2002 AGN AUG 20 I17 - Laserfiche WebLink

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CITY OF COLTON Item #17 AGENDA REPORT FOR COUNCIL MEETING OF AUGUST 20, 2002 TO: Honorable Mayor and City Council L FROM: David R. Zamora Community Development Director SUBJECT: Request Approval for First Amendment to the Three Year Cooperation Agreement with the County of San Bernardino for the Community Development Block Grant (CDBG) Program for Fiscal Years 2003-2004, 2004-2005, and 2005-2006. DATE: August 12, 2002 BACKGROUND: On June 4, 2002, the City of Colton approved a Three Year Cooperation Agreement with the San Bernardino County Department of Economic and Community Development (ECD) to continue its participation in the CDBG Program and receive annual funding under this grant. When the U.S. Department of Housing and Urban Development (HUD) reviewed the Agreement they requested three changes to the Agreement. The first change is in regard to the second paragraph ("Term") of the document, by adding the wording, "...or withdrawn..." in the text of the paragraph. The second change is the deletion of the sixth paragraph in its' entirety which pertained to the City's warranty of adherence to the County's child support compliance program. The third change is a request by HUD to incorporate the word "Federal" in the City's Resolution to identify the fiscal years that the Agreement will cover. The County has subsequently requested all Cooperating Cities to consider and approve the attached Amended Agreement that conforms to HUD's request. DISCUSSION/ANALYSIS: The Amendment to the Three Year Cooperation Agreement clearly establishes the commitment by the City of Colton to participate in the Urban County CDBG Program, and prohibits the City to terminate or withdraw from the Program. The Amendment has been requested by HUD and is required in order for the County to continue to receive CDBG funding that can be allocated to the City of Colton. This Agreement will allow the City to participate in the Urban County CDBG Program for Fiscal Years 2003-2004, 2004-2005, and 2005-2006. The attached Resolution authorizes the Mayor to sign said Agreement, which will then be forwarded to San Bernardino County for action by the Board of Supervisors. ALTERNATIVES: The City may elect not to participate in the Urban County CDBG Program for the next three years, and compete annually with other small cities in the State administered Small Cities CDBG Program. The Small Cities Program is administered by the State Department of Housing and Community Development (HCD) and is extremely competitive. FINANCIAL IMPACT: The County has requested that the six copies of the Amended Agreement be returned as soon as possible. If the City does not sign the Amended Agreement, the result could be a