SR-6D (22)
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City Council Meeting: 6/29/93
Santa Monica, California
TO: Mayor and city Council
FROM: city Staff
SUBJECT: Request to Approve a Resolution of the city council
Authorizing the Submittal of a Funding Application to
the U.S. Department of Housing and Urban Development
for Shelter Plus Care Funding to Assist Homeless
Persons
INTRODUCTION
This report requests the City Counci 1 approve the attached
Resolution authorizing the submittal of a funding application to
the u. S. Department of Housing and Urban Development (HUD) for
Shelter Plus Care funding to assist homeless persons.
BACKGROUND
HOD has recently issued a Notice of Funding Availability for the
Shelter Plus Care program offering $300 million through a
nationwide competition. The purpose of the Shelter Plus Care
Program is to provide long-term rental assistance in connection
with supportive services, funded from sources other than this
program, to homeless persons with disabilities. The application
deadline is July 9, 1993.
Assistance through this program is targeted primarily at homeless
persons with disabilities including people with serious mental
illness; chronic problems with alcohol, drugs, or both; or have
the HIV/AIDS infection; and the families of such persons. The
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program is designed to provide housing in a variety of settings,
such as group settings or individual units in the community.
Assistance is provided through four components:
(1) Tenant-based Rental Assistance (TRA), provides grants
for rental assistance over a five-year period.
Participants reside in housing of their choice except
that, where necessary, to facilitate the coordination of
supportive services, grant recipients may require
participants to live in a specific area.
(2) sponsor-based Rental Assistance (SRA) , provides grants
for rental assistance through contracts with sponsor
organizations over a five-year period. A sponsor may be
a private, nonprofit organization. Participants reside
in housing owned or leased by the sponsor.
(3) Project-based Rental Assistance (PRA), provides grants
for rental assistance, through contracts between the
grant recipient and owners of existing structures, where
the owner agrees to lease the subsidized units to
participants. Rental subsidies are provided for a
period of five or ten years. To be eligible for 10
years of rental assistance, the owner must complete, at
the owner's expense, at least $3,000 of rehabilitation
for each unit.
(4) Section 8 Moderate Rehabilitation for sinqle Room
Occupancy Dwellings for Homeless Individuals {SRO),
provides grants for rental assistance in connection with
the moderate rehabilitation of SRO housing units.
Resources to fund the cost of rehabilitating the
dwellings must be obtained from other sources. Rental
assistance is available for ten years.
DISCUSSION
In April, 1992, the city Council directed city staff to initiate
efforts to identify non-City funds to implement the
recommendations of the Task Force on Homelessness. The Task
Force on Homelessness report, A Call to Action, strong1y urges
the City to develop a wide range of supportive housing 1inked to
services and made up of small to medium sized facilities or
rental units scattered throughout the city. The Shelter Plus
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Care program, if funded, would assist in fulfilling this
recommendation.
The city's Housing Authority and community and Neighborhood
Services Division will work in close partnership with local
nonprofit homeless and housing service providers to implement a
comprehensive supportive housing program that seeks to: 1)
increase residential stability; 2) increase the skill and income
level of the participants; and 3) provide greater
self-determination for all those who participate in the program.
The primary goal of this program will seek to prevent the
recurrence of homelessness through the provision of a
comprehensive network of social services and through intensive
follow-up and tracking.
City staff seeks to apply for approximately $3 to $4 million in
funding through a combination of tenant-based and project-based
rental assistance program. components. The funding application
will provide approximately 100-150 rental assistance certificates
and will target between 120-175 homeless persons with
disabilities over a five year period. Eight percent (8%) of the
total grant funding request will be used by the Housing Authority
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for general administration and implementation of the program.
The Housing Authority, through their experience and expertise in
administering the Section a rental subsidy program, will
administer the Shelter Plus Care rental assistance program. This
will include: 1) determining the Fair Market Rent (FMR) , 2)
determining the participants' rent share, 3) performing property
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inspection, 4) preparing and submitting the necessary reports to
HUD, 5) ensuring lease-up, and 6) performing annual
certifications of income.
The following agencies will provide outreach, screening and
primary service coordination: CLARE Foundation, Didi Hirsch
Community Mental Health Center, Ocean Park Community Center, st.
Joseph Center, and Step Up on Second. In addition, other
organizations will be integrally involved, including but not
limited to: Community Corporation of Santa Monica, Connections
for Children, Jewish Vocational service, Santa Monica AIDS/HIV
Program, Santa Monica West Mental Health Center, and Venice
Family Clinic.
A $1 for $1 cash match will be required equal to the total amount
of assistance sought through the Shelter Plus Care program. This
cash match requirement will be met through the cash value of
supportive services provided by each participating organization.
The City will not be required to allocate additional City
resources to meet this requirement.
The grant application due on July 9, 1993, represents the first
phase of a two-phased application process. The first phase
constitutes a review of the general program concept and
implementation plan. This includes a review of the grant
application's effectiveness in meeting basic eligibility criteria
and how well it can demonstrate an innovative and comprehensive
program plan. If the grant application is among the highest
ranked during this first phase review, the applicant will be
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conditionally selected for a grant award. The applicant then
must submit a second application as part of a more technical
review to document strong financial resource commitments, site
control (if applicable), and compliance with all environmental
review requirements.
Although the City . not required to allocate additional
1S resources as a cash match for this grant application, City staff
may seek additional city funds to strengthen service delivery to
participants if the grant application is conditionally approved
for funding. This additional funding may be allocated from the
funds identified to implement the Task Force on Homelessness
recommendations approved by city Council in April, 1992.
BUDGETARY IMPACT
The city will not be required to allocate additional City funds
as a result of funding through BUD's Shelter Plus Care program.
The cash match requirements will be met through the supportive
services to be provided by the participating nonprofit
organizations, which may include grant funding allocated through
the City's Community Development Program approved by the City
Council on June 22, 1993.
If awarded, the Shelter Plus Care grant will provide between
$240,000 to $320,000 in additional funding to the city over a 5
year period for the administration and oversight of this program
to be performed through the Housing Authority.
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RECOMMENDATION
City staff recommends that the City Council approve the attached
Resolution: 1) authorizing submittal of a funding application to
HUD for Shelter Plus Care funding to assist homeless persons; 2)
authorizing the city Manager to act on behalf of the city to sign
all necessary documents required to complete the grant
application; 3) if funded, authorizing the City Manager to act on
behalf of the City to sign all necessary documents required to
receive grant funds; and 4} authorizing the City Manager to
negotiate and execute contracts with participating organizations
to assure service coordination and delivery.
In addition, City staff recommends City Council approve, in
concept, the allocation of additional city resources if the
city's Shelter Plus Care grant application is successfully
selected for funding by HUD.
Prepared by: Susan McCarthy, Director
Julie Rusk, Acting Manager
Community and Neighborhood Services Division
Cultural and Recreation Services Department
Jeff Mathieu, Director
Steve Wagner, Housing Coordinator
Housing Authority
Resource Management Department
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RESOLUTION NUMBER 8616 (CCS)
(City Counc~l series)
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF SANTA MONICA AUTHORIZING THE SUBMITTAL
OF A FUNDING APPLICATION TO THE U.S. DEPARTMENT
OF HOUSING AND URBAN DEVELOPMENT FOR SB~LTER PLUS CARE
FUNDING TO ASSIST HOMELESS PERSONS
WHEREAS, the U.s. Department of Housing and Urban Development
has issued a NOTICE OF FUNDING AVAILABILITY FOR SHELTER PLUS
CARE; and
WHEREAS, the city of Santa Monlca lS eligible as a unit of
local government; and
WHEREAS, the City is therefore eligible to apply for Shelter
Plus Care funding; and
WHEREAS, the C1 ty Manager can act on behalf of the city of
Santa Monica and will sign all necessary documents required to
complete the grant application; and
WHEREAS, the City of Santa Monica lS capable of and willing
to apply for funds and wlll supervise the implementation and
operat~on of this program if funded; and
WHEREAS, the grant application is consistent with the city's
Comprehensive Housing Affordability strategy (CRAS) I
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. The city council hereby authorizes the city
Manager to prepare and file a grant application, including all
understanding and assurances contained therein.
SECTION 2. The Clty Council further authorizes the Clty
Manager to act in connection with the application, to provlde
additional information as may be required, enter into a contract
and any amendment thereto, and perform any and all
responsibilities in relation to such a contract.
SECTION 3. The City of Santa Monica agrees to contract with
the U. s. Department of Housing and Urban Development to operate
the funded program on its behalf.
SECTION 4. The Clty Clerk shall certify to the adoption of
this Resolution, and thenceforth and thereafter the same shall be
in full force and effect.
Approve as to Form:
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-'J~ePh nawrence
~ ing City Attorney
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Adopted and approved this 29th day of June, 1993
:~ If, b
ayor
I hereby certify that the foregolng Resolution No. 8616(CCS)
was duly adopted by the City Council of the City of Santa Monica
at a meet~ng thereof held on June 29, 1993 by the follow~ng
Councll vote:
Ayes: Councllmembers: Abdo, Genser, Greenberg,
Holbrook, Olsen, Rosenstein,
Vazquez
Noes: Counc~lmembers: None
Abstain: Councllmembers. None
.ZUJsent Councllmembers: None
ATTEST:
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