Community Development CommissionMay 13, 2020

Item 2a: Proposed Amendments to HUD Action Plan Consolidated Plan and Participation Plan - V2 — original pdf

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PROPOSED AMENDMENTS TO HUD ACTION PLAN, CONSOLIDATED PLAN & PARTICIPATION PLAN NEIGHBORHOOD HOUSING & COMMUNITY DEVELOPMENT Why Is The City Of Austin Amending Its U.S. Department Of Housing And Urban Development (HUD) Plans? • The federal government adopted the Coronavirus Aid, Relief and Economic Security, or CARES Act, in April of 2020, which provides additional funding to be deployed through HUD programs to respond to the impacts of COVID-19 • Amending the current year Action Plan and the corresponding Consolidated Plan is the fastest way to deploy the additional funds to respond to the impacts of COVID-19 • Jurisdictions must submit amended plans to HUD to receive the funding 2 Consolidated Plan & Action Plan Amendment Process FY 2019-24 Consolidated Plan and FY 2019-20 Action Plan • Approved by HUD in fall 2019 Amend FY 2019-24 Consolidated Plan and FY 2019-20 Action Plan Submit Amendments to HUD • To include CARES Act funding • Upon approval by HUD, begin the process of implementing programs to mitigate the economic effects of COVID-19 3 CORONAVIRUS AID, RELIEF, AND ECONOMIC SECURITY (CARES) ACT OF 2020 The CARES Act provided funding to respond to the impacts of the coronavirus to be deployed by HUD through three programs: 1. Community Development Block Grant coronavirus response (CDBG-CV) 2. Emergency Solutions Grant (ESG-CV) 3. Housing Opportunities for Persons with AIDS (HOPWA-CV) 4 Eligible Uses of HUD CARES Act Funding by Program Community Development Block Grant-CV May be used to cover or reimburse costs to prevent, prepare for, and respond to coronavirus, regardless of the date on which such costs were incurred, when those costs comply with CDBG requirements. $4.6M Emergency Solutions Grant-CV Prevent the spread of COVID-19, Provide additional support to individuals and families eligible for Continuum of Care or ESG assistance who are economically impacted by COVID-19 $2.4M Housing Opportunities for Persons With AIDS- CV Prevent the spread of COVID-19, Provide additional support to individuals and families eligible for Continuum of Care or HOPWA assistance who are economically impacted by COVID-19 $272,000 5 Public Input Opportunities & Advisory Bodies for Final CARES Act Proposals to HUD Community input through online public input tool (Speakup Austin) April 16-23 Public hearing in front of Austin City Council April 23 Ongoing interdepartmental discussions and analysis to align eligible funds with community needs City of Austin Economic Recovery Core Directors Panel (interdepartmental working group) Community Development Austin City Council Commission Meeting Meeting May 13 Scheduled for May 21 6 INFORMED BY DATA: UNITED WAY 211 calls In Travis County APRIL 1 - 15, 2020 Need Rent Payment Assistance Food Pantries Electric Service Payment Assistance COVID-19 Control Undesignated Temporary Financial Assistance * COVID-19 Water Service Payment Assistance COVID-19 Diagnostic Tests State Unemployment Insurance * COVID-19 Food Stamps/SNAP Applications Gas Service Payment Assistance Volume of 211 Calls 1938 1028 553 527 139 139 128 122 120 114 7 INFORMED BY DATA: COVID-19 Impact & The Fragility Of Childcare • According to Workforce Solutions Capital Area, 68% of the childcare programs that contract for subsidized childcare are closed. seats available for essential workers in Austin/Travis County. (Per 5/12/20 report from Workforce Solutions Capital Area). • There are currently only 1, 469 childcare • Approximately 50% of all licensed child • It is estimated that 54% of childcare care programs in Travis County are closed. supply may be lost - a loss of more than 480,000 child care seats. • Nationally, only 3% of the first round of • Prior to the COVID-19 crisis, there was PPP and SBA loans went to the sector that includes childcare (educational services businesses), indicating that many of these closures, without government financial support, may be permanent. only 1 spot for every 2.71 children in Texas. Without investment, there may be only 1 spot for every 5.9 children. 8 Funding Recommendations to Respond to Coronavirus Recommendations for use of CDBG-CV funds: • Approximately $2.6 million for emergency rental assistance • Approximately $1 million for child care assistance • Approximately $1 million for homelessness assistance Recommendations for use of ESG-CV funds: • Approximately $2.3 million for homelessness assistance Recommendations for use of HOPWA-CV funds: • Approximately $270,000 for services for the HOPWA program Note: The funding proposals reflect staff recommendations to address community needs responsive to COVID-19. Recommendations as to how best to fund these proposals may change based on funding availability from a range of sources to address these community needs. The City of Austin continues to explore funding sources that can align with community needs responsive to COVID- 19. 9 Proposed Amendments To The Citizen Participation Plan Addition of Disaster Response and Recovery Section Additional Regulatory Provisions Provided by HUD 10 Opportunities To Engage & Stay Informed Community Input: SpeakUp Austin austintexas.gov/housing NHCD Mailing List Housing Matters Newsletter @ Email NHCD@austintexas.gov Comments via Standard Mail 11 QUESTIONS? Neighborhood Housing & Community Development 12