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HomeMy WebLinkAboutItem 12 - Resolution B REVISED 20210216RESOLUTION NO. RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA AUTHORIZING THE CITY TO PURSUE AND ACCEPT A BLOCK GRANT FROM STATE OF CALIFORNIA DEPARTMENT OF BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY (BCSH) FOR AN EMERGENCY RENTAL ASSISTANCE PROGRAM, AUTHORIZING THE CITY MANAGER OR DESIGNEE TO EXECUTE A STANDARD AGREEMENT WITH BCSH FOR THE IMPLEMENTATION OF A STATE EMERGENCY RENTAL ASSISTANCE PROGRAM PURSUANT TO SENATE BILL 91, AND APPROPRIATING FUNDS THEREFOR WHEREAS, in January 2020, as a result of the COVID-19 virus, the World Health Organization (“WHO”) declared a Public Health Emergency of International Concern and the United States Secretary of Health and Human Services declared a Public Health Emergency; and WHEREAS, various states of emergency were declared by the United States (March 13, 2020), the State of California (March 4, 2020), the County of San Diego (February 19, 2020), and the City of Chula Vista (March 17, 2020 pursuant to City Council Resolution No. 2020 -065) because of the threat to public safety (to persons and property including both physical and economic harm) as result of the COVID-19 virus; and WHEREAS, the Centers for Disease Control and Prevention, the California Department of Public Health, and the San Diego County Department of Public Health have all issued recommendations and orders, including, but not limited to, social distancing, staying home if sick, canceling or postponing large group events, working from home, and other precautions to protect public health and prevent transmission of this communicable virus that continues to the present; and WHEREAS, the economic impact and financial hardship faced by low-income households as a result of COVID-19 has affected their ability to pay for housing and basic needs, placing them at risk of homelessness during this period where it is critical to self-quarantine, self-isolate, or otherwise remain in their homes to reduce the transmission of COVID-19; and WHEREAS, on December 27, 2020, the President of the United States signed into law the Consolidated Appropriations Act, 2021 (the “Act”), more commonly known as the HR-133, which authorizes $25 billion in emergency rental relief, and WHEREAS, On January 5, 2021, the U.S. Department of the Treasury (“Treasury”) launched the $25 billion Emergency Rental Assistance Program (ERAP) established by the Consolidated Appropriations Act, 2021; and WHEREAS, the ERAP assists low-income households that are unable to pay rent and utilities due to the COVID-19 pandemic; and WHEREAS, the Act provided $2.6 billion to the State of California and those local municipalities with populations greater than 200,000 with the formula allocation based on the number of Chula Vista residents; and WHEREAS, the City of Chula Vista received a direct allocation from Treasury Department in the amount of $8,161,124 and authorized the City Manager to complete all documents required to obtain the Emergency Rental Assistance Program Allocation; and authorized the appropriations in fiscal year 20/21; and WHEREAS, on January 29, 2021, the State of California passed Senate Bill 91(SB-91) that established the State’s Emergency Rental Assistance Program (SERAP) to allow Cities and Counties with populations over 200,000 to opt into one of three program models using the State’s allocation of ERAP funds from the Treasury; and WHEREAS, by accepting SERAP as a block grant (Option B) in the initial amount of $8,719,349.60 and not to exceed $26,100,000 should additional funding become available, the City shall take on the responsibilities set forth in SB-91, including Health and Safety Code 50897.1 (b)(1-3), and aligning its direct allocation with the State of California’s program requirements known as “Confirming Rental Assistance Program;” and NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista that it (1) authorizes the acceptance of the Consolidated Appropriations Act, 2021 funding for an Emergency Rental Assistance Program from the State of California Department of Business, Consumer Services and Housing Agency using its direct allocation from the U.S. Department of Treasury; (2) authorizes the City Manager or designee to execute in the name of the City of Chula Vista the application, the Standard Agreement, and all other documents required by BCSH for participation in the SERAP, and amendments thereto; and (3) acknowledges and ratifies the submission of the terms and use of funds by the City Manager; and (4) authorizes the appropriation of such funds in the City’s Housing Authority Fund in fiscal year 2020/2021 with expenditures made in accordance with the State of California’s funding requirements and U.S. Treasury Department’s funding requirements, using the most restrictive (presented as Attachment 1 to the staff report for this item), subject to modifications that may be necessary or appropriate to assure expenditure of all available funds in a qualified and timely manner. Presented by Approved as to form by Tiffany Allen Glen R. Googins Director of Development Services City Attorney