PRESENTER: Presenter
Jennifer Gates, Grants Coordinator
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SUBJECT: Title
Approval of a budget amendment to the FY 2024 Budget - CDBG Fund.
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DEPARTMENT: Finance
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COUNCIL DISTRICTS IMPACTED: Citywide
BACKGROUND INFORMATION:
The City of New Braunfels (City) has received annual grants from the U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant (CDBG) Entitlement Program since 1994. The annual funding amount varies each year as it is determined on a formula basis and then provided to entitled cities, counties, and states to help develop viable urban communities. Funds are distributed by the City throughout the community to provide eligible subrecipients with grant funding that can be used to revitalize neighborhoods, support affordable housing, provide economic opportunities, and improve community facilities and services intended for low- and moderate-income (LMI) residents.
CDBG Program Year 2022 (PY 2022) aligned to the City’s Fiscal Year 2023 (FY 2023) and included allocations of funding for two projects at City facilities, one at the Westside Community Center, and the other at Jesse Garcia Park. Due to unforeseen challenges, the work was completed in FY 2024 rather than prior to the end of FY 2023 as had been previously scheduled. All expenditures for the projects will be paid utilizing the allocated CDBG PY 2022 funding.
As such, the following budget amendment to the City’s FY 2024 Budget is recommended for City Council consideration.
Budget Amendment - CDBG Fund
Increase Expenditures
• WCC Parking Lot Project: $90,000
• Jesse Garcia Parking Lot Project: $26,000
ISSUE:
A budget amendment is required to maintain the fiscal stability of City operations.
STRATEGIC PLAN REFERENCE:
☐Economic Mobility ☐Enhanced Connectivity ☐Community Identity
☒Organizational Excellence ☐Community Well-Being ☐N/A
Considering statutory and market-based factors, continue to diversify revenue streams to support long-term fiscal sustainability of the organization.
FISCAL IMPACT:
There is no direct fiscal impact to the City for the budget amendment described above as the projects are fully funded by an allocation of federal funding so all expenditures will be reimbursed by HUD.
Recommendation
RECOMMENDATION:
Staff recommends approval of a budget amendment to the FY 2024 Budget - CDBG Fund.