HomeMy WebLinkAbout _ 9.2(c)--NorCal CoC Administrative Entity Resignation � � �' � � �
� � � ' � �' � � ' � ` CITY OF REDDING
REPORT TO THE CITY COUNCIL
MEETING DATE: May 20,2025 FROM: Steve Bade, Assistant City
ITEIVI NO. 9.2(c) Manager
***APPROVED BY***
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sbade@cityofredding.org btippin@cityofredding.org
SUBJECT: 9.2(c)--Consider NorCal Continuum of Care Administrative entity resignation.
Recommendation
Authorize and approve the following:
(1) The City Manager, or designee, to sign a letter giving notice to the NorCal.
Continuum of Care that the City of Redding will no longer serve as the interim
Administrative Entity effective December 31, 2025;
(2) Find that applying for and administering grant funding is not considered a project
under the California Environmental Quality Act; and
(3) Find that applying for and administering grant funding is an exempt activity under the
National Environmental Policy Act under 24 CFR 58.34(a)(3).
Fiscal Impact
The City of Redding (City) is contracted to provide administrative services for the NorCal
Continuum of Care (CoC) through a Memorandum of Understanding (MOI�. Since �he CoC
compensates the City to provide these services with grant funding, there is no fiscal impact to the
General Fund. Should the City no longer continue to serve as the Administrative Entity (AE) for
the CoC, all grant funds associated with this function will be transferred to the successor AE.
City staff funded by the CoC grant wi11 be absorbed into other Housing Division programs.
Alternative Action
The City Council (Council) could chaase not to notify the CoC of the City's intention ta no
longer serve as the AE. In this case, either the City would seek to continue as the AE or the
requirement of a minimum 90-day notice wi11 not be met as required by the MOU and Council
would need to provide direction to staff regarding the next course of action.
Report to Redding City Council May 15,2025
Re: 9.2(c)--NorCal CoCAdministrative Entity Resignation Page 2
Background/Analysis
In June 2023, the CoC unexpectedly was provided a letter of resignation from Shasta County
serving as the AE. This left the CoC essentially unable to complete the annual submission of the
Col]aborative Application to the United States Department of Housing and Urban Development
(HUD). On August 15, 2023, Council approved City staff to assist the CoC with this endeavor.
On August 28, 2023, the NorCa1 CoC Executive Board (Executive Board) discussed the
possibility of the City acting as an interim AE. At the close of the discussion, the Executive
Board Chair requested that the City provide its estimated cost for this function, based on the
duties outlined in its Governance Charter. At the meeting of September 11, 2023, the City
provided this information along with stipulations to being the interim AE. The Executive Board
voted and approved the City as the AE.
On September 19, 2023, Council approved the City to act, on an interim two-year basis, as the
AE for the CoC. On February 29, 2024, a retroactive MOU between the City and the CoC was
executed, laying the foundation for each party's duties and responsibilities for the term of
performance (September 19, 2023, through September 19, 2025).
Recently, the Executive Board and the AE discussed the CoC's structure, revenue, and costs of
administering the CoC, including both Homeless Management Information System
administration and various other consultant costs. At the conclusion of these discussions, it
became apparent that the cost for the City to perform AE duties was significant and not
sustainable for the NorCal CoC. Given the high cost of operation, uncertain revenue streams and
the inevitable end to the interim MOU, the City requested that the Executive Board approve a
Request for Proposal (RFP} be published to determine if any entities wished to provide the AE
duties to the CoC.
On March 20, 2025, the Executive Board reviewed and approved the RFP for publication. The
RFP was published on March 24, 2025, with a deadline for submissions of May 1, 2025, with a
one-week extension to 1VIay 8, 2025. There were no bidders, and the RFP was deemed
unresponsive and closed.
The Executive Board has requested the current AE publish a new RFP on May 19, 2025. This
RFP makes clear to bidders, that responses to the RFP may include bids for territories smaller
than the current seven county CoC. For example, a bidder may wish to submit a response to the
RFP for any number of counties under the seven, meaning a bidder could submit a response to
the RFP for a single county, for two counties or more, depending on its capacity. This means that
the NorCal CoC as it exists today, may be reduced in size and split into several smaller
continuums which may provide better 1oca1 coordination and control as we11 as less burdensome
grant application processing and monitoring with the State of California.
In the meantime and pursuant to the MOU, staff recommends issuing a letter giving notice to the
CoC that the City will no longer serve as the interim AE effective December 31, 2025 or sooner
should another AE be selected.
Environmental Review
Applying for and administering grant funding is not considered a project under the California
Environmental Quality Act.
Report to Redding City Council May 15,2025
Re: 9.2(c)--NorCal CoCAdministrative Entity Resignation Page 3
Applying for and administering grant funding is considered an exempt activity under the
National Environmental Policy Act, 24 CFR 58.34(a)(3).
Council Priority/City Manager Goals
• Government of the 21St Century - `Be relevant and proactive to the opportunities
and challenges of today's residents and workforce. Anticipate the future to make
better decisions today."
• Economic Development - "Facilitate and become a catalyst for economic
development in Redding to create jobs, retain current businesses and attract new ones,
and encourage investment in the community."
Attachments
^COR Administrative Entity Resignation Letter
COR CoC Administrative Entity Staff Report - 09/19/2023
COR and NorCal CoC MOU
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[DATE]
Executive Board
NorCal Continuum of Care (CoC)
Dear NorCal CoC Executive Board Members,
On behalf of the City of Redding, this letter is intended to formally inform you af our decision to
step down as the Administrative Entity for the NorCal Continuum of Care(CoC)effective no later
than December 31, 2025.
After much consideration and reflection on our current capacity and the evolving needs of the
CoC, we have concluded that it is in the best interest of both the City of Redding and the CoC to
transition this important responsibility to another entity. This decision was not lnade lightly, as we
deeply value the work and partnerships we have fostered through our role as the Administrative
Entity, as well as our cominitinent to addressing homelessness and supporting vulnerable
populations in our community and the broader region.
We are committed to ensuring a smooth transition during this period and will work closely with
the NorCa1 CoC Board and other stakeholders to facilitate the handoff of responsibilities. We are
prepared to assist in the search for a new Administrative Entity and will provide necessary
guidance or support to ensure continuity in services and operations as we approach the transition
date.
Please know that the City of Redding remains dedicated to the ongoing work of the CoC and we
will continue to support efforts to reduce homelessness in our community and across the region.
We look forward to working with you to identify the next steps and ensure a seamless transition
for all involved.
Thank you for your understanding and collaboration. Should you have any questions or require
further clarification, please feel free to reach out to Shawnna Flanigan directly at
a���°c��c;�c.����c�fi.�c�c�i���c�r�.
Sincerely,
Barry Tippin
City Manager
City of Redding
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EETING ATE: Septelnber 19,2023 F OM: Steve Bade, Assistant City
ITEM NO, 9.2(e) M�anager
***APPROVED BY***
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sbade@cityafredding.org btippin@cityafredding.org
SUBJECT: 9.2{c)--Consider authorizing the City of Redding to serve as the NorCa1
Continuum of Care's Administrative Entity.
Recomfnendatia�
Authorize and approve the following:
(1) Authorize the City of Redding to serve as the interim Administrative Entity for the
NorCa1 Continuum of Care for a two-year term;
(2) Authorize the City Manager to negotiate and sign a Memorandum of Understanding with
the NorCal Cantinuum of Care's Executive Board outlinzng the respective roles and
responsibilities of the City of Redding as the NorCa1 Continuum of Care's Administrative
Entity;
{3) Authorize the City Manager to submit applieatians ar dacuments necessary to apply to
the State of California for the Homeless Housing Assistance and Prevention grant, ar
ather grants that become available on behalf of the NorCal Continuum of Care, and
appropriate funds received;
(4) Find that acting in an administrative capacity is not considered a project under the
California Environmental Quality Act; and
(Sj Find that acting in an administrat�ve capacity is an exempt activ�ty under the N�ational
Environmental Policy Aet.
Fiscal Impact
Staff estimates that serving as the Administrative Entity for the NorCal Continuuln of Care
(NorCal CoC) will require the hiring of one full time, Associate Project Coordinator. The
estimated total cost for this position, including a 10 perc�nt indirect cost rate for administrative
and operational costs will be $274,692 per year.
At tha Sept�mber 11, 2423, the NorCal Executive Board (Executive Board) approved staff's
budget requested that incl�uded the cost to be fully funded by grants and eontributions received
through the NorCal CoC. It is anticipated that the position will be funded by Homaless and
Housing Assistanee Pro�ram funds, individual Caunty contributions and miscellaneous
administrative fees received through other grant funds. There wi1l be no i�npact to the General
Fund or existing Hausing Divisian resources.
Packet Pc�.40Q
Report to Redding City Council September 1�, 2023
Re: 9.2(c)--Autho�ize the City of Redding to act as the No�CaI Continuum of ecrre`s
Administrative Entity Page 2
Alte�native Actior�
The City Council (Council) could choose not to serve as the Adininistrative Entity. However, as
no other organization has elected to fi11 this role, this option may result in jeop�rdizing funding
for hameless services within the NorCal CaC region.
&ackgr�our�dl�inaZysis
On August l S, 2023, Cauncil authorizecl the City of Redding (City) ta serve as the Collaborative
Applicant for the Fiscal Year 2023 Continuum of Care Application on behalf of the NorCal CoC
and xatified �he award of Nomeless Housing, Assistance and Prevention Round 3 funding to the
City in the amount of$58,792.3Q for administrative costs associated with the City functioning as
the Collaborative Applicant. At this me�ting, the City Manager advised the Council that as of
August 21, 2023, Shasta County terminated its role as the Norcal CoC's Administrative Entity
and that staff wauld likely be returning to Council with a requEst for the City to serve as the
NorCal CoC's Administrative Entity.
On August 28, 2023, the Executive Board met to diseuss �he need for an interim Administrative
Enrity to suppart the functions of the N�orCa1 CoC. As part of its Governance Charter, the N�orCal
CoC de�ailed the administrative duties needed to be provicled by the interim Administrative
Entity. The Board Chair presented additional information and requested that the Executive Board
eonsider the City a�so serve as the Administrativa Entity. At the close of the discussion, the
Executive Board requested that the City determine the cost, based on the duties stipulated within
its Governance Charter.
Staff compi�ed the requested inforination and presented its �ndings at the Executive Board
meeting on September 1 l, 2023, In addition to the agreed-upon services, staff also rec}uested to
be coinpensated for ather duties not listed in the Exeeutive Board's Governance Charter. A
spreadsheet detailing the overall duties of the Administrative Entity with associated hours is
attached to this staff report. Beyond these duties, the City a�so requested that all grants associated
with the NorCal CoC be administered by the City and that a Paint-in-Tizne count not be
conducted in January 2024 as it is a nan-mandatory year and not required by the U,S.
Department af Housing and Urban Department. The Executive Baard voted and approved the
City to act as the Interi�n Administrative Entity.
Should City Council approve the Cit�to aet as the Adininistrative Entity for the NorCal CoC,the
City wi11 enter into a Memorandum of Understanding (MOU} with the Exeeutive Board. The
MQU and any subsequent cantracts involving the City as the Administrative Entity will be
reviewed by the City Attorney's offiee to ensure that proper risk mitigation and indemnification
is provided within each subsequent contract.
Envi�onmental Review
Providing administrativ� duties is not eonsidered a project under the California Environinental
Quality Act (CEQA). Any future project that is developed will be reviewed for CEQA
compliance once the details are known.
Under the Natianal Environmental Policy Act {NEPA), adininistrative and lnanagement
activities are considered exempt activities and na further action is required under 24 CFR
Packet F�g.4t?�1
Report to Redding City Council September 1�, 2023
Re: 9.2(c)--Autho�ize the City of Redding to act as the No�CaI Continuum of ecrre`s
Administrative Entity Page 3
58.34(a}(3}. Any future proj�cts wi11 be r�viewed for NEPA requrrements if award�d funding.
C'ouneil Fria�itylCity Manager Goals
• Gavernment of the 215t Century - "Be relevant and praactive ta the apportunities and
challenge� of today's residents and workforce. Anticipate the future to make better
decisions today."
• Economic I)evelopment- "Facllitate and beeome a catalyst for economic development in
Redding to create jabs, retain current businesses and attraet new ones, anc� encourage
investment in the community."
Attachments
^Draft Duties and Farecasted Hours -NorCa1 CoC Admin Entity
Packet Pg.�02
NoRCAL CoNTINVuIvt oF CAR�
ADMINISTRATIVE ENTITY
MEMORANDUM OF UNDERSTANDING
1. Preamble
The NorCal Continuum af Care (the "NorCal CaC") is a membership-based organization
comprised af a variety of stakeholders from service providers, government entities, research
institutions,etc.,who are committed to preventing and ending homelessness through the design
and implementatian of plans, which are consistent with lacal, state, and federal policies.
In the spirit of collaboration, the NarCal CoC and The City of Redding (the "City"), acting as
the designated NorCal CoC Administrative Entity ("Administrative Entity"), have agreed to
enter into this Memorandum of Understanding ("MQU") to dacument each party's duties and
respansibilities and to ensure that the same are successfully executed.
The NorCal CoC and the Administrative Entity(collectively, "the parties")will work tagether
to ensure that the NorCal CoC achieves its strategic goals and to pravide the suppart mutually
agreed by the parties as required for various committees, workgraups, and the like badies
defined in the NorCa1 CoC Governance Charter ar requested by the NorCal CoC Executive
Board.
The parties commit to timely responses, apen communication, and collaborative work
strategies, in the completian of tasks necessary to ensure efficient operations af the NorCa1
CoC and the Administrative Entity.
2. Purpose
This MtJU sets forth the terms, conditians and expectatians the NorCal CaC has far the City
in the performance of its duties and responsibilities as the Administrative Entity.
3. Key Stakeholders and Terminology
A. Department af Housing and Urban Development {HUD). HUI7 is the federal
government agency that implements and regulates the Continuum of Care pragram
under the terms of 24 CFR Part S�8 (Interim Rule).
B. NarCal Continuum of Care (NorCal CoC}. The NorCal CoC is a membership-based
arganization comprised of a variety af stakeholders committed to preventing and
ending homelessness through the design and implementation af plans, which are
consistent with local, state, and federal policies.
C. Administrative Entity. The Administrative Entity is an eligible applicant designated by
the NarCal CoC to carry out the responsibilities listed in sectian 4 below. �
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D. City of Redding. The City of Redding is a lacal municipality selected by the NarCal �
CoC to serve as the Administrative Entity. �
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E. NorCal CoC Executive Board (Board). The Board is the governance body of the
NarCal CoC under the terms of its Governance Charter. The Board may delegate
specific responsibilities under this MOU to its Executive Committee or other
committees and workgroups.
4. The Administrative Entity will assume responsibilities consistent with Exhibit A, attached and
incorporated herein, and for the following activities:
• Enhance the knowledge of the services providers ta address housing needs;
• Maintain an updated web page to share Agendas, Minutes, Recorded Meetings, Policies
and Procedures, resources,training curriculum, reports, and other related documents;
• Act as Secretary to the Baard and facilitate monthly meetings, Special Meetings (as
needed), and all member meetings twice per year;
• Conduct the Annual Gap Analysis;
• Facilitate the administratian of an annual Point-In-Time (PIT) and I�ausing Inventary
Count(HIC) of homeless persons with Advisory Baard assistance;
• Set baseline for system performance based on funding;
• Build community awareness inclusive af the needs of all hameless papulatians;
• Ensure cansistent participatian in the Homeless Ivlanagement Informatian System
(HMIS) by recipients and subrecipients and establish a monitoring schedule;
* Complete NorCal CoC-wide funding applications, prepare Resolutions and staff reports
(as needed and as directed by the Board and the City of Redding), oversee the Rating and
Ranking processes pertaining to funding, process consultant applicatians, invoices and
requests for suppart materials, services and supplies, and manitor the performance af
projects in accordance with the funding contract;
• Perfarm all duties required by HUD and the City of Redding;
• Develop and provide continuum-wide trainings, including HUD mandated training
topics;
• Design, operate and follow a collaborative process for development of applications far
funding;
• Report the results of the evaluation outcomes of projects funded under the Emergency
Solutions Grant (ESG) Program;
• Provide informatian required ta complete the Consolidate Plan{s) within the NorCa1
CoC's geagraphic area;
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• Assist the NorCa1 CoC Advisory Boards with Policies and Pracedures, implementation
of hausing and services systems within its geographic area that meets the needs of the
hameless individuals and families; and
+ Act as the Fiscal Agent for the NorCal CoC to include applying for grants, receiving
grants,subrecipient agreements,tracking of funding,reporting of funding and monitoring
subrecipients.
5.Performance Reporting and Oversight
The Administrative Entity will submit reports as follows:
A. The Associate Project Caardinator will provide verbal reports to the Executive Baard
on progress on or barriers to achieving objectives identified in Exhibit A, as required, at
each working group meeting.
B. Written reports wi11 be submitted no less frequently than semi-annually. Written reparts
will follow the agreed upan template and will be prepared by the Administrative Entity.
These written reports wi11 be made posted to the Coordinated Entry website for public
transparency and wi11 be sent directly to all funders.
�. Term
A. The parties acknowledge that this MOU authorizes the Administrative Entity to enter
inta Grants with HUD and the City during the term af the MOU.
B. This MOU sha11 commence on date af September 19, 2023, and shall continue for twa
{2) years until September 19, 2025, unless this MOU is terminated sooner as permitted
under this MOU.
i. On or prior to one year prior to the MOU e�piration date,the Board must pravide
written notice to the existing Administrative Entity if it elects ta conduct a
competitive pracess to determine the next Administrative Entity.
ii. If the Board thraugh its oversight process determines that the Administrative
Entity has not satisfactorily corrected material performance deficiencies under a
written corrective aetion plan within the specified timelines, the Board may
terminate this MOU with written notiee to the Administrative Entity.
iii. Should this MOU be terminated befare the expiration date by the Board, the
Administrative Entity wi11 be allowed to fu1fi11 its obligations under its existing
HUD Grant. The MOU terminatian date wi11 coincide with the expiration date
of the HUD Grant occurring immediately following the date of notice of
termination.
iv. The Administrative Entity may terminate this MOU for any reasan by giving the
Board 90 days' prior written notice. In this ease, the termination date wi11
coincide with the expiration of the Planning Grant accurring immediately
following the date of the notice plus one year.
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v. Upon termination for any reason,the Administrative Entity will participate in an
expedient and professional transition of knowledge, documents, grants and a11
other relevant information (even if nat identified by name in this dacument) ta
the successor entity. This transition wi11 also inelude a formal training period,
term of which wi11 be negotiated by the parties invalved, to facilitate the
successful transfer of infarmation with the minimal disruption to the NorCal
cae.
7. Modifications and Other Provisions
A. Modifications. Either party may request modifica#ions to this MOU. Any changes,
modifications, revisions, or amendments to this NIOU which are mutually agreed upon by
and between the parties to this MOU shall be incor�orated by written instrument, and
effective when executed and signed by a11 parties ta this MOU.
B. Campliance with Applicable Laws. The parties sha11 at all times comply with all applicable
laws, federal, and state, county, municipal statues, ardinances, and regulations relating to
this IvIOU or which may affect the performance of this MOU.
C. Indemnification. Each party shall be responsible for and indemnify, defend, ancl hald
harmless the other party, from and against any third-party claims arising out of or in
connection with (a) the negligent acts or omissians of its respective officers, agents,
directors,and employees to the extent allowable by law;and(b}its breach ar alleged breach
of this MOU.
D. Liability. No officer, member, official, ar agent of the NarCal CoC or the Administrative
Entity shall be personally liable in connection with this MOU.
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In Witness Whereof, City and NarCal CoC have executed this Memorandum of Understanding on
the days and year set forth below:
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CITY OF REDDING,
Dated: ��~.� �� $ , 2024 A MLTNICIPAL CORPORATION
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BARRY TI , Mt�NAGER
ATTEST: APPR�VED AS TO FORM:
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''�SHARL�NE TIPTON, CI ��Y CLERK C RISTIAN M. CU� TIS ,
� CITY ATTt)RNEY
Dated: , 2024 �"" �,, � �
K STEN SC DER,NORCAL CQC
E�ECUTIVE BOARD CHAIR
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NORCAI,CONTINUUM OF CARE
A�MnvISTRr�TIVF ENTITY M�U
EXHIBIT A—SC(�PE OF SERVICES
Term of contract: Two years—September 19, 2023 through September 19, 2025
Administrative Entity Cantact Information: City of Redding—Housing Division
Mailing Address: 777 Cypress Avenue, Redding, CA 96001
Deliverables & Activities
(This section wi11 be in farce for the fu11 term of the MOU)
The Administrative Entity is respansible far the activities and deliverables outlined in this sectian.
The NorCal CoC Gavernance Charter may establish processes that the City of Redding must
follow when carrying out these aetivities:
o Facilitate monthly Board meetings witll published agendas, Special Meetings as needed and
including A11-Member meetings twice a year(57&.'1(a}}.
o Provide access to participate remotely in Lead Agency hosted meetings.
o Enhance the knowledge of the service praviders to address housing needs.
o Condnct annual gap analysis.
o Facilitate the administration of an annual PQint-In-Time Count (PIT) and Housing Inventory
Count(HIC)of homeless persons with the Advisary Baards.
o Set baseline for system performance based on funding.
a Build community awareness inclusive of the needs of all homeless populations.
o Inform the Executive Board of county program needs based on Gap Analysis.
o Ensure consistent participation of recipients and sub-recipients in the HMIS; including meetings
with HMIS cantractors.
a Complete CoC wide funding applications, �
a Develop and provide Continuum-wide trainings including �IUD mandated training topic and
other requested trainings.
o Monitor perfarmance Of funding prajeets in aeeordance with the funding cantraet.
o Design,operate,and follow a collaborative process for develapment of applications for funding.
o Prepare resalutions and reparts to the City of Redding as needed per needs of Exeeutive Board.
and City requirements.
o Oversee the Ratin and Rankin processes.
o Process Consultant applications, invoices and request for support materials, services and
supplies.
o Update, maintain and monitor the NorCal CoC website.
o Report the resuits of the evaluation outcomes af projects funded under the Emergeney Solutions
Grants pragram (State Program}and the Continuum of Care program to H[1D.
o Ensure the HMIS is administered in compliance with requirements prescribed by H[TD and
monitor accordingly.
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o Provide information required to complete the Consolidated Plan(s) within the Continuum's
geographie area.
o In consultation with recipients of ESG program fi�nds within the geographic area, establish and
consistently follow written standards for praviding Continuum of Care assistanee. At a
minimum,these written standards must include:
➢ Policies and procedures for evaluating individuals'and families'eligibility for assistanee
under this part;
� Polieies and proeedures for determining and prioritizing which individuals and families
will receive transitional housing assistanee {these policies must inelude the emergency
transfer priority rec}uired under Sect. 578.99{j}(8));
➢ Policies and procedures for determining and prioritizing whieh eligible individuals and
families wiil receive rapid rehousing assistance (these policies must include the
emergency transfer priority required under Sect. 5"78.99{j){$));
➢ Standards for determining what percentage or amount of rent each program participant
must pay while receiving rapid rehousing assistance;
➢ P�licies and procedures for determining and prioritizing which eligible individuals and
families will reeeive permanent suppartive housing assistance (these policies must
include the emergency transfer priority required under Sect. 578.99(j){8));
➢ VVhere the Continuum is designated a high-performing community, policies and
proeedures set forth in 24 CFR 576.400(e)(3}{vi),(e}{3)(v�ii),(e}(3)(viii),and(e}(3)(iX).
o Assist the Advisory Boards with county-wide policies and procedures.
o Act as the Seeretary far the Executive Board Meetings.
o Determine equitable distribution of funds using framework identified under "Funding" when
funds are required to have an equitable distributian.
o Act as the Fiscal Agent for the Continuum;this includes applying for grants,staff reports for city
cauncil, receiving grants, subreeipient agreements, tracking funding, reporting funding,
monitoring subrecipients,
o Coordinate, with Advisory Boards, the implernentation of a housing and service system within
its geograplzic area that meets the needs of the homeless individuals{including unaeeompanied
youth)and families. At a minimum, such system encompasses the following:
➢ Outreach,engagement, and assessment;
➢ Shelter,housing, and supportive services; and
➢ Prevention strate ies.
o Environmental reviews far a11 contraets either NEPA or CEQA.
o Assist wit11 public invitation for new members to join the NorCal GoC; ensure Boa�rd adheres to
the Governance Charter; act as a resource; assist with the appaintment of subcommittees; assist
with the update of the Governance Charter; (5'78.7(a)maintain a website.
o Establish and monitor performance targets,collaborate with F-IMIS and Coordinated Entry Lead,
Coordinate and implement a housing and service system; provide informatiou ta Consolidated
P1an administratars.
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