DATE: July 9, 2019
TO: Board of Supervisors
SUBMITTED BY: Delfino E. Neira, Director, Department of Social Services
SUBJECT: Homeless Emergency Aid Program & California Emergency Solutions Housing Agreements
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute an Agreement with WestCare, California Inc. for Housing Navigation services, effective upon execution through May 31, 2021, total not to exceed $455,945.
2. Approve and authorize the Chairman to execute an Agreement with WestCare, California Inc. for Rapid Rehousing services, effective upon execution through June 30, 2022, total not to exceed $2,677,398.
3. Approve and authorize the Chairman to execute an Agreement with Fresno Economic Opportunities Commission for Youth Bridge Housing services, effective upon execution through May 31, 2021, total not to exceed $327,884.
REPORT
Approval of the recommended actions will allow the Department to provide Housing Navigation (case management), Rapid Rehousing (rental assistance), and Youth Bridge Housing (emergency shelter) services to homeless individuals and families in Fresno and Madera counties, with no Net County Cost. This item is countywide.
ALTERNATIVE ACTION(S):
There are no viable alternative actions. Should your Board not approve the recommended actions, the Department would be out of compliance with the spending plans submitted to the State for the Homeless Emergency Aid Program (HEAP) and the California Emergency Solutions and Housing (CESH) program. Additionally, the contractors will have insufficient time to expend the awarded monies by the expenditure deadline set by the State. Failure to expend the mandatory 5% minimum HEAP funding on homeless youth services will disallow use of a proportionate share of HEAP funding.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended actions. The maximum cost of the recommended agreements is $3,461,227 and will be entirely offset with HEAP and CESH funds. There is no matching contribution requirement for either funding source. Sufficient appropriations and estimated revenues are included in the FY 2019-20 Recommended Budget for the Department of Social Services Org 5610 and will be included in subsequent budget requests.
DISCUSSION:
HEAP, authorized by Senate Bill (SB) 850 (Chapter 48, Statutes of 2018), is a $500 million block grant program designed to address the homelessness crisis throughout California and is made available to Continuums of Care and cities with populations over 330,000. The Fresno Madera Continuum of Care (FMCoC) was allocated $9,501,363 in HEAP funding with a mandatory minimum of 5% ($475,069) set aside for homeless youth ages 18 to 24.
CESH was also established by SB 850, a portion of SB 2 Building Homes and Jobs Act (Chapter 364, Statutes of 2017), and approximately $25,000,000 in unallocated California Emergency Solutions Grant funds. The FMCoC was allocated $1,563,085 in CESH funding with a maximum of 40% allowable for emergency housing interventions, such as emergency shelters and bridge housing.
Although HEAP and CESH funds are allocated to the FMCoC and are under its jurisdiction, the County, through the Department, acts as the Administrative Entity and is responsible for overseeing procurement, contract monitoring, and reporting requirements. Administrative costs are offset with a percentage of funding retained by the Department from each program.
On June 4, 2019, your Board approved the first in a series of agreements for HEAP and CESH funding, as part of a plan to create a comprehensive continuum of services to provide individuals and families with appropriate housing interventions. The recommended agreements are the next in the series, providing essential services as part of the continuum.
In accordance with the HEAP and CESH spending plan developed and approved by the FMCoC, the Department sought providers for Housing Navigation, Rapid Rehousing, Youth Bridge Housing, and Youth Navigation services. Housing Navigation and Youth Navigation services pair clients with Navigators, who work to address client barriers to housing; Rapid Rehousing services include a combination of intensive case management with medium-term housing subsidies designed to quickly move clients into permanent housing; and Youth Bridge Housing provides safe shelter for homeless youth ages 18-24 while waiting for an identified permanent housing intervention.
Housing Navigation and Rapid Rehousing Services
The Department issued a Request for Proposal (RFP) for Housing Navigation and Rapid Rehousing services on March 8, 2019, which closed on April 5, 2019. A total of 63 vendors were notified via Public Purchase - including all members of the FMCoC. Three bids were received; one bid for each service from WestCare, California Inc. (WestCare) and a separate bid that was deemed non-responsive by the Internal Services Department - Purchasing Division.
A review panel consisting of representatives from the County Administrative Office, the City of Fresno, and the County of Madera Department of Social Services met to review the responses. WestCare was unanimously selected for award of both services due to their demonstrated history of success in providing similar services, an extensive history of inter-agency collaborations, and verified experience with a variety of funding types. In particular, the review panel noted WestCare’s ability to provide needed linkages to ancillary services in the Housing Navigation process. The site-based service model proposed for Rapid Rehousing services, including 25 units of newly refurbished one- and two-bedroom apartments located at 2550 W. Clinton Avenue in Fresno, was also considered a particular strength. The site-based model will allow WestCare to place clients directly into master-leased housing, without the need to pass tenancy screenings required on the open rental market.
As WestCare’s Rapid Rehousing bid did not utilize the full funding amount available, at the recommendation of the review panel, the Department requested that WestCare expand services to include both site-based (master-leased) housing services and tenant-based Rapid Rehousing services. This would help to ensure sufficient services, as included in the funding plan, to transition clients from emergency shelter into permanent housing. The tenant-based model allows clients to select housing from the open rental market, and provides temporarily subsidized rent through the program.
Youth Bridge Housing and Youth Navigation Services
An RFP for Youth Bridge Housing and Youth Navigation services was released on March 21, 2019 and closed on April 19, 2019. A total of 61 vendors were notified via Public Purchase - including all members of the FMCoC. One bid was received for Youth Bridge Housing, submitted by Fresno Economic Opportunities Commission (Fresno EOC). No bids were received for Youth Navigation services.
A review panel consisting of representatives from the County Administrative Office, the Housing Authority of the City of Madera, and the County Department of Social Services met to review the Youth Bridge Housing response. Fresno EOC was unanimously selected to provide the services due to their demonstrated history of serving youth, providing shelter, and their robust ability to connect clients to other local service providers. The recommended agreement adds 12 new, low-barrier Bridge Housing beds (8 for individual homeless youth and 4 for young families) located at Fresno EOC’s existing facility at 1046 T Street in the City of Fresno. Fresno EOC will also provide on-site health and safety education classes to the residents.
As no bids were received for Youth Navigation services, the Department negotiated for the provision of the services by WestCare, who had been awarded the agreement to provide Housing Navigation to homeless adults.
The three recommended agreements allow for changes to the budget line items up to 10% of the total maximum compensation with the written approval of the Department Director, or designee, and the subrecipient without resulting in changes to the maximum compensation. As the CESH Standard Agreement has not yet been received from the State, the Housing Navigation and Rapid Rehousing agreements, which include CESH funding, include language that requires the Department to amend the agreements to remove the funding should your Board choose not to execute the CESH Standard Agreement.
REFERENCE MATERIAL:
BAI #17, June 4, 2019
BAI #39, February 12, 2019
BAI #8, December 4, 2018
BAI #55, November 6, 2018
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Agreement with WestCare California, Inc. for Rapid Rehousing Services
On file with Clerk - Agreement with WestCare California, Inc. for Housing Navigation Services
On file with Clerk - Agreement with Fresno EOC for Youth Bridge Housing Services
CAO ANALYST:
Sonia De La Rosa