CITY COUNCIL REGULAR MEETING AGENDA PACKET 5-19-26

CITY OF PLEASANTON Annual Action Plan 2026 18 OMB Control No: 2506-0117 (exp. 09/30/2021) AP‐35 Projects ‐ 91.420, 91.220(d) Introduction This section of the Action Plan includes the programs and activities which the City of Pleasanton will carry out to implement its Housing and Community Development Strategic Plan during FY2026/2027. This section describes individual activities to be funded with FY2026/2027 Community Development Block Grant (CDBG) funding. The City’s use of HOME funding is addressed separately under the County’s section of the Consolidated Plan. There are four (4) types of projects eligible for CDBG funds: capital improvement projects, economic development, housing, and public services. To be eligible for CDBG funding, projects must meet at least one (1) of HUD's national objectives: 1) to benefit low/moderate-income people; 2) to prevent or eliminate slums and blight; and 3) to meet an urgent community development need. CDBG-funded projects must also pass the low- and moderate-income benefit test. A project meets this standard if at least 51% of the beneficiaries have low-moderate incomes (i.e., incomes at or below 80% of Area Median Income) or if the project benefits an area (e.g., census tracts, service area, neighborhood, etc.) with a majority of low-moderate income people. Funded projects are required to document the income levels of persons and households receiving these services. For FY 2026-2027, the City is proposing to allocate its CDBG funds to the following eligible funding categories: Public Services, Public Facilities, and General Administration. # Project Name 1 Spectrum Community Services – Meals on Wheels 2 Tri-Valley Haven Emergency Shelter Rebuild 3 City of Pleasanton Axis Section 108 Loan Repayment 4 City of Pleasanton Administration Table 3 – Project Information Describe the reasons for allocation priorities and any obstacles to addressing underserved needs Allocation priorities are based on the Consolidated Plan. There are a number of barriers to providing affordable housing in Pleasanton, based on real estate market and non-market factors. Affordable housing projects are difficult to build due to the high cost of building materials. The cost and limited availability of land in Pleasanton contribute to high development costs. Affordable housing developments generally require multiple funding sources from public and private sources. HUD's cap of 15% of the allocation for public services is an obstacle for providing supportive services to homeless population, especially in smaller cities like Pleasanton which does not receive a significant allocation of CDBG funds. Page 232 of 908