25E - DEVELOPMENT OF PERMANENT HSG

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Agreement with Straight Talk, Inc. June 18, 2007 Page 2 In 2004, the City of Santa Ana contracted with AIDS Housing of Washington, a technical assistance provider from HUD, to study the Orange County HIV/AIDS community and develop a Housing Plan. Working with the County of Orange Health Care Agency, service providers and clients, the plan was completed in 2005. A major goal of the plan was to promote housing stability, prevent homelessness, and increase access to care and support for people living with HIV/AIDS. One of the recommendations from the plan was to seek a non-profit with experience working with the HIV/AIDS dually diagnosed population to provide permanent and transitional housing that is integrated into the community, such as acquisition and rehabilitation of a single-family home. In March of this year, a Request For Proposals (RFP) was issued for the development of permanent housing for the underserved individuals with HIV/AIDS. The RFP notice was published in the Orange County Register, Miniondas, and Ngoi Viet newspapers and was sent via direct mail to over 100 for-profit and non-profit developers. The RFP was also sent to the executive directors of all HIV/AIDS service providers in Orange County. The City received one response from Straight Talk, Inc. to purchase a detached single family dwelling, which will provide permanent housing for a minimum of six individuals with HIV/AIDS. Straight Talk is a private, Orange County 501 c 3 public benefit, nonprofit corporation that has served disadvantaged individuals and population groups continually since its inception in 1971. The agency has over 25 years experience establishing a variety of long-term residential facilities within Orange County, including the pioneering effort to implement the State's first treatment program for HIV/AIDS substance abusers in 1990. Straight Talk is able to make available to residents supportive services such as licensed clinicians, referrals for medical care, and HIV/AIDS case management. Straight Talk anticipates the majority of residents will have their rent subsidized through the Shelter Plus Care Program or the Housing Choice Voucher Program. For those individuals without subsidy, rent will be based on a sliding scale, currently not to exceed $475 per month. Staff has reviewed and evaluated the response from Straight Talk and has toured its facilities. Based on their expertise and their capacity to develop and manage a permanent housing environment, staff is recommending Straight Talk, Inc. be allocated the $535,000 for the acquisition/rehabilitation of single family dwelling to serve the target population and remain affordable for a minimum of 15 years. 25E-2