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HomeMy WebLinkAboutR05-Economic Development Agency o o o - L Q n DBVBLOPMBBT DBPAR~BBT OF THE CITY OF SAIl BBRlURDIIIO RBOUBST FOR ClMUSSIOB/CODBCIL ACTIOB FROM: KENNETH J. HENDERSON Executive Director Subject: BOIIBLBSS SHELTER UTILITY ASSISTAIICB PROGRAII Date: March 6, 1992 ------------------------------------------------------------------------------- SvnoDsis of Previous CoaaissianlConnci1/CnMMittee Action(s): On March 4, the Housing Committee considered this item and recommended that the Community Development Commission approve Option C set forth in the staff report. -------------------------------------------------------------------------------- Reco-......ed IIotion(s): (COIIIIIUIlity Developlllent CODBission) MOTIOB That the Community Development Commission approve a program to assist homeless shelters with utility costs in the amount of $10,368 per year to be revisited annually for continuation of funding . ~~OB Bzeeutive Direetor Administrator ------------------------------------------------------------------------------- Contact Persons(s): Ken Henderson/Doris Daniels Phone: 384-5081 Project Area(s): City-wide Ward(s) 1 - 7 Supporting Data Attached: Staff ReDort FUNDING REQUIREMENTS: Amount: $10.368 Source: 20% Set-Aside Budget Authority: ------------------------------------------------------------------------------- CommissianlCouneil Botes: ------------------------------------------------------------------------------- KJH: DAD: BJT :paw: 0334q ClMUSSIOB MBBTIlIG AGENDA Meeting Date: 04/06/1992 6 Agenda Item lIumber: ~_... . o o o . Q DEVELOPMDT DBPAKThul: 0 STAFF IlBPORT ------------------------------------------------------------------------------- HOMRr.1!SS SIm'.TBR UTILITY ASSISTAlfCll: PROGRAM ABALYSIS At its meeting on February 11, 1992, the Housing Committee directed staff to provide information and analysis regarding a program to assist homeless shelters with utility costs. On March 10, 1992, the Housing Committee considered this item and recommended that Option C, along with six program requirements, be approved by the Community Development Commission. BACICGROmm Reports from local service agencies indicate that the incidence of homelessness in the City of San Bernardino is increasing. This is a direct - reflection of the worsening economic climate of both our City and the nation. It has been indicated by service providers to the Mayor and the Housing Committee that utility payments are the most pressing of operating costs for homeless shelters. In an effort to establish realistic goals, the Housing Committee directed staff to investigate the possibility of assisting local shelters with utility costs. In response to concerns regarding the City's efforts to alleviate homelessness, staff is providing the following information as an analysis of the potential impact of a program to assist homeless shelters with utility costs. Currently, there are five (5) shelters that serve City of San Bernardino homeless individuals and families. They are the Salvation Army, Frazee Community Center, Option House, Good Shepard Ministries, and Samaritan Shelter, respectively. These shelters house individuals on a nightly basis for a limited number of nights. The City currently provides financial assistance to three (3) of these organizations. The Salvation Army and Frazee Community Center are receiving Emergency Shelter Grant Program (ESGP) funds which are used to pay operational costs, including electric, gas, water, telephone and other expenses. Option house receives Community Development Block Grant (CDBG) funds that are used to pay salaries, rent, and telephone costs. There are two additional agencies which do not receive funding assistance from the City. These outreach organizations, which struggle daily to remain in existence, are Good Shepard Ministries and Samaritan Shelter. They provide shelter, food, and case management on a regular basis. UTILITY COSTS Information provided below itemizes electric, gas, and water costs for all shelters that directly serve the City's homeless population. ------------------------------------------------------------------------------- KJH:DAD:BJT:paw:0334q COIlUSSIOII MEETIIIG AGEllDA Meeting Date: 04/06/1992 :5 A&enda It_ IIuIIIber: o o o Q 0 7WBLVB IIllIml AVERAGE OF PRIOR IIOIIBLBSS SBBLTBR UTILITY COSTS Salvation Anrv 046 W. 5th Street) Electric $1,776 Gas 343 Water 282 Total estimated monthly costs = $2,402 Frazee Comnn1l1ttv Center (1140 W. Mill Street) Electric $ 245 Gas 133 Water 95 Total estimated monthly costs = $ 473 llDtion House (P. O. Box 970) Electric Gas Water $ 500 100 110 Total estimated monthly costs = $ 710 Good SheDard Ministriea (752 N. "H" Street) Electric Gas Water $ 210 175 64 Total estimated monthly costs = $ 449 S....ritan Shelter (1534 N. "G" Street) Electric Gas Water $ 200 135 80 Total estimated monthly costs = $ 449 OPTIOn Based on the information provided above, three (3) options were presented to the Housing Committee for consideration. ------------------------------------------------------------------------------- ICJH:DAD:BJT:paw:0334q CO..uSSIOK JllEETIlIG AGEBDA Meeting Date: 04/06/1992 Agenda Itea "ber: ~ o o o Ootion A: Pay~ thly utility costs for all sh~rs that serve San Be~ino residents. Beneficiaries ld include: -= Salvation Army Frazee Community Center Option House Samaritan Shelter Good Shepard Ministries The average monthly cost of this program would be: $4,483.00* Ootion B: Pay monthly utility costs for those shelters that do not already receive funds from the City to be used for this purpose. Beneficiaries would include: Option House Samaritan Shelter Good Shepard Ministries The average monthly cost for this program would be: $1,574.00 . Ootion C: Pay monthly utility costs for those shelters that receive no City funding at this time. Beneficiaries would include: Samaritan Shelter Good Shepard Ministries The average monthly cost for this program would be: $864.00 * Does not deduct portions of utility costs paid by Emergency Shelter Grant Program (ESGP) or Community Development Block Grant (CDBG) programs. After consideration of the above options, the Housing Committee recommended that the Community Development Commission approve Option C because: (1) Salvation Army, Frazee Community Center, and Option House receive Federal funds which may be used to defray utility costs; and (2) it is the most cost effective option. PROCV'. REOUIRDmII'rS If the Commission approves this program, staff recommends that the following program requirements be adhered to: 1. Utility payments are not to exceed the amounts initially reported by the shelter and must be verified by actual utility bills from the past 12 months. 2. Program is limited to the established homeless shelters designated in Option C of this report. ------------------------------------------------------------------------------- KJH:DAD:BJT:paw:0334q CQIKlSSIOK MKBTIIIG AGElUlA Meeting Date: 04/06/1992 S . Agenda Itea lIuIIber: 3. 4. 0 5. 6. 7. o 0 Assisted shelters must provide evidence of nonprofit status as demonstrated by IRS Code 50l(c)(3) approval. Program participants must pay any back amounts owed on their utilities within three (3) months. Participants must pay any amounts over the established cap within a time frame to be established by staff. The program will be revisited annually for continuation of funding . Participation in the program shall be limited to one (1) year. RECONmmATIOIl Staff recommends adoption of the form motion. . ~DSOIl. Executive Director DeveloPDeD.t Departallllt o o ------------------------------------------------------------------------------- ICJH:DAD:BJT:paw:0334q COIMISSIOIl IIDTIlIG AGElIDA Meeting Date: 04/06/1992 Agenda Its lIuIIIber: ~