STRATEGIC PRIORITY: Workforce, Education & Equity
AGENDA DATE: September 25, 2024
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Community Care
EXECUTIVE: M. Elizabeth Cedillo-Pereira
______________________________________________________________________
SUBJECT
Title
Authorize (1) execution of contracts with fully-licensed childcare providers (Exhibit A), and with any other fully-licensed childcare providers, pursuant to the Early Childhood and Out-of-School Time Services Program (the “ECOSTS Program”), selected by eligible parents whose income falls in the low-to moderate income range of the U.S. Department of Housing and Urban Development Area Median Income (AMI) criteria and who otherwise meet the ECOSTS Program requirements for the period October 1, 2024 through September 30, 2025; (2) execution of any and all terms, conditions, and documents required by the contract; for the period of October 1, 2024 through September 30, 2025; and (3) approval of the ECOSTS Policy and Procedures for Parents (Subsidy Program Only) (Attachment A) - Not to exceed $550,000.00 - Financing: 2024-25 Community Development Block Grant Fund
Body
BACKGROUND
On June 12, 2024, the City Council authorized final adoption of the FY 2024-25 HUD Consolidated Plan Budget for U.S. Department of Housing and Urban Development (HUD) Grant Funds. The grant funds are available beginning October 1, 2024, contingent upon approval of the City’s FY 2024-25 Action Plan and execution of grant agreements with HUD. The FY 2024-25 HUD Consolidated Plan Budget includes a budget line item for the early Childhood and Out-of-School Time Services Program (ECOSTS Program), in an amount not to exceed $650,000.00. The funds will be distributed as follows:
• $550,000.00 - Childcare Providers including one full time employee
• $100,000.00 - Homeless and Special Needs Children
The ECOSTS Program (Subsidy Program Only), administered by the Office of Community Care in accordance with the City of Dallas’ ECOSTS Program Policies and Procedures for Parents, promotes stability for low-to-moderate-income working parents and teen parents who are full-time high school students by reducing the cost of childcare to enable them to strive for self-sufficiency. The ECOSTS Program also provides programs for special populations, which may include: daycare for special needs children, children who are homeless, children with physical and mental disabilities through contracts with nonprofit agencies.
Approximately 300 children will be served through the subsidy and homeless/special needs programs for a one-year period.
The ECOSTS - Subsidy Program pays (see subsidy amount below) per week per child directly to contracted childcare providers for childcare services for working parents whose income falls in the low-to-moderate-income range of HUD Area Median Income (AMI) eligibility.
|
Subsidy Amounts per Age Group |
|
|
Age |
Weekly Payment |
|
0-18 months |
$175.00 |
|
18 months - 36 months |
$150.00 |
|
3 years - 5 years |
$125.00 |
|
6 years -12 years |
$100.00 |
The following chart illustrates the income range which is 30-80% of AMI, as of April 2024.
Extremely Low Low Income Moderate Income
Family Size (30%) (50%) (80%)
1 $23,200.00 $38,650.00 $ 61,800.00
2 $26,500.00 $44,150.00 $ 70,600.00
3 $29,800.00 $49,650.00 $ 79,450.00
4 $33,100.00 $55,150.00 $ 88,250.00
5 $36,580.00 $59,600.00 $ 95,350.00
6 $41,960.00 $64,000.00 $102,400.00
7 $47,340.00 $68,400.00 $109,450.00
8 $52,720.00 $72,800.00 $116,500.00
The ECOSTS Program pays 100% of the cost for childcare for teen parents who are enrolled in high school full time. Once approved, eligible parents would be able to select a childcare provider, regardless if the provider is listed in Exhibit A. Any childcare provider not listed in Exhibit A will be reviewed by the City to ensure the provider meets the requirements of the ECOSTS Program prior to receiving any payments. If the provider agrees to accept the funds from the City of Dallas and follow all ECOSTS Program requirements, they will be added to the list during the year. If childcare allotted funds from the City of Dallas are not spent, such remaining funds may be directed to other fully licensed childcare providers selected by eligible parents, including to potentially increase contracts with these providers.
If approved, this item will allow the City to enter into contracts with fully-licensed childcare service providers listed in Exhibit A, and will also allow the City to enter into contracts with other fully-licensed childcare providers that are selected by eligible parents not listed in Exhibit A, subsequent to the passage of the resolution, as long as the childcare provider meets the requirements of the ECOSTS Program.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On August 23, 2023, the City Council authorized the City Manager to (1) execute contracts with fully licensed childcare providers, listed in Exhibit A, and with any other fully licensed childcare providers, approved as to form by the City Attorney, pursuant to the Early Childhood and Out-of-School Time Services Program administered by the Office of Community Care, selected by eligible parents whose income falls in the low- to moderate- income range of Community Development Block Grant funding eligibility and who otherwise meet the requirements of the Early Childhood and Out-of-School Time Services Program and execute any and all documents required by the contract and (2) approve the ECOSTS Policy and Procedures for Parents (Subsidy Program Only) listed as Attachment A, for the period of October 1, 2023, through September 30, 2024, by Resolution No. XX-XXXX.
On May 22, 2024, the City Council held a public hearing on the Proposed FY 2024-25 HUD Consolidated Plan Budget and new Five-Year Plan, which was held under advisement until June 12, 2024, with the public hearing open, and which satisfies the requirements set forth in HUD regulations and the City's Citizen Participation Plan by Resolution No. 24-0815.
On June 12, 2024, the City Council authorized (1) final adoption of the FY 2024-25 HUD Consolidated Plan Budget for U.S. Department of Housing and Urban Development Grant Funds in an estimated amount of $30,949,109.00 for the following programs and estimated amounts: (a) Community Development Block Grant (CDBG) in the amount of $13,023,068.00; (b) HOME Investment Partnerships Program (HOME) in the amount of $5,078,453.00; (c) Emergency Solutions Grant in the amount of $1,213,719.00; (d) Housing Opportunities for Persons with AIDS in the amount of $9,864,583.00; (e) estimated CDBG and HOME Program Income in the amount of $700,000.00; and (f) FY 2023-24 Reprogramming Funds in the amount of $1,069,286.00; and (2) the new Five-Year Consolidated Plan, covering the period of FY 2024-25 through FY 2028-29, by Resolution No. 24-0873.
The Workforce, Education and Equity Committee was briefed by memorandum regarding this matter on September 9, 2024. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=13288083&GUID=86B10FC9-CC6D-4AE2-8D44-C557A7011E60>
FISCAL INFORMATION
|
Fund |
FY 2025 |
FY 2026 |
Future Years |
|
Community Development Block Grant Fund |
$550,000.00 |
$0.00 |
$0.00 |