TITLE
Recommendation to authorize City Manager, or designee, to execute an agreement, and all necessary documents, subcontracts, and subsequent amendments, including to the award amount, with the State of California Business, Consumer Services and Housing Agency’s Homeless Coordinating and Financing Council (HCFC), to receive and expend $8,516,928 from the Homeless Housing, Assistance and Prevention Round 3 Program, Continuum of Care allocation, for the period of November 1, 2021 to June 30, 2026, with the option to renew for one additional five-year period, at the discretion of the City Manager; and
Increase appropriations in the Health Fund Group in the Health and Human Services Department by $8,516,928, offset by grant revenues. (Citywide)
DISCUSSION
Homeless Housing, Assistance and Prevention Round 3 (HHAP-3) funding is authorized by Assembly Bill 140, which was signed into law by Governor Gavin Newsom on July 19, 2021. HHAP-3 is a $1 billion block grant program that provides local jurisdictions with flexible funding to continue efforts to end and prevent homelessness in their communities. This funding is intended to build on regional coordination developed through previous rounds of HCFC funding including the Homeless Emergency Aid Program, HHAP Rounds 1 and 2, to reduce and end homelessness. The City of Long Beach (City) is eligible to receive $2,834,734 through the Homeless Services Bureau’s Continuum of Care (CoC) and $5,682,194 through the Large Cities allocation, obtainable to cities and counties that have populations over 300,000 or more as of January 1, 2020. Total available HHAP-3 funding for the City is $8,516,928.
On September 14, 2021, the City Council approved the recommendation to redirect the Large Cities allocation, in the amount of $5,682,194, to the CoC allocation. Subsequently, the documentation to redirect the Large Cities allocation to the CoC was submitted by the City and approved by HCFC. Consequently, the City will receive both awards under the CoC allocation, in the total amount of $8,516,928. Redirecting funding from the Large Cities allocation to the CoC facilitates administrative efficiencies by consolidating funding allocations into a single entity. The reallocation does not change the intended use of funds to address homelessness, and there will be no impact to future or current programming supported by the grant.
HHAP-3 funding will have at minimum two funding disbursements. An initial disbursement after submitting the Standard Agreement to Apply (Agreement) and a remaining disbursement after submitting the HHAP-3 application. Jurisdictions who applied jointly with one or more eligible jurisdictions will receive 25 percent of their total joint jurisdictions’ allocation as the initial disbursement prior to submitting a HHAP-3 application. Since the City redirected the Large Cities allocation to the CoC and submitted the Agreement jointly, the City is eligible to receive 25 percent ($2,129,232) of the total joint jurisdictions’ allocation as the initial disbursement prior to submitting a HHAP-3 application. The remainder of the City’s allocation will be disbursed after the HHAP-3 application is submitted to the funder in 2022.
The Homeless Services Bureau will lead a strategic planning process to assess how the HHAP-3 funding will be utilized. At this early stage of the application process, the following needs have been identified for possible ongoing operations or expansion, utilizing HHAP-3 funds: rapid rehousing, navigation center operations, sheltering for transitional age youth, sobering center, intensive case management services (ICMS), mobile Multi Service Center (MSC) stations, modular shelter operations, and potential expansion of the MSC. Based upon timing and priority needs when the HHAP-3 application is developed, some of these items may be financed with additional funding to be released by the State in Fiscal Year 2022.
This matter was reviewed by Deputy City Attorney Taylor M. Anderson on October 18, 2021 and by Budget Analysis Officer Greg Sorensen on October 22, 2021.
EQUITY STATEMENT
The City has incorporated the Equity Toolkit and strategies outlined in the Everyone Home Long Beach plan into this recommendation as requested by the City Council. This recommendation will assist people experiencing homelessness in Long Beach by providing critical resources and services to continue efforts to end and prevent homelessness in the Long Beach community.
TIMING CONSIDERATIONS
City Council action is requested on November 9, 2021, to be compliant with the program’s statutory requirements and administer contracts before the deadline set forth by the funder.
FISCAL IMPACT
The City’s total funding allocation from the HHAP-3 program will not exceed $8,516,928, for the period of November 1, 2021 to June 30, 2026. An appropriation increase is requested in the amount of $8,516,928 in the Health Fund Group in the Health and Human Services Department, offset by grant revenues. Funding will support programs with clear pathways to connect people to resources, including permanent housing options, as well as administrative costs. The grant has no match or in-kind service requirement. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
[Enter Body Here]
Respectfully Submitted,
KELLY COLOPY
DIRECTOR
HEALTH AND HUMAN SERVICES
APPROVED:
THOMAS B. MODICA
CITY MANAGER