DATE: July 7, 2020
TO: Mayor and City Council
FROM: Deputy City Manager
SUBJECT
Title
Adopt Resolutions: (1) Authorizing the City Manager to Execute a Cooperation Agreement to Enable the City of Hayward to Continue Participation in the Alameda County HOME Consortium for 2021-2023; and (2) Appropriating $388,000 in HOME Investment Partnership Program (HOME) Funds to Provide Rental Assistance to Low-Income Tenants Experiencing Hardship Related to the COVID-19 Pandemic, as well as Authorizing the City Manager to Amend the Existing Agreement with Bay Area Community Services (BACS) to Add HOME Funds in an Amount Not-To-Exceed $388,000 to Administer the Additional Rent Relief Program Funds.
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RECOMMENDATION
Recommendation
That Council adopts:
1. A resolution (Attachment II) authorizing the City Manager to execute the Cooperation Agreement (the Agreement) and all other implementing documents to enable the City of Hayward to participate in the Alameda County HOME Consortium for the next three years; and
2. A resolution (Attachment III) appropriating the use of existing HOME Investment Partnership (HOME) funds for rental assistance to low-income tenants experiencing hardship due to the COVID-19 pandemic and authorizing the City Manager to amend the existing agreement with Bay Area Community Services (BACS) to add HOME funds in an amount not-to-exceed $388,000 to administer the additional rent relief program funds.
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SUMMARY
This item recommends that Council adopt two resolutions related to the acceptance and allocation of federal HOME Funds.
Alameda County HOME Consortium Cooperation Agreement
Every three years, the City of Hayward must reaffirm its membership in the Alameda County HOME Consortium by entering into a Cooperation Agreement with the HOME Consortium. The administrative agreement between the City and Alameda County enables the City to continue participating in the Consortium, of which it has been a member since 1992.
Through membership in the Consortium, the City has received over $12.5 million in funds for HOME-eligible housing assistance activities benefitting households at or below 80% of the area median income (AMI), including acquiring, rehabilitating, and constructing affordable housing developments, and providing homebuyer and tenant-based rental assistance. Staff recommends that Council adopts the Resolution in Attachment II, to authorize the City’s participation in the Consortium and receive federal HOME funds for federal FY 2020-2021 through FY 2022-2023. Approval of this resolution does not commit the City to funding any specific project at this time. Specific funding allocations would require subsequent Council approval.
Tenant-Based Rental Assistance & COVID-19
Staff recommends augmenting the City’s Rental Housing Relief Program by allocating an additional $388,000 of existing HOME funds to the program. The City entered into an agreement with BACS in May for $600,000 to administer the City’s Rental Housing Relief Program, which provides one-time payments of up to $2,500 to eligible Hayward residents. In April, the U.S. Department of Housing and Urban Development (HUD) issued several waivers and suspensions of federal regulations pertaining to the HOME Program, which will enable the City to provide additional rental assistance to low-income residents who need help the most during the COVID-19 pandemic. Based on feedback from BACS and communications from community members through the City’s hotline and Housing Division inquiries, staff recommends that the City amend the existing agreement with BACS to include the additional $388,000 in available HOME funds to augment the program.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution Authorizing HOME Cooperation Agreement
Attachment III Resolution Authorizing HOME Funds for Rent Relief