Agenda Item
City Council
Item #: 10.1. 3/28/2023 File #: 23-0115
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Jeff Adams, Interim Community Development Director
1. SUBJECT
Continued Public Hearing to consider the Second Amendment to the Fiscal Year 2021-2022 Annual Action Plan to incorporate the HOME Investment Partnerships-American Rescue Plan Allocation Plan. (Continued from February 14, 2023)
2. SUMMARY
Public Hearing to consider the approval of the Second Amendment to the 2021-2022 Annual Action Plan to incorporate the HOME Investment Partnerships-American Rescue Plan (HOME-ARP) Allocation Plan to provide supportive services to benefit qualifying individuals and families, including veterans that are experiencing homelessness, at-risk of homelessness, or are part of a vulnerable population such as those fleeing domestic violence.
3. RECOMMENDED ACTION
1. Authorize staff to incorporate public comments received at the Public Hearing into the 2021- 2022 Annual Action Plan.
2. Approve the Second Amendment to the 2021-2022 Annual Action Plan to incorporate the HOME-ARP Plan and submit to the Department of Housing and Urban Development (HUD).
3. Authorize the City Manager or their designee to finalize the draft HOME-ARP Plan and execute documents related to the Second Amendment of the 2021-2022 Annual Action Plan and HOME-ARP Allocation Plan on behalf of the City.
4. FISCAL IMPACT
The total expenditure for this Allocation Plan is $1,655,186 and will be funded through HOME (317).
5. STRATEGIC PLAN GOALS
Goal 2: Be a fiscally healthy community
a: Expend fiscal resources responsibly.
Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.
6. DISCUSSION AND BACKGROUND
Background
On March 11, 2021, the American Rescue Plan (ARP) was passed in response to the COVID-19 pandemic. Congress appropriated $5 billion in ARP funds to be administered through the HOME City of Orange Printed on 3/22/2023Page 1 of 3
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Item #: 10.1. 3/28/2023 File #: 23-0115
pandemic. Congress appropriated $5 billion in ARP funds to be administered through the HOME Investment Partnerships Program (HOME) and authorized HUD to distribute the funds to participating jurisdictions (PJ) that qualified for an allocation of HOME Funds in Fiscal Year (FY) 2021, of which the City of Orange was a recipient.
The intent of HOME-ARP is to address the need for homelessness assistance and supportive services to benefit qualifying individuals and families, including veterans that are experiencing homelessness, at-risk of homelessness, or are part of a vulnerable population such as those fleeing domestic violence. Eligible activities for the use of the HOME-ARP funds include:
1. Development and support of affordable housing;
2. Tenant-based rental assistance (TBRA);
3. Provision of supportive services;
4. Acquisition and development of non-congregate shelter units.
The City received an allocation of $1,655,186 in HOME-ARP funds. In order to access the funds, the City must develop a HOME-ARP Allocation Plan (Plan) and amend its 2021-2022 Annual Action Plan to incorporate the Plan for submittal to HUD. The Plan describes the consultation and public participation process that the City engaged in as part of the process and requirement of developing the plan and outlines how the City will use HOME-ARP funds. The Annual Action Plan outlines the intent of the use of Community Development Block Grant (CDBG) and HOME funds received by the City in a specific year. A substantial amendment is necessary to include the additional source of HOME-ARP funds and proposed activities.
City Council approved the HOME-ARP Allocation Plan at the Public Hearing on March 14, 2023. The City is required to amend its 2021-2022 Annual Action Plan, hold a Public Hearing, and a 30-day public review period of the amendment before submitting the approved plan to HUD. Today’spublic hearing fulfills this requirement.
Discussion
The City’sPlan is focused on using HOME-ARP funds to fund supportive services to the qualifying populations.
To meet the housing requirement of the HOME-ARP grant and address some of the housing assistance needs within the City, the Plan proposes to establish a TBRA Program with its HOME entitlement funds. The TBRA Program guidelines and requirements are under development and will be presented to Council for consideration at a future date. The TBRA Program will be funded through the City’sannual HOME Program entitlement beginning in Fiscal Year 2023-2024 so as to preserve the HOME-ARP funds for supportive services to serve the qualifying populations. Historically, the City has had difficulty finding qualifying projects for its HOME funding. By establishing a TBRA program, the City will be able to more timely expend its HOME funding, while addressing a need in the community.
Citizen Participation Process
As required by the City’sapproved Citizen Participation Plan, a Public Notice was published in the Orange City News on February 23, 2023 to inform residents availability of the draft Second Substantial Amendment to the 2021-2022 Annual Action Plan for a 30-day review and comment period of the Public Hearing on the March 28, 2023. The notice advised residents that copies of the draft Second Amendment were also available on the City’swebsite from February 23, 2023, to March 27, 2023. Additionally, the notice stated that hard copies of the document were available at the City of Orange Printed on 3/22/2023Page 2 of 3
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Item #: 10.1. 3/28/2023 File #: 23-0115
27, 2023. Additionally, the notice stated that hard copies of the document were available at the counters of the Community Development Department, Orange Main Public Library, and City Clerk Office.
On Tuesday, March 14, 2023, the City Council held a Public Hearing to approve the HOME-ARP Allocation Plan. As part of today’sapproval, the draft Plan has been updated to include additional detail on statistics and outreach, including additional comments received, to incorporate and reflect the feedback and guidance received from HUD.
7. ATTACHMENTS
· Second Substantial Amendment to the 2021-2022 Annual Action Plan · Draft HOME-ARP Allocation Plan
City of Orange Printed on 3/22/2023Page 3 of 3
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