Agenda Item Name:
Title
U.S. Dept. of Treasury Emergency Rental Assistance 2 (ERA2) Program Reallocated Funds Round 1 and ERA1 Reallocated Funds Round 4 Awarded
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Presenter:
Claudia Tuck 352-264-6704
Description:
Emergency Rental Assistance 2 (ERA2) Program Reallocated Funds Round 1 Award proposed spending plan for ERA2 and contract agreement with Carr, Riggs, and Ingram. Unanticipated Revenue for ERA1 reallocation award 4 in the amount of $99,907.04 and the contract agreement Carr, Riggs, and Ingram.
Recommended Action:
Recommended Action
Accept the ERA2 Spending Plan, approve resolution and budget amendment to reflect the spending plan, approve agreement with Carr, Riggs and Ingram (CRI) and approve opening up to new applicants. Accept the ERA1 Reallocated Funds-Round 4 award and the unanticipated revenue for ERA1, approve budget resolution and attached budget amendment for award, the contract agreement Carr, Riggs, and Ingram.
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Prior Board Motions:
ERA2
6/22/2021 - 21-0474 Accepted U.S. Treasury Award of ERA2 funds
10/25/2022 - 23-0052 Accepted Reallocation Round 1. Award and budget adjustment was accepted at 10/25/22 meeting for Fund 230.
ERA1
01/26/2021: Accepted U.S. Treasury Award of ERA Funds
02/23/2021: Approved agreement with CRI for Program Administration and provided policy direction
03/9/2021: Approved program policies
06/22/2021: Accepted U.S. Treasury Award of ERA2 Funds
09/28/2021: Approval of 2 FTE to support ERAP
2/8/2022: Accepted U.S. Treasury Awards of ERA1 Reallocated Funds
4/24/2022: $124,632.64-Refunds of prior year payments and $693,559.93 - ERA1 Reallocated Funds-Round 2 Award
8/9/2022: Accepted U.S. Treasury Award of ERA1 reallocated round 3 award, $1,810,240.80
Fiscal Consideration:
Fiscal Consideration
ERA2 Fund 230 - $4.23 million in budget is being moved into Affordable Housing on carryforward 11/08/2022
ERA1 Fund 154 - $99,908 reallocation round 4 award
Revenue-154.00.0060.331.2000 Project #6212901
Expense- 154.00.0060.525.XX.XX Various Accounts Project #6212901
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Background:
Even as the American economy continues its recovery from the devastating impact of the pandemic, millions of Americans face deep rental debt and fear evictions and the loss of basic housing security. COVID-19 has exacerbated an affordable housing crisis that predated the pandemic and that has exacerbated deep disparities that threaten the strength of an economic recovery that must work for everyone.
To meet this need, the Emergency Rental Assistance program makes funding available to assist households that are unable to pay rent or utilities. Two separate programs have been established: ERA1 provides up to $25 billion under the Consolidated Appropriations Act, 2021, which was enacted on December 27, 2020, and ERA2 provides up to $21.55 billion under the American Rescue Plan Act of 2021, which was enacted on March 11, 2021. The funds are provided directly to states, U.S. territories, local governments, and (in the case of ERA1) Indian tribes. Grantees use the funds to provide assistance to eligible households through existing or newly created rental assistance programs.
ERA2 payments are made directly to states (including the District of Columbia), U.S. territories (Puerto Rico, the United States Virgin Islands, Guam, the Commonwealth of the Northern Mariana Islands, and American Samoa), and local governments with more than 200,000 residents. ERA2 sets aside $2.5 billion for eligible grantees with a high need for ERA2 assistance, based on the number of very low-income renter households paying more than 50 percent of income on rent or living in substandard or overcrowded conditions, rental market costs, and change in employment since February 2020.
At least 90 percent of awarded funds must be used for direct financial assistance, including rent, rental arrears, utilities and home energy costs, utilities and home energy costs arrears, and other expenses related to housing. Remaining funds are available for housing stability services, including case management and other services intended to keep households stably housed. ERA2 funds generally expire on September 30, 2025.
Carr, Riggs and Ingram (CRI) is currently assisting the County with administration of ERAP-1, including accepting and reviewing applications from both landlords and tenants; providing help desk support to applicants; and remitting payment batches to the County for subsequent distribution. CRI would continue that role with ERA2.