Explanation
BACKGROUND: This legislation authorizes the Director of the Department of Development to execute a grant agreement with the Tony R. Wells Foundation dba The Wells Foundation in an amount up to $26,125,000.00 of U.S. Department of Treasury Emergency Rental Assistance 2 (ERA 2) funds to act as a Fiscal Manager for the disbursement of ERA funds to eligible recipients as part of the department’s ERA 2 Investment Strategy and to authorize an agreement start date of June 1, 2023.
The Wells Foundation, a non-profit philanthropic organization, is a “contractor” under federal uniform guidance rules and the agreement that will be used by the department is the city’s Grant Agreement because funds are being advanced.
Ordinance 2275-2021 authorizes the City of Columbus to accept and appropriate up to $90,537,806.23 of federal Emergency Rental Assistance (ERA 2) program funds, as passed by the Consolidated Appropriations Act of 2021. Federal guidelines allows for payment of eligible expenses starting March 3, 2021.
Of this amount, $26,125,000.00 will be used for an agreement with The Wells Foundation to partner with local non-profit agencies and other program service providers and act as the program Fiscal Manager to disburse funding directly to eligible recipients of the ERA program. Disbursements will be to landlords, utility companies, and other service providers on behalf of eligible recipients.
The City has disbursed approximately $23 million of the $90.5 million of ERA 2 funds received from the U.S. Department of Treasury as a result of the COVID-19 emergency. This is in addition to the $38.3 million of ERA 1 funds disbursed. The remaining $67.5 million of ERA 2 funds will be disbursed under two programs: Investment Strategy and Innovations Strategy.
The department’s ERA 2 Investment Strategy program will require a number of agreements/contracts with various entities and legislation will come before City Council as the agreements/contracts are nee...
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