For City Council Meeting [July 28, 2020]
TO: Honorable City Council
APPROVAL: Rod Foster, City Manager
FROM: Stephen Erlandson, Deputy City Manager
Title
Request City Council to Authorize the Release of a Request for Proposals (RFP) for Workforce Development Job Training Services.
Body
BACKGROUND
On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”), which appropriates nearly $2 trillion nationwide for COVID-19 pandemic relief funding. $5 billion of these CARES Act funds, referred to in this report as CDBG-CV funds, were appropriated to the Community Development Block Grant Program (CDBG) to assist state and local governments in their COVID-19 response.
The City of Rialto was awarded $714,324 in CDBG-CV funds. This amount is calculated using the standard allocation for the distribution of annual CDBG funding. Due to the immediate need to deploy the CDBG-CV funding to meet the urgent need of the City’s residents, staff gave an overview of the CARES Act CDBG-CV funding and sought Council input on how the CDBG-CV funds should be used and allocated during the June 9, 2020 City Council meeting.
On June 23, 2020, the City Council approved the following programs to be funded by the City’s CDBG-CV allocation:
• Rental/Mortgage Assistance: $300,000
• Utilities Assistance: $300,000
• Workforce Development/Job Training: $114,324
CDBG CARES Funding Background
The CDBG program is a federally funded program of the U.S. Department of Housing and Urban Development (HUD) that provides funding for housing, community facilities, and public services. On April 2, 2020 HUD announced the allocation of the first $2 billion in CARES Act funding for current CDBG grantees. The CARES Act builds on features of the existing CDBG program, as well as precedent set by CDBG Disaster Response (CDBG-DR) supplemental appropriations. The act directs HUD to administer these funds, pursuant to Section 106 of the Housing and Community Development Act of 1974 (42 U.S.C. 5306). This provision calls for HUD to allocate the supplemental funds to CDBG grantees -including eligible local governments, states, and insular areas - proportional to their conventional Fiscal Year 2020 CDBG allocation, as published by HUD in April 2020.
CARES CDBG-CV funding is intended to prevent, prepare for, and respond to coronavirus based on public health needs, risk of transmission of coronavirus, number of coronavirus cases compared to the national average, and economic and housing market disruptions. The remaining funds will be distributed to states and units of local government on a rolling basis, at the discretion of the Secretary of the U.S. Department of Housing and Urban Development, with formula factors to be defined by HUD.
ANALYSIS/DISCUSSION
Staff has prepared an RFP for Workforce Development Job Training Services in response to the action taken by the City Council on June 23,2020. The intent of this RFP is to serve Rialto residents seeking full-time (at least 30 hours per week), permanent employment who have experienced a loss of income due to the COVID-19 pandemic.
Applicants must only serve Rialto residents with these funds. Participants funded by this grant must meet these eligibility criteria:
• Rialto resident.
• Experienced a loss of income related to the COVID-19 pandemic.
• Must be willing and able to be placed in and retain full-time, unsubsidized employment or be placed in post-secondary education leading to a career leading to full time employment in a living wage job.
• Must meet income guideline of being at or below 80% of Area Medium Income
Proposals are due on Monday, August 31, 2020. Staff anticipates bringing forth an agreement with the best qualified applicant to the City Council for consideration on Tuesday, September 8, 2020.
ENVIRONMENTAL IMPACT
The request is not a Project as defined by Section 15378 of the California Environmental Quality Act (CEQA).
GENERAL PLAN CONSISTENCY
Complies with the following Rialto General Plan Guiding Principle:
Our Government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
LEGAL REVIEW
The City Attorney has reviewed and supports this staff report.
FINANCIAL IMPACT
Operating Budget Impact
The City of Rialto was awarded $714,324 in CDBG-CV funds. These funds will be appropriated and used expeditiously to combat the effects of COVID-19 in the community based on the direction of City Council.
Capital Improvement Budget Impact
There is no anticipated impact to the Capital Improvement Budget.
Licensing
A Business License is not required as part of this action.
RECOMMENDATION
Staff recommends that the City Council authorize the release of a Request for Proposals (RFP) for Workforce Development Job Training Services.