Explanation
BACKGROUND: This legislation authorizes the Director of Development to enter into two contracts with the Community Development Collaborative of Greater Columbus (Collaborative) to administer the City’s CHDO operating funds in an amount up to $215,000.00 using 2021 HOME funds with the contract term starting January 1, 2021.
The City is a participating jurisdiction receiving federal funds under the HOME Investment Partnerships Program (HOME) of the U.S. Department of Housing and Urban Development (HUD). The regulations of the program provide that up to five percent of the annual allocation may be granted to Community Housing Development Organizations (CHDOs) to pay operating costs of the agencies. CHDOs are nonprofit organizations that work in neighborhoods to develop affordable housing through rehabilitation of existing housing stock and new in-fill construction.
The department partners with the Collaborative to manage the CHDO program and does so under two contracts. Under one contract ($45,000.00), the Collaborative will serve in the role as a funding intermediary, facilitator of training, and builder of organizational capacity. These funds leverage additional public and private funds for operating support of CHDOs. The City and the Collaborative have collectively developed a process for distribution of the funds. Under the other contract ($170,000.00), the Collaborative will distribute the funds to eligible CHDOs.
Historically, the City’s CHDO operating budget has been greater than $170,000.00 annually (the amount fluctuates each year) and the department had sought authority to appropriate and expend the funds after the grant has been executed. Starting with the 2019 grant, the department has sought approval to appropriate and expend a portion of the grant before the grant agreement is executed and then execute a planned, contract modification for the remaining amount after the grant amount is known (usually mid-year).
These services provided by the Collaborative cannot be provided by existing city employees because these services are beyond the City’s current staffing capacity to provide.
Emergency action is requested to avoid disruptions in program services.
FISCAL IMPACT: Funding for this agreement in the amount of $215,000.00 is supported by the anticipated 2021 HOME Investment & Partnership Grant to be awarded to the City of Columbus by HUD.
Funding of the $45,000.00 contract is as follows: $45,000.00 2021 HOME administration funds.
Funding of the $170,000.00 contract is as follows: $170,000.00 2021 HOME CHDO funds.
Funding is contingent upon City Council approval of the 2021 Action Plan under ordinance 2345-2020.
CONTRACT COMPLIANCE: The vendor’s contract compliance number is 005635 and expires on 8/20/2022.
Title
To authorize the appropriation and expenditure of $215,000.00 of 2021 HOME funds; to authorize the Director of the Department of Development to enter into two contracts with the Community Development Collaborative of Greater Columbus to provide administrative and CHDO operating support in amount up to $215,000.00, with the contract term for each contract starting January 1, 2021; and to declare an emergency. ($215,000.00)
Body
WHEREAS, the City of Columbus expects to continue as a participating jurisdiction of the of U.S. Department of Housing and Urban Development; and
WHEREAS, City Council has approved the 2021 Action Plan, per Ordinance 2345-2020, as required by HUD; and
WHEREAS, the City desires to make a portion of 2021 HOME funds available to Community Housing Development Organizations (CHDOs) to pay a portion of their operating costs to stimulate the development of affordable housing for low income households in their neighborhoods; and
WHEREAS, support for CHDOs can foster the revitalization of Columbus neighborhoods; and
WHEREAS, the City desires to enter into two contracts with the Community Development Collaborative of Greater Columbus in order to administer the CHDO contracts; and
WHEREAS, emergency action is required to avoid disruptions in program services; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development, Housing Division, in that it is immediately necessary to authorize the Director to enter into contracts with the Community Development Collaborative of Greater Columbus to allow for continuation of services without interruption, thereby preserving the public health, peace, property, safety, and welfare; and NOW THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That from the unappropriated monies in Fund 2201 (HOME Investment Partnerships Program) and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the grant period, the sum of $215,000.00 is appropriated in Fund 2201 (HOME Investment Partnerships Program), Dept-Div 44-10 (Housing), Project G452000, Object Class 03 (Services), per the accounting codes in the attachment to this ordinance.
SECTION 2. The expenditure of $215,000 or so much thereof as may be necessary, is hereby authorized in Fund 2201 (HOME Investment Partnerships Program), Dept-Div 44-10 (Housing), Project G452000, in object class 03 (Contractual Services) per the account codes in the attachment to this ordinance.
SECTION 3. Funds are hereby deemed appropriated and expenditures and transfers authorized to carry out the purposes of this ordinance and the City Auditor shall establish such accounting codes as necessary.
SECTION 4. That the Director of the Department of Development is authorized to enter into two contracts (for a total up to $215,000.00) with the contract term starting January 1, 2021, with the Community Development Collaborative of Greater Columbus to serve in the role as a funding intermediary, facilitator of training, and builder of organizational capacity for Community Housing Development Organizations and to distribute the City’s CHDO funds.
SECTION 5. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 6. At the end of the grant period, any repayment of unencumbered balances required by the grantor is hereby authorized and any unused City match monies may be transferred back to the City fund from which they originated in accordance with all applicable grant agreements.
SECTION 7. That the agency identified in Section 4 is awarded the contract pursuant to Columbus City Codes, 1959 Section 329.29 and 329.30.
SECTION 8. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.