Agenda Item 2a_COVID 19 Funding framework — original pdf

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COVID-19 Spending Framework City Council Work Session • May 28, 2020 1 COVID-19 Spending Framework Agenda • Reorganization of Spending Framework since May 19 Work Session • Emergency Response Spending Framework • Health Spending Framework • Austin Public Health • Economic Recovery Spending Framework • Neighborhood Housing and Community Development • Austin Economic Development Department • Presenters: Veronica Briseño, Chief Economic Recovery Officer Sylnovia Holt-Rabb, Acting EDD Director Stephanie Hayden, APH Director Jon Hockenyos, President, TXP Inc. Rosie Truelove, NHCD Director Ed Van Eenoo, Deputy Chief Financial Officer 2 COVID-19 Spending Framework Reorganization of Spending Framework • Changes to organization of framework, not funding priorities • Split funding for Council initiatives into program components • e.g. $15 million for RISE is now spread across financial and direct support, food assistance, and rental assistance programs • Named initiatives now listed in Funding Notes column • Added $2 million to Workforce Development for Austin Conservation Corp • Estimated funding a combination of existing department budgets and the Coronavirus Relief Fund • Reclassified $2.3 million from the testing category to the protection of vulnerable populations category Health Needs • Contingency funds split between Emergency Response and Medical and Public 3 COVID-19 Spending Framework Emergency Response Summary Overall Recommendation: $105.5M • $30M COVID-19 emergency management • Emergency Operations • Direct Pandemic Response • Changes to department operations • $68M for department operating expenses substantially dedicated to COVID-19 response • $7.5M emergency response contingency 4 COVID-19 Spending Framework Medical and Public Health Summary • 253 temporary staff • Case investigation, contact tracing, public information and language access, testing, shelter services and contract management Overall Recommendation: $62.9M • $8.1M in temporary staffing • $29.8M in contractuals and commodities • Nursing home testing, study and strike teams • Public health lab, testing and equipment • Medical equipment and supplies • Shelters and quarantine facilities • Over three-fourths of the recommendation focused on epidemiology response, testing and sheltering and support of vulnerable populations. • $25M for public health contingency 5 COVID-19 Spending Framework Medical and Public Health Budget Recommendation by Expenditure Category ($ in Millions) 14.5 16 14 12 10 8 6 4 2 0 4.7 4.5 4.1 2.9 1.3 1.7 1.2 Shelters - Epidemiology Public health Medical Protection of Planning and Other response support and quarantine facilities Public health lab, testing and equipment and safety measures equipment, supplies and vulnerable populations research PPE 3.0 Nursing homes 6 COVID-19 Spending Framework Public Health Expenditure Categories Shelter Support and Quarantine - $14,524,797 • Staffing for 5 Protective Lodging facilities through the end of the calendar year • Lease, food, laundry, security and behavioral health services for ProLodges Public Health Laboratory, Testing and Equipment - $4,513,444 • Staffing for a Mobile Testing Team and second Point of Testing site • 80,000 test kits including lab processing Nursing Homes - $3 million • Testing kits, nursing home study and Strike Teams Epidemiology Response - $4,646,291 • Staffing for case investigations, contact tracing, and nursing call center Public Health and Safety Measures - $2,946,637 • Additional behavioral health/counseling support and facility renovations to add protective measures to lobbies and reception areas Planning and Research - $1,716,743 • Seroprevalence study • Nursing home and vulnerable population study 7 COVID-19 Spending Framework Public Health Expenditure Categories Protection of Vulnerable Populations - $4,091,790 • Public Health Educators to focus on maternal, infant, child and youth education and outreach • Support for unsheltered population including PPE and communication • CDBG, ESG, HOPWA, Ryan White, EMS grants Medical Equipment, Supplies and PPE – $1,327,000 • PPE supply including gloves, masks, face • Pulse Oximeters for patients with pre-existing shields and gowns conditions Other - $1,215,365 • Temporary contract management staff • Targeted media buys for hard-to-reach • Health and safety supplies for childcare populations centers • Sanitization for deep cleaning services • Material translations and interpretation • Leased portable toilets and handwashing stations Public Health Contingency – $25,000,000 • In the event of disease resurgence 8 COVID-19 Spending Framework Economic Support Summary Rental Assistance - $23.8M • RENT Program - $23.8M Economic Recovery - $79.4M • Small Business and Rent Aid - $25.5M • Financial & Direct Support - $15.5M • Utility Bill Assistance - $10M • Creative Sector Assistance - $8.5M • Non-Profit Assistance - $7M • Food Assistance - $5.4M • Worker and Customer Safety - $2.5M • Childcare Providers - $2M • Technical Assistance - $1M • Workforce Development - $2M 9 COVID-19 Spending Framework Rental Assistance Summary Overall Recommendation: $23.8M • $23.8M for Relief of Emergency Needs For Tenants (RENT) Program • Payment of rent directly to landlords • Households under 80% of median family income who have been impacted by COVID-19 FY 2020 Income Limits Summary - Austin-Round Rock-San Marcos, TX MSA 80% Annual Income Limits 1 person household $54,700 2 person household $62,500 3 person household $70,300 4 person household $78,100 5 person household $84,350 6 person household $90,600 7 person household $96,850 8 person household $103,100 10 COVID-19 Spending Framework May RENT Program Summary • First Round: $1.256M • Administered by Housing Authority of the City of Austin (HACA) • Lottery Process (May 4th – 6th) • Eligibility: • City of Austin • Standard Lease • 80% and below Median Family Income (MFI) • Impacted by COVID-19 • Tenant pays 30% of income • Landlord eligible for lesser of FMR or contract rent • One Month Rental Assistance 11 COVID-19 Spending Framework May RENT Program Results • 10,000+ Applications Received • 5,500+ Eligible and Complete • 1,348 Applicants Approved • $1,023,786 Total Rental Assistance Provided • $759.50 Average Assistance per Household Demographic report and analysis forthcoming 12 COVID-19 Spending Framework May RENT Program Reflections • Administratively Intensive • Call Center Staffing • Follow up Documentation • Communications with Landlords and Tenants • Some Applicants Paid May Rent • Majority of Applicants Small Households • Landlord Certification Challenges 13 COVID-19 Spending Framework RENT Program Research • National Best Practices • Leverage existing programs with adaptive capacity • Maximize flexibility • Focus on populations with the greatest unmet need • Manage current resources while pushing for more money • Statewide Collaborations • Houston • San Antonio 14 COVID-19 Spending Framework RENT Program Modifications Decentralized Intake (3-5 Nonprofits) • Outreach • Eligibility • Equity Deadline (First Come First Served versus Lottery) One Month Rental Assistance (80% MFI) Up to Three Months Rental Assistance (30% MFI) Payment = Actual Rent Landlords able to help with applications HACA Remains Fiscal Agent 15 COVID-19 Spending Framework Economic Recovery Summary Overall Recommendation: $79.4M • Small Business and Rent Aid - $25.5M • Financial & Direct Support - $15.5M • Utility Bill Assistance - $10M • Creative Sector Assistance - $8.5M • Non-Profit Assistance - $7M • Food Assistance - $5.4M • Worker and Customer Safety - $2.5M • Childcare Providers - $2M • Technical Assistance - $1M • Workforce Development- $2M 16 COVID-19 Spending Framework Small Business Assistance – $25.5M Commercial Loans for Economic Assistance & Recovery (CLEAR) Fund - $23.5M • Grants up to $40,000 for small businesses • Phase One: $10.0M (Allocated by City Council through Resolution 20200507-023) • Phase Two: $13.5M (Recommended; Would also support commercial property owners) • Profile of small businesses in Austin: • There are 40,350 businesses in Austin with fewer than 25 employees. • Collectively, these businesses employ over 320,000 people. • Average 7.6 employees per inquiry for the Austin Economic Injury Bridge Loan program Long-Term Lease Stability Fund - $2M • Grants up to $40,000 for landlords that agree to enter into favorable, long-term leases with commercial tenants that deliver community benefits • Intended to preserve community assets in vulnerable communities • City Council passed several resolutions to preserve spaces for the creative sector, locally-owned small businesses, and retailers that provide healthy food in underserved areas 17 COVID-19 Spending Framework Utility Bill Assistance – $10M Utility Bill Assistance - $10M • Programs administered by Austin Energy and Austin Water • Assistance programs entail: • Suspension of utility disconnects and late fees; • Reduction of certain water and electric rates; • Increased discount provided through the Customer Assistance Program (CAP); and • Expanded CAP eligibility. 18 COVID-19 Spending Framework Creative Sector Assistance – $8.5M Austin Music Disaster Relief Fund - $1.5M • Grants of $1,000 to musicians for their immediate emergency needs Austin Creative Space Disaster Relief Program - $1M • Grants up to $50,000 to organizations and independent artists facing displacement and difficulty paying rent for their commercial creative spaces Creative Sector Assistance - $6M ($5M Recommended) • Grants up to $2,500 for artists, musicians, and other creative-sector independent workers financially impacted by COVID-19 19 COVID-19 Spending Framework Non-Profit Assistance – $7M Austin Nonprofit & Civic Health Organizations Relief (ANCHOR) Fund - $7M • Grants between $10,000 and $20,000 for nonprofits • Phase One: $6.0M (Allocated by City Council through Resolution 20200507-023) • Phase Two: $1.0M (Recommended) • Phase one funds distributed in the following manner: • Health & Human Services - $2M • Workforce Development & Social/Legal Services - $1.25M • Education - $1.25M • Arts & Culture - $1M • Environment & Animals - $0.5M • Profile of non-profits in Austin: • 4,443 non-profit organizations in Austin • Roughly 21,000 non-profit sector workers 20 COVID-19 Spending Framework Childcare Support – $2M Childcare Support Fund - $2M • Grants up to $20,000 for child care centers in Austin. • Phase One: $1.0M (Allocated by City Council through Resolution 20200507-023) • Phase Two: $1.0M (Recommended) • Eligibility criteria: • Serving families that receive childcare subsidies, • Have at least a 2-star rating under the Texas Rising Star system, • Have not received Payroll Protection Plan money through CARES Act, • Have been impacted by COVID-19 related disruptions, and/or • Have virus mitigation and protective equipment needs. 21 COVID-19 Spending Framework Technical Assistance – $1M Technical Assistance Support Fund - $1M • Contracted services to provide free technical assistance for businesses and non-profit organizations. • The funds will be utilized to procure contractors (or expand existing contracts) to support development of outreach, curriculum development and technical assistance to achieve increased support in: • Organizational Disaster Recovery/Resiliency • Capacity Building and COVID Compliance • Non-Profit Operations/Management 22 COVID-19 Spending Framework Financial & Direct Support – $15.5M Immediate Financial Support for Individuals - $15.5M • Immediate financial support for individuals impacted by COVID-19. • Funds are intended to serve vulnerable populations and individuals who are waiting for test results and/or test positive. • The following agencies were initially awarded funding to provide community- based services and financial assistance: • Catholic Charities - $1.6M • Asian Family Support Services - $1M • El Buen Samaritano - $0.5M • Austin Area Urban League - $0.5M • Family Independent Initiative - $2M 23 COVID-19 Spending Framework Food Assistance – $5.4M Food Assistance - $5.4M • Direct and contracted food provision to address food insecurity created by COVID-19. • Funds can be used to pay expenses for food delivery to residents. • Target populations: • Caregiver meals delivered through Austin Independent School District and Del Valle Independent School District school meal distribution sites • Vulnerable populations 24 COVID-19 Spending Framework Worker and Customer Safety – $2.5M PPE and Business Modification Grants- $1M • Grants for the procurement of personal protective equipment and the modification of businesses to COVID-compliant standards for safe re-opening. Employee Medical Assistance Program - $1.5M • Contract with counseling services provider to expand access for workers dealing with COVID-related mental health challenges. • Targeted specifically to low- and moderate-income workers without employer- provided access to healthcare in customer-facing roles. 25 COVID-19 Spending Framework Workforce Development – $2M Austin Conservation Corps - $2M • Employment of individuals who have been economically impacted by compliance with COVID-19 related public health measures. • The program will rely on a combination of funding previously approved in the City’s budget the Coronavirus Relief Fund, and potentially other regional partners. Potential existing program areas under exploration include: • Conservancy Projects – Austin Water, Watershed Protection, and Parks and Recreation • Wildfire Fuel Mitigation – Austin Fire Department • Urban Forest Replenishment – Development Services Department • Temporary exhibition of public art across Austin (TEMPO) – Economic Development Department 26 COVID-19 Spending Framework Support Summary PUBLIC HEALTH SUMMARY Public Health - $62.9M • Shelter and Quarantine - $14.5M • Protection of Vulnerable Populations - $4.1M • Public Health Lab, Testing, and Equipment - $4.5M • Nursing Homes - $3M • Epidemiology Response - $4.7M • Public Health and Safety - $2.9M • Planning and Research - $1.7M • Medical Equipment, Supplies, PPE, Other – $2.5M • Public Health Contingency - $25M EMERGENCY RESPONSE SUMMARY Emergency Response - $105.5 • Emergency Management - $30M • Payroll Expenses - $68M • Emergency Response Contingency - $25M ECONOMIC RECOVERY SUMMARY Rental Assistance - $23.8M • RENT Program - $23.8M Economic Recovery - $77.4M • Small Business and Rent Aid - $25.5M • Financial & Direct Support - $15.5M • Utility Bill Assistance - $10M • Creative Sector Assistance - $8.5M • Non-Profit Assistance - $7M • Food Assistance - $5.4M • Worker and Customer Safety - $2.5M • Childcare Providers - $2M • Technical Assistance - $1M • Workforce Development - $2M 27 COVID-19 Spending Framework City Council Work Session • May 28, 2020 28