Report Prepared by: Mark E. Hamilton, Housing Program Supervisor, Housing Division, Department of Economic Development
Title
SUBJECT: Allocation of Fiscal Year 2015-16 Community Development Block Grant (CDBG) Funds for a Warming Center with Merced County Rescue Mission
REPORT IN BRIEF
Contract authorization between the City of Merced and Merced County Rescue Mission for the operation of a community Warming Center.
RECOMMENDATION
City Council - Adopt a motion approving the allocation of $13,000 of Community Development Block Grant funds to assist with the cost of operating a warming center; and authorizing the City Manager to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to other than recommended by staff (identify specific findings and/or conditions amended to be addressed in City Council motion); or,
3. Deny; or,
4. Refer to City Manager for reconsideration of specific items (specific items to be addressed in City Council motion); or,
5. Continue to a future City Council meeting (date and time to be specified in
City Council motion).
AUTHORITY
Department of Housing and Urban Development (HUD) allows participating jurisdictions to fund community organizations with Community Development Block Grant (CDBG) funds per 24 CFR 570.201 and 42 USC 5305.
CITY COUNCIL PRIORITIES
"As directed by Council at the November 16, 2015 City Council meeting."
DISCUSSION
At the City Council meeting of November 16, 2015, the City Council directed the City Manager and staff to evaluate locations for a warming center. With the assistance of the Merced County Rescue Mission, the warming center will be operated within a portion of the building located at 2212 Cherry Avenue (Attachment 2).
The warming center would to be operated from December 2015 through April 2016. The Rescue Mission is requesting $13,000 to cover costs associated with operating a warming center at this location. New this year is the request for $10,400 to cover labor costs necessary to staff the facility (Attachment 1). In addition to the labor costs, the request includes $2,100 to reimburse utility costs and $500 for miscellaneous expenses.
The church is not charging the Rescue Mission for the use of the facility. The Rescue Mission will ensure the warming center is open on evenings when the ‘D’ Street shelter is full and the weather forecast anticipates either rain or temperatures below 40 degrees. The state standard is 3 consecutive evenings of 32 degrees or below.
With the execution of the attached agreement, Community Development Block Grant funds will be allocated towards the operation of a warming center facility. The warming center will be fully operational because of funding from the City.
DESCRIPTION
The approved 2016 HUD Annual Plan sets aside funds for eligible public service activities. The operation of the Warming Center would be considered eligible because the activity meets a national objective serving individuals with low-moderate incomes.
The Rescue Mission will need approximately $13,000 to cover anticipated costs as follows:
Line Item Amount:
Utilities $2,100
Labor Costs $10,400
Misc. Expenses $500
TOTAL $13,000
IMPACT ON CITY RESOURCES
There is no impact to the City’s General Fund. Warming Center costs are eligible for reimbursement per the Department of Housing and Community Development. Staff recommends the Council authorize the City Manager to execute the contract with Merced County Rescue Mission.
ATTACHMENTS
1. Agreement with Merced Rescue Mission
2. Warming Center Location Map