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SR 06-25-2019 3J City Council Report City Council Meeting: June 25, 2019 Agenda Item: 3.J 1 of 5 To: Mayor and City Council From: Katie Lichtig, Assistant City Manager, City Manager's Office Subject: Adopt a Resolution to Accept Grants for Homelessness Facilities Study Recommended Action Staff recommends that the City Council: 1. Adopt a Resolution to Authorize the City Manager to accept grant awards in the amounts of $100,000 from the California Community Foundation on behalf of Cedars-Sinai Medical Center and $300,000 from the Los Angeles County Homeless Initiative for the hiring of a consultant team to prepare a feasibility study on the interim and permanent housing needs of the City’s homeless population with recommendations, and staff administrative costs. 2. Authorize the City Manager to execute all necessary documents to accept the grant and all grant renewals. 3. Authorize the budget changes as outlined in the Financial Impacts & Budget Actions section of this report. Summary Homelessness in Santa Monica increased by a modest 3% in 2019, however the needs of this homeless population are growing increasingly complex and straining the existing homeless facilities infrastructure. On March 26, 2019, Council directed staff to assess the feasibility of possible sites for the replacement of the City’s emergency housing facility, SAMOSHEL (attachment A). Staff has secured $100,000 from the California Community Foundation on behalf of Cedars-Sinai Medical Center and $300,000 from the County of Los Angeles to fulfill this directive, and is asking for Council authorization to accept these grant funds to underwrite a comprehensive study of the facility needs for Council’s priority focus on reducing homelessness. Discussion The City of Santa Monica is obviously affected by the growing regional homelessness crisis. In 2019, the City’s homeless population increased by 3% according to the results of the citywide point-in-time homeless count, while homelessness across Los Angeles 2 of 5 County increased by 12%. Santa Monica’s success in stabilizing its annual count is attributed to its continuum of local interim and permanent housing resources, and the new field-based outreach and engagement interventions. Our expanded efforts were made possible by the infusion of one-time funding in late 2017 to expand street multidisciplinary outreach teams, embed homeless services into open spaces such as the Library and parks, and increase intra-city coordination led by the Senior Advisor to the City Manager on Homelessness. SAMOSHEL, the City’s long-standing emergency housing facility has been an important asset in the delivery of services for people seeking refuge from street homelessness. SAMOSHEL, located at 505 Olympic Blvd., is owned by the City and leased to The People Concern (TPC, formerly known as OPCC). The site was constructed following the adoption of an emergency ordinance on April 26, 1994, which identified the City- owned property at 505 Olympic as available for this use and exempted most development and permit requirements to quickly provide shelter for 75-100 people sleeping in open spaces in the interest of public health, safety and welfare. Still operating 25 years later, the “temporary” sprung tent structure houses many of the Westside region’s single adult homeless population. The needs of the homeless population however are changing, including a steady increase in the elderly experiencing homelessness and persons with more complex physical and behavioral health needs. As additional interim and permanent housing units funded by L.A. County Measure H and L.A. City Prop HHH come online in neighboring communities over the next three years, the City will have an opportunity to reassess the needs of local residents who have fallen into homelessness and those experiencing chronic homelessness in Santa Monica, and who meet the City’s requirements for permanent housing resources. At the conclusion of the March 26, 2019 Annual Report on Homelessness presentation, Council directed staff to pursue a feasibility study of possible sites for a permanent structure to house SAMOSHEL. At a minimum, the proposed project will include a plan to replace the existing sprung tent structure with a permanent site for interim housing, 3 of 5 create additional units of permanent supportive housing, and assess the feasibility of an urgent-care behavioral health center to mitigate anti-social behaviors in open spaces by persons in behavioral health crisis. Local examples of multi-use sites for homelessness services include L.A. Family’s “The Campus” in North Hollywood, and the City of Lancaster’s Kensington Campus. Multi-use homeless services sites are complex development deals that require technical knowledge, a transparent community engagement process, and a multi-layered capital and operating funding plan. Given the pipeline of existing City priorities and in -depth technical expertise required for a thorough feasibility analysis, staff recommend s the hiring of a consultant to conduct this study. Cedars-Sinai Medical Center has committed a $100,000 grant to be awarded to the California Community Foundation (CCF) acting as the City’s nonprof it fiscal sponsor. CCF will then release funds to the City to underwrite the consulting contract. The County of Los Angeles is also awarding staff a grant of $300,000 through the County of Los Angeles’ Homeless Initiative Cities Implementation Grant program. This grant will underwrite the consultant and staff time dedicated to the oversight of this project. This grant does not require a City match. The City is awaiting the contract from the County and anticipates that funding will be available no later than September 1, 2019. The City will issue a request-for-proposals (RFP) to select a consultant and return to Council with a recommendation to award a contract. Staff recommend a consultant with a cross-disciplinary team that demonstrates expertise in architectural services, land- use, development of homeless housing and facilities, finance, project management, and community engagement. The consultant will also have knowledge of homelessness services and housing models including interim and permanent housing design and standards; and experience in creating an urgent care behavioral health services center. Given the complexities of planning for a multi-discipline homeless services center in the Los Angeles region, the consultant must have previous experience working in Los Angeles County and be familiar with the Santa Monica community. Staff anticipate the completion of the feasibility study will require approximately 3,000 consulting hours over a two-year period (July 1, 2019 – June 30, 2021) for an estimated cost of $340,000. The remaining $60,000 would be used for staff administrative costs. 4 of 5 Past Council Actions Meeting Date Description 03/26/19 (attachment A) Annual Report on Homelessness Staff Report requesting direction from Council to proceed with feasibility analysis of possible sites for the replacement of SAMOSHEL and associated community engagement process and return to Council with recommendations 03/22/19 (attachment B) Information Item – Response to SAMOSHEL complaints outlines the history of SAMOSHEL and its current challenges in meeting the needs of today’s homeless population. Financial Impacts and Budget Actions Staff seeks authority to accept a grant from the California Community Foundation on behalf of Cedars-Sinai for $100,000 and from the County of Los Angeles for $300,000 to purchase consulting services to conduct a feasibility study for a re-imagined SAMOSHEL facility. Budget for the $100,000 grant from Cedars-Sinai has been included in the final changes to the FY 2019-21 Proposed Biennial Budget. If the $300,000 grant from County of Los Angeles is awarded, the following budget changes will be required: FY 2019-20 Grant Budget Changes Establish Revenue Budget Appropriate Funds Account Number(s) Amount Account Number(s) Amount 20200004.405550 300,000 20200004.555970 300,000 If renewals are awarded, budget changes will be included in subsequent year budgets, contingent on Council budget approval. Prepared By: Alisa Orduna, Senior Advisor to the City Manager on Homelessness Approved Forwarded to Council 5 of 5 Attachments: A. Resolution - SMO - Accept Grants Homeless Services - 06.25.2019 B. March 26, 2019 Staff Report C. March 22, 2019 Information Item D. Written Comments 1 City Council Meeting: June 25, 2019 Santa Monica, California RESOLUTION NUMBER _________ (CCS) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA TO AUTHORIZE THE CITY MANAGER TO ACCEPT GRANT FUNDS IN THE AMOUNT OF $100,000 FROM THE CALIFORNIA COMMUNITY FOUNDATION AND $300,000 FROM THE COUNTY OF LOS ANGELES FOR A FEASIBILITY STUDY ON HOUSING NEEDS OF THE HOMELESS POPULATION; AND TO AUTHORIZE THE CITY MANAGER TO EXECUTE ALL NECESSARY DOCUMENTS RELATED TO THESE GRANTS WHEREAS, the City of Santa Monica seeks to pursue a feasibility study on the interim and permanent housing needs of the City’s homeless population (“City’s Feasibility Study”); and WHEREAS, the California Community Foundation (“CCF”) has received grant funds in the amount of $100,000 from Cedars-Sinai Medical Center to support the City’s Feasibility Study (“Cedar-Sinai Grant”), and CCF has designated the City of Santa Monica as a subgrantee of the Cedar-Sinai Grant; and WHEREAS, the County of Los Angeles has also awarded a grant in the amount of $300,000 to the City of Santa Monica (“County Grant”) to apply towards the City’s Feasibility Study; and WHEREAS, the City Council seeks to accept both the Cedar -Sinai Grant and the County Grant. 2 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AS FOLLOWS: SECTION 1. The City Council of the City of Santa Monica authorizes the City Manager to negotiate and execute a grant agreement with the California Community Foundation to accept a grant in the amount of $100,000 from the Cedar-Sinai Medical Center, and to execute all documents related to this grant. SECTION 2. The City Council of the City of Santa Monica also authorizes the City Manager to negotiate and execute a grant agreement with t he County of Los Angeles for a grant from the County of Los Angeles in the amount of $300,000, and to execute all documents related to this grant. SECTION 3. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: _________________________ LANE DILG City Attorney 1 Vernice Hankins From:zinajosephs@aol.com Sent:Tuesday, June 18, 2019 9:37 PM To:councilmtgitems; Gleam Davis; Greg Morena; Sue Himmelrich; Ana Maria Jara; Councilmember Kevin McKeown; Ted Winterer; Terry O’Day Cc:zinajosephs@aol.com Subject:City Council 6/25/19 item 3-J -- feasibility study on interim and permanent housing for the homeless "Staff anticipate the completion of the feasibility study will require approximately 3,000 consulting hours over a two-year period (July 1, 2019 – June 30, 2021) for an estimated cost of $340,000." Two years and $340,000 to study the feasibility? Incredible! Where are we planning to put this housing that it takes two years to study, on Mars? Zina Item 3-J 06/25/19 1 of 1 Item 3-J 06/25/19 REFERENCE: Resolution No. 11180 (CCS)