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HomeMy WebLinkAboutOrdinance 24828-05-2021ORDINANCE NO. 24828-05-2021 AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND APPROPRIATIONS IN THE GRANTS OPERATING FEDERAL FUND, SUBJECT TO RECEIPT OF THE GRANT, IN THE AMOUNT UP TO $500,000.00, FOR THE PURPOSE OF FUNDING TEXAS EMERGENCY MORTGAGE ASSISTANCE PROGRAM SERVICES AND ACTJVITES; PROVIDING FOR A SEVERABILJTY CLAUSE; MAKING THIS ORDINANCE CUMULATIVE OF PRIOR ORDINANCES; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. That in addition to those amounts allocated to the various City departments for Fiscal Year 2020-2021 in the Budget of the City Manager, there shall also be increased estimated receipts and appropriations in the Grants Operating Federal Fund, subject to the receipt of the grant, in the amount up to $500,000.00, for the purpose of funding Texas Emergency Mortgage Assistance Program services and activities from the Texas Depa1iment of Housing and Community Affairs under the Coronavirus Aid, Relief, and Economic Security Act. SECTION 2. That should any portion, section or part of a section of this ordinance be declared invalid, inoperative or void for any reason by a court of competent jurisdiction, such decision, opinion or judgment shall in no way impair the remaining portions, sections, or paiis of sections of this ordinance, which said remaining provisions shall be and remain in full force and effect. SECTION 3. That this ordinance shall be cumulative of Ordinance 24446-0 9-2020 and all other ordinances and appropriations amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed. SECTION 4. This ordinance shall take effect upon adoption . APPROVED AS TO FORM AND LEGALITY: CITY SECRETARY Assistant City Attorney Mary J. Kayser ADOPTED AND EFFECTIVE: May 4, 2021 City of Fort Worth, Texas Mayor and Council Communication DATE: 05/04/21 LOG NAME: 19NS CARES ACT TEMAP FUNDS SUBJECT M&C FILE NUMBER: M&C 21-0311 (ALL) Authorize Acceptance of Texas Emergency Mortgage Assistance Program Funds in an Amount Up to $500 ,000 .00 from the Texas Department of Housing and Commun ity Affairs, a Federally Funded Program Sponsored by the United States Department of Housing and Urban Development Designed to Provide Mortgage Assistance for Low to Moderate Income Residents Under the Coronavirus Aid, Relief, and Economic Security Act, Execution of a Certification Electing to Receive the Funds , Adopt Attached Appropriation Ordinance , and Authorize Waiver of Indirect Costs RECOMMENDATION: It is recommended that City Council : 1. Authorize acceptance of Texas Emergency Mortgage Assistance Program funds in an amount up to $500 ,000 .00 from the Texas Department of Housing and Community Affa irs under the Coronavirus Aid, Relief, and Economic Security Act ; 2. Ratify execution of certification electing to receive the funds; 3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Grants Operating Federal Fund in an amount up to $500,000 .00 subject to receipt of the grant, for the purpose of funding Texas Emergency Mortgage Assistance Program services and activities ; and 4. Authorize a waiver of the Neighborhood Services Department indirect cost rate of 18 .78 %, estimated total of $12,207 .00. DISCUSSION: The Coronavirus Aid , Relief, and Economic Security (CARES) Act , enacted on March 27 , 2020, was passed to address the economic fallout of the 2020 coronavirus pandemic . The CARES Act included provisions to help local governments prevent, prepare for and respond to the coronavirus pandemic, including providing for additional allocations of Community Development Block Grant (CDBG) funds to both states and cities. The Te xa s Department of Housing and Community Affairs (T DHCA) administers the state's CDBG CARES Act funds and is making some of those funds available to local jurisdictions to implement the Texas Emergency Mortgage Assistance Program (TEMAP). TDHCA notified the City on January 29, 2021 of its eligibility to receive up to $500 ,000 .00 in TEMAP funds . TEMAP provides mortgage assistance to homeowners at or below 80 % of the area median income and who have been economically impacted by COVI D-19 to help ensure housing stability during the pandemic . The program can pay up to six consecutive months of an eligible household's mortgage payments , including mortgage arrears, with at least one of those months covering a month of future mortgage. Eligible properties may also be referred to the Department's LeadSafe Lead Hazard Reduction and home repair programs . The program will be administered by the Neighborhood Service Department's Community Action Partners through its network of community centers located in low and moderate income neighborhoods . Recipients of mortgage assistance may also be able to receive help with utility payments and case management. It is estimated that a total of 60 homeowners will be ass isted by the program . Indirect costs totaling approximately $12,207 .00 could be charged to this grant, as the Neighborhood Services Department indirect cost rate is 18. 78% in the City's most recent Cost Allocation Plan. A waiver of these costs is requested to allow allocation of these funds to further support the programs and services to assist low-to-moderate income cit izens impacted by the coronavirus. It is recommended that $500 ,000.00 of TEMAP funds be allocated as follows : General Administration : $65,000 .00 -costs of planning for , administering, reporting on , and monitoring all activities paid for with TEMAP funds Mortgage Assistance : $435 ,000 .00 This program is available in ALL COUNCIL DISTRICTS. A Form 1295 is not required because : This contract will be with a governmental entity , state agency or public institution of higher education : Texas Department of Housing and Community Affairs FISCAL INFORMATION/ CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinance , funds will be available in the current operating budget , as appropriated , in the Grants Operating Federal Fund . The Neighborhood Services Department (and Financial Management Services) will be responsible for the collection and deposit of funds due to the City . Prior to an expenditure being incurred , the Neighborhood Services Department has the responsibility to validate the availability of funds . This is a reimbursement grant. Submitted for City Manager's Office by: Fernando Costa 6122 Originating Business Unit Head: Additional Information Contact: Victor Turner Sonia Singleton Sharon Burkley 8187 5774 5785