| | | | | | | | Agenda Item - 3.a.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Scott Stiles
| From: | Lisa Kim
| | Dept.: | Director
| Dept.: | Economic Development
| | Subject: | Appropriation of funding and award of sub-recipient contracts to Interval House Crisis Shelters and Mercy House Living Centers for the operation of a Homeless Emergency Assistance Rental Transition Program. (Cost: $600,000) (Joint Action Item with the City Council.) | Date: | 8/27/2019 |
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| | | | | | | | OBJECTIVE
To request the City Council award sub-recipient contracts to Interval House and Mercy House for the operation of the Homeless Emergency Assistance Rental Transition (HEART) Program and to appropriate HOME funds for the operation of the HEART Program; and to request the Housing Authority to appropriate Low-Mod Income Housing Trust Fund (LMIHTF) funding for the operation of the HEART Program. |
| | | | | | | | BACKGROUND
At the May 28, 2019, City Council Study Session, direction was given to create housing opportunities for those experiencing homelessness in Garden Grove. Following that direction, staff has created the HEART program. The HEART Program provides a 12-month rental assistance program for individuals or families that meet the following criteria:
- Meet the Department of Housing and Urban Development’s (HUD) definition of “literally homeless”;
- Have a strong tie to Garden Grove (last housed or work in Garden Grove, or have children enrolled in a Garden Grove school);
- Place low on the Vulnerability Index and Service Prioritization Decision Assistance Tool (VISPDAT); and
- Enroll in and participate in a Life Enrichment Program tailored to meet their individual needs to ensure a successful transition to permanent housing at the conclusion of the 12-month program.
It is expected that 20 households will participate in the HEART Program, with the end goal of self-sufficiency and housing stability at the end of the 12 month program.
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| | | | | | | | DISCUSSION
Staff recommends engaging two non-profit homelessness service providers to operate the HEART Program. A Request for Proposal was prepared and sent to 15 service providers seeking proposals for operators of the HEART Program. Four service providers submitted proposals: Colette’s Children’s Home, Illumination Foundation, Interval House and Mercy House. A five person evaluation team evaluated each of the submitted proposals. Their findings were averaged and are listed in the matrix below:
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Category
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Weight
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Colette’s Children’s Home
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Illumination Foundation
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Interval House
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Mercy House
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Experience and Capacity
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30 points
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23.4
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26.8
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27.4
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27.6
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Service Approach
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50 points
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40.8
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46.2
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48.4
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48
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Budget and Financial Management
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20 points
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15.2
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17.4
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18
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17.8
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Total
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100 points
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79.4
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90.4
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93.8
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93.4
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Staff is recommending Interval House and Mercy House to each receive $250,000 in HOME funds and $50,000 in LMIHTF funds to operate the HEART Program.
Both organizations are qualified by virtue of experience and expertise to accomplish the services requested and have a clear understanding of the City’s objectives. |
| | | | | | | | FINANCIAL IMPACT
Staff is recommending a total of $500,000 in HOME funds and $100,000 in LMIHTF funds be allocated for the operation of the HEART program. As proposed, each service provider will receive a total of $300,000 to operate HEART. Of each $300,000 award, $250,000 in HOME funds will be allocated for rental assistance payments, utility allowance, security deposits and related move-in costs; and $50,000 in LMIHTF funds will be allocated to cover staff costs for the provision of the Life Enrichment Program to ensure successful transition to permanent housing at the conclusion of the program. It is expected that this level of funding will enable approximately 20 households to transition from homelessness to permanent housing.
The HOME and LMIHTF funds that will be used to fund the HEART Program are available and will not impact any planned project or activity, nor impact the General Fund. |
| | | | | | | | RECOMMENDATION
It is recommended that the Housing Authority:
- Appropriate $100,000 in LMHITF funds into the Fiscal Year 2019/20 budget for the HEART Program.
It is recommended that the City Council:
- Appropriate $500,000 in HOME funds for the HEART Program;
- Award sub-recipient contracts to Interval House Crisis Shelters and Mercy House Living Centers; and
- Authorize the City Manager to execute the contracts and make minor modifications as appropriate.
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