HomeMy WebLinkAbout32 - CC-12 - Attachment 1 - 7/7/2015Exhibit A
November 21, 2014
CITY OF COSTA MESA
R O. BOX 1200, CALIFORNIA 92628.1200
FROM THE OFFICE OF THE CHIEF EXECUTIVE OFFICER
Mr. Larry Haynes, Executive Director
Mercy House Living Centers
PO Box 1905
Santa Ana, CA 92702
Re: Mercy House's 2014 Emergency Solutions Grants (FSG) Application to State Housing and
Community Development Department (HCD) for Rapid Rehousing Services to Costa
Mesa Homeless Residents
Dear Mr. Haynes:
On behalf of the City of Costa Mesa (City), this letter is provided in connection with and in support
of Mercy House Living Centers' (Mercy House) 2014 ESG application to HCD for an allocation of
ESG funds. On behalf of the City, I authorize you to include this letter in Mercy House's
application to State HCD for an allocation of ESG funds. For many decades, the City (and its
former redevelopment agency, now the housing successor) has advocated and provided financial
support to many affordable housing programs and projects. These include various programs
directed to serve Costa Mesa's homeless population, as well as persons at -risk of becoming
homeless. In the past five years, the City has expended more than $220,000 in Community
Development Block Grant (CDBG) funds for homeless services, including transitional housing,
emergency shelter, homeless prevention and rapid rehousing rental assistance, which assisted
396 homeless persons in our community. Additionally, in 2009 the City received $560,000 in
Homeless Prevention and Rapid Rehousing (HPRP) funds for a City homeless prevention
assistance program administered by Mercy House and SPIN; program funds were used to obtain
funds for security deposits and short term rental assistance for 36 households at -risk of losing
their homes or literally homeless and living on the streets in Costa Mesa.
In 2011, the City's Homeless Task Force (MTF) was formed in response to a series of incidents in
the Lions Park vicinity. Based on a Point -in -Time Homeless Census, there are approximately 120-
160 permanent "Costa Mesa Homeless Residents". The HTF's mission was to develop and create
strategies to address and reduce homelessness in the community; the HTF's efforts culminated
in a strategic plan that includes integration of faith -based organizations, community services and
public assistance. The HTF promulgated nine goals and objectives that were incorporated into
an implementation strategy including the following actions:
0 Adopting a local definition of a Costa Mesa homeless resident while narrowing the scope
of services to those homeless individuals who had serious ties to the City.
77 FAIR DRIVE
PRONE: (714) 754.5099 • TDD: (714) 754-5244 • FAX: (714) 754-5330 • www.costamesaca.gov
Mr. Larry Haynes, Executive Director
Mercy House Living Centers
November 21, 2014
Page 12
• Creating a team of City funded community outreach workers who have formed
partnerships with local churches, nonprofits and County mental health personnel in an
effort to create a coordinated system of mental health services for Costa Mesa Homeless
Residents.
• Integrating mental health outreach and law enforcement with a legal strategy designed
to assist those seeking mental health services and housing while prosecuting chronic
offenders who are resistant to help.
• Centralizing homeless coordination including establishment of a comprehensive data
management information system (DMIS) similar to the Continuum of Care Homeless
Management Information System (HMIS) which is used to collect client -level data on the
provision of housing and services to homeless individuals and those at risk of
homelessness.
• Using this data as a "social service" registry in order to prioritize clients with both in house
Community Outreach Workers as well as nonprofit agencies receiving CDBG public service
funds.
• Working with faith based organizations to create a storage check in -center and
encouraging them to work on solutions to homelessness versus food distribution.
• Developing a mentoring program designed to elicit community volunteers
These actions have resulted in the formalization of a comprehensive network of social service
providers, faith -based organizations and community volunteers working cooperatively; they are
finding solutions and reducing homelessness in Costa Mesa.
The City also created a Neighborhood Improvement Task Force to evaluate issues in the
community arising from problem motels, recovery homes and homelessness. This group has
been re -purposed and renamed, the Network Housing Solutions (NHS) Task Force, which is
headed by City Assistant Chief Executive Officer Rick Francis.
On November 10, 2014, Mercy House informed the City of its intention to apply for funding
through State HCD for an allocation of part of the $9.9M in federal ESG funds available through
the Notice of Funding Availability (NOFA) as posted by HCD on October 30 and updated on
November 18, 2014. As stated in the NOFA, ESG funds will be allocated to eligible organizations
to provide assistance to persons experiencing homelessness or at risk of homelessness, with
priority given to rapid rehousing programs. Applicants may administer programs directly or
partner with local entities to help the homeless in the community. As noted, Mercy House
previously partnered with the City to administer the HPRP program; while the City received the
HPRP funds directly, Mercy House was selected through and RFQ/RFP process by the City to
administer the HPRP funding and services. Mercy House intends to apply directly to HCD for ESG
funds to provide rapid rehousing to help homeless men, women and families in Costa Mesa find
and keep permanent housing, through services such as landlord outreach, housing search
assistance, temporary rental assistance, and other housing -focused services. Mercy House
intends to implement rapid re -housing services in Costa Mesa so the homeless persons assisted
Mr. Larry Haynes, Executive Director
Mercy House Living Centers
November 21, 2014
Page 13
will experience a reduced time being homeless, while being connected to resources and support
in their community.
Mercy House has requested the City to affirm its good standing in our community, to sponsor the
project, and to provide a match source, in consideration for assisting Costa Mesa Homeless
Residents.
The City has consistently sought and directed various federal, state, local and private funding
sources in order to continue to assist Costa Mesa Homeless Residents find affordable housing.
However, even though the City has provided street outreach workers, social workers who link
Costa Mesa homeless residents to services, it has relied strictly on federal grants for rapid
rehousing and homeless prevention assistance. Last year, the City Community Outreach Workers
placed 22 Costa Mesa Homeless Residents into both temporary and permanent housing. Three
of the 22 persons assisted were Mercy House clients. This year, Mercy House received a grant
for $20,000 for rapid rehousing; and, so far, eight Costa Mesa Homeless Residents have been
assisted with all funds encumbered.
Based on our community's continued efforts as described in this letter, the Costa Mesa
community needs are imminent; the City, Mercy House, and similar organizations require
additional funding, such as an allocation by HCD to Mercy House from the $9.9M in ESG funds
made available by the recent NOFA. Additionally, due to the conversion of a number of local
motels by private owners into rental and/or ownership housing, along with the City's recent
changes to the Municipal Code restricting long-term occupancy at local motels, the City and
Mercy House expect more Costa Mesa Homeless Residents will likely require rapid re -housing
assistance.
As Executive Director, you are aware that the City and Mercy House have engaged in a successful
partnerships for over 20 years; the City intends to collaborate with Mercy House and other
qualified affordable housing organizations to provide quality affordable housing services to Costa
Mesa Homeless Residents. I will be making a recommendation to the City Council to authorize
$40,000 in match funding, to be sourced from the Costa Mesa Housing Authority's (as housing
successor) Low to Moderate Income Housing Asset Fund, as well as $57,000 in non-cash match
(donated services, such as part-time social workers and the City CDBG grant to Mercy House) in
connection with Mercy House's application to HCD for an allocation of 2014 ESG funds to provide
rapid rehousing assistance for Costa Mesa Homeless Residents.'
The ESG regulations, in particular 24 CFR 576.201 and 25 CCR 8410 provide:
"Applicants must make matching contributions in an amount that equals the amount of ESG funds
applied for, and awarded, under this NOFA.
Matching contributions may be obtained from any source, including any federal source other than the
ESG Program, as well as State, local, and private sources." (Emphasis added.)
Mr. Larry Haynes, Executive Director
Mercy House Living Centers
November 21, 2014
Page 14
The City would anticipate, if Mercy House receives an allocation from HCD, that a portion of the
ESG funds will be used to assist Costa Mesa Homeless Residents who likely will experience
eviction from local motels by the private property owners.
Please contact me if you have any questions. We wish Mercy House every success in its
application to HCD, and anticipate a positive outcome to HCD's good faith consideration of Mercy
House's application for ESG funding.
Sincerely,
;011*
THOMAS R. HATCH
Chief Executive Officer
cc: Mayor and Members of the City Council
City Attorney