Agenda Item   



                                                                                                                        ASR Control  20-000916




legal entity taking action:

Board of Supervisors

board of supervisors district(s):

All Districts

SUBMITTING Agency/Department:

OC Community Resources   (Approved)

Department contact person(s):

Dylan Wright (714) 480-2788 



Julia Bidwell (714) 480-2991



Subject:  FY 2021-22 Funding Allocation Policy and Process


      ceo CONCUR

County Counsel Review

Clerk of the Board


No Legal Objection

Public Hearing



3 Votes Board Majority




    Budgeted: N/A

Current Year Cost: N/A

Annual Cost: N/A




    Staffing Impact:


# of Positions:

Sole Source: N/A

    Current Fiscal Year Revenue: N/A

  Funding Source: N/A

County Audit in last 3 years: No



    Prior Board Action: 07/14/2020 #34, 11/19/2019 #29






Conduct a public hearing and consider public comment.



Adopt the FY 2021-22 Funding Allocation Policy and Process for Housing and Community Development Activities.







Adoption of the FY 2021-22 Funding Allocation Policy and Process will support compliance with federal requirements for conducting a public hearing and notifying the public of the process to be used for distributing federal housing and community development funds.






The Funding Allocation Policy and Process (FAPP) is a planning document required by the County of Orange and outlines the methods used by the Urban County Program to distribute federal and local funds to applicants that request funding allocations for housing and community development activities that benefit low- and moderate-income communities and individuals.  These funds are included under the following programs based on availability: Community Development Block Grant (CDBG) Program, Home Investment Partnership Program, Emergency Solutions Grant Program, Orange County Housing Authority Operating Reserves and Strategic Priority Affordable Housing funds. 


The Urban County Program is comprised of 12 cities with populations under 50,000 (participating cities), three cities with populations over 50,000 (metropolitan cities) and unincorporated areas of Orange County.  The 12 participating cities include Brea, Cypress, Dana Point, Laguna Beach, Laguna Hills, Laguna Woods, La Palma, Los Alamitos, San Juan Capistrano, Seal Beach, Stanton and Villa Park. These cities are not eligible to receive Community Planning and Development program funds directly from the U.S. Department of Housing and Urban Development (HUD) and have opted to participate in the Urban County Program. The cities of Fullerton, Placentia and Yorba Linda, with populations of over 50,000, are eligible to participate directly with HUD as entitlement jurisdictions, but have elected to join the Urban County Program as metropolitan cities. 


The primary purpose of the FAPP is to set forth the policies the Urban County Program will utilize to distribute federal and local funds for eligible housing and community development activities.  The policies include the use of High and Low Priority designations that have been set forth in the FY 2020-24 Consolidated Plan with overall priority given to projects that meet "High" priority needs. 


The FY 2021-22 FAPP is the beginning of the annual funding cycle and includes recommendations for the second year of the three-year funding cycle for Housing Rehabilitation and one-year funding cycle for Public Facilities and Improvements activities.  The foregoing activities will be recommended for an award following the release of a Request for Proposal (RFP) in approximately December 2020 and evaluation of RFP responses.   


Consistent with the FAPP policies, the following public service and administrative activities are recommended exempt from the competitive funding process: County obligations for administration; community centers; the County’s Emergency Shelter Program; other low-threshold emergency shelters located in participating cities; and fair housing activities.


There are no major policy changes to the FY 2021-22 FAPP from the prior year FAPP other than recommendation to complete a new RFP cycle for Public Facilities and Improvements.  Additionally, the CDBG City Managers' Subcommittee, a subcommittee of the Orange County City Managers Association, was consulted on the FY 2021-22 FAPP and concurred with staff recommendations. 


On July 14, 2020, the Board of Supervisors (Board) approved the FY 2020-24 Citizen Participation Plan governing the process for notifying the public regarding the allocation of federal housing and community development funds and any amendments made to the allocation of those funds.  The previous year's FAPP was approved by the Board on November 19, 2019.  In compliance with federal regulations, the Citizen Participation Process began with the release of the public notice informing the public that the draft FY 2021-22 FAPP was available for public review and comment for a 30-day period beginning on October 2, 2020, and ending on November 2, 2020.  A digital version is available on the web at


Printed copies of the FAPP were also made available by contacting OC Housing and Community Development staff.  The public notice was advertised in the following local newspapers: 1) The Orange County Register (English); 2) La Opinion (Spanish); and 3) Nguoi Viet (Vietnamese).  No public comments were received.


Approval of the recommended actions will support the County’s efforts on building a responsive System of Care in Orange County that reflects community input and investments from diverse stake holders while supporting the availability of shelter beds and increasing access to community resources and housing programs. The recommended actions in this Agenda Staff Report contributes to the overall System of Care in addressing the needs of those experiencing homelessness in Orange County.



Compliance with NEPA:  As defined under the National Environmental Policy Act per 24 CFR 58.34 (a)(3), the proposed activity is exempt.


Compliance with CEQA:  This action is not a project within the meaning of CEQA Guidelines Section 15378 and is therefore not subject to CEQA, since it does not have the potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.  The approval of this agenda item does not commit the County to a definite course of action in regard to a project since the actions approve a plan for the allocation of funding for a future project to be considered.  This proposed activity is therefore not subject to CEQA.  Any future action connected to this approval that constitutes a project will be reviewed in compliance with CEQA.






The Funding Allocation Policy and Process outlines the methods for the distribution of federal and local funding only.  There is no financial impact resulting from the Recommended Actions.









Attachment A - FY 2021-22 Funding Allocation Policy and Process
Attachment B - FY 2020-24 Consolidated Plan
Attachment C - FY 2020-24 Citizen Participation Plan
Attachment D - Public Notice