Agenda Item #13.3
For Council Meeting of: April 9, 2024
CITY OF SANTA ROSA
CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: MEGAN BASINGER, DIRECTOR
HOUSING AND COMMUNITY SERVICES
SUBJECT: RESCINDING RESOLUTION NO. RES-2021-199 AND ADOPTING A REVISED RESOLUTION AUTHORIZING THE SUBMITTAL OF AN APPLICATION REQUESTING AN AMOUNT NOT TO EXCEED $11.36 MILLION TO THE STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT’S HOMEKEY GRANT PROGRAM; AND AUTHORIZING THE MAYOR OR DESIGNEE TO EXECUTE THE APPLICATION AND THE HOMEKEY DOCUMENTS AGENDA ACTION: RESOLUTION
RECOMMENDATION
It is recommended by the Housing and Community Services Department that the Council, by two separate resolutions: 1) rescind Resolution No RES-2021-199, which authorized the submittal of a grant application to the State of California Department of Housing and Community Development Homekey grant program jointly with Catholic Charities of the Diocese of Santa Rosa in an amount not to exceed $11.36 million; and 2) adopt a revised resolution to authorize the submittal of a joint application with Catholic Charities of the Diocese of Santa Rosa and Caritas Center QALICB to the State of California Department of Housing and Community Development’s Homekey grant program in an amount not to exceed $11.36 million for Caritas Center; and authorizing the Mayor or designee to execute the application and Homekey documents.
EXECUTIVE SUMMARY
The City of Santa Rosa is a co-applicant on two Homekey projects funded by California Department of Housing and Community Development (HCD), Caritas Center and St. Vincent De Paul Commons. Homekey is a state program that provides funding to acquire, develop, or rehabilitate a variety of housing types for permanent or interim housing for people experiencing homelessness or those at risk of homelessness. Jointly with the City, Caritas Center and St. Vincent de Paul Commons both received awards and have executed Standard Agreements with HCD.
Catholic Charities of the Diocese of Santa Rosa subsequently established and added a separate entity, Caritas Center QALICB, to the Caritas Center project. This change in the ownership structure requires an amendment to the Standard Agreement. HCD has also changed their signature requirements since the Caritas Center Standard Agreement was executed, and the amendment to the Standard Agreement will now be subject to the new requirement that the Mayor, rather than the City Manager, is the signatory on the Homekey application and documents. An updated resolution from the City acknowledging that Caritas Center QALICB is a co-applicant and authorizing the Mayor to sign Homekey documents is required by HCD before the amendment to the Standard Agreement can be executed.
BACKGROUND
On September 9, 2021, HCD released the Homekey Program Notice of Funding Availability, Round 2 (NOFA) for approximately $1.45 billion; Homekey Guidelines require applications to be submitted by cities, counties, tribal entities, or other government organizations, and allows for joint applications from government organizations with a nonprofit or for-profit organization as the co-applicant. The City of Santa Rosa (City) proceeded with developing two joint applications with two non-profit organizations as the co-applicants, both of which were authorized by Council on November 16, 2021.
Catholic Charities was awarded $11.36 million to assist 40 units in the new homeless services facility, the Caritas Center. Construction of the facility is complete and is in service. Catholic Charities is holding the property in the name of Caritas Center QALICB, which needs to be reflected in the resolution from the City. In addition, because the signature requirements for the Homekey program have changed, and because the addition of Caritas Center QALICB to the application requires an amendment to the Standard Agreement, the City must also update the resolution to change the City signatory in accordance with the new signatory requirements for the Homekey program.
PRIOR CITY COUNCIL REVIEW
On November 16, 2021, Council approved RES-2021-199 authorizing the submittal of an application in amount not to exceed $11.36 million for Caritas Center.
ANALYSIS
The Homekey grant has provided funding for the Caritas Center Family Shelter, approval of a modification to the resolution will address the changes that the have been requested by HCD.
The modification to the resolution adds Caritas Center QALICB as a named applicant on the Caritas Center project and changes the authorization from the City Manager or designee to the Mayor or designee to execute the application and all other documents required or deemed necessary or appropriate to secure the Homekey funds from HCD and to participate in the Homekey Program, and all amendments thereto.
FISCAL IMPACT
Approval of a revised resolution for the grant application does not have a fiscal impact on the General Fund.
ENVIRONMENTAL IMPACT
This action is exempt from the provisions of the California Environmental Quality Act (CEQA) under CEQA Guidelines Section 15061(b)(3) and 15378 in that there is no possibility that the implementation of this action may have significant effects on the environment, and no further environmental review is required.
BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.
NOTIFICATION
Not applicable.
ATTACHMENTS
Attachment 1 – Resolution RES-2021-199
Resolution No. 1 (Repeal of RES 2021-199)
Resolution No. 2 (Revised Resolution)
PRESENTER
Rebecca Lane, Program Specialist
Department of Housing and Community Services
RESCINDING RESOLUTION NO. RES-2021-199 AND ADOPTING A REVISED RESOLUTION AUTHORIZING THE SUBMITTAL OF AN APPLICATION REQUESTING AN AMOUNT NOT TO EXCEED $11.36 MILLION TO THE STATE OF CALIFORNIA DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT’S HOMEKEYGRANT PROGRAM; AND AUTHORIZING THE MAYOR OR DESIGNEE TO EXECUTE THE APPLICATION AND THE HOMEKEY DOCUMENTS PAGE 3 OF 3