Explanation
BACKGROUND: This legislation authorizes the Director of Development to enter into a non-profit service agreement with the IMPACT Community Action Agency (IMPACT) in an amount up to $10,000,000.00 of federal Emergency Rental Assistance funds to provide continued support for the Hope Fund, providing for expenses starting March 1, 2020.
Ordinance 0284-2021 authorized the City of Columbus to accept and appropriated $26,822,803.20 of federal Emergency Rental Assistance (ERA) program funds, as passed by the Consolidated Appropriations Act of 2021. Of this amount, $10,000,000.00 will be used for a non-profit service agreement with IMPACT to provide rental and utility assistance (as defined by U. S. Treasury) to qualifying residents of the local community for up to 12 months plus an additional three months, if necessary, to ensure housing stability.
In this contract, at least 60% of the funding will support households with an AMI at 50% or below and/or have a member of the household who has been unemployed for 90 days; up to 40% of the funding can be used for households with an AMI at 80% or below; and 10% of the funding will be utilized for Administrative costs.
IMPACT will manage a program to provide rental and utility assistance to residents in the local area who qualify for the assistance as provided in the laws regulations and other current guidance provided by the U. S. Department of Treasury. It is expected that the guidance from the U.S. Department of Treasury will be modified while this contract is in effect and it is requested that the Director of Development be given the authority to modify the scope of services of the agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance.
IMPACT has successfully deployed $10.8 million in Columbus CARES Act funding to our community providing rental, mortgage, and utility assistance to our residents through the HOPE Fund. They have worked with partners through the Housing Stabilization Coalition to coordinate the deployment of a total of $16 million dollars to Franklin County residents, serving approximately 7,200 families through the end of 2020.
The services included in this agreement 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 provide continuation of services.
FISCAL IMPACT: Funding is provided to the City of Columbus from the Consolidated Appropriations Act of 2021 passed by Congress and signed into law December 27, 2020.
CONTRACT COMPLIANCE: the vendor’s vendor number is 001447 and is valid from 12/16/2019-12/16/2021
Title
To authorize the Director of Development to enter into a non-profit service agreement with the IMPACT Community Action Agency (IMPACT) in an amount up to $10,000,000.00 to provide rental and utility assistance (as defined by U. S. Treasury) to qualifying residents of the local community; to authorize the Director of Development to modify the scope of services of the agreement as needed without seeking further City Council approval; to authorize payment of expenses starting March 1, 2020; and to declare an emergency ($10,000,000.00)
Body
WHEREAS, the Director of the Department of Development desires to enter into a contract with IMPACT Community Action Agency (IMPACT) and authorize payment of expenses beginning March 1, 2020, to provide rental and utility assistance (as defined by U. S. Treasury) to qualifying residents of the local community for up to 12 months; and
WHEREAS, at least 60% of the funding will support households with an AMI at 50% or below and/or have a member of the household who has been unemployed for 90 days; up to 40% of the funding can be used for households with an AMI at 80% or below; and 10% of the funding will be utilized for Administrative costs; and
WHEREAS, it is expected that the guidance from the U.S. Department of Treasury will be modified while this contract is in effect and it is requested that the Director of Development be given the authority to modify the scope of services of the agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance; and
WHEREAS, IMPACT Community Action Agency (IMPACT) is a non-profit organization with a commitment to reduce poverty in the community through providing emergency assistance empowerment services, energy assistance and outreach and engagement; and
WHEREAS, the COVID-19 pandemic has resulted in much needed assistance when low income households have seen significant decreases in personal income due to COVID-19 and the public health emergency; and
WHEREAS, expenditure of ERA funding to provide low income households with financial assistance is necessary to address reduced income needed to pay rent and utility expenses caused by the COVID-19 public health emergency; and
WHEREAS, such expenditure of funds has not been previously accounted for in the 2021 Budget; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to authorize the Director to enter into a non-profit service agreement with IMPACT Community Action Agency (IMPACT) to provide rental and utility assistance services, all for the preservation of 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 the Director of the Department of Development is hereby authorized to enter into a non-profit services agreement with IMPACT Community Action Agency (IMPACT) in an amount up to $10,000,000.00; is authorized to make payment for expenses starting March 1, 2020, for the purpose of providing rental and utility assistance (as defined by U. S. Treasury) to qualifying residents under the guidance of the Emergency Rental Assistance program authorized under the Consolidated Appropriations Act of 2021 passed by Congress and signed into law December 27, 2020; and is authorized to modify the scope of services of the agreement as needed without further City Council approval in order to align with the evolving federal guidance.
SECTION 2: That the expenditure of $10,000,000.00 or so much thereof as may be needed is hereby authorized in Fund 2208 (ERA Fund), Dept-Div 44-10 (Housing Division), in object class 03 (Services) per the accounting codes in the attachment to this ordinance.
SECTION 3.That this agreement is awarded pursuant to the relevant provisions of Chapter 329 of City Code relating to the process for awarding not-for-profit service agreements.
SECTION 4: 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 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 legislation.
SECTION 6: That for reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is declared to be an emergency measure and 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 the same.