Title
a. Authorize the Director of Housing and Community Development, or their designee, to execute Subrecipient Agreement with the Housing Authority of the County of Monterey Development Corporation, for a term of September 10, 2024, to June 30, 2027, in the amount of $2,187,793, to establish a Homeless Parenting Youth Campus in Soledad; and
b. Authorize the Director of Housing and Community Development, or their designee, to execute amendments to this Agreement where the amendments do not significantly change the scope of work and do not exceed the overall Agreement maximum amount of $2,187,793.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Authorize the Director of Housing and Community Development, or their designee, to execute Subrecipient Agreement with the Housing Authority of the County of Monterey Development Corporation, for a term of September 10, 2024, to June 30, 2027, in the amount of $2,187,793, to establish a Homeless Parenting Youth Campus in Soledad; and
b. Authorize the Director of Housing and Community Development, or their designee to execute future amendments to this Agreement where the amendments do not significantly change the scope of work and do not exceed the maximum amount of $2,187,793.
SUMMARY:
The federal Consolidated Appropriations Act, 2022, included $2,000,000 in Congressionally Directed Spending to fund a Homeless Parenting Youth Campus in Monterey County. The funds are made available to the County through the U.S. Department of Housing and Urban Development’s (HUD) Community Project Funding (CPF) program. The County’s Department of Social Services (DSS) has unallocated youth set-aside funding through round four funding of the Homeless Housing, Assistance and Prevention grant program (HHAP-4). The recommended action will authorize the Director of Housing and Community Development to enter a Subrecipient Agreement with the Housing Authority of the County of Monterey Development Corporation (HACMDC) (Attachment A) to use the CPF and HHAP-4 funding to establish a Homeless Parenting Youth Campus in Soledad. While amendments are not anticipated, staff is also recommending that the Director of Housing and Community Development be authorized to execute amendments that reallocate funding between budget lines if needed to effectively deliver the program.
DISCUSSION:
The CPF program is used for direct federal funding of specified projects. The need for a Homeless Youth Housing Campus in Monterey County was identified by the Coalition of Homeless Services Providers, as the Continuum of Care (CoC) lead agency, in 2020-2021 and shared with Senator Padilla’s office.
This project will fund a homeless youth housing campus that will include permanent housing for parenting youth between 18 and 24 years old and will be in alignment with the CoC’s “The Tidal Wave of Change to Wash Away Youth Homelessness” (the “Plan”). The Plan was written in partnership with the local Youth Action Board and approximately 20 youth-serving organizations including the County of Monterey, and it was approved by the US Department of Housing and Urban Development’s Community Planning and Development Division in 2022.
The Plan identifies two areas of concern that are driving considerations for the implementation of the Homeless Youth Housing Campus: 1) there is a severe lack of services that target pregnant and/or parenting youth, and 2) there is a severe lack of services in South Monterey County. Services will vary based on available funding for program delivery; however, the program would, at minimum, comply with the local Emergency Shelter Standards to include trauma-informed, person-centered services while utilizing Housing First and harm-reduction principles. Services could include pre-/post-natal and family planning education, medical connections, housing and system navigation, employment, life-skills, and housing-focused case management. The County, City of Soledad, and HACMDC are preparing a Request for Proposals to select a community service provider to manage the service component of the project. All three agencies will participate in the selection of the community services provider, who will be contracted by HACMDC.
The HACMDC will use CPF, HHAP-4, Continuum of Care, and rental income to acquire a four-unit building at Las Viviendas to provide permanent housing options for parenting youth; and establish a drop-in service center at the Benito Street affordable housing development. The estimated costs for acquisition and two years of operational costs of the Campus are $2,466,381 with CPF, HHAP-4, and rental income accounting for 95% of the costs during this period. Acquisition and start-up costs account for approximately 72% of the funding available during the first two years of operations. Grant funding will also be used to capitalize a replacement reserve and to establish a capitalized operating services reserve (COSR). These reserves will help ensure that the services and units remain available even if rental income does not come in as expected.
OTHER AGENCY INVOLVEMENT:
County Administrative Office (County Homeless Services Director), Department of Social Services, County Counsel, and the City of Soledad.
FINANCING:
There is no impact on the General Fund. The $2,000,000 CFP grant is included in the Fund 013, Appropriations Code HCD005, Organizational Unit 8546 Fiscal Year 2024-25 adopted budget. The Department of Social Services is programming $225,293 in State Homeless Housing Assistance, and Prevention Program (HHAP-4), which is included in Fund 001, Appropriations Code SOC004, Organizational Unit 8258 Fiscal Year 2024-25 adopted budget. HCD will utilize $17,500 during Fiscal Years 2024-25 and 2025-26 to offset the cost of implementing and managing the CFP grant. HCD has retained $17,500 of the CPF grant to cover staff and administrative costs associated with managing the grant over the two-year period.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
If approved, this action supports the Board of Supervisors’ Strategic Initiative for Health & Human Services. The Project will provide sustainable permanent supportive housing for homeless parenting youth. These units and the services available at the drop-in center, will help move these at-risk youth from housing insecurity to housing security improving long-term health outcomes and personal safety.
__Economic Development
__Administration
X Health & Human Services
__Infrastructure
__Public Safety
Prepared by: Darby Marshall, Housing Program Manager, x5391
Approved by: Craig Spencer, Director, Housing and Community Development
Approved by: Lori Medina, Director, Department of Social Services
The following attachments are on file with the Clerk of the Board:
Attachment A - Subrecipient Agreement
Attachment B - Detailed Project Description