HomeMy Public PortalAbout2020.035 - (03-17-20) DocuSign Envelope ID:64EFB705-F3CB-441A-B5FC-01DDBA87DAA6
RESOLUTION NO. 2020.035
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD
AUTHORIZING THE TRANSFER OF $280,000 FROM THE
UNAPPROPRIATED GENERAL FUND TO THE HUD/CDBG FUND TO
COVER MONIES DUE BACK TO THE U.S. DEPARTMENT OF HOUSING
AND URBAN DEVELOPMENT (HUD) FOR INELIGIBLE ACTIVITY
EXPENSES
WHEREAS, in 2015, the City Council approved a substantial change
to the HUD Final Consolidated Annual Action Plan and Community
Development Block Grant (CDBG) funding allocations for FY 2014 and
added a street improvement project in the amount of$280,000; and
WHEREAS, this project (IDIS Activity No. 913) included four (4) residential streets
located at Wisconsin, Sequoia Drive, Michigan and Cornish Avenue; and
WHEREAS, Staff learned that the funds for this street improvement project were
inadvertently drawn down by a consultant assisting the Community Development
Department without providing the proper environmental documentation; and
WHEREAS, in the FY 2016 Single Audit, the City received a finding due to
noncompliance of environmental review and documents related to the project. The project
file was reviewed and it was found that the consultant did not complete the National
Environmental Policy Act requirements prior to the start of the project. An alternate
funding source was determined for the project and the HUD funds were to be returned;
and
WHEREAS, early this year, staff was informed by HUD that the funds for the
project activity were deemed ineligible, therefore, the City needs to remit the funds back
to the CDBG grant of origin, via HUD; and
WHEREAS, the project funds were drawdown and received in FY 2016-17.
However, to not impact this year's CDBG revenue, staff is recommending that the City
Council authorize the transfer of $280,000 from the General Fund to the HUD/CDBG
Fund to cover monies due back to HUD.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES
HEREBY FIND, ORDER, AND RESOLVE AS FOLLOWS:
Section 1. The City Council authorizes the transfer of $280,000 from the
unappropriated General Fund to the HUD/CDBG Fund to cover monies due back to the
U.S. Department of Housing and Urban Development (HUD) for ineligible activity
expenses.
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DocuSign Envelope ID:64EFB705-F3CB-441A-B5FC-01DDBA87DAA6
Section 2. That the City Council approves the following transfer/appropriation:
Fund Dept. Object Description Amount
1011 Budgetary Fund Balance ($280,000)
2941 I Budgetary Fund Balance $280,000
2941 51 32160 Local cash grants & reimbursements $280,000
Section 3. This resolution shall become effective immediately upon its adoption.
PASSED, APPROVED, AND ADOPTED at a regular meeting of the City Council
of the City of Lynwood, California, this 17th day of March, 2020.
Aide Castro, Mayor
ATTEST:
Maria Quinonez, Jose E.9ieteotl,
City Clerk dir City Maffager
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
p—DocuSigned by: E—DocuSigned by:
Noy(, `aria 366, NAM,
I eiLaswatoi a4AL.... ."---8013465.31307614130...Noel Tapia, John Downs,
City Attorney Finance Director
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STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the
above and foregoing resolution was duly adopted by the City Council of said City at its
regular meeting thereof held in the City Hall of the City on the 17th day of March, 2020
and passed by the following vote:
AYES: COUNCIL MEMBERS ALATORRE, SANTANA, SOLACHE, MAYOR PRO
TEM CASANOVA, AND MAYOR CASTRO
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Maria Quinonez,
City Clerk
STATE OF CALIFORNIA )
) §
COUNTY OF LOS ANGELES )
I, the undersigned City Clerk of the City of Lynwood, and Clerk of the City Council
of said City, do hereby certify that the above and foregoing is a full, true and correct copy
of Resolution No. 2020.035 on file in my office and that said resolution was adopted on
the date and by the vote therein stated. Dated this 17th day of March, 2020.
Maria Quinonez,
City Clerk
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