TO: Mayor and City Council
THROUGH: Steve Powers, City Manager
FROM: Kristin Retherford, Urban Development Director
SUBJECT:
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First amendment to the Grant Agreement between the Housing Authority of the City of Salem and City of Salem for Operation of the Homeless Rental Assistance Program.
Ward(s): All Wards
Councilors(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Safe Community; Welcoming and Livable Community.
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ISSUE:
Shall the City Council authorize the City Manager to execute the attached First Amendment to the Grant Agreement between the Salem Housing Authority and the City of Salem for operation of the Homeless Rental Assistance Program?
RECOMMENDATION:
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Authorize the City Manager to execute the attached First Amendment to the Grant Agreement between the Salem Housing Authority and the City of Salem for operation of the Homeless Rental Assistance Program.
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SUMMARY:
On June 25, 2018, the Salem City Council approved the City’s FY 2019 budget, which included a new allocation of $1.4 million for the Homeless Rental Assistance Program (HRAP) and $708,870 of carryover funding from the FY 2018 budget allocation for the program. A Grant Agreement (Attachment 1) between the Salem Housing Authority (Housing Authority) and the City of Salem (City) was entered into so that the Housing Authority could use these funds to operate the HRAP program. At the end of FY 2019, approximately $693,420 of the granted funds had yet to be spent, largely due to a shortage of affordable housing units and landlords participating in the HRAP program. The First Amendment (Attachment 2) of the Grant Agreement will provide more time to use these funds to house homeless individuals who qualify for the HRAP program.
FACTS AND FINDINGS:
The Housing Authority anticipates a carryover of approximately $693,420 from the City’s FY 2019 allocation for the HRAP program. The current Grant Agreement must be extended in order for the funds to be available for HRAP expenses. Funds budgeted for the HRAP program for FY 2020 will be subject to a new agreement.
BACKGROUND:
This grant extension will allow the Housing Authority and the HRAP program to continue to provide rental assistance payments, barrier removal funding, and intensive case management to the most at-risk homeless individuals. The Housing Authority will also work with community partners to ensure HRAP clients receive services and access to the in-kind resources available. This grant will also assist with the administrative costs and funding of a Salem Housing Authority Family Self-Sufficiency Coordinator.
Nicole Utz
AIC Administrator
Attachments:
1. Grant Agreement
2. First Amendment to the Grant Agreement