Title
Health and Human Services Agency recommending the Board:
1) Approve and authorize the Chair to sign Funding Agreement #3527 with Mother Lode Rehabilitation Enterprises, Inc., to allow pass-through of funding from California Department of Housing and Community Development (Agreement 80-RHC-009) to provide financial assistance for the development, construction, and operation of rental housing development property for the care of developmentally disabled residents, in the amount of $55,212 for fiscal year 2018-19, for the term of approximately thirty (30) years from December 4, 2018 through September 30, 2048 (to match the current term of the State Agreement 80-RHC-009); and
2) Approve and authorize the Chair to sign the attached Budget Transfer Request to establish appropriations in the amount of $55,212, plus estimated interest, for the Fiscal Year 2018-19 funding allocation; and
3) Authorize the Purchasing Agent, or their designee to execute further documents relating to Funding Agreement 3527, including amendments which do not increase the maximum dollar amount or term of the Agreement, and contingent upon approval by County Counsel and Risk Management.
FUNDING: Funding from Agreement 80-RHC-009 between the State of California Department of Housing and Community Development, Mother Lode Rehabilitation Enterprises, Inc., and the County of El Dorado
Body
DISCUSSION / BACKGROUND:
Effective November 25, 1981, the County executed agreement 80-RHC-009, with California Department of Housing and Community Development (hereinafter referred to as the “Department”), to provide financial assistance for the development, construction, and operation of rental housing development property for the care of developmentally disabled residents, with an initial term of thirty (30) years. Between 1981 and 2018, the County and Department have executed 41 amendments to Agreement 80-RHC-009, each one establishing an annual payment to Mother Lode Rehabilitation Enterprises, Inc., (M.O.R.E.). Amendment 36 to said Agreement, executed September 28, 2012, established a termination date of September 30, 2048 for that Agreement.
On October 17, 2018, Health and Human Services Agency (HHSA) received notice from the Department that the State would no longer be paying M.O.R.E. directly, but would pay the County who would then have to pass that funding through to M.O.R.E. This Agreement #3527 is being established to serve as the mechanism for pass-through of said funding to M.O.R.E.
Language in Agreement #3527 states that within thirty (30) days of receipt of funding from the Department, County will pay to M.O.R.E. the amount received from Department.
HHSA has also submitted a Budget Transfer Request to establish sufficient appropriations for the Fiscal Year 2018-19 allocation from the Department in the amount of $55,212, plus estimated interest.
ALTERNATIVES:
The Board could decline to execute Agreement #3527, which would eliminate the mechanism for paying M.O.R.E., essentially ending the funding for housing for the developmentally disabled residents.
PRIOR BOARD ACTION:
No prior action specific to this Action. However, there have been Board items in 1980s pertaining to the Agreement 80-RHC-009.
OTHER DEPARTMENT / AGENCY INVOLVEMENT:
Approved by County Counsel, and Risk Management.
CAO RECOMMENDATION:
It is recommended that the Board approve this item.
FINANCIAL IMPACT:
There is no direct financial impact on the County. HHSA will need to establish a process to identify funding received due to Agreement 80-RHC-009, and a process to ensure payment to M.O.R.E. within the requirements of this Agreement.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) Clerk of the Board to obtain signature of Chair on two (2) original Funding Agreements #3527.
2) Clerk of the Board to return one (1) fully executed Agreement to the Health and Human Services Agency Contracts Unit at 3057 Briw Road.
3) Clerk of the Board to obtain signature of Chair on attached Budget Transfer Request and forward to the Auditor-Controller’s Office for processing.
STRATEGIC PLAN COMPONENT:
Health and Human Services Agency Strategic Plan Goal 2 - “Fiscal Responsibility: To develop and sustain Agency resources through thoughtful planning and efficient practices, and foster accountability and ownership at all levels of the Agency.”
CONTACT
Patricia Charles-Heathers, Ph.D., M.P.A., Director