CITY OF CHARLOTTESVILLE, VIRGINIA CITY COUNCIL AGENDA Agenda Date: September 19, 2022 Action Required: Resolution Presenter: Alexander Ikefuna, Interim Director Staff Contacts: Alexander Ikefuna, Interim Director Samuel Sanders, Jr., Deputy City Manager Title: Approval of the Fifth Amended Grant Agreement, Charlottesville Supplemental Rental Assistance Program (CSRAP) (1 reading; carried from September 6) Background On June 19, 2017, City Council approved the creation of a supplemental rental assistance program for the City of Charlottesville. In October 2017, the City Council approved the Charlottesville Supplemental Rental Assistance Program (CSRAP) and funding for the program. The Grant Agreement between the City and the Charlottesville Redevelopment and Housing Authority (CRHA) was executed in January 2018. The first voucher was issued in April 2018. Currently, the City Council has approved total funding for this program in the amount of $5,295,000 ($900,000 in FY17/18; $945,000 in FY18/19; $750,000 in FY19/20; $900,000 in FY20/21; $900,000 in FY21/22; and $900,000 in FY22/23) which will continue to extend this housing assistance for our vulnerable households. As of July 31, 2022, the current balance of the funding is $2,009,875. Discussion CRHA continues to administer this program similar to the federal Housing Choice Voucher program. Each year CRHA staff provides City Council with an update on the status of the program. In 2020, City Council approved an amendment to the agreement to allow for administrative costs to be included from the program funding, due to concerns from the U.S. Department of Housing and Urban Development (HUD). This current revised Agreement generally includes items that update the program timeframe and funding allocation(s). As a follow-up to the City Council discussion at its September 6th meeting, CRHA requested the following revisions to the Fifth Amended Grant Agreement, which are now shown as included proposed revisions in the attached Agreement: - update the allowable increase up to 110% of the federally-designated HUD fair market rents for units located in Albemarle County - eliminate the language referring to the CRHA HCV waitlist for the rental assistance subsidies issued to Households who are homeless or enrolled in a local self-sufficiency program - change the requirement for Households enrolled in a local self-sufficiency program from a MINIMUM of 40 to a MAXIMUM of 40 - eliminate the requirement for eligible Households to come from the CRHA's HCVP waitlist and allow CRHA to maintain a CSRAP waitlist - increase the administrative costs from 7.5% to 10% Also, as requested, CRHA's presentation has been included as an attachment. Alignment with City Council's Vision and Strategic Plan The provision of assistance with housing some of our most vulnerable families supports City Council’s visions of Quality Housing Opportunities for All; Community of Mutual Respect; and Smart, Citizen-Focused Government. This program aligns directly with Strategic Plan Goal 1.3: Increase affordable housing options and with the 2021 Affordable Housing Plan. Community Engagement Amendment of this Grant Agreement has been reviewed by CRHA staff. Budgetary Impact This request does not require any additional funding from the City budget. Recommendation Staff recommends that City Council approve the attached Resolution. Recommended Motion: "I move the resolution approving the Fifth Amended Grant Agreement of the Charlottesville Supplemental Rental Assistance Program." Alternatives City Council could choose to not approve this Resolution which may effectively end this program and/or negatively affect the provision of housing assistance currently providing relief for some of our most vulnerable families. Attachments 1. RESOLUTION Fifth Amended CSRAP Agreement 2. Fifth Amended CSRAP Grant Agr cleanvrs091922 3. Fifth Amended CSRAP Grant Agr strkvrs091922 4. CRHA CSRAP presentation 9-2022 FINAL