REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning & Development Department
BY: PHIL SKEI, Assistant Director
Planning and Development Department
SUBJECT
Title
***RESOLUTION - Authorizing and directing a grant application to the California Interagency Council on Homelessness (Cal ICH) for funding under the Encampment Resolution Funding Program, round 3, third disbursement (ERF-3-R) for actionable, person-centered local proposals that resolve the experience of unsheltered homelessness for people residing in encampments, and authorizing the City Manager to sign all required application documents. (Subject to Mayor’s Veto)
Body
RECOMMENDATION
Staff recommends the City Council approve submission of ERF-3-R application to Cal ICH in order to provide support and services to unsheltered individuals within the Downtown and Highway 41 encampment area.
EXECUTIVE SUMMARY
The City of Fresno (City) is eligible for ERF-3-R funding to provide encampment resolution services to a Highway 41 encampment area bounded by Barstow and Shields, Blackstone and Highway 41, and enhance services for the existing Downtown encampment area currently supported with Encampment Resolution Funding Program (ERF-2), which has built capacity to provide services that are relevant and responsive to the needs of individuals experiencing homelessness. The City intends to apply for ERF-3-R grant funds to support one or more eligible activities in an amount not to exceed $10 million. Cal ICH requires all eligible applicants to submit an application for funding no later than January 31, 2024 for Application Window #1 consideration. Applications are accepted on a rolling basis until June 30, 2024 or until funds are exhausted, whichever is sooner.
The City’s application will include a Street Outreach team to go into both encampment areas and provide services to the unhoused community. The Street Outreach team will consist of six Outreach/Street Navigators, one Licensed Clinician, one Licensed Social Worker, and one Certified Alcohol and Other Drug (AOD) counselor. The City will utilize 30 Emergency Shelter beds to serve individuals in the Highway 41 encampment area and 65 Emergency Shelter beds to serve individuals in either encampment area. The City will also fund 100 Room and Board vouchers to assist with transitioning individuals out of Emergency Shelters and into permanent housing.
This additional capacity represents an innovative approach to address chronic homelessness within the City of Fresno.
These services will help individuals exit homelessness and assist with linkage to services provided by the Fresno County Department of Behavioral Health and Department of Social Services.
BACKGROUND
Cal ICH has issued a Notice of Funding Availability (NOFA) on November 27, 2023, for ERF-3-R funding. The Encampment Resolution Funding (ERF) Program was initially authorized in 2021 through Assembly Bill (AB) 140 (Chapter 111, Statutes of 2021), which allocated $50 million for what would become the first round of funding. SB 197 (Chapter 70, Statutes of 2022) amended the program and AB 178 (Chapter 45, Statues of 2022) allocated an additional $300 million for Round 2 of ERF funding. Senate Bill 197 (Chapter 70, Statutes of 2022) authorized ERF-3-R, which allocated $400 million for a third round of funding. The $400 million for this third round was appropriated by SB 101 (Chapter 12, Statue of 2023)
Cal ICH has indicated that when determining grant awards, funding shall be prioritized for:
• Local Jurisdictions with proposals that address encampments on state right-of-ways and that meet priority criteria established by Cal ICH in consultation with the Department of Transportation.
• Jurisdictions that can demonstrate a commitment to cross-systems collaborations with state and federal entities, and innovative efforts to resolve encampment issues, while focusing on protecting the health and well-being of the individuals living in those encampments.
• Awarding grants that, to the extent feasible, reflect a range of applicants that represent the diversity of communities across the state, including rural, urban, and suburban communities.
The ERF-3-R grant will fund projects that build capacity to provide services that are relevant and responsive to the needs of individuals experiencing homelessness in encampments. The project activities will support new innovative methods to address homelessness and enhance cross-systems collaboration to support services strategies to help individuals experiencing homelessness transition out of the encampments and onto pathways towards safe and stable housing. ERF-3-R grant funds may be used for the activities that advance the goal of the proposed project in any one of the following eligible activity categories:
• Rapid Rehousing
• Operating Subsidies
• Street Outreach
• System Support
• Delivery of Permanent Housing
• Prevention and Shelter Diversion
• Interim Sheltering
• Improvement to Existing Emergency Shelters
• Administration: Up to 5% of grant funds may be applied to administrative costs.
As part of the application process, the City is required to complete a three-part questionnaire style application which includes the following:
1. Part 1: Administrative Information
2. Part 2: Proposal Overview
a. Proposal Summary
b. People Served
c. Encampment information
d. Proposal Outcomes
e. Centering People
3. Part 3: Implementation
a. Core Service Delivery and Housing strategies
b. Budget and Resource Plan
c. Key Entities and Staff
d. Accelerated Timeline
Additionally, letters of intent from at least two different partners, in addition to CalTrans, demonstrating support and collaboration on the encampment resolution strategy are required for the City’s application. If selected, Staff will return to Council with a request to accept and appropriate the ERF funding awarded to the City.
ENVIRONMENTAL FINDINGS
A resolution applying for grant funding is not a project for the purposes of the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference was not implemented because of state funding.
FISCAL IMPACT
This resolution will have no impact on the General Fund.
Attachment:
Encampment Resolution Fund Program Resolution-ERF-3
ERF-Round 3 NOFA