TO: Mayor and Members of City Council
THRU: Kelly Olivera, Assistant City Manager
FROM: Christopher Cauley, MPA - Economic & Community Development Director
Birgit Sexton, Assistant Budget and Evaluation Director
DATE: November 14, 2022
RE:
Title
Adoption of Special Revenue Fund Project Ordinance Amendment 2023-3 to Appropriate an Emergency Rental Assistance Grant Awarded by the U.S. Department of the Treasury and Authorization of Subrecipient Agreements
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
GOAL IV: The City of Fayetteville will be a highly desirable place to live, work and recreate.
4.6: To reduce poverty and homelessness
Executive Summary:
Council is asked to adopt Special Revenue Fund Project Ordinance Amendment (SROA) 2023-3 to appropriate a $273,284 grant from the U.S. Department of the Treasury to fund Emergency Rental Assistance payments for those impacted by COVID19. Council is also asked to approve staff proposals to partner with Fayetteville Urban Ministry and Connections of Cumberland County to administer the programs.
Background:
On December 27, 2020 Congress passed the Consolidated Appropriations Act and on January 6, 2021 the City was notified that it would receive a direct award of an unspecified amount, contingent upon applying for the award by January 12, 2021. The City applied for and received $6,383,863.50 by the deadline and Department of Treasury deposited the funds on January 20, 2021. In January of 2022 the City requested additional funding for this program as it had exhausted all awarded funding. Treasury has now awarded an additional $273,284 in funding for rent and utilities.
Issues/Analysis:
Funds will need to be obligated to eligible households by the end of the year. The grant allows for 10% of the funding for administration and another 10% for housing stability and the remaining 80% is required to be direct assistance. Fayetteville Urban Ministry and Connections of Cumberland County will utilize pre-existing waitlists for rent and utility assistance and expedite reviews to fully expend funds by the deadline. Staff will evaluate and amend their contracts based on how quickly or slowly they spend each allotment.
Budget Impact:
There is no impact to the General Fund as no local match is required.
Options:
1. Adopt SROA 2023-3 as presented and authorize the execution of subrecipient agreements to administer the program.
2. Adopt SROA 2023-3 as presented to appropriate the grant and schedule further discussion of proposed program and contract for services.
3. Do not adopt SROA 2023-3 and provide further direction to staff regarding acceptance of the grant.
Recommended Action:
Staff recommends that Council move to adopt Special Revenue Fund Project Ordinance Amendment 2023-3 as presented and authorize the execution of subrecipient agreements to administer the program.
Attachments:
• Special Revenue Fund Project Ordinance Amendment 2023-3