Amended City Council Regular


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  ITEM 13.       
Meeting Date: 02/09/2021  
Submitted For: Jean Moreno
Department: Community Services  

Subject
RATIFICATION OF U.S. DEPARTMENT OF THE TREASURY EMERGENCY RENTAL ASSISTANCE AGREEMENT
Presented by: Jean Moreno, Director, Community Services
Purpose and Recommended Action
This is a request for City Council to ratify the U.S. Department of the Treasury Emergency Rental Assistance Agreement accepting $7,678,833.50 to assist qualified households that are unable to pay rent and utilities due to the COVID-19 pandemic. 
Background
On December 27, 2020, Congress appropriated $25 billion to assist households that are unable to pay rent and utilities due to the COVID-19 pandemic. Funding is distributed through the U.S. Department of the Treasury to state and local governments with a population in excess of 200,000 people.  The program required eligible agencies to apply to receive a direct allocation of funding by January 12, 2020 by submitting a fully executed Emergency Rental Assistance Program (ERAP) as a condition of the application.  Due to the emergency nature of this funding and program, the funding agreement was executed but requires Council ratification.  Glendale was notified on January 21, 2020 of the city’s proportionate award amount.  The funding must be fully expended before December 31, 2021, and will be reviewed for potential recapture based on performance in September 2021.  Details regarding the recapture review process have not yet been developed by the Treasury.
Analysis
The City of Glendale already administers crisis assistance programs through the Community Action Program (CAP) office and has done so for many years.  Since July 1, 2020, (7 months) the program has administered over $7 million in crisis assistance as compared to $970,835 in FY2019-20.  The ability to respond to the increased demand for service has been made possible as a result of several process improvements which include the use of an open, ongoing application process and more than doubling the size of the staff.  The ERAP allows for up to ten percent of the total award to be utilized for program administration which will allow CAP to retain the existing temporary staff and add additional intake personnel to continue to improve operations. 
Community Benefit/Public Involvement
The emergency rental assistance program funding will provide direct relief to qualifying Glendale households experiencing a financial crisis as a result of COVID-19.

Fiscal Impact
Fiscal Year: FY2020-21
Fiscal Year Amount Requested: $7,678,833.50
Budgeted Y/N?: N
Account: 21405265
Transfer Required? Y/N: Y
If Yes, what account will be used?: Various
Budget and Financial Impacts:
Acceptance of this grant will not create any general fund impacts. To utilize this funding, emergency appropriation transfer will be processed from the accounts listed below. The emergency transfer will be taken to Council for approval at the first voting meeting in the fourth quarter of fiscal year 2020-21. 
44313278-599991 Street DIF Contingency $2,502,805.28
41603230-599991 Fire DIF Contingency $1,627,989.91
41503229-599991 Police DIF Contingency $1,606,734.31
40704530-599991 Econ. Dev. Bond Contingency $1,007,567.22
41723273-599991 Fire DIF Contingency $485,365.50
42213274-599991 Police DIF Contingency $448,371.28
TOTAL   $7,678,833.50
Attachments
US DEPARTMENT OF THE TREASURY


    

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