Title
Charlotte Rescue Mission Support
Action
Action:
A. Approve the use of $2,000,000 from the Coronavirus State and Local Fiscal Recovery Fund in support of Charlotte Rescue Mission’s overall capital campaign to construct a new building and enable expanded programming for men experiencing homelessness, and
B. Authorize the City Manager to execute, amend and renew contracts as needed to complete this transaction.
Body
Staff Resource(s):
Shawn Heath, Housing and Neighborhood Services
Warren Wooten, Housing and Neighborhood Services
Explanation
§ On December 6, 2021, Council approved $4,000,000 in support of Charlotte Rescue Mission’s overall capital campaign to construct a new building and expand programming for men experiencing homelessness at its Rebound campus, including $2,000,000 in American Rescue Plan funds administered through the Department of Housing and Urban Development’s HOME Investment Partnerships Program (HOME-ARP) and $2,000,000 in Coronavirus Aid Relief and Economic Security Act Community Development Block Grant (CARES-CDBG) funds.
§ The city’s support, together with funding commitments from the private-sector, will enable Charlotte Rescue Mission to modernize its Rebound campus, including replacing the existing nearly 100-year old building, located at 907 W. 1st Street (parcel identification number: 073-24-217) in Council District 2, and expand its residential drug and alcohol recovery programming at the campus. This expansion will allow Charlotte Rescue Mission to serve more than 100 additional men each year.
§ Since December 2021, the city has learned more about the federal requirements related to HOME-ARP funds and have determined that, due to the complexity of these federal requirements, the HOME-ARP funds are not a viable funding source for the Charlotte Rescue Mission project.
§ The HOME-ARP funds are separate and distinct from the Coronavirus State and Local Fiscal Recovery Funds, which were also provided to the city through the American Rescue Plan Act. Because the Coronavirus State and Local Fiscal Recovery Funds are more flexible in their allowable uses than HOME-ARP funds, they are a more appropriate source of funding for the project.
§ The $2,000,000 allocation from the Coronavirus State and Local Fiscal Recovery Fund will replace the original HOME-ARP funds and, paired with the previously allocated $2,000,000 CARES-CDBG funds, enables the city to honor its original $4,000,000 commitment towards the Charlotte Rescue Mission project.
Background
§ On March 11, 2021, in response to the COVID-19 public health emergency, President Biden signed the American Rescue Plan Act of 2021 (ARPA), which included the Coronavirus State and Local Fiscal Recovery Fund. Charlotte was one of almost 1,000 cities across the nation that received these funds.
§ On December 5, 2022, the Housing, Safety and Community Committee received a brief update on the need to replace the HOME-ARP funds originally proposed in support of the CRM project with ARPA funds.
Fiscal Note
Funding: American Rescue Plan Act Funds (ARPA)
Attachments
Attachment(s)
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