Report to Mayor and City Council
Tuesday, July 07, 2020
Consent
SUBJECT:
Title
CONSIDERATION OF RESOLUTION NO. 20-108, AUTHORIZING AMENDING STANDARD AGREEMENT 16-HOME-11382 WITH THE STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT PERTAINING TO THE HOME INVESTMENT PARTNERSHIP PROGRAM GRANT TO PROVIDE FOR TENANT-BASED RENTAL ASSISTANCE (CITY COUNCIL)
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I. SUMMARY
Pursuant to its December 2016 Notice of Funding Availability (NOFA), the California Department of Housing and Community Development (HCD) awarded the City a HOME Investment Partnership Program (HOME) grant of $500,000 to operate an Owner-Occupied Rehabilitation Program. Approximately $200,000 remains uncommitted from that grant. Recently, HCD invited 2016 NOFA and 2017-2018 HOME NOFA Program Activities awardees to add Tenant-Based Rental Assistance (TBRA) to their funding agreements, and instructed them that if they wished to do so, they must submit an updated authorizing resolution to HCD along with revised application documents. These funds will be used to allow qualified Carson residents to apply for funding to pay their rents for their main residence. Staff will administer the program in accordance with HCD guidelines.
II. RECOMMENDATION
Recommendation
TAKE the following actions:
WAIVE further reading and ADOPT Resolution No. 20-108, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, AMENDING STANDARD AGREEMENT 16-HOME-11382 WITH THE CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT PERTAINING TO THE HOME INVESTMENT PARTNERSHIP PROGRAM GRANT TO PROVIDE FOR TENANT-BASED RENTAL ASSISTANCE AND AUTHORIZING THE CITY MANAGER OR HIS/HER DESIGNEE TO EXECUTE THE DOCUMENTS NECESSARY TO FACILITATE SAID AMENDMENT.”
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III. ALTERNATIVES
TAKE another action the City Council deems appropriate.
IV. BACKGROUND
The HOME program is a Federal housing assistance program provided by the U.S. Department of Housing and Urban Development (HUD) and administered on the state level by HCD. The HOME program is authorized under Title II of the Cranston-Gonzalez National Affordable Housing Act of 1990. Under the HOME program, the following forms of housing assistance are available to eligible applicants: Owner-Occupied Rehabilitation (OOR) and Tenant-Based Rental Assistance (TBRA). In response to HCD’s December 2016 Notice of Funding Availability (NOFA), the City of Carson applied for HOME program funding for an OOR program and was approved for a grant of $500,000.
On May 11, 2020, HCD circulated a memorandum to its 2016 and 2017-2018 HOME NOFA Program Activities awardees inviting them to add TBRA to their funding agreements, for the purpose of helping those affected by the COVID-19 health emergency, as well as homeless households, in their vicinities, through rent, deposit, and utility assistance. Carson has approximately $200,000 remaining uncommitted from its grant that can be used in such a manner. In that May 11 memorandum, HCD advised that grantees wishing to add TBRA to their applications, they must submit an updated Authorizing Resolution to HCD, along with revised application documents. Resolution No. 20-108 (Exhibit No. 1) has been prepared for this purpose. The following is a summary of the guidelines published by HCD:
The assistance will be available to very low- and low-income households. All applicants must provide proof of current income, lease agreements, utilities and current identification. Staff must review each applicant and determine eligibility based on all required documentation.
Other than the restriction of assistance to very low- and low-income households, the scope of the assistance to be provided would mirror the rental assistance provided under the COVID-related Community Development Block Grant supplemental funding that was the subject of the recently approved Substantial Amendment to the 2019-2020 Annual Action Plan (CDBG regulations allow for assistance to moderate-income households):
• Up to $1,000 per month;
• Up to 3 months;
• Property must be located in the City of Carson;
• Applicant financially impacted by the COVID-19 pandemic’
• Not receiving any other form of financial assistance;
• Have a current residential lease agreement.
V. FISCAL IMPACT
None.
VI. EXHIBITS
1. Resolution No. 20-108 (pgs. 4-5)
1.
Prepared by: Saied Naaseh, Community Development Director and Keith Bennett, Community Development Department