RECOMMENDATION(S): (CONT'D)
2. Acknowledging that the County will be subject to the terms and conditions included in the standard agreement to be entered into with the State pursuant to Government Code section 15463, Part 3.9 of Division 5 of the Welfare and Institutions Code, and Welfare and Institutions Code section 5890; and
3. Declaring that the County will make mental health supportive services available to the project’s NPLH tenants for at least twenty years and will coordinate the provision of or referral to other services (including, but not limited to, substance use services) in accordance with the County’s relevant supportive services plan, and as specified in Section 202 NPLH Program Guidelines.
FISCAL IMPACT:
The State will loan the NPLH funds directly to RCD. RCD will be responsible for repaying the loan. The cost of the County providing mental health supportive services over the 20-year term required by the State will be covered by existing Mental Health Services Act funds allocated to HSD.
BACKGROUND:
In response to the State’s Notice of Funding Availability for Round 1 of NPLH funds, the Board of Supervisors approved Resolution 2019/29 on February 12, 2019, which authorized the County to apply for and accept a $2,231,574 loan of the State’s NPLH/Noncompetitive Allocation to fund a portion of affordable permanent supportive housing projects in the County. At the time the allocation of $2,231,574 was approved by the State, the County had not selected the affordable housing developer or the project that would be the recipient of the funds. Subsequently, as part of Round 3, the County and the State determined that the County’s Round 1 allocation should go to a project proposed by RCD to be constructed in downtown Walnut Creek. To satisfy the process requirements of the State, this board order ratifies the intervening application by RCD to the State for NPLH funds as a Round 3 joint application by the County and RCD. This board action does not change the action taken by the Board on February 12, 2019, authorizing an application for $2,231,574 of NPLH funds, other than to identify RCD as the co-applicant of the loan.
Like all previously approved NPLH funding rounds, the County is a joint applicant with a Development Sponsor; in this case, the County and RCD are joint applicants. As joint applicants, RCD and the County are assuming different roles and responsibilities in connection with the project. The State captures the joint applicants’ roles and responsibilities in its Standard Agreement. Under the Standard Agreement, RCD will borrow the $2,231,574 of NPLH funds from the State and will be responsible for repaying the loan. The County’s obligation under the Standard Agreement is to provide supportive services to the residents of the development for at least 20 years. In addition, the County will enter into a Memorandum of Understanding (MOU) with RCD that addresses issues such as referrals, property management responsibilities, and supportive services. The execution of the MOU was approved by this Board on January 5, 2021, during the Round 3 application period.
CONSEQUENCE OF NEGATIVE ACTION:
If not approved, the County’s ability to secure permanent supportive housing for persons with a serious mental illness who are Homeless, Chronically Homeless or At-Risk of Chronic Homelessness will be diminished.
CHILDREN'S IMPACT STATEMENT:
Permanent supporting housing supports all of the following children's outcomes:
(1) Children Ready for and Succeeding in School;
(2) Children and Youth Healthy and Preparing for Productive Adulthood;
(3) Families that are Economically Self Sufficient;
(4) Families that are Safe, Stable and Nurturing; and
(5) Communities that are Safe and Provide a High Quality of Life for Children and Families.