Explanation
BACKGROUND
This ordinance authorizes the Director of the Development Department to modify a grant agreement to add additional funds in the amount up to $10,750,000.00 of U.S. Department of Treasury Emergency Rental Assistance 2 (ERA2) with the Tony R. Wells Foundation dba The Wells Foundation to continue to act as a Fiscal Manager for the disbursement of ERA funds to eligible recipients as part of the department’s ERA2 Investment Strategy. This modification is needed as funds are being expended at an increasing rate and they are needed to continue to provide rental, utility, and other services to residents facing housing instability, eviction, or potential homelessness in the area who qualify for assistance.
Original Agreement $26,125,000.00 Ord. 1569-2023 PO393975
Modification No. 1 $ 0.00 Ord. 2443-2023
Modification No. 2 $16,000,000.00 Ord. 2756-2023 PO413465
Modification No. 3 $10,750.000.00
Total $52,875,000.00
Ordinance No. 1569-2023 authorized the Director of the Department of Development to enter into a grant agreement with the Tony R. Wells Foundation in an amount up to $26,125,000.00 of U.S. Department of Treasury Emergency Rental Assistance 2 (ERA2) funds to act as a Fiscal Manager for the disbursement of ERA funds to eligible recipients as part of the department’s ERA2 Investment Strategy and to authorize an agreement start date of June 1, 2023.
Ordinance No. 2275-2023 authorized the City of Columbus to accept and appropriate up to $90,537,806.23 of Federal Emergency Rental Assistance (ERA2) program funds, as passed by the Consolidated Appropriations Act of 2021.
Ordinance No. 2443-2023 authorized the amendment of Ordinance No. 1569-2023 to allow for an increase in the advance amount that was originally established.
Ordinance No. 2756-2023 authorized the Director of the Department of Development to modify a grant agreement to add additional funds in the amount up to $16,000,000.00 of U.S. Department of Treasury Emergency Rental Assistance 2 (ERA2) funds to continue to act as a Fiscal Manager for the disbursement of ERA2 funds to eligible recipients as part of the department’s ERA2 Investment Strategy.
Tony R. Wells Foundation will continue to serve as fiscal manager for the ERA program to provide rental and utility assistance to residents in the local area who qualify for the assistance as provided in the laws and regulations and other current guidance provided by the US Department of Treasury.
Funds from original contract PO413465 are being expended quickly due to the high need in community for emergency rental assistance. Therefore, we are allocating additional funds to the City’s Emergency Rental Assistance Program.
Emergency action is requested to assist tenants facing housing instability, eviction, or potential homelessness with emergency rental assistance as such immediate action is necessary for the preservation of the public health, peace, property, safety and welfare.
Contract Compliance: the vendor number is 038668 and expires 6/22/2025.
Fiscal Impact: $10,750,000.00 is available from Emergency Rental Assistance 2 (ERA2) funds.
Title
To authorize the Director of the Department of Development to modify a grant agreement to add additional funds in the amount up to $10,750,000.00 of U.S. Department of Treasury Emergency Rental Assistance 2 (ERA2) funds; to authorize the payment of eligible expenses; and to declare an emergency. ($10,750,000.00)
Body
WHEREAS, the Director of the Department of Development entered into a grant agreement with The Tony R. Wells Foundation; and
WHEREAS, The Tony R. Wells Foundation is acting as a Fiscal Manager for the disbursement of ERA funds as part of the department’s ERA2 Investment Strategy; and
WHEREAS, funds from the original contract are being expended quickly due to high need in the community for emergency rental assistance; and
WHEREAS, additional funds are needed to assist tenants facing housing instability, eviction, or potential homelessness;
WHEREAS, an emergency exists in the daily operation of the Department of Development in that it is necessary to modify the grant agreement to allow for additional emergency rental assistance funds for tenants facing housing instability, eviction, and potential homelessness as such immediate action is necessary all for the immediate preservation of the public health, peace, property, safety and welfare; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of the Department of Development is hereby authorized to modify the grant agreement with the Tony R. Wells Foundation to add additional funds, in an amount up to $10,750,000.00, to pay for emergency rental assistance.
SECTION 2. That the expenditure of $10,750,000.00, or so much thereof as may be needed, is hereby authorized in Fund 2208 (Emergency Rental Assistance Fund), from Dept-Div 44-10 (Housing), object class 05 (Other Expenditures) per the account codes in the attachment to this ordinance.
SECTION 3. 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 4. 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 which shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes it.