HomeMy WebLinkAbout(0012) M&C 22-0017City of Fort Worth,
Mayor and
DATE: 01/11/22
Texas
Council Communication
LOG NAME: 19NSESG-CV&CV2REVISIONS
SUBJECT
M&C FILE NUMBER: M&C 22-0017
(ALL) Authorize Substantial Amendment to the 2019-2020 Action Plan for use of Federal Grant Funds, Authorize Execution of Contract
Amendments to Agreements with Nonprofit Subrecipients of Emergency Solutions Grant Funds Received Under the Coronavirus Aid, Recovery
and Economic Security Act, and Ratify Execution of Amendment to Agreement with The Salvation Army, A Georgia Nonprofit Corporation to
Expand the Scope of Work to Include Shelter Operations
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize a substantial amendment to the 2019-2020 Action Plan for use of Federal Grant Funds from the United States Department of
Housing and Urban Development revising allocation of such funds among local nonprofit homeless service providers;
2. Authorize execution of contract amendments to agreements with nonprofit subrecipients of Emergency Solutions Grant Funds received
under the Coronavirus Aid, Recovery and Economic Security Act to change funding allocations and scopes of services to ensure the
expenditure of funds;
3. Ratify the execution of an amendment to an agreement with The Salvation Army, A Georgia Nonprofit Corporation to expand the scope of
work to support Emergency Shelter Operation in addition to Rapid Rehousing services; and
4. Authorize the City Manager or his designee to further amend the agreements if necessary to achieve program goals and meet Housing and
Urban Development expenditure deadlines, provided the amendment is within the scope of the program and in compliance with applicable
City policies, laws and regulations.
DISCUSSION:
In April 2020, the City of Fort Worth (City) was awarded $2,202,929.00 in Emergency Solutions Grant (ESG) funds from Housing and Urban
Development (HUD) under the Coronavirus Aid, Recovery and Economic Security (CARES) Act to support the City's response to the coronavirus
pandemic among the homeless and at -risk population (ESG-CV). In June 2020, the City was awarded an additional $6,070,529.00 in ESG funds
to expand the City's ability to assist homeless and at -risk residents (ESG-CV2). The City Council approved allocation of these funds to local
nonprofit homeless service providers on May 19, June 23, and September 15, 2020, through M&C Nos. 20-0330, 20-0471, and 20-0657.
Funding priorities for the allocations were Rapid Rehousing (65%), Shelter Operations (11 %); Outreach to Unsheltered (8%), and Homelessness
Prevention (6%), with 10% authorized for program administration by the City and its nonprofit partners. The expenditure deadline for use of all
ESG-CV and ESG-CV2 funds is September 30, 2022.
To ensure that the expenditure deadline for the full eight million dollars is met, and to address priorities which have arisen since initial allocations
were made, staff is recommending amendments to some of the ESG-CV and ESG-CV2 contracts to change funding allocations and scopes of
service as detailed below.
Due to a strong demand in the rental housing market, lease -up of Rapid Rehousing units has been slow, as landlords have many alternate options
rather than acceptance of a federally -funded short-term housing voucher. Therefore, funds are recommended to be moved from Rapid Rehousing
programs operated by the Day Resource Center (DRC), The Salvation Army (TSA), and Fort Worth Housing Solutions (FWHS), into
Homelessness Prevention and Emergency Shelter Operations programs. Local shelters, including the Presbyterian Night Shelter (PNS), have
continued to experience costly challenges in providing safe services throughout the pandemic, and additional funds were therefore needed for staff
hazard pay, vaccine incentives, client transportation services, and other operational items. The need for homelessness prevention for target
populations has also increased. Cornerstone Assistance Network (CAN) has nearly exhausted its original allocation for homelessness prevention
for the Re -Entry population and needs additional funds to continue the program. Day Resource Center has entered into a partnership to accept
referrals from the Fort Worth Independent School District of highly at -risk families who are living doubled -up or in motels, and will provide rental
assistance and case management to stabilize their housing and prevent homelessness.
The table below summarizes proposed contract scope and allocation changes to be formalized in contract amendments. Each affected agency
either requested or was thoroughly consulted regarding the change, and all fully concurred with the proposed changes. The proposed revisions
have been publicized as required by HUD guidelines for use of ESG-CV and ESG-CV2 funds, through placement of a notice on the City's website
and publication of a five-day public notice in the Fort Worth Star -Telegram. Due to previously approved contract amendments, some current
contract amounts listed below may vary from the original contract amount.
Original
Allocation
New
Agency/Program
Proposed
Contract
Adjustment
Contract
Name
Change
g
Amount
Amount
AmountReduction
F__F-IF-IF-1500
by
000;
reallocation to
Fort Worth
Homelessness
Housing
Prevention (new
Solutions: Rapid
DRC-HP for
Rehousing: City
$1,809,477
($500,000)
$1,309,477
$150,000) and
Secretary
(CAN -HP for
Contract No.
$300,000); and
54964
to Shelter
Operations
(PNS-SS for
$50,000)
Activities
Day Resource
Reduction by
$100,000,
Center: Outreach
reallocation
to Unsheltered;
$400,000
($100,000)
$300,000
to Homelessness
eta
City Secretary
Prevention (new
ntract
ntrDRC-H
P for
P955
$100,000)
Increase by
$150,000,
reallocation from
FWHS Rapid
Day Resource
Rehousing City
Center: Homeless
$0.00
$250,000
$250,000
Contract No.
Prevention
54964 and
$100,000
reallocation from
DRC Outreach
Contract No.
54955
Cornerstone
Increase in
Assistance
contract by
Network:
$300,000 from
Homelessness
$450,000
$300,000
$750,000
FWHS Rapid
Prevention; City
Rehousing
Secretary
Contract No.
Contract No
C
54964
54959
Presbyterian Night
Increase in
Shelter:
contract by
Operations; City
$50,000 from
Secretary
$260,000
$50,000
$310,000
FWHS Rapid
No.
Rehousing
,Contract
54963
ontract No.
[54964
Through this M&C, staff recommends ratification of Amendment No. 1 to City contract 55043 with the Salvation Army, which expanded the scope
of services to include shelter operations in addition to rehousing activities. The amendment did not involve a change in the total funding under than
contract as the additional service was allocated $196,000 of the existing funding that was in danger of not being spent. To allow for the funds to be
used as quickly as possible for shelter services, the amendment was internally approved and executed.
Section 2-9(11) of the City Code allows for any contract or other legal instruments necessary to provide public assistance from funds available
under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, as may be amended, or from funds available under the Consolidated
Appropriations Act of 2021, as may be amended to be administratively approved by the City Manager. When possible, items will be brought to the
City Council prior to execution of any contracts or amendments; however, staff anticipates that in order to meet the approaching expenditure
deadlines in 2022, that future amendments may require administrative approval. Staff will provide updates via Informal Reports or M&Cs seeking
ratification of any changes made under this administrative mechanism.
Services are available in ALL COUNCIL DISTRICTS.
A Form 1295 is not required because: This contract legally does not require City Council approval.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendations and reallocation of funds, funds are 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: Victor Turner 8187
Additional Information Contact: Barbara Asbury 7331