REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF THE COUNTY OF SAN BERNARDINO
AND RECORD OF ACTION
September 15, 2020
FROM
CASONYA THOMAS, Assistant Executive Officer, Human Services
SUBJECT
Title
Capital Improvement Program Project for Homekey Program Property Acquisition
End
RECOMMENDATION(S)
Recommendation
1. Approve Capital Improvement Program Project in the amount of $200,000 for Real Estate Services Department to provide property acquisition services for the Homekey Program.
2. Approve budget adjustments, as detailed in the Financial Impact Section, for the Project’s 2020-21 estimated costs and authorize the Auditor-Controller/Treasurer/Tax Collector to post adjustments. (Four votes required)
(Presenter: Tom Hernandez, Chief of Homeless Services, 501-0611)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Promote the Countywide Vision.
Ensure Development of a Well-Planned, Balanced, and Sustainable County.
Provide for the Safety, Health and Social Service Needs of County Residents.
Pursue County Goals and Objectives by Working with Other Agencies.
FINANCIAL IMPACT
Approval of this Capital Improvement Program (CIP) project, Homekey Program property acquisition services (CIP 21-109) will not result in the use of Discretionary General Funding (Net County Cost). It is the intent that the County will first seek to use grant funds from the State of California Department of Housing and Community Development (HCD) to fund the $200,000 estimated cost for Real Estate Services Department (RESD) services. However, if State funding is unavailable, the County will then pursue to use Federal Coronavirus Aid, Relief, and Economic Security (CARES Act) Coronavirus Relief Funds for the total project costs. The following adjustments are needed to establish the Project’s budget for 2020-21:
|
Project Name and CIP Number |
Fund Center |
Commitment Item / GL Account |
Increase / (Decrease) Amount |
WBSE |
|
Project Homekey (CIP#21-109) |
6210001000 |
55305030 |
$200,000 |
99.60.1010.75.02 |
|
|
6210001000 |
40408955 |
$200,000 |
N/A |
|
|
7700003100 |
54004005 |
$200,000 |
10.10.1106 |
|
|
7700003100 |
40909975 |
$200,000 |
10.10.1106 |
BACKGROUND INFORMATION
HCD is providing approximately $600 million in Homekey funding to rapidly expand and sustain the inventory of housing for people experiencing homelessness or at risk of homelessness and impacted by COVID-19. The Homekey grant, created through Assembly Bill 83, is an opportunity for local public agencies to purchase motels and a broad range of other housing types in order to increase their community’s capacity to respond to homelessness and the current COVID-19 pandemic. Of the $600 million in Homekey grant funds, $550 million is derived from the State's direct allocation of the Federal Coronavirus Aid Relief Funds (to be expended by December 30, 2020) and $50 million is derived from the State's General Fund (to be expended by June 30, 2022) to supplement the acquisition of, and to provide initial operating subsidies for, Homekey sites.
The purpose of the Homekey Program is to provide grant funding to eligible applicants and facilitate a partnership with the State to quickly acquire, rehabilitate or master lease a variety of housing types. Once developed, these projects will provide interim or permanent housing options for persons experiencing homelessness and who are also at risk of COVID-19. Eligible applicants who may apply for the Homekey grant funds include cities, counties, or any other Local Public Entity as that term is defined by Health and Safety Code section 50079. Eligible applicants may apply independently or in partnership with nonprofit or for-profit corporations.
On August 11, 2020 (Item No. 23), the Board of Supervisors (Board) approved and gave the Chief Executive Officer authority to submit a County-led Homekey Program application to the HCD by August 13, 2020, the priority application period. The application was submitted, and the County was notified that funds are being reserved pending the receipt of a Resolution, which is being presented to the Board for approval in a separate item on today’s agenda.
The recommended Resolution informs HCD of the Board’s agreement with the County-led Homekey Program and will allow HCD to officially transition reserved funding to awarded funding with a state award agreement. Additionally, the Office of Homeless Services will move forward with a formalized memorandum of understanding detailing specific responsibilities of the partnering agencies to provide much needed housing services through the Homekey Program to this key target population of people experiencing homelessness or at risk of homelessness and impacted by COVID-19. The County is in the initial stages of the Homekey Program and is actively working with its community partners to understand the impacts of the project.
Approval of this item will allow the RESD to move forward with the process for site acquisition, title review, due diligence review and site review. An additional item will be presented to the Board for approval with budget adjustments for acquisition costs at a future date.
PROCUREMENT
N/A
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Suzanne Bryant, Deputy County Counsel, 387-5455) on September 4, 2020; Auditor-Controller/Treasurer/Tax Collector (Erika Gomez, General Accounting Manager, 382-3195) on September 9, 2020; Real Estate Services Department (Jennifer Costa, Assistant Director, 387-5380) on September 9, 2020; Finance (Christopher Lange, Administrative Analyst, 386-8393) on September 4, 2020; Finance (Wen Mai, Principal Administrative Analyst, 387-4020) on September 9, 2020; County Finance and Administration (Matthew Erickson, Chief Financial Officer, 387-5423) on September 9, 2020; and County Finance and Administration (Tanya Bratton, Deputy Executive Officer, 388-0280) on September 9, 2020.