Item Description:
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Amd 1 to Agmt A2311964 with the City of Mpls for HUD Emergency Solutions Grant (ESG) funds for rapid rehousing services for homeless persons, incr by $80,536 (recv) for FY2022 grant funding and ext end date of FY2023 funding to 06/25/25
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Resolution:
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BE IT RESOLVED, that Amendment 1 to Joint Powers Agreement A2311964 with the City of Minneapolis for a sub grant from the U.S. Department of Housing and Urban Development for Emergency Solutions Grant funds for rapid rehousing services for persons experiencing homelessness, adding $80,536 of 2022 grant year funding for a new total receivable amount of $386,824, and extending the time of performance for 2023 funding to May 31, 2025 be approved; that the Chair of the Board be authorized to sign the agreement on behalf of the county; and that the Controller be authorized to disburse funds as directed; and
BE IT FURTHER RESOLVED, that sponsorship and acceptance of grant funding for this program by the Hennepin County Board of Commissioners does not imply a continuing funding commitment by Hennepin County for this program when grant funds are no longer available.
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Background:
The Housing and Urban Development’s (HUD) Emergency Solutions Grant (ESG) is a formula grant program. Eligible recipients generally consist of metropolitan cities, urban counties, territories, and states, as defined in 24 CFR 576.2. Metropolitan cities, urban counties and territories may subgrant ESG funds to private nonprofit organizations. All recipients must consult with the Continuum(s) of Care (CoC) operating within the jurisdiction in determining how to allocate ESG funds.
The City of Minneapolis receives approximately $949,746 in an annual ESG grant from HUD. The City’s Consolidated Plan allocates the grant to shelter rehabilitation and street outreach, to rapid rehousing and homeless prevention (RRH), and administration. Like Hennepin County, the City of Minneapolis prioritizes rapid rehousing over homeless prevention. Sub-granting the ESG funds dedicated to rapid rehousing from the City to the County will:
• Leverage the County’s expertise in social services, and
• Improve alignment with the County’s existing rapid rehousing contracted providers and service standards.
The City of Minneapolis sub-grants ESG funds in this manner in a 5-year Joint Powers Agreement (JPA) with Hennepin County (A2311964), which was originally approved on November 2, 2023 (Board Resolution: 23-0418).
Current request: This action amends the Joint Powers Agreement A2311964 with the City of Minneapolis to reflect a change of terms and the addition of $80,536 FY 2022 ESG funding for a new total receivable amount of $386,824 and to extend the period for FY 2023 funding expenses to 06/25/25
Hennepin County will use the ESG funds from the City for rapid rehousing assistance. Rapid rehousing services resettle people experiencing homelessness quickly to permanent housing through housing relocation and short-term and/or medium-term rental assistance. Funds will support housing for single adults, with referrals made through the Coordinated Entry System.
Organizations funded to provide services through this grant include:
• Agate Housing and Services (fka St. Stephen's Human Services)
• Vail Place
Impact/Outcomes: The following are the performance measures for 7/1/22 to 6/30/2023 for the Minneapolis ESG funded RRH programs, and as funded under the most recently expired JPA:
1. Percent of households that exited the program to permanent housing: 80%
2. Average number of days for households to move from homelessness into housing: 54 days
Actual results of measure #1for the period of 07/01/22 to 06/30/23: 58%
The results of 58% permanently housed is comparable to other singles RRH programs and reflects the fact that many households decline services or disappear before they can move into housing and become stabilized. Looking at the subset of those who move into housing (and across singles RRH funded by Hennepin County), 78% of people are permanently housed at exit.
Disparity Reduction: This request reduces disparities in the housing domain by funding assistance and services that quickly move people experiencing homelessness into permanent housing. In a typical year, 70-80% of households served in RRH are people of color. This level of representation is reflective of, and responsive to, the disproportionate impact of homelessness and housing instability on people of color in Hennepin County.
recommendation
Recommendation from County Administrator: Recommend Approval