Explanation
BACKGROUND: This legislation authorizes the Director of Development to modify a subaward agreement with IMPACT Community Action Agency (IMPACT) in an amount up to $1,500,000.00 to continue to provide rental and utility assistance using federal Emergency Rental Assistance 2 funds.
Original subaward amount $1,000,000.00 Ord. 2301-2021 PO309879
Mod. 1 subaward amount $1,500,000.00
Total subaward amount $2,500,000.00
Ordinance 2275-2021 authorizes the City of Columbus to accept and appropriate $22,355,562.60 of federal Emergency Rental Assistance (ERA2) program funds, as passed by the Consolidated Appropriations Act of 2021. Of this amount, $1,500,000.00 will be used to provide rental and utility assistance (as defined by U.S. Treasury) to qualifying residents of the local community to ensure housing stability.
In this agreement, 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 up to 15% 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 subaward is in effect and it is requested that the Director of Development be given the authority to modify the terms and conditions of the subaward agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance.
Earlier in 2021, IMPACT was given $10 million of City ERA 1 funds for this same purpose now totaling, with this modification, $12.5 million of ERA funds from the City. The terms of this subaward agreement modification shall be the same as that of the original subaward agreement.
Emergency action is requested in order to continue to provide services without interruption.
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, and contingent upon passage of Ordinance 2275-2021.
CONTRACT COMPLIANCE: the vendor number is 001447 and expires 11/17/2023
Title
To authorize the Director of Development to modify a subaward agreement with Impact Community Action Agency in an amount up to $1,500,000.00 to continue to provide rental and utility assistance using federal Emergency Rental Assistance 2 funds; to modify the terms and conditions of the Subaward agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance; to authorize an expenditure of up to $1,500,000.00 of Emergency Rental Assistance 2 funds; and to declare an emergency ($1,500,000.00)
Body
WHEREAS, the Director of Development has identified a need to modify a subaward agreement with IMPACT in an amount up to $1,500,000.00 to continue to provide rental and utility assistance using federal Emergency Rental Assistance 2 funds; and
WHEREAS, 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; 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 up to15% of the funding may 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 Subaward is in effect and it is requested that the Director of Development be given the authority to modify the terms and conditions of the Subaward agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance; 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 2022 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 modify a subaward agreement with Impact Community Action Agency in order to continue to services without interruption, 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 modify a subaward agreement with Impact Community Action Agency in an amount up to $1,500,000.00 to continue to provide rental and utility assistance using federal Emergency Rental Assistance 2 funds and to modify the terms and conditions of the Subaward agreement without seeking additional Council Approval in order to align with the most current version of the laws, regulations, and guidance.
SECTION 2. That the expenditure of $1,500,000.00 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: 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 City Auditor is authorized to make any accounting changes to revise the funding source for all subaward agreement or subaward agreement modifications associated with this legislation.
SECTION 5: 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.