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HomeMy WebLinkAboutReso 2020-098RESOLUTION NO. 2020-098 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA (1) APPROVING AN AMENDMENT TO THE FISCAL YEAR 2019/20 HUD ANNUAL ACTION PLAN TO RE- PROGRAM $1,036,425 OF HOME INVESTMENT PARTNERSHIP ACT FUNDS; (2) APPROPRIATING HOME INVESTMENT PARTNERSHIP ACT FUNDS IN THE AMOUNT OF $1,036,425 TO A TENANT-BASED RENTAL ASSISTANCE PROGRAM IN RESPONSE TO COVID-19; (3) AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF CHULA VISTA AND SOUTH BAY COMMUNITY SERVICES FOR THE MANAGEMENT AND IMPLEMENTATION OF A TENANT- BASED RENTAL ASSISTANCE PROGRAM; AND (4) AUTHORIZING THE CITY MANAGER TO EXECUTE ANY AND ALL RELATED DOCUMENTS NECESSARY TO OBTAIN THE HUD FUNDS WHEREAS, a significant portion of Chula Vista renters (59%) are lower income, with 44 percent of them paying more than 50 percent of their income towards housing costs; and WHEREAS, due to the COVID-19 pandemic, many of these renters are facing an undue financial hardship due to job loss, furlough or layoff, reduction in hours or work or pay, closure of place of employment, or missing work to care for a family member affected by the pandemic, adding to their financial burdens; and WHEREAS, as a U.S. Department of Housing and Urban Development (HUD) entitlement community, the City of Chula Vista receives grant funds under the Home Investment Partnerships Program (HOME) to provide housing assistance and expand housing opportunities to low income households; and WHEREAS, Staff has prepared a Substantial Amendment (Attachment A) to the Fiscal Year 2019/2020 Annual Action Plan (“Substantial Amendment”) using the goals set forth in the 2015-2020 Consolidated Plan (“Consolidated Plan”) and per HUD Rules and Regulations, waivers and suspensions in response to COVID-19; and WHEREAS, the City will re-program current year (2019-2020) and prior year HOME entitlement funds in the amount of $1,036,425 for a Tenant Based Rental Assistance Program (TBRA); and WHEREAS, a Notice of Funding Availability for HUD funding was received by South Bay Community Services; and DocuSign Envelope ID: AB9E1B6F-A8CB-43F8-8C15-58CC1EA38BCE Resolution No. 2020-098 Page No. 2 WHEREAS, the City followed its Citizen Participation Plan and the public was provided with the opportunity to comment the Annual Action Plan Amendments from May 1, 2020 to May 6, 2020; and WHEREAS, Staff has determined that the proposed activities are eligible for HOME funds; and WHEREAS, in the event that HUD withdraws the City’s HOME funding, the City is not obligated to compensate the Sub-recipient/Contractor for program expenditures. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Chula Vista as follows: 1. That it approves the Amendments to the Fiscal Year 2019/2020 HUD Annual Action Plans (“Substantial Amendment”) for the Home Investment Partnership Act (HOME) Program. 2. That it authorizes the appropriation of $1,036,425 of HOME Funds for a Tenant Based Rental Assistance Program (TBRA). 3. That is authorizes the City Manager or his designee to execute any and all agreements and necessary amendments for the management and implementation of the eligible projects with South Bay Community Services to implement projects using FY 2019/2020 funds that are identified in the Substantial Amendment, and it further authorizes the City Manager or his designee to make such minor modifications as may be approved or required by the City Attorney to ensure the City meets HUD’s requirements. 4. That it authorizes the City Manager to execute any and all related documents necessary to obtain the HUD grants. [SIGNATURES ON THE FOLLOWING PAGE] DocuSign Envelope ID: AB9E1B6F-A8CB-43F8-8C15-58CC1EA38BCE Resolution No. 2020-098 Page No. 3 Presented by Approved as to form by Kelly G. Broughton, FASLA Glen R. Googins Director of Development Services City Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 12th day of May 2020 by the following vote: AYES: Councilmembers: Diaz, Galvez, Padilla, and Casillas Salas NAYS: Councilmembers: None ABSENT: Councilmembers: None ABSTAIN: Councilmembers: McCann Mary Casillas Salas, Mayor ATTEST: Kerry K. Bigelow, MMC, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2020-098 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 12th day of May 2020. Executed this 12th day of May 2020. Kerry K. Bigelow, MMC, City Clerk DocuSign Envelope ID: AB9E1B6F-A8CB-43F8-8C15-58CC1EA38BCE Resolution No. 2020-098 Page No. 4 ATTACHMENT A Annual Action Plan Substantial Amendment The following projects are proposed to be funded that were not previously identified in the 2019- 2020 HUD approved Annual Actions Plans: Tenant Based Rental Assistance Program (TBRA) $1,036,425 Due to the COVID-19 state of emergency, staff is recommending that the City partner with a South Bay Community Services, as Subrecipient, to implement a HOME funded TBRA program. TBRA provides short term to medium term rental assistance funds to qualified households who can meet mutually agreed upon goals to become self-sufficient. Clients will be required to access mainstream resources and have access to a case manager who will assist them to develop a self-sufficiency plan, to navigate the program to successfully use their voucher and meet, as needed. Clients will pay 30% of their income towards rent, with assistance capped at the HUD published limits. Each client would be encouraged to select a unit that is affordable for the long term and at a unit size that matches their household per the program guidelines. Households also have the option of staying in place as allowed by a HUD waiver. Target groups for the TBRA are the following:  Low Income Households affected by COVID-19  Victims of Domestic Violence affected by COVID-19 DocuSign Envelope ID: AB9E1B6F-A8CB-43F8-8C15-58CC1EA38BCE