HomeMy WebLinkAbout18 - Request for Qualifications (RFQ) for Permanent Supportive Housing ProjectTO:
FROM:
CITY OF
NEWPORT BEACH
City Council Staff Report
February 25, 2020
Agenda Item No. 18
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
Grace K. Leung, City Manager - 949-644-3001,
gleung@newportbeachca.gov
PREPARED BY: Carol Jacobs, Assistant City Manager,
cjacobs@newportbeachca.gov
PHONE: 949-644-3313
TITLE: Request for Qualifications (RFQ) for Permanent Supportive Housing
Project
ABSTRACT:
As part of the long-term solutions for addressing homelessness in the community, the Ad
Hoc Homeless Task Force has requested that the City Council consider issuing a
Request for Qualifications for a Permanent Supportive Housing project in the City.
RECOMMENDATION:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA)
pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because
this action will not result in a physical change to the environment, directly or indirectly;
b) Authorize the City Manager to prepare and release a Request for Qualifications for a
Permanent Supportive Housing Developer in the City of Newport Beach; and
c) Determine the City's financial participation in the project.
FUNDING REQUIREMENTS:
The City has identified a number of funding sources for this project that include- Affordable
Housing Revenues ($1,235,645), Encumbered Temporary Shelter funds ($220,000) and
funds through a Development Agreement with Hoag Hospital ($3,000,000). If City
Council chose to use the Hoag funds, the City would need to review this request with
Hoag as the agreement is for a temporary shelter. General Fund year-end surplus funds
and other one-time funds can also be considered.
The selected developer will be responsible for financing the remainder of the project
through a variety of financing sources. Due to the high land value in Newport Beach, a
financial contribution from the City will be a critical component. It will also attract potential
developers, as it reflects the City's commitment to the project(s).
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Request for Qualifications (RFQ) for Permanent Supportive Housing Project
February 25, 2020
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DISCUSSION:
The City has focused its efforts to address the homeless issue in Newport Beach for the
last year and a half. During the bi-annual County of Orange Point in Time Count in
January 2019, the count identified 64 unsheltered homeless individuals.
The City Council has been taking a multi -pronged approach to addressing this issue. An
Ad Hoc Homeless Task Force was created to assist. The Ad Hoc has developed a
number of strategies to work with the homeless population to provide the necessary
resources to lift them out of homelessness and has had a number of successes over the
past year and a half. The strategies have included: identifying possible locations in the
City for a temporary shelter, working regionally to provide temporary shelter; hiring of a
social service provider to work with the homeless and provide resources; and creation of
an internal Rapid Response Team to address emergent situations with the homeless.
The Ad Hoc Committee believes that providing Permanent Supportive Housing in
Newport Beach will significantly alleviate the homeless issue in the City as a long-term
solution. According to the National Alliance to End Homelessness, permanent supportive
housing is defined as an intervention that combines affordable housing assistance with
voluntary support services to address the needs of chronically homeless individuals. The
services are designed to build independent living and tenancy skills and connect people
with community-based health care, treatment and employment services.
Permanent Supportive Housing is consistent with the housing first model, which is
described in detail in Attachment A from the Department of Housing and Urban
Development. The theory is that it is extremely difficult for individuals to solve a myriad
of health and mental issues if they are living on the street. The approach takes the
individual and places them in housing first, and then addresses the health issues of the
individual.
The intent of the RFQ is to seek and select a proven development team capable of
developing and operating up to 50 units of permanent supportive housing within the City.
It is important that we find a partner who has a strong community outreach program and
can work with our community.
The RFQ will seek a developer with experience in developing and managing these types
of projects. These projects typically have complex financial arrangements with a variety
of funding sources. In most communities, the city participates financially in the project as
gap financing or provides the land. Due to the high value of land in Newport Beach,
developing a project here is more expensive than most other cities. The City's financial
commitment will enhance the chances of developing a successful project.
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Request for Qualifications (RFQ) for Permanent Supportive Housing Project
February 25, 2020
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ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
► Is] IIs] IkiLes
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
ATTACHMENT:
Attachment A — Housing First in Permanent Supportive Housing
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ATTACHMENT A
HOUSING FIRST IN PERMANENT SUPPORTIVE HOUSING
What is Housing First?
Housing First is an approach to quickly and successfully connect individuals and families experiencing
homelessness to permanent housing without preconditions and barriers to entry, such as sobriety,
treatment or service participation requirements. Supportive services are offered to maximize housing
stability and prevent returns to homelessness as opposed to addressing predetermined treatment goals
prior to permanent housing entry.
Housing First emerged as an alternative to the linear approach in which people experiencing
homelessness were required to first participate in and graduate from short-term residential and
treatment programs before obtaining permanent housing. In the linear approach, permanent housing
was offered only after a person experiencing homelessness could demonstrate that they were "ready"
for housing. By contrast, Housing First is premised on the following principles:
➢ Homelessness is first and foremost a housing crisis and can be addressed through the provision
of safe and affordable housing.
➢ All people experiencing homelessness, regardless of their housing history and duration of
homelessness, can achieve housing stability in permanent housing. Some may need very little
support for a brief period of time, while others may need more intensive and long-term
supports.
➢ Everyone is "housing ready." Sobriety, compliance in treatment, or even criminal histories are
not necessary to succeed in housing. Rather, homelessness programs and housing providers
must be "consumer ready."
➢ Many people experience improvements in quality of life, in the areas of health, mental health,
substance use, and employment, as a result of achieving housing.
➢ People experiencing homelessness have the right to self-determination and should be treated
with dignity and respect.
➢ The exact configuration of housing and services depends upon the needs and preferences of the
population.
While the principles of Housing First can be applied to many interventions and as an overall community
approach to addressing homelessness, this document focuses primarily on Housing First in the context
of permanent supportive housing models for people experiencing chronic homelessness.
Housing First Effectiveness in Permanent Supportive Housing
Permanent supportive housing models that use a Housing First approach have been proven to be highly
effective for ending homelessness, particularly for people experiencing chronic homelessness who have
higher service needs. Studies such as HUD's The Applicability of Housing First Models to Homeless
Persons with Serious Mental Illness have shown that Housing First permanent supportive housing
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models result in long-term housing stability, improved physical and behavioral health outcomes, and
reduced use of crisis services such as emergency departments, hospitals, and jails.
Core Components of Housing First
The core features of Housing First in the context of permanent supportive housing models are as
follows:
➢ Few to no programmatic prerequisites to permanent housing entry —People experiencing
homelessness are offered permanent housing with no programmatic preconditions such as
demonstration of sobriety, completion of alcohol or drug treatment, or agreeing to comply with
a treatment regimen upon entry into the program. People are also not required to first enter a
transitional housing program in order to enter permanent housing
➢ Low barrier admission policies — Permanent supportive housing's admissions policies are
designed to "screen -in" rather than screen -out applicants with the greatest barriers to housing,
such as having no or very low income, poor rental history and past evictions, or criminal
histories. Housing programs may have tenant selection policies that prioritize people who have
been homeless the longest or who have the highest service needs as evidenced by vulnerability
assessments or the high utilization of crisis services.
➢ Rapid and streamlined entry into housing — Many people experiencing chronic homelessness
may experience anxiety and uncertainty during a lengthy housing application and approval
process. In order to ameliorate this, Housing First permanent supportive housing models make
efforts to help people experiencing homelessness move into permanent housing as quickly as
possible, streamlining application and approval processes, and reducing wait times.
➢ Supportive services are voluntary, but can and should be used to persistently engage tenants
to ensure housing stability - Supportive services are proactively offered to help tenants achieve
and maintain housing stability, but tenants are not required to participate in services as a
condition of tenancy. Techniques such as harm reduction and motivational interviewing may be
useful. Harm reduction techniques can confront and mitigate the harms of drug and alcohol use
through non -judgmental communication while motivational interviewing may be useful in
helping households acquire and utilize new skills and information.
➢ Tenants have full rights, responsibilities, and legal protections — The ultimate goal of the
Housing First approach is to help people experiencing homelessness achieve long-term housing
stability in permanent housing. Permanent housing is defined as housing where tenants have
leases that confer the full rights, responsibilities, and legal protections under Federal, state, and
local housing laws. Tenants are educated about their lease terms, given access to legal
assistance, and encouraged to exercise their full legal rights and responsibilities. Landlords and
providers in Housing First models abide by their legally defined roles and obligations. For
instance, landlords and providers do not enter tenants' apartments without tenants' knowledge
and permission except under legally -defined emergency circumstances. Many Housing First
permanent supportive housing programs also have a tenant association or council to review
program policies and provide feedback, and formal processes for tenants to submit suggestions
or grievances.
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➢ Practices and policies to prevent lease violations and evictions —Housing First supportive
housing programs should incorporate practices and policies that prevent lease violations and
evictions among tenants. For instance, program policies consistent with a Housing First
approach do not consider alcohol or drug use in and of itself to be lease violations, unless such
use results in disturbances to neighbors or is associated with illegal activity (e.g. selling illegal
substances.) Housing First models may also have policies that give tenants some flexibility and
recourse in the rent payment, which in many subsidized housing programs is 30% of the
participant's income. For example, rather than moving towards eviction proceedings due to
missed rent payments, programs may allow tenants to enter into payment installment plans for
rent arrearages, or offer money management assistance to tenants.
➢ Applicable in a variety of housing models — The Housing First approach can be implemented in
different types of permanent supportive housing settings, including: scattered -site models in
private market apartments, where rental assistance is provided, and tenants have access mobile
and site-based supportive services; single -site models in which permanent supportive housing
buildings are newly constructed or rehabilitated and tenants have access to voluntary on-site
services; and set -asides, where supportive services are offered to participants in designated
units within affordable housing developments.
Adopting a Housing First Approach in Permanent Supportive Housing
Providers of permanent supportive housing that do not already use a Housing First approach can adopt
this approach by reviewing existing program policies and procedures, and by learning and implementing
new services and practices through training and clinical supervision. A provider that would like to move
to a Housing First program model should start with the following steps:
➢ Review current policies and procedures — Providers should undertake a systematic review of
their current operating policies and procedures. First, providers should assess tenant selection
and admission policies to ensure that they do not screen out applicants on the basis of rental,
credit, or criminal histories, sobriety, income, etc. They should also evaluate the application and
admission process to identify ways to streamline and shorten the process. They should review
the lease terms, lease compliance, and eviction policies to ensure that they are consistent with
Housing First principles and housing laws. Lease provisions that require participation in services
or that deem alcohol use as lease violations or grounds for eviction should be removed.
Providers should consider adding policies that help prevent eviction when a tenant falls behind
on rent or experiences other lease violations.
➢ Learn and adopt Housing First services approaches and practices — Providers can adopt
supportive services approaches and practices that creatively engage tenants to maximize and
ensure housing stability. Through training around harm reduction approaches, services staff can
learn to confront and mitigate the harms of drug and alcohol use through non -judgmental
communication. Staff can also receive training to develop competency around techniques like
motivational interviewing, wellness self-management, and trauma -informed care. Adoption of
these practices often also requires continual reinforcement through effective clinical
supervision, which is key to supporting housing stability.
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Useful Resources on Housing First
➢ USICH's Housing First Checklist - An easy-to-use tool for policymakers and practitioners to
identify and assess whether a program or community is using a Housing First approach. This
three-page tool breaks down the Housing First approach into distinguishing components at both
the program and community levels.
➢ Housing First in USICH's Solutions Database — A description of Housing First along with links to
examples and resources from USICH's Solutions Database.
➢ The Housing First FidelitV model index - In the April 2013 edition of Substance Abuse
Treatment, Prevention, and Policy, Watson and colleagues (2013) discuss the development and
testing of their Housing First Fidelity instrument. The study finds that the instrument is effective
in assessing the quality of Housing First programs and for making implementation decisions.
➢ Organizational Change: Adopting a Housing First Approach -The National Alliance to End
Homelessness' tool -kit on adopting Housing First as a community -wide strategy.
➢ Pathways to Housing -Housing First Model -Pathways to Housing produced a step-by-step
manual presents a comprehensive guide to Pathways to Housing's Housing First approach.
➢ DESC's Seven Standards of Housing First - Seattle -based Downtown Emergency Service Center
has identified seven standards essential to their Housing First approach.
➢ Unlocking the Door: An Implementation Evaluation of Supportive Housing for Active
Substance Users in New York City - The National Center on Addiction and Substance Abuse at
Columbia University and the Corporation for Supportive Housing evaluated the implementation
of nine scattered -site Housing First permanent supportive housing programs serving
approximately 500 people experiencing chronic homelessness with active substance abuse
disorders in New York City. The report concludes with useful lessons for what is critical to
implementing a Housing First permanent supportive housing model. A full impact evaluation of
these programs will be completed later in 2013. Preliminary findings indicate that the programs
were successful in helping people exit homelessness, remain stably housed, and reduce their
use of emergency services.
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