REPORT TO COUNCIL
SUBJECT
Title
Approve Agreement with Sunnyvale Community Services for Homelessness Prevention and Rapid Re-Housing (HPRR) Program Grant of $250,000
Report
BACKGROUND
The City serves as administrator of the Sunnyvale Housing Successor Agency (SHSA) pursuant to Resolution 516-12, adopted by Council on January 10, 2012. The City, on behalf of the SHSA, took over the housing-related duties of the City’s former Redevelopment Agency (RDA) pursuant to the state laws that dissolved redevelopment agencies in 2012. The SHSA received its first deposit of previously deferred RDA housing set-aside tax increment revenues into the new Low-Moderate Income Housing Asset (LMH) fund in January 2015. The deposit was slightly over $440,000. Highly detailed state laws govern the use of the LMH funds, limiting the types of housing projects and programs that can be funded with LMH.
A recently enacted state law, SB 341 of 2013, allows housing successor agencies to use up to $250,000 in LMH funds annually for HPRR programs that comply with the post-dissolution RDA statutes. HPRR programs help homeless people move into housing quickly, and provide assistance to households at imminent risk of homelessness to prevent them from becoming homeless. The FY 2015/16 Project Budget includes a project with an appropriation of $250,000 in LMH funds for a new HPRR program.
EXISTING POLICY
2015-2020 Sunnyvale Consolidated Plan:
Goal B: Alleviation of Homelessness. Help people who are currently homeless or at imminent risk of homelessness to obtain housing, employment or other sources of income, and adequate support services/networks to achieve stability.
1.F To the extent that local (non-HUD) funding is available for this purpose, provide funding for a Sunnyvale homelessness prevention and rapid re-housing program.
ENVIRONMENTAL REVIEW
This action is exempt from environmental review because it is not a project within the meaning of the California Environmental Quality Act (CEQA) as it involves an administrative activity that will not result in direct or indirect physical changes in the environment (Guideline 15378(b)(5)).
DISCUSSION
HPRR programs are based generally on the federal Homelessness Prevention and Rapid Re-Housing Program (HPRP), which was launched as part of the 2009 Recovery Act (ARRA), and on related best practices and guidance offered by homelessness advocacy and research groups. In 2009, the City received slightly over half a million dollars in ARRA funds, and sub-granted most of it to SCS to implement the HPRP program in Sunnyvale. The program was completed within one year.
The RFP for new HPRR proposals was reviewed and approved by the HHSC on February 25, 2015 and issued on March 5. Notice of the RFP was publicized on the Housing Division web page and distributed through various housing and service provider outreach channels throughout the County.
Staff received just one proposal from Sunnyvale Community Services (SCS) by the submittal deadline. Staff reviewed the proposal and determined it satisfied the requirements of the RFP for funding. SCS’s proposal and prior experience with the HPRP program demonstrated a thorough understanding of the RFP and the ability to implement the new HPRR program. The proposal was reviewed and recommended for funding by the Housing and Human Services Commission at its April meeting. The draft Grant Agreement is provided in Attachment 1, and minutes of the HHSC meeting are provided in Attachment 2.
The proposed new HPRR program will differ slightly from the prior HPRP program as it must comply with state law rather than the federal HPRP regulations. State law (SB 341) provides the following description of HPRR programs:
Homeless prevention and rapid re-housing (HPRR) services may be provided to individuals and families who are homeless or would be homeless but for this assistance, including the provision of:
• Short-term or medium-term rental assistance,
• Housing relocation and stabilization services including housing search, mediation, or
• outreach to property owners,
• Credit repair,
• Security or utility deposits,
• Utility payments,
• Rental assistance for a final month at a location,
• Moving cost assistance, and
• Case management or other appropriate activities for homelessness prevention and rapid rehousing of persons who have become homeless.
Additional information on HPRR best practices is provided in Exhibit E to the draft Agreement (provided Attachment 1).
The grant objectives, consistent with the SCS proposal, are divided equally between homelessness prevention activities and rapid re-housing activities. The program will provide all clients with supportive services, such as housing search assistance, credit counseling, tenant education, and case management, as well as direct assistance to pay for housing costs consistent with SB 341. The Agreement allows SCS to sub-contract with Project Sentinel and/or the United Way to provide some of these specialized services, such as credit counseling and tenant education.
FISCAL IMPACT
Approval of the Agreement will not impact the General Fund, as it is funded by LMH funds. Funding for the Agreement is included in the FY2015/16 budget as Project 901125: Homelessness Prevention and Rapid Re-Housing (HPRR) Program.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
Approve Agreement with Sunnyvale Community Services in substantially the form provided in Attachment 1, and authorize the City Manager to execute the Agreement in final form as approved by the City Attorney.
The Agreement awards a one-time grant of up to $250,000 to SCS, to be disbursed over a period of up to two years, for its implementation of an HPRR program in Sunnyvale. The HHSC recommended approval of this grant at its April 22, 2015 meeting.
Staff
Prepared by: Katrina L. Ardina, Housing Programs Analyst
Reviewed by: Suzanne Isé, Housing Officer
Reviewed by: Hanson Hom, Director, Community Development
Reviewed by: Kent Steffens, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Draft Grant Agreement for HPRR Program
2. HHSC Meeting Minutes of April 22, 2015