REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF THE COUNTY OF SAN BERNARDINO
AND RECORD OF ACTION
August 6, 2019
FROM
DENA FUENTES, Deputy Executive Officer, Community Development and Housing Agency
SUBJECT
Title
Grant Application to the California Department of Housing and Community Development for the Housing for a Healthy California Program Funding in the amount of $2,529,090 for Rental Assistance for Chronically Homeless or Homeless who are High-Cost Health Users
End
RECOMMENDATION(S)
Recommendation
1. Authorize submission of a grant application to the California Department of Housing and Community Development for Article II - Building Homes and Jobs Act Allocation funds under the Housing for a Healthy California Program, in the amount not to exceed $2,529,090 to provide rental assistance for the chronically homeless or homeless who are high health-cost users.
2. Adopt a resolution, as required by the California Department of Housing and Community Development, certifying that the County of San Bernardino is authorized and directed to:
a. Submit the grant application; and if approved, execute the State of California Standard Agreement, and any and all other documents required to secure funding.
b. Administer Housing for a Healthy California Program Article II Program funds on behalf of the California Department of Housing and Community Development.
c. Receive an allocation for the Housing for a Healthy California Article II Program.
3. Designate and authorize the Chair of the Board of Supervisors or the Chief Executive Officer, as required by the California Department of Housing and Community Development, to execute the grant application and any related grant documents, including the State of California Standard Agreement, and any non-substantive amendments or modifications as required by the California Department of Housing and Community Development for the completion of the grant application process, subject to review by County Counsel.
4. Direct the Deputy Executive Officer of the Community Development and Housing Agency to transmit all documents and amendments in relation to the Housing for a Healthy California Program funding to the Clerk of the Board of Supervisors within 30 days of execution.
(Presenter: Dena Fuentes, Deputy Executive Officer, 387-4411)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Provide for the Safety, Health and Social Service Needs of County Residents.
Pursue County Goals and Objectives by Working with Other Agencies.
FINANCIAL IMPACT
This item will not result in the use of Discretionary General Funding (Net County Cost). The California Department of Housing and Community Development (HCD) Housing for a Healthy California (HHC) Program provides up to five years of rental assistance funds. The service funds to the target population are provided by the county managed care partners and/or the Department of Behavioral Health. Although there is no monetary match required by the grant, the County of San Bernardino (County) can increase the competitiveness and probability of application selection through commitment of local resources. The grant application includes expanding the rental assistance program from a maximum five-year period utilizing grant funds to a ten-year operational period through incorporation of County resources. The additional County funded portion of the rental assistance would commence in 2025 for the funds. The total costs for the rental assistance program for the ten year term is $5,500,000; $2,529,090 from HHC and $2,970,910 from County Community Housing Development Agency (CHDA) housing resources.
BACKGROUND INFORMATION
On May 13, 2019, HCD released the Notice of Funding Availability announcing approximately $60 million in Article II - Building Homes and Jobs Act Allocation funding available to counties through competitive grants to provide rental assistance, operating subsidies or capital gap financing to get individuals housed as quickly as possible under the HHC Program. The grant application recommends a ten year rental assistance program for 45 chronically homeless, or homeless who are high-cost health users in which the wrap around services are provided by the local managed care plans or the Department of Behavioral Health (DBH), dependent upon membership and/or eligibility. The total cost of the rental assistance program is $5,500,000. The proposed funding for the program includes $2,529,090 of the HHC Grant and $2,970,910 of future County housing monies which may include California Emergency Solutions Housing Program and the Building Homes and Jobs Act that the County directly receives in accordance with Senate Bill 2. The County-funded portion of the rental assistance cost would commence in Fiscal Year 2025. The recommended actions will allow CDHA and its partners to finalize the application and submit the grant packet to HCD by the August 13, 2019 grant deadline.
Assembly Bill 74 authorized the development of the HHC program to create supportive housing for individuals who are recipients of or eligible for health care through the California Department of Health Care Services Medi-Cal program. The goals of the program are to reduce the financial burden on local and state resources due to overutilization of hospitals, nursing homes, correctional systems, and law enforcement resources among people experiencing chronic homelessness or homeless and generating high costs, and to track Medi-Cal utilization changes once participants are housed.
The County is the applicant and the CDHA would administer the HHC rental assistance program. Rental assistance will be paired with case management services through partnerships with local managed care organizations and DBH. Direct services will include long-term rental assistance to individuals who are chronically homeless, or homeless and a high-cost health user paired with case management and coordination activities conducted by Inland Empire Health Plan (IEHP), Molina Healthcare (Molina), and DBH healthcare service providers.
Under the grant award, rental assistance will be provided to private landlords for periods of up to ten years. It is possible that the program could be longer than ten years if the HHC program is reauthorized by the State of California. IEHP and Molina have agreed to commit funding to the HHC Program. DBH would only service those clients who are not IEHP or Molina clients and qualify for DBH services.
The grant application submission deadline to HCD is August 13, 2019. Awards are anticipated to be announced in December 2019. Recommendation No. 3 authorizes the Chair of the Board of Supervisors or the Chief Executive Officer to execute the grant application and any related grant documents, including the State Standard Agreement, amendments or modifications, subject to review by County Counsel. HCD is requiring a resolution as part of the application process authorizing the County to enter into and execute the Standard Agreement if the grant application is approved by HCD. If funding is awarded, a future item will be presented to the Board to accept the grant award, execute the Standard Agreement, and make any necessary budget adjustments.
PROCUREMENT
Not applicable.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Suzanne Bryant, Deputy County Counsel, 387-5455) on July 29, 2019; Finance (Kathleen Gonzalez, Administrative Analyst, 387-5412) on July 29, 2019; and Finance and Administration (Matthew Erickson, County Chief Financial Officer, 387-5423) on July 29, 2019.