STRATEGIC PRIORITY: Housing & Homelessness Solutions
AGENDA DATE: June 22, 2022
COUNCIL DISTRICT(S): 8
DEPARTMENT: Office of Homeless Solutions
EXECUTIVE: Kimberly Bizor Tolbert
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SUBJECT
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Authorize an interlocal agreement between the City of Dallas (City) and the County of Dallas (County) for the City’s acceptance of funds in an amount not to exceed $10,000,000.00 from the County’s allocated ARPA State and Local Fiscal Recovery funds (ARPA SLFR Funds) for the period of September 1, 2022 to September 30, 2024 to be used: (i) for the redevelopment of 4150 Independence Drive, Dallas, Texas 75237; and (ii) to provide housing opportunities and supportive services for unsheltered youth (ages 18-24) with a focus on LGBTQIA+ youth at or below 30% Area Median Income (collectively, the Target Populations) - Financing: FY22 Dallas County ARPA Fund $10,000,000.00
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BACKGROUND
In 2019 the Novel Coronavirus (COVID-19) pandemic was declared a public health emergency in the United States in January 2020. In responding to the public health emergency and its negative economic impacts, State, local, and Tribal governments experienced substantial increases in costs to provide services, often amid substantial declines in revenue due to the economic downturn and changing economic patterns during the pandemic.
On March 11, 2021, President Biden signed into law H.R. 1319, a $1.9 trillion supplemental appropriations bill commonly referred to as the American Rescue Plan, which funds are intended to provide additional federal resources for economic stimulus and recovery from the COVID-19 pandemic. As part of the $362 billion in federal fiscal recovery aid allocated to state and local governments, $65.1 billion was provided under ARPA direct aid to counties. On June 1, 2021, the Dallas County Commissioners Court accepted $511,918,088 and authorized the use of such federal funds received through ARPA and the CARES Act Coronavirus Relief Fund via court order 2021-0573.
The final guidance (ARPA Final Rule) issued by the U.S. Department of the Treasury (Treasury), effective April 1, 2022, affirms the objectives stated in the Interim Final Rule that the allocation of ARPA Coronavirus State and Local Fiscal Recovery Funds (ARPA SLFR Funds) include improving access to stable, affordable housing through interventions that improve housing security. The ARPA Final Rule provides that the following are eligible costs: responses to the negative economic impacts of the pandemic include "rent, mortgage, or utility assistance and counseling and legal aid to prevent homelessness.” 31 CFR § 4360. This includes housing stability services that enable eligible households to maintain or obtain housing, such as housing counseling, fair housing counseling, case management related to housing stability, outreach to households at risk of eviction or promotion of housing support programs, housing related services for survivors of domestic abuse or human trafficking, and specialized services for individuals with disabilities, vulnerabilities and seniors that support their ability to access or maintain housing.
The City has a long-standing commitment to protect the health and safety of the homeless and housing insecure throughout the City through the provision of medical services, supportive services, job training, temporary and permanent housing and other emergent services. The County intends to utilize a portion of its allocation to fund regional projects and programs that assist disadvantaged and underserved communities through housing support and infrastructure improvements. The City and the County desire to continue collaborating to address the needs of the homeless and housing insecure to expand access to supportive services, and provide additional emergency, transitional or affordable housing throughout the City and County. As authorized by Chapter 791 of the Texas Government Code, the Interlocal Cooperation Act (the Act), the City and the County seek to enter into a regional partnership to leverage ARPA SLFR Funds and its respective resources to jointly operate facilities in the City to improve housing security and support durable and sustainable homeownership.
This item authorizes an interlocal agreement between the City and the County to establish a regional partnership for the City to accept $10 million in county ARPA SLFR Funds for the redevelopment of 4150 Independence Drive, Dallas, Texas 75237 and to provide housing opportunities and supportive services for unsheltered youth (ages 18-24) with a focus on LGBTQIA+ youth at or below 30% Area Median Income. If the resolution is approved by City Council, the Dallas County Commissioners’ Court will consider a “sister” item for approval, which is slated for consideration in August 2022. If approved by both the City and the County, the terms, conditions, and obligations will be used to draft the interlocal agreement to be executed by both parties.
Pursuant to an interlocal agreement, approved as to form by the City Attorney and consistent with the terms, conditions, and obligations (attached as Exhibit A), the City seeks to:
A. Establish a Regional Partnership: As part of a proposed regional partnership between the City of Dallas and Dallas County, the City and County.
B. Accept ARPA SLFR Funds from the County: The County will contribute funds from its allocated ARPA SLFR Funds to the City to permit the City to redevelop 4150 Independence Drive, Dallas, Texas 75237 (Property). The City shall be responsible for any cost overruns in excess of the County funding participation, subject to annual appropriation.
C. Dedicate the Property for Specified uses: The City shall commit the Property to provide supportive services and housing for the homeless and housing insecure at or below thirty percent (30%) of the Area Median Income. The City shall administer the construction of the improvements at 4150 Independence Drive, Dallas, Texas 75237.
D. Provide Housing Opportunities: Issue a solicitation to procure a vendor for the redevelopment of 4150 Independence Drive, Dallas, Texas 75237and to provide (via a separate solicitation to procure a vendor) housing support services.
E. Provide Housing Opportunities for Homeless Youth: The City and County shall jointly develop and provide supportive services for unsheltered youth (ages 18-24) with a focus on LGBTQIA+ youth at or below thirty percent (30%) of the Area Median Income (“Target Populations”). Such direct supportive services will be funded, in part, with the ARPA SLFR Funds contributed by the County.
F. Accept ARPA SLFR Funds from the County: The County will contribute funds from its allocated ARPA SLFR Funds to the City to permit the City to provide supportive services for the Target Populations. The City shall be responsible for any ongoing Program costs in excess of the County funding participation, subject to annual appropriation.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On May 12, 2022, The Citizen Homelessness Commission was briefed on this proposed regional partnership between the City and the County by the Office of Homeless Solutions.
The Homeless and Housing Solutions Committee was briefed on this proposed regional partnership between the City and the County by the Office of Homeless Solutions on May 23, 2022.
On June 2, 2022, the Dallas Area Partnership was briefed on this proposed regional partnership between the City and the County by the Office of Homeless Solutions.
FISCAL INFORMATION
Financing: FY22 Dallas County ARPA Fund $10,000,000.00