STRATEGIC PRIORITY: Housing & Homelessness Solutions
AGENDA DATE: December 13, 2023
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Homeless Solutions
EXECUTIVE: Kimberly Bizor Tolbert
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SUBJECT
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Authorize (1) preliminary adoption of Substantial Amendment No. 1 to the FY 2023-24 Action Plan for HOME Investment Partnerships Program American Rescue Plan Act Grant Funds for Homelessness Assistance and Supportive Services from the U.S. Department of Housing and Urban Development to reallocate funds in the total amount of $5,148,311.00 in HOME funds from Tenant Based Rental Assistance to Supportive Services in the amount of $5,116,875.00 and to Administration and Planning in the amount of $31,436.00, to continue supportive services and administration for the expanded R.E.A.L. Time Rapid Re-Housing Program; and (2) a public hearing to be held on January 24, 2024 to receive comments on the proposed use of funds - Financing: No cost consideration to the City
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BACKGROUND
Following enactment of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) in March 2020 and the Coronavirus Response and Relief Supplemental Appropriations Act in December 2020, President Joe Biden signed into law the American Rescue Plan Act of 2021 (“ARPA”) on March 11, 2021. ARPA included $1.9 trillion to provide additional federal resources for economic stimulus and recovery from the COVID-19 pandemic. Included in ARPA is $5 billion in supplemental allocations under a new HOME Investment Partnerships Program for Homelessness Assistance and Supportive Services (“HOME ARPA”). By letter dated April 28, 2021, U.S. Department of Housing and Urban Development (“HUD”) notified the City of Dallas of its HOME ARPA allocation in the amount of $21,376,123.00.
On August 25, 2021, the City Council authorized Interlocal Agreements with Dallas Housing Authority (“DHA”) in the amount of $31,421,839.00, and agreements with Metro Dallas Homeless Alliance, now Housing Forward (“Housing Forward”) in the amount of $17,491,778.00, for the Dallas R.E.A.L. Time Rapid Rehousing (“DRTRR”) Initiative to provide rapid rehousing assistance for individuals and families who are experiencing homelessness. The DRTRR Initiative formed a regional partnership among the City of Dallas, Dallas County, DHA and other local housing authorities, and Housing Forward, with an initial goal to rapidly rehouse 2,004 individuals experiencing homelessness by the end of 2023.
Funding for the DRTRR includes City of Dallas and Dallas County ARPA Coronavirus Local Fiscal Recovery Grant Funds, Emergency Solutions Grant CARES Act Grant Funds, HOME Investment Partnerships Program American Rescue Plan Act Grant Funds (HOME ARPA Grant Funds), and Emergency Housing Vouchers authorized under ARPA, as well as other private funding.
On October 27, 2021, the City Council authorized preliminary adoption of Substantial Amendment No. 2 to the FY 2021-22 Action Plan to accept HOME ARPA Grant Funds from HUD by Resolution No. 21-1751. On January 12, 2022, the City Council conducted a public hearing to receive comments on Substantial Amendment No. 2 to the FY 2021-22 Action Plan to HOME ARPA Grant Funds from HUD; and, at the end of the public hearing, authorized final adoption of Substantial Amendment No. 2 to the FY 2021-22 Action Plan by Resolution No. 22-0200.
In its annual State of Homelessness Address on April 13, 2023, Housing Forward presented a plan to combine the DRTRR Initiative with other housing resources and re-brand it as the R.E.A.L. Time Rehousing (“RTR”) Program, with an expanded goal to rapidly rehouse a cumulative 6,000 people experiencing homelessness by the end of 2025.
Due to the extended timeline for the expanded RTR Program, case management and other supportive services must be provided to RTR participants over a longer period. Funds allocated for Tenant Based Rental Assistance under the original DRTRR Initiative were calculated conservatively, leaving unobligated funding that could be used later as needed. This conservative approach allowed for a surplus in the Tenant Based Rental Assistance category that now needs to be moved to the Supportive Services category, so that the RTR Program can serve more people with services and rental assistance.
In addition, HUD data reporting requirements for HOME ARPA Grant Funds used for Tenant Based Rental Assistance are extensive, and additional administrative staff time is needed to comply with these requirements. For these reasons, Substantial Amendment No. 1 to the FY 2023-24 Action Plan reallocates HOME ARPA Grant Funds in the total amount of $5,148,311.00 from Tenant Based Rental Assistance to Supportive Services in the amount of $5,116,875.00 and to Administration and Planning in the amount of $31,436.00 to continue supportive services and administration for the expanded RTR Program.
Following preliminary adoption, the Substantial Amendment No. 1 to the FY 2023-24 Action Plan for the HOME ARPA Grant Funds will be made available for public review and comment from December 20, 2023, through January 23, 2024. A summary will be published in the Dallas Morning News on or about December 20, 2023, to provide an opportunity to submit written comments through January 23, 2024. Final adoption is scheduled for January 24, 2024.
Federal regulations require that a public hearing be held on Substantial Amendment No. 1 to the FY 2023-24 Action Plan to reallocate HOME ARPA Grant Funds. A public hearing on January 24, 2024, will satisfy the requirements set forth in HUD regulations and the City’s Citizen Participation Plan.
This action authorizes: (1) the preliminary adoption of Substantial Amendment No. 1 to the FY 2023-24 Action Plan to reallocate HOME ARPA Grant Funds from Tenant Based Rental Assistance to Supportive Services and Administration and Planning; and (2) a public hearing to be held on January 24, 2024 to receive comments on the proposed use of funds.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On June 9, 2021, the City Council authorized the final adoption of the FY 2021-22 Consolidated Plan Budget by Resolution No. 21-0974. This Resolution was the acceptance and authorization of the HOME ARPA Grant Funds.
On August 25, 2021, the City Council authorized Interlocal Agreements with DHA and the City of Dallas for the DRTRR Initiative to provide rapid rehousing assistance for individuals and families who are experiencing homelessness by Resolution No. 21-1399.
On August 25, 2021, the City Council authorized agreements with Metro Dallas Homeless Alliance as a sole source for the DRTRR Initiative to provide rapid rehousing assistance for individuals and families who are experiencing homelessness by Resolution No. 21-1400.
On October 13, 2021, the City Council authorized the preliminary adoption of Substantial Amendment No. 1 to the FY 2021-22 Action Plan to reallocate regular HOME Investment Partnerships Program Grant Funds by Resolution No. 21-1654.
On October 27, 2021, the City Council authorized preliminary adoption of Substantial Amendment No. 2 to the FY 2021-22 Action Plan to accept HOME ARPA Grant Funds from HUD by Resolution No. 21-1751.
On December 8, 2021, the City Council authorized the final adoption of Substantial Amendment No. 1 to the FY 2021-22 Action Plan to reallocate regular HOME Investment Partnerships Program Grant Funds by Resolution No. 21-2022.
On January 12, 2022, the City Council conducted a public hearing to receive comments on Substantial Amendment No. 2 to the FY 2021-22 Action Plan to HOME ARPA Grant Funds from HUD; and, at the end of the public hearing, authorized final adoption of Substantial Amendment No. 2 to the FY 2021-22 Action Plan by Resolution No. 22-0200.
On May 24, 2023, the City Council conducted a public hearing to receive comments on the Proposed FY 2023-34 Consolidated Plan Budget by Resolution No. 23-0736.
On June 14, 2023, the City Council authorized the final adoption of the current FY 2023-24 Consolidated Plan Budget by Resolution No. 23-0765. The HOME ARPA Grant Funds authorized by the City Council on June 9, 2021, were included in the current FY 2023-24 Consolidated Plan Budget, as funds remain.
The Housing and Homelessness Solutions Committee was briefed regarding an expanded RTR Program on June 13, 2023.
The Community Development Commission was briefed regarding Substantial Amendment No.1 to the FY 2023-24 Action Plan to reallocate HOME ARPA Grant Funds on December 7, 2023.
The Housing and Homelessness Solutions Committee will be briefed by memorandum regarding Substantial Amendment No. 1 to the FY 2023-24 Action Plan to reallocate HOME ARPA Grant Funds this matter on December 812, 2023. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=12520036&GUID=AD7BB332-E1F7-47A0-9E8C-7970B7D8B990>
The Citizen Homelessness Commission will be briefed by memorandum regarding Substantial Amendment No. 1 to the FY 2023-24 Action Plan to reallocate HOME ARPA Grant Funds on December 11, 2023.
FISCAL INFORMATION
No cost consideration to the City.