Agenda - City of Dallas

BACKGROUND (Continued)
On December 5, 2011, HUD released the interim rule for the HEARTH: Emergency
Solutions Grant program and Consolidated Plan Conforming Amendments, which
replaces the Emergency Shelter Grant program. The change in the program’s name,
from Emergency Shelter Grants to Emergency Solutions Grant, reflects the change in
the program’s focus from addressing the needs of homeless people in emergency or
transitional shelters to assisting people to quickly regain stability in permanent housing
after experiencing a housing crisis and/or homelessness. Under the Emergency
Solutions requirements, street outreach and emergency shelter expenditures are
capped at 60% of the grant award. The administrative cap was increased from 5% to
7.5% of the grant award. The matching requirements (dollar-for-dollar) will remain the
same.
HUD has now made available an allocation of $433,200 under the Emergency Solutions
Grant. Activities eligible for funding under this allocation are as follows:
• Homelessness Prevention
• Rapid Re-Housing
• Homeless Management Information Systems (HMIS)
• Administration
The City plans to use these funds for homeless prevention, rapid re-housing, HMIS, and
administrative costs. Homeless prevention will be provided by the Martin Luther King,
Jr. Community Center (MLK) and West Dallas Multipurpose Center (WDMC). Rapid
re-housing services will be determined through a Request for Competitive Sealed
Proposal. This item also reallocates $10,000 under Essential Services and Operations
under the old Emergency Shelter Grant to homeless prevention, housing relocation and
stabilization, under the Emergency Solutions Grant to adjust to the new program
category caps.
This preliminary adoption also calls for a reprogramming of Residential
Development/Acquisition Loan Program funds to the Mortgage Assistance Program
(MAP) in the amount of $1,000,000. This requested reprogramming serves an
immediate need for additional MAP funds for new homebuyers.
Finally, this substantial amendment includes the addition of the City of Dallas Affordable
Rent Schedule which sets forth the City’s overall maximum standard for determining
affordable rents. The City has been informed by HUD that it must publish its standard
for determining affordable rents, and considers the overall maximum affordable rent
limits to be 30% of 80% of Area Median Family Income (AMFI) with rent for unit sizes
adjusted for family size and utility allowances as set out in Exhibit A attached.
Agenda Date 02/22/2012 - page 2