HomeMy WebLinkAboutDraft HOME-ARP Allocation Plan
HOME-ARP
Allocation
Plan
City of Iowa City Neighborhood &
Development Services
This plan is subject to change pending HUD approval.
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Table of Contents
Introduction ................................................................................................................................................................2
Consultation ...............................................................................................................................................................2
CONSULTATIONS HELD .................................................................................................................................................2
SUMMARY OF FEEDBACK ..............................................................................................................................................5
Public Participation .....................................................................................................................................................5
PUBLIC PARTICIPATION PROCESS ....................................................................................................................................5
Needs Assessment and Gaps Analysis ........................................................................................................................6
HOME-ARP Activities ..................................................................................................................................................8
THE METHOD FOR SOLICITING APPLICATIONS ....................................................................................................................8
USE OF HOME-ARP FUNDING .....................................................................................................................................8
USE JUSTIFICATION ......................................................................................................................................................8
HOME-ARP Production Housing Goals .......................................................................................................................9
Preferences .................................................................................................................................................................9
USE OF PREFERENCES ..................................................................................................................................................9
REFERRAL METHODS ................................................................................................................................................ 10
LIMITATIONS IN A HOME-ARP RENTAL HOUSING OR NCS PROJECT ................................................................................. 10
UNMET NEEDS OF OTHER QUALIFYING POPULATIONS ..................................................................................................... 10
HOME-ARP Refinancing Guidelines ......................................................................................................................... 10
APPENDIX A ............................................................................................................................................................. 11
Citizen Participation......................................................................................................................................... 11
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Introduction
The American Rescue Plan Act of 2021 (“ARP”) appropriated $5 billion to communities across the U.S. to provide
housing, services, and shelter to individuals experiencing homelessness and other vulnerable populations. These
funds were allocated by formula to jurisdictions that qualified for funding through the HOME Investment
Partnership Program (HOME Program) from the U.S. Department of Housing and Urban Development (HUD).
Eligible activities that may be funded with HOME-ARP include:
• Development and support of affordable housing
• Tenant-based rental assistance
• Provision of supportive services
• Acquisition and development of non-congregate shelter units
Funds must primarily benefit individuals and households in the following Qualifying Populations:
• Experiencing homelessness
• At risk of homelessness
• Fleeing domestic violence, dating violence, sexual assault, stalking or human trafficking
• Other populations with high risk of housing instability
The City of Iowa City received a total of $1,789,981 in HOME-ARP funding and expects to make $1,521,981 in HOME-
ARP funds available for allocation in two competitive funding rounds.
Consultation
In order to inform the HOME-ARP allocation plan, the City of Iowa City consulted with agencies who serve the
qualifying populations. This consultation was conducted via survey, virtual stakeholder meetings, in-person
meetings, and conference calls. Specific consultations were held with the Iowa Balance of State CoC Lead Agency,
Institute for Community Alliances; the Iowa City Housing Authority; and at the regular meeting of the Johnson
County Local Homeless Coordinating Board (LHCB). Additional individual consultation meetings were held with
individual service providers upon request.
CONSULTATIONS HELD
• Local Homeless Coordinating Board Consultation
o December 8, 2021
• Iowa Legal Aid Consultation
o January 11, 2022
• Domestic Violence Intervention Program (DVIP) Consultation
o January 17, 2022
• The Housing Fellowship (THF) Consultation
o February 18, 2022
• Institute for Community Alliances Consultation
o April 7, 2022
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ORGANIZATIONS CONSULTED:
Agency/Org
Consulted
Type of
Agency/Org
Method of
Consultation Feedback
Johnson
County Local
Homeless
Coordinating
Board (LHCB)
Homeless
Services
Virtual
Stakeholder
Meeting
Feedback summarized by agency below.
Shelter House Homeless
Services
Virtual
Stakeholder
Meeting
Rental rehab; pest control; Case management critical; prioritize
below 30% AMI
Domestic
Violence
Intervention
Program
(DVIP)
Domestic
Violence Services
Virtual
Stakeholder
Meeting; Survey
Highest priorities: Rental Assistance
Med/High Priorities: Development of Affordable Housing;
Supportive Services
Other: Overall decrease in DV shelters across the state; Lack of
available units for families needing 3+ BR both in shelter and
affordable rentals; Larger than recommended caseloads.
Iowa Legal Aid
Legal, Eviction
Prevention, Fair
Housing, Civil
Rights
Virtual
Stakeholder
Meeting
Need for Supportive Services, homelessness prevention
Iowa City
Housing
Authority
Public Housing
Agency
Virtual
Stakeholder
Meeting; In
person meeting
Highest Priority: Supportive Services, TBRA
Need for rent assistance, application fees, housing for larger
families, agencies understaffed.
Johnson
County
Affordable
Housing
Coalition
Affordable/Fair
Housing
Advocacy
Virtual
Stakeholder
Meeting
Highest priority: PSH
Hawkeye Area
Community
Action
Program
(HACAP)
CHDO, Homeless
Services
Virtual
Stakeholder
Meeting
General lack of affordable housing
Inside Out
Reentry
Services for
People in the
Criminal Justice
System
Virtual
Stakeholder
Meeting; Survey
Highest Priority: Development of Affordable Housing
Med/High Priority: Rental Assistance; Supportive Services
Other: Lack of 1br & Efficiency units; challenges with finding
housing for individuals with criminal backgrounds; more
funding for case management
Johnson
County Social
Services
County
Government
Virtual
Stakeholder
Meeting
Renters are cost burdened. Shortage of affordable housing,
specifically one bedrooms and units for larger families.
Supportive services also needed.
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Housing Trust
Fund of
Johnson
County
Housing Services
Virtual
Stakeholder
Meeting; Survey
Highest Priority: Rental Assistance, Development of Affordable
Housing; Supportive Services
Medium Priority: NCS
Other: Financial challenges in getting into housing (deposit, first
month rent, etc.); shortage of affordable housing and
operational financial support for service providers
Waypoint
Domestic
Violence &
Mental Health
Virtual
Stakeholder
Meeting
Suggestion for housing programs for victims of homicide and/or
homeownership programs. (Not HOME-ARP eligible)
The Housing
Fellowship
CHDO, Housing
Provider
Virtual
Stakeholder
Meeting
Renters are significantly cost burdened. Highest priority is
development of affordable housing followed by eviction
prevention/rental assistance. Concerns about construction
timing & costs due to supply chain challenges.
Institute for
Community
Alliances
CoC
Virtual
Stakeholder
Meeting
Supportive services and operating expenses are a high priority.
Pandemic impacted workforce significantly and caseloads are
high. Always need more affordable housing as well.
Anonymous
Organization
addressing fair
housing & civil
rights
Survey
Highest priorities: Rental Assistance, Development of
Affordable Housing
Med/High priorities: Supportive Services, NCS
Other: Low to middle income underserved, paying high rents.
Veteran's
Affairs
Veteran's
Services
Virtual
Stakeholder
Meeting
No specific comments provided.
Abbe Health Mental Health
Services
Virtual
Stakeholder
Meeting
No specific comments provided.
United Action
for Youth
(UAY)
Youth Services,
Mental,
Homeless
Services
Virtual
Stakeholder
Meeting
No specific comments provided.
Amerigroup Healthcare
Services
Virtual
Stakeholder
Meeting
No specific comments provided.
National
Association for
Mental Illness
(NAMI)
Mental Health
Services
Virtual
Stakeholder
Meeting
No specific comments provided.
CommUnity
Crisis Services
and Food Bank
Food Services,
Mental health,
Housing Services
Virtual
Stakeholder
Meeting
No specific comments provided.
Iowa City
Community
School District
(ICCSD)
School
District/Youth &
Family Services
Virtual
Stakeholder
Meeting
No specific comments provided.
Iowa City Free
Lunch Program Food Services
Virtual
Stakeholder
Meeting
No specific comments provided.
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SUMMARY OF FEEDBACK
The most frequent response that we received was that the City of Iowa City’s affordable housing inventory is not
meeting the demand. Specifically, the availability of affordable one bedroom and efficiency units is below demand
as well as the availability of affordable housing for households requiring more than 3 bedrooms. In addition, service
providers reported an increased need for funding for operations for case management staff to assist persons at risk
of or experiencing homelessness. While this need is certainly documented, there was additional concern regarding
sustainability of funding for supportive services outside of one-time funds. Other populations identified include
those who are “rent burdened”, paying more than 30% of their monthly income in rent, in low to middle income
brackets. Additional feedback received indicated that housing and services for special populations (specifically:
victims of domestic violence, youth experiencing homelessness, & individuals with criminal backgrounds) and
general rental assistance would also be beneficial in the community.
Public Participation
In accordance with Section V.B of the Notice (page 13), the City of Iowa City is providing for and encouraging citizen
participation in the development of the HOME-ARP allocation plan. Residents will receive notice of the 27-day
comment period via press release as required by the citizen participation plan. This includes notice posted on the
City Clerk’s Bulletin Board on the First Floor of City Hall, publishing of notices in one or more newspapers of general
circulation, and announcement on City websites including access to relevant documents for review. Documents are
also available to the public at City Hall.
Public hearings will be held at during the July 21st, 2022 Regular Meeting of the Housing and Community
Development Commission meeting and at the August 16th, 2022 Regular Meeting of the City Council.
PUBLIC PARTICIPATION PROCESS
Date(s) of
Outreach Mode of Outreach Summary of
Response/Attendance
Summary of
Comments Received
Summary of
Comments not
Accepted and
Reason
7/21/2022 Public Notice
Newspaper ad to solicit
public input on HOME-ARP
Allocation Plan
N/A N/A
7/21/2022
through
8/16/2022
Public Comment
Period TBD TBD
See Appendix A
TBD
See Appendix A
7/21/2022 Public Hearing TBD TBD
See Appendix A
TBD
See Appendix A
8/16/2022 Public Hearing TBD TBD
See Appendix A
TBD
See Appendix A
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Needs Assessment and Gaps Analysis
To assess the needs of HOME-ARP qualifying populations, the City of Iowa City reviewed the current shelter and
housing inventory, the size of the populations, and the system of supportive services in the community. To conduct
the needs assessment and gaps analysis, the City of Iowa City utilized current data, including the 2021 Point In Time
Count (PIT), the 2021 Iowa Balance of State Continuum of Care Housing Inventory Count (HIC), the most recent
Comprehensive Housing Affordability Strategy (CHAS) data, and consultation with the Institute for Community
Alliances, who is the lead agency for the Iowa Balance of State Continuum of Care (IA BoS CoC) as well as the IA BoS
CoC Homeless Management Information System (HMIS) administrator. The findings of this assessment can be found
in the table below.
HOME-ARP
Qualifying
Populations
Relevant
HOME-ARP
Eligible Uses
Housing
Type/Status Current State Current Need Gaps
1. Homeless
3. Fleeing, or
attempting to
flee,
Domestic
Violence,
Dating
Violence,
Sexual
Assault,
Stalking, or
Human
Trafficking
Acquisition &
Development
of Non-
Congregate
Shelters
Supportive
Services
Emergency
Shelter
(Congregate
& Non-
Congregate)
Currently 78 emergency
shelter units are available
year-round with an
additional 40 units of
temporary winter shelter
operating December
through March annually. 10
units (20 beds) are
dedicated to Victims of
Domestic Violence. The
remaining 68 are dedicated
to single adults.
Emergency Shelter
opportunities for
Families with
Children and
families fleeing
Domestic Violence.
However, there
were no unsheltered
families with
children on the local
PIT count.
Gap identified
specific for a
qualifying
population.
Development
of Affordable
Rental Housing
Supportive
Services
TBRA
Transitional
Housing
Currently 6 units (9 beds) of
Transitional Housing
available for victims of
domestic violence. And
additional 10 units of
Veteran's Transitional
Housing available (GPD). An
additional 7 units specific to
homeless Youth (16-22) are
available.
Additional options
for homeless youth.
Referrals and
waiting lists are
increasing,
particularly for
youth in the LGBTQ+
community.
Gap identified for a
specific
subpopulation.
Development
of Affordable
Rental Housing
Supportive
Services
TBRA
Permanent
Supportive
Housing
Currently 187 units (196
beds) of PSH currently or
imminently available. Of
these, 3 units are dedicated
to families while 89 are for
single adults and 95 are for
single veterans. As of the
2021 HIC submission, only
99 units occupied. (Due to
new construction, etc.)
2021 PIT Count
identified 11
(sheltered) families
experiencing
homelessness. 2021
PIT Count also
identified 68
(sheltered) and
approximately 8
unsheltered single
individuals.
Gap in permanent
supportive housing
availability across
the board, but
specifically in the
category of family
housing.
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2. At-Risk of
Homelessnes
s
4. Other
Populations
(Other
families
requiring
services or
housing
assistance to
prevent
homelessness
& at greatest
risk of
housing
instability)
Development
of Affordable
Rental Housing
Supportive
Services
TBRA
Cost
Burdened
Renters with
Income
<=30% AMI
According to CHAS data for
2014-2018, approximately
15,365 households rent
their home in Iowa City. Of
those, 47.1% have income
less than 30% AMI.
For those renters who have
been identified as having
income <30% AMI, 71.9%
are identified as having a
cost burden over 50% of
their monthly income.
71.9% of renters
who have income
that is <30% AMI are
identified as having
a severe cost
burden, and
additional 5.8%
(total of 77.7%) are
identified as having
at least 1 of 4
Housing Problems as
defined by the
CHAS, meaning
77.7% of renters in
this income category
are at great risk of
housing instability.
While there are
several assistance
options for
households
experiencing literal
homelessness in
the community,
the number of
assistance
programs for
housed individuals
with a significant
cost-burden are
limited, one-time
emergency
assistance, or
temporary in
nature and do not
serve to stabilize
the household
long-term.
4. Other
Populations
(Other
families
requiring
services or
housing
assistance to
prevent
homelessness
& at greatest
risk of
housing
instability)
Development
of Affordable
Rental Housing
Supportive
Services
TBRA
Cost
Burdened
Renters with
Income
<=50%AMI
According to CHAS data for
2014-2018, approximately
15,365 households rent
their home in Iowa City. Of
those 18.2% have income
less than 50% AMI, but
greater than 30% AMI.
For those renters who have
been identified as having
income <=50% AMI, 29.9%
are identified as having a
cost burden over 50% of
their monthly income.
29.9% of renters
who have income
that is <=50% AMI
are identified as
having a severe cost
burden, an
additional 56.3%
(total of 86.2%) are
identified as having
at least 1 of 4
Housing Problems as
defined by the
CHAS, meaning
86.2% of renters in
this income category
are at great risk of
housing instability.
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HOME-ARP Activities
THE METHOD FOR SOLICITING APPLICATIONS
The City of Iowa City is soliciting applications for HOME-ARP funds. Applications will be reviewed by the Housing
and Community Development Commission (HCDC) who will make the final funding recommendations to City
Council. The HCDC will not allocate funds to a subrecipient or contractor to administer the entirety of the HOME-
ARP grant nor will funds be awarded prior to HUD’s acceptance of the HOME-ARP allocation plan.
Prospective applicants were notified of the solicitation of applications via press release. An applicant guide and
virtual Q&A sessions were held to assist applicants in learning more about the application process.
The City of Iowa City will oversee the administration of HOME-ARP funds and will not administer HOME-ARP
activities directly.
The City of Iowa City will hold a second funding round for HOME-ARP funds to supplement and provide matching
funds to Iowa City agencies seeking HOME-ARP funds from the State of Iowa.
USE OF HOME-ARP FUNDING
Funding Amount Percent of the
Grant Statutory Limit
Supportive Services $ 671,855
Acquisition and Development of Non-Congregate
Shelters $ 500,000
Tenant Based Rental Assistance (TBRA) $ 0
Development of Affordable Rental Housing $ 316,739
Non-Profit Operating $ 33,387 1.87% 5%
Non-Profit Capacity Building $ 0 0% 5%
Administration and Planning $ 268,000 15 % 15%
Total HOME ARP Allocation $ 1,789,981
USE JUSTIFICATION
In accordance with the requirements in HOME-ARP Implementation Notice CPD 21-10, The City of Iowa City has
utilized the consultation process and the needs assessment and gap analysis to determine that the priority needs
for the qualifying populations in the community are an increase in the availability of affordable housing units and
funds to support both new and existing supportive services programs serving qualified populations. As a result of
this analysis, the funds have been allocated primarily to these activities.
Based on the most recent Point In Time Count (PIT) and Housing Inventory Count (HIC), the number of general
shelter beds appears to be meeting the needs of the community, therefore development of non-congregate shelter
is not a priority at this time for the general population. However, based on consultations, victims of domestic
violence have unique shelter needs and greatly benefit from a non-congregate setting. Additionally, while rental
assistance was identified as a needed service in the community, it was determined that rather than TBRA, short to
medium term rental assistance with additional supportive services to assist in stabilization of the household overall
would be the most effective use of resources.
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HOME-ARP Production Housing Goals
The City of Iowa City anticipates that HOME-ARP funding will be utilized to produce three (3) to five (5) additional
rental housing units for qualifying populations and seven (7) units of non-congregate shelter for individuals and
families fleeing domestic violence. In addition to the new units proposed, HOME-ARP funds will be utilized to
provide supportive services, including rental assistance, to over 1200 individuals in more than 500 households.
Preferences
A preference provides a priority for the selection of applicants who fall into a specific QP or category (e.g., elderly or
persons with disabilities) within a QP (i.e., subpopulation) to receive assistance. A preference permits an eligible
applicant that qualifies for a PJ-adopted preference to be selected for HOME-ARP assistance before another eligible
applicant that does not qualify for a preference. A method of prioritization is the process by which a PJ determines
how two or more eligible applicants qualifying for the same or different preferences are selected for HOME-ARP
assistance. For example, in a project with a preference for chronically homeless, all eligible QP applicants are
selected in chronological order for a HOME-ARP rental project except that eligible QP applicants that qualify for the
preference of chronically homeless are selected for occupancy based on length of time they have been homeless
before eligible QP applicants who do not qualify for the preference of chronically homeless.
In accordance with Section V.C.4 of the Notice (page 15), the HOME-ARP allocation plan must identify whether the
PJ intends to give a preference to one or more qualifying populations or a subpopulation within one or more
qualifying populations for any eligible activity or project.
• Preferences cannot violate any applicable fair housing, civil rights, and nondiscrimination requirements,
including but not limited to those requirements listed in 24 CFR 5.105(a).
• The PJ must comply with all applicable nondiscrimination and equal opportunity laws and requirements
listed in 24 CFR 5.105(a) and any other applicable fair housing and civil rights laws and requirements when
establishing preferences or methods of prioritization.
USE OF PREFERENCES
The City of Iowa City will not be implementing a preference for one or more qualifying populations. However, the
City recognizes that individual applicants may implement preferences for their projects. To ensure a preference is
not present in funding decisions and all qualifying populations are able to benefit from HOME-ARP funds, scoring
criteria has been developed which awards the most points to programs who serve all qualifying populations. While
projects with preferences may still be funded, the City of Iowa City will ensure that HOME-ARP funds are distributed
so that they are accessible to all qualifying populations.
The consultation process and needs assessment identified that while all populations are in need, there are specific
populations which are underserved. Specifically, victims of domestic violence, youth experiencing homelessness,
families with children, single individuals experiencing homelessness, and cost-burdened renters are the most in-
need populations. While the decision for funding will not be impacted by the population served, we expect that
individual applicants will have preferences for one or more of these groups. Funding decisions will be made such
that all qualified populations have access to programs utilizing HOME-ARP funds.
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REFERRAL METHODS
Applicants for HOME-ARP funding from the City of Iowa City will utilize different referral methods for their programs
as appropriate. Programs with a preference for chronically homeless individuals will utilize the Coordinated Entry
(CE) system in place for the Johnson/Washington County Coordinated Services Region of the Iowa Balance of State.
The CE system prioritizes participants based on acuity as well as chronologically according to the applicable VI-
SPDAT.
Applicants operating programs that do not utilize coordinated entry will operate a separate waiting list or referral
system that is ordered chronologically.
The City of Iowa City will ensure that funding decisions are made such that all qualified populations have access to
programs utilizing HOME-ARP funds.
LIMITATIONS IN A HOME-ARP RENTAL HOUSING OR NCS PROJECT
The City of Iowa City anticipates that some applicants will implement a preference for their individual projects
based on the specialized services that the applicant offers. Specifically, the City anticipates that funds utilized for
the development of non-congregate shelter will have a preference for qualifying participants in Category 3 –
fleeing domestic violence. Participants that have experienced these traumatic events require specialized care and
consideration and are more likely to take part in and benefit from supports which are specific to their needs.
According to numerous sources, including the World Health Organization, it has been seen around the world that
domestic violence is increasing due to the pandemic. Victim-survivors have been forced to isolate in their homes
with their abusers due to the pandemic which has in turn increased the lethality of domestic violence for many
individuals served by these service providers. Non-congregate shelter offers not only the privacy and safety
needed for these families to process their traumatic experiences with the support of service providers who have
specialized training, but protection from concerns that result from the COVID-19 pandemic. Furthermore, as
participants are fleeing dangerous situations, their privacy is of the utmost importance. A safe, confidential, and
secure shelter which is limited to participants in similar situations helps to ensure greater safety from
perpetrators as access to the shelter is restricted.
UNMET NEEDS OF OTHER QUALIFYING POPULATIONS
The City of Iowa City does not anticipate that the limitation of populations served with the anticipated non-
congregate shelter project will negatively impact other qualifying populations. According to the needs assessment
and consultation, the community need for non-congregate shelter for the general population is not a priority at
this time. The current availability of shelter beds is generally proportionate to the population identified in the
Point in Time count. The identified need for non-congregate shelter was specifically limited to Category 3 –
fleeing domestic violence.
Additionally, other projects funded through HOME-ARP will serve all qualifying populations without these
limitations in place.
HOME-ARP Refinancing Guidelines
The City of Iowa City does not intend to use HOME-ARP funds to refinance existing debt secured by multi-family
rental housing.
11
APPENDIX A
Citizen Participation
(Note: To be inserted following public comment period.)