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Home My WebLink About20C - AA FOSTER YOUTH VOUCHERREQUEST FOR h' COUNCIL ACTION - CITY COUNCIL MEETING DATE: DECEMBER 17, 2019 TITLE: APPROVE APPROPRIATION ADJUSTMENTS TO RECOGNIZE $336,950 IN FOSTER YOUTH TO INDEPENDENCE TENANT PROTECTION VOUCHER ASSISTANCE PROGRAM AND $756,346 IN MAINSTREAM VOUCHER PROGRAM FUNDING {STRATEGIC PLAN NOS. 4, 1; 5,31 /s/Kristine Ridae CITY MANAGER CLERK OF COUNCIL USE ONLY: ❑ As Recommended ❑ As Amended ❑ Ordinance on 111 Reading ❑ Ordinance on 2"' Reading ❑ Implementing Resolution ❑ Set Public Hearing For Ifiel0oil ►l1l01i[61 FILE NUMBER RECOMMENDED ACTION 1. Approve an appropriation adjustment recognizing Foster Youth to Independence Tenant Protection Voucher assistance program funds in the amount of $336,950 in revenue account (nos. 13618002-52006 and 14018002-52000) and appropriating the same amount to expenditure account (nos. 13618760-69169, 13618760-69011, and 14018780-various) for 25 vouchers effective November 1. 2019. 2. Approve an appropriation adjustment recognizing Mainstream Voucher Program funds in the amount of $756,346 in revenue account (nos. 13818002-52000, 13818002-59011, and 13918002-52000) and appropriating the same amount to expenditure accounts (nos. 13818760-69158, 13818760-69011, and 13918780-various) for 70 additional vouchers effective November 1, 2019. DISCUSSION The Housing Authority of the City of Santa Ana administers the Housing Choice Voucher (HCV) program as one of four public housing agencies in Orange County and is responsible for 3,099 HCV vouchers. The Housing Authority has been successful throughout the past to apply for new program vouchers as the U.S. Department of Housing and Urban Development (HUD) makes them available to local public housing authorities. Occasionally, new program funds are awarded during the year that may not have been included and adopted by City Council in the annual budget, requiring appropriation adjustments to recognize and expend new funds. On July 26, 2019, HUD announced a new Foster Youth to Independence (FYI) initiative to provide Tenant Protection Voucher (TPVs) for emancipated foster youth between the ages of 18 to 24 funded by the Consolidated Appropriations Act, 2019. The purpose of this initiative is to prevent and end homelessness among youth with a current or prior history of child welfare involvement. 20C-1 Appropriation Adjustment — Foster Youth to Independence and Mainstream Voucher Programs December 17, 2019 Page 2 The program requires collaboration between the Housing Authority, the Orange County Social Services Agency, and the Orange County Continuum of Care to work together to provde the appropriate intervention for each youth. On November 1, 2019, the Housing Authority received a notice of award under the FYI TPV program for up to $319,950 to fund 25 vouchers for a twelve-month period (Exhibit 1). These vouchers will end when the youth issued the voucher is no longer receiving voucher assistance, or the youth has been assisted for 36 months, whichever occurs first. The Housing Authority has identified the youth eligible to receive these vouchers and plans to have all 25 vouchers issued by April 2020. Staff anticipates spending approximately $138,000 in voucher assistance payments in the current fiscal year through June 2020. In addition, on July 9, 2019, HUD also issued a Notice of Funding Availability (NOFA) for the Mainstream Voucher program. The purpose of the Mainstream Voucher program is to provide rental assistance to non -elderly persons with disabilities who are transitioning out of institutional or other segregated setting, at serious risk of institutionalization, homeless, or at risk of becoming homeless. The program requires collaboration with health and human services agencies to provide participants with voluntary supportive services and increase program access. On November 14, 2019, the Housing Authority received a notice of award under the Mainstream Voucher program for up to $731,346 to fund 70 vouchers for a twelve-month period (Exhibit 2). The Housing Authority already received 50 of these special purpose vouchers from the last Mainstream Voucher program NOFA issued in 2018. Staff estimates approximately $167,000 in voucher assistance payments to be made in the current fiscal year through June 2020. Both the Foster Youth to Independence program and the additional Mainstream Voucher program vouchers were not anticipated during adoption of the FY 2019-20 budget. Therefore, appropriation adjustments are necessary to recognize the funds from HUD and enable the Housing Authority to expend the housing assistance payments and related administrative expenses in the current fiscal year. The 2019 administrative fee rate that HUD provides to the Housing Authority is currently $124.34 per unit, per month. Based on the number of vouchers projected to be leased up during FY 2019-20, the Housing Authority may receive $17,000 and $25,000 in administrative fees for the FYI TPV program and additional Mainstream Voucher program, respectively. STRATEGIC PLAN ALIGNMENT Approval of this item assists the City in meeting Goal # 4 — City Financial Stability, Objective #1 (Maintain a stable, efficient and transparent financial environment) and Goal #5 — Community Health, Livability, Engagement & Sustainability, Objective #3 (Facilitate diverse housing opportunities and support efforts to preserve and improve the livability of Santa Ana neighborhoods). 20Ci-2 Appropriation Adjustment — Foster Youth to Independence and Mainstream Voucher Programs December 17, 2019 Page 3 FISCAL IMPACT Approval of the appropriation adjustments will recognize $1,093,296 total in the revenue accounts and increase the FY 2019-20 expenditure accounts as follows: Revenues Fiscal Year Accounting Unit- Fund Description Accounting Unit, Account Amount Account Description FY 19-20 13618002-52006 Housing Authority- Foster Youth Independence $ 319,950 Nov. -June Voucher HAP TPV FY 19-20 13818002-52000 Housing Authority- Federal Grant -Direct $ 731,346 Nov. -June MS 5 FY 19-20 13918002-52000 Housing Authority- Federal Grant -Direct $ 25,000 (Nov. -June) MS 5 Admin FY 19-20 14018002-52000 Housing Authority- Federal Grant -Direct $ 17,000 Nov. -June Vouchers Admin Total Revenues $1,093,296 Expenditures Fiscal Year Accounting Unit- Fund Description Accounting Unit, Account Amount Account Description FY 19-20 13618760-69169 Housing Authority- Foster Youth Independence $ 138,000 (Nov. -June) Voucher HAP TPV FY 19-20 13618760-69011 Housing Authority- Reserve Appropriation $ 181,950 Voucher HAP FY 19-20 13818760-69158 Housing Authority- Housing Assistance Payment $ 167,000 Nov. -June MS 5 FY 19-20 13818760-69011 HousAuthority- Reserve Appropriation $ 564,346 Sing MS FY 19-20 13918780-various Housing Authority- Various Salaries, Benefits, $ 25,000 Nov. -June MS 5 Admin Operations FY 19-20 14018760-various Housing Authority- Various Salaries, Benefits, $ 17,000 Nov. -June Vouchers Admin Operations Total Expenditures $1,093,296 The anticipated revenues and expenditures for both programs for FY 2020-21 will be included and budgeted in the FY 2020-21 budget. /_1 > > :Zit'/ � �RF� Cal 1�J ► I �> `y9 ► I �L�KK�19J ► � �91 Steven A. Mendoza Kathryn Downs, CPA Executive Director Executive Director Community Development Agency Finance and Management Services Agency Exhibits: 1. Notice from HUD, Foster Youth to Independence — Obligation of Assistance 2. Notice from HUD, Mainstream Voucher Program Fiscal Year 2019 20C-3 �rtufvr,�R U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Qot �oG Financial Management Center a 2380 McGee Street, Suite 400 * 116111 III I * " Kansas City, MO 64108-2605 r OFFICE OF PUBLIC AND INDIAN HOUSING November 1. 2019 CA093, City of Santa Ana HA 20 Civic Center Plaza P.O. Box 22030 Santa Ana, CA 92701 Dear Executive Director: SUBJECT: Foster Youth to Independence — Obligation of Assistance This letter is to notify you that funds have been obligated to provide Foster Youth to Independence (FYI) Tenant Protection Voucher (TPV) assistance for the eligible youth identified in the request for assistance submitted to HUD under the requirements of Notice PIH 2O19-20 (HA). These funds will automatically be disbursed to your agency and will be evenly spread over the term of the contract. The terms of the funding, including the approximate amount of the monthly payment, are reflected in the table below. Increment Units Budget Effective Date Term Approximate Number Authority Monthly Assigned Disbursement CA093VO0206 25 $319,950 11/1/2019 12 26,662 FYI TPVs "sunset" at such time that the youth issued the voucher is no longer receiving voucher assistance, or the youth has been assisted for 36 months, whichever occurs first. The voucher will not receive renewal funding in the subsequent calendar year and the number of authorized units covered by the PHA's Consolidated Annual Contributions Contract (CACC) will be reduced accordingly. PHAs must maintain a special program code for FYI participants in line 2n of the Family Report (form HUD-50058) or line 2p of the MTW Family Report (form HUD-50058), as applicable. The special code is "FYITPV." As a reminder, PHAs should be responding to the homeless at admission field (line 4C), of the form as well. PHAs should also report the leasing and expense information for these vouchers in the Voucher Management System (VMS), Form HUD-52681 B. The "Family Unification 2008/Forward — MTW' or "Family Unification — Non MTW' category, as appropriate for your PHA, must be used. Additional program -specific requirements are outlined in the notice. Enclosed is your executed copy of the notice to amend the Consolidated Annual Contributions Contract (CACC) with revised funding exhibits reflecting the changes described above. The amendment notice and revised funding exhibits should be filed with your most recent executed CACC. 20C-4 Public housing agencies receiving an increment in excess of $100,000 in Budget Authority (BA) are required to submit Form HUD-50071, Certification of Payments to Influence Federal Transactions, and if applicable, Form SF-LLL, Disclosure of Lobbying Activities. If this letter notifies you of a renewal in excess of $100,000, and your PHA has not submitted the Form(s) HUD-50071 (and SF-LLL where applicable) for your current fiscal year; the documents must be submitted to your local field office and Financial Analyst at the Financial Management Center (FMC) within 30 days of the date of this letter. These forms are located on the Internet at the following addresses: Form HUD-50071 https:Hwwvv.hud.gov/sites/documents/50071.pd Form SF-LLL https://www.h udexchanoe.info/resources/documents/H U D-Form-Sflll. pdf If you have any questions, please contact your Financial Analyst. Enclosures Sincerely, Dgitdly sgned by Jennder D. Horn Jennifer D. Horn. D= elnManspneurnnt CenteUS Ott = Dinaiar Director. Rm : I am approving this document Jennifer Horn Division Director 20C-5 1:04:II:31il Consolidated Annual Contributions Contract Housing Choice Voucher Program U.S. Department of Housing and Urban Development Office of Public and Indian Housing Section 8 HUD NOTICE TO HOUSING AGENCY AMENDING CONSOLIDATED ANNUAL CONTRIBUTIONS CONTRACT Housing Agency: City of Santa Ana Housing Authority, CA093 (Type or print name of housing agency.) In accordance with Paragraph 2.c. of the Consolidated Annual Contributions Contract between HUD and the HA, you are notified that the funding exhibit of the Consolidated Annual Contributions Contract is hereby revised to add a new funding increment as provided in the attached revised funding exhibit. (This notice adds one or more funding increments listed on the attached funding exhibit.) The revised funding exhibit is attached to this HUD notice. This revised funding exhibit replaces and revises the prior funding exhibit. In accordance with Paragraph 2.d. of the Consolidated Annual Contributions Contract, this HUD notice and the attached funding exhibit constitutes an amendment to the Consolidated Annual Contributions Contract. United States of America Secretary of Housing and Urban Development Authorized Representative Robert H Boepple, Director, Financial Management Center Date of Document: 11/01/2019 Form HUD-52520A (12/97) 20C-6 EXHIBIT 1 U.S. Department of Housing and Urban Development PIH Section 8 - Funding Exhibit Program Based IIII�III ,, ACC NUMBER: CA093VO FIELD OFFICE: 9DPH LOSFO, PIH HA NUMBER: CA093 CITY OF SANTA ANA HSG AUTH 20 CIVIC CENTER PLAZA P.O. BOX 22030 SANTA ANA, CA 92701 HA FISCAL YEAR END: 06/30 PROGRAM TYPE: VOUCHER PROGRAM FI Number I First Date of Term I Last Date of Term I Contract Term I Budget Authority I Units Count CA093VO0189 CA093VO0194 CA093VO0195 CA093VO0196 CA093VO0197 CA093VO0198 03-01-2019 03-01-2019 11-01-2018 01-01-2019 03-01-2019 02-01-2019 02-29-2020 02-29-2020 12-31-2018 02-28-2019 02-29-2020 02-28-2019 03-31-2019 04-30-2019 04-30-2019 05-31-2019 09-30-2019 10-31-2019 12-31-2019 10-31-2020 12-31-2020 12 12 2 2 12 1 1 1 2 1 4 1 2 12 12 $1,054,965.00 $1,075,199.00 $5,066,273.00 $5,073,009.00 $53,760.00 $36,805.00 $2,536,505.00 $2,536,505.00 $372,421.00 $2,536,505.00 $11,529,867.00 $2,735,735.00 $5,471,473.00 $319,950.00 $802,467.00 100 100 2699 2699 5 N/A 2699 2699 N/A 2699 2699 2699 2699 25 75 CA093VO0199 03-01-2019 CA093VO0200 04-01-2019 CA093VO0201 03-01-2019 CA093VO0202 05-01-2019 CA093VO0203 06-01-2019 CA093VO0204 10-01-2019 CA093VO0205 11-01-2019 CA093VO0206 11-01-2019 CA093VOPB01 I 01-01-2020 Print Date: Friday, November 1, 2019, 1:07:15 PM Financial Data Mart (A75R) Page 1 of 1 Report Path: /content/folder[@name='A75R-SUB Subsidiary Detail Reports']/folder[@name='A75R- A75R-SUB-022a Program Based Funding - PA01 SUB HUDCAPS Section 8 Reports']/report[@name='A75R-SUB-022a Program Based Funding - PA01'] Filter: (Status Code in ('c%'u','p%d','e')) and (Line Number='001') and (Housing Authority Number starts with ca093) and (Program Type in (VO)) and (Contract Expiration Date > (Current Date - 365 days)) 20C-7 Rendered by Cognos iNa:u-1111M ;Y.f R�rpr U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT WASHINGTON, DC 20410-5000 ro 3 * * p r z OFFICE OF PUBLIC AND AIDIAN HOUSING November 14 , 2019 CA093 HOUSING AUTHORITY OF THE CITY OF SANTA ANA 20 CIVIC CENTER PLAZA P.O. BOX 22030 SANTA ANA, CA 92701 Dear Executive Director: I am pleased to notify you that your public housing agency (PHA) will be awarded funds from the Mainstream Voucher Program Fiscal Year 2019 Notice of Funding Availability (NOFA) (FR-6300-N-43). This letter provides the specific details of the award and information concerning the disbursement of the funds. The following table identifies the funding obligated for your agency's awards: Term Budget Authority Number of Units 12 $731,3Z 70 Please contact your Financial Analyst at the Financial Management Center (FMC) by December 6, 2019 to select the effective date when your PHA may begin leasing these vouchers. The effective date may be as early as November 1, 2019 and no later than July 1, 2020. If you do not contact your Financial Analyst by December 6, 2019 your effective date will default to January 1, 2020. It is very important that you select a realistic effective date when your PHA will be ready to lease the awarded vouchers. If this is your first Mainstream Voucher allocation, your agency may consider delaying the effective date to allow time to update your waiting list and finalize your partnerships. Utilizing all of your awarded funding or vouchers within one year of the effective date will help ensure your PHA is eligible for full renewal and prevent any potential recapture of funding. As stated in the NOFA, HUD may recapture funding if the PHA does not maintain at least an 80% utilization rate, however, the goal is always 100% utilization of awarded funds or units. Please remember, as with the regular voucher program, the awarded budget authority and number of units both serve as a cap. Your agency may only lease until you have reached the lower of your budget authority or number of units allocated. This means some PHAs will lease all of their awarded units and still have money left over, or vice versa. If you have money left but you have leased all the awarded units, this extra funding will go into your agency's Mainstream HAP reserves. If you are on track to spend all of the awarded funding but still have units left, stop leasing before you run out of money and send an email to MainstreamVouchers@hud.gov for additional guidance. The FMC will provide your agency with an amended Annual Contributions Contract that reflects the obligation of funds and monthly disbursements will be scheduled. Initially, the first three months of disbursements will be made. Each disbursement will equal 1/ 12th of your award amount. Thereafter, monthly disbursements will be scheduled based on monthly expenses reported in the Voucher Management System (VMS). If you have not leased any vouchers by month three, you will not receive additional disbursements until VMS data show you are paying HAP. If at any time such disbursements are not sufficient to cover your monthly expenses, your agency should contact your Financial Analyst at the Financial Management Center. www.hud.gov espanol.hud.gov 20 8 I: *:P.Il 11W Your agency must follow all Housing Choice Voucher (HCV) program requirements when administering the Mainstream Voucher Program, including the regulations at 24 CFR part 982, and the requirements in the respective NOFA. This award is not an endorsement of your entire application and your PHA is required to follow relevant statutes, regulations, and HUD guidance even if you provided information in your application that conflicts with program policies To ensure that Mainstream families are recorded properly, you must record MS5 on line 2n of the form HUD-50058 (Family Report). Remember to accurately record families who are homeless at admission on line 4c of the HUD-50058. Mainstream vouchers and corresponding Housing Assistance Payment (HAP) expenses must be accurately reported in the Voucher Management System (VMS). The Mainstream Voucher Program is reported separately in FASS-PH under the CFDA code 14.879. Additional information regarding the Mainstream Voucher Program can be found at: https:/Iwww.hud.Eov/program offices/public indian housine/programs/hcv/mainstream Please contact MainstreamVouchers@hud.gov if you have any questions. Sincerely Elel Fftdby o$r,eee L Bss**x * Danielle L Bastarache DN: CN=Camelle L Basfambe. C =IFS. __R�m IamsPFaowi^9this do mwt Danielle Bastarache Deputy Assistant Secretary for Public Housing and Voucher Programs 20C-9 20C-10