Item Description:
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Agmt A2311964 with the City of Minneapolis to accept HUD Emergency Solutions Grant funds for rapid rehousing services for homeless persons, 06/01/23-05/31/28 (recv $306,288 FY2023)
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Resolution:
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BE IT RESOLVED, that Agreement A2311964 with the City of Minneapolis accepting 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, during the period June 1, 2023 through May 31, 2028, in the 2023 grant year receivable amount of $306,288 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 continued 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. 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, rapid rehousing and homeless prevention, 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 has sub-granted ESG funds in this manner since July 2017 via a Joint Powers Agreement (JPA) with Hennepin County (A177584), and which added funds annually via amendment. That JPA was originally approved on August 8, 2017 (Board Resolution 17-0282) and the final amendment to it was approved on October 11, 2022 (Board Resolution 22-0396). It has reached the maximum number of annual amendments allowed. A new, 5-year JPA is needed to sustain the partnership, and the reason that this board action is requested.
The first year of funding under the new JPA is accepted with this resolution. Additional years of funding will be added by amendment and based on future HUD allocations.
Current request: This action approves the Joint Powers Agreement with the City of Minneapolis (Agreement A2311964) and accepts the first year of funding for $306,288
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 07/01/22 through 06/30/23 for the Minneapolis ESG funded Rapid ReHousing 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 #1 for the period of 07/01/22 through 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 and who are disparately impacted by homelessness and housing instability.
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Recommendation from County Administrator: Recommend Approval