CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: October 19, 2020 Action: Approval of Resolution (1 of 1 reading) Presenter: John Blair, Acting City Manager Staff Contacts: Kaki Dimock, Director of Human Services Chris Cullinan, Director of Finance Title: Coronavirus Aid, Relief, and Economic Act (CARES) Funds – Second Allocation - Contingency Reserve Allocation - $410,000 Background: During its regularly scheduled meeting on October 5, 2020, City Council considered the 2nd reading of the CARES Round 2 appropriation and conducted a public hearing. A Contingency Reserve of $625,000 was included in the staff recommended appropriation. Council received several requests from outside organizations for funds from the Contingency Reserve and discussed these requests during this agenda item. Council adopted the staff recommendations for the CARES Round 2 appropriation and directed staff to prepare a briefing document with additional information on these requests. Discussion: Council received four requests totaling $410,000 and asked staff to review for funding using CARES Contingency Reserve funds which were set aside as part of the original CARES Round 2 appropriation. In summary, the requests were as follows: Public Housing Association of Residents (PHAR) - continuation of COVID-19 Emergency Food Program; $110,000. Conscious Capitalist Foundation - mentoring program for students that provides daily interactions with their mentor to assist and aid with the virtual learning process amidst 1 COVID-19; $20,000. Charlottesville Redevelopment and Housing Authority (CRHA) - pay all past due rent balances which will put every resident at a $0 balance and assist the CRHA with improving its tenant account receivables scoring; $80,000. Black Community Wellness Center (Sentara Martha Jefferson as the likely lead/coordinator) – The Center would support members of Charlottesville’s black community who suffer under the compounded stress of historic trauma and COVID-19 which impacts their capacity to protect themselves from disease, build individual resilience, and manage their mental health needs; $200,000. Detailed information and discussion for each request can be found in the City Council Briefing Document attached to this agenda item. Staff have reviewed these requests and finds that all are eligible to receive funds under the CARES Act. Staff also finds that all requests are appropriate and needed as our community continues to deal with the impacts of COVID-19. Alignment with Council Vision Areas and Strategic Plan: This action aligns with the Council’s Vision as a Great Place to Live for All of Our Citizens. It also aligns with the City Council’s Strategic Plan Goals. Budgetary Impact: There is no direct impact on the City’s budget. A second rounds of CARES funds in the amount of $4,123,776 has been received from the Commonwealth, of which City Council appropriated $625,000 for a Contingency Reserve (approximately 15%). If all four requests are approved, the Contingency Reserve would be reduced to $215,000, 5% of the second allocation. All funds are subject to conditions established by the U.S. Treasury and the Commonwealth and must be expended for eligible expenditures incurred between March 1, 2020 and December 30, 2020. Any unused funds must be returned. Recommendation: Staff recommends approval of the requests. Attachments: 1. Resolution 2. City Council Briefing Document 2 RESOLUTION Coronavirus Aid, Relief, and Economic Act (CARES) Funds – Second Allocation Contingency Reserve Allocation $410,000 WHEREAS, the Charlottesville City Council appropriated $625,000 of Coronavirus Aid, Relief, and Economic Act (CARES) funds to a Contingency Reserve Fund on October 5, 2020; and WHEREAS, the Charlottesville City Council has requested those funds be used to fund requests from the Public Housing Association of Residents ($110,000), Charlottesville Redevelopment and Housing Authority ($80,000), the Conscious Capitalist Foundation ($20,000) and the Black Community Wellness Center ($200,000); NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Charlottesville, Virginia that $410,000.00 of the Contingency Reserve Fund shall be allocated in the following manner: Transfer From: Contingency Reserve $410,000 Fund: 208 Internal Order: 1900388 G/L Code: 599999 Transfer To: Community Support $410,000 Fund: 208 Internal Order: 1900384 GL Code: 599999 3 CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL BRIEFING DOCUMENT To: City Council From: John Blair, Acting City Manager Chris Cullinan, Director of Finance Kaki Dimock, Director of Human Services Date: October 12, 2020 Re: Information/Discussion of Requests for Funding from CARES Round 2 Contingency Reserve ______________________________________________________________________________ During its regularly scheduled meeting on October 5, 2020, City Council considered the 2nd reading of the CARES Round 2 appropriation and conducted a public hearing. A Contingency Reserve of $625,000 was included in the staff recommended appropriation. Council received several requests from outside organizations for funds from the Contingency Reserve and discussed these requests during this agenda item. Council adopted the staff recommendations for the CARES Round 2 appropriation and directed staff to prepare a briefing document with additional information on these requests. This document includes the following requests and amounts: Public Housing Association of Residents (PHAR) $110,000 Conscious Capitalist Foundation $20,000 Charlottesville Redevelopment and Housing Authority (CRHA) $80,000 Black Community Wellness Center (Sentara Martha Jefferson as the likely lead/coordinator) $200,000 TOTAL $410,000 Detailed information and discussion for each request follows. 4 Organization: Public Housing Association of Residents (PHAR) Requested Amount: $110,000 Description of Request: Funds will be used to continue COVID-19 Emergency Food Program. The grant funds for PHAR’s COVID-19 Emergency Food Program will only last through the end of October. With a grant of CARES Act funding, PHAR will continue this program, as well as continuing community education and organizing to improve the lives of public housing residents. Eligible for CARES funds? Yes, under the provision “expenses of actions to facilitate compliance with COVID-19-related public health measures, such as:  Expenses for food delivery to residents, including, for example, senior citizens and other vulnerable populations, to enable compliance with COVID-19 public health precautions.“ Staff Discussion/Analysis: This request is directly responsive to a real need in the community. ______________________________________________________________________________ Organization: Conscious Capitalist Foundation Requested Amount: $20,000 Description of Request: The Conscious Capital Foundation (CCF) offers students a check and connect credible messenger mentoring program that provides daily interactions with their mentor to assist and aid with the virtual learning process amidst covid-19. Each mentor will be assigned at least 5 students to work with. One hour a day will be dedicated to each student. Mentors will contact their mentees Monday-Friday during school hours. In person coaching (following CDC and covid-19 guidelines) will be a means of communication as well as phone and virtual calls. As a part of the check and connect service, data will be taken to see what's the most beneficial path moving forward for the individual’s learning needs. Eligible for CARES funds? Yes, under the provision ““expenses of actions to facilitate compliance with COVID-19-related public health measures, such as:  Expenses to facilitate distance learning, including technological improvements, in connection with school closings to enable compliance with COVID-19 precautions.” Staff Discussion/Analysis: Conscious Capitalist Foundation has revised its request to $20,000 from $50,000. The previous request was made based on programming through the end of school year. New calculations reflect a rate of $2,000 per participant. Each participant receives 5 hours of direct attention per week (or 50 hours for the funded ten week period), advocacy, referrals to additional supports, crisis intervention support, and practical support. Program staff are actively 5 planning to build in nutrition support to their programming as well. ______________________________________________________________________________ Organization: Charlottesville Redevelopment and Housing Authority (CRHA) Requested Amount: $80,000 Description of Request: Funds would be used to pay all past due balances which will put every resident at a $0 balance and assist the CRHA with improving its tenant account receivables scoring. As of today, CRHA has approximately $126,000 in unpaid past due rent. Of that amount approximately $73,000 is from the month of October. We anticipate a majority of the $73,000 will be paid by the end of the week. But based upon the prior month averages approximately $27,000 will not be paid. Funding of $80,000 will zero out all past due balances as of October 5, 2020. Eligible for CARES funds? Yes, under the provision “expenses associated with the provision of economic support in connection with the COVID-19 public health emergency”. Additionally, the City can make a transfer to another unit of government per the below guidance from the US Treasury: May a unit of local government receiving a Fund payment transfer funds to another unit of government? Yes. For example, a county may transfer funds to a city, town, or school district within the county and a county or city may transfer funds to its State, provided that the transfer qualifies as a necessary expenditure incurred due to the public health emergency and meets the other criteria of section 601(d) of the Social Security Act outlined in the Guidance. For example, a transfer from a county to a constituent city would not be permissible if the funds were intended to be used simply to fill shortfalls in government revenue to cover expenditures that would not otherwise qualify as an eligible expenditure. Finally, CRHA must be cognizant of the following:  Prohibition of seeking other Federal funds for reimbursement of the same expenses which are being funded with CARES funds, i.e. no “double dipping”, and;  Any limitations or requirements associated with other funding sources when utilizing or combining CARES funds. Staff Discussion/Analysis: This request is responsive to a pressing emergency need in our community. Arrears for the specifically covered months of March, June, July, August, September and October are $74,381.60. (April and May rents were covered by a contribution of the Charlottesville Area Community Foundation.) This amount would benefit 163 households. 6 ______________________________________________________________________________ Organization: TBD (Likely to be Sentara Martha Jefferson as the lead/coordinator) Requested Amount: $200,000 Description of Request: Members of Charlottesville’s Black community suffer under the compounded stress of historic trauma and COVID-19 which impacts their capacity to protect themselves from disease, build individual resilience, and manage their mental health needs. Black community members are more likely to suffer from chronic, persistent mental health conditions than mild or episodic ones. In addition, due to structural racism, mistreatment and pathologizing systems of care, many Black people distrust formal mental health institutions and systems. Finally, this community, like many others, does not have sufficient mental health providers of color to provide excellent culturally responsive services. We propose that CARES Act funding be used to support a Black Community Wellness Center. This center would provide:  Formal and informal supports for Black community members including: o Crisis intervention o Support groups o Wellness classes like meditation and yoga o Community health education & info o Maternal health support o Access to referrals for culturally responsive mental health support  A health & wellness campaign  Virtual and in person options  Formal & drop-in options  Community & cultural events like food, crafts, etc. There are many people in the community who have been planning and considering such a center – they are ready to execute this vision. The city is in a position to support this idea as a pop-up for several months to provide practical access and support to the community AND to test out this model as a potentially permanent service delivery model. Eligible for CARES funds? Yes, under the provision for “medical expenses such as:  COVID-19-related expenses of public hospitals, clinics, and similar facilities.” Discussion/Analysis: This project needs a physical location and hopes for access to Carver Rec for this pilot. 7