Coronavirus Aid, Relief, and Economic Stimulus (CARES) Funding Amendment to the 2019 Annual Action Plan
On March 27, 2020 Congress passed and the President signed H.R. 749, the Coronavirus Aid, Relief, and Economic Security Act, known as the CARES Act. Included in that legislation is an emergency allocation of $4 billion in Emergency Solutions Grant (ESG) funding to the U.S. Department of Housing and Urban Development (HUD) to be used specifically to address the needs of individuals and families experiencing homelessness that have arisen as the result of COVID-19. The ESG funding has come in two phases: an initial $1 billion was allocated according to the existing ESG formula and the remaining $3 billion was targeted “for the benefit of unsheltered homeless, sheltered homeless, and those at risk of homelessness, to geographical areas with the greatest need based on factors to be determined by the Secretary, such as risk of transmission of coronavirus, high numbers or rates of sheltered and unsheltered homeless, and economic and housing market conditions as determined by the Secretary.”
The funding allocations for Phase Two of the ESG funding were announced on June 9, 2020. In total, communities in New York State will receive $400,531,196 through the Phase Two ESG allocation, with New York City receiving the bulk of the funding, $331,859,870. Other localities throughout the state will receive a total of $39,879,946 ESG funds directly from HUD. OTDA has been allocated $28,791,380 in ESG funds to, in part, serve communities in the rest of the state that are too small to qualify on their own for HUD funding.
Based on published preliminary guidance for expenditure of emergency ESG funding and numerous webinars OTDA seeks to get funds to communities quickly so that they can respond to, prepare for and prevent the spread of COVID-19. To this end, OTDA is amending its HUD approved 2019 Action Plan to indicate the overall funding amount and that the funds will be used for coronavirus response.
OTDA will make ESG CV funds available with a maximum allocation to counties based, in part, on population density numbers. Consideration for funding availability may also be given based on whether counties were able to identify the need for, and use of, funds allocated from Phase One. Each local social services district will work with the Continuum of Care, County Department of Health and the County Emergency Management Office to develop a county-wide plan for addressing emergent needs related to homelessness and preventing homelessness due to COVID-19. This local group will collaborate in determining the best-equipped entity to contract with OTDA to administer ESG funds. Elements of countywide plans will include eligible CARES Act ESG costs and activities related to street outreach, shelter, rapid rehousing and eviction prevention.
The contracting entity will be required to describe the collaboration formed to address COVID 19-related homelessness in the county. The contracting entity will identify the need in the county for the funds based on the effect COVID 19 has had on its existing homeless system as well as the financial impact on residents. The contracting entity will also be asked to identify how other COVID 19-related funding is being utilized and what amount of CARES Act ESG funds are needed to meet unmet needs.
The following tables have been amended in the 2019 Action Plan to reflect the receipt of both Phase One and Phase Two ESG CV allocations. The total amount reflected, $50,522,035, consists of $21,730,655 from Phase One and $28,791,380 from Phase Two.
AP-15 Expected Resources – 91.320(c)(1,2)
|Other ESG CV||public - federal||Other||50,522,035||50,522,035||ESG-CV funding to prevent, prepare for, and respond to COVID-19|
AP-35 Projects (Optional)
To prevent, prepare for and respond to coronavirus.
|2||ESG20 CV New York State|
AP-38 Project Summary
|Project Name||ESG20 CV New York State|
|Goals Supported||Tenant Based Rental Assistance/ Rapid Rehousing
Persons Served in Overnight Shelter
|Needs Addressed||Homeless Individuals and Families
|Description||ESG CV funds will be used for street outreach, shelter operations, rapid rehousing, and prevention activities to prevent, prepare for and respond to coronavirus.|