20260625_RCM_CHHS_2026-27 ANNUAL ACTION PLAN_PUBLIC COMMENT.PDF
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Draft 2026-2027 Annual Action Plan
Annual Action Plan
2026
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Executive Summary
AP-05 Executive Summary - 91.200(c), 91.220(b)
1.
Introduction
The City of Tempe, Arizona receives an annual entitlement allocation of Community Development Block
Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD). The CDBG
Program provides funding on a formula basis to entitlement jurisdictions to develop viable communities
by providing safe, decent, and affordable housing; suitable living environments; and expanded economic
opportunities, principally for low- and moderate-income (LMI) persons.
The City’s 2025–2029 Consolidated Plan serves as its five-year strategic framework and is prepared in
accordance with federal requirements under 24 CFR Part 91.200–91.230. The Consolidated Plan
establishes priority needs, goals, and strategies that guide the use of CDBG funds.
The Program Year (PY) 2026 Annual Action Plan (AAP) represents the second year of implementation of
the Consolidated Plan. This AAP outlines the specific activities, funding allocations, and expected
outcomes for the program year beginning July 1, 2026, and ending June 30, 2027. The PY 2026 AAP
builds upon prior year accomplishments and continues progress toward achieving the Consolidated
Plan’s five-year goals.
The City remains a member of the Maricopa HOME Consortium through June 30, 2026, and receives
HOME Investment Partnerships Program funding through an Intergovernmental Agreement (IGA). The
HOME Program supports the creation and preservation of affordable housing for LMI households
through activities such as housing construction, acquisition, rehabilitation, and tenant-based rental
assistance. However, as the City is not a direct recipient of HOME funds from HUD in FY 2026-2027,
HOME-funded activities are not included in this AAP.
The City previously received Emergency Solutions Grant (ESG) funds during Program Years 2021 through
2024. While the City no longer receives ESG funding directly, it remains committed to addressing
homelessness through continued investment in related services and programs supported by CDBG and
other resources.
2.
Summarize the objectives and outcomes identified in the Plan
This could be a restatement of items or a table listed elsewhere in the plan or a reference to
another location. It may also contain any essential items from the housing and homeless needs
assessment, the housing market analysis or the strategic plan.
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The City’s priorities are based on the Needs Assessment, Market Analysis, and community engagement
conducted during the development of the 2025–2029 Consolidated Plan. These priorities guide annual
funding decisions and are aligned with federal objectives to provide decent housing, a suitable living
environment, and expanded economic opportunities, principally benefiting low- and moderate-income
(LMI) persons.
For Program Year (PY) 2026, the City will implement the following priority needs and goals, with
activities designed to achieve measurable outputs and outcomes as detailed in the Annual Action Plan:
Priority Need: Affordable Housing
Goal 1A – Housing Rehabilitation and Acquisition
The City will increase and preserve affordable housing opportunities through rehabilitation and
acquisition/disposition activities benefiting LMI homeowners and renters. Outcomes will focus on
improving housing quality, affordability, and long-term sustainability, with performance measured by
the number of housing units rehabilitated, acquired, or preserved.
Priority Need: Public Services
Goal 2A – Public Services for LMI and Special Needs Populations
The City will fund public service activities that improve access to essential services for LMI residents and
special needs populations. Outcomes will focus on increasing accessibility and improving quality of life,
measured by the number of individuals served and service delivery outcomes.
Priority Need: Economic Development Opportunities
Goal 3A – Economic Development
The City will support economic development activities, including job creation, workforce development,
and assistance to small businesses and microenterprises. Outcomes will focus on expanding economic
opportunities and increasing self-sufficiency, measured by jobs created or retained and businesses
assisted.
Priority Need: Public Facilities and Infrastructure
Goal 4A – Public Facilities and Infrastructure Improvements
The City will invest in public facilities and infrastructure improvements in LMI areas to enhance
accessibility, safety, and community conditions. Outcomes will focus on improving the suitability of the
living environment, measured by the number of facilities improved and residents benefiting.
Priority Need: Homeless Housing and Services
Goal 5A – Homelessness Prevention and Rapid Rehousing
The City will support activities that prevent homelessness and rapidly rehouse individuals and families.
Outcomes will focus on increasing housing stability and reducing the length of time individuals
experience homelessness, measured by households assisted and housing placement outcomes.
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Goal 5B – Homeless Shelter and Supportive Services
The City will support shelter operations and supportive services to assist individuals and families in
transitioning to permanent housing. Outcomes will focus on improving access to emergency housing and
supportive services, measured by the number of persons served and exits to permanent housing.
Priority Need: Effective Program Administration
Goal 6A – Program Administration and Compliance
The City will ensure effective program delivery through strong internal controls, regulatory compliance,
and responsible management of federal funds. Outcomes will focus on ensuring timely expenditure,
compliance with federal requirements, and successful program performance, as demonstrated through
monitoring results, reporting accuracy, and audit outcomes.
3.
Evaluation of past performance
This is an evaluation of past performance that helped lead the grantee to choose its goals or
projects.
The U.S. Department of Housing and Urban Development (HUD) completed its Annual Performance
Assessment of the City of Tempe’s PY 2024 CAPER for the period of July 1, 2024 through June 30, 2025.
HUD concluded that the City has the capacity to effectively carry out its Community Planning and
Development (CPD) programs and met all applicable reporting requirements.
HUD acknowledged the City’s programmatic accomplishments and compliance with key federal
performance and expenditure requirements for both the Community Development Block Grant (CDBG)
and Emergency Solutions Grant (ESG) programs. The City met its CDBG timeliness requirements with no
undisbursed balances remaining for the applicable Treasury cancellation deadlines, achieved a 100%
low- and moderate-income benefit for CDBG activities, and remained in compliance with ESG
expenditure deadlines and administrative cost limitations.
Additionally, HUD reported that the City of Tempe had no open CPD Monitoring or Office of Inspector
General (OIG) audit findings during the assessment period. HUD noted one open non-monitoring inquiry
related to CDBG acquisition activities and environmental review documentation, for which responsive
documentation was pending from the City.
HUD expressed appreciation for the City’s continued commitment to strengthening the community
through its CPD-funded programs and activities.
4.
Summary of Citizen Participation Process and consultation process
Summary from citizen participation section of plan.
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Summary of Citizen Participation Process and consultation process will be included at the conclusion of
these processes and prior to submission to HUD.
5.
Summary of public comments
This could be a brief narrative summary or reference an attached document from the Citizen
Participation section of the Con Plan.
Summary of public comments will be included at the conclusion of the citizen participation process and
prior to submission to HUD.
6.
Summary of comments or views not accepted and the reasons for not accepting them
Summary of comments or views not accepted and the reasons for not accepting them, will be included
at the conclusion of the citizen participation process and prior to submission to HUD.
7.
Summary
The City of Tempe remains committed to engaging residents, stakeholders, and community partners in
identifying needs and shaping funding priorities. The PY 2026 AAP continues to prioritize investments in
affordable housing, community development, and services for individuals experiencing or at risk of
homelessness.
As the second year of the five-year Consolidated Plan, this AAP outlines how CDBG resources will be
allocated to advance the City’s established goals and address priority community needs. Progress will be
evaluated through the Consolidated Annual Performance and Evaluation Report (CAPER), which assesses
performance against planned outcomes and ensures accountability for federal funds.
The City’s priorities reflect a data-driven and community-informed approach, supported by the Needs
Assessment, Market Analysis, and ongoing citizen participation efforts. This approach ensures that
resources are directed toward the most critical needs while maintaining compliance with federal
requirements and achieving measurable outcomes.
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PR-05 Lead & Responsible Agencies - 91.200(b)
1.
Agency/entity responsible for preparing/administering the Consolidated Plan
The following are the agencies/entities responsible for preparing the Consolidated Plan and those responsible for administration of
each grant program and funding source.
Agency Role
Name
Department/Agency
CDBG Administrator
TEMPE
Community Health & Human Services Department
ESG Administrator
TEMPE
Community Health & Human Services Department
Table 1 – Responsible Agencies
Narrative
The City of Tempe Community Health and Human Services Department serves as the lead agency responsible for the administration and
implementation of the Community Development Block Grant (CDBG) and Emergency Solutions Grant (ESG) programs. The department
coordinates planning, funding allocation, program oversight, regulatory compliance, reporting, and monitoring activities associated with the
City’s federally funded housing and community development programs.
As Tempe transitions from participation in the Maricopa County HOME Consortium to becoming a Participating Jurisdiction (PJ) receiving HOME
Investment Partnerships Program (HOME) funds directly from HUD, the City will continue coordinating with consortium partners on regional
housing priorities and HOME program administration.
Consolidated Plan Public Contact Information
Dennis Newburn
Housing Services Manager
Community Health & Human Services Department
City of Tempe
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City Hall, 31 E. 5th St.
Tempe, AZ 85281
Phone: 480-858-6280
Email: dennis.newburn@tempe.gov
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AP-10 Consultation - 91.100, 91.200(b), 91.215(l)
1.
Introduction
The City of Tempe conducted outreach to local organizations, the public and Housing Choice Voucher
participants to solicit input for the development of the 2026-2027 Annual Action Plan. This section
describes coordination between the City and its partners and identifies the agencies and organizations
that were consulted or provided input during the planning process.
To support this effort, the City administered a stakeholder survey to consult internal agencies and
nonprofit partners. The feedback collected provided valuable insight into priority housing and
community development needs, as well as funding priorities at the local level.
The following section summarizes these consultation efforts and highlights the agencies and
organizations engaged in the development of the plan.
Provide a concise summary of the jurisdiction’s activities to enhance coordination between
public and assisted housing providers and private and governmental health, mental health
and service agencies (91.215(l)).
The City of Tempe actively enhances coordination between public and assisted housing providers,
private developers, and governmental health, mental health, and service agencies to address the
housing and supportive service needs of low- and moderate-income residents.
The City collaborates closely with the Maricopa County HOME Consortium (during its transition to direct
HOME program administration), the Tempe Housing Authority, and local housing providers to expand
and preserve affordable housing opportunities, including administration of the Housing Choice Voucher
program for eligible households.
Through participation in the Maricopa Association of Governments (MAG) Continuum of Care (CoC) and
the Regional Coordinated Entry System, the City coordinates with nonprofit service providers,
behavioral health agencies, emergency shelters, and regional governmental partners to connect
individuals experiencing homelessness to housing, behavioral health services, case management, and
supportive resources. The City’s HOPE Outreach Team serves as a mobile access point to these
coordinated systems of care.
The City further strengthens service integration through participation in the Homeless Management
Information System (HMIS), which supports data sharing, reduces service duplication, and improves
coordination and outcomes across housing and service providers.
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In addition, the City coordinates with public health, emergency management, and environmental
agencies—including the Maricopa County Department of Emergency Management, Maricopa County
Flood Control District, and regional air quality and environmental partners—to support disaster
preparedness, hazard mitigation, and community resilience efforts. The City also promotes digital equity
and access through partnerships that expand technology resources and digital literacy services for
underserved populations.
Describe coordination with the Continuum of Care and efforts to address the needs of
homeless persons (particularly chronically homeless individuals and families, families with
children, veterans, and unaccompanied youth) and persons at risk of homelessness.
City staff work actively with the Maricopa Association of Governments (MAG) Continuum of Care (CoC),
the regional coordinating body that oversees efforts to address and reduce homelessness. Tempe staff
regularly participate in CoC meetings, regional planning efforts, and the annual Point-in-Time (PIT)
Count,
which assesses the scope of homelessness in Maricopa County. The City collaborates with CoC-led
initiatives and provides funding to agencies that deliver critical housing and support services to
individuals and families experiencing homelessness. Additional details on the efforts of Tempe’s
Homeless Solutions Team can be found in the NA-40 and MA-30 sections of the plan.
Tempe’s HOPE (Homeless Outreach, Prevention, and Engagement) Outreach Team serves as a mobile
access point for individuals and families experiencing homelessness, helping them navigate housing and
supportive services. The team builds relationships with unsheltered individuals, conducts street
outreach, and connects people to shelter options, behavioral health support, employment programs,
and permanent housing opportunities. The City also allocates general funds and CDBG/ESG resources to
reserve shelter beds, fund eviction prevention programs, and provide case management for vulnerable
populations. Additionally, the City operates a 40-unit transitional bridge shelter at 2101 E. Apache Blvd.,
with a second bridge housing facility expected to open in the Summer of 2026.
Tempe actively participates in the Maricopa Regional Homeless Management Information System
(HMIS), allowing staff and service providers to enter and access client data, track service delivery, and
monitor program outcomes. The MAG Continuum of Care administers coordinated entry, which ensures
that individuals and families experiencing homelessness receive equitable access to housing and services
based on their assessed needs. Coordinated entry partners with service providers across the region to
prioritize the most vulnerable individuals for housing placements and streamline referrals to transitional
housing, permanent supportive housing, and rapid rehousing programs.
As a data-driven tool, HMIS improves service coordination, prevents duplication of services, and
enhances Tempe’s ability to assess and respond to homelessness trends. Through this collaboration,
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Tempe ensures that housing resources and supportive services are allocated effectively, both within the
City and as part of the broader regional response to homelessness.
Describe consultation with the Continuum(s) of Care that serves the jurisdiction’s area in
determining how to allocate ESG funds, develop performance standards for and evaluate
outcomes of projects and activities assisted by ESG funds, and develop funding, policies and
procedures for the operation and administration of HMIS
The City participates and contributes to CoC ESG Subcommittee meetings to help determine priorities.
Through participation with the Committee and Board meetings, the City has provided input into the
regional performance standards of excellence, and the Regional Plan to End Homelessness. The City has
consulted, and will continue to consult, with the CoC regarding the performance standards for activities
funded under ESG to discuss the best method to capture data utilizing HMIS. As the ESG program
progresses annually, performance standards will be developed and revised based on the needs of the
community and regulatory guidance.
2.
Agencies, groups, organizations and others who participated in the process and
consultations
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Table 2 – Agencies, groups, organizations who participated
1 Agency/Group/Organization
City of Tempe
Agency/Group/Organization Type
Housing
PHA
Services - Housing
Services-Children
Services-Elderly Persons
Services-Persons with Disabilities
Services-Persons with HIV/AIDS
Services-Victims of Domestic Violence
Services-homeless
Services-Health
Services-Education
Services-Employment
Service-Fair Housing
Services - Victims
Services - Broadband Internet Service Providers
Other government - Local
Grantee Department
What section of the Plan was addressed by
Consultation?
Housing Need Assessment
Public Housing Needs
Non-Homeless Special Needs
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Briefly describe how the Agency/Group/Organization
was consulted. What are the anticipated outcomes of
the consultation or areas for improved coordination?
The Agency was consulted through a survey process. The various division within
the Community Health and Human Services Department were consulted to
include Well Being and Empowerment Division, the Community Health and
Human Services Division, Housing Services Division, to include the Tempe Public
Housing Authority, and the Community Partnerships and Resources Division.
Consultation was also conducted with local non-profits to include the Tempe
Community Action Association (TCAA) and Tempe Coalition for Affordable
Housing (TCAH). Areas for improved coordination include resource
development, resource access and information and referral.
Identify any Agency Types not consulted and provide rationale for not consulting
No organizations were intentionally left out of the public participation process. All comments and views were accepted and welcomed.
Other local/regional/state/federal planning efforts considered when preparing the Plan
Name of Plan
Lead Organization
How do the goals of your Strategic Plan overlap with the goals of each plan?
Continuum of Care
Maricopa
Association of
Governments
The City’s goals and objectives align with the regional Continuum of Care's plan.
Maricopa HOME
Consortium
Maricopa County
Human Services
Department
As an exiting member of the Maricopa HOME Consortium, the City's allocated HOME Program
funding is used to achieve goals set by the larger Consortium. Tempe will continue to
participate with the Consortium, until Tempe becomes a Participating Jurisdiction (PJ), to
determine affordable housing priorities on a regional basis. Staff participate in monthly
planning and coordination activities as well as program oversight and monitoring.
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Name of Plan
Lead Organization
How do the goals of your Strategic Plan overlap with the goals of each plan?
2025-2029 5 Year and
2026-2027 PHA
PlansPHA Plan
Tempe Housing
Authority
The City's goals and objectives align with the Tempe Housing Authority plans.
2024 Housing
Inventory and
Affordability Analysis
City of Tempe
The City updates is Housing Inventory and Affordability Analysis biennially to assess housing
conditions and determine how the City can best support housing in the City. The City’s goals
and objectives align with the Housing Inventory and Affordability Analysis.
Table 3 - Other local / regional / federal planning efforts
Narrative
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AP-12 Participation - 91.401, 91.105, 91.200(c)
1.
Summary of citizen participation process/Efforts made to broaden citizen participation
Summarize citizen participation process and how it impacted goal-setting
The City of Tempe has adopted its HUD approved Citizen Participation Plan (CPP) as per 24 CFR 91.105, which sets forth the City’s policies and
procedures for citizen participation of the Consolidated Plan and first year AAP. The CPP provides details about the public notice requirements
for all meetings and the various stages of Consolidated Plan development, public hearings before the citizens of the City and City Council,
accommodations for persons with disabilities, and the conduct of public review of draft documents. Adhering closely to the CPP, the City held a
public comment period and public hearing. Details of these outreach efforts are provided in the table below.
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Citizen Participation Outreach
Sort Or
der
Mode of Out
reach
Target of Out
reach
Summary of
response/attendanc
e
Summary of
comments rec
eived
Summary of com
ments not
accepted
and reasons
URL (If applicable)
1
Newspaper
Ad
Minorities
Non-English
Speaking -
Specify other
language:
Spanish Ad in
La Voz
Newspaper
Non-
targeted/broa
d community
Spanish
advertisement of 30-
day public comment
period and public
hearing was
published in La Voz
newspaper, a
newspaper of
general circulation,
on Friday, May 15,
2026.
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
https://www.tempe.gov/governmen
t/community-health-and-human-
services/housing-services/public-
notices-and-plans
2
Newspaper
Ad
Non-
targeted/broa
d community
English
advertisement of 30-
day public comment
period and public
hearing was
published in the
Arizona Republic, a
newspaper of
general circulation,
on Friday, May 15,
2026.
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
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Sort Or
der
Mode of Out
reach
Target of Out
reach
Summary of
response/attendanc
e
Summary of
comments rec
eived
Summary of com
ments not
accepted
and reasons
URL (If applicable)
3
Email
Outreach
Residents of
Public and
Assisted
Housing
An email mirroring
the English
advertisement of the
30-day public
comment period and
the public hearing
was distributed to
Housing Choice
Voucher
participants.
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
4
Stakeholder
Consultation
Survey
Non-
targeted/broa
d community
A survey was used to
complete jurisdiction
consultations with
housing, social
service, and other
entities to include
local non-profits, in
Tempe.
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
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Sort Or
der
Mode of Out
reach
Target of Out
reach
Summary of
response/attendanc
e
Summary of
comments rec
eived
Summary of com
ments not
accepted
and reasons
URL (If applicable)
5
Public
Comment
Period
Non-
targeted/broa
d community
A 30-day public
comment period is
being held from May
29, 2026 through
June 28, 2026.
Written comments
could be submitted
to the City of Tempe
Housing Services
Division, P.O. Box
5003, Tempe AZ
85280 or via email to
CDBGprograms@te
mpe.gov.
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
https://www.tempe.gov/governmen
t/community-health-and-human-
services/housing-services/public-
notices-and-plans
6
Public
Hearing
Non-
targeted/broa
d community
The hearing is
scheduled to be held
on Monday, June 8,
2026, at 6:00 p.m. at
the Tempe Public
Library, Desert
Willow Room, 3500
S. Rural Road
Tempe, AZ 85282
Info will be
added prior to
submission to
HUD
Info will be
added prior to
submission to
HUD
Table 4 – Citizen Participation Outreach
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Expected Resources
AP-15 Expected Resources - 91.420(b), 91.220(c)(1,2)
Introduction
The City of Tempe receives Community Development Block Grant (CDBG), and previously received Emergency Solutions Grant (ESG) funding
from the United States Department of Housing and Urban Development (HUD). The CDBG Program provides grants to entitled cities and
counties to develop viable urban communities for low- and moderate-income persons. The ESG Program is designed to assist people with quickly
regaining stability in permanent housing after experiencing a housing crisis and/or homelessness. PY 2026 is the second program year of the
Five-Year 2025-2029 Consolidated Plan, and the City will receive $ 1,575,957 for CDBG and $0.00 for ESG. The City anticipates receiving similar
allocation amounts in each year of the Consolidated Plan period. The City also plans to reallocate $2,656,988.10 of unused prior year funds to be
used for owner occupied rehabilitation, public facility and infrastructure/enhancement projects.
As an exiting member of the Maricopa County HOME Consortium, the City also received HUD HOME Partnership (HOME) funding. The HOME
Consortium is a legal entity created through an intergovernmental agreement between Maricopa County, the Cities of Avondale, Chandler,
Glendale, Peoria, Scottsdale, Surprise, Tempe, Goodyear and the Town of Gilbert. Each HOME Consortium member receives a pro rata share of
funds and uses them to meet the needs of their community. Maricopa County’s Five-Year Consolidated Plan and Annual Action Plans also
include the housing needs and activities of Tempe. These funds are not listed on the table below as the City is not a direct recipient of HOME
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funds from HUD.
Anticipated Resources
Program
Source
of
Funds
Uses of Funds
Expected Amount Available Year 1
Expected
Amount
Available
Remainder of
ConPlan
$
Narrative Description
Annual
Allocation: $
Program
Income: $
Prior Year
Resources: $
Total:
$
CDBG
public -
federal
Acquisition
Admin and
Planning
Economic
Development
Housing
Public
Improvements
Public Services
1,575,957.00
25,000.00 2,656,988.10 4,257,945.10 4,802,871.00
PY 2026 is the second
program year of the
Consolidated Plan. The
expected amount
available remainder of the
Consolidated Plan is 3x
the PY2026-27 annual
allocation.
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Program
Source
of
Funds
Uses of Funds
Expected Amount Available Year 1
Expected
Amount
Available
Remainder of
ConPlan
$
Narrative Description
Annual
Allocation: $
Program
Income: $
Prior Year
Resources: $
Total:
$
ESG
public -
federal
Conversion and
rehab for
transitional
housing
Financial
Assistance
Overnight
shelter
Rapid re-housing
(rental
assistance)
Rental
Assistance
Services
Transitional
housing
0.00
0.00
46,008.46
46,008.46
46,008.46
It is projected that
$46,008.46 in remaining
ESG funds will be
expended in FY2026-2027,
prior to the recapture
period.
Table 5 - Expected Resources – Priority Table
Explain how federal funds will leverage those additional resources (private, state and local funds), including a description of how
matching requirements will be satisfied
CDBG funds do not require a match, however the City uses federal funds to leverage local resources to address the priorities identified in the
Consolidated Plan. In PY 2026, the City anticipates contributing approximately $1.1 million in General Fund resources through Tempe
Community Council and from citizen water bill donations to assist over 59 nonprofit agencies that address needs including aging, homelessness,
poverty, disabilities, abuse, addiction, youth, hunger, isolation, shelter, and mental health.
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The City is actively seeking outside grants and reviewing all leveraged funding options to support the mission of providing affordable housing to
the residents of Tempe. Active grant applications include:
• $500,000 Transportation/HUD Community Project towards the development of affordable housing;
• $500,000 Transportation/HUD Community Project towards the development of non- congregate shelter;
• $1,666,279 Transportation/HUD Community Project towards the development of affordable housing;
• $850,000 Transportation/HUD Community Project towards the development of affordable housing;
• $1,200,000 from Maricopa County HOME ARPA towards the acquisition of non- congregate shelter and Housing support services
The City is working through the development and implementation of a collaboration with market rate developers for the inclusion of workforce
housing units being included in new complexes (single or multiple). These units would be subject to a monitoring requirement. It is expected
that this initiative will continue in future years.
The City is an exiting member of the Maricopa HOME Consortium and received HOME Investment Partnerships funds through the HOME
Consortium. HOME funds have a 25% matching requirement, and each HOME dollar spent is matched with 25% of general funds for projects
within the program year. HOME match is tracked on a Match log. This log documents specific projects and identifies the date and amount of
HOME dollars expended, the amount of match liability incurred, the value of a match contribution, the type of match and the date that it was
recognized. The log maintains a running tally of recognized match contributions and allows the banking of match required amounts associated
with yearly disbursements. Matching requirements for the HOME program are satisfied, disbursements are captured in the IDIS PR33 report to
ensure that ample match is available to satisfy the required 25% each year. HOME funds are not entered in the table above as a resource as the
HOME Consortium is the direct recipient of those funds and is ultimately responsible for the planning and reporting of HOME funds for the
Consortium.
If appropriate, describe publicly owned land or property located within the jurisdiction that may be used to address the needs
identified in the plan
The City will work with non-profit housing providers and CHDOs to redirect vacant lots created by the program for use for affordable housing.
The City currently has acquired a motel for the purpose of creating an additional emergency bridge shelter that is expected to be operational in
Annual Action Plan
2026
21
OMB Control No: 2506-0117 (exp. 09/30/2021)
FY2026-2027.
The City continues working with the Tempe Coalition for Affordable Housing, the City’s Affiliate Non-Profit (a 501 C 3), and the Community
Development Block Grant (CDBG) program to support permanently affordable rental homes available to Tempe residents with an income range
of 0% to 80% of the current AMI.
The City’s Housing Services, in partnership with Economic Development, is working through the development of Apache Corridor and multiple
sites throughout Tempe in the implementation of a collaboration with developers for the inclusion of affordable and workforce housing units in
new complexes (single or multiple). These units would be subject to a monitoring requirement, and it is expected that this initiative will continue
in future years.
Discussion
The City has programmed approximately $4.3 million, this sum includes the CDBG annual allocation, program income, and reprogrammed funds
from previous program years for both CDBG and ESG. These funds will be used to operate a range of private and public services as described
later in the Annual Action Plan.
Annual Action Plan
2026
22
OMB Control No: 2506-0117 (exp. 09/30/2021)
Annual Goals and Objectives
AP-20 Annual Goals and Objectives - 91.420, 91.220(c)(3)&(e)
Goals Summary Information
Sort
Order
Goal Name
Start
Year
End
Year
Category
Geographic
Area
Needs Addressed
Funding
Goal Outcome Indicator
1
1A Housing Rehab
& Acquisition
2025 2029 Affordable
Housing
Citywide
Low/Mod
Eligible
Affordable
Housing
CDBG:
$1,910,474.12
Rental units rehabilitated: 2
Household Housing Unit
Homeowner Housing
Rehabilitated: 20 Household
Housing Unit
2
2A Public Services
for LMI & Special
Needs
2025 2029 Non-Housing
Community
Development
Citywide
Low/Mod
Eligible
Public Services
CDBG:
$240,143.55
Public service activities other
than Low/Moderate Income
Housing Benefit: 100 Persons
Assisted
Homeless Person Overnight
Shelter: 100 Persons Assisted
3
3A Economic
Development
Opportunities
2025 2029 Non-Housing
Community
Development
Citywide
Low/Mod
Eligible
Economic
Development
Opportunities
CDBG: $.00
4
4A Public Facilities
& Infrastructure
2025 2029 Non-Housing
Community
Development
Citywide
Low/Mod
Eligible
Public Facilities &
Infrastructure
CDBG:
$1,787,136.03
Public Facility or Infrastructure
Activities other than
Low/Moderate Income
Housing Benefit: 2000 Persons
Assisted
5
5A Homeless
Prevention & Rapid
Rehousing
2025 2029 Homeless
Citywide
Low/Mod
Eligible
Homeless Housing
and Services
CDBG:
$46,008.46
Homelessness Prevention: 10
Persons Assisted
Annual Action Plan
2026
23
OMB Control No: 2506-0117 (exp. 09/30/2021)
Sort
Order
Goal Name
Start
Year
End
Year
Category
Geographic
Area
Needs Addressed
Funding
Goal Outcome Indicator
6
5B Homeless
Shelter & Services
2025 2029 Homeless
Citywide
Low/Mod
Eligible
Homeless Housing
and Services
7
6A Effective
Program
Administration
2025 2029 Non-Housing
Community
Development
Citywide
Low/Mod
Eligible
Effective Program
Administration
CDBG:
$320,191.40
Other: 0 Other
Table 6 – Goals Summary
Goal Descriptions
1 Goal Name
1A Housing Rehab & Acquisition
Goal
Description
The City will fund housing rehabilitation and acquisition activities to increase and preserve for the purpose of affordable
rental and homeowner housing opportunities housing development, that will foster affordable housing opportunities for
low- and moderate- income households earning less than 80% AMI.
2 Goal Name
2A Public Services for LMI & Special Needs
Goal
Description
The City will fund a range of public services benefiting low- and moderate- income, homeless and/or special needs
clientele (LMC) that include but are not limited to needed services for workforce development, food banks, employment,
transportation and elderly assistance, etc. CDBG resources committed will be determined annually, and under grant
guidelines will not exceed 15% of the total grant allocation
3 Goal Name
3A Economic Development Opportunities
Goal
Description
The City will fund activities that support small businesses and microenterprises and revitalize commercial areas in
low/mod areas.
Annual Action Plan
2026
24
OMB Control No: 2506-0117 (exp. 09/30/2021)
4 Goal Name
4A Public Facilities & Infrastructure
Goal
Description
The City will fund activities that improve access to public facilities in low- to /moderate income areas, or by low- to
moderate-income individuals. such as neighborhood facilities, community centers and parks and recreation facilities.
The City will also expand and improve public infrastructure in low- to moderate-income/mod areas, including but not
limited to activities such as improvements to streets and sidewalks.
5 Goal Name
5A Homeless Prevention & Rapid Rehousing
Goal
Description
In FY2025-2026 the city of Tempe was no longer eligible to receive ESG funds through the federal funding formula. This
goal was created in the 2025-2029 Consolidated Plan and will remain funded until prior year ESG funds are fully
expended.
6 Goal Name
5B Homeless Shelter & Services
Goal
Description
In FY2025-2026 the city of Tempe was no longer eligible to receive ESG funds through the federal funding formula. This
goal was created in the 2025-2029 Consolidated Plan and will remain in this, and future action plans should the City
become eligible to receive ESG funds in this Consolidated Plan period.
7 Goal Name
6A Effective Program Administration
Goal
Description
Effective program administration will ensure internal controls and systems exist to comply with all federal requirements.
management of the CDBG and ESG grant programs will ensure compliance with grant regulations and established
objectives. Planning will involve the development of annual action plans, reports and citizen participation requirements
Annual Action Plan
2026
25
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-35 Projects - 91.420, 91.220(d)
Introduction
PY 2026-27 AAP projects will address the housing and community development needs and goals as
identified in the strategic plan. These include public services, housing rehabilitation, economic
development, public facilities and infrastructure and admin of the program. Prior year ESG will fund
rapid rehousing rental assistance activities.
#
Project Name
1 CDBG: Program Administration
2 CDBG: Public Services
3 CDBG: Housing Programs
4 CDBG: Economic Development
5 CDBG: Public Facilities & Infrastructure
6 ESG2026: Tempe
Table 7 – Project Information
Describe the reasons for allocation priorities and any obstacles to addressing underserved
needs
The City’s projects address the housing and community development needs in Tempe and are consistent
with the priorities and goals identified in the five-year Strategic Plan.
Public facilities and infrastructure improvements have been identified as a priority in Tempe, specifically
in low- and moderate-income areas. Public improvements are addressed through CDBG funds and will
only target low/mod areas as identified by HUD LMISD data.
Public services for LMI and special needs groups are a high priority. The City will fund a range of public
services benefitting low- and moderate- income, homeless and/or special needs clientele (LMC) that
include but are not limited to needed services for workforce development, food banks, employment,
transportation and elderly assistance, etc. Allocation of funds is limited by the 15% cap calculation for
public services.
The preservation of existing affordable housing is a priority in the City. These needs are addressed by
CDBG funds as eligible under each grant guideline. The City will fund housing rehabilitation and
acquisition and disposition activities for the purpose of creating and preserving affordable housing
opportunities for low- and moderate- income households earning less than 80% AMI.
Economic development opportunities are a priority for City residents. The City may fund activities that
micro-enterprise businesses.
Annual Action Plan
2026
26
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-38 Project Summary
Project Summary Information
1 Project Name
CDBG: Program Administration
Target Area
Citywide Low/Mod Eligible
Goals Supported
1A Housing Rehab & Acquisition
2A Public Services for LMI & Special Needs
3A Economic Development Opportunities
4A Public Facilities & Infrastructure
6A Effective Program Administration
Needs Addressed
Effective Program Administration
Funding
CDBG: $ 320,191.40
Description
Effective program administration will ensure internal controls and
systems exist to comply with all federal requirements. For the
Community Development Block Grant (CDBG) Entitlement program,
administrative and planning costs are capped at 20% of the sum of the
annual grant plus the estimated program income for PY2026 year.
Program Income for PY 2026 is estimated at $25,000 as reflected in
section AP-15, Expected Resources.
Annual Action Plan
2026
27
OMB Control No: 2506-0117 (exp. 09/30/2021)
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
N/A
Location Description
Citywide, eligible.
Planned Activities
General admin and planning of the CDBG program, matrix code 21A,
24 CFR 570.206
2 Project Name
CDBG: Public Services
Target Area
Citywide Low/Mod Eligible
Goals Supported
2A Public Services for LMI & Special Needs
Needs Addressed
Public Services
Funding
CDBG: $ 240,143.55
Description
The City will fund public and community services that support and
serve vulnerable populations, including residents with special needs.
Funding for public services is capped at 15% of the total grant award
plus prior year program income. Program income for PY2025-2026 is
estimated at $25,000.
Annual Action Plan
2026
28
OMB Control No: 2506-0117 (exp. 09/30/2021)
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
Public service activities other than Low/Mod Income Housing Benefit:
100 Persons Assisted
Homeless Person Overnight Shelter: 100 Persons Assisted
Location Description
Citywide, eligible.
Planned Activities
Planned activities include:
Workforce Development, matrix code 05H, 24 CFR 570.201(e), 24 CFR
570.208(a)
Housing Counseling, matrix code 05U, 24 CFR 570.201(e), 24 CFR
570.208(a)
Shelter Operations, matrix code 03T, 24 CFR 570.201(e), 24 CFR
570.208(a)
Rapid Rehousing-Subsistence Payments, matrix code 05Q, 24 CFR
570.201(e), 24 CFR 570.208(a)
3 Project Name
CDBG: Housing Programs
Target Area
Citywide Low/Mod Eligible
Goals Supported
1A Housing Rehab & Acquisition
Needs Addressed
Affordable Housing
Annual Action Plan
2026
29
OMB Control No: 2506-0117 (exp. 09/30/2021)
Funding
CDBG: $ 1,910,474.12
Description
The City will increase and preserve affordable rental and homeowner
housing opportunities for low- and -moderate- income households
based on community needs. This project includes reprogrammed prior
year funds.
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
Homeowner Housing Rehabilitated: 20 Household Housing Unit
Renter Housing Rehabilitated: 2 Household Housing Unit
Location Description
Citywide, eligible.
Annual Action Plan
2026
30
OMB Control No: 2506-0117 (exp. 09/30/2021)
Planned Activities
Planned activities include:
Acquisition of Real Property, matrix code 01, 24 CFR 570.202(b)(1), 01,
24 CFR 570.208(a)(3)
Disposition of Real Property, matrix code 02, 24 CFR 570.201(b), 24
CFR 570.208(a)(3)
Rehabilitation: Single-Unit Residential, matrix code 14a, 24 CFR
570.202(a), 24 CFR 570.208(a)(3)
Rehabilitation: Energy Efficiency Improvements, matrix code 14F, 24
CFR 570.202(b)(4), 24 CFR 570.208(a)(3)
Rehabilitation: Acquisition, matrix code 14G, 24 CFR 570.202(b)(1), 24
CFR 570.208(a)(3)
4 Project Name
CDBG: Economic Development
Target Area
Citywide Low/Mod Eligible
Goals Supported
3A Economic Development Opportunities
Needs Addressed
Economic Development Opportunities
Funding
CDBG: $ 0.00
Annual Action Plan
2026
31
OMB Control No: 2506-0117 (exp. 09/30/2021)
Description
The City will provide funding to promote economic growth by
supporting initiatives that enhance workforce development and assist
micro-enterprises with services benefiting low- to moderate-income
individuals and areas.
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
Businesses Assisted: TBD
Location Description
Citywide, eligible.
Planned Activities
Planned activities include:
Economic Development: Microenterprise Assistance, matrix code 18c,
24 CFR 570.201(o), 24 CFR 570.208(a)
5 Project Name
CDBG: Public Facilities & Infrastructure
Target Area
Citywide Low/Mod Eligible
Goals Supported
4A Public Facilities & Infrastructure
Needs Addressed
Public Facilities & Infrastructure
Funding
CDBG: $ 1,787,136.03
Annual Action Plan
2026
32
OMB Control No: 2506-0117 (exp. 09/30/2021)
Description
The City will provide funding to upgrade and expand public facilities
and infrastructure to enhance community accessibility, safety, and
quality of life for low- to moderate income individuals and areas. This
project includes reprogrammed prior year funds.
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
Public Facility or Infrastructure Activities other than Low/Mod Income
Housing Benefit: 2,000 Persons Assisted
Location Description
Citywide, low/mod areas.
Planned Activities
Planned activities include:
Homeless Facilities, matrix code 03C, 24 CFR 570.201(c), 24 CFR
570.208(a)(2)
Neighborhood Facilities, matrix code 03E, 24 CFR 570.201(c), 24 CFR
570.208(a), 24 CFR 570.208 (a)(1)
ADA improvements, matrix code 03Z, 24 CFR 570.201(c), 24 CFR
570.208(a), 24 CFR 570.208 (a)(1)
6 Project Name
HESG: Homeless Prevention & Rapid Rehousing
Target Area
Citywide Low/Mod Eligible
Annual Action Plan
2026
33
OMB Control No: 2506-0117 (exp. 09/30/2021)
Goals Supported
5A Homeless Prevention & Rapid Rehousing
5B Homeless Shelter & Services
Needs Addressed
Homeless Housing and Services
Funding
ESG: $46,008.46
Description
In PY2025-2026 the city of Tempe was no longer eligible to
receive ESG funds through HUD's federal funding formula. The
Consolidated Plan goals associated with this project, 5A Homeless
Prevention & Rapid Rehousing, 5B Homeless Shelter & Services,
were created in the 2025-2029 Consolidated Plan and will remain
funded until prior year ESG funds are fully expended. Prior year
funds are projected in the amount of $46,008.46
Target Date
06/30/2027
Estimate the number
and type of families that
will benefit from the
proposed activities
N/A
Location Description
Citywide, eligible.
Planned Activities
Emergency Solutions Grants (ESG) rapid re-housing program, 24 CFR
576.104 covers the rapid re-housing component, which provides
housing relocation, stabilization services, and rental assistance to help
homeless individuals and families quickly move into permanent
housing.
Annual Action Plan
2026
34
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-50 Geographic Distribution - 91.420, 91.220(f)
Description of the geographic areas of the entitlement (including areas of low-income and
minority concentration) where assistance will be directed
The City does not necessarily target funds geographically; however, funds must serve low- and
moderate-income individuals and families or be directed towards neighborhoods with a prominent
low/mod income population. The City will use the following definitions to describe its objectives as
defined by HUD as: eligible individuals benefitting from program services are low/mod clientele (LMC);
eligible households benefitting from housing activities are low/mod households (LMH); and eligible
activities that target a low/mod area (LMA). HUD defines a low/mod area as a “low/mod block group
tract”, which is an area that is primarily residential and where at least 51 percent of the residents are
low- and moderate-income persons.
Geographic Distribution
Target Area
Percentage of Funds
Citywide Low/Mod Eligible
100
Table 8 - Geographic Distribution
Rationale for the priorities for allocating investments geographically
The City of Tempe has elected not to allocate resources geographically but will ensure compliance with
CDBG national objective and eligibility requirements for funded activities.
Direct services such as public services (LMC) and affordable housing rehab benefits (LMH) are based on
household income eligibility rather than area benefit. For these activities, City staff and/or one of its
subrecipients will complete an application and determine eligibility before the activity is initiated.
Certain activities such as public facility and infrastructure improvements will serve a low/mod clients
and/or low/mod neighborhood or area (LMA) and have an “area-wide” benefit. Per HUD requirements,
these areas must be within an eligible Low/Mod census block group tract, as defined by HUD-CDBG
regulations, whereby most of the residents are low- to moderate-income (or 51%).
To determine LMI tracts the City utilizes HUD’s CDBG Low Mod Income Summary Data (LMISD) from the
HUD Exchange website, which has defined the eligible block group tracts within the jurisdiction. The
tracts can be found at: https://www.hudexchange.info/programs/acs-low-mod-summary-data/.
Discussion
N/A
Annual Action Plan
2026
35
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-65 Homeless and Other Special Needs Activities - 91.420, 91.220(i)
Introduction
The strategies to reduce and end homelessness include increasing emergency shelter options and
providing additional housing choices. The City will expand its outreach efforts by adding more staff to
address the community's growing needs. Each staff member has specialized training in areas such as
homeless youth aged 18-24, persons with mental illness, families, and veterans, with up to 90% having
lived experience. The increased emergency shelter options will enable the team to assist individuals in
preparing for housing by helping them obtain photo ID, birth certificates, Social Security cards, and
conducting housing assessments for permanent housing options through Coordinated Entry and the
Tempe Housing Authority (THA). These actions are part of the larger strategy to combat homelessness:
1. Increase dedicated homeless outreach in City parks
2. Ensure 24/7 mental health and substance use response and support
3. Enhance park and desert preserve maintenance and cleanup efforts
4. Communicate results and provide opportunities for neighborhood engagement
5. Refine park security through Park Rangers and G4S security company deployment
6. Provide necessary shelter and housing strategies for those experiencing homelessness
Tempe will also use HOME funds, disbursed through the HOME Consortium, to provide Tenant-Based
Rental Assistance.
Describe the jurisdictions one-year goals and actions for reducing and ending homelessness
including reaching out to homeless persons (especially unsheltered persons) and assessing
their individual needs
The Maricopa Association of Governments (MAG) Continuum of Care (CoC) has a Coordinated Entry
program where homeless or at-risk of homeless can access services and emergency housing that meets
their unique situation. Local agencies help assist the homeless with referrals, resources, and services
tailored to meet the needs of those who are chronically homeless, homeless families with children,
veterans and their families and unaccompanied youth. The CoC has several sites across the region
where the homeless and those at-risk can access Coordinated Entry. In Tempe, access to Coordinated
Entry is available through the City’s HOPE street outreach team, who can be reached by calling the Care
& HOPE line at (480)350-8004. The HOPE street outreach team has grown to include 13 street outreach
specialists, and a dedicated supervisor. HOPE Street outreach utilizes a GIS app to record engagement
data while in the field. In FY 2026 the team will continue to use and improve this tool for continued
refinement of their street outreach efforts. The team now provides coverage from 6:00am to midnight,
7 days a week, with the goal of offering solutions to end individuals' homelessness at any time and
location in the City of Tempe. Additionally, the City of Tempe’s IT Department has developed ARC GIS
apps for encampment reporting and verification. These tools help identify areas of need and target
dispatch responses to those areas, aiding in efforts to connect homeless individuals with resources and
Annual Action Plan
2026
36
OMB Control No: 2506-0117 (exp. 09/30/2021)
shelter.
Addressing the emergency shelter and transitional housing needs of homeless persons
The City of Tempe has made significant investments in increasing shelter availability to support the
HOPE team's efforts to end homelessness. The City has expanded the number of City-operated shelter
units to 80 and has also invested in dedicated case managers for the shelters. Each case manager will
have a caseload of 20-25 individuals. With this dedicated service, the goal is to ensure a high utilization
rate of all shelter rooms and to help shelter residents transition to stable housing within their 30- to 90-
day stay.
A program called Step Into Housing, in partnership with TCAA's I-HELP shelter, aims to efficiently utilize
all shelter space in the City of Tempe. The program's goal is to help participants become document and
housing-ready during their 90-day stay at TCAA's congregate shelter setting and then transition into
available non-congregate shelter for a successful housing resolution within the 30- to 90-day stay. The
stability of shelter allows for supportive services and increases the chances of successfully transitioning
to a permanent housing solution.
Helping homeless persons (especially chronically homeless individuals and families, families
with children, veterans and their families, and unaccompanied youth) make the transition to
permanent housing and independent living, including shortening the period of time that
individuals and families experience homelessness, facilitating access for homeless individuals
and families to affordable housing units, and preventing individuals and families who were
recently homeless from becoming homeless again
In 2021, the City of Tempe purchased the Rodeway Inn located at 2101 E. Apache Blvd. The purchase of
what would become Sue’s Espacio was made using $3.3 million in federal funds from the American
Rescue Plan Act, added 40 temporary bridge shelter housing units in Tempe. This acquisition has
expanded the City's capacity to provide safe and decent temporary shelter. Sue’s Espacio is crucial in
providing stability for individuals and families in crisis, as they work with Community Health & Human
Services staff to find more permanent housing solutions.
The Tempe Coalition for Affordable Housing, Inc., an affiliate Non-Profit (a 501 C 3) of the Tempe
Housing Authority (THA), operates an Emergency Unit program for individuals experiencing
homelessness and victims of domestic violence. This program offers safe and stable housing while those
in need work with Community Health and Human Services staff to access social services and permanent
housing. It is operated in collaboration with Housing Services and Homeless Solutions in the Community
Health and Human Services Department.
In Maricopa County, there is a waiting list for family shelters that can sometimes be up to four months
long. These issues also exist in Tempe; however the emergency units have been set up, which are fully
furnished apartments providing supportive services and a safe place for families experiencing
Annual Action Plan
2026
37
OMB Control No: 2506-0117 (exp. 09/30/2021)
homelessness until they are called for family shelter in the community. This model helps to increase
family shelter capacity throughout the entire community. It also allows for the acquisition of necessary
documents to assist individuals when they are ready for housing or reach the top of a waiting list for
housing. Additionally, there is a connection with the homeless school liaison to ensure that children stay
enrolled in school and have the resources they need to be successful. Community Health and Human
Services also offer scholarships for families experiencing homelessness for childcare, enabling parents to
work or go job hunting if their children are not of school age. Furthermore, families are connected with
local employment partners such as Tempe Works, or Maricopa Co. Arizona at Work, which allows for
greater self-sufficiency and reduces the likelihood of returning to homelessness.
Helping low-income individuals and families avoid becoming homeless, especially extremely
low-income individuals and families and those who are: being discharged from publicly
funded institutions and systems of care (such as health care facilities, mental health facilities,
foster care and other youth facilities, and corrections programs and institutions) or, receiving
assistance from public or private agencies that address housing, health, social services,
employment, education, or youth needs.
The City of Tempe has a Mental Health Court that helps individuals who are mentally ill and
experiencing homelessness to access housing and supportive services upon their release from jail. These
services include shelter, healthcare enrollment, food stamps, and other resources aimed at reducing the
likelihood of returning to jail. The City works closely with various departments, such as the Tempe PD,
the City Prosecutor's office, and Probation, to provide alternatives to jail. Additionally, the City offers
Tenant Based Rental Assistance to help individuals secure safe housing. Tempe will continue to provide
aggressive homeless outreach and navigation services, targeted public services, TBRA rental support for
'at-risk' low-income households, and specific support to the Rapid Rehousing Program, which aims to
help individuals regain permanent housing through rental assistance and other essential services. The
Rapid Rehousing Program also provides short to medium-term rental assistance and supportive services
to prevent individuals and families from moving into emergency shelters.
The City will refer to the MAG CoC and the Coordinated Entry program to address the needs of people
leaving systems of care or publicly funded institutions. Coordinated Entry will connect local agencies
with these individuals at-risk of homeless.
Discussion
N/A
Annual Action Plan
2026
38
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-75 Barriers to affordable housing -91.420, 91.220(j)
Introduction
The City recognizes that a variety of market conditions, public policies, and regulatory factors can affect housing affordability and limit housing
opportunities for low- and moderate-income households. As a largely built-out community experiencing continued population and economic
growth, Tempe faces increasing pressure on housing costs, land availability, and redevelopment activity. Rising rents, home prices, and
construction costs continue to impact housing affordability for residents throughout the community.
The City acknowledges broader economic conditions, including inflation, labor shortages, and increased material costs, continue to create
challenges for the development and preservation of affordable housing units.
Tempe remains committed to evaluating and addressing barriers to affordable housing through policy review, strategic planning, and
collaboration with regional and community partners. The City continues to support efforts that expand housing choice, preserve existing
affordable housing, and increase access to housing opportunities for low- and moderate-income households, seniors, persons with disabilities,
and individuals experiencing or at risk of homelessness.
Actions it planned to remove or ameliorate the negative effects of public policies that serve as barriers to affordable housing such
as land use controls, tax policies affecting land, zoning ordinances, building codes, fees and charges, growth limitations, and
policies affecting the return on residential investment
The City of Tempe continues to implement strategies and policies intended to reduce barriers to affordable housing development and
preservation. Through its Affordable Housing Strategy and related housing initiatives, the City works to encourage housing diversity, increase
housing supply, and support affordable and workforce housing opportunities throughout the community.
Actions undertaken or planned by the City include:
•
Supporting higher-density and mixed-use residential development in appropriate areas to maximize limited land availability and
encourage transit-oriented housing opportunities, as identified in the City’s General Plan 2050 and Affordable Housing Strategy. Source:
Annual Action Plan
2026
39
OMB Control No: 2506-0117 (exp. 09/30/2021)
City of Tempe General Plan 2050; City of Tempe Affordable Housing Strategy.
•
Permitting Accessory Dwelling Units (ADUs) in single-family residential zoning districts to expand housing options and increase smaller-
scale infill housing opportunities. In 2022, the Tempe City Council adopted amendments to the Zoning and Development Code
permitting ADUs citywide in single-family residential districts. Source: City of Tempe Zoning and Development Code Amendments
(2022); City of Tempe Community Development Department.
•
Collaborating with regional partners, nonprofit organizations, developers, and housing providers to leverage funding and identify
opportunities for affordable housing development and preservation through initiatives such as the Maricopa HOME Consortium and the
Tempe Coalition for Affordable Housing. Source: Maricopa HOME Consortium documents; City of Tempe Housing Services Division.
•
Utilizing federal resources, including Community Development Block Grant (CDBG), HOME Investment Partnerships Program (HOME),
and Emergency Solutions Grant (ESG) funds, to support affordable housing activities, housing rehabilitation, homelessness prevention,
and supportive services. Source: City of Tempe Housing Services Division; Annual Action Plans and Consolidated Plan documents.
•
Supporting Housing Choice Voucher programs, landlord outreach, and rental assistance efforts administered through the Housing
Services Division to expand access to affordable rental housing for lower-income households. Source: City of Tempe Housing Services
Division; PHA Plan.
•
Continuing implementation of the City’s Hometown for All initiative and Affordable Housing Strategy, which include goals related to
affordable housing production, preservation, homelessness response, and housing stability. Source: Hometown for All Initiative; City of
Tempe Affordable Housing Strategy.
•
Evaluating development processes and regulatory requirements to identify opportunities to improve efficiency and reduce unnecessary
barriers to housing development while maintaining health and safety standards. Source: City of Tempe Community Development
Department; General Plan 2050.
•
Encouraging partnerships that support the preservation of existing affordable housing units and long-term housing affordability through
acquisition, rehabilitation, and supportive housing efforts. Source: City of Tempe Housing Services Division; Affordable Housing Strategy.
The City will continue reviewing policies, programs, and development regulations to identify additional opportunities to reduce barriers to
Annual Action Plan
2026
40
OMB Control No: 2506-0117 (exp. 09/30/2021)
affordable housing and support equitable housing outcomes for Tempe residents.
Discussion
N/A
Annual Action Plan
2026
41
OMB Control No: 2506-0117 (exp. 09/30/2021)
AP-85 Other Actions - 91.420, 91.220(k)
Introduction
The projects included in PY 2026 Annual Action Plan were chosen for the range and quality of services
and programs geared toward the most vulnerable residents in Tempe, and for their alignment with the
priorities detailed in the City’s Five-Year Consolidated Plan. These projects will address several of the
planning objectives of the City of Tempe to address obstacles to meeting underserved needs; foster and
maintain safe and affordable housing; reduce the number of poverty-level families; develop institutional
structure; and enhance coordination between public and private housing and social service agencies.
Actions planned to address obstacles to meeting underserved needs
The City will continue to seek new funding sources for programs to address underserved needs. Funding
continues to be the major obstacle in providing services needed for the vast and unique variety of issues
that prevent individuals and families from breaking out of poverty. To help prioritize activities that
address these needs the City conducted a community survey in 2023, and residents identified homeless
services and crime prevention/police services as top priorities in Tempe.
The City will partner with the Continuum of Care (CoC) to address the needs of homeless persons in
Tempe. In the most recent 2025 PIT Count reported by the CoC, there were 306 unsheltered persons in
Tempe on a given night in January. This was a decrease from prior reporting years, but still the third
highest among cities in the CoC region. The City conducted a community survey in 2023, and residents
identified homeless services as the top priority in Tempe. Funded activities will include emergency
shelter services and rapid rehousing rental activities to help homeless households avoid returning to
crises situations.
Actions planned to foster and maintain affordable housing
With CDBG funds, the City will continue to provide the Emergency Home Repair program to low-and
moderate-income homeowners in need of health and safety repairs. According to the City Housing
Inventory and Affordability Analysis conducted in 2024, new home buyers and renters are less secure
because of the drastic increases in rents and home sale prices since 2020. The activities funded in this
plan will help address these needs.
As an exiting member of the Maricopa County HOME Consortium, the City also receives HUD HOME
funding. The HOME Consortium is a legal entity created through an intergovernmental agreement
between Maricopa County, the Cities of Avondale, Chandler, Glendale, Peoria, Scottsdale, Surprise,
Tempe, Goodyear, and the Town of Gilbert. Each HOME Consortium member receives a pro rata share
of funds and uses them to meet the needs of their community. The County’s Five-Year Consolidated Plan
and Annual Action Plans also include the housing needs and activities of Tempe. The housing activities,
such as TBRA, are not listed in the goals and projects of this plan as Maricopa County is the direct
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recipient responsible for HOME, and they will be included in the HOME Consortium’s plan
Actions planned to reduce lead-based paint hazards
Tempe requires full compliance and enforcement of lead-based paint (LBP) regulations listed in 24 CFR
Part 35 as outlined in housing rehabilitation policies and procedures. Housing Services Division staff will
continue to provide lead poisoning prevention information to families. Full details of the actions the City
will take to reduce LBP hazards are listed in the SP-65 of the five-year Strategic Plan.
Overall, the actions planned to reduce lead-based paint hazards include but are not limited to:
Continue to meet HUD lead-based paint abatement standards in housing rehabilitation programs.
Seek additional funding as it becomes available to provide testing and abatement of lead-based paint
hazards in single-family housing where young children are present.
Expand the stock of lead safe housing units through housing initiatives.
Actions planned to reduce the number of poverty-level families
The activities outlined in this plan are designed to directly impact low- and moderate-income individuals
and households living below the poverty line in Tempe. The City will address identified priority needs
that work to reduce poverty in Tempe. These goals are housing rehab and acquisition; public services for
LMI and special needs persons; economic development opportunities; public facilities and infrastructure
improvements in low/mod areas; homeless shelter services and rapid rehousing rental assistance; and
effective management of the CDBG program. See the AP-20 for goals and AP-35 for details on the
projects and activities that will be undertaken for PY 2026.
The City will also continue its efforts in conjunction with the Continuum of Care and the Tempe
Community Action Agency (TCAA) and Tempe Community Council (TCC) programs to reduce the number
of poverty-level families through the development of services needed to assist those families with
emergency rent and utility assistance, hunger relief, financial success center, educational opportunities,
job growth, and life skills training through the various social service agencies operating in the City.
Actions planned to develop institutional structure
The Tempe's EnVision Center is a one-stop resource and response hub designed with the community to
meet their unique needs and help individuals and families thrive in Tempe. Through Community Health
and Human Services, with support from the City's nonprofit partner Tempe Community Council,
EnVision Center offers year-round programs and services such as help finding a job, technology classes,
parenting programs and more. Resources are available to the entire Tempe community and assist in
improving residents' overall quality of life. Through the Sustainability and Resilience Office, the EnVision
Center is the City's first resilience hub by acting as a heat relief location for residents on extremely hot
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days or in the event of a power outage.
Actions planned to enhance coordination between public and private housing and social
service agencies
Actions planned to develop institutional structure include but are not limited to:
•
Working with non-profit organizations to address community needs and providing support to
federal and non-federal funding initiatives.
•
Working with private industry to address important issues that hamper housing and community
development efforts.
•
Identifying opportunities to create private/public partnerships for project finance and
development to leverage federal funds.
Development of other community resources and regional cooperation in:
•
Maricopa HOME Consortium through the City's exit
•
MAG Continuum of Care on Homelessness and East Valley Needs Assessments
•
Arizona Fair Housing Coalition
•
Homeless Solutions Task Force
The actions are primarily the continuation of prior City policies/programs. No major obstacles in the
institutional structure have been identified that need to be addressed. The City will continue to
successfully coordinate with private housing and social service agencies.
Discussion
N/A
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Program Specific Requirements
AP-90 Program Specific Requirements - 91.420, 91.220(l)(1,2,4)
Introduction
Community Development Block Grant Program (CDBG)
Reference 24 CFR 91.220(l)(1)
Projects planned with all CDBG funds expected to be available during the year are identified in the
Projects Table. The following identifies program income that is available for use that is included in
projects to be carried out.
1. The total amount of program income that will have been received before
the start of the next program year and that has not yet been reprogrammed
$25,000.00
2. The amount of proceeds from section 108 loan guarantees that will be
used during the year to address the priority needs and specific objectives
identified in the grantee's strategic plan
$0
3. The amount of surplus funds from urban renewal settlements
$0
4. The amount of any grant funds returned to the line of credit for which the
planned use has not been included in a prior statement or plan.
$0
5. The amount of income from float-funded activities
$0
Total Program Income
$25,000
Other CDBG Requirements
1. The amount of urgent need activities
$0.00
2. The estimated percentage of CDBG funds that will be used for activities that
benefit persons of low and moderate income. Overall Benefit - A consecutive period
of one, two or three years may be used to determine that a minimum overall benefit
of 70% of CDBG funds is used to benefit persons of low and moderate income. Specify
the years covered that include this Annual Action Plan.
1
Emergency Solutions Grant (ESG)
Reference 91.220(l)(4)
1. Include written standards for providing ESG assistance (may include as attachment)
City of Tempe is no longer eligible through HUD's funding formula to receive ESG funds.
2. If the Continuum of Care has established centralized or coordinated assessment system that
meets HUD requirements, describe that centralized or coordinated assessment system.
City of Tempe is no longer eligible through HUD's funding formula to receive ESG funds.
3. Identify the process for making sub-awards and describe how the ESG allocation is available
to private nonprofit organizations (including community and faith-based organizations).
City of Tempe is no longer eligible through HUD's funding formula to receive ESG funds. The
City will continue to allocate prior year ESG funds to activities that are eligible under the ESG
program. The City Council has final approval of these allocations.
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4. If the jurisdiction is unable to meet the homeless participation requirement in 24 CFR
576.405(a), the jurisdiction must specify its plan for reaching out to and consulting with
homeless or formerly homeless individuals in considering policies and funding decisions
regarding facilities and services funded under ESG.
City of Tempe is no longer eligible thorugh HUD's funding formula to receive ESG funds.
5. Describe performance standards for evaluating ESG.
City staff will evaluate performance under the ESG program primarily by tracking beneficiaries
assisted with prior year rapid re-housing dollars. The City will also use the timely distribution of
funds as a performance standard. Program outcomes will be reported in the Consolidated Annual
Performance Evaluation Report (CAPER). The City will monitor ESG subrecipients to ensure that
funds have been spent on eligible costs and that the program regulations and requirements have
been met. The ESG program requires that the city must provide a 100% match from other sources.
The City shall ensure that match amounts including other grants, cash, general funds, in kind
services/costs are tracked and documented for both its own operations and the operations
Discussion
N/A