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  County Administrator's Report     12. 4.    
BCC Regular Meeting Technical/Public Service Consent  
Meeting Date: 02/07/2019  
Issue:    Amendment #1 to Loaves and Fishes Soup Kitchen Transitional Housing Agreements
From: TONYA GREEN
Department: Neighborhood & Human Svcs  
CAO Approval:

RECOMMENDATION:
Recommendation Concerning Amendment #1 to Loaves and Fishes Soup Kitchen Transitional Housing Agreements - Tonya Green, Neighborhood & Human Services Department Director

That the Board take the following action concerning Amendment #1 to Loaves and Fishes Soup Kitchen Transitional Housing Agreements:

A. Approve Amendment #1 to the Transitional Housing Development Agreement with Loaves and Fishes Soup Kitchen, Inc., for the Donelson Street Housing units to change the use from transitional housing for homeless households to permanent housing for homeless households; 

B. Approve Amendment #1 to the Transitional Housing Development Agreement with Loaves and Fishes Soup Kitchen, Inc., for the Hayne Street Housing units to change the use from transitional housing for homeless households to permanent housing for homeless households; and

C. Authorize the Chairman to execute the Amendments and related forms or documents as needed to implement the Amendments and original Agreements.

[Funding:  Not applicable]
BACKGROUND:
On April 1, 2004, the Board entered into an agreement with Loaves and Fishes Soup Kitchen, Inc. (Loaves and Fishes) under the State Housing Initiatives Partnership (SHIP) Program to provide funds for the development of rental units for special needs, specifically homeless households (Exhibit I). Under this agreement, Loaves and Fishes developed four scattered site units on Donelson Street targeted for transitional housing for homeless households. On November 16, 2006, the Board entered into an agreement with Loaves and Fishes under the Hurricane Housing Recovery Program (HHRP) to provide funds for the additional development of rental units (Exhibit II). Under that agreement, Loaves and Fishes developed two scattered site units on Hayne Street targeted for transitional housing for homeless households. All units support homeless households with children. No operating costs were provided to Loaves and Fishes under either agreement.

The County received a request from Loaves and Fishes on November 29, 2018 (Exhibit III) to change the designated use for these six units from transitional housing for homeless households as outlined in the original agreements to permanent housing for homeless households. In prior years, homeless families residing in these units would receive rent supplements through the U.S. Department of Housing and Urban Development (HUD) Continuum of Care (COC) competitive grant cycle funds. However, since HUD no longer prioritizes transitional housing for homeless, which is defined as a stay not to exceed 24 months, funding to support rents at these units is no longer available from COC funding. HUD now prioritizes permanent housing options for homeless households, which means that no set exit date is placed on the household. This change will allow Loaves and Fishes to charge affordable rents or apply for competitive funding again in the next COC grant cycle to assist households with rent to cover the operating costs for these units. A change in use will not violate the SHIP or HHRP programs or plans in place at the time of the agreements or current SHIP rules and guidance. The original requests for applications for these funds were for special needs homeless rentals, so the transitional housing restriction was in excess of any program requirements.

Amendment #1 for the Donelson units is included in Exhibit IV with associated deed restriction and the Amendment #1 for the Hayne Street Units is included in Exhibit V with associated deed restriction. No funds are being provided as a result of this request, and Loaves and Fishes will continue to meet all other requirements as outlined in their original Agreements with the Board. All units have recently been inspected by the Neighborhood Enterprise Division (NED) and are in compliance.
BUDGETARY IMPACT:
No County funding is being provided as a result of this recommendation.
LEGAL CONSIDERATIONS/SIGN-OFF:
The amendments have been reviewed and approved by Stephen West, Senior Assistant County Attorney.
PERSONNEL:
Staff from the Neighborhood Enterprise Division (NED) will continue to monitor the units for program compliance, including income eligibility, rents, and unit conditions. A change from transitional housing to permanent housing will provide some ease in administration of compliance monitoring for both NED and Loaves and Fishes staff as tenants will have one year leases instead of month to month leases as seen under the transitional housing program.
POLICY/REQUIREMENT FOR BOARD ACTION:
Changes in agreements must be approved by the Board.
IMPLEMENTATION/COORDINATION:
NED will continue to implement both Agreements with Loaves and Fishes.

Attachments
Ex I-Donelson SHIP Agreement
Ex II-Hayne HHRP Agreement
Ex III-Loaves Fishes Use Change Request
Ex IV-Donelson Amendment 1 & Covenant
Ex V-Hayne Amendment 1 & Covenant

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