HomeMy WebLinkAbout20A - AA FOR HOUSING AUTHORITY ADMIN FEEREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
OCTOBER 6, 2020
TITLE:
APPROVE APPROPRIATION
ADJUSTMENTS RECOGNIZING $730,891
OF HOUSING AUTHORITY
ADMINISTRATIVE FEE FUNDING AND
$18,373 IN MAINSTREAM VOUCHER
PROGRAM ADMINISTRATIVE FEES
(NON -GENERAL FUND)
CLERK OF COUNCIL USE ONLY:
APPROVED
❑
As Recommended
❑
As Amended
❑
Ordinance on 1s' Reading
❑
Ordinance on 2od Reading
❑
Implementing Resolution
❑
Set Public Hearing For_
CONTINUED TO
/s/ Kristine Ridge FILE NUMBER
CITY MANAGER
RECOMMENDED ACTION
Approve an appropriation adjustment recognizing additional Housing Choice Voucher Program and
Mainstream Voucher administrative funds in the amount of $749,264 in revenue account (No.
15718002-52000) and appropriating same to expenditure account (Nos. 15718760-various).
DISCUSSION
On August 6, 2020, the Housing Authority received an allocation of $730,891 in Housing Choice
Voucher (HCV) and $18,373 in Mainstream Voucher Program administrative fee funding to
prevent, prepare for, and respond to the Coronavirus (Exhibit 1) through the Coronavirus Aid,
Relief, and Economic Security Act (CARES Act). The CARES Act provides funding to prevent,
prepare for, and respond to Coronavirus for public housing agencies by maintaining normal
operations and taking other necessary actions during the period the program is impacted by
Coronavirus (COVID-19). The total supplemental appropriation for the HCV Program nationally
was $1.25 billion, with $850 million allocated for administrative fees. This administrative fee
funding may be used by public housing agencies (PHAs) for administrative expenses and other
expenses related to the coronavirus.
Under the CARES Act, this supplemental administrative fee funding may be used only for two
purposes: (1) any currently eligible HCV (including Mainstream vouchers) administrative costs
during the period that the program remains impacted by COVID-19; and (2) new COVID-19-related
activities, including activities to support or maintain the health and safety of assisted individuals
and families, and costs related to the retention and support of participating owners. Staff intends
to use these fees for on -going eligible administrative expenses incurred by the Housing Authority
while the HCV and Mainstream Voucher programs remain impacted by COVID-19.
This is the second allocation (i.e. second award) of administrative fees received by the Housing
Authority through the CARES Act. The City Council approved an appropriation adjustment for the
first allocation of $598,916 on June 2, 2020.
20A-1
Housing Choice Voucher CARES Act Administrative Funds
October 6, 2020
Page 2
FISCAL IMPACT
Approval of the appropriation adjustment will recognize $749,264 in the Housing Admin CARES
Act revenue account (No. 15718002-52000) for expenditure as follows:
Fiscal
Year
Accounting Unit-
Account
Fund Description
p
Accounting Unit, Account
Description
Amount
FY 20-21
(Oct—
15718760-various
Housing Admin
Housing Admin CARES Act
$749,264
June)
CARES Act
COVID-19, Various
Total Expenditures
$749,264
The expenditure spending plan is only an estimate and subject to change. Any amount unspent
in June 2021, from the projected amount, will be carried forward for expenditure in FY 21-22.
Fiscal Impact Verified By: Kathryn Downs, CPA, Executive Director— Finance and
Management Services Agency
Submitted By: Steven A. Mendoza, Executive Director — Community Development Agency
Exhibit: 1. Allocation Letter from HUD
20A-2
EXHIBIT 1
U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
,,J IIIIIIII WASHINGTON, DC 20410-5000
OFFICE OF PUBLIC AND INDIAN HOUSING
August 6, 2020
Dear Executive Director
Subject: Second Award of Administrative Fee Allocation from the Coronavirus Aid, Relief,
and Economic Security Act (CARES Act).
The Office of Housing Voucher Programs (OHVP) has allocated the second award of
administrative fee funding per the CARES Act (Public Law 116-136) to public housing agencies
(PHAs) administering the Housing Choice Voucher (HCV) Program and/or Mainstream
Vouchers. PHAs must use these funds to prevent, prepare for, and respond to coronavirus
(COVID-19),per guidance provided in PIHNotice 2020-18: CARESAct—HCVProgram
Administrative Fees Second Award
https://www.hud.gov/program offices/public indian housing/publications/notices
This initial administrative fee award provided to each agency through the CARES Act is
described in the attached Enclosure A. The calculation by multiplying the total unit months
leased (UML) reported in the Voucher Management System (VMS) for the month of May by the
CY 2020 administrative fee rates, times 2, prorated at approximately 117 percent to distribute the
remaining fends equally between all PHAs.
Finally, the OHVP guidance regarding the tracking and reporting of the CARES Act
funding is forthcoming. In the meantime, PHAs must follow the preliminary guidance provided
in section 9. Reporting Requirements, ofPIHNotice 2020-18.
Please direct any questions concerning this allocation to contact your Financial Analyst at
the Financial Management Center.
Thank you for your continued participation in the HCV Program and/or Mainstream
Vouchers to serve the needs of your community during this critical time.
Enclosure
Sincere ,
Mig el A. on " ez
Director
Housing Voucher Financial
Management Division
www.hud.g02 OA _Tn01*hud.nuv
IWOMMIMINS
CARES Act — HCV Program Administrative Fees - Second Award
Enclosure A
1 PHA Number CA093
2 PHA Name CITY OF SANTA ANA HSG AUTH
Regular Voucher Program
3 VMS UMLs- May 2020
2,557
4 Column A Rate
$128.02
5 Column B Rate
$119.49
6 Column A Units Leased
600
7 Column A Eligibility(Line 4 times Line 6)
$ 76,812
8 Column B Units Leased
1,957
9 Column B Eligibility (Line 5 times Line 8)
$ 233,842
10 Monthly Elibiligity (Line 7 plus Line 9)
$ 310,654
11 Two Months' (Line 10 times 2)
$ 621,308
One Month prorated @ 0.35275 (Line 10 times
1
12 0.35257)
$ 109,583
Regular Voucher Program Total Award-2.35 months'
13 (Line 11 plus Line 12) $ 730,891
Mainstream Voucher Program
14 VMS UMLs- May 2020
61
15 Column A Rate
$128.02
16 Column B Rate
$119.49
17 Column A Units Leased
61
18 Column A Eligibility (Line 15 times Line 17)
$ 7,809
19 Column B Units Leased
0
20 Column B Eligibility (Line 16 times Line 19)
$ -
21 Monthly Eligibility (Line 18 plus Line 20)
$ 7,809
22 Two Months' (Line 21 times 2)
$ 15,618
One Month prorated @ 0.35275 (Line 21 times
1
23 0.35257)
$ 2,755
Mainstream Voucher Program Total Award- 2.35
24 months' (Line 22 plus Line 23) $ 18,373
20A-4