name the restricted fund the Will& Fran Mendell Endowment Fund, to ensure the ability to track the fund on a long-term basis. Seconded by Joe Hayes and unanimously approved. Motion Carried. CEO REPORT: Gerald Hundt presented a grant update. The Family YMCA of the Desert has received a grant from the state of two modular units leased for $1.00 per year and $13,500 for installation on the Carter Elementary School campus. The Desert Sands Unified School District has made a 10 year commitment to the YMCA to provide space for the modular units. We will now be able to accommodate 50+ students at Carter School for Before/After School Child Care. This will eliminate the need to bus these students. We have also received a $10,000 grant from the City of Indian Wells and have applied for a $20,000 grant from the Palm Desert Foundation (Bob Hope Chrysler Classic). The Board of Directors Orientation will be held on Tuesday, December 9, 1997 from 7:00 AM to 8:30 AM at the Family YMCA of the Desert. Please R.S.V.P. to Tracy Tuvell at 341-9622 as soon as possible. All Board members are invited. The ROSE Awards will be held on Sunday, January 11, 1998 at Sun City Del Webb. The ROSE Awards is held in Recognition of Staff Excellence. Award selections are made by a special nomination committee. In order to nominate your peers, please complete the enclosed nomination form and return it to Deborah Jones by Tuesday, November 25, 1997. 1997 HOEDOWN AT SUNDOWN: Shelley Cecil reported on the success of this years Hoedown at Sundown. She thanked those involved for their dedication and hard work in all areas. As of Wednesday, November 19, 1997 the event had raised $19,840. The Hoedown Committee met on Tuesday, November 18, 1997 to critique the 1997 event. The date for next years Hoedown has been set for Saturday, November 7, 1998. The location may be changed possibly to Mission Hills Country Club or Indian Wells Country Club. There are several unclaimed silent auction prizes that will be available for purchase at the next Board of Directors meeting. 3 1998 ANNUAL CAMPAIGN: The first Annual Campaign Steering Committee meeting will be held at 8:00 AM on Monday, November 24, 1997 at the Family YMCA of the Desert. The committee members who have volunteered are Jay McQuillen, Steve Christian, Christine Green, Ted Rutherford and Jim Dunphy. If you are interested in participating on the committee please join us at the meeting on Monday. BOARD DEVELOPMENT/NOMINATING COMMITTEE REPORT: Ted Rutherford moved to accept Terre La Rocca, Jim Ferguson, Dave Moriarty and Bill Silvester for membership to the Board of Directors at the Family YMCA of the Desert effective January 1, 1998. Seconded by Charlie Callander and unanimously approved. Motion Carried. The Nominating Committee of Marty Nethery and Ted Rutherford presented the following individuals for nomination to the 1998 Executive Committee; President: Jay McQuillen, Past President: Jim Dunphy, V.P. Property: Layne Arthur, V.P. Programs: Charlie Callander, V.P. Finance: Steve Christian, V.P Sec/Treas: Nolan Sparks, V.P. Public Policy: Sue Welton, and V.P. Board Development: Dick Baxley. Joe Hayes moved to accept the recommended nominations to the 1998 Executive Committee effective January 1, 1998. Seconded by Jeff Lilley and unanimously approved. Motion Carried. ADJOURNMENT: The meeting was adjourned at 1:32 PM NEXT MEETING: The next meeting will be held on Wednesday, December 17, 1997 at Noon, Family YMCA of the Desert, 43-930 San Pablo Avenue, Palm Desert, CA 92260. Please RSVP by Monday, December 15, 1997 as lunch will be provided. Respectfully Submitted, Gerald A. Hundt CEO 4 RIVERSIDE- C O U N T Y • ntik Sri 0 ` 4.IN110, 4.PD044, 4.PD049, 4.PD050 EDA September 3, 1997 ECONOMIC DEVELO WENT AGENCY • Gerald A. Hundt, President/CEO YMCA-Indio 43-930 San Pablo Ave. c Palm Desert, CA 92260 z ^ Dear Mr. Hundt: RE: EXECUTED SPONSOR'S AGREEMENT/AUTHORIZATION TO INCUR COST Enclosed is a fully executed copy of the 1997-98 Sponsor's Agreement for the use of Community Development Block Grant (CDBG) funds for your activities. N. The U.S. Department of Housing and Urban Development and the Riverside County ti Economic Development Agency have completed their regulatory, administrative and o environmental review of your projects, " YMCA Girls/Washburn - $16,800, Family YMCA ADA - $30,000, YMCA/Benson Child Care Center - $7,500, and YMCA/Lincoln School - $4,200". . ▪ • This letter authorizes your organization to incur costs for reimbursement retroactive to July 1, 1997. C• C\ All claims will be reviewed for compliance with applicable policies in the Community Development Policy Manual. Please carefully review the policies relating to contract administration and reimbursement of claims. Any changes will be forwarded to you • • as they occur. • You will be required to provide milestones for significant events affecting your overall timetable. Meeting your timetable and milestones is imperative since it reflects on .4 your capacity to manage a grant in a timely manner. Failure to demonstrate management capacity could result in the reprogramming of unobligated project funds. . b, Since some of the projects (YMCA/Benson Child Care Center and YMCA/Lincoln School) are limited clientele, public service activity, your agency should be maintaining income verification forms for your clients similar to the self-certification q form attached. In addition, your agency will be required to complete the attached o Direct Benefit Activity Report relative to the clientele served by your organization. These reports should be submitted on a monthly basis along with your claims for Authorization To Incur Cost Gerald A. Hundt YMCA Girls/Washburn Page 2 September 3, 1997 reimbursement. At least 51% of the agency's clientele must meet the income limits established by H.U.D., as shown on the attached income limits chart. For audit purposes, recipients of Community Development Block Grant funds must comply with all applicable auditing requirements (OMB Circular A128/A133), the CDBG funds are identified in the Code of Federal Domestic Assistance (CFDA) Section 14.218. If you have any questions, please contact me at (760) 863-7053. Sincerely, Abby R Development Sped list AR:kth Attachments: Executed Sponsor's Agreement Direct Benefit Activity Report HUD Income Limits Chart Income Self-Certification Form (F:\USERS\CDBG\4TH\INCSTLR4.FI N) Il