Bill 200329-A

..Title Approving a Substantial Amendment to the Annual Action Plan 2019-2020 to add $40,410,779 in Federal Coronavirus Aid, Relief and Economic Security Act (CARES) funding, all under certain terms and conditions. ..Body WHEREAS, In accordance with the approval of City Council in Bill No. 190441 (approved June 26, 2019), the City has filed applications for various forms of United States Department of Housing and Urban Development ("HUD") funding, as set forth in the City's Annual Action Plan 2019-2020; and WHEREAS, The CARES Act included supplemental formula allocations to the United States Department of Housing and Urban Development (HUD) Community Planning and Development (CPD) programs. A total of $26,257,809 in CDBG-CV, $12,976,572 in ESG-CV, and $1,059,147 in HOPWA-CV funding was allocated to the City of Philadelphia. In addition, HUD awarded $117,251 in HOPWA-CV funding to the City for Bensalem Township, which the City manages for HUD under a separate grant agreement; and WHEREAS, The City has prepared a Substantial Amendment to the Annual Action Plan 2019-2020 (attached hereto as Exhibit "A), now, therefore THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS: SECTION 1. The City's Substantial Amendment to the Annual Action Plan 2019-2020 attached hereto as Exhibit "A," is hereby approved. Exhibit A City of Philadelphia Substantial Amendment to the Annual Action Plan - City Fiscal Year 2020 HUD Program Year 2019 CARES Act Allocation - CDBG, ESG, and HOPWA BACKGROUND On March 27, 2020 the Federal Coronavirus Aid, Relief and Economic Security Act (CARES) was signed into law to assist communities in their efforts to prevent, prepare for and respond to the coronavirus COVID19. The CARES Act included supplemental formula allocations to the United States Department of Housing and Urban Development (HUD) Community Planning and Development (CPD) programs. A total of $26,257,809 in CDBG-CV, $12,976,572 in ESG-CV, and $1,059,147 in HOPWA-CV funding was allocated to the City of Philadelphia. In addition, HUD awarded $117,251 in HOPWA-CV funding to the City for Bensalem Township, which the City manages for HUD under a separate grant agreement. In accordance with the City's Citizen Participation Plan, a substantial amendment to the City's FY 20 Annual Action Plan is required. In response to COVID-19 and the urgency of need, HUD issued waivers for the substantial amendment process that reduce the public comment period to not less than 5 days, allow for virtual public hearings when necessary for public health reasons, and provide for reasonable notice to provide opportunity for public comment. The City notified HUD of its intent to utilize these waivers and amended its Citizen Participation Plan to incorporate these changes. In addition, the City must provide notice of the Proposed Substantial Amendment to individuals and organizations on DHCD's electronic mailing list, public notice of the proposed amendment in a newspaper of general circulation, and guidance as to where it may be reviewed and how comments on the proposed change may be submitted. City Council will hold a public hearing to allow for additional resident participation prior to Council consideration of the Proposed Substantial Amendment. Notification by City Council will be in the "Legal Notices" section of various newspapers. The proposed programs outlined in this amendment and detailed below are designed to continue and implement programs to respond to increased housing, economic and community development needs due to job loss and local funding reductions as a result of COVID-19. The City and its grantees will comply with all HUD CARES Act programmatic regulations and special conditions. PROPOSED AMENDMENT 1. CDBG-CV Budget Allocation - $26,257,809 PROGRAM AMOUNT Basic Systems Repair Program (BSRP) - roof, electrical, plumbing and structural repairs 3,758,000 Targeted BSRP - leverage home repair services to Habitat for Humanity/Rebuilding Together Philadelphia 500,000 Housing Counseling & Legal Services - prevent eviction & foreclosure 2,800,000 Emergency Mortgage Assistance - one-time payment to lender for work-out agreement 1,000,000 Emergency Rental Assistance - payment to landlords to cover 3 months of rent 11,500,000 Vacancy Prevention - VIP provide services & funds to resolve tangled-title issues 500,000 Utility Emergency Services Fund - assists residents w/ utility arrears 1,570,000 Technical Assistance to Small Businesses - TA to strengthen minority/small business 500,000 Neighborhood Development Fund - assist neighborhood business to reopen/retool 1,140,000 Targeted Corridor Management Program- CBOs increase outreach/assistance to businesses 510,000 Neighborhood Advisory Committees - increase outreach to connect residents to programs 313,809 Administration PHDC 1,750,000 DHCD 250,000 Commerce 166,000 TOTAL $26,257,809 2. ESG-CV Budget Allocation - $12,976,572 PROGRAM AMOUNT Emergency Shelter 9,026,145 Rapid Rehousing - focus on moving people in emergency housing programs into permanent stable housing. Assist up to 24 months over any three-year period. 505,000 Homelessness Prevention - target people "imminently at risk" of becoming homeless. Assist once in a 12-month period 2,176,416 Administration 1,269,011 TOTAL $12,976,572 3. HOPWA-CV Budget Allocation (Philadelphia) - $1,059,147 HOPWA-CV Budget Allocation (Bensalem Township) - $117,251 PROGRAM - Philadelphia & Bensalem AMOUNT Short Term Rental, Mortgage and Utility Assistance 499,251 Tenant Based Rental Assistance 516,050 Sponsor Administration 90,550 DHDC Administration 70,547 TOTAL $1,176,398 PUBLIC COMMENT The deadline for comments is June 5, 2020. Comments should be directed to Mark Dodds by email at Mark.Dodds@phila.gov or via U.S. mail at Division of Housing and Community Development 1234 Market St. 17th Floor Philadelphia, PA 19107. If City Council adopts the amendment in the form of a resolution as submitted, the amendment will be adopted after the hearing without further notification. If the hearing results in a revision that is ultimately adopted by City Council, the City will publish notification of the availability of the revised amendment in a newspaper of general circulation. The finalized notice may be obtained by contacting DHCD. AP-35 PROJECT TABLE in PY 2019 Annual Action Plan - CV Project additions in red 1 Neighborhood-Based Rental Production 2 Homeless and Special Needs Housing Production 3 Homeowner Settlement Assistance 4 Housing Counseling and Foreclosure Prevention 5 Tenant Landlord Counseling and Eviction Prevention 6 Vacancy Prevention Activities 7 Basic Systems Repair Program /Targeted 8 Neighborhood-Based Rental Housing Preservation 9 Emergency Solutions Grant (ESG) 10 Rental Assistance/Homeless 11 Homeless Prevention Program 12 Utility Emergency Services Fund (UESF) 13 Adaptive Modifications Program (AMP) 14 Energy Coordinating Agency 15 Neighborhood Services 16 Community Design Collaborative 17 Philadelphia Association of CDCs (PACDC) 18 Earned Income Tax Credit 19 Business Loan Program 20 Section 108 Loan Program (PIDC) 21 Technical Assistance to Micro Businesses 22 Storefront Improvement Program and Target Block Fa�ades 23 Targeted Neighborhood Business Attraction & Expansion 24 PIDC Neighborhood Development Fund 25 Neighborhood Development Grants 26 Targeted Corridor Revitalization Management Program (TCMP) 27 Public Services for Commercial Corridors 28 Capacity Building for CDCs 29 YouthBuild Philadelphia 30 Pennsylvania Horticultural Society (PHS) 31 Pennsylvania Horticultural Society (PHS) 32 ActionAIDS-TBRA 33 ActionAIDS/Pathways 34 Catholic Social Services 35 Congreso de Latinos Unidos 36 Delaware County Department of Human Services 37 Gaudenzia, Inc. 38 Mazzoni Center 39 PCRC/TURN 40 PHMC DEFA 41 CV-Housing Counseling and Foreclosure/Eviction Prevention 42 CV-Vacancy Prevention Activities 43 CV-Basic Systems Repair Program (BSRP) and Targeted BSRP 44 CV- Emergency Solutions Grant (ESG) 45 CV- Utility Emergency Services Fund (UESF) 46 CV- Mortgage/Rental Assistance 47 CV-Neighborhood Services 48 CV-Technical Assistance to Small Businesses 49 CV-Neighborhood Development Fund 50 CV- Targeted Corridor 51 CV- Delaware County Department of Human Services 52 CV-Mazzoni Center 53 CV-PHMC DEFA AP-38 - PROJECT SUMMARY - CV Project Additions 41 Project Name CV-Housing Counseling and Foreclosure/Eviction Prevention Target Area Philadelphia Goals Supported AFH: Preserve Affordable Homeowner Housing (15-17, 33) Needs Addressed AFH Factor: Lack of Access to Housing and Services Funding CDBG-CV: $2,800,000 Description To meet increased need due to COVID-19 the City will support housing counseling and legal services agencies to provide tenant, mortgage default and delinquency, foreclosure and eviction prevention counseling. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 2,500 very low-, low- to moderate-income households. Location Description Citywide Planned Activities To meet increased need due to COVID-19 support housing counseling and legal services agencies to provide eviction and foreclosure prevention counseling, to increase housing stability. 42 Project Name CV- Vacancy Prevention Activities Target Area Philadelphia Goals Supported AFH: Preserve Affordable Homeowner Housing (15-17, 33) Needs Addressed AFH Factor: Lack Access to Housing and Services Funding CDBG-CV- $500,000 Description To meet increased need due to COVID-19 Philadelphia VIP will provide legal services to assist low-income homeowners resolve tangle title issues to enable them to remain in their housing. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 200 very low-, low- to moderate-income households. Location Description Citywide Planned Activities Philadelphia VIP will provide legal services and funds to assist low-income homeowners resolve tangle title issues. 43 Project Name CV-Basic Systems Repair Program/Targeted Target Area Philadelphia Goals Supported AFH: Preserve Affordable Homeowner Housing (15-17, 33) Needs Addressed AFH Factor: Age/Condition Housing Stock Funding CDBG-CV: $3,758,000 (BSRP) $500,000 (Targeted) Description Support roof, electrical, plumbing and structural repairs to enable low-income-homeowners to remain in their homes. Increased need as a result of COVID-19. The average cost of repairs is $10,000. Also provide leveraged repair services in targeted blocks of the City. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 420 Housing Units occupied by very low-, and low- income households. Location Description Citywide Planned Activities Home improvement repairs to enable low-income residents in their homes. Provide leveraged service to Habitat for Humanity and Rebuilding Together in targeted areas. 44 Project Name CV-Emergency Solutions Grant (ESG) Target Area Philadelphia Goals Supported Homeless and Special-Needs Housing and Services (23) Needs Addressed Shortage of Homeless and Special-Needs Housing Funding ESG-CV:$12,976,572 Description To meet increased need due to COVID-19, ESG-CV will be used to support emergency shelter operations, housing relocation and stabilization services for both homelessness prevention and Rapid Re-housing purposes, and HMIS data collection. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 2,200 very low-to moderate-income households will benefit. Location Description Citywide Planned Activities To meet increased need due to COVID-19, ESG-CV will be used to support emergency shelter operations, housing relocation and stabilization services for both homelessness prevention and Rapid Re-housing purposes and HMIS data collection. 45 Project Name CV-Utility Emergency Services Fund (UESF) Target Area Philadelphia Goals Supported Homeless and Special-Needs Housing and Services (23) Needs Addressed AFH Factor: Lack of Access to Housing and Services Funding CDBG-CV: $1,570,000 Description To meet increased need due to COVID-19, th City will provide emergency grants to assist low- income families through UESF. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 2,700 very low-, low- to moderate-income households will benefit. Location Description Citywide Planned Activities To meet increased need due to COVID-19 the City will provide emergency grants to assist low- income families through UESF. 46 Project Name CV-Mortgage/Rental Assistance Target Area Philadelphia Goals Supported AFH: Preserve Affordable Rental Housing Units(4) Needs Addressed AFH Factor: Displacement Due to Economic Pressures Funding CV-CDBG: $11,500,000 Description Rental and mortgage assistance to increase housing stability and enable persons to remain in their homes for those who experiencing economic hardship due to COVID-19. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 4,400 very low- and , low- income households will benefit. Location Description Citywide Planned Activities Rental and mortgage assistance will be provided to help persons or families remain in their homes for those who have experienced housing instability due to COVID-19 47 Project Name CV-Neighborhood Services Target Area Philadelphia Goals Supported Foster Open Access to All Housing and Community Resources Needs Addressed AFH Factor: Lack Access to Housing and Services Funding CV-CDBG: Description To meet increased need due to COVID-19, the City will fund the Neighborhood Advisory Committees (NAC) to provide referral services to ensure residents are connected to programs. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 550,000 persons living in very low-, low- to moderate- income neighborhoods will benefit. Location Description Citywide Planned Activities The City will fund the Neighborhood Advisory Committees (NACs) to increase outreach and provide referral services to connect low-income residents to programs. 48 Project Name CV-Technical Assistance to Small Businesses Target Area Philadelphia Goals Supported AFH: Expand Education, Economic and Self-Sufficiency (43, 44) Needs Addressed AFH Factor: Lack of Access to Opportunity Funding CV-CDBG: $500,000 Description The City to assist small and minority businesses with tax prep and financial management practices to enable them to reopen safely and profitably during and after the COVID-19 crisis. TA providers include the Welcoming Center, the Enterprise Center and Finatna.. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 50 businesses that provide goods and/or services in low- to moderate-income neighborhoods will benefit. Location Description Citywide Planned Activities The City to assist small and minority businesses with tax prep and financial management practices to enable them to reopen safely and profitably during and after the COVID-19 crisis. TA providers include the Welcoming Center, the Enterprise Center and Finanta. 49 Project Name CV-Neighborhood Development Fund Target Area Philadelphia Goals Supported AFH: Expand Education, Economic & Self-Sufficiency (43, 44) Needs Addressed AFH Factor: Lack of Access to Opportunity Funding CDBG-CV: $1,140,000 Description The City will provide financial assistance to nonprofit businesses, CDC development projects and neighborhood commercial corridor businesses to assist with re-opening & reconfiguration of business during & after the COVID-19 crisis. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 100,000 people living in very low-, low- to moderate- income areas will benefit. Location Description Citywide Planned Activities The City will provide financial assistance to nonprofit businesses, CDC development projects and neighborhood commercial corridor businesses to assist with re-opening & reconfiguration of business during & after the COVID-19 crisis 50 Project Name Targeted Corridor Revitalization Management Program (TCMP) Target Area Philadelphia Goals Supported AFH: Expand Education, Economic and Self-Sufficiency (43, 44) Needs Addressed AFH Factor: Lack of Access to Opportunity Funding CDBG-CV: $510,000 Description The City to support Corridor Manager training and updated technology and to enable them to increase outreach and assistance to neighborhood corridor businesses during and after the COVID-19 crisis, These activities will be carried out primarily by Community-Based Development Organizations (CBDOs). Target Date 6/30/2022 Estimate the number and type of families that will benefit from the proposed activities 550,000 persons living in very low-, low- to moderate- income neighborhoods will benefit. Location Description Citywide Planned Activities The City will support CBDOs to increase assistance to neighborhood corridor business to meet increased needs due to COVID-19. 51 Project Name CV-Delaware County Department of Human Services Target Area Philadelphia Goals Supported Homeless & Special Needs Housing & Services (23) Needs Addressed Shortage of Homeless and Special Needs Housing Funding HOPWA-CV: $56,100 Description To meet increased needs due to COVID-19, this project will provide TBRA, Housing Information, Permanent Housing Placement, and administration costs for and individuals and families with a member living with AIDS. All COVID-19 waivers will be included in program guidelines. Target Date 6/30/2021 Estimate the number and type of families that will benefit from the proposed activities 4 very low- to moderate-income families with a member living with AIDS will benefit from this TBRA support. Location Description Delaware County, PA, as part of the Philadelphia HOPWA EMA. Planned Activities 4 very low- to moderate-income families with a member living with AIDS will benefit from this TBRA support. 52 Project Name CV-Mazzoni Center Target Area Philadelphia Goals Supported Homeless & Special Needs Housing & Services (23) Needs Addressed Shortage of Homeless and Special Needs Housing Funding HOPWA-CV: $509,500 Description To meet increased needs due to COVID-19, this project will provide tenant-based rental assistance, housing information, permanent housing placement and administration for individuals and/or families with a member living with AIDS. All COVID-19 waivers will be included in program guidelines. Target Date 06/30/2021 Estimate the number and type of families that will benefit from the proposed activities 44 very low- to moderate-income individuals or families with a member living with AIDS will benefit from this project. Location Description Citywide Planned Activities 44 very low- to moderate-income families with a member living with AIDS will benefit from this TBRA support. 53 Project Name CV-PHMC DEFA Target Area Philadelphia Goals Supported Homeless & Special Needs Housing & Services (23) Needs Addressed Shortage of Homeless and Special Needs Housing Funding HOPWA-CV $440,000 - Philadelphia HOPWA-CV: $110,251 - Bensalem Description Due to increased needs due to COVID-19, this project will fund STRMU Payments and Permanent Housing Placement for individuals or families with a member living with AIDS. All COVID-19 waivers will be included in program guidelines Target Date 06/30/2021 Estimate the number and type of families that will benefit from the proposed activities 250 very low- to moderate-income individuals and/or families with a member living with AIDS will benefit. Location Description Citywide. Planned Activities STRMU Payments and Permanent Housing Placement for individuals or families with a member living with AIDS. Addendum to Exhibit A City of Philadelphia Substantial Amendment to the Annual Action Plan - City Fiscal Year 2020 HUD Program Year 2019 CARES Act - Second Allocation ESG BACKGROUND On March 27, 2020 the Federal Coronavirus Aid, Relief and Economic Security Act (CARES) was signed into law to assist communities in their efforts to prevent, prepare for and respond to the coronavirus COVID19. The CARES Act included supplemental formula allocations to the United States Department of Housing and Urban Development (HUD) Community Planning and Development (CPD) programs. A second allocation of $22,293,192 in ESG-CV was allocated to the City of Philadelphia. In accordance with the City's Citizen Participation Plan, a substantial amendment to the City's FY 20 Annual Action Plan is required. In response to COVID-19 and the urgency of need, HUD issued guidance that ESG recipients have the immediate ability to omit the citizen participation and consultation requirements for substantial amendments and new consolidated plan submissions for ESG-CV funding. The City will meet the HUD requirement to publish how it will use this allocation on its website - ?https://www.phila.gov/documents/five-year-consolidated-plan-annual-action-plans-and-reports/. The proposed activities and budget are detailed below. PROPOSED AMENDMENT The City, through the Office of Homeless Services, plans to meet new and emergent needs for people experiencing or at imminent risk of homelessness in the wake of the COVID pandemic. The anticipated service suite to be provided includes homeless outreach to those who are unsheltered, emergency and temporary housing, homelessness prevention and rapid rehousing with a special focus on those who are at greater risk of serious illness if they contract COVID. OHS is also exploring the establishment of tiny home villages and other alternative temporary housing options that enable people to both have community and personal space to protect themselves from contracting or spreading the virus. OHS will also focus on addressing the unique needs of people with limited English proficiency, refugees, immigrant and underserved communities who may be living in unsafe conditions. ESG-CV Second Budget Allocation - $22,293,192 PROGRAM AMOUNT Outreach 2,229,319 Emergency/ Temporary Housing including potentially tiny houses 8,917,277 Rapid Rehousing - focus on moving people in emergency housing programs into permanent stable housing. Assist up to 24 months over any three-year period. 6,687,958 Homelessness Prevention - financial assistance to people imminently at risk of becoming homeless. 2,229,319 Administration 2,229,319 TOTAL $22,293,192 ..End