Title
HOME-American Rescue Plan Program (B)
Explanation
On March 11, 2021, President Biden signed the American Rescue Plan (ARP) into law, which provides over $1.9 trillion in relief to address the continued impacts of the COVID-19 pandemic on the economy, public health, State and local governments, individuals, and businesses.
To address the need for homelessness assistance and supportive services, Congress appropriated $5 billion in ARP funds to be administered through HOME to perform four activities that must primarily benefit qualifying individuals and families who are homeless, at risk of homelessness, or in other vulnerable populations. These activities include: (1) development and support of affordable housing, (2) tenant-based rental assistance (TBRA), (3) provision of supportive services; and (4) acquisition and development of non-congregate shelter units. ARP requires that funds be used to primarily benefit individuals and families in the following specified “qualifying populations: (1) homeless; (2) at risk of homelessness; (3) fleeing, or attempting to flee domestic violence, dating violence, sexual assault, stalking, or human trafficking; (4) part of other populations where providing supportive services or assistance would prevent a family’s homelessness or would serve those with the greatest risk of housing instability; or (5) veterans and families that include a veteran family member that meet the criteria in one of (1)-(4) above.
The HOME-ARP funds will be administered through U.S. Department of Housing and Urban Development (HUD) HOME Investment Partnerships Program (HOME). The HOME-ARP funds are to be allocated by formula to jurisdictions that qualified for HOME allocations in Fiscal Year 2021. On September 13, 2021, HUD published Notice CPD-21-10, "Requirements for the Use of Funds in the HOME-American Rescue Plan", to assist jurisdictions in developing the program. The program described in this notice is for the use of the $5 billion in ARP funds, referred to as the HOME-American Rescue Plan or “HOME-ARP.”
On September 20, 2021, HUD obligated the HOME-ARP grants for every participating jurisdiction (PJ). This enabled Participating Jurisdictions (PJs) to begin planning for their use of HOME-ARP funds and to access 5 percent (5%) of their HOME-ARP grant for eligible program administration and planning activities they incur for program planning and preparation of their HOME-ARP Allocation Plan. In accordance with the Notice, and the HOME ARP Grant Agreement, the City of Gainesville, a Participating Jurisdiction (PJ), of the Federal Award was provided with funding for use to facilitate programs determined to assist in this initiative. The City may initially utilize up to five percent (5%) of its total award for administrative and planning costs.
Per HUD requirements, the process for the HOME-ARP Plan will be facilitated in an atypical process whereby the grant agreement is executed first, followed by the planning process and funding allocation plan. This will allow the City to begin the required steps to prepare a HOME-ARP Plan that will include a needs assessment and proposed funding allocations for eligible projects. The City’s Citizens Advisory Committee for Community Development (CACCD) will participate in the funding recommendations process following the required planning and input activities related to the HOME-ARP Plan, to include neighbor/stakeholder public engagement to obtain input/feedback on the Plan.
Thereafter, staff will submit the HOME-ARP Allocation Plan to the City Commission for review and to request approval. Upon City Commission approval, staff will submit the HOME-ARP Plan to HUD for final review and approval. Once approved by HUD, the remaining HOME-ARP award will be made available to the City to fund projects in accordance with all program requirements. A discussion on the HOME-ARP grant process will be included in the special called ARPA city commission meeting on December 6th.
Strategic Connection
This item is connected to Goal 3: A Great Place to Live & Experience in the City's Strategic Plan.
Fiscal Note
The City of Gainesville anticipates receiving a total allocation of $1,968,639 HOME-ARP funding.
Recommendation
The City Commission: 1) Authorize the City Manager or authorized designee to accept the HOME-ARP grant award as designated by HUD; 2) authorize the City Manager or designee to execute all necessary documents required for the HOME-ARP grant agreement, subject to approval by the City Attorney as to form and legality; and 3) authorize the City Manager or designee to take actions, as appropriate to complete all grant agreement documentation as required by HUD.