REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning and Development Department
PHILIP SKEI, Assistant Director
Planning and Development Department
BY: JENNIFER DAVIS, Senior Management Analyst
Housing Finance Division
SUBJECT
Title
Actions pertaining to a State and Local Fiscal Recovery Funds Grant Agreement between the City of Fresno and Fresno Rescue Mission, Inc. and Fresno City Center, Inc. for the development of a new Transitional Age Youth shelter facility (Council District 4):
1. Adopt a Categorical Exemption per staff determination pursuant to Section 15332/Class 32 of the California Environmental Quality Act (CEQA) Guidelines
2. Approve a State and Local Fiscal Recovery Funds (Part of the American Rescue Plan Act) Grant Agreement with Fresno Rescue Mission, Inc. and Fresno City Center, Inc., in the amount of $1,500,000.00 for the development of a new shelter facility for Transitional Age Youth
Body
RECOMMENDATION
Staff recommends City Council adopt a Categorical Exemption pursuant to Section 15332/Class 32 (Infill Development) of the California Environmental Quality Act (CEQA) Guidelines, and approve a State and Local Fiscal Recovery Funds (Part of the American Rescue Plan Act) Grant Agreement with Fresno Rescue Mission, Inc. and Fresno City Center, Inc. (Developer), in the amount of $1,500,000.00 for the development of a new shelter facility for Transitional Age Youth (TAY).
EXECUTIVE SUMMARY
The City proposes to allocate $1,500,000.00 from its State and Local Fiscal Recovery Funds (SLFRF), received through the U.S. Department of Treasury under the American Rescue Plan Act (Pub.L.117-2), for the development of a new shelter facility that will serve Transitional Age Youth (TAY), ages 18 to 24 years, who are experiencing or at-risk of homelessness.
In response to the City’s Housing Finance Division Notice of Funding Availability (NOFA), Fresno Rescue Mission, Inc. and Fresno City Center Inc. (Developer) submitted an application for the Fresno Mission Youth Center located at 2111 East Dakota Avenue, Fresno, California (APN 436-270-15). The proposal was selected for funding by a scoring committee, and recommends for approval the SLFRF Grant Agreement which will support the construction of this new shelter facility. This project aims to reduce homelessness among vulnerable youth by providing safe housing and wraparound services.
BACKGROUND
The City has received State and Local Fiscal Recovery Funds (SLFRF) from the U.S. Department of Treasury under the American Rescue Plan Act (Pub.L.117-2) (the Act). The City has elected to use a portion of the allocation to support the COVID-19 Public Health and Economic Response to address impact on households and communities by using funds to reduce homelessness through emergency housing assistance, including temporary residences for people experiencing homelessness, which is an eligible use of funds under the Act.
On October 28, 2024, the City’s Housing Finance Division released a Notice of Funding Availability (NOFA) to solicit proposals for the development of a new Transitional Age Youth (TAY) shelter facility. In response, the City received several applications and convened a selection committee comprised of representatives from the City’s Homeless Services, Housing Finance, and Housing Production divisions to evaluate the proposals. After review, the committee recommended funding the Fresno Rescue Mission proposal for the development of the Fresno Missing Youth Center. The center will be located at 2111 East Dakota Avenue, Fresno, California (APN 436-270-15), on Developer-own property. The total estimated cost of the project is $13,650,000.00, and funding sources include private loans and donations, SLFRF funds, and New Market Tax Credits. The City’s contribution of $1,500,000 will support development and construction cost.
The project is expected to begin construction in June 2025, with completion scheduled for June 2026. Once completed, the Fresno Mission Youth Center will assist the City with meeting key goals outlined in the City’s Housing Element of the 2035 General Plan, the 2020-2024 Consolidated Plan, and the “One Fresno Housing Strategy”, by providing transitional housing and support services for young adult at risk of homelessness. The project will focus on housing stability and offer services such as case management, job training and life skill development, with priority given to youth who are currently or were previously in the foster care or probation system.
The City Attorney’s Office has reviewed and approved as to form the attached SLFRF Grant Agreement.
ENVIRONMENTAL FINDINGS
Staff has determined that this project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) Guidelines pursuant to Section 15332/Class 32 (Infill Development), meeting the following conditions:
a) The project is consistent with applicable general plan designation and applicable zoning designation and regulations.
b) The project occurs within city limits on a project site of no more than five acres substantially surrounded by urban uses.
c) The project has no value as habitat for endangered, rare or threatened species.
d) Approval of the project would not result in any significant effects relating to traffic, noise, air quality, or water quality.
Furthermore, staff has determined that none of the exceptions to Categorical Exemptions set forth in the CEQA Guidelines, Section 15300.2 apply to this project.
LOCAL PREFERENCE
Local preference was not considered because this action today does not include a bid or award of a construction or services contract.
FISCAL IMPACT
This project is located in City Council District 4 and will not impact the City’s General Fund. The $1,500,000 in State and Local Fiscal Recovery Funds for the agreement was appropriated to the Planning and Development Department as part of its FY23/24 Budget.
Attachments:
Categorical Exemption Environmental Assessment for TAY Shelter Development
SLFRF Grant Agreement Transitional Age Youth Shelter