(Posted December 22, 2018)


Notice of Funding Availability (NOFA)

For FY 2019-20 U.S. Department of Housing and Urban Development (HUD) Entitlement CDBG, HOME & ESG FUNDING; and

State of California Department of Housing and Community Development (HCD) FY 2019 ESG;


The City of Salinas (City) is preparing its FY 2019-20 Annual Action Plan (AAP) to the United States Department of Housing and Urban Development (HUD) for Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), and Emergency Solutions Grant (ESG) entitlement funding. The estimated entitlement CDBG, HOME and ESG grant amounts that the City may receive from HUD is uncertain, but in recent years averages $1.9 million in CDBG funds to address community development needs, $549,000 in HOME funds for affordable housing activities and $163,000 for ESG to address homeless services. The 2019-20 fiscal year program year runs July 1, 2019 through June 30, 2020.

Eligible activities for entitlement CDBG funding must meet one of the following national objectives: 1) principally benefit low- and moderate- income persons, 2) eliminate slums and blight, and 3) meet an urgent need. The types of projects and programs which may be considered for funding, subject to national objectives compliance, are summarized as follows: Acquisition and/or disposition of real property, construction and rehabilitation of publicly owned facilities, improvements to public and privately owned buildings, to make them accessible to people with disabilities, and infrastructure improvements to include sidewalks, street, drainage, and water and sewer systems. Also included are rehabilitation of public or privately owned housing for low- and moderate-income households, demolition and clearance to abate health hazards, public services that are new or expanding and are directed toward meeting a community service need (no more than 15% of the City’s CDBG funds can be utilized each year for public service programs) and interim assistance or temporary help to alleviate harmful or dangerous conditions. CDBG sub-recipients must be public or private non-profit organizations.

The entitlement HOME program provides funding for a wide range of activities including; but not limited to, construction, buying, and/or rehabilitation of affordable housing for rent or homeownership or providing direct rental assistance to low-income households.

The entitlement ESG program provides funds for a variety of activities to address homelessness as authorized under the federal HEARTH act of 2009. The federal ESG program provides grant funding for the following purposes: to (1) engage homeless individuals and families living on the street; (2) rapidly re-house homeless individuals and families; (3) help operate and provide essential services in emergency shelters for homeless individuals and families; and (4) prevent individuals and families from becoming homeless.

Please note that FY 2019-20 is the second year of the City’s two-year entitlement funding cycle for CDBG and ESG public services that began in FY 2018-19. The City will automatically extend annual awards to FY 2019-20 for CDBG and ESG public service activities made in the prior FY 2018-19 on the condition that recipients are exhibiting satisfactory performance. No new agencies will be funded in this application cycle for public service activities and entitlement ESG Funding. Should the City receive additional or less entitlement CDBG and ESG funding for FY 2019-20, the City may adjust funding amounts accordingly. Public service funding cannot exceed 15% of the CDBG annual allocation. In FY 2018-19, approximately $313,000 was available for CDBG public service funding.

Applications must address the goals of the City’s Consolidated Plan, the primary objective of which is developing a viable community by providing decent housing and a suitable living environment, principally for persons of lower income (i.e., households with incomes not exceeding 80% of the median income), as well as the City Council’s goals. Awarded entitlement applications for CDBG, HOME and ESG are expected to begin on July 1, 2019.

The City is also preparing its application for the FY 2019-20 State of California Department of Housing and Community Development (HCD) ESG allocation to be submitted in June 2019. The proposed FY 2019-20 HCD allocation to the CoC – CA 506, Salinas/Monterey, San Benito Counties, CA Continuum of Care (CoC) is uncertain at this time, but last year’s allocation was $298,831.

Non-entitlement HCD ESG activities must meet State program requirements. HCD administers the ESG program with funding received from HUD. Approved applications are anticipated to be awarded by December 2019. Award and funding date are subject to change based on HCD’s executed contract with the City.

A mandatory workshop will be held Thursday, January 10, 2019, from 9:30 a.m. to 11:00 a.m. at the City Hall Rotunda (200 Lincoln Avenue) to assist applicants with the NOFA and on-line application process. For accommodation for persons with disabilities and language interpreter request, please contact the Community Development Department – Housing Division by January 7, 2019.


The deadline for submitting complete applications in City Data Services (CDS) for FY 2019-20 funding is 4 p.m., Monday, February 11, 2019.

The NOFA application will be available online starting on January 7, 2019, (login and password SAL2019 for new applicants).

Reference copies of the NOFA may be reviewed at the Community Development Department office, Housing Division, 65 W. Alisal St., 2nd Floor, Salinas; the City Clerk’s office at 200 Lincoln Avenue; the John Steinbeck Library; and Cesar Chavez Library. Spanish translation of the document is available upon request. For information on the NOFA process, please contact Housing Division staff at (831) 758-7334 or Hablamos español. TDD users may contact the City through the California Relay Service at 711.