ESG CARES - MARICOPA.PDF

Maricopa County — Formal (2020-05-06)

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U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT 
WASHINGTON, DC  20410-7000 
 
 
ASSISTANT SECRETARY FOR 
COMMUNITY PLANNING AND DEVELOPMENT 
 
 
www.hud.gov                espanol.hud.gov 
 
 
April 2, 2020 
 
 
 
The Honorable Clint Hickman 
Chairman, Board of Supervisors of Maricopa County 
301 W Jefferson Street 
10th Floor 
Phoenix, AZ 85003-2143 
 
Dear Chairman, Board of Supervisors Hickman: 
 
I am pleased to inform you of special Emergency Solutions Grants (ESG) Program funds 
HUD is allocating to your jurisdiction in the amount of $905,900, as authorized by the Coronavirus 
Aid, Relief, and Economic Security Act (CARES Act), Public Law 116-136.  These special ESG-
CV funds are to be used to prevent, prepare for, and respond to the coronavirus pandemic (COVID-
19) among individuals and families who are homeless or receiving homeless assistance; and to 
support additional homeless assistance and homelessness prevention activities to mitigate the 
impacts of COVID-19.   
 
President Trump signed the CARES Act on March 27, 2020 to help the Nation respond to the 
coronavirus outbreak. The CARES Act made available an additional $4 billion in ESG-CV funds to 
supplement the Fiscal Year (FY) 2020 ESG funding provided under the Further Consolidated 
Appropriations Act, 2020 (Public Law 116-94). Of this amount, the Department is immediately 
allocating $1 billion for ESG-CV grants based on the FY 2020 ESG formula.  The rest of the 
funding for ESG-CV grants will be allocated directly to States or units of local government by a 
separate formula developed by the Secretary.  Up to $40 million of the additional funds will be set 
aside for technical assistance.   
 
Given the immediate needs faced by our communities, the Department has announced the first 
allocation of funds, which are subject to the following flexibilities and conditions provided by the 
CARES Act: 
 
• The funds may be used to cover or reimburse allowable costs incurred by a State or 
locality before the award of funding (including prior to the signing of the CARES Act) 
to prevent, prepare for, and respond to COVID-19; 
• The funds are not subject to the spending cap on emergency shelter and outreach 
under 24 CFR 576.100(b)(1); 
• Up to 10 percent of funds may be used for administrative costs, as opposed to 7.5 
percent as provided by 24 CFR 576.108(a); 
• The funds are exempt from the ESG match requirements, including 24 CFR 576.201; 
• The funds are not subject to the consultation and citizen participation requirements 
that otherwise apply to the Emergency Solutions Grants, however each recipient must

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publish how its allocation has and will be used, at a minimum, on the Internet at the 
appropriate Government web site or through other electronic media; 
• The funds may be used to provide homelessness prevention assistance (as authorized 
under 24 CFR 576.103 or subsequent HUD notices) to any individual or family who 
does not have income higher than HUD’s Very Low-Income Limit for the area and 
meets the criteria in paragraphs (1)(ii) and (1)(iii) of the “at risk of homelessness” 
definition in 24 CFR 576.3; 
• That recipients may deviate from applicable procurement standards when using these 
funds to procure goods and services to prevent, prepare for, and respond to 
coronavirus, notwithstanding 24 CFR 576.407(f) and 2 CFR 200.317-200.326;  
• While we encourage you to offer treatment and supportive services when necessary to 
assist vulnerable homeless populations, individuals and families experiencing 
homelessness must not be required to receive treatment or perform any other 
prerequisite activities as a condition for receiving shelter, housing, or other services 
for which these funds are used, notwithstanding 24 CFR 576.401(e). 
 
In addition, the Act authorizes the Secretary to grant waivers of and specify alternative 
requirements for statutes and regulations the Secretary administers in connection with the use of 
ESG funds (except for requirements related to fair housing, nondiscrimination, labor standards, and 
the environment).  These waivers and alternative requirements can be issued when necessary to 
expedite and facilitate the use of funds to prevent, prepare for, and respond to coronavirus.  
 
The Department is developing a notice that will further lay out the CARES Act provisions and 
other waivers and requirements to enable swift implementation of additional ESG-CV grants.  This 
notice and any subsequent notices of waivers and alternative requirements will be made available on 
HUD’s website and distributed to grantees.  The Department will also support grantees with 
technical assistance.   
 
As your jurisdiction develops its plan to use these grant funds, HUD encourages approaches 
that prioritize the unique needs of persons experiencing homelessness and the development of 
partnerships between all levels of government and the private for-profit and non-profit sectors.  
Your jurisdiction should coordinate with State and local health authorities before undertaking any 
activity to support state or local pandemic response.  HUD encourages you to share successes that 
may help other grantees.  Like other supplemental funding, ESG-CV grants are subject to oversight 
and tracking, such as requirements to prevent the duplication of benefits.  We look forward to 
working with you to prevent fraud, waste, and abuse and to document the impact of this program for 
beneficiaries. 
 
Importantly, proper reporting in the Integrated Disbursement and Information System (IDIS) 
is critical to ensuring grantees are complying with program requirements and policies, providing 
demographic and income information about the persons who benefit from funded activities, and 
allowing HUD to monitor recipients.  Your jurisdiction’s ongoing attention is essential to ensuring 
complete and accurate reporting of performance measurement data.

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HUD’s Office of Community Planning and Development (CPD) is looking forward to 
working with your jurisdiction to successfully meet the urgent and complex challenges faced by our 
communities.  If you or your staff has questions, please contact your local CPD Field Office 
Director or CPDQuestionsAnswered@hud.gov. 
 
Sincerely, 
 
John Gibbs 
Acting Assistant Secretary  
  for Community Planning and Development 
U.S. Department of Housing and Urban Development