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<br /> <br /> <br /> <br /> <br /> Amendments to HPRP Program Agreements <br /> January 4, 2011 <br /> Page 2 <br /> <br /> <br /> DISCUSSION <br /> <br /> The American Recovery and Reinvestment Act of 2009 (Recovery Act) appropriated $1.5 billion for <br /> communities to provide financial assistance and services to prevent individuals and families from <br /> becoming homeless and to help those who are experiencing homelessness to be quickly re- <br /> housed and stabilized. Santa Ana was allocated $2,831,989 under the terms of the funding <br /> distribution formula established by the U S. Department of Housing and Urban Development <br /> (HUD) for these programs, which are titled Homelessness Prevention and Rapid Re-Housing <br /> (HPRP). <br /> On September 8, 2009, City Council authorized the execution of agreements with nine local HPRP <br /> non-profit sub-recipients to carry out HPRP services. On September 7, 2010, after one year of <br /> operation, City Council authorized amendments with three sub-recipients to transfer funds between <br /> programs and to expand HPRP services to better meet the needs of the community. <br /> <br /> The HPRP program requires, by statute, that grantees expend 60% of their award funds within two <br /> years of the date that HUD signed the grant agreement. Should a grantee be unable to meet this <br /> requirement, HUD may recapture unused HPRP funds and reallocate them. Considering current <br /> expenditure rates and projections as to whether each grantee will meet the requirement, staff and <br /> sub-recipients have agreed upon the following adjustments to the HPRP allocations: <br /> <br /> Organization Original Allocation Returning <br /> <br /> <br /> Aids Services Foundation $170,000 $73,000 <br /> <br /> Olive Crest $468,444 $103,000 <br /> <br /> WISE Place $145,000 $40,000 <br /> <br /> TOTAL Available for Reallocation $216,000 <br /> <br /> These returned funds will be re-allocated evenly to Interval House and Mercy House who have the <br /> interest and ability to receive and spend additional funds. As of October 31, 2010, Interval House <br /> has expended 41.55% of the Homelessness Prevention allocation and Mercy House has <br /> expended 46.15% of its Homelessness Prevention allocation. <br /> <br /> Due to the 60% deadline requirement less than a year away, staff is requesting that future <br /> modification be authorized by the City Manager in order to address the need for program <br /> modifications in a timely manner. <br /> <br /> <br /> <br /> <br /> <br /> 25A-2 <br />