REPORT TO THE CITY COUNCIL
FROM: JENNIFER CLARK, Director
Planning and Development Department
PHIL SKEI, Assistant Director
Planning and Development Department
BY: JILLIAN GAYTAN, Sr Management Analyst
Housing and Community Development Division
SUBJECT
Title
Actions pertaining to homeless services agreements provided under the Homeless Housing, Assistance, and Prevention (HHAP) program:
1. Approve a First Amendment to the Agreement with Elevate Community Services (Elevate) to extend the Term to operate the Ambassador Inn as a low-barrier emergency homeless shelter and increase funding by $789,531.75 for a total award amount of $1,619,520.25.
2. Approve a First Amendment to the Agreement with Elevate Community Services (Elevate) to extend the Term to operate the Villa Motel as a low-barrier emergency homeless shelter and increase funding by $789,531.75 for a total amount of $1,668,959.75.
Body
RECOMMENDATION
Staff recommends the City Council approve the amendments to the HHAP agreements with Elevate and authorize the City Manager to sign all implementing agreements.
EXECUTIVE SUMMARY
The City of Fresno (City) entered into Homeless Housing, Assistance, and Prevention (HHAP) agreements with Elevate to operate low-barrier emergency homeless shelters at the Ambassador Inn and Villa Motel through August 31, 2022. In order to continue the homeless shelter operations being provided under these agreements, staff recommends utilizing HHAP funds to increase funding and extend the agreements with Elevate for shelter operations beginning September 1, 2022, through March 31, 2023.
BACKGROUND
On March 24, 2022, City Council approved HHAP agreements with Elevate to operate Ambassador Inn and Villa Motel as temporary low-barrier emergency homeless shelters through August 31, 2022, in the amount of $1.7 million. The two locations provide the City an additional 107 rooms needed to provide shelter and related services including, but not limited to, site security services, food and beverage services, and homeless counseling services.
In order to continue shelter operations, staff recommends the continued use of available HHAP funds to extend the Agreements with Elevate. Elevate and its affiliates currently manage nearly 700 beds across multiple sites, and their vast experience ranges from recovery programs to homeless shelters to rapid rehousing sites. This experience, in addition to their current operation of the City’s Travel Inn, Villa Motel, and Ambassador Inn make them one of only two local agencies qualified to fulfill this agreement.
Further, it is anticipated that the Villa Motel will undergo rehabilitation later this year as part of Project Homekey, requiring temporary relocation of the residents at Villa. Of the two local homeless shelter operators with the most experience, Elevate’s experience as participants in the State of California's Homekey program and robust knowledge of Federal Uniform Relocation Assistance requirements make them the most qualified to fulfill the requirements of this agreement. The proposed amendments add additional HHAP funding in the amount of $1,579,063.50 to extend the terms of each agreement through March 31, 2023, to continue operations of the two motels as temporary, low-barrier emergency homeless shelters.
On October 13, 2021, the City Council approved submission of the Standard Agreement to Apply for HHAP-3 making it eligible to receive 20% of its total allocation. On June 16, 2022, the City Council approved submission of the HHAP joint service plan and local homeless action plan to the state. By submitting the plans, the City will receive the balance of the HHAP-3 funding. Once the City receives the remaining $6 million in HHAP 3 funds, staff plans to bring forward future amendments to increase funding and extend the term of each agreement to continue shelter operations to meet the commitments made in the City’s Homekey applications for the Ambassador Inn and Villa Motel.
ENVIRONMENTAL FINDINGS
This item is not a project as defined by the California Environmental Quality Act.
LOCAL PREFERENCE
Local preference is not applicable because of the use of state funds.
FISCAL IMPACT
The agreements will be funded through the City’s HHAP allocations.
Attachments:
1. First Amendment to the Agreement with Elevate Community Services - Ambassador Inn
2. First Amendment to the Agreement with Elevate Community Services - Villa Motel