DATE: August 14, 2020
TO: Board of Supervisors
SUBMITTED BY: Dawan Utecht, Director, Department of Behavioral Health
SUBJECT: Retroactive State Application / Agreement for Federal Stewart B. McKinney Homeless Block Grant, through McKinney Projects for Assistance in Transition from Homelessness Grant and Amendment to PATH Agreement with Kings View Corporation
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute a retroactive Application / Agreement with the California Department of Health Care Services for the Federal Stewart B. McKinney Homeless Block Grant, through the McKinney Projects for Assistance in Transition from Homelessness Grant, effective July 1, 2020 through June 30, 2021 ($422,910);
2. Approve and authorize the Director of the Department of Behavioral Health, or designee, to be the signatory on behalf of the Board of Supervisors on associated grant agreement documents, expenditure forms, reports or modifications that do not exceed 10% of the maximum compensation; and
3. Approve and authorize the Chairman to execute retroactive Amendment IV to Agreement No. A-15-257 with Kings View Corporation for the Projects for Assistance in Transition from Homelessness Program to extend the deadline for expenditure of the Homeless Mentally Ill Outreach and Treatment grant funding from June 30, 2020 to August 31, 2020 and add a Mobile Outreach Project component using one-time Community Development Block Grant-Coronavirus funding, increasing the maximum by $279,613 to a total of $4,578,437.
REPORT
The Department of Behavioral Health submitted a placeholder application signed by the Deputy Director, contingent upon your Board’s approval due to the short turnaround period for the Projects for Assistance in Transition from Homelessness (PATH) grant application / agreement process. The FY 2020-21 application / agreement was released by the California Department of Health Care Services (DHCS) on April 17, 2020 and was due on May 1, 2020.
Approval of the recommended actions will allow the Department to resubmit the application / agreement to DHCS in place of the initial application / agreement and the Department director, or designee, to sign on behalf of the Board, all necessary reports and forms due to DHCS for administration of the grant. PATH allows for services to adults with mental health conditions who are homeless or at risk of homelessness and requires a 33% county match, which is funded with Mental Health Services Act - Community Services Support (MHSA - CSS) funds. Approval will amend the existing agreement with Kings View Corporation (Kings View) to utilize Community Development Block Grant-Coronavirus (CDBG-CV) funds to create the PATH - Mobile Outreach Project (Project). The Project will provide mobile outreach, housing services and linkages to rural, unincorporated communities in the County, addressing needs related to the COVID-19 pandemic. The agreement will be amended to reflect the new expenditure deadline of August 31, 2020 and continue operation of the Homeless Mentally Ill Outreach and Treatment (HMIOT) program.
ALTERNATIVE ACTION(S):
There is no viable alternative action. If the recommended actions are not approved, the grant funds would be forfeited and services to adults with mental health conditions who are homeless or at risk of homelessness will be impacted or may result in a higher cost to the County; the Department will have to approach the Board to seek signature for all necessary reports and forms due to DHCS; the County’s ability to fully expend the HMIOT grant would be limited, impacting services to those in rural and unincorporated communities and may result in a higher cost to the County; and the CDBG-CV funding already approved by the Board on July 7, 2020 will not be administered to the Department for the purposes of addressing the needs of individuals experiencing homelessness in rural and unincorporated areas of the County related to the COVID-19 pandemic.
RETROACTIVE AGREEMENT:
The recommended agreement is retroactive to July 1, 2020 due its required preparation and review. The Department received notice of the PATH grant application from DHCS on April 17, 2020, and the turnaround period was too short to bring before your Board prior to the submittal deadline date of May 1, 2020. Historically, the application / agreement has been submitted to the Board retroactively due to DHCS processing timelines. On May 21, 2020, DHCS informed the Department of an opportunity to extend the HMIOT expenditure deadline requiring the Department to explain how the funds would be spent over the extended period. Kings View provided a reasonable projection allowing the Department to submit its formal request on June 25, 2020, DHCS approved on June 26, 2020.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The PATH grant allocation for FY 2020-21 is $317,182 and requires a County match of 33% or $105,728, which will be funded with MHSA - CSS, for a total amount of $422,910; reflecting a $1,102 increase over the final total amount in FY 2019-20. PATH funds are utilized as follows: $12,133 for county costs and the remainder ($410,777) for the County’s PATH program contracted and operated by Kings View. Total PATH administration cost is 5.7% (2.9% County, 2.8% provider). The program is funded with the PATH grant, MHSA - CSS funds, Homeless Housing, Assistance and Prevention (HHAP) funds, Medi-Cal revenues, and client rent.
The Homeless Mentally Ill Outreach and Treatment (HMIOT) one-time grant funding was in use to create a rural mobile outreach program operated by Kings View in FY 2019-20. To fully expend the funds awarded to the County, the Department’s Deputy Director signed a request to accept an offer by DHCS to extend the deadline for expenditure to August 31, 2020.
For FY 2019-20, there are pending invoices for the existing components in the PATH Agreement. An estimated $97,000 regarding the PATH grant and MHSA - CSS funds dating back to May and an estimated $373,000 regarding the HMIOT grant dating back to April are pending and will be resolved through budget modifications underway.
The CDBG grant awarded by the U.S. Department of Housing and Urban Development (HUD) and administered by the Fresno County Department of Public Works and Planning will fund the addition of a Mobile Outreach Project in the PATH Agreement. The maximum compensation will increase by $279,613 to a total of $4,578,437. Sufficient appropriations and estimated revenues are included in the Departments Org 5630 FY 2020-21 Recommended Budget.
DISCUSSION:
Projects for Assistance in Transition from Homelessness (PATH) Grant
The Stewart B. McKinney Homeless Assistance Amendments Act of 1990 established the Federal PATH grants administered by the Substance Abuse and Mental Health Services Administration (SAMHSA). DHCS functions as a pass-through entity, and direct services are administered through the Department. Since 1990, the Department has applied for the grant funding annually to address the needs of individuals with serious mental illness (SMI) and/or co-occurring SMI and substance use disorder, who are homeless or at risk of homelessness. If approved by your Board, the FY 2020-21 PATH application / agreement will partially fund the County’s program, effective July 1, 2020 through June 30, 2021.
On June 16, 2015, the Board approved Agreement No. 15-257 with Kings View to operate the PATH program and provide services to homeless adults with mental health conditions. On April 28, 2020, the Board approved a contract term extension through FY 2020-21. The program utilizes the Wellness Recovery Action Plan, an evidence-based practice, which empowers clients to achieve their respective goals. The PATH program is a vital resource to the community as it seeks to reduce and end chronic homelessness and serves as an avenue for clients to involve themselves in mainstream mental health, primary health care, and substance use disorder services
The DHCS approval process is contingent upon allocated Federal funding. The recommended application / agreement will act as the final agreement; the placeholder application was submitted to meet the May 1, 2020 deadline. Your Board’s approval will allow the Department to submit an updated application / agreement to replace the placeholder application. The recommended application / agreement contains language which allows the Department’s Director, or designee, to modify services and budget line item changes within 10% of the grant budget to address program funding needs that may fluctuate over the term of the application / agreement.
Homeless Mentally Ill Outreach and Treatment (HMIOT)
On October 22, 2019, the Board approved Amendment II to Agreement No. 15-257 to add a rural mobile outreach component using HMIOT grant funding. The component has worked to build rapport, develop trust and engage and link individuals to services in the rural and unincorporated communities of the County for during FY 2019-20, with a deadline to expend and encumber funds on June 30, 2020. COVID-19, impacted the ability to expend program funds and DHCS informed counties that the State may consider an extension of the deadline if counties submitted a request with a proposed timeline and explanation of funding usage. On June 25, 2020, the Department’s Deputy Director signed the request to extend the deadline for expenditure of the funds to August 31, 2020. DHCS approved the request on June 26, 2020. With the additional time, Kings View will fully expend the grant by providing client housing support and staff, facilities, equipment, insurance costs, and consulting fees necessary to operate the HMIOT program.
Community Development Block Grant-Coronavirus (CDBG-CV)
HUD has awarded the County $1,635,038 (CDBG-CV) funds under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. On July 7, 2020, a portion of this funding was approved by your Board with for the purpose of addressing needs related to the COVID-19 pandemic by providing mobile outreach services, referrals and linkage to housing assistance, healthcare, and other services providers through the Department. Approval of the recommended actions will incorporate $279,613 of CDBG-CV funds to add a Mobile Outreach Project to the PATH Agreement with Kings View in FY 2020-21. Kings View’s multidisciplinary team will implement COVID-19 screening, education, assessment and linkage capabilities in the field and operate with vans assigned to eastern and western parts of the County.
OTHER REVIEWING AGENCIES:
The Behavioral Health Board was notified of this application / agreement at the July 15, 2020 meeting.
REFERENCE MATERIAL:
BAI #7, July 7, 2020
BAI #7, May 26, 2020
BAI #31.1, April 28, 2020
BAI #35, November 19, 2019
BAI #45, June 16, 2015
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Agreement with DHCS
On file with Clerk - Amendment IV to Agreement No. 15-257 with Kings View
CAO ANALYST:
Sonia M. De La Rosa