Loading...
HomeMy WebLinkAboutItem 18 - Appropriation Adjustment to Recognize Homeless Housing, Assistance and Prevention Program Funds Community Development Agency santa-ana.org/community-development Item # 18 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report February 7, 2023 TOPIC: Appropriation Adjustment to Recognize Homeless Housing, Assistance and Prevention Program Funds AGENDA TITLE: Approve Appropriation Adjustment to Recognize Remainder Disbursement of Homeless Housing, Assistance and Prevention Program Funds – Round 3 (Non-General Fund) RECOMMENDED ACTION Approve appropriation adjustment recognizing $8,232,281.35 in funds from the State of California, Business, Consumer Services and Housing Agency in revenue account (no.12218002-52025) and appropriate the same amount to expenditure account (no. 12218717-various) to address homelessness in the City of Santa Ana. (Requires five affirmative votes) DISCUSSION The Homeless Housing, Assistance and Prevention Program (HHAP) was signed into law on July 31, 2019 by Governor Newsom. HHAP Round 1 was a $650 million grant that provided local jurisdictions with funds to support regional coordination, and expand or develop local capacity to address their immediate homelessness challenges. The City of Santa Ana (City) was awarded $8,422,162.84. The majority of these funds were used for the tenant improvements at the Homeless Navigation Center. HHAP Round 2 was a $300 million grant that supported previous funding to respond to homelessness. The City was awarded $3,981,386. Similar to Round 1 funds, the majority of these funds were used for tenant improvements at the Homeless Navigation Center. HHAP Round 3 is a $1 billion block grant that supports both HHAP Round 1 and Round 2 funding activities and the City will use the HHAP Round 3 grant ($10,290,351.69) for Navigation Center operation costs, outreach and engagement, administration, and the delivery of permanent housing for homeless youth. The City received an initial disbursement of $2,058,070.34, of which a portion was used for tenant improvements at the Navigation Center and for outreach and engagement. To receive the remaining portion of the grant award, totaling $8,232,281.35, the State of California required that all eligible entities submit an application including an approved local homelessness AA to Recognize Homeless Housing, Assistance and Prevention Program Funds February 7, 2023 Page 2 3 2 2 2 plan. City Council approved the City’s application and plan on June 7, 2022. In early November 2022, Governor Newsom paused the final disbursement of funds, demanding more accountability and results across the State. In late November, the City was notified that the remainder of the disbursement would be received following the execution of grant contracts. FISCAL IMPACT Approval of the appropriation adjustment will recognize $8,232,281.35 in funds from the State of California, Business, Consumer Services and Housing Agency into the HEAP & HHAP Grant revenue account (no. 12218002-52025 State Grant-Direct) and appropriate the same amount into the HHAP-3 Grant expenditure accounts (nos.12218717-various.) Any remaining balances not expended at the end of the fiscal year will be presented to City Council for approval of carryovers to FY 23-24. All funds are to be used by June 30, 2026. EXHIBIT(S) 1. HHAP 3 Remainder Disbursement Award Letter Submitted By: Michael L. Garcia, Executive Director of Community Development Approved By: Kristine Ridge, City Manager Business, Consumer Services and Housing Agency Gavin Newsom, Governor | Lourdes M. Castro Ramírez, Secretary 915 Capitol Mall, Suite 350-A | Sacramento, CA 95814 | (916) 653-4090 www.bcsh.ca.gov/hcfc November 21, 2022 City of Santa Ana Community Development Agency 20 Civic Center Plaza, M-25 Santa Ana, CA 92701 RE: HHAP-3 Remainder Disbursement Announcement – City of Santa Ana Agreement # 22-HHAP-20004 Remainder Disbursement: $ 8,232,281.35 Dear Terri Eggers: The Business, Consumer Services and Housing Agency’s (BCSH) California Interagency Council on Homelessness (Cal ICH) is pleased to announce that the City of Santa Ana has been awarded a Homeless Housing, Assistance and Prevention Round 3 (HHAP-3) Remainder Disbursement in the amount of $ 8,232,281.35 This letter constitutes notice of the remainder award of HHAP-3 funds. The City of Santa Ana will receive its remainder disbursement of funds after the Remainder Disbursement Contract for Funds is fully executed. Please be advised that this award is subject to the terms and conditions of the Remainder Disbursement Standard Agreement Exhibits enclosed with this award packet. Failure to sign and return the Remainder Disbursement documents within 30 days of receipt from BCSH may result in a delay of disbursement of funds. Congratulations on receiving your remainder HHAP-3 award. For further information or if you have any questions, please contact the Cal ICH grants team at HHAP@bcsh.ca.gov. Sincerely, Victor Duron Victor Duron, Grants Director EXHIBIT 1