COMMUNITY DEVELOPMENT DIVISION FUNDING HANDBOOK

FOR NON-PROFITS, HOUSING DEVELOPERS, AND FOR-PROFIT

ORGANIZATIONS - FISCAL YEAR 2027-28

Application Deadline: December 04, 2026, 4:00 P.M.

City of Bakersfield Funding Handbook October 2026 I-2 Funding Year 2027-28

TABLE OF CONTENTS

I. Introduction ............................................................................................................................ I-3

II. Community Development Block Grant ............................................................................. II-1

III. HOME Investment Partnerships Program ......................................................................... III-1

IV. Emergency Solutions Grants Program ........................................................................... IV-1

V. Appendices

Appendix A Organizational Capacity and Experience Appendix B Rental or Ownership Housing Project Appendix C Sample Construction Bid Analysis Form Appendix D HOME Rent Limits and Maximum Per Unit Subsidy Appendix E Current Low and Moderate Income Guidelines Appendix F Low and Moderate Income Qualification Form Appendix G Income Self Certification Appendix H Sample Resolutions Appendix I Indemnification and Insurance Requirements Appendix J Project Implementation Checklist for Funded Projects Appendix K Acquisition Checklist for HUD Funded Projects Appendix L Cost Reimbursement Audit and Financial Reporting Standards Appendix M Rents and Tenant Eligibility Appendix N Sample Sources and Uses Statement Appendix O Performance Measurement Appendix P Certification Statement Appendix R CDBG Public Services Questionnaire Appendix S Map of Low and Moderate Income Areas Appendix T Activity Beneficiary Report Appendix U ESG Program Performance Standards

October 2026 I-3 Funding Year 2027-28

INTRODUCTION

The City of Bakersfield as an entitlement community is responsible for the annual administration of three federally funded programs:

o Community Development Block Grant (CDBG), o HOME Investment Partnerships Program (HOME), and o Emergency Solutions Grants Program (ESG).

The City is preparing to create its annual Action Plan (FY 2027-28) in the third year of the Consolidated Plan 2025-30 (ConPlan). The ConPlan describes eligible programs, projects, and activities to be undertaken with the funds anticipated each year through entitlement grants from the U.S. Department of Housing and Urban Development (HUD).

Each year of the five-year plan, applications are sought from non-profits, housing developers, and for-profit entities interested in using the City’s federal funds to carry out projects addressing the needs reflected in the ConPlan. The City’s Fiscal Year (FY) starts July 1st and ends June 30th.

The following pages provide an overview, application process, and the standard application forms for the three funding programs.

2025-30 Consolidated Plan Goals All project applications must be consistent with the goals outlined in the 2025-30 Consolidated Plan for HUD funds.

2025-30 Consolidated Plan Goals

1. Invest in and preserve the supply of affordable housing for low- and moderate-income households, including homeownership opportunities.

2. Prevent and reduce homelessness, including increased support related to mental and behavioral health.

3. Foster and improve the quality of life by increasing access to economic development opportunities.

4. Improve community infrastructure and facilities to promote safe and vibrant communities.

5. Increase vital services for community residents, including but not limited to those with special needs, such as children and youth, seniors, persons with disabilities, and persons living with HIV/AIDS.

Additional Resources The City of Bakersfield may have additional resources available for affordable housing projects. Visit www.bakersfieldcity.us for current Requests for Proposals and other funding opportunities, including the eligibility requirements for each opportunity.

October 2026 I-4 Funding Year 2027-28

TENTATIVE TIMELINE

Below is a tentative timeline for the CDBG, HOME, and ESG funds application process.

Once submitted, applications are reviewed by City staff to determine eligibility, and scored based on a number of factors, including HUD and program goals and objectives, ConPlan goals and objectives, and budgetary constraints. Then, the selected projects will be included in the Action Plan that must be approved by the City Council and HUD (following a public review period).

The City will not receive funding to distribute to selected applicants until at least September 2027 and potentially later. When the City receives funding, selected applicants must enter into agreements with the City of Bakersfield, and a City Project Manager will conduct an appropriate environmental review. Once the agreement, environmental review, and any other applicable pre-award requirements are met, the Project Manager will issue the selected organization a written Notice to Proceed. DO NOT commence spending for a project until your organization/agency receives a written Notice to Proceed. Any spending prior to a written Notice to Proceed will be considered ineligible for funding.

DATE EVENT

12/04/2026

4:00 p.m. DEADLINE to Receive Applications for Funding

February/2027 Proposed Activities (projects) for FY 2027-28 Action Plan submitted to the City of Bakersfield Budget and Finance Committee, and Authorization to Publish 30-Day Public Notice is requested

March/2027 FY 2027-28 Action Plan Public Notice Published and copies distributed to Libraries and posted to City of Bakersfield Website

April/2027 End of 30 Day Action Plan Public Review Period

April/2027 City Council to Consider Approval of FY 2027-28 Action Plan

May/2027 Deadline to Submit FY 2027-28 Action Plan to HUD

*Note: Dates tentative, 2027 meeting dates are not scheduled until December 2026.

October 2026 I-5 Funding Year 2027-28

REQUIREMENTS FOR ALL FUNDING APPLICATIONS

A. The completed application shall be on 8 1/2" x 11" white paper and organized in the order prescribed in the application section for each funding source described in this handbook. The original application shall be bound (a 3-ring binder is sufficient), tabbed, sequentially numbered, and contain a table of contents.

B. The applicant must submit to the City one original and one digital copy of the application with a letter signed by a representative authorized by the applicant. The applicant must also attach to the letter the “certification statement” found in Appendix P. The letter should contain the name, title, and telephone number of a contact person knowledgeable of the proposal. The application package may be mailed or delivered to the address below (facsimiles will not be accepted). All applications must be received and time stamped by the City no later than 4:00 P.M.

on December 04, 2026. Mail or deliver your application to:

City of Bakersfield Community Development Division Adriana Soriano, Community Development Coordinator

1600 Truxtun Avenue, Floor 3 Bakersfield, CA 93301

C. If the organization has a governing body (i.e., Board of Directors), the submitted application(s) must include a resolution from the agency’s governing body, authorizing application for City assistance. Sample resolutions can be found in Appendix H.

D. Additional questions regarding the application process, regulations or other programmatic issues, should be directed to Adriana Soriano, Community Development Supervisor at the above address or by calling (661) 852-7534; fax (661) 852-7014; CA Relay 711, or email at asoriano@bakersfield.gov.

E. Community Development Division staff will review submitted applications to determine whether the application is complete. At a later date, a letter will be sent to the applicant verifying that the application is complete or identifying any additional information needed to complete the staff analysis and assessment.

F. Completing this application does not guarantee funding for any project. The applicant(s) should be aware that demand for funding is far greater than available funds. Funding for the proposed project is not awarded until an agreement is approved and executed by the Bakersfield City Council, the City has received funding from HUD, and the City has issued a written Notice to Proceed to the applicant. The City will not reimburse any part of the cost to apply, nor any expense incurred, prior to entering into an agreement with the City of Bakersfield and the issuance of a written Notice to Proceed.

G. If your proposed project is awarded funding, federal and City procurement requirements may apply. Federal labor standards may also apply to covered construction work. For CDBG-assisted construction, Davis-Bacon generally applies to covered construction contracts over $2,000, subject to program-specific exceptions, October 2026 I-6 Funding Year 2027-28 including the residential-property unit threshold. Section 3 under 24 CFR Part 75 generally applies to covered housing rehabilitation, housing construction, and other public construction projects when total covered HUD housing and community development financial assistance to the project exceeds $300,000 under HUD's threshold update effective March 16, 2026 (91 FR 6752). Current HUD Section 3 compliance is based on labor-hour reporting and applicable HUD benchmarks, not the former contractor/employee goal system. Build America, Buy America (BABA) requirements may also apply to public infrastructure projects funded with covered CPD program funds, subject to CPD Notice 25-01 and any applicable waiver. State of California prevailing wage requirements may also apply. Applicants must not solicit bids or execute construction contracts until the City confirms the applicable labor, procurement, environmental review, Section 3, BABA, and other federal requirements.

BABA applicability is determined for the entire public infrastructure project and its covered materials, not only the costs paid with HUD funds. The City will document the funding source, HUD obligation date, project scope, and applicable waiver.

HUD's current Small Grants Waiver covers projects with total costs from all funding sources of $350,000 or less. Verify waiver conditions and expiration dates before use;

the current Small Grants/De Minimis waiver is scheduled to expire November 23, 2027.

Service-only activities do not trigger BABA. See CPD Notice 25-01 and current HUD BABA guidance.

H. Recipients must comply with applicable federal accounting and cost requirements and provide the insurance documentation required by the City before the agreement or project proceeds, as directed by the City. Final insurance certificates and endorsements are implementation documents unless specifically requested with the application.

Appendices J and K are implementation references, not completed checklists required with every application. Submit the items specified in the applicable CDBG, HOME, or ESG application section. For proposed acquisition or construction projects, disclose site control, occupancy, potential displacement, and work already undertaken. Contact the City before acquisition negotiations, commitments, or occupant notices; some environmental and relocation requirements apply before an award or closing.

I. The City will monitor funded activities during implementation and, where applicable, throughout the required affordability or restrictive-use period. Recipients must maintain records and provide access for City and HUD review. Retain records for the applicable program and agreement periods under 24 CFR 570.502 and 570.506 (CDBG), 24 CFR 92.508 (HOME), 24 CFR 576.500 (ESG), and applicable 2 CFR Part 200 requirements. Longer periods may apply to property, affordability restrictions, outstanding obligations, or unresolved audits, claims, or litigation; project closeout does not authorize destruction of records.

J. Funded recipients must collect and report the beneficiary income, race, ethnicity, disability, and other data required for the applicable activity and funding program.

Appendix T provides a sample beneficiary report; Appendix O describes performance reporting. For activities not serving a designated geographic area, October 2026 I-7 Funding Year 2027-28 submit an Affirmative Marketing Plan with the application to explain how the project or service will be made available to all eligible persons.

K. All HUD-funded activities require compliance with and are subject to accessibility review under Section 504 of the Rehabilitation Act (24 CFR Part 8) and the Americans with Disabilities Act. Specifically, the City of Bakersfield will utilize ADAAG 2010 to assess compliance.

RESTRICTIONS

A. Religious Activities – Organizations that are religious or faith-based are eligible for CDBG, HOME, ESG funding on the same basis as any other organization. However religious and faith-based organizations may not directly fund inherently religious activities (e.g., worship, etc.) with federal funds. Organizations will retain their independence from government organizations. Participating organizations may not discriminate against program beneficiaries on the basis of religious beliefs, and funds may not be used to purchase, rehabilitate or construct structures to be used primarily for inherently religious activities.

B. Political Activities - HUD funds may not be used to finance the use of facilities or equipment for political purposes or to engage in other partisan political activities, such as candidate forums, voter transportation, or voter registration. However, a facility originally assisted with HUD funds may be used on an incidental basis to hold political meetings, candidate forums, or voter registration campaigns, provided that all parties and organizations have access to the facility on an equal basis, and are assessed equal rent use charges, if any.

NOTICE OF NONDISCRIMINATION

The City of Bakersfield hereby advises the public, job applicants, and employees that it does not discriminate on the basis of race, color, national origin, religion, sex, gender, or disability with regard to access to, treatment or employment in, its federally assisted programs.

This notice is posted in accordance with Section 504 of the Rehabilitation Act of 1973, Section 109 of the Housing and Community Development Act of 1974 and Title VI of the Civil Rights Act of 1964.

The City of Bakersfield has designated the following individual as the contact to coordinate efforts to comply specifically with Section 504 – Non-Discrimination Based Disability in Federally-Assisted Programs and Activities, and a requirement of 24 CFR Part

Nathan Gutierrez, ADA/504 Coordinator City of Bakersfield - City Manager’s Office, 1600 Truxtun Ave, Bakersfield, CA 93301

Phone: (661) 326-3753; Fax: (661) 324-1850; CA Relay 711 E-mail: ADACoordinator@bakersfieldcity.us

October 2026 I-8 Funding Year 2027-28

City recipients or sub-recipients of HUD funding shall comply with this notice.

October 2026 III-1 Funding Year 2027-28

COMMUNITY DEVELOPMENT BLOCK GRANT

PROGRAM (CDBG)

The Community Development Block Grant (CDBG) Program is directed by the U.S.

Department of Housing and Urban Development (HUD) and provides monies for cities and counties to perform certain community development and housing activities. Cities with populations over 50,000 and that meet certain other conditions, such as the City of Bakersfield, may apply for "entitlement" funds. The amount of money granted to a city is determined by a HUD formula and on an annual basis. Cities that are granted funds are known as entitlement cities. (Note: The following summary of the CDBG Program merely highlights major program requirements and considerations).

Each activity considered for funding must satisfy HUD objectives and eligibility criteria for the CDBG Program (described below).

Not less than 70% of CDBG funds expended during the one-, two-, or three-year period selected by the City must be for activities that benefit low- and moderate-income persons. Other applicable federal requirements, including civil rights, environmental review, and labor standards requirements, also apply to CDBG-assisted activities.

Please note that completing this application does not guarantee funding for any project.

Applicant should be aware that demand for funding is far greater than available funds.

City will not reimburse to the applicant any part of the cost to apply.

If selected for funding, the applicant will be subject to City monitoring for compliance with CDBG requirements for the period applicable to the funded activity, the subrecipient agreement, and any continuing federal requirements. The scope and duration of monitoring will depend on the type of activity and requirements that continue after project completion.

The CDBG regulations can be found at 24 C.F.R. Part 570.

NATIONAL OBJECTIVES

Each activity must meet one of the three broad national objectives:

A. Benefit low- and moderate-income persons. An activity may qualify under one of the applicable low- and moderate-income benefit criteria described below. The specific test differs for area benefit, limited clientele, housing, and job creation or retention activities.

1. Area Benefit – the activity benefits all residents of a primarily residential service area in which at least 51% of the residents are low- and moderate-income persons, using HUD-provided data or another HUD-acceptable method. The service area must be defined based on the nature and location of the activity; eligibility is not determined solely by the Census

October 2026 III-2 Funding Year 2027-28 block group in which the project is physically located.

2. Limited Clientele – the activity provides benefits to a specific group of persons, comprised (or presumed to be comprised) of at least 51% low- and moderate-income persons. This includes:

i. Presumed Groups (as recognized by HUD), which include abused children, elderly persons, battered spouses, homeless persons, severely disabled persons (as defined by the U.S. Census), illiterate adults, persons living with AIDS, or migrant farm workers

ii. Requires information from persons receiving benefit so that the 51% low- and moderate-income threshold can be determined

iii. Be of such a location and nature that it may reasonably be concluded that the clientele are low- and moderate-income persons

3. Housing – the majority (at least 51%) of units are designated for low- and moderate-income households, or for non-elderly multi-family rental structures at least 20% of units are designated for low- and moderate-income households (only proportionate share of cost is eligible in this scenario)

4. Jobs – an activity designed to create or retain permanent jobs may qualify when at least 51% of the jobs, calculated on a full-time-equivalent basis, are held by or made available to low- and moderate-income persons. Job-retention activities must also document that the jobs would be lost without the CDBG assistance and satisfy the applicable requirements of 24 CFR 570.208(a)(4).

i. For job-creation activities, document that at least 51% of the jobs will be held by or made available to low- and moderate-income persons.

ii. For jobs treated as available to low- and moderate-income persons, the project must satisfy HUD requirements concerning job qualifications, training where applicable, and first consideration for low- and moderate-income persons.

iii. For job-retention activities, document that the jobs would actually be lost without CDBG assistance and that at least 51% of the retained jobs meet the applicable low- and moderate-income requirements. Any additional City cost-per-job standard will be stated in the funding agreement or applicable City program requirements.

B. Aid in the prevention or elimination of slum or blight. Activities considered to aid in the prevention or elimination of slum or blight are activities located within a designated area which: 1) meets a definition of a slum, blighted, deteriorated, or deteriorating area under State or local law; and 2) where there is a substantial number of deteriorating or dilapidated buildings or needed improvements throughout the area.

October 2026 III-3 Funding Year 2027-28

C. Meet urgent community development needs. The proposed project must meet needs that have a particular urgency where existing conditions pose a serious and immediate threat to the health or welfare of the community where other financial resources are not available to meet such needs.

ELIGIBLE ACTIVITIES

Only certain kinds of activities are eligible for funding. These are briefly listed below.

However, in most instances the regulations contain "qualifiers" which make the activity eligible or ineligible depending on specific circumstances:

A. Purchasing Property (Acquisition) in whole or in part by a public agency or private non-profit entity for any public purpose except buildings used predominantly for the general conduct of government. Selling, Leasing, or Granting (Disposition of) property with CDBG funds.

B. Public facilities and improvements, including the purchase, construction, reconstruction, rehabilitation, or installation of buildings/properties, except buildings or portions thereof, used predominantly for the general conduct of government.

C. Clearance, demolition, and removal of buildings and improvements including movement of structures to other sites.

D. Public services, which are directed toward improving the community's public services and facilities: including, but not limited to, those concerned with employment, crime prevention, childcare, health, drug abuse, education, energy conservation, welfare, or recreational needs. A public service must be either:

1. A new service, or

2. A quantifiable increase in the level of service above which had been provided by or on behalf of the unit of general local government in the twelve calendar months prior to submission of the Action Plan to HUD.

For entitlement grants, CDBG funds obligated for public service activities in a program year generally may not exceed 15% of that program year's entitlement grant plus 15% of program income received during the immediately preceding program year, unless an applicable exception or waiver applies. A public service must also satisfy the new-service or quantifiable-increase requirement in 24 CFR 570.201(e), subject to any applicable HUD exception.

E. Interim assistance to eliminate harmful conditions where immediate public action is necessary.

F. Payment of the non-federal share of certain matching grant programs.

G. Completion of federally-funded urban renewal projects.

H. Relocation payments and assistance to persons displaced by CDBG activities, including temporary relocation assistance during rehabilitation work.

I. Payment of loss of rental income to landlords holding properties for the relocation of individuals and families displaced by program activities.

October 2026 III-4 Funding Year 2027-28

J. Removal of architectural barriers.

K. Acquisition, construction, rehabilitation or installation of privately-owned utilities, including under-grounding.

L. Rehabilitation and preservation activities. These activities include:

1. Rehabilitation assistance to rehabilitate: a) privately owned buildings and improvements; b) low- and moderate-income public housing and other publicly owned residential buildings and improvements; and c) publicly owned nonresidential buildings and improvements otherwise eligible for assistance.

Please note that “rehabilitation” eligible under the CDBG program includes significant remediation of existing site improvements, and does not typically include maintenance activities (think reconstruction of portions of the property).

2. Financing the following types of rehabilitation activities and related costs: a) assistance to private individuals and entities to acquire, for the purpose of rehabilitation, and to rehabilitate properties for use or resale for residential purposes; b) labor materials, and other costs of rehabilitation of properties; c) loans for financing existing indebtedness secured by a property rehabilitated with CDBG funds; d) improvements to increase the efficient use of energy in structures; e) improvements to increase the efficient use of water; f) costs associated with the connection of residential structures to water distribution lines or local sewer collection lines; g) costs of tools lent to owners, tenants, and others who will use such tools to carry out rehabilitation; and h) rehabilitation services such as rehabilitation counseling, energy auditing, loan processing, and other services related to assisting owners, tenants, contractors, and other entities.

3. Code enforcement in deteriorating or deteriorated areas where such enforcement together with public improvements, rehabilitation, and services to be provided, may be expected to arrest the decline of the area.

4. Historic preservation, rehabilitation and restoration of historic properties, whether publicly or privately owned. Historic properties are those sites or structures that are either listed in or eligible to be listed in the National Register of Historic Places, or designated as a State or local landmark or historic district by appropriate law or ordinance.

5. Renovation of closed school buildings for use as an eligible public facility, for a commercial or industrial facility, or for housing.

M. Special economic development activities necessary to carry out an economic development project. Special economic development activities include:

1. The acquisition, construction, reconstruction, or installation of commercial or industrial buildings, structures, and other real property equipment and improvements.

2. The provision of assistance to private for-profit businesses, including, but not limited to, grants, loans, loan guarantees, interest supplements, technical assistance, and other forms of support for any other activity necessary or appropriate to carry out an economic development project.

N. Community-Based Development Organizations (CBDOs) that meet the requirements of 24 CFR 570.204 may carry out certain neighborhood revitalization, community

October 2026 III-5 Funding Year 2027-28 economic development, and energy conservation activities, including certain activities that would otherwise be ineligible under the CDBG program.

INELIGIBLE ACTIVITIES

The general rule is that any activities not listed in the "eligible activities" section are ineligible. The following identifies examples of specific activities that are ineligible and provides guidance in determining other activities frequently associated with housing and community development.

A. Acquisition, rehabilitation, or new construction of buildings, or portions thereof, used predominantly for general conduct or government.

B. General government expenses.

C. Political activities.

D. Purchase of construction and/or fire protection equipment, furnishings, and personal property except as necessary in the administration of activities assisted with CDBG funds.

E. Expenses associated with repairing, operating or maintaining public facilities or services.

F. New housing construction, except where specifically permitted under applicable CDBG regulations.

G. Income payments for housing or any other payments.

H. Stadiums.

I. Debt refinancing, except where refinancing is specifically eligible and necessary or appropriate as part of an eligible CDBG activity.

J. Basic property maintenance.

PROPERTY OR SITE OWNERSHIP

For property improvement projects, the applicant must demonstrate adequate site control acceptable to the City. Depending on the activity and useful life of the improvements, acceptable site control may include ownership or another legally enforceable interest, such as a long-term lease, sufficient to carry out the project and comply with applicable CDBG requirements.

REQUEST MINIMUM

Due to the administrative requirements of HUD-funded projects and limited number of department staff, the minimum request for CDBG assistance is $25,000.

October 2026 III-6 Funding Year 2027-28

MONITORING

Any applicant approved for CDBG funding will be subject to monitoring during project implementation and for any period in which CDBG requirements continue to apply.

Monitoring frequency and duration will be based on the funded activity, the subrecipient agreement, applicable continuing-use or other federal requirements, project risk, and prior performance.

PUBLIC FACILITIES ASSISTANCE (PFA)

As part of the CDBG program, the Public Facilities Assistance (PFA) program may provide grant funds to eligible non-profit and public entities for development and expansion of their community/neighborhood facilities (referred to as Public Facilities). PFA grant funds may be used for purchase, design, construction, rehabilitation, or installation of public improvements or facilities. However, PFA funds may not be used for operation or maintenance; purchasing construction equipment; or for purchasing furnishings and other personal property.

Please note that reasonable fees may be charged for use of the facilities assisted with CDBG funds, but charges, such as excessive membership fees, which will have the effect of precluding low- and moderate-income persons from using the facilities, are not permitted. Also, please note that non-profit entities may acquire title to public facilities;

however, when such facilities are owned by non-profit entities they must be open for use by the general public during all normal hours of operation.

Examples of eligible PFA activities include, but are not limited to:

A. Community and Health Centers

B. Day Care and Senior Centers

C. Shelters for the Homeless

D. Centers for the Disabled

PUBLIC SERVICE PROJECTS

Additional restrictions apply to public service projects. Before applying for funds for public service projects, please call the Community Development Division for more information, and to see if your project qualifies. Appendix R must be filled out for all public service applicants.

ENVIRONMENTAL REVIEW

HUD-assisted projects are subject to environmental review under 24 CFR Part 58, as applicable. The level and timing of review depend on the project. Before environmental clearance, applicants and project participants must not take choice-limiting actions or commit HUD or non-HUD funds to acquisition, rehabilitation, demolition, construction, October 2026 III-7 Funding Year 2027-28 leasing, or other actions that would limit reasonable alternatives, unless specifically permitted by HUD requirements. Some projects may require additional environmental studies or consultation. Applicants should contact the Community Development Division before taking actions affecting a proposed project site. APPLICATION INFORMATION FOR

CDBG FUNDS

October 2026 III-8 Funding Year 2027-28

APPLICATION INFORMATION FOR CDBG FUNDS

In order to apply for CDBG funds, please submit a narrative that includes the following information and associated material. If a question or topic is not applicable to your proposed project please state so on the application along with a brief explanation of why the question or topic does not apply. The application shall be on 8 ½ “ x 11” white paper and organized in the order prescribed in the following section. The original application shall be bound (a 3-ring binder is sufficient), tabbed, sequentially numbered, and contain a table of contents. Applicants should make sure to include information that relates to the guidelines described in the previous section. The City reserves the right to adjust funding levels to maximize the funds that are to be utilized in ways that best meet the program goals.

PART ONE:

I. EXECUTIVE SUMMARY OF PROPOSAL

This should be a concise overview of all the major components of your proposal including the amount requested and must answer the questions - what, who, why, where, when, and how, including total cost and amount of request.

II. PROJECT DESCRIPTION

A. Project Title - Provide a brief title that describes the nature of your proposal.

B. Purpose and Detailed Description of the Project Components

1. Describe in detail the proposed project for which you are requesting funding.

2. Describe how your project (as proposed) meets one of HUD’s National Objectives (see page II-1 of the Funding Handbook))

3. Describe how your proposed project conforms to one of the Eligible Activities (see page II-2 of the Funding Handbook) Explain your project purpose and reason why the CDBG funding is necessary.

4. Does your proposal consist of land and/or facility acquisition, construction of a new facility, expansion of an existing facility, rehabilitation of an existing facility, or a combination of these?

5. If this activity is part of a larger project, describe the entire project and how this activity fits in with the larger project.

6. Describe which goal and objective your project application will address the goals outlined in the City’s 2025-30 Consolidated Plan (See 25-30 Consolidated Plan Goals in the INTRODUCTION section).

C. Nature and Level of Service

1. Describe what programs and services you provide now, if any, and whether these programs and services are going to be continued at existing levels or

October 2026 III-9 Funding Year 2027-28 expanded by the proposed project.

2. Identify all sites utilized by your organization to provide programs and services.

3. Include any new programs or services to be provided at the site as a result of the CDBG assistance.

4. Identify other organizations that provide the same or similar services as those provided by your organization. To the best of your knowledge, are those organizations at or near capacity in terms of people served?

5. In terms of numbers, is there a long waiting list for similar programs and activities offered at the nearest existing facility or provider (within metropolitan Bakersfield)? If so, what are the numbers?

6. For Public Service projects, please complete the Public Service Questionnaire (Appendix R). Additional restrictions apply to public service projects. Before applying, please call the Community Development Division for more information and to confirm that the proposed activity qualifies.

D. Site Control

(Note: this section only applies if site improvements are proposed)

1. Please indicate whether you have title to the project property or control of the site. If you have title to the project property, please provide documentation (site control may be a long-term lease covering the useful life of improvements or purchase options). If you do not have title to the project property, please explain (e.g., who currently owns the site, is the seller willing to take an option, etc.). Lack or reasonable site control for an improvement project will make an application ineligible for funding.

2. Describe all existing utilities and infrastructure on the proposed project site.

3. Identify the square footage or acreage of the site.

4. If a commercial narrative appraisal has been completed, please attach it as documentation.

E. Property Information

If site improvements are proposed, identify each site for which proposed CDBG funding would be used and provide the following information:

1. State the current zoning of the project site, and any development approvals (i.e. Conditional Use Permit, zone change, modification, etc.)

necessary to facilitate the proposed project.

2. If there is an existing residential or commercial structure located on the project site, indicate the number of people or businesses to be displaced as a result of this project.

3. Please identify the number of square feet needed for the proposed project.

4. Please provide an Assessor’s Parcel Map and Assessor’s Parcel Number(s) for your proposed project site. Attach preliminary sketches and site plans (if applicable) of all proposed improvements (including street addresses).

5. Please identify any known environmental hazards or conditions affecting

October 2026 III-10 Funding Year 2027-28 the proposed project site. If a Phase I Environmental Site Assessment or other environmental study is already available, include it with the application. If the project is selected, the City will determine the environmental review and due-diligence documentation required before commitment or approval of HUD funds. Selection for funding does not constitute environmental clearance, and applicants must not take prohibited choice-limiting actions before the City completes the applicable Part 58 process.

6. Provide two or more pictures of proposed project site.

7. If the proposed project includes site improvements or acquisition, identify whether an appraisal has been completed and attach it if available. For a selected acquisition project, the City will determine the required appraisal, review appraisal, or permissible valuation exception before an offer or acquisition proceeds. A final appraisal is not required with the application unless specifically requested by the City.

8. When was the most recent title report completed? If available, please include a recent (less than six months) title report for the project site.

F. Proposed New Construction

1. If your project consists of new construction, please describe in detail the extent of construction work to be undertaken. Include information regarding square footage, number and type of rooms, landscaping and other relevant information.

2. Has an environmental review been performed for the project site? Please explain.

3. Please explain your experience administering federally assisted construction requirements, including, as applicable, Davis-Bacon and Related Acts labor standards, Section 3 under 24 CFR Part 75, Build America, Buy America (BABA), federal procurement requirements, and environmental review restrictions.

G. Proposed Rehabilitation/Expansion of Existing Facility

If your project consists of rehabilitation and/or expansion of an existing facility, please describe the extent of the rehabilitation work, additional square footage, and proposed use of additional space. Include information about structural, mechanical, plumbing, electrical, and other deficiencies that must be corrected as a part of the rehabilitation work. Please indicate if asbestos and/or lead based paint are present in the proposed project site and how this was determined.

H. Contact Person and Information

Provide the name of the best person to contact for further questions regarding this application. Include specific contact information and preferred method of contact.

III. PROJECT COST

October 2026 III-11 Funding Year 2027-28

A. Itemized Cost Estimate

1. Provide an itemized preliminary cost estimate and include the source of the estimate and the date the estimate was prepared. If the project involves construction-related costs, then cost estimates shall be certified by an architect or professional engineer and must include the total amount of CDBG funds requested, and non-CDBG funds committed, as well as quantities, units of measure, unit prices, extension prices, and contingencies as applicable. If the project involves funding a program, please describe in detail how estimated costs were determined.

Federal labor standards may apply to CDBG-assisted construction work.

Davis-Bacon generally applies to covered construction contracts over $2,000, subject to applicable statutory and program-specific exceptions, including the residential-property unit threshold. Federal and City procurement requirements may also apply. Do not solicit bids or execute construction contracts until the City confirms the applicable federal requirements and environmental clearance status. A sample Bid Analysis Form is provided in Appendix C.

2. If this activity is part of a larger project, describe the source of funds for other elements of the total project.

B. Other Funding

Describe any other funding that is anticipated for this project. What steps have been taken to secure other funding for this activity? If available, supply written responses from other funding agencies contacted.

C. Type of Financial Assistance Requested

Describe the type of CDBG assistance requested (i.e., loan, grant, or combination) and amount of each type of assistance.

IV. PROJECT BENEFIT

A. Provide area map(s) identifying the project location and the area boundaries to be served by the project.

B. Explain how the service area boundaries were determined and submit available data in support of this determination.

C. If the proposal is for job creation/retention, please identify the total number of jobs (full-time equivalent positions) to be created/retained and the percentage to be filled by low- and moderate-income persons. Also, please identify the type of jobs to be created, the type of job experience required and average pay scale for these positions.

D. Describe who will benefit from this project (i.e., residents of given area, specific age group, such as youth or seniors, disabled persons, etc.). Please estimate how many people/households will benefit from this project in a year. Note: facilities assisted with federal funds must be open to all ethnic and racial groups and data indicating persons/groups served will be required as part of the program-monitoring process.

October 2026 III-12 Funding Year 2027-28

E. Describe how low- and moderate-income persons will benefit from this project and how this can be verified (see attached CDBG guidelines found in Appendix E, identifying current low- and moderate-income limits and what individual groups are presumed to be principally low- and moderate-income persons). If the project is a direct benefit, activity (i.e. is not based on area of benefit) please explain how your agency will document low- and moderate-income qualification per user.

Please explain how your organization has determined that 51% or more of your clientele are historically from low- and moderate-income families (clientele means all users of the proposed facility). Make certain to provide documentation.

F. Do you plan to charge fees for the activities or service to be offered? If so, how will the fees be determined and what will be the cost? For what will the proposed fees be utilized (e.g., incidental overhead costs, operation and maintenance, capital cost recovery, etc.)? Will these fees prevent or limit the use of the facility by low- and moderate-income residents? Please explain.

G. For last fiscal year, how many clients were served by your agency by the programs/services you plan to provide with the proposed project; and what percentage of these clients/users served were City residents vs. unincorporated County residents? If all or a portion of your clients are County residents, has your agency requested assistance from the County? If so, please explain the County's potential involvement with your proposal. If no involvement, please explain why.

H. Identify potential users and organizations that may utilize the proposed facility or program (identify specific groups, their membership requirements if any, etc.) and whether they are low- and moderate-income users.

I. Describe how your agency intends to evaluate annual accomplishments of the proposed HUD-funded activity. Attach available annual evaluation and performance reports provided to funders and stakeholders. Appendix O provides performance-reporting examples; the City will identify the indicators and reporting requirements applicable to each funded activity.

V. PROJECT TIMELINE

Please describe the timeframe for implementation of the proposed project. Please attach a project implementation schedule outlining anticipated start and ending dates for each applicable activity (note: City's fiscal year starts July 1 and ends June 30).

VI. AUTHORIZATION TO APPLY

Attach an executed resolution from your governing body (e.g., Board of Directors), authorizing application for CDBG funds and appointment of representative signatory. An example of an authorizing resolution can be found in Appendix H.

VII. INDEMNIFICATION AND INSURANCE

Please review the City's standard indemnification and insurance requirements (Appendix I) for proposed funded community/neighborhood facilities and provide

October 2026 III-13 Funding Year 2027-28 documentation regarding your agency’s ability to provide the required coverage.

VIII. ALTERNATIVES CONSIDERED

(Note: Complete this section if the proposed project includes acquisition, new construction or substantial rehabilitation (greater than 50%) of the value of the structure.)

A. Discuss the benefit of meeting your organizational objectives in a way other than the proposed project, as well as the consequences of implementing other means.

In other words, discuss the consequences if there is no action or if your proposed project is not implemented.

B. Identify one or more alternatives to the proposed project that were considered and rejected, e.g., other sites considered, design modifications, other uses of the site. For each alternative, describe benefits to the human environment that would result from implementation, any adverse impacts, and the reasons for rejection.

IX. ORGANIZATIONAL CAPACITY AND EXPERIENCE

Complete Appendix A - Organizational Capacity and Experience. This streamlined form provides the City with information needed to evaluate organizational capacity and relevant experience. Project-specific budget, schedule, funding-source, eligibility, and feasibility information should be provided in the applicable CDBG application sections and should not be duplicated in Appendix A unless needed to explain organizational capacity.

October 2026 III-14 Funding Year 2027-28

SUMMARY OF REQUIRED EXHIBITS

Applicants must submit all items identified as Required with Application and all Only if Applicable items that apply to the proposed project. Items identified as Conditional Award / Pre-Agreement are not required with the initial application unless specifically requested by the City. The City may request clarification or additional documentation during application review when necessary to determine eligibility, feasibility, applicant capacity, underwriting, risk, or compliance. Conditional selection does not constitute a commitment of federal funds.

Required with Application:

Signed Cover Letter; Certification Statement (Appendix P); Appendix A - Organizational Capacity and Experience; Project Budget / Itemized Cost Estimate; Project Implementation and Spending Schedule; Project Benefit / National Objective Documentation; and Authorizing Resolution (Appendix H).

Only if Applicable: Affirmative Marketing Plan for activities not serving a designated geographic area; Public Service Questionnaire (Appendix R); Site Control / Ownership Documentation; Site Plans, Assessor Parcel Map/APN, Photos, and Vicinity/Service Area Map; Existing Appraisal, if available; Recent Title Information, if available; and any existing Phase I Environmental Assessment relevant to a site-specific capital, facility, acquisition, rehabilitation, or area-benefit proposal.

Conditional Award / Pre-Agreement: final environmental review or additional environmental studies directed through the City HUD environmental review process; final appraisal/title/closing documents; insurance certificates/endorsements; and applicable procurement, bid, labor standards, Section 3, BABA, and construction-compliance documents.

October 2026 III-15 Funding Year 2027-28

HOME INVESTMENT PARTNERSHIPS PROGRAM

(HOME)

The HOME Investment Partnerships Program (HOME) is funded through the U. S.

Department of Housing and Urban Development (HUD), and was created to:

o Provide decent affordable housing to low- and moderate-income households;

o Expand capacity of nonprofit housing providers;

o Strengthen the ability of state and local governments to provide affordable housing; and o Leverage private sector participation in affordable housing production.

HOME assistance is intended to be used as “gap” financing, meaning that, but for the provision of HOME funds, the proposed project would not be financially feasible.

Maximum HOME assistance per unit is established by HUD and referenced in Appendix D of this document. Appendix D reflects the limit available when this handbook is issued;

the applicable HUD maximum per-unit subsidy limit in effect when HOME funds are committed will control.

HOME regulations can be found at 24 CFR Part 92, as amended. HOME-funded projects must comply with applicable HUD requirements in effect for the project; this handbook is not a complete statement of all HOME requirements.

ELIGIBLE PROGRAM BENEFICIARIES

The HOME Program beneficiaries are homeowners and tenants who meet applicable HOME income requirements, generally households with annual income no greater than 80% of area median income (see Appendix E). Applicable HOME income limits are published by HUD and may change annually. Final eligibility will be determined using the income limits and income-determination requirements in effect when eligibility is established.

MATCH REQUIREMENT

The HOME Program is subject to a federal matching-contribution requirement. The City will determine the amount and form of eligible match required for each funded project, if any, based on HOME requirements, available eligible match, and the project structure.

Applicants must identify all committed non-HOME sources and whether they may qualify as HOME match.

October 2026 III-16 Funding Year 2027-28

AFFORDABILITY PERIOD AND MONITORING

HOME-assisted rental units carry rent and occupancy restrictions for varying lengths of time, known as the affordability period. The affordability period is based on the average amount of HOME funds invested in each unit and the type of activities performed using HOME funds. The following describes how the affordability period is calculated based on the HOME subsidy per unit:

For rental projects subject to the pre-April 20, 2025 thresholds, less than $15,000 per unit: 5 years; for commitments on or after April 20, 2025, less than $25,000 per unit:

5 years

For rental projects subject to the pre-April 20, 2025 thresholds, $15,000–$40,000 per unit: 10 years; for commitments on or after April 20, 2025, $25,000–$50,000 per unit:

10 years

For rental projects subject to the pre-April 20, 2025 thresholds, more than…