DATE: JUNE 18, 2024
DEPARTMENT: COMMUNITY DEVELOPMENT
FROM: LISA BRINTON, DIRECTOR
THROUGH: FRANCISCO BRAMBILA, PLANNING MANAGER
BY: KAYSHLA LOPEZ, HOMELESS SERVICES MANAGER
TITLE: SUBRECIPIENT FUNDING AGREEMENTS FOR HOMELESS SERVICES PROJECTS FOR FY 2024-2025 RECOMMENDED MOTION:
A motion to approve a Resolution:
authorizing the City Manager to negotiate and execute a Subrecipient Funding Agreement with Community Homeless Solutions for the operations of the Chinatown Navigation Center, with a total compensation amount not to exceed $1,418,362 from CIP 9125-Chinatown Navigation Center Sprung Shelter funds for FY 2024-25; and authorizing the City Manager to negotiate and execute a Subrecipient Funding Agreement with Community Homeless Solutions for the operations of the Chinatown Navigation Center, with a total compensation amount not to exceed $305,034 from American Rescue Plan Act funds for FY 2024-25; and authorizing the City Manager to negotiate and execute a Subrecipient Funding Agreement with Downtown Streets, Inc. to provide Rapid Rehousing and Street Outreach services with a total compensation amount not to exceed $147,000 from American Rescue Plan Act funds for FY 2024-25; and authorizing the City Manager to negotiate and execute a Subrecipient Funding Agreement with Downtown Streets, Inc., to provide Street Outreach services with a total compensation amount not to exceed $590,000 from General Funds for FY 2024-25; and authorizing the City Manager to execute Amendment No. 1 to the HCD 2022 ESG Subrecipient Funding Agreement (No. 22SESG01) with Central Coast Center for Independent Living, to reduce the maximum compensation by $65,000 to a total not to exceed $68,284, and extend the term to October 31, 2024, upon Leadership Council final approval; and authorizing the City Manager to negotiate and execute a Rapid Rehousing Subrecipient Funding Agreement for the Downtown Streets Team Rapid Rehousing Program with Downtown Streets, Inc., with a total compensation amount not to exceed $65,000 for FY 2024-25, upon Leadership Council final approval.
EXECUTIVE SUMMARY:
The Community Development Department (CDD) seeks to continue subrecipient funding agreements for homeless services projects focused on emergency shelter, rapid rehousing, and street outreach in Fiscal Year 2024-2025. Authorization to enter into Subrecipient Funding Agreements with Community Homeless Solutions (CHS) and Downtown Streets, Inc. (DSI) for the Fiscal Year 2024-2025 is requested. In addition, authorization is requested to amend the HCD 2022 ESG Subrecipient Funding Agreement (No. 22SESG01) with Central Coast Center for Independent Living (CCCIL). These Subrecipient Funding Agreements are essential to address homelessness within the City of Salinas.
BACKGROUND:
The City of Salinas (City) has historically utilized a multitude of funding sources including general funds, Capital Improvement Projects (CIPs) and grant funding such as American Rescue Plan Act (ARPA) and the California Department of Housing and Community Development (HCD) Emergency Solutions Grant (ESG) to fund homeless services projects. Presently, the City relies on collaborative partnerships to address the complex issue of homelessness through subrecipient funding agreements with nonprofit organizations with various program models from Street Outreach to Emergency Shelter. Subcontracting services enables the City to promptly respond to an increasing number of requests for support with housing and homelessness.
CHS has been operating the Chinatown Navigation Center (CNC) for several years through various subrecipient funding agreements. The operation of the CNC for FY 2024-2025 is estimated to cost approximately $1,723,396. This cost will be covered by $1,418,362 using CIP 9125 – Chinatown Navigation Center Sprung Shelter and $305,034 from ARPA funds. The Subrecipient Funding Agreements for the CNC Operations with Community Homeless Solutions will provide emergency shelter, case management, housing placements and retention services.
Per the City’s request, DSI piloted a Rapid Rehousing program to immediately house individuals who meet the definition of homeless and its program participants in FY 2023-2024. The City intends to continue this program for FY 2024-2025. DSI proposed a budget of $147,000 to continue with this model. The Subrecipient Funding Agreement with DSI will be funded using existing ARPA funds.
DSI maintains its work experience program by offering street outreach to its participants and liter and debris removal to the City of Salinas. These efforts extend to various locations, including downtown area, and Natividad Creek Park. Based on DSI’s performance the City intends to continue with this program for FY 2024-2025. DSI proposed a budget of $590,000 to continue with this program. This Subrecipient Funding Agreement with DSI will be funded using approved Genera Funds for FY 2024-2025 (3181).
CCCIL received FY 2022 State ESG Funding to provide emergency shelter and rapid rehousing services. Due to delays in the execution of the agreement, CCCIL informed the City that they would be unable to expend the full funds by the expenditure deadline. The Amendment No. 1 to HCD 2022 ESG Subrecipient Funding Agreement (No. 22SESG01) with CCCIL is attached to this staff report. Pending Leadership Council approval, the funds will be decreased and reallocated to DSI through a new Subrecipient Funding Agreement for FY 2024-2025.
Draft subrecipient agreements for FY 2024-25 are attached to this staff report. Under the terms of the agreements, compensation will be provided as described on Exhibit B of each agreement. Any additional agreements for future scope of work will be negotiated and then executed following City procurement procedures.
CEQA CONSIDERATION:
Not a Project. The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).
STRATEGIC PLAN INITIATIVE:
The proposed Agreements support the City of Salinas Strategic Plan 2022-2025 Goals and Strategies of Housing/Affordable Housing by allowing the undertaking of a variety of programs instrumental in providing homeless services throughout the city and region, furthering partnerships with public service organizations, and addressing the human service needs of the City’s low-income, elderly, and special needs communities.
DEPARTMENTAL COORDINATION:
This agenda item is administered by the City’s Community Development Department - Housing and Community Development Division in coordination with the City Attorney and Finance Department. Additional, external coordination with outside agencies and jurisdictions, such as HCD and staff of the local CoC #506 Leadership Council, has also occurred.
FISCAL AND SUSTAINABILITY IMPACT:
The funding sources for the proposed Subrecipient Funding Agreements are from previously approved ARPA funds, HCD ESG, as well as CIP 9125 – Chinatown Navigation Center Sprung Structure and General Fund monies approved by City Council for FY 2024-2025.
ATTACHMENTS:
Resolution
CIP 9125 Subrecipient Funding Agreement with Community Homeless Solutions - Draft ARPA Subrecipient Funding Agreement with Community Homeless Solutions - Draft ARPA Subrecipient Funding Agreement with Downtown Streets Inc.
GF Subrecipient Funding Agreement with Downtown Streets Inc.
HCD ESG Subrecipient Funding Agreement with Downtown Streets Inc.
Amendment No. 1 to Subrecipient Funding Agreement No. 22SESG01 Subrecipient Funding Agreement No. 22SESG01
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