HUD Consolidated Plan Documents

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The City of Santa Cruz wants your input!

WHAT DO YOU THINK THE CITY SHOULD DO WITH ~$1M IN COMMUNITY DEVELOPMENT FUNDS?

The City of Santa Cruz is developing its 2025-2030 Consolidated Plan and Neighborhood Revitalization Strategy Area (NRSA). The Consolidated Plan guides the City’s use of funding received from the U.S. Department of Housing and Urban Development (HUD) for the Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) programs for the next five years. Santa Cruz is also planning to designate the Beach Flats neighborhood and part of downtown as a NRSA so that it has more flexibility in how it uses these funds.

The City’s Economic Development and Housing Department will be holding community meetings to gather input on community needs, identify resources, and develop goals and strategies to address these needs.

HOW CAN I PARTICIPATE?

Take the Community Survey:

English: Click HERESpanish: Click HERE

Were you not able to attend our in-person or virtual meetings?

You can view the slide presentation HERE.

You can view the virtual meeting HERE.

NEW PY 2025-2026 CDBG and HOME Applications for Funding

The application link below is active as of Friday, October 18, 2024. Completed applications must be submitted by 4 pm on Thursday, December 19, 2024. Applications submitted after this deadline or applications that are not complete may not be considered. Please note that staff will be unavailable for questions 10/21 - 11/1 and 11/25 - 11/29. If you have questions prior to the submittal deadline, send them via email to housing@santacruzca.gov and they will be addressed when staff is available.

The online CDBG application can be found here. The HOME application can be found here.

Budget & Supplemental Application:
Please use the form below for the project/program budget and answering supplemental questions about your organization's application. Once completed, please upload document in the online CDBG application. This document must be completed in addition to the online application above for funding consideration.
2025-2026 CDBG Supplemental Application and Budget

CBDO Application:
Submit a CBDO Application ONLY if applying to be certified or recertified.
If applicant is a Community Based Development Organization (CBDO) or wants to qualify as a CBDO, the CBDO Certification Application should be uploaded on the online application.
CBDO Certification Application

About CDBG & FAQs:

The City of Santa Cruz receives federal funds each year through the U.S. Department of Housing and Urban Development (HUD) Community Development Block Grant Program (CDBG) for funding activities and programs aimed at achieving the following:
• Provide decent housing;
• Establish and maintain a suitable living environment; and
• Expand economic development opportunities.
The City receives approximately $600,000 in CDBG funds each year from HUD. For the City of Santa Cruz CDBG funds typically provide a limited amount of ongoing funding for social service providers as well as help fund improvements to community facilities.

FREQUENTLY ASKED QUESTIONS:

1. When is the next funding cycle for CDBG?

The CDBG and HOME funding Cycles repeat annually, and typically open in October with applications due in mid-December.

2. Does a non-profit have to be a certified CBDO to apply for CDBG?

No, a non-profit is not required to be a CBDO to apply for CDBG funding, however, HUD sets a maximum limit on how much funding can be used by jurisdictions like Santa Cruz on Public Services, and CBDO's are exempt from this limit. In order to be exempt from this limit, the CBDO must provide services specifically in the City’s HUD approved Neighborhood Revitalization Strategy Area (NRSA). See NRSA linked below for an area description.

3. Is there an email list I can sign-up for to be informed about HUD funding opportunities?

Yes, please email housing@santacruzca.gov to request to be added to the HUD email list.

4. How much funding is available for Public Services?

HUD sets a Public Services limit of 15% of the total grant to be sued for programs benefitting eligible groups.

About HOME:

City of Santa Cruz receives federal funds each year through the U.S. Department of Housing and Urban Development (HUD) for the HOME Program.

The intent of HOME is to:
• Provide decent affordable housing to lower-income households;
• Expand the capacity of nonprofit housing providers;
• Strengthen the ability of state and local governments to provide housing; and
• Leverage private-sector participation.
The City receives about $400,000 in HOME entitlement funds each year.

CDBG and HOME Documents and Reports

In order to qualify for CDBG and HOME program funding, the City must comply with an array of statutory and regulatory requirements and generate a key series of documents and reports including the Five-Year Consolidated Plan, the Annual Action Plan ("AAP"), the Consolidated Annual Performance and Evaluation Report ("CAPER"), the Citizen Participation Plan, the Analysis of Impediments ("AI") to Fair Housing Choice, and the Beach/South of Laurel Neighborhood Revitalization Strategy Plan. The City Housing and Community Development Program Policies and Procedure Manual governs the use and administration of CDBG and HOME funds. Following are brief descriptions of the documents and links to the current versions.

Five-Year Consolidated Plan

The Five-Year Consolidated Plan identifies specific Housing and Community Development needs, priorities, goals, and strategies. The Plan must also stipulate how funding will be allocated to address these stated housing and community development needs.

2020-2025 Consolidated Plan and 2020-2021 Annual Action Plan

2015-2020 Consolidated Plan and 2015-2016 Annual Action Plan

2010-2015 Consolidated Plan and 2010-2011 Annual Action Plan

Annual Action Plan (AAP)

The purpose of the AAP is to review and update those assessments presented in the Consolidated Plan; to inventory resources that will be available during a given program year (fiscal year); and to identify the specific actions that will be taken in that program year to meet the city’s Housing and Community Development needs, and to implement the strategies set forth in the Consolidated Plan. The AAP is submitted to HUD annually, prior to May 15th each year.

Consolidated Plan and Annual Action Plan Process

The Consolidated Plan (5 year) and Annual Action Plan (1 year) are developed in compliance with the Citizen Participation Plan. In November each year, the City advertises for proposals for the following fiscal or plan year (July 1 to June 30 of the next year). Applications undergo public review and City Council approvals at a series of meetings and public hearings beginning in February and ending with a submittal of the Plan or Plans to HUD on May 15. The Action Plan also may be amended from time to time throughout the plan year. Substantial amendments will undergo a 30 day public review period before being approved by the City Council at a public hearing. By mid-September, accomplishments for the previous plan year are reported and are available for public review.

Consolidated Annual Performance and Evaluation Report ("CAPER")
At the close of each fiscal year (program year), the City is required to submit a CAPER to HUD 60 days after the beginning of the program year, generally September 30th. This report illustrates the actual accomplishments achieved during the program year. The CAPER allows HUD, local officials, and citizens to assess the use of available resources and the efforts made towards achieving the goals and objectives identified in the Consolidated Plan, AI, and the AAP.

Citizen Participation Plan

A plan that must be developed by all PJs to describe and document efforts that will be undertaken to provide for and encourage citizens to participate in the development and/or modification of the CAPER.

Citizen Participation Plan

Analysis of Impediments to Fair Housing Choice (AI)

HUD requires that jurisdictions receiving CDBG and HOME program funding take actions to affirmatively further fair housing choices. Jurisdictions must report on such activities by completing an AI every five years. In general, the AI is a review of the impediments to fair housing choice in both the public and private sectors.

2017-2022
2017 AI

Neighborhood Revitalization Strategy Area (NRSA)

A Neighborhood Revitalization Strategy Area (NRSA) is created under the federal Department of Housing and Urban Development’s (HUD) Community Development Block Grant (CDBG) Program to encourage coordination of resources and facilitate the City’s ability to engage in comprehensive community revitalization strategies. The Beach and South of Laurel neighborhoods are the first areas in the City of Santa Cruz to be included in an NRSA.

2023-2025 NRSA

Beach/South of Laurel Neighborhood Revitalization Strategy Area Plan

Expanded Lower Ocean/Beach/South of Laurel Neighborhood Revitalization Strategy Area Plan Draft - March 2012

City HOME-ARP Plan 2021

To review the submitted HOME-ARP plan, click here.

Section 3

The purpose of Section 3 of the Housing and Urban Development Act of 1968 (“Section 3") is to ensure that employment and other economic and business opportunities generated by the United States Department of Housing and Urban Development ("HUD") financial assistance shall, to the greatest extent feasible, and consistent with existing Federal, State and local laws and regulations, be directed to low- and very low income persons, particularly those who are recipients of government assistance for housing, and to business concerns which provide economic opportunities to low- and very low-income persons.

The City receives Community Development Block Grant ("CDBG") and Home Investment Partnerships Program ("HOME") funding from HUD on an annual basis. Section 3 requirements generally apply to housing rehabilitation, housing construction, and other public construction activities funded with CDBG and HOME.

The City is required, to the greatest extent feasible, to provide opportunities for Section 3 residents and Section 3 businesses to participate in Section 3 covered activities.

Section 3 residents are defined as (1) a public housing resident; or (2) an individual who resides in the area in which the section 3 covered assistance is expended, and who is: (a) A low-income person (income does not exceed 80% of the area median income) or (b) A very low-income person (income does not exceed 50% of the area median income). Current low and very low-income levels may be found at the Section 3 Income Chart.

Section 3 businesses are those (1) that are 51% or more owned by Section 3 residents; or (2) whose permanent, full-time employees include persons, at least 30% of whom are currently Section 3 residents, or within three years of the date of first employment with the business concern were Section 3 residents; or (3) that provide evidence of a commitment to subcontract in excess of 25% of the dollar award of all subcontracts to be awarded to other Section 3 businesses.

Residents of Santa Cruz County wishing to be included in the City's registry of Section 3 residents and receive notices of covered Section 3 employment and training opportunities should download and complete the Section 3 Resident Certification Form. Return the form to the Housing Division, Economic Development, 337 Locust St., Santa Cruz, CA 95060 or by email to housing@santacruzca.gov.

Local Section 3 businesses wishing to be included in the City's registry of Section 3 businesses and receive notices of covered Section 3 construction bidding opportunities should download and complete the Section 3 Business Certification Form. Return the form to the Housing Division, Economic Development, 337 Locust St., Santa Cruz, CA 95060 or by email to housing@santacruzca.gov.

The City of Santa Cruz Section 3 Plan provides more information and direction regarding the City's Section 3 responsibilities.

City HCD Program Policies and Procedures Manual

Use of HOME and CDBG funds is governed by the policies and procedures set forth in the City HCD Policies and Procedures Manual.

For more information contact:

Housing and Community Development Division
Economic Development Department
337 Locust Street
City of Santa Cruz, CA 95060
Telephone: 831-420-5150
Housing Division