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ITEM 16
City Council Memorandum Neighborhood Resources Memo No.
NR22-003
Date:
February 24, 2022
To:
Mayor and Council
Thru:
Joshua H. Wright, City Manager
Tadd Wille, Assistant City Manager
Leah Powell, Neighborhood Resources Director
From:
Riann Balch, Community Resources Manager
Subject:
Accept $7,000,000 in redistributed ERA1 funds from the US Department of the Treasury and enter into an Intergovernmental Agreement Between the City of Chandler and Maricopa County for the Emergency Rental Assistance (ERA) Program.
Proposed Motion:
Move City Council pass and adopt resolution No. 5554 accepting $7,000,000 in redistributed ERA1 funds from the US Department of the Treasury and approving an Intergovernmental Agreement between the City of Chandler and Maricopa County for the Emergency Rental Assistance Program.
Background:
On February 25, 2021, the City Council approved and adopted Resolution No. 5543 authorizing the City of Chandler Neighborhood Resources Department to accept ERA1 funds in the amount of $7.95 million from the United States Department of the Treasury to provide eligible Chandler households with rent and utility assistance.
On September 23, 2021, the City Council approved and adopted Resolution No. 5522 authorizing the acceptance of ERA2 funds in the amount of approximately $6.3 million for the same purpose. City Council further approved contracts with AZCEND, Chandler's designated Community Action Program, for the distribution of ERA1 and ERA2 funds for direct assistance payments to eligible Chandler households.
On December 9, 2021, the City Council adopted Resolution No. 5536 approving and authorizing the reallocation of Emergency Rental Assistance Program funds (ERA1 and ERA2) to Maricopa County (with an intergovernmental agreement forthcoming for City Council approval) for distribution to eligible Chandler families on an interim basis. This reallocation provided use of Maricopa County's Dynamics system, which provides Chandler residents access to an online portal to apply for assistance and real-time information related to application status. The Dynamics system also provides the City with a database capable of collecting and reporting the complex data required by the U.S. Department of the Treasury.
To date, all the original $7.95 million in ERA1 funding designated for assistance to Chandler families has been expended; only $150,000 in administrative funds remains from that allocation. Fifty percent (50%) of the City’s $6.3 million in ERA2 funding is anticipated to be expended by the end of March, and all funding will be expended by the end of 2022, if not sooner.
On December 30, 2021, the City received notice from the U.S. Department of the Treasury approving the City's request for an additional $7.0 million of redistributed State of Arizona ERA1 funds. These additional funds were received by the City on February 3, 2022. $6.85 million will be forwarded to Maricopa County, and $150,000 will be utilized in the City’s Neighborhood Resources Department to support housing stability services and program administration.
Discussion:
This intergovernmental agreement designates Maricopa County as the City's subrecipient of ERA1 and ERA2 funds and provides up to $6,850,000 of the newly redistributed ERA1 funds and up to $6,300,000 of ERA2 funds to the County based on the availability of funds as determined by the City. Maricopa County will be responsible for program eligibility, quality review, funds distribution and reporting.
Financial Implications:
Funds allocated to Maricopa County will be paid from 217.4700.5219.0.3NR002 and 217.4700.5219.0.3NR003 and were included in the FY 21/22 budget.
Attachments
Resolution 5554
Intergovernmental Agreement No. C-22-062-X-00_Updated
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