Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Claire Cunningham, Director, Human Services Agency
Subject: Acceptance of Round 5 Homeless Housing, Assistance, and Prevention Program Funding from the Department of Housing and Community Development
RECOMMENDATION:
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Adopt a resolution authorizing the Director of the Human Services Agency, or designee, to designate the County of San Mateo as the Administrative Entity of Round 5 Homeless Housing, Assistance and Prevention Program funding and execute any agreements, amendments to agreements or other documents with the Department of Housing and Community Development to apply for and accept Round 5 Homeless Housing, Assistance and Prevention Program funding for a total amount of up to $5,237,945.50, plus future Round 5 funding, on behalf of the County of San Mateo and the CA-512 Daly City/San Mateo County Continuum of Care.
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BACKGROUND:
On February 11, 2020 by Resolution No. 077226, the County applied for and accepted funding on behalf of the County and the CA-512 Daly City/San Mateo County Continuum of Care (CoC), from the California Business, Consumer Services and Housing Agency (BSCH) for the Homeless Housing, Assistance and Prevention Program (HHAP) grant. HHAP was established as a one-time grant to provide local jurisdictions with funds to support regional coordination and expand or develop local capacity to address their immediate homelessness challenges.
On January 12, 2021 by Resolution No. 077954, the County applied for and accepted HHAP Round 2 funding (HHAP-2) from BSCH. HHAP-2 was established to provide support to local jurisdictions to continue to build on regional collaboration developed through previous rounds of funding and to develop a unified regional response to homelessness.
On October 5, 2021, by Resolution No. 078474, the County applied for and accepted HHAP Round 3 funding (HHAP-3) from BSCH.
On May 9, 2023, by Resolution No. 079584, the County applied for and accepted HHAP Round 4 funding (HHAP-4) from BSCH.
In July 2023, BSCH announced a fifth round of HHAP (HHAP-5) funding that will be released September 2024. HHAP-5 is flexible funding that may be used through June 2028 for a variety of homeless services including diversion, outreach, rapid re-housing, permanent housing, and other homeless services, and will include an accountability and performance framework. HHAP-5 funds will be made available/released to eligible applicants, including Cities, Counties, and Continuums of Care in 2 phases.
Phase 1 is initial disbursement, which makes available up to 50% of funds after the Contract for Funds is fully executed. In Phase 2, the remainder of HHAP-5 base allocation funds will be disbursed upon demonstration that no less than 75% has been obligated and no less than 50% of the initial disbursement has been spent by June 30, 2026.
Starting on July 1, 2024, the Department of Housing and Community Development (HCD) replaced BCSH as the managing agency for HHAP.
HCD permits jurisdictions to apply jointly for HHAP-5 program funds allocations. The County of San Mateo Human Services Agency (HSA) serves as the Lead Agency for the CA-512 Daly City/San Mateo CoC.
DISCUSSION:
HSA, as the lead CoC agency, completed the HHAP-5 application process on behalf of the CoC and on behalf of the County of San Mateo on March 27, 2024. At the time of submission, HSA designated the County as the Administrative Entity and indicated its intent to apply jointly for HHAP-5 funding on behalf of both the CoC and the County. The application is anticipated to be awarded in Fall 2024 in the amount of $5,237,945.50. The initial disbursement of $2,618,972.75 will be made upon receipt and processing of the signed contract documents.
In order to expedite the administration of funding, HSA is requesting that the Board of Supervisors authorize the HSA Director or designee to submit application materials and execute any agreements, amendments, or other documents with HCD to apply for and accept HHAP-5 funding, including future HHAP-5 funds, through FY 2027-28. It is in the best interests of the County to designate the County as the Administrative Entity of HHAP-5 funds and apply jointly to receive one grant rather than having to apply for and manage two separate HHAP-5 grants/allocations.
Given that HHAP-5 is a one-time funding source, and that the State is also planning to issue another one-time HHAP grant (Round 6), HSA will strategically plan for how to utilize this funding source most effectively within the homeless crisis response system to maximize the impact and most strategically utilize this one-time funding source towards meeting local needs.
The County Attorney has reviewed and approved the resolution as to form.
FISCAL IMPACT:
The HHAP-5 allocation is for a total amount of up to $5,237,945.50. An initial allocation of up to 50% of the total allocation will be made available FY 2024-25. The remaining funds are anticipated to be received within FY 2026-27. HHAP-4 funding is available for use through FY 2027-28. These funds will be held in trust by the County until they are utilized. Budgetary appropriation to authorize the use of these funds will be included in the budget years that will be affected. There is no Net County Cost.