To: HONORABLE MAYOR AND From: Sara L. Hensley

CITY COUNCIL

Subject: SNAP ALLOCATION PROCESS Date: 08-13-03

COUNCIL DISTRICT: 1, 3, 5, 6, 7, 8, 10

SNI AREA: Blackford, Burbank/Del Monte, Delmas Park, East Valley/680, Gateway East, Greater Gardner, Hoffman/Via Monte, KONA, Spartan/Keyes, Tully/Senter, Winchester

RECOMMENDATION

Adopt a resolution authorizing the City Manager to immediately begin the process of re-opening the Strong Neighborhoods Action and Pride (SNAP) special emphasis grant allocation process for Cycle 17, as approved at the May 6, 2003 City Council meeting. Staff expects to award SNAP grants of up to $198,842, and recommends that the remaining SNAP funds of at least $130,000 be held to mitigate possible additional funding reductions.

BACKGROUND

On November 20, 2001, the City Council approved the reallocation of $506,000 of Neighborhood Revitalization Strategy (NRS) funds to the Community Action and Pride (CAP) Grant Program for a one-time special emphasis grant targeting the Strong Neighborhoods Initiative (SNI) areas. The purpose of the special emphasis grant, or SNAP, is to provide funding to assist in the completion of visible, short-term community projects that are included in the SNI area’s implementation priority list. Fourteen Neighborhood Action Committees (NACs) and/or Coalitions are eligible to apply for funds.

ANALYSIS

To date, $173,809 of SNAP grants has been disbursed to eight NACs. Due to the uncertain budget situation, the City Council “froze” grant processes in the last half of the 2002-2003 fiscal year, including the most recent SNAP grant (Cycle 17). At that time, six groups had already submitted their applications while others, due to the unexpected early freeze, have been anxiously waiting for the SNAP Cycle 17 grant allocation process to re-open. If approved, the Department would re-open the SNAP Cycle 17 application process and give all groups a two-week window to submit or update their applications upon approval. Awards have already been reduced by 11% consistent with the approximate reductions made City-wide. With a maximum award of $198,842, a balance of approximately $130,000 will remain after deducting the City’s fund administrator fee. Staff recommends that this remaining amount of SNAP funds be held to help mitigate possible additional funding reductions in PRNS should they be necessary. If it is decided to use the remaining funds to offset possible reductions, staff would return to Council for approval to cut the $130,000 in the General Fund and not distribute it.

PUBLIC OUTREACH

The original grant allocation process was advertised to the NAC groups in all SNI areas. These groups are interested in funding projects that have been prioritized and included on their implementation lists.

COORDINATION

The proposal has been coordinated with the City Attorney's Office and the City Manager’s Budget Office.

COST IMPLICATIONS

A total of $198,842 will be distributed to support NACs’ small projects identified in SNI areas. In addition, funding of at least $130,000 will be retained as a potential PRNS one-time savings to the General Fund.

CEQA

Resolution Number 71042, PP03-08-258.

SARA L. HENSLEY

Director of Parks, Recreation and Neighborhood Services