HomeMy WebLinkAboutAgenda Report - July 21, 2021 C-21AGENDA ITEM CO21
CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt Resolution Approving the Roll Forward of Remaining Revenue and
Appropriations at the End of Fiscal Year 2020-2021 for the Homeless
Emergency Aid Program (HEAP) Capital Improvement Plan ("CIP") in
Support of the Harmony Homes Project to Fiscal Year 2021-2022
MEETING DATE: June 29, 2021
PREPARED BY: Community Development Director
RECOMMENDED ACTION: Adopt resolution approving the roll forward of remaining
revenue and appropriations at the end of Fiscal Year 2020-
2021 for the Homeless Emergency Aid Program (HEAP)
Capital Improvement Plan ("CIP") in support of the Harmony
Homes project to Fiscal Year 2021-2022.
BACKGROUND INFORMATION: In December 2018, the San Joaquin Continuum of Care
("SJCoC") awarded the City $1,250,000 in Homeless
Emergency Aid Program ("HEAP") grant funds for its
permanent supportive housing project. On May 1, 2019, the City Council accepted the award.
Additionally the City submitted an application for Permanent Local Housing Allocation ("PLHA")
funding from the California Department of Housing and Community Development ("HCD") in July
2020 pursuant to the February 2020 PLHA Notice of Funding Availability. An amendment to the
original PLHA application as approved by City Council was submitted to utilize the first year award
of $336,265 towards the Harmony Homes Project.
Project Description:
The City's Harmony Homes project will create four units of permanent supportive housing for
homeless individuals and families. This supportive housing will help unsheltered
individuals/families move into long-term, affordable housing where they can continue their
progress toward stable and independent living.
The project will receive tenant referrals from local organizations including The Salvation Army,
Lodi House, and Women's Center Youth and Family Services, as well as the Housing Authority
of the County of San Joaquin ("HACSJ" ). HACSJ will supply housing choice vouchers to tenants.
Volunteer supportive housing services will be available for tenants, and tenants will sign lease
agreements that include appropriate maintenance of each unit.
The City is in the midst of construction of the site improvements for the Harmony Homes Project
contracted through Knife River and under contract with All American Modular for development
and installation of the four modular units. On June 29, 2021, the City Council approved
appropriations for HEAP grant interest of $71,312 and the first year PLHA grant award of
$336,265 to be allocated to the HEAP CIP (HEAP -21001) in support of the Harmony Homes
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APPROVED: Ir���f►�rs��r=
Sch%)��:jer, City Manager
Request Approval to Rollover HEAP CIP Appropriations to Fiscal Year 2021-2022
July 21, 2021
Page 2 of 2
project and to reduce appropriations by $336,265 in the Emergency Shelter CIP (PLHA-
21001.Contracts).
The HEAP CIP was scheduled to sunset 6/30/2021 at the end of Fiscal Year 2020-2021 and not
roll forward to the 2021-2022 Fiscal Year and was not included in the Fiscal Year 2022 budget.
However, with the addition of PLHA grant funds, the HEAP CIP project will need to remain open
for an additional fiscal year.
Staff recommend the City Council adopt a resolution approving the roll forward of remaining
revenue and appropriations at the end of Fiscal Year 2002-2021 for the HEAP CIP in support of
the Harmony Homes project to Fiscal Year 2021-2022.
FISCAL IMPACT: Roll forward of appropriations for the HEAP CIP (HEAP -21001 in
support of the Harmony Homes project to Fiscal Year 2021-2022.
FUNDING AVAILABLE: Roll forward of remaining revenue and appropriations after
6/30/2021 into Fiscal Year 2021-2022.
Andrew Keys
Andrew Keys,
Deputy City Manager/Internal Services Director
John R Della Monica, Jr.
Community Development Director
Attachments:
Capital Improvement Plan -- Homeless Emergency Aid Program
Capital Improvement Plan
FY 2021-2022
Project Title: Homeless Emergency Aid Progr (HEAP) I Munis Project Code: HEAP -20001 #84
Section I: Description District Nos: ALL Project Length 5/1/19-6/30/22 Priority High
Purchase of land, development and installation of Tiny Homes to assist the local unsheltered persons in permanent supportive housing. Grant awarded $1,250,000 plus any interest earned, and $150,000 in
General Fund for Acquisition.
Justification/factor driving project
The City of Lodi is experiencing a crisis with its homeless population. Over the last few years, the City has seen an increase in the number of sheltered and unsheltered homeless individuals. Many of those
in temporary shelters have difficulty finding affordable and safe permanent housing.
Additional Information
When the San Joaquin Continuum of Care announced HEAP notice of funding availability, the Lodi Improvement Committee members reviewed and evaluated, along with input from the town hall meeting
and several homeless service providers, potential projects that would assist Lodi's homeless population while fitting within the grant guidelines. The Committee recommended that the City pursue a tiny -
homes permanent supportive housing project now known as Harmony Homes. With the additiona of PLHA Grant funds, will need to extend Capital Improvement Plan to 6/30/2022
Section II: Estimated Project Costs
Expenditure Prior Years FY 20121 FY 21122
Estimate Budget
Contracts $ 1,250,000 $ 557,577
$ -
$
Total Capital Costs $ 1,250,000 $ 557,577 $ -
FY 22123
FY 23124
FY 24125
FY 25126 Future Yrs Total
$ 1,807,577
$
$
$ $ - $ 1,807,577
$
$
$
Section III: Funding Sources/Methods of Fin
Funding Source(s) Prior Years FY 20121 FY 21122
Budget Budget
355 - HEAP Grant $ 1,250,000 $ 71,312
431 - Capital Outlay/General Fund $ - $ 150,000
355 - Permanent Local Housing Allocation $ $ 336,265
Total Project Financing $ 1,250,000 $ 557,577 $ -
FY 22123
FY 23124
FY 24125 FY 25126 Future Yrs Total
$ 1,321,312
$ 150,000
$ 336,265
$ - $ - $ $ 1,807,577
$ -
$ -
Section IV Operating Budget Impact
Operating Cost or (savings) Prior Years
Personnel $ -
Other Operating Costs $
Total Operating Impact $ -
FY 20121 FY 21122
Estimate Budget
$ - $ -
FY 22123
FY 23124 FY 24125 FY 25126 Future Yrs Total
$
$
$ -
$ - $ - $ - $ - $ -
RESOLUTION NO. 2021-205
A RESOLUTION OF THE LODI CITY COUNCIL TO APPROVE THE ROLL
FORWARD OF REMAINING REVENUE AND APPROPRIATIONS AT THE END OF
FISCAL YEAR 2020-2021 FOR THE HOMELESS EMERGENCY AID PROGRAM
(HEAP) CAPITAL IMPROVEMENT PLAN (CIP) IN SUPPORT OF THE HARMONY
HOMES PROJECT TO FISCAL YEAR 2021-2022
------------------------------------------------------------------------
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WHEREAS, the City of Lodi has been awarded a $1,250,000 Homeless Emergency Aid
Program ("HEAP") grant from the San Joaquin Continuum of Care ("SJCoC"); and
WHEREAS, on May 1, 2019, Lodi City Council entered into a Subrecipient Agreement
with SJCoC to accept such HEAP grant, which included a project description, budget, schedule,
and grant requirements; and
WHEREAS, consistent with the Subrecipient Agreement, the grant funds were deposited
into an interest bearing account and will be used for the Harmony Homes project, which is for
the development of four permanent supportive housing tiny -home for homeless individuals and
families; and
WHEREAS, the HEAP interest earned is $71,312; and
WHEREAS, the City of Lodi has been awarded a $2,017,590 Permanent Local Housing
Allocation ("PLHA") grant from the California Department of Housing and Community
Development ("HCD") to be distributed over a series of years and allocated to the Emergency
Shelter Capital Improvement Plan ("CIP"); and
WHEREAS, the first annual PLHA award amount is $336,265; and
WHEREAS, per Amendment No. 1, the PLHA grant funds first-year award may be used
for the construction and development of the Harmony Homes project; and
WHEREAS, on June 29, 2021 the City Council of the City of Lodi approved
appropriations for HEAP grant interest of $71,312 and the first year PLHA grant award of
$336,265 to be allocated to the HEAP CIP (HEAP-21001.Contracts) in support of the Harmony
Homes project and reduced appropriations by $336,265 in the Emergency Shelter CIP (PLHA-
21001.Contracts); and
WHEREAS, the HEAP CIP was scheduled to sunset June 30, 2021, at the end of Fiscal
Year 2020-2021 and not roll forward to the 2021-2022 Fiscal Year and was not included in the
Fiscal Year 2022 budget. With the addition of PLHA grant funds, the HEAP CIP project will need
to remain open for an additional fiscal year.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lodi does
hereby approve the roll forward of remaining revenue and appropriations at the end of Fiscal
Year 2020-2021 for the HEAP CIP (HEAP -20001) in support of the Harmony Homes project to
Fiscal Year 2021-2022.
Dated: July 21, 2021
I hereby certify that Resolution No. 2021-205 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held July 21, 2021, by the following vote:
AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and
Mayor Nakanishi
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
JENNIFE USMIR
City Clerk
2021-205