ACTION REQUESTED:
Title
Communication from the City Manager and the Director of Community Development with a Request to RECEIVE and FILE a Discussion Regarding Additional Funding through the EMERGENCY SOLUTIONS GRANT (ESG) Related to COVID-19.
Body
BACKGROUND: As part of the CARES Act, the City of Peoria will receive an additional $535,321 through the Emergency Solutions Grant (ESG) program. This HUD grant program provides services to individuals experiencing homelessness. Below is an outline of items we know and items we are still waiting on guidance from HUD.
What we know:
• The City will receive $535,321 in ESG funding.
• The funding is to prevent, to prepare for, or to respond to COVID-19.
• The City is required to collaborate with the Home for All Continuum of Care in making funding decisions.
• Eligible activities under this grant include homeless shelter operations, minor shelter modifications, and rapid rehousing.
• These grant funds can also be used for homeless prevention which can provide rent and utility assistance to households at or below 30% AMI who are facing eviction.
|
Household Size |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
|
30 % Income Limit |
$16,750 |
$19,150 |
$21,720 |
$26,200 |
$30,680 |
$35,160 |
$39,640 |
• HUD has released guidance and waivers related to program operations of this funding to adjust to the needs of COVID-19. These waivers are outlined below.
o ESG Homeless Prevention - Suspends the requirement to re-evaluate participants in homeless prevention programs every 2 months. Increased this to re-evaluate at minimum of every 6 months. This is suspended for 2 years.
o ESG Case Management - Requirement of case managers to meet with rapid re-housing clients every month is waived for 2 months.
o ESG Fair Market Rents - The fair market rent requirement for homeless prevention or rapid rehousing is suspended for any new lease executed within 6 months. Rent reasonableness standards still apply.
What we do not know yet:
• We do not know yet the process for submitting a plan to HUD and timing of approval.
• We do not know yet the timing on when funds will be received.
Funding Recommendations
• The City will work through the Continuum of Care to determine the needs of social service agencies serving people experiencing homelessness.
FINANCIAL IMPACT: A grant in the amount of $535,321 will be received by the City.
NEIGHBORHOOD CONCERNS: The plan submitted to HUD for this funding will include a public comment period.
IMPACT IF APPROVED: N/A
IMPACT IF DENIED: N/A
ALTERNATIVES: N/A
EEO CERTIFICATION NUMBER: N/A
WHICH OF THE GOALS IDENTIFIED IN THE COUNCIL’S 2017 - 2032 STRATEGIC PLAN DOES THIS RECOMMENDATION ADVANCE?
1. Grow Peoria
2. Financially Sound City
WHICH CRITICAL SUCCESS FACTOR(S) FROM THE COMPREHENSIVE PLAN DOES THIS RECOMMENDATION IMPLEMENT?
1. Reinvest in neighborhoods.
2. Have an efficient government.
DEPARTMENT: Community Development