ITEM 10-C

City Council Meeting 5/26/92

                                      Santa Monica, California

TO:      Mayor and City Council

FROM:    City Staff

SUBJECT: Request to Hold a Public Hearing to Hear Public  Comment
         and  to  Approve  a Resolution Authorizing Submission of
         the  "Proposed  Statement   of   Community   Development
         Objectives  and  Projected  Use  of  Funds"  to the U.S.
         Department of Housing and Urban Development

INTRODUCTION

This report requests that the City Council hold a public  hearing
and  adopt  the  attached  Resolution to (1) approve the proposed
funding allocations for the City's  Community  Development  Block
Grant  (CDBG)  entitlement  grant for FY1992-93 and (2) authorize
the submittal of all documents required for the implementation of
the  1992-93  CDBG  Program to the U.S. Department of Housing and
Urban Development (HUD).  Attached is the "Proposed Statement  of
Community  Development  Objectives  and  Projected  Use of Funds"
which specifies how the City's CDBG entitlement will be allocated
for  FY1992-93.   This document must be submitted to HUD no later
than June 1, 1992.

BACKGROUND

For FY1992-93, the City has received  a  CDBG  entitlement  grant
award of $1,278,000 and an additional $8,306 reallocated from the
unused portion of the regional share of CDBG funds in  FY1991-92.
A  total  of  $1,286,306  has been allocated to various community
service and capital projects for the second year of the Two  Year
Community  Development Program (FY1992-93) previously approved by
the City Council.  In addition, remaining contingency funds  from
FY1991-92  of  $21,205 have been allocated to capital projects in
FY1992-93.  CDBG funds are allocated in accordance with the goals
and  objectives  outlined  in  the Two Year Community Development
Plan adopted by City Council on May 28, 1991.

Each year, the City is required to submit a "Final  Statement  of
Community  Development  Objectives and Projected Use of Funds" to
HUD by June 1.  In accordance  with  the  City's  CDBG  Ordinance
#1467  (CCS), this public hearing is held to hear public comments
on the all projected uses of CDBG funds.  The "Proposed Statement
of  Community  Development Objectives and Projected Use of Funds"
was available for public review on May 18, 1992, prior to the May
26,  1992,  City Council meeting and notice was made in the local
newspaper  ten  (10)  days  in  advance.   All  written  comments
received by the public will be transmitted to City Councilmembers
prior to the May 26, 1992, City Council meeting.

FINANCIAL/BUDGETARY IMPACT

All necessary appropriations for specific CDBG projects have been
included   in   the  City  Manager's  Proposed  City  Budget  for
FY1992-93.  Council must approve the proposed CDBG funding levels
included  in  the  "Proposed  Statement  of Community Development
Objectives and Projected Use of Funds" prior to June 1, 1992.

RECOMMENDATION

City staff recommends that  the  City  Council  hold  the  public
hearing  and adopt the attached Resolution regarding the approval
and submittal of the "Proposed Statement of Community Development
Objectives and Projected Use of Funds".

Prepared by:  Barbara Stinchfield, Acting CDD Director
              Julie Rusk, Acting CNS Manager
              Julie Johnson, CDBG Coordinator

Attachments