Title
Approval of a Resolution Authorizing a Funding Agreement with Low-Income Housing Institute for Plum Street Village
Recommended Action
Committee Recommendation:
Not referred to a committee
City Manager Recommendation:
Move to approve the Resolution authorizing a funding agreement with the Low-Income Housing Institute for the Plum Street Village Tiny Home Project.
Report
Issue:
Whether to approve the Resolution authorizing a funding agreement with the Low Income Housing Institute for the Plum Street Village Tiny Home Project.
Staff Contact:
Cary Retlin, Home Fund Manager, Executive, 360.570.3956
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
On September 18, 2018, the City Council approved the first funding plan for implementing homeless response strategies, including a Plum Street Village tiny house project.
In February 2019 Plum Street Village opened and has been in constant operation to shelter up to 40 homeless individuals and couples in 29 houses since that time. The City of Olympia funds staffing and other services which are operated by the Low-Income Housing Institute (LIHI).
This funding agreement with LIHI must be approved by City Council to continue operations. This agreement includes a provision for a second year in 2022. That provision includes an incentive for LIHI to contract to bill the Medicaid Foundational Community Supports program for case management services in 2022. That provision will increase pay for case management and reduce costs for the city.
LIHI works with the Community Action Council to screen vulnerable homeless adults in the county Coordinated Entry system and place them at Plum Street Village. Since Plum Street Village began providing shelter 29 individuals have been placed in permeant housing including 12 in 2020.
Hygiene services (bathrooms, showers and laundry), a communal kitchen area and connection to social services are provided. LIHI is responsible for 24/7 staffing as well as providing on-site case management.
This agreement also funds case management and staff conflict resolution support at the eight tiny houses at Westminster Presbyterian Church on Boulevard Road.
Neighborhood/Community Interests (if known):
There is significant public interest in the City’s actions to address homelessness.
Options:
1. Move to approve the resolution authorizing a funding agreement with the Low Income Housing Institute.
2. Modify the funding agreement before approving.
3. Do not approve the funding agreement with the Low Income Housing Institute at this time (this may disrupt services at these sites).
Financial Impact:
In 2019 staff worked with LIHI to cut 2020 operating costs. Those cuts were too deep and. The 2021 budget is back up to improve staffing support for Westminster Village and other sites. The 2021 budget also includes COVID safety items and an increase in food for program guests to support shelter-in-place.
2019 budgeted operating costs: $640,986
2020 budgeted operating costs: $475,820
2021 budgeted operating costs: $600,000*
2022 budgeted operating costs: $558,330*
*2020 and 2021 funding agreements are combined in this two-year agreement which anticipates savings in 2022 because LIHI will have contracted with Medicaid’s Foundational Community Supports program which will allow some case management costs to be billed directly to that program.
Attachments:
Resolution
Agreement