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HomeMy WebLinkAboutHOME-ARP Staff Recomendations Memo Date: July 15, 2022 To: Housing and Community Development Commission From: Erika Kubly, Neighborhood Services Coordinator Cassandra Gripp, Grants Specialist Re: HOME-ARP Staff Funding Recommendations Summary of Staff Scores & Funding Recommendations for CDBG/HOME: Agency and Project Score (300 Points Total) Request Funding Recommendation Shelter House Supportive Services for PSH 285 95% $517,742 $517,742 Iowa Legal Aid Legal Services to Increase Housing Stability 270 90% $157,500 $157,500 Domestic Violence Intervention Program (DVIP) Shelter Construction 258 86% $750,000 $500,000 United Action for Youth TLP Expansion 215 72% $60,000 $30,000 Reserves [Justification Below] $316,739 Total $1,485,242 $1,205,242 Staff Comments on Funding Recommendations for HOME-ARP: General Comments The City received four submissions for HOME-ARP funds. All four proposals clearly explain how the project will address a specific goal from the City’s consolidated plan, City Steps 2025 and addresses a need identified in the HOME-ARP Needs Assessment and Gap Analysis. The City of Iowa City must certify in the HOME-ARP Allocation plan that all qualifying populations are able to benefit from HOME-ARP funds. To ensure this, projects which serve all qualifying populations without prioritization are scored the highest. Projects which prioritize a specific subpopulation are eligible for HOME- ARP funds, but the prioritization must be demonstrated in the Needs Assessment. Shelter House – Supportive Services for PSH Shelter House has a demonstrated history of administering federally funded projects in the City of Iowa City. The agency is subject to the single audit requirement as they annually expend more than $750,000 in federal funds each fiscal year. The request utilizes a tiered approach to HOME-ARP funds understanding that the funds are likely available on a one-time basis and demonstrating significant planning for ensuring ongoing operation of the program beyond the funded period. As the highest-scoring application, staff recommends full funding be awarded to Shelter House ($517,742). Iowa Legal Aid Iowa Legal Aid has administered federal funds for many years to provide both Homelessness Prevention services and Rapid Rehousing Services. The agency is subject to the single audit requirement as they annually expend more than $750,000 in federal funds each fiscal year. Iowa Legal Aid will utilize the funds as a continuation of an already-existing supportive services program funded by Johnson County, Wells Fargo, and July 15, 2022 Page 2 the Principal Foundation. As the second-highest scoring application, staff recommends full funding be awarded to Iowa Legal Aid ($157,500). Domestic Violence Intervention Program (DVIP) – Shelter New Construction DVIP has undertaken numerous federally funded projects through the City in prior fiscal years including both public facility improvements and public service activities. The agency is subject to the single audit requirement as they annually expend more than $750,000 in federal funds each fiscal year. The scope of the proposal is larger than prior projects, which does present additional risk. The budget submitted in the project proposal also notes that a large portion of the project funds are not officially committed. Due to the being the 3rd the highest scoring application, staff recommends two-thirds of the requested funding be awarded to DVIP ($500,000). However, the agency and HCDC should be aware that any delays in the project timeline could have an impact on the City’s timeliness status if the federal funds awarded are not expended as scheduled. United Action for Youth United Action for Youth has administered the federally funded Transitional Living Program (TLP) for over 20 years. In response to COVID-19, UAY chose to expand the program to include additional units in order to serve more participants in need. UAY is seeking HOME-ARP funding to ensure the expansion can be maintained through the federal grant period on the originally funded units. As the lowest scoring application, staff recommends one-half of the requested funding be awarded to United Action for Youth. While the application and requested supplemental documentation provides justification for the project in the community, the HOME-ARP Needs Assessment and Gap Analysis does not specifically identify homeless youth as a subpopulation in greatest need, however the assessment does specifically indicate a general need for supportive services for qualifying populations. Reserves Iowa Finance Authority has indicated that they are considering the possibility of requiring State HOME-ARP applicants to leverage Local HOME-ARP funding as match in their future HOME-ARP funding round. On last consultation with IFA, this decision was not yet made and likely would not be until at least December 2022. Staff is prepared to proceed with the HOME-ARP Allocation Plan submission process, but do not wish to run the risk of excluding local nonprofits from being eligible to utilize State HOME-ARP funds. Due to this, staff recommends holding $316,739 in reserves for a future funding round, to be conducted after the Iowa Finance Authority has announced their requirements for State HOME-ARP applicants.